CITY COUNCIL STAFF REPORT
MEETING DATE: JUNE 1, 2016
PREPARED BY: Rebecca Garcia, Housing Manager/ Community Development
APPROVED BY: City Manager
TITLE
ORDINANCE ADDING A NEW CHAPTER 15.23 (BELOW MARKET RATE (BMR) PROGRAM ADMINISTRATION) TO TITLE 15 (HOUSING CODE) OF THE MORGAN HILL MUNICIPAL CODE, ADDING 15.23.10 PURPOSE, 15.23.20 DEFINITIONS, 15.23.30 APPLICABILITY, 15.23.40 DUTIES OF PROGRAM ADMINISTRATOR, 15.23.50 OCCUPANCY AND SALE RESTRICTIONS, 15.23.60 AFFORDABLE HOUSING AGREEMENT, 15.23.70 APPROVED PROGRAM PARTICIPANTS AND VENDORS, 15.23.80 DEFAULT, FORCLOSURE, LOSS OF UNIT, 15.23.90 ANNUAL REPORT, AND 15.23.95 ENFORCEMENT
END
RECOMMENDATION(S)
RECOMMENDATION
1. Open/Close Public Hearing;
2. Waive the First and Second Reading of the Ordinance; and
3. Introduce Ordinance.
BODY
COUNCIL PRIORITIES, GOALS & STRATEGIES:
Ongoing Priorities
Maintaining fiscal responsibility
Preserving and cultivating public trust
2016 Focus Areas
Participate in Regional Issues
REPORT NARRATIVE:
Since 1977, the City has amassed one of the largest Below Market Rate ("BMR") property portfolios in the State, per capita, and established a robust BMR Program that provides much needed homeownership opportunities and affordability to low-income and moderate-income households. The BMR Program comprises more than 500 homes with an average of 12-15 homes added to the Program each year. The Residential Development Control System ("RDCS") awards competing development points for the provision of BMR low-income and moderate-income housing. Following up on the BMR Resolution that was adopted by City Council on May 18, 2016, with the intent to reaffirm the City's nearly forty year commitment to preserve and create affordable housing, the Housing Team is recommending that the City Council adopt a Below Market Rate Ordinance. The purpose of the Ordinance is to further formalize the BMR Program, and succinctly codify the following:
* City Manager Authority to respond ...
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