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Page 1 of 8 <br />Item #17 <br />CITY COUNCIL AGENDA REPORT <br />October 15, 2024 <br />Community Development <br />TITLE: RECEIVE A PRESENTATION AND PROVIDE INPUT ON DRAFT AMENDMENTS <br />TO PLEASANTON MUNICIPAL CODE (PMC) CHAPTER 17.44 - INCLUSIONARY <br />ZONING AMENDMENTS AND RELATED AMENDMENTS TO PMC CHAPTER <br />17.40 - AFFORDABLE HOUSING FEE, CHAPTER 18.38 - HOUSING <br />OPPORTUNITY ZONE DISTRICT, AND THE OBJECTIVE DESIGN STANDARDS <br />FOR HOUSING ELEMENT SITES <br />SUMMARY <br />This study session is to present draft revisions to the Inclusionary Zoning Ordinance (IZO), <br />Chapter 17.44 of the Pleasanton Municipal Code, and related chapters of the Municipal Code <br />(PMC 17.40, 18.48), and the Objective Design Standards for Housing Element Sites, for initial <br />City Council review and input. The draft revisions reflect input from the two study sessions held <br />with City Council in May and August 2024, and the recommendation of the Planning <br />Commission for adoption of the amendments, which was provided on September 11, 2024. In <br />addition to updating the IZO with respect to the inclusionary rate, and target affordability levels, <br />the amendments provide much greater specificity and increased objectivity related to design <br />and development standards for inclusionary units, and also clarify and improve the procedures, <br />findings and requirements for projects seeking approval of alternative means to comply with <br />the IZO. Following City Council's input and direction, the various PMC and ODS amendments <br />would be presented to the City Council for adoption in November. Also in November, staff will <br />provide an update and introduction to the Draft Nexus Fee studies, including the Affordable <br />Housing In-Lieu Fee, for City Council review and input. <br />RECOMMENDATION <br />Receive a presentation and provide input on Draft Amendments to Pleasanton Municipal Code <br />(PMC) Chapter 17.44 - Inclusionary Zoning Amendments and Related Amendments to PMC <br />Chapter 17.40 - Affordable Housing Fee, Chapter 18.38 - Housing Opportunity Zone District, <br />and the Objective Design Standards for Housing Element Sites. <br />BACKGROUND <br />Since early 2024, City staff and a professional services team led by Economic & Planning <br />Systems (EPS) have undertaken work to update the City’s Development Impact Fees and <br />Affordable Housing Fees, and to update the existing Inclusionary Zoning Ordinance (IZO). <br />The process to update the City's Affordable Housing fee has to date been conducted in <br />tandem with discussion of potential changes to the IZO. In particular, these discussions have <br />focused on the inclusionary rate reflected in the IZO (i.e., the proportion of affordable units <br />required as part of market-rate projects), and the required minimum affordability levels for <br />inclusionary units, since those factors influence the recommended affordable housing fee <br />amount. Amendments are also proposed to PMC Chapter 17.40 - Affordable Housing Fee, <br />Chapter 18.38 – Housing Opportunity Zone District, and the Objective Design Standards for <br />ATTACHMENT 3 <br />Page 87 of 658