PHED Committee #6
March 4,2010
MEMORANDUM
March 2,2010
TO:
FROM:
SUBJECT:
Planning, Housing, and Economic Development Committee
Jeff zyont!
~islative
Attorney
Zoning Text Amendment 10-01 and Bill 4-10; Workforce Housing - Voluntary
Zoning Text Amendment (ZTA) 10-01 and Bill 4-10 were sponsored by the Planning, Housing, and
Economic Development Committee. ZTA 10-01 was introduced on January 26, 2010. Bill 4-10 was
introduced on February 2,2010.
The Committee believes that the Workforce Housing program should be changed to a voluntary
program. ZTA 10-01 would accomplish that objective within the Zoning Ordinance. Bill 4-10, to
amend Chapter 25B, would also be required.
A public hearing was held on ZTA 10-01 and Bill 4-10 on March 2, 2010. Staff will address issues
raised in the public hearing at the Committee's worksession.
The Planning Staff report to the Planning Board included the following background:
Since the inception of the workforce housing program in December 2006, only three
project plans and one site plan have been approved with workforce housing units. Two of
the project plans were public/private partnerships with the County (Lot 31 in the
Bethesda Central Business District Metro Station Policy area and the Studio Plaza project
in the Silver Spring Central Business District Metro Station Policy area.) The only private
project that has received approval is the Woodmont Central project in the Bethesda
Central Business District Metro Station Policy area. To date, none of these projects have
been constructed. According to the development community, providing workforce
housing is cost prohibitive ...
A key Housing Policy goal in the County encourages that steps be taken each year to
increase the supply of affordable housing in those areas where the proportion of
affordable housing in the entire housing stock is below the County-wide average
proportion of affordable housing. In order to achieve this goal, the Council, the
Executive, the Planning Board, and other appropriate agencies must give the policy of
locating a fair share of affordable housing units in each area of the County high priority
in all planning, zoning, and land use decisions. As stated previously, the position of the
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County Council is that residents of all incomes should have the opportunity to live near
metro stations. An argument can be made that the workforce housing requirement has
actually reduced the construction of new moderately-priced dwelling units in metro
station areas as well because new projects are deemed to be financially infeasible
altogether.
Planning Staff recommended the following:
Changing the workforce housing requirement from a mandatory to voluntary program
could make sense as a temporary measure while the County takes a fresh look at the
overall affordable housing initiative.
Establishing a working group to address overall
affordable housing goals, including potential new provisions to encourage private
developer construction of workforce housing and moderately-priced dwelling units,
would be a good first step in this process.
The Planning Board did not a have a majority to support staffs recommendation. In voting against a
motion to support voluntary workforce housing, the Chairman expressed concern about how a voluntary
program would work with the CR zones. Another Planning Board member was concerned about
lowering the County's commitment to affordable housing. Two other members would support making
workforce housing voluntary. In a February 7, 2010 memorandum to the Committee from Chairman
Hanson, the Planning Board expressed the opinion that workforce housing should be a requirement in
the LSC zone.
Housing Policy
The County still has more jobs than resident workers. As such, it is a net labor importer. Additions to
the housing stock help that situation. More housing makes housing less scarce and can also have a
moderating effect on housing prices. To the extent that mandated workforce housing has been an
impediment to new multi-family approvals, it does not help the County's housing policy and should be
made voluntary.
Defining the site on which workforce housing must be constructed
ZTA 10-01 would not allow off-site workforce housing. The Ordinance would be amended as follows:
All workforce housing units must be constructed on the site that uses the FAR and
building height flexibility under this Section.
The "site" was intended to include the area regulated by a single project plan or preliminary plan
application. Either of those approvals could result in multiple site plans, record plats, and lots. Staff
recommends amending ZTA 10-01 to avoid any confusion:
All workforce housing units must be constructed [on the site] in the area regulated
ill::
fl
single project plan, preliminary plan application, or fllot that uses the FAR and building
height flexibility under this Section.
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Minimum percentage of units in a project
ZTA 10-01 would retain the minimum percentage of workforce housing units in a project. DHCA
requested the retention of this provision to make sure that the number of units at one location was worth
their administrative efforts.
Sunset provisions
When the Council approved workforce housing, it only applied to projects approved before December 1,
2014. Bill 4-10 would remove that limitation. As a voluntary program, there is no need to sunset the
program after that date.
This Packet Contains
ZTA 10-01
Bill 4-10
©number
1 -14
15 21
F:\Land Use\ZTASVZYONTZ\ZTA 10-01 Workforce Housing Voluntary\ZTA 10·01PH memo ZTA and bill.doc
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Zoning Text Amendment No: 10-01
Concerning: Workforce Housing ­
Voluntary
Draft No.
&
Date: 1 -1121110
Introduced:
1/26110
Public Hearing:
Adopted:
Effective:
Ordinance No:
COUNTY COUNCIL FOR MONTGOMERY COUNTY, MARYLAND
SITTING AS THE DISTRICT COUNCIL FOR THAT PORTION OF
THE MARYLAND-WASHINGTON REGIONAL DISTRICT WITHIN
MONTGOMERY COUNTY, MARYLAND
By: Planning, Housing, and Economic Development Committee
AN
AMENDMENT
to the Montgomery County Zoning Ordinance for the purpose of:
defining the term "workforce housing unit";
requiring any residential development at or above a certain density, located in a metro
station policy area, to include a certain percentage of workforce housing units; and
generally providing standards for the development of workforce housing units.
By amending the following sections ofthe Montgomery County Zoning Ordinance, Chapter 59
of the Montgomery County Code:
DIVISION 59-A-6
"USES PERMITTED IN MORE THAN ONE CLASS OF ZONE"
"Workforce Housing"
Section 59-A-6.18
"RESIDENTIAL ZONES, MULTIPLE-FAMIL Y"
DIVISION 59-C-2
Section 59-C-2.4
"Development standards"
Section 59-C-2.418. "Maximum Density of Development (Dwelling Units per Acre of
Net Lot Area)"
Section 59-C-2.442 "General provisions"
"COMMERCIAL ZONES"
DIVISION 59-C-4
Section 59-C-4.357 "C-2 zone-purpose and development standards"
"CENTRAL BUSINESS DISTRICT ZONES"
DIVISION 59-C-6
Section 59-C-6.215 "Method of development and approval procedures"
"Development standards"
Section 59-C-6.23
"PLANNED UNIT DEVELOPMENT ZONES"
DIVISION 59-C-7
"Density of residential development"
Section 59-C-7.14
"TRANSIT STATION DEVELOPMENT AREA ZONES"
DIVISION 59-C-8
"Development standards"
Section 59-C-8.4
DIVISION 59-C-13 "TRANSIT ORIENTED, MIXED-USE ZONES (TOMX)"
Section 59-C-13 .215 "Methods of development and approval procedures"
DIVISION 59-C-14 "TRANSIT MIXED-USE (TMX) ZONE"
Section 59-C-14.213 "General Requirements"
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Section 59-C-14.27
"Special regulations for use of a Building Lot Termination (BL T)
Development Right"
"DEVELOPMENT PLAN"
"Approval by district council"
DIVISION 59-D-I
Section 59-D-l.6
EXPlANATION: Boldface
indicates a Heading or a defined term.
Underlining indicates text that is added to existing law by the original text amendment.
[Single boldface brackets} indicate that text is deletedfrom existing law by original text
amendment.
Double underlining indicates text that is added to the text amendment by amendment.
IIDouble boldface bracketsJJ indicate text that is deletedfrom the text amendment by
amendment.
* * *
indicates existing law unaffected by the text amendment.
ORDINANCE
The County Council for Montgomery County, Maryland, sitting as the District Council for that portion
ofthe Maryland-Washington Regional District in Montgomery County, Maryland, approves the
following ordinance:
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Zonmg Text Amendment No. 10-01
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Sec. 1. DIVISION 59-A-6 is amended as follows:
DIVISION 59-A-6.
ZONE.
USES PERMITTED IN MORE THAN ONE CLASS OF
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59-A-6.18. Workforce housing.
59-A-6.18.1. Generally.
The workforce housing program complements the Moderately Priced Dwelling Unit
[(MPDUs)] MPDU Program, the Productivity Housing Program, and other County
programs designed to promote affordable housing. Under Chapter 25B, a developer
[must] may build the number of workforce housing units [required] allowed in any zone
under this Chapter. All workforce housing units must be constructed on the site that uses
the FAR and building height flexibility under this Section.
