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2019/11/26 City Council Ordinance 937ORDINANCE NO. 937 AN ORDINANCE OF THE CITY OF'ROHNERT PARK, CALIF'ORNIA APPROVING A FOURTH AMENDMENT TO THE DEVELOPMENT AGREEMENT BY AND AMONG THE CITY OF ROHNERT PARK AND PENN GROVE MOUNTAIN LLC REGARDING THE SOUTHEAST SPECIFIC PLAN AREA WHEREAS, Government Code $ 65864, et seq., authorizes the City of Rohnert Park to enter into development agreements which will provide certainty, definition and commitment to developers as well as to necessary public improvements required by development; and WHEREAS, the City and the applicant entered into that certain "Development Agreement by and among the City of Rohnert Park and Redwood Equities, LLC," recorded as Document No. 2010114199 in the Official Records of Sonoma County on December 15, 2010 (the "Development Agreement") regarding development of the Southeast Specific Plan Area ("SESP"); and WHEREAS, in 2010, the City Council reviewed and approved the Final EIR prepared for the project, including the Development Agreement, in accordance with CEQA; and the proposed amendments are consistent with the Final EIR; and WHEREAS, Government Code section 65868 provides that a development agreement may be amended by mutual consent of the parties to the agreement or their successors in interest; and WHEREAS, the City and Redwood Equities entered into that certain First Amendment to Development Agreement dated December 9,2014 and recorded on September 29,2015, as Instrument No. 2015085465 in the Official Records of Sonoma County to revise the specif,rcations for the water tank in Section 4.12(c) of the Development Agreement; and WHEREAS, on September 9, 2016, Redwood Equities and Penn Grove Mountain LLC, its successor in interest, entered into an Assignment and Assumption Agreement recorded in the Official Records of Sonoma County as Instrument No. 2017039425, whereby Redwood Equities assigned all rights and obligations of the Development Agreement to Penn Grove Mountain LLC and Penn Grove Mountain LLC assumed all rights and obligations of the Development Agreement;and WHEREAS, the City and Penn Grove Mountain LLC entered into that certain Second Amendment to Development Agreement dated February 28,2018, and recorded on February 28, 201 8, as Instrument No. 201 80 1 37 57 in the Official Records of Sonoma County to revise certain conditions of approval associated with the timing of construction of the water tank; and WHEREAS, the City and Penn Grove Mountain LLC entered into that certain Third Amendment to Development Agreement dated April 19, 2019 and recorded on May 20,2019, as Instrument No. 2019033687 in the Official Records of Sonoma County to eliminate the water tank from Parcel B, require the construction of a water transmission line, provide for the reconveyance of the water tank parcel to the developer at fair market value, and allow development of two lots on the water tank site; and WHEREAS, the applicant, Penn Grove Mountain LLC filed Planning Application to request an amendment to the Development Agreement (PLDA19-0005) which would redistribute the number of income-restricted units available at each income level for the 36-unit affordable housing apartment complex; and WHEREAS, Penn Grove Mountain LLC intends to pursue tax credits through the federal Low Income Housing Tax Credit (LIHTC) program in order to finance development of this project and LIHTC requires different levels of affordability than original outlined in Development Agreement; and WHEREAS, in order to meet the affordability requirements of LIHTC and ensure the on-site manager's unit remains affordable, Exhibit D (Affordable Housing Plan) of the Development Agreement, as amended, would distribute affordability of the 36 units as follows: six (6) available to households with 30%o area median income; frfteen (15) available to households with 50% area median income; fourteen (14) available to households with 80%o area median income; and one (1) available to households with 120o/o area median income (which would be reserved for the on-site manager); and WHEREAS, the Developer and City have negotiated the terms of a Fourth Amendment to Development Agreement to redistribute the number of income-restricted units available at each income level for the 36-unit affordable housing apartment complex confirm to fulfill the requirements of LIHTC and ensure affordability of the on-site manager's unit (the "Development Agreement Amendment"); and \ryHEREAS, on October 24,2019, the Planning Commission held a public hearing at which time interested persons had an