CITY COUNCIL REGULAR MEETING AGENDA PACKET

Page 7 of 8 Related Amendments to PMC Chapters 17.40, 18.38, and Objective Design Standards In addition to the various amendments to Chapter 17.44, various amendments are proposed to other chapters of the PMC and to the 2023 Objective Design Standards to align with the IZO amendments and to make other limited updates to align with State law. In summary, these include: Chapter 17.40 – Affordable Housing Fee Minor revisions have been made to this chapter, including: • Clarification of the purposes for which affordable housing funds may be used, to include affordable housing programs as well as construction of affordable housing units. • Modernizing/update terminology (e.g., referencing facilities for religious purposes as being exempt from the affordable housing fee) and/or align it to existing regulations (e.g., adding a reference to Junior ADUs, as well as ADUs as being exempt from the affordable housing fee.) Since the Planning Commission review, an additional update has been made to definitions of Lower- and Moderate-Income Housing Units, to align them with the definitions used in the IZO. • Amending the method by which annual increases to the fee are made to be indexed to the Construction Cost Index (CCI), rather than the Consumer Price Index (CPI), since provision of affordable/inclusionary housing is a construction-related cost. • Deletion of references to annual reporting and other requirements pursuant to AB1600 (Mitigation Fee Act) since the affordable housing fee is not considered an impact fee subject to AB1600. Chapter 18.38 – Housing Opportunity Zone District As part of implementation of the 2023-2031 (6th Cycle) Housing Element, the City rezoned sites and created the Housing Opportunity Zone District. Since the IZO was pending update, some more detailed standards for inclusionary housing were included in this chapter. Because those provisions would be redundant with the updated IZO, this chapter of the PMC would be amended to delete them. Objective Design Standards for Housing Element Sites Similar to Chapter 18.38, the ODS were adopted prior to this update of the IZO, and so detailed standards were included in the ODS for required affordable housing units. Similarly, those standards are proposed to be deleted from the ODS, and instead the ODS would defer to the IZO for affordable housing requirements. EQUITY AND SUSTAINABILITY Adopting the updated Inclusionary Zoning Ordinance and related PMC amendments helps to advance equity and sustainability goals, by improving and strengthening the ordinance and its implementing procedures to encourage the maximum production of affordable housing units, and ensure that the housing needs of Pleasanton's lower-income households are met. OUTREACH Notice of this meeting was placed in The Valley Times, and interested parties requesting notification were also sent notices. Following this meeting and with direction from City Council, Page 93 of 658