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59-A-6.18.2. [Requirements] Allowances.
(a)
Any subdivision that would contain 35 or more market dwelling units, and that
would be located in a zone with a maximum permitted residential density at or
above 40 dwelling units per acre and in a Metro Station Policy Area, [must] may
include [an amount]
f!:
number of workforce housing units that is not less than at
least 10 percent of the total number of proposed market dwelling units, not
including any MPDUs or resulting bonus density units, or dwelling units excluded
under Chapter
25B.
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(b)
A site plan is required under Division 59-D-3 for any project that includes a
workforce housing unit.
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(c)
To allow the construction of [all] workforce housing units on site, the Planning
Board must permit:
(1) any residential density or residential FAR limit of the applicable zone to be
exceeded to the extent required for the number of workforce housing units
that are constructed, but not by more than 10 percent of the total FAR or
number of dwelling units;
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ZOlllug
Text Amendment No. 10-01
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(2)
any residential density or residential FAR limit established in a master or
sector plan to be exceeded to the extent required for the number of
workforce housing units that are constructed, but not to more than the
maximum density and FAR of the zone, except as provided in paragraph
(1)[,]
~
and
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(3)
any building height limit established in a master or sector plan to be
exceeded to the extent required for the number of workforce housing units
that are constructed, but not to more than the maximum height of the zone.
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Sec. 2. DIVISION 59-C-2 is amended as follows:
DIVISION 59-C-2. RESIDENTIAL ZONES, MULTIPLE-FAMILY.
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Development standards.
59-C-2.4.
59-C-2.41. Standard method of development.
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R-30
R-20
21.7
I
R-l0
43.5
3
R-H
3
I
59-C-2.41S. Maximum Density of Development (Dwelling Units
per Acre of Net Lot Area):_
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14.5
* * *
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3
Workforce housing units [must] may be provided [as required by] under Section
59-A-6.18 and Chapter 25B.
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Special regulations for optional method development using transferable
development rights.
59-C-2.44
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(d)
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59-C-2.442. General provisions.
*
A property developed with development rights must include Moderately Priced
Dwelling Units (MPDUs) [as required by] under Chapter 25A and may include
\1)
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ZomHg
Text Amendment
No.
10-01
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workforce housing units [as required by] under Section 59-A-6.l8 and Chapter
25B. The number ofMPDUs and any resulting bonus density must be calculated
after the base density of a property has been increased by a transfer of development
rights. The calculation of the number of workforce housing units must be based on
the total number of market dwelling units in the development.1 including any
transfer of development rights[,] but not counting any MPDUs or resulting bonus
density units. The MPDU density bonus does not require the acquisition of
additional development rights.
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COMMERCIAL ZONES.
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Sec. 3. Division 59-C-4 is amended as follows:
DIVISION 59-C-4.
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Sec. 59-C-4.357. C-2 zone-purpose and development standards.
Residential development in the C-2 zone under Section 59-C-4.35l(b) must include
Moderately Priced Dwelling Units (MPDUs) as required by Chapter 25A and may
include workforce housing units [as required by] under Section 59-A-6.18 and Chapter
25B.
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CENTRAL BUSINESS DISTRICT ZONES.
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Sec. 4. DIVISION 59-C-6 is amended as follows:
DIVISION 59-C-6.
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Provisions of CBD zones.
59-C-6.2.
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59-C-6.215. Methods of development and approval procedures.
Two methods of
development are possible in each of these zones.
(a)
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Standard method of development.
The standard method requires compliance
with a specific set of development standards and permits a range of uses and a
density compatible with these standards. If residential uses are included in a
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ZOnIng
Text Amendment No. 10-01
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development, Moderately Priced Dwelling Units (MPDUs) must be provided as
required by Chapter 25A and workforce housing units [must] may be provided [as
required by] under Section 59-A-6.18 and Chapter 25B. The maximum dwelling
unit density or residential FAR may be increased in proportion to any MPDU
density bonus provided. on-site and under Section 59-A-6.18.2.
(b)
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Optional method.
Under the optional method, greater densities may be permitted
and there are fewer specific standards, but the developer must provide certain
public facilities and amenities. The presence of these facilities and amenities is
intended to make possible the creation of an environment capable of supporting the
greater densities and intensities of development permitted. The Planning Board
may, under Division 59-D-2: (1) authorize a payment instead of all or some of the
required public facilities and amenities, or any required public use space; or (2)
permit any required public use space to be provided off-site on private or public
property in the same CBD. Ifresidential uses are included in a development,
Moderately Priced Dwelling Units must be provided under Chapter 25A and
[Workforce Housing Units must] workforce housing units may be provided under
Section 59-A-6.18 and Chapter 25B. The maximum dwelling unit density or
residential FAR may be increased in proportion to any MPDU density bonus
provided on-site and under Section 59-A-6.18.2. The procedure for approval of an
optional method project is specified in Division 59-D-2, and the procedure for
approval of a site plan is specified in Division 59-D-3.
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59-C-6.23. Development standards.
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ZOlllllg
Text Amendment No. 10-01
CBD-O.5
CBD-R12
CBD-l
CBD-2
S
59-C-6.233.
Minimum
0
S
0
S
0
S
0
~BD-~
* * *
Public
Space
Use
(percent of net lot
area):
10
20
10
20
16
10
20
20,22
10
20
22
to
20
22
10
20
(a) Standard Method
The public use
space requirement
may be reduced to
accommodate the
construction of
MPDUs, including
any resulting bonus
density units, and
workforce housing
units, provided on-
site to:
5
5
5
5
5
5
* * *
59-C-6.235.
Maximum Building
Heights (in feet).
(b) Optional method
of development.
-Normally:
-If approved by
the Planning Board
in the process of site
plan or combined
renewal
urban
project plan approval
as not adversely
affecting
surrounding
properties,
height
may be increased to:
* * *
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60
60
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143
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200
200
.
.
usmg the optlOnal method of development, the Plannmg Board may
.
F or projects
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143
90
1
200
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approve height over 90 feet, but not more than 143 feet, if the additional height is
necessary for the project to [comply with the] accommodate workforce housing
[requirements of] under Section 59-A-6.18; however, the additional height must
not be more than required for the number of workforce housing units that are
constructed. For projects using the optional method of development involving
more than one lot under Section 59-C-6.2351, the Planning Board may approve
'0
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Zonhlg Text Amendment No.
10-01
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height over 90 feet, but not more than 143 feet, if the additional height is
specifically recommended for the property in the applicable sector plan or urban
renewal plan. In order to approve additional height for property where the
additional height is specifically recommended for the property in a sector plan or
urban renewal plan, the Planning Board must find that: [(1) The]
ill
the additional
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height is consistent with the criteria and guidelines for the property as contained in
the applicable sector plan or urban renewal plan; [(2) Except] (ii) except as
recommended in an urban renewal plan!L the portion of the property upon which the
additional height is to be used is on all sides abutted by or adjacent to property
recommended in the applicable sector plan or urban renewal plan for classification
in the CBD-0.5, CBD-I, CBD-2, or CBD-3 zones; [(3) The] (iii) the proposed
development is compatible with the surrounding development, considering but not
limited to the relationship of the building or buildings to the surrounding uses, the
need to preserve light and air for the residents of the development and residents of
surrounding properties, and any other factors relevant to the height of the building;
and [(4) The] (iv) the proposed development will produce a substantial amount of
consolidated public open space in excess of that which would be required if this
process were not used. The public open space must be designated as public
amenity space and be accessible to and usable by the public in accordance with the
applicable sector or master plan, or urban renewal plan.