opportunity to testify either in support or opposition to the Development Agreement Amendment; and \ilIIER-EAS, pursuant to California State Law and the RPMC, public hearing notices were mailed to all property owners within an area encompassing a three hundred foot radius of the subject property and a public hearing notice was published for a minimum of 10 days prior to the public hearing inthe Community Voice; and \ryHEREAS, on November 12, 20t9, the City Council held a public hearing at which time interested persons had an opportunity to testify either in support or opposition to the Fourth Amendment; and WIIEREAS, the City Council has reviewed and considered the information contained in the Fourth Amendment. NOW, THEREFORE, the City Council of the City of Rohnert Park does ordain as follows: SECTION 1. Findings. The City Council, in reviewing Planning Application No. PLDA19-0005 Development Agreement Amendment for Southeast Specific Plan, hereby makes the following findings pursuant to Government Code section 65867.5 and RPMC 17.21.040: l. The proposed Development Agreement Amendment was considered at a public hearing Ordinance 937 2 Criteria Satisfied. A duly noticed public hearing regarding the amended Development Agreement was held by the City Council on November 12,2079, in conformance with the notice provisions of Government Code $$ 65090 and 65091 and the requirements of the RPMC section 17 .21.030. 2. The provisions of the proposed Development Agreement Amendment are consistent with the general plan and any applicable specific plan Criteria Satisfied. The proposed Development Agreement Amendment is consistent with the General Plan and would direct the Project's development in an orderly manner that benefìts the City. The Southeast Specific Plan is required to provide 72 affordable units, 36 of which will be provided through an on-site apartment complex. The provisions of the Development Agreement Amendment would provide the same number of affordable housing units in the apartment complex, but would make more units available to individuals at30%o of area median income, and one unit at 120%o of area median income. This helps the City provide units according to the Regional Housing Needs Allocation (RHNA.) 3. The provisions of the proposed Fourth Development Agreement are consistent with Government Code 65867.5(C). Criteria Satisfied. The Development Agreement Amendment satisfies the requirements of Govemment Code 65867.5(C) that requires that a sufficient water supply be available for subdivisions which meet the definition of 'osubdivision" in Government Code 66473.7(a)(1) within the Project, as required by Government Code section 66473.7(bXl). The City prepared a Water Supply Assessment to examine the demands of new development and assess the City's supply sources to meet the demands. Based on the City's Water Supply Assessment, it was determined that sufficient sources exist to meet the demands of the City's general plan buildout using a combination of surface \ryater, groundwater and recycled water. The SESP is included in the City's General Plan and, therefore, the City's Water Supply Assessment accounts for increases in the population and use associated with the SESP development. Because the Project is consistent with the prior analysis and sufficient water supply is available for this project, no additional analysis is needed and the proposed Development Agreement Amendment satisfies the required of Government Code 65867.5(C). 4. Pursuant to RPMC Section 17.21.040, the City Council has considered other pending applications and approved projects; the trffic, parking, public service, visual, and other impacts of the proposed development project upon abutting properties and the surrounding area; ability of the applicant to fuffill public facílitiesfinancing plan obligations; the relatíonship of the project to the City's growth management program; the provisions included, tf any, for reservation, dedication, or improvement of landfor public purposes or accessible to the public; the type and magnitude of the project's economic fficts to the city of Ordinance 937 3 Rohnert Park, and of its contribution rf ony toward meeting the city's housing needs; and to any comparable, relevantfactor. Criteria Satisfied. The proposed modifications to the Development Agreement will contribute toward meeting the city's housing needs to allow for implementation of the Affordable Housing Plan. SECTION 2. Compliance with the California Environmental Quality Act. A. On Decemb er 7 , 2010, the City Council of the City of Rohnert Park certified the Final EIR for