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<br />which may be viewed as an impediment and will create more pressure on new <br />development to provide very low income housing. He feels that perhaps a modification <br />needs to be made to the IZO which may be too vague and flexible. He feels it is <br />irresponsible to place a burden on developers to put a low income household into an <br />ownership unit that they cannot afford. <br /> <br />Steven Bocian commented that the City has not historically taken the position that <br />ownership units should be priced for very low income households. The sales prices that <br />have been established for below-market priced units have been set to be consistent with <br />what households at the applicable income level can reasonably afford. In the case of the <br />Bernal homes, for example, the City negotiated for several months with Greenbriar on the <br />sales price of the homes because Greenbriar felt buyers are used to debt to income ratios <br />that are higher than typically recommended in mortgage programs. The City's position <br />was to create a wider window or buffer by reducing the sales price. Mr. Bocian <br />commented that the City's track record has been to try and get an appropriate balance <br />between the target income and the sales price. <br /> <br />Chairperson Harris stated that the way the ordinance is written leaves it up to the <br />provisions in the IZO. He asked if the future City Council changes to the IZO would <br />change the related provisions for condo conversions. <br /> <br />Steven Bocian stated that he does not think the Council would approve a plan requiring <br />the sale of these units to very low income households. He also stated that the conversion <br />is subject to the IZO and so all the incentives and alternatives in the IZO would apply to <br />condo conversions. <br /> <br />The Commission discussed likely scenarios for affordable mixes in future condo <br />conversions. <br /> <br />Commissioner Stark expressed concern that the discouragement of condo conversions <br />will impede the development of new affordable rental development. <br /> <br />The Commission discussed the issue of whether existing apartments with condo maps are <br />subject to "conversion." <br /> <br />Chairperson Harris called for the question. Motion passed 4-1 (Stark opposed). <br /> <br />Mr. Bocian stated that staff will incorporate the changes and will send the final draft out <br />to the Commissioners via e-mail for any final comments prior to forwarding a <br />recommendation to the City Council. <br /> <br />Page - 7 - <br />