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Under the optional method of development process, the Planning Board may
approve height over 143 feet, but not more than 200 feet, i( (i) the additional
height is necessary for the project to [comply with the] accommodate workforce
housing [requirements of] under Section 59-A-6.18[;]!L however, the additional
height must not be more than required for the number of workforce housing units
that are constructed[,]; or
(ii)
the additional height is specifically recommended for
the property in the applicable sector plan or urban renewal plan!L or the property is
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Zonmg Text Amendment No. 10-01
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within a revitalization area designated in the applicable sector plan and is located
fully or partially within 800 feet of an entrance to a metro station. In order to
approve additional height for property recommended in a sector plan or urban
renewal plan or within a designated revitalization area, the Planning Board must
find that: [(1) The]
ill
the additional height is consistent with the criteria and
guidelines for the property as contained in the applicable sector plan or an urban
renewal plan approved by the County Council under Chapter 56, or in the case of a
site outside an urban renewal area, accomplishing the objectives of incorporating
residential development with commercial development in a mixed use project in
close proximity to a metro station otherwise unobtainable due to site conditions,
proximity of adjacent non-residential buildings, or other physical constraints
[which] that prevent the achievement of sector plan objectives; [(2) The]
(ill
the
proposed development is compatible with the surroundip.g development,
considering but not limited to the relationship of the building or buildings to the
surrounding uses, the need to preserve light and air for the residents of the
development and residents of surrounding properties, and any other factors
relevant to the height of the building; and [(3) The] (iii) the proposed development
will provide additional public facilities and amenities beyond what could otherwise
have been provided if the excess height were not approved. Such facilities must be
accessible to and usable by the public in accordance with the applicable sector or
master plan or urban renewal plan.
The Planning Board may approve height over 60 feet, but not more than 90 feet, if:
(i)
[if]
the additional height is consistent with an applicable sector plan or an
approved urban renewal plan; or (ii) the additional height is needed to [comply
with the] accommodate workforce housing [requirement of] under Section 59-A­
6.18; however, the additional height must not be more than required for the number
of workforce housing units that are constructed.
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Zonmg Text Amendment No.
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Sec. 5. DIVISION 59-C-7 is amended as follows:
DIVISION 59-C-7. PLANNED UNIT DEVELOPMENT ZONES.
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P-D zone-Planned development zone.
59-C-7.1.
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59-C-7.14. Density of residential development.
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(c)
*
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The density of development is based on the area shown for residential use on the
master plan and must not exceed the density permitted by the density category
granted. However, the maximum density allowed under subsection (a) may be
increased to accommodate the construction of Moderately Priced Dwelling [units]
Units and workforce housing units as follows:
(1)
For projects with a residential density of less than 28 dwelling units per acre,
the number of Moderately Priced Dwelling Units must not be less than either
the number of [density] bonus density units or 12.5 percent of the total
number of dwelling units, whichever is greater.
(2)
For projects with a residential density of more than 28 dwelling units per
acre, the number of Moderately Priced Dwelling Units must be at least 12.5
percent of the total number of dwelling units [in accordance with] under
Chapter 25A.
(3)
Any project with a residential density at or above 40 dwelling units per acre
[must] may provide workforce housing units [as required by] under Section
59-A-6.18 and Chapter 25B.
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Sec. 6. DIVISION 59-C-S is amended as follows:
DIVISION 59-C-S. TRANSIT STATION DEVELOPMENT AREA ZONES.
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Development standards.
59-C-S.4.
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Zomng Text Amendment No. 10-01
TS-R
59-C-S.42. Density of Development.
The density of development must not exceed any of the following:
TS-M
* * *
(c) The density of development must not exceed the FAR or the dwelling units per
acre allowed by the zone, except that the maximum density permitted may be
increased to accommodate the construction of moderately priced dwelling units as
required by Chapter 25A and the construction of workforce housing units [as
required by1 under Section 59-A-6.l8 and Chapter 25B. The maximum number of
dwelling units or residential FAR may be increased as needed for any MPDU
density bonus and any workforce housing units provided on-site. The provision of
MPDUs or workforce housing units does not authorize a reduction in any public
facility and amenity or active or passive recreation space recommended in a master
plan or sector plan.
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Sec. 7. Division 59-C-IO is amended as follows:
DIVISION 59-C-IO. RMX ZONES -RESIDENTIAL MIXED:USE
DEVELOPMENT
*
(a)
*
*
Maximum Residential Density.
59-CIO.3.7.
The maximum residential density in an RMX zone must not exceed 30 dwelling
units per acre for residential areas shown on the project plan. The density
approved by the Planning Board must not exceed the density shown on the
approved and adopted master
plan~
which must be no greater than the density
permitted by the RMX zone. Where residential development is proposed to be
located within a proposed commercial area, the maximum residential density for
such areas must not exceed 40 dwelling units per acre. Any residential
development must include Moderately Priced Dwelling units (MPDUs) as required
by Chapter 25A and may include workforce housing units [as required by] under
Section 59-A-6.18 and Chapter 25B.
*
(c)
*
*
The density of residential development must comply with the density
recommended on the approved and adopted master plan; however, the number of
residential dwellings must be increased to accommodate the construction of
~
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Zomng Text Amendment No. 10-01
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Moderately Priced Dwelling [units] Units (MPDUs) as required by Chapter 25A
and the construction of workforce housing units [as required by] under Section 59­
A-6.18 and Chapter 25B.
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*
Sec. 8. Division
59-C-13
is amended as follows:
DIVISION
59-C-13.
TRANSIT ORIENTED, MIXED-USE ZONES (TOMX).
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*
59-C-13.2.
Provisions of the Transit Oriented, Mixed-Use Zones.
59-C-13.21.
Description, purpose, intent and general requirements.
*
*
(b)
*
*
*
*
59-C-13.215.
Methods of development and approval procedures.
Optional Method of Development:
The Optional Method of Development
promotes additional densities[,] and supports innovative design and building
technologies to create a pedestrian-oriented and mixed-use development pattern.
Approval of the Optional Method of Development is dependent on providing
required public amenities and facilities. The public facilities and amenities are
intended to support the additional densities permitted under the Optional Method of
Development. The procedure for the approval of the Optional Method of
Development
is
set forth in Section 59-D-2. Site plans must be approved in
accordance with Section 59-D-3. If residential uses are included in a development,
Moderately Priced Dwelling Units must be provided as required by Chapter 25A
1
and workforce housing units [must) may be provided [as required by) under Section
59-A-6.18 and Chapter 25B. The maximum dwelling unit density or residential
FAR may be increased in proportion to any MPDU density bonus provided on-site.
*
*
*
Sec.
9.
Division
59-C-14
is amended as follows:
DIVISION
59-C-14[,]:
TRANSIT MIXED-USE (TMX) ZONE
@
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Zonmg Text Amendment No. 10-01
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269
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271
*
*
(b)
*
*
*
59-C-14.213. General requirements.
*
MPDUs and workforce housing.
If residential uses are included in a
development, Moderately Priced Dwelling Units must be provided under Chapter
25A, and workforce housing units [must] may be provided under Section 59-A­
6.18 and Chapter 25B. The maximum residential FAR may be increased in
proportion to any MPDU [density] bonus density [and workforce]. Workforce
housing units [provided on-site] may increase the maximum residential FAR under
Section 59-A-6.18.2. Site plan review under [section] Section 59-D-3 is required.
*
*
*
59-C-14.27. Special regulations for use of a Building Lot Termination (BLT)
Development Right.
[Except for residential development subject to the requirement of workforce housing
under Section 59-A-6.18, the] The approval of an application for any gross floor area in
an optional method of development project must be subject to the following
requirements:
*
*
*
Sec. 10. Division 59-D-1 is amended as follows:
Sec. 59-D-1.6. Approval by [district council] District Council.
59-D-1.61. Findings.
Before approving an application for classification in any of these zones, the District
Council must consider whether the application, including the development plan, fulfills
the purposes and requirements in Article 59-C for the zone. In so doing, the District
Council must make the following specific findings, in addition to any other findings
which may be necessary and appropriate to evaluate the proposed reclassification:
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Zomng Text Amendment No. 10-01
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(a)
The proposed development plan substantially complies with the use and density
indicated by the master plan or sector plan, and does not conflict with the general
plan, the county capital improvements program, or other applicable county plans
and policies. However:
*
*
(2)
*
To permit the construction of
[all]
workforce housing units [required] under
§
59-A-6.18 and Chapter 25B on site, the District Council may permit:
(A)
any residential density or residential FAR limit of the applicable zone
to be exceeded to the extent required for the number of workforce
housing units that are constructed, but not by more than 10 percent.
(B)
any residential density or residential FAR limit recommended in a
master or sector plan to be exceeded to the extent required for the
number of workforce housing units that are constructed, but not to
more than the maximum density and FAR of the zone, except as
provided in paragraph (1); and
(C)
any building height limit recommended in a master or sector plan to
be exceeded to the extent required for the number of workforce
housing units that are constructed, but not to more than the maximum
height of the zone.
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285
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291
*
*
*
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Sec. 11. Effective date.