this Project, including adoption of associated CEQA Findings, Statement of Overriding Considerations, and the Mitigation Monitoring and Reporting Program, as described in City Council Resolution No. 2010-134. The proposed amendment will not result in additional environmental effects not previously evaluated in the EIR and is consistent with the analysis in the 2010 EIR, as the amendment only alters the affordability structure of the Affordable Housing Plan and does not affect the construction or aspects of the affordable apartment complex. No additional environmental review is necessary. B. Further, CEQA Guidelines section 15162 provides that oono subsequent EIR shall be prepared" for a project unless the lead agency determines that (1) oosubstantial changes are proposed in the project which will require major revisions of the previous EIR"; or (2) "substantial changes occur with respect to the circumstances under which the project is undertaken"; or (3) "new information of substantial importance ... shows" one or more signifìcant effects not discussed in the original EIR, greater severity to previously-identified substantial effects, or newly-found feasible mitigation measures that would substantially reduce significant effects. The proposed Development Agreement Amendment will not result in any changes to the proposed project not previously analyzed in the 2010 EIR and no new information of substantial importance shows any significant effects or newly found feasible mitigation measures that would substantially reduce significant effects. SECTION 3. Approval of Fourth Amendment. The City Council hereby approves the Fourth Amendment to the Development Agreement in substantially similar form as attached hereto and incorporated herein as Exhibit 1o with minor technical, non-substantive revisions as may be approved by the City Manager in consultation with the City Attorney. SECTION 4. Compliance with State Law. A. The City will act in accordance with the provisions of Government Code sections 65856 and 66006. B. In accordance with Government Code section 65868.5, no later than 10 days after the City enters into the Fourth Amendment, the City Clerk will record the Fourth Amendment with the County Recorder. C. In accordance with Government Code section 65865.1 and RPMC Section 17.21.050(A), the City will conduct an annual review of the Development Agreement, as amended, to ensure compliance with its terms. SECTION 5. Actions to Effectuate. The City Manager is hereby authorized and directed to provide written consent and certifications, execute documents and take other actions Ordinance 937 4 on behalf of City, which are not expressly and specifically reserved for the City Council, to implement and effectuate the terms of the Fourth Amendment. SECTION 6. Severability. The City Council hereby declares that every section, paragraph, sentence, clause and phrase ofthis ordinance is severable. If any section, paragraph, sentence, clause or phrase of this ordinance is for any reason found to be invalid or unconstitutional, such invalidity, or unconstitutionality shall not affect the validity or constitutionality of the remaining sections, paragraphs, sentences, clauses or phrases of this ordinance. SECTION 7. Effective Date. This ordinance shall be in full force and effective 30 days after its adoption, and shall be published and posted as required by law. This ordinance was introduced by the Council of the City of Rohnert Park on November 72,2019, and adopted on November 26,2019, by the following roll call vote: AYES : g.,r..cj I wu¡-b¿ ,r.s 6'åowr 5 , fn acJårn z e ,afo-ÇÇ"^ú , U't ccv'n\l { Cd't \ I 'n crør NOES: Mo".<- ABSENT: fvlcyo ç ûJì+.l¿ ABSTAIN: P ore- CITY OF RO PARK 6rz Gina Mayor ATTEST: 0" û- /î4 b, ^ o,,-n( t x Voon r. B,.r"rgl.r, Ci,t ðl*ùo APPR AS TO F'ORM: Rudin, Assistant City Attorney Ordinance 937 5 1 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Rohnert Park 130 Avram Avenue Rohnert Park, CA 94928 Attention: City Clerk (Space Above This Line for Recorder’s Use Only) Exempt from recording fee per Gov. Code § 27383 FOURTH AMENDMENT TO DEVELOPMENT AGREEMENT THIS FOURTH AMENDMENT TO DEVELOPMENT AGREEMENT (“Fourth Amendment”) is entered into as of ______________, 2019, by and among PENN GROVE MOUNTAIN, LLC, a California Limited Liability Company (“Developer”) and the CITY OF ROHNERT PARK, a California municipal corporation (“City”). City and Developer are sometimes referred to herein as a “Party ” and collectively as “Parties.” RECITALS A. The City of Rohnert Park and Redwood Equities, LLC, Developer’s predecessor- in-interest (“Redwood