This ordinance becomes effective 20 days after the date
of Council adoption.
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This is a correct copy of Council action.
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303
Linda M. Lauer, Clerk of the Council
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Bill No.
4-10
Concerning: Workforce
Housing
Voluntary
Revised: 1-29-10
Draft No. _2_
Introduced:
February 2, 2010
Expires:
August 2, 2011
Enacted: _ _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ __
Effective: _ _ _ _ _ _ _ __
Sunset Date: ......
No..:.;o::.:.n=e_~
_ _ __
Ch. _ _, Laws of Mont. Co. _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Planning, Housing, and Economic Development Committee
AN
ACT to:
(1) modify the requirement for workforce housing to make the provision of
workforce housing voluntary; and
(2) generally amend the law governing the workforce housing program.
By amending
Montgomery County Code
Chapter 25A, Housing, Moderately Priced
Section 25A-5
Chapter 25B, Housing Policy
Sections 25B-23 through 25B-28
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface bracketsD
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County} Maryland approves the following Act:
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BILL
No.
4-10
1
2
Sec. 1. Section 25A-5 is amended as follows:
25A-5.
Requirement to build [MPDU's] MPDUs; agreements.
3
*
(c)
bonus is allowed; and
(1)
(2)
(3)
*
*
4
5
When the development at one location is in a zone where a density
6
7
8
9
10
11
is covered by a plan of subdivision,
is covered by a plan of development or a site plan, or
requires a building permit to be issued for construction,
the required number of moderately priced dwelling units is a variable
percentage that is not less than 12.5 percent of the total number of
dwelling units at that location, not counting any workforce housing
units [required) built under Chapter 25B.*
*
*
12
13
Sec. 2. Sections 25B-23 through 25B-28 are amended as follows:
25B-23.
Definitions.
14
15
16
In this Article, the following words have the following meanings:
*
* *
17
18
19
20
21
22
0)
Workforce housing project
means a housing or mixed:use project where
[at least 10 percent of the] dwelling units[, as computed under Section
25B-24(e),] are sold or rented to households with incomes at or below
120% of the area-wide median income.
*
25B-24.
Workforce housing program.
* *
*
*
23
*
(d)
24
25
[Requirement] Option.
A developer of any subdivision with 35 or more
market-rate dwelling units at one location, as defined in Section 25A­
3(b), [must build the number of] may build workforce housing units [, if
any,] that are expressly [required] allowed in the applicable zone under
26
27
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BILL
No.4-10
28
29
Chapter 59.
(e)
Exclusions.
In calculating the number of dwelling units in any
30
31
subdivision to determine the number of workforce housing units
[required] built under this Article, the Department must not count:
(1)
any moderately priced dwelling units (MPDUs) and any resulting
bonus density market-rate units;
(2)
any Personal Living Quarters unit built under Section 59-A-6.15,
which meets the price or rent eligibility standards for a
moderately priced dwelling unit under Chapter 25A;
(3)
any dwelling unit in an Opportunity Housing Project built under
Sections 56-28 through 56-32, which meets the price or rent
eligibility standards for a moderately priced dwelling unit under
Chapter 25A; and
(4)
any other dwelling unit built under a government regulation or
binding agreement that limits for at least 15 years the price or rent
Qharged for the unit in order to make the unit affordable to
households earning less than 60% of the area median income,
adjusted for family size.
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[(t)
Exemption.
If the total number of units in a subdivision that are not
counted under subsection (e)(4) is sufficient to qualify the entire
subdivision to receive federal low-income housing tax credits, then no
workforce housing units are required in that subdivision.]
[(g)]
ill
Regulations.
The County Executive must adopt regulations
51
52
under method (1) to administer this program. These regulations:
(1)
must set maximum sale prices and annual rent limits, sale price
and rent ranges (which must promote a variety of different prices
or rents at each workforce housing location), minimum unit type
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54
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BILL No. 4-10
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25B-25.
and bedroom requirements, and income eligibility standards;
(2)
must govern notice to the Department of sales and rentals,
foreclosures, and other relevant procedural matters; and
(3)
should, wherever possible, be similar to or at least consistent with
the regulations that govern the MPDU program.
The regulations governing eligibility must include some preference for
applicants who either reside in the County or work or have received a
job offer in the County.
*
(a)
Agreement.
*
*
Execution of agreement; building permit issuance.
(1)
After the developer of a housing project has obtained approval
from the Planning Board of a site plan that includes the number
of workforce housing units [required] approved under any
applicable provision of Chapter 59 and all other necessary
regulatory approvals, the Director and the developer must execute
an agreement assuring compliance with this Article by the
developer and any successor in interest. The Director must attach
a copy ofthe approved site plan to this agreement.
(2)
The agreement must incorporate a staging plan for the
construction of workforce housing units, the mix of dwelling unit
sizes and types, and the maximum selling price or annual rent for
each unit. The staging plan must require all workforce housing
units to be built before or at the same time as the other dwelling
units. Where appropriate, the agreement must reflect conditions
required as part of other regulatory approvals.
(3)
The agreement must require that the number of efficiency and
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BILL
No.
4-10
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83
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one- bedroom workforce housing units each must not exceed the
ratio that market-rate
efficiency and one-bedroom
units
respectively bear to the total number of market-rate units in the
subdivision. The Director must not approve an agreement that
reduces the number of bedrooms required by this subsection in
any workforce housing unit.
(b)
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Issuance of building permit.
The Director of Permitting Services must
not issue a building permit for any development where workforce
housing units are [required] approved under Chapter 59 until the
agreement required by subsection (a) is executed. After an agreement is
executed under subsection (a), the Director must certify to the Director
of Permitting Services before a building permit is issued that all
applicable requirements of this Article have been met. If all workforce
housing units are not built before or at the same time as other dwelling
units as required in the staging plan, the Director of Permitting Services
may:
(1)
withhold any later building permit for any part of the same
development until all workforce housing units designated in the
staging plan are built;
(2)
issue a stop work order, effective until all workforce housing
units designated in the staging plan are built; or
(3)
withhold any use and occupancy permit for other units in the
development until all workforce housing units designated in the
staging plan are built.
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[25B-26.
Alternative location agreement.]
[(a)
The Director may approve a workforce housing agreement, in addition
to the agreement required by Section 25B-25, that allows an applicant,
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BILL No. 4-10
109
instead of building some or all of the required number of workforce
housing units on-site, to provide at least the same number of units at
another location in the same planning policy area (as defined in the
County Growth Policy), only if the Director finds that:
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(l)
either:
(A)
the public benefit of locating at the proposed alternative
location is equivalent to the value of locating workforce
housing units in each applicable development; or
(B)
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building a sufficient number of workforce housing units at
the original site would require the applicant to change the
type of building construction used; and
(2)
building the workforce housing units at the proposed alternative
location will further the objective of providing a broad range of
housing opportunities throughout the County.
(b)
To satisfy the requirements of this Section, an applicant may:
(I)
build, or convert from non-residential use, the required number of
new workforce housing units at a site approved by the Director;
or
(2)
return to workforce housing unit use, and rehabilitate as
necessary, existing workforce housing units for which price
controls have expired.
(c)
Each agreement under this Section must include a schedule, binding on
the applicant, for timely completion or acquisition of the required
number of workforce housing units. Each agreement under this Section
must also require that each workforce housing unit provided at an
alternative location under this Section must be identical in type of unit
and number of bedrooms to the workforce housing units that the
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BILL
No. 4-10
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[
(c)
applicant would have built on site.]
[25B-27] 25B-26. Control of sale prices; rent limits; income eligibility;
foreclosures.
*
[25B-28] 25B-27. Compliance.
*
*
*
*
*
Sec. 3. Expiration.
Subsection (c) of Section 3 of Chapter 23, Laws of Montgomery County, 2006
is hereby repealed:
Sec. 3. Effective date; Applicability; Expiration.
*
*
*
Article V of Chapter 25B, as inserted by Section 1 of this Act, does not
apply to any development for which an application for a local map
amendment, development plan, project plan, site plan, or preliminary
plan of subdivision is filed after December 1, 2014.]
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152
Approved:
153
Nancy Floreen, President, County Council
154
Date
Approved:
155
156
Isiah Leggett, County Executive
157
Date
This is a correct copy o/Council action.
158
Linda M. Lauer, Clerk of the Council
Date
-7-
@
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PHED Committee #6
March 4,2010
MEMORANDUM
March 2,2010
TO:
FROM:
SUBJECT:
Planning, Housing, and Economic Development Committee
Jeff zyont!
~islative
Attorney
Zoning Text Amendment 10-01 and Bill 4-10; Workforce Housing - Voluntary
Zoning Text Amendment (ZTA) 10-01 and Bill 4-10 were sponsored by the Planning, Housing, and
Economic Development Committee. ZTA 10-01 was introduced on January 26, 2010. Bill 4-10 was
introduced on February 2,2010.
The Committee believes that the Workforce Housing program should be changed to a voluntary
program. ZTA 10-01 would accomplish that objective within the Zoning Ordinance. Bill 4-10, to
amend Chapter 25B, would also be required.
A public hearing was held on ZTA 10-01 and Bill 4-10 on March 2, 2010. Staff will address issues
raised in the public hearing at the Committee's worksession.
The Planning Staff report to the Planning Board included the following background:
Since the inception of the workforce housing program in December 2006, only three
project plans and one site plan have been approved with workforce housing units. Two of
the project plans were public/private partnerships with the County (Lot 31 in the
Bethesda Central Business District Metro Station Policy area and the Studio Plaza project
in the Silver Spring Central Business District Metro Station Policy area.) The only private
project that has received approval is the Woodmont Central project in the Bethesda
Central Business District Metro Station Policy area. To date, none of these projects have
been constructed. According to the development community, providing workforce
housing is cost prohibitive ...
A key Housing Policy goal in the County encourages that steps be taken each year to
increase the supply of affordable housing in those areas where the proportion of
affordable housing in the entire housing stock is below the County-wide average
proportion of affordable housing. In order to achieve this goal, the Council, the
Executive, the Planning Board, and other appropriate agencies must give the policy of
locating a fair share of affordable housing units in each area of the County high priority
in all planning, zoning, and land use decisions. As stated previously, the position of the
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County Council is that residents of all incomes should have the opportunity to live near
metro stations. An argument can be made that the workforce housing requirement has
actually reduced the construction of new moderately-priced dwelling units in metro
station areas as well because new projects are deemed to be financially infeasible
altogether.
Planning Staff recommended the following:
Changing the workforce housing requirement from a mandatory to voluntary program
could make sense as a temporary measure while the County takes a fresh look at the
overall affordable housing initiative.
Establishing a working group to address overall
affordable housing goals, including potential new provisions to encourage private
developer construction of workforce housing and moderately-priced dwelling units,
would be a good first step in this process.
The Planning Board did not a have a majority to support staffs recommendation. In voting against a
motion to support voluntary workforce housing, the Chairman expressed concern about how a voluntary
program would work with the CR zones. Another Planning Board member was concerned about
lowering the County's commitment to affordable housing. Two other members would support making
workforce housing voluntary. In a February 7, 2010 memorandum to the Committee from Chairman
Hanson, the Planning Board expressed the opinion that workforce housing should be a requirement in
the LSC zone.
Housing Policy
The County still has more jobs than resident workers. As such, it is a net labor importer. Additions to
the housing stock help that situation. More housing makes housing less scarce and can also have a
moderating effect on housing prices. To the extent that mandated workforce housing has been an
impediment to new multi-family approvals, it does not help the County's housing policy and should be
made voluntary.
Defining the site on which workforce housing must be constructed
ZTA 10-01 would not allow off-site workforce housing. The Ordinance would be amended as follows:
All workforce housing units must be constructed on the site that uses the FAR and
building height flexibility under this Section.
The "site" was intended to include the area regulated by a single project plan or preliminary plan
application. Either of those approvals could result in multiple site plans, record plats, and lots. Staff
recommends amending ZTA 10-01 to avoid any confusion:
All workforce housing units must be constructed [on the site] in the area regulated
ill::
fl
single project plan, preliminary plan application, or fllot that uses the FAR and building
height flexibility under this Section.
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Minimum percentage of units in a project
ZTA 10-01 would retain the minimum percentage of workforce housing units in a project. DHCA
requested the retention of this provision to make sure that the number of units at one location was worth
their administrative efforts.
Sunset provisions
When the Council approved workforce housing, it only applied to projects approved before December 1,
2014. Bill 4-10 would remove that limitation. As a voluntary program, there is no need to sunset the
program after that date.
This Packet Contains
ZTA 10-01
Bill 4-10
©number
1 -14
15 21
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Zoning Text Amendment No: 10-01
Concerning: Workforce Housing ­
Voluntary
Draft No.
&
Date: 1 -1121110
Introduced:
1/26110
Public Hearing:
Adopted:
Effective:
Ordinance No:
COUNTY COUNCIL FOR MONTGOMERY COUNTY, MARYLAND
SITTING AS THE DISTRICT COUNCIL FOR THAT PORTION OF
THE MARYLAND-WASHINGTON REGIONAL DISTRICT WITHIN
MONTGOMERY COUNTY, MARYLAND
By: Planning, Housing, and Economic Development Committee
AN
AMENDMENT
to the Montgomery County Zoning Ordinance for the purpose of:
defining the term "workforce housing unit";
requiring any residential development at or above a certain density, located in a metro
station policy area, to include a certain percentage of workforce housing units; and
generally providing standards for the development of workforce housing units.
By amending the following sections ofthe Montgomery County Zoning Ordinance, Chapter 59
of the Montgomery County Code:
DIVISION 59-A-6
"USES PERMITTED IN MORE THAN ONE CLASS OF ZONE"
"Workforce Housing"
Section 59-A-6.18
"RESIDENTIAL ZONES, MULTIPLE-FAMIL Y"
DIVISION 59-C-2
Section 59-C-2.4
"Development standards"
Section 59-C-2.418. "Maximum Density of Development (Dwelling Units per Acre of
Net Lot Area)"
Section 59-C-2.442 "General provisions"
"COMMERCIAL ZONES"
DIVISION 59-C-4
Section 59-C-4.357 "C-2 zone-purpose and development standards"
"CENTRAL BUSINESS DISTRICT ZONES"
DIVISION 59-C-6
Section 59-C-6.215 "Method of development and approval procedures"
"Development standards"
Section 59-C-6.23
"PLANNED UNIT DEVELOPMENT ZONES"
DIVISION 59-C-7
"Density of residential development"
Section 59-C-7.14
"TRANSIT STATION DEVELOPMENT AREA ZONES"
DIVISION 59-C-8
"Development standards"
Section 59-C-8.4
DIVISION 59-C-13 "TRANSIT ORIENTED, MIXED-USE ZONES (TOMX)"
Section 59-C-13 .215 "Methods of development and approval procedures"
DIVISION 59-C-14 "TRANSIT MIXED-USE (TMX) ZONE"
Section 59-C-14.213 "General Requirements"
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Section 59-C-14.27
"Special regulations for use of a Building Lot Termination (BL T)
Development Right"
"DEVELOPMENT PLAN"
"Approval by district council"
DIVISION 59-D-I
Section 59-D-l.6
EXPlANATION: Boldface
indicates a Heading or a defined term.
Underlining indicates text that is added to existing law by the original text amendment.
[Single boldface brackets} indicate that text is deletedfrom existing law by original text
amendment.
Double underlining indicates text that is added to the text amendment by amendment.
IIDouble boldface bracketsJJ indicate text that is deletedfrom the text amendment by
amendment.
* * *
indicates existing law unaffected by the text amendment.
ORDINANCE
The County Council for Montgomery County, Maryland, sitting as the District Council for that portion
ofthe Maryland-Washington Regional District in Montgomery County, Maryland, approves the
following ordinance:
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Zonmg Text Amendment No. 10-01
1
Sec. 1. DIVISION 59-A-6 is amended as follows:
DIVISION 59-A-6.
ZONE.
USES PERMITTED IN MORE THAN ONE CLASS OF
2
3
4
*
*
*
5
6
7
59-A-6.18. Workforce housing.
59-A-6.18.1. Generally.
The workforce housing program complements the Moderately Priced Dwelling Unit
[(MPDUs)] MPDU Program, the Productivity Housing Program, and other County
programs designed to promote affordable housing. Under Chapter 25B, a developer
[must] may build the number of workforce housing units [required] allowed in any zone
under this Chapter. All workforce housing units must be constructed on the site that uses
the FAR and building height flexibility under this Section.
8
9
10
11
12
13
59-A-6.18.2. [Requirements] Allowances.
(a)
Any subdivision that would contain 35 or more market dwelling units, and that
would be located in a zone with a maximum permitted residential density at or
above 40 dwelling units per acre and in a Metro Station Policy Area, [must] may
include [an amount]
f!:
number of workforce housing units that is not less than at
least 10 percent of the total number of proposed market dwelling units, not
including any MPDUs or resulting bonus density units, or dwelling units excluded
under Chapter
25B.
14
15
16
17
18
19
20
21
(b)
A site plan is required under Division 59-D-3 for any project that includes a
workforce housing unit.
22
23
24
(c)
To allow the construction of [all] workforce housing units on site, the Planning
Board must permit:
(1) any residential density or residential FAR limit of the applicable zone to be
exceeded to the extent required for the number of workforce housing units
that are constructed, but not by more than 10 percent of the total FAR or
number of dwelling units;
25
26
27
28
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ZOlllug
Text Amendment No. 10-01
29
30
31
(2)
any residential density or residential FAR limit established in a master or
sector plan to be exceeded to the extent required for the number of
workforce housing units that are constructed, but not to more than the
maximum density and FAR of the zone, except as provided in paragraph
(1)[,]
~
and
32
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34
(3)
any building height limit established in a master or sector plan to be
exceeded to the extent required for the number of workforce housing units
that are constructed, but not to more than the maximum height of the zone.
35
36
37
38
39
*
*
*
Sec. 2. DIVISION 59-C-2 is amended as follows:
DIVISION 59-C-2. RESIDENTIAL ZONES, MULTIPLE-FAMILY.
40
41
42
43
*
*
*
Development standards.
59-C-2.4.
59-C-2.41. Standard method of development.
*
i
*
*
R-30
R-20
21.7
I
R-l0
43.5
3
R-H
3
I
59-C-2.41S. Maximum Density of Development (Dwelling Units
per Acre of Net Lot Area):_
i
14.5
* * *
44
I
45
46
3
Workforce housing units [must] may be provided [as required by] under Section
59-A-6.18 and Chapter 25B.
47
48
49
50
51
52
53
54
*
*
*
Special regulations for optional method development using transferable
development rights.
59-C-2.44
*
*
(d)
*
*
*
59-C-2.442. General provisions.
*
A property developed with development rights must include Moderately Priced
Dwelling Units (MPDUs) [as required by] under Chapter 25A and may include
\1)
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ZomHg
Text Amendment
No.
10-01
55
56
workforce housing units [as required by] under Section 59-A-6.l8 and Chapter
25B. The number ofMPDUs and any resulting bonus density must be calculated
after the base density of a property has been increased by a transfer of development
rights. The calculation of the number of workforce housing units must be based on
the total number of market dwelling units in the development.1 including any
transfer of development rights[,] but not counting any MPDUs or resulting bonus
density units. The MPDU density bonus does not require the acquisition of
additional development rights.
57
58
59
60
61
62
63
*
*
*
COMMERCIAL ZONES.
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65
Sec. 3. Division 59-C-4 is amended as follows:
DIVISION 59-C-4.
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*
*
*
Sec. 59-C-4.357. C-2 zone-purpose and development standards.
Residential development in the C-2 zone under Section 59-C-4.35l(b) must include
Moderately Priced Dwelling Units (MPDUs) as required by Chapter 25A and may
include workforce housing units [as required by] under Section 59-A-6.18 and Chapter
25B.
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72
*
*
*
CENTRAL BUSINESS DISTRICT ZONES.
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Sec. 4. DIVISION 59-C-6 is amended as follows:
DIVISION 59-C-6.
*
*
*
*
*
Provisions of CBD zones.
59-C-6.2.
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*
59-C-6.215. Methods of development and approval procedures.
Two methods of
development are possible in each of these zones.
(a)
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Standard method of development.
The standard method requires compliance
with a specific set of development standards and permits a range of uses and a
density compatible with these standards. If residential uses are included in a
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Text Amendment No. 10-01
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development, Moderately Priced Dwelling Units (MPDUs) must be provided as
required by Chapter 25A and workforce housing units [must] may be provided [as
required by] under Section 59-A-6.18 and Chapter 25B. The maximum dwelling
unit density or residential FAR may be increased in proportion to any MPDU
density bonus provided. on-site and under Section 59-A-6.18.2.
(b)
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Optional method.
Under the optional method, greater densities may be permitted
and there are fewer specific standards, but the developer must provide certain
public facilities and amenities. The presence of these facilities and amenities is
intended to make possible the creation of an environment capable of supporting the
greater densities and intensities of development permitted. The Planning Board
may, under Division 59-D-2: (1) authorize a payment instead of all or some of the
required public facilities and amenities, or any required public use space; or (2)
permit any required public use space to be provided off-site on private or public
property in the same CBD. Ifresidential uses are included in a development,
Moderately Priced Dwelling Units must be provided under Chapter 25A and
[Workforce Housing Units must] workforce housing units may be provided under
Section 59-A-6.18 and Chapter 25B. The maximum dwelling unit density or
residential FAR may be increased in proportion to any MPDU density bonus
provided on-site and under Section 59-A-6.18.2. The procedure for approval of an
optional method project is specified in Division 59-D-2, and the procedure for
approval of a site plan is specified in Division 59-D-3.
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*
*
*
*
*
*
59-C-6.23. Development standards.
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ZOlllllg
Text Amendment No. 10-01
CBD-O.5
CBD-R12
CBD-l
CBD-2
S
59-C-6.233.
Minimum
0
S
0
S
0
S
0
~BD-~
* * *
Public
Space
Use
(percent of net lot
area):
10
20
10
20
16
10
20
20,22
10
20
22
to
20
22
10
20
(a) Standard Method
The public use
space requirement
may be reduced to
accommodate the
construction of
MPDUs, including
any resulting bonus
density units, and
workforce housing
units, provided on-
site to:
5
5
5
5
5
5
* * *
59-C-6.235.
Maximum Building
Heights (in feet).
(b) Optional method
of development.
-Normally:
-If approved by
the Planning Board
in the process of site
plan or combined
renewal
urban
project plan approval
as not adversely
affecting
surrounding
properties,
height
may be increased to:
* * *
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60
60
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143
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1
200
200
.
.
usmg the optlOnal method of development, the Plannmg Board may
.
F or projects
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12
143
90
1
200
11
approve height over 90 feet, but not more than 143 feet, if the additional height is
necessary for the project to [comply with the] accommodate workforce housing
[requirements of] under Section 59-A-6.18; however, the additional height must
not be more than required for the number of workforce housing units that are
constructed. For projects using the optional method of development involving
more than one lot under Section 59-C-6.2351, the Planning Board may approve
'0
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height over 90 feet, but not more than 143 feet, if the additional height is
specifically recommended for the property in the applicable sector plan or urban
renewal plan. In order to approve additional height for property where the
additional height is specifically recommended for the property in a sector plan or
urban renewal plan, the Planning Board must find that: [(1) The]
ill
the additional
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height is consistent with the criteria and guidelines for the property as contained in
the applicable sector plan or urban renewal plan; [(2) Except] (ii) except as
recommended in an urban renewal plan!L the portion of the property upon which the
additional height is to be used is on all sides abutted by or adjacent to property
recommended in the applicable sector plan or urban renewal plan for classification
in the CBD-0.5, CBD-I, CBD-2, or CBD-3 zones; [(3) The] (iii) the proposed
development is compatible with the surrounding development, considering but not
limited to the relationship of the building or buildings to the surrounding uses, the
need to preserve light and air for the residents of the development and residents of
surrounding properties, and any other factors relevant to the height of the building;
and [(4) The] (iv) the proposed development will produce a substantial amount of
consolidated public open space in excess of that which would be required if this
process were not used. The public open space must be designated as public
amenity space and be accessible to and usable by the public in accordance with the
applicable sector or master plan, or urban renewal plan.
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*
11
*
*
Under the optional method of development process, the Planning Board may
approve height over 143 feet, but not more than 200 feet, i( (i) the additional
height is necessary for the project to [comply with the] accommodate workforce
housing [requirements of] under Section 59-A-6.18[;]!L however, the additional
height must not be more than required for the number of workforce housing units
that are constructed[,]; or
(ii)
the additional height is specifically recommended for
the property in the applicable sector plan or urban renewal plan!L or the property is
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within a revitalization area designated in the applicable sector plan and is located
fully or partially within 800 feet of an entrance to a metro station. In order to
approve additional height for property recommended in a sector plan or urban
renewal plan or within a designated revitalization area, the Planning Board must
find that: [(1) The]
ill
the additional height is consistent with the criteria and
guidelines for the property as contained in the applicable sector plan or an urban
renewal plan approved by the County Council under Chapter 56, or in the case of a
site outside an urban renewal area, accomplishing the objectives of incorporating
residential development with commercial development in a mixed use project in
close proximity to a metro station otherwise unobtainable due to site conditions,
proximity of adjacent non-residential buildings, or other physical constraints
[which] that prevent the achievement of sector plan objectives; [(2) The]
(ill
the
proposed development is compatible with the surroundip.g development,
considering but not limited to the relationship of the building or buildings to the
surrounding uses, the need to preserve light and air for the residents of the
development and residents of surrounding properties, and any other factors
relevant to the height of the building; and [(3) The] (iii) the proposed development
will provide additional public facilities and amenities beyond what could otherwise
have been provided if the excess height were not approved. Such facilities must be
accessible to and usable by the public in accordance with the applicable sector or
master plan or urban renewal plan.
The Planning Board may approve height over 60 feet, but not more than 90 feet, if:
(i)
[if]
the additional height is consistent with an applicable sector plan or an
approved urban renewal plan; or (ii) the additional height is needed to [comply
with the] accommodate workforce housing [requirement of] under Section 59-A­
6.18; however, the additional height must not be more than required for the number
of workforce housing units that are constructed.
*
*
*
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Sec. 5. DIVISION 59-C-7 is amended as follows:
DIVISION 59-C-7. PLANNED UNIT DEVELOPMENT ZONES.
*
*
*
*
*
P-D zone-Planned development zone.
59-C-7.1.
*
59-C-7.14. Density of residential development.
*
(c)
*
*
The density of development is based on the area shown for residential use on the
master plan and must not exceed the density permitted by the density category
granted. However, the maximum density allowed under subsection (a) may be
increased to accommodate the construction of Moderately Priced Dwelling [units]
Units and workforce housing units as follows:
(1)
For projects with a residential density of less than 28 dwelling units per acre,
the number of Moderately Priced Dwelling Units must not be less than either
the number of [density] bonus density units or 12.5 percent of the total
number of dwelling units, whichever is greater.
(2)
For projects with a residential density of more than 28 dwelling units per
acre, the number of Moderately Priced Dwelling Units must be at least 12.5
percent of the total number of dwelling units [in accordance with] under
Chapter 25A.
(3)
Any project with a residential density at or above 40 dwelling units per acre
[must] may provide workforce housing units [as required by] under Section
59-A-6.18 and Chapter 25B.
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*
*
*
Sec. 6. DIVISION 59-C-S is amended as follows:
DIVISION 59-C-S. TRANSIT STATION DEVELOPMENT AREA ZONES.
*
*
*
Development standards.
59-C-S.4.
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Zomng Text Amendment No. 10-01
TS-R
59-C-S.42. Density of Development.
The density of development must not exceed any of the following:
TS-M
* * *
(c) The density of development must not exceed the FAR or the dwelling units per
acre allowed by the zone, except that the maximum density permitted may be
increased to accommodate the construction of moderately priced dwelling units as
required by Chapter 25A and the construction of workforce housing units [as
required by1 under Section 59-A-6.l8 and Chapter 25B. The maximum number of
dwelling units or residential FAR may be increased as needed for any MPDU
density bonus and any workforce housing units provided on-site. The provision of
MPDUs or workforce housing units does not authorize a reduction in any public
facility and amenity or active or passive recreation space recommended in a master
plan or sector plan.
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*
*
*
Sec. 7. Division 59-C-IO is amended as follows:
DIVISION 59-C-IO. RMX ZONES -RESIDENTIAL MIXED:USE
DEVELOPMENT
*
(a)
*
*
Maximum Residential Density.
59-CIO.3.7.
The maximum residential density in an RMX zone must not exceed 30 dwelling
units per acre for residential areas shown on the project plan. The density
approved by the Planning Board must not exceed the density shown on the
approved and adopted master
plan~
which must be no greater than the density
permitted by the RMX zone. Where residential development is proposed to be
located within a proposed commercial area, the maximum residential density for
such areas must not exceed 40 dwelling units per acre. Any residential
development must include Moderately Priced Dwelling units (MPDUs) as required
by Chapter 25A and may include workforce housing units [as required by] under
Section 59-A-6.18 and Chapter 25B.
*
(c)
*
*
The density of residential development must comply with the density
recommended on the approved and adopted master plan; however, the number of
residential dwellings must be increased to accommodate the construction of
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Zomng Text Amendment No. 10-01
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Moderately Priced Dwelling [units] Units (MPDUs) as required by Chapter 25A
and the construction of workforce housing units [as required by] under Section 59­
A-6.18 and Chapter 25B.
*
*
*
Sec. 8. Division
59-C-13
is amended as follows:
DIVISION
59-C-13.
TRANSIT ORIENTED, MIXED-USE ZONES (TOMX).
*
*
*
59-C-13.2.
Provisions of the Transit Oriented, Mixed-Use Zones.
59-C-13.21.
Description, purpose, intent and general requirements.
*
*
(b)
*
*
*
*
59-C-13.215.
Methods of development and approval procedures.
Optional Method of Development:
The Optional Method of Development
promotes additional densities[,] and supports innovative design and building
technologies to create a pedestrian-oriented and mixed-use development pattern.
Approval of the Optional Method of Development is dependent on providing
required public amenities and facilities. The public facilities and amenities are
intended to support the additional densities permitted under the Optional Method of
Development. The procedure for the approval of the Optional Method of
Development
is
set forth in Section 59-D-2. Site plans must be approved in
accordance with Section 59-D-3. If residential uses are included in a development,
Moderately Priced Dwelling Units must be provided as required by Chapter 25A
1
and workforce housing units [must) may be provided [as required by) under Section
59-A-6.18 and Chapter 25B. The maximum dwelling unit density or residential
FAR may be increased in proportion to any MPDU density bonus provided on-site.
*
*
*
Sec.
9.
Division
59-C-14
is amended as follows:
DIVISION
59-C-14[,]:
TRANSIT MIXED-USE (TMX) ZONE
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Zonmg Text Amendment No. 10-01
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*
*
(b)
*
*
*
59-C-14.213. General requirements.
*
MPDUs and workforce housing.
If residential uses are included in a
development, Moderately Priced Dwelling Units must be provided under Chapter
25A, and workforce housing units [must] may be provided under Section 59-A­
6.18 and Chapter 25B. The maximum residential FAR may be increased in
proportion to any MPDU [density] bonus density [and workforce]. Workforce
housing units [provided on-site] may increase the maximum residential FAR under
Section 59-A-6.18.2. Site plan review under [section] Section 59-D-3 is required.
*
*
*
59-C-14.27. Special regulations for use of a Building Lot Termination (BLT)
Development Right.
[Except for residential development subject to the requirement of workforce housing
under Section 59-A-6.18, the] The approval of an application for any gross floor area in
an optional method of development project must be subject to the following
requirements:
*
*
*
Sec. 10. Division 59-D-1 is amended as follows:
Sec. 59-D-1.6. Approval by [district council] District Council.
59-D-1.61. Findings.
Before approving an application for classification in any of these zones, the District
Council must consider whether the application, including the development plan, fulfills
the purposes and requirements in Article 59-C for the zone. In so doing, the District
Council must make the following specific findings, in addition to any other findings
which may be necessary and appropriate to evaluate the proposed reclassification:
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(a)
The proposed development plan substantially complies with the use and density
indicated by the master plan or sector plan, and does not conflict with the general
plan, the county capital improvements program, or other applicable county plans
and policies. However:
*
*
(2)
*
To permit the construction of
[all]
workforce housing units [required] under
§
59-A-6.18 and Chapter 25B on site, the District Council may permit:
(A)
any residential density or residential FAR limit of the applicable zone
to be exceeded to the extent required for the number of workforce
housing units that are constructed, but not by more than 10 percent.
(B)
any residential density or residential FAR limit recommended in a
master or sector plan to be exceeded to the extent required for the
number of workforce housing units that are constructed, but not to
more than the maximum density and FAR of the zone, except as
provided in paragraph (1); and
(C)
any building height limit recommended in a master or sector plan to
be exceeded to the extent required for the number of workforce
housing units that are constructed, but not to more than the maximum
height of the zone.
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*
*
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Sec. 11. Effective date.
This ordinance becomes effective 20 days after the date
of Council adoption.
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This is a correct copy of Council action.
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303
Linda M. Lauer, Clerk of the Council
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Bill No.
4-10
Concerning: Workforce
Housing
Voluntary
Revised: 1-29-10
Draft No. _2_
Introduced:
February 2, 2010
Expires:
August 2, 2011
Enacted: _ _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ __
Effective: _ _ _ _ _ _ _ __
Sunset Date: ......
No..:.;o::.:.n=e_~
_ _ __
Ch. _ _, Laws of Mont. Co. _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Planning, Housing, and Economic Development Committee
AN
ACT to:
(1) modify the requirement for workforce housing to make the provision of
workforce housing voluntary; and
(2) generally amend the law governing the workforce housing program.
By amending
Montgomery County Code
Chapter 25A, Housing, Moderately Priced
Section 25A-5
Chapter 25B, Housing Policy
Sections 25B-23 through 25B-28
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface bracketsD
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County} Maryland approves the following Act:
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BILL
No.
4-10
1
2
Sec. 1. Section 25A-5 is amended as follows:
25A-5.
Requirement to build [MPDU's] MPDUs; agreements.
3
*
(c)
bonus is allowed; and
(1)
(2)
(3)
*
*
4
5
When the development at one location is in a zone where a density
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11
is covered by a plan of subdivision,
is covered by a plan of development or a site plan, or
requires a building permit to be issued for construction,
the required number of moderately priced dwelling units is a variable
percentage that is not less than 12.5 percent of the total number of
dwelling units at that location, not counting any workforce housing
units [required) built under Chapter 25B.*
*
*
12
13
Sec. 2. Sections 25B-23 through 25B-28 are amended as follows:
25B-23.
Definitions.
14
15
16
In this Article, the following words have the following meanings:
*
* *
17
18
19
20
21
22
0)
Workforce housing project
means a housing or mixed:use project where
[at least 10 percent of the] dwelling units[, as computed under Section
25B-24(e),] are sold or rented to households with incomes at or below
120% of the area-wide median income.
*
25B-24.
Workforce housing program.
* *
*
*
23
*
(d)
24
25
[Requirement] Option.
A developer of any subdivision with 35 or more
market-rate dwelling units at one location, as defined in Section 25A­
3(b), [must build the number of] may build workforce housing units [, if
any,] that are expressly [required] allowed in the applicable zone under
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BILL
No.4-10
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Chapter 59.
(e)
Exclusions.
In calculating the number of dwelling units in any
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subdivision to determine the number of workforce housing units
[required] built under this Article, the Department must not count:
(1)
any moderately priced dwelling units (MPDUs) and any resulting
bonus density market-rate units;
(2)
any Personal Living Quarters unit built under Section 59-A-6.15,
which meets the price or rent eligibility standards for a
moderately priced dwelling unit under Chapter 25A;
(3)
any dwelling unit in an Opportunity Housing Project built under
Sections 56-28 through 56-32, which meets the price or rent
eligibility standards for a moderately priced dwelling unit under
Chapter 25A; and
(4)
any other dwelling unit built under a government regulation or
binding agreement that limits for at least 15 years the price or rent
Qharged for the unit in order to make the unit affordable to
households earning less than 60% of the area median income,
adjusted for family size.
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[(t)
Exemption.
If the total number of units in a subdivision that are not
counted under subsection (e)(4) is sufficient to qualify the entire
subdivision to receive federal low-income housing tax credits, then no
workforce housing units are required in that subdivision.]
[(g)]
ill
Regulations.
The County Executive must adopt regulations
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under method (1) to administer this program. These regulations:
(1)
must set maximum sale prices and annual rent limits, sale price
and rent ranges (which must promote a variety of different prices
or rents at each workforce housing location), minimum unit type
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BILL No. 4-10
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25B-25.
and bedroom requirements, and income eligibility standards;
(2)
must govern notice to the Department of sales and rentals,
foreclosures, and other relevant procedural matters; and
(3)
should, wherever possible, be similar to or at least consistent with
the regulations that govern the MPDU program.
The regulations governing eligibility must include some preference for
applicants who either reside in the County or work or have received a
job offer in the County.
*
(a)
Agreement.
*
*
Execution of agreement; building permit issuance.
(1)
After the developer of a housing project has obtained approval
from the Planning Board of a site plan that includes the number
of workforce housing units [required] approved under any
applicable provision of Chapter 59 and all other necessary
regulatory approvals, the Director and the developer must execute
an agreement assuring compliance with this Article by the
developer and any successor in interest. The Director must attach
a copy ofthe approved site plan to this agreement.
(2)
The agreement must incorporate a staging plan for the
construction of workforce housing units, the mix of dwelling unit
sizes and types, and the maximum selling price or annual rent for
each unit. The staging plan must require all workforce housing
units to be built before or at the same time as the other dwelling
units. Where appropriate, the agreement must reflect conditions
required as part of other regulatory approvals.
(3)
The agreement must require that the number of efficiency and
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BILL
No.
4-10
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one- bedroom workforce housing units each must not exceed the
ratio that market-rate
efficiency and one-bedroom
units
respectively bear to the total number of market-rate units in the
subdivision. The Director must not approve an agreement that
reduces the number of bedrooms required by this subsection in
any workforce housing unit.
(b)
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Issuance of building permit.
The Director of Permitting Services must
not issue a building permit for any development where workforce
housing units are [required] approved under Chapter 59 until the
agreement required by subsection (a) is executed. After an agreement is
executed under subsection (a), the Director must certify to the Director
of Permitting Services before a building permit is issued that all
applicable requirements of this Article have been met. If all workforce
housing units are not built before or at the same time as other dwelling
units as required in the staging plan, the Director of Permitting Services
may:
(1)
withhold any later building permit for any part of the same
development until all workforce housing units designated in the
staging plan are built;
(2)
issue a stop work order, effective until all workforce housing
units designated in the staging plan are built; or
(3)
withhold any use and occupancy permit for other units in the
development until all workforce housing units designated in the
staging plan are built.
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[25B-26.
Alternative location agreement.]
[(a)
The Director may approve a workforce housing agreement, in addition
to the agreement required by Section 25B-25, that allows an applicant,
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BILL No. 4-10
109
instead of building some or all of the required number of workforce
housing units on-site, to provide at least the same number of units at
another location in the same planning policy area (as defined in the
County Growth Policy), only if the Director finds that:
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(l)
either:
(A)
the public benefit of locating at the proposed alternative
location is equivalent to the value of locating workforce
housing units in each applicable development; or
(B)
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building a sufficient number of workforce housing units at
the original site would require the applicant to change the
type of building construction used; and
(2)
building the workforce housing units at the proposed alternative
location will further the objective of providing a broad range of
housing opportunities throughout the County.
(b)
To satisfy the requirements of this Section, an applicant may:
(I)
build, or convert from non-residential use, the required number of
new workforce housing units at a site approved by the Director;
or
(2)
return to workforce housing unit use, and rehabilitate as
necessary, existing workforce housing units for which price
controls have expired.
(c)
Each agreement under this Section must include a schedule, binding on
the applicant, for timely completion or acquisition of the required
number of workforce housing units. Each agreement under this Section
must also require that each workforce housing unit provided at an
alternative location under this Section must be identical in type of unit
and number of bedrooms to the workforce housing units that the
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BILL
No. 4-10
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[
(c)
applicant would have built on site.]
[25B-27] 25B-26. Control of sale prices; rent limits; income eligibility;
foreclosures.
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[25B-28] 25B-27. Compliance.
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Sec. 3. Expiration.
Subsection (c) of Section 3 of Chapter 23, Laws of Montgomery County, 2006
is hereby repealed:
Sec. 3. Effective date; Applicability; Expiration.
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Article V of Chapter 25B, as inserted by Section 1 of this Act, does not
apply to any development for which an application for a local map
amendment, development plan, project plan, site plan, or preliminary
plan of subdivision is filed after December 1, 2014.]
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Approved:
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Nancy Floreen, President, County Council
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Date
Approved:
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Isiah Leggett, County Executive
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Date
This is a correct copy o/Council action.
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Linda M. Lauer, Clerk of the Council
Date
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