Equities”), entered into that certain Development Agreement, as of December 7, 2010, recorded on December 15, 2010, as Instrument No. 2010114199 in the Official Records of Sonoma County (“Original Development Agreement”), with respect to that certain real property described therein and in Exhibits A and B, attached hereto and incorporated herein by this reference (the “Property”). B. The City and Redwood Equities entered into that certain First Amendment to Development Agreement dated December 9, 2014, and recorded on September 29, 2015, as Instrument No. 2015085465 in the Official Records of Sonoma County, to, among other things, revise the specifications for the Water Tank (the “First Amendment”). C. On September 9, 2016, Redwood Equities and Developer entered into an Assignment and Assumption Agreement recorded in the Official Records of Sonoma County as Instrument No. 2017039425, whereby Redwood Equities assigned all rights and obligations of the Development Agreement to Developer, Penn Grove Mountain, LLC, and Developer assumed all rights and obligations of the Development Agreement. D. Thereafter, the City and Developer entered into that certain Second Amendment to Development Agreement dated February 28, 2018 and recorded on February 28, 2018, as Instrument No. 2018013757 in the Official Records of Sonoma County, to revise certain conditions associated with the timing of the construction of the Water Tank (the “Second Amendment”). The Original Development Agreement as amended by the First Amendment and the Second Amendment may be collectively referred to herein as the “Development Agreement.” E. The City and Penn Grove Mountain LLC entered into that certain Third Amendment to Development Agreement dated April 19, 2019 and recorded on May 20, 2019, as Instrument No. 2019033687 in the Official Records of Sonoma County to eliminate the water tank 2 from Parcel B, require the construction of a water transmission line, provide for the reconveyance of the water tank parcel to the developer at fair market value, and allow development of two lots on the water tank site (the “Third Amendment”). The Original Development Agreement as amended by the First Amendment, Second Amendment and the Third Amendment may be collectively referred to herein as the “Development Agreement.” F. Penn Grove Mountain LLC filed Planning Application to request an amendment to the Development Agreement (PLDA190005) which would redistribute the number of income- restricted units available at each income level for the 36-unit affordable housing apartment complex. H. Penn Grove Mountain LLC intends to pursue tax credits through the federal Low Income Housing Tax Credit (LIHTC) program in order to finance development of this project and LIHTC requires different levels of affordability than original outlined in Development Agreement. I. In order to meet the affordability requirements of LIHTC and ensure the on-site manager’s unit remains affordable, Exhibit D (Affordable Housing Plan) of the Development Agreement, as amended, would distribute affordability of the 36 units as follows: six (6) available to households with 30% area median income; fifteen (15) available to households with 50% area median income; fourteen (14) available to households with 80% area median income; and one (1) available to households with 120% area median income (which would be reserved for the on-site manager). J. The Parties now desire to enter into this Fourth Amendment to Development Agreement to redistribute the number of income-restricted units available at each income level for the 36-unit affordable housing apartment complex confirm to fulfill the requirements of LIHTC and ensure affordability of the on-site manager’s unit. AGREEMENT NOW, THEREFORE, in consideration of the promises, covenants and provisions set forth herein, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows: 1. Defined Terms. All capitalized terms used and not otherwise defined in this Fourth Amendment shall have the same meaning as in the Development Agreement. Any defined terms in the Recitals above are hereby added to the Development Agreement. 2. Deletion and Replacement of Exhibit D. Exhibit D is hereby deleted and replaced with the revised Exhibit D (marked “REVISED”) attached to this Amendment. 3. Effect of Amendment. Except to the extent the Development Agreement is modified by this Fourth Amendment, the remaining terms and provisions of the Development Agreement shall remain unmodified and in full force and effect. In the event of a conflict between the terms of the Development Agreement and the terms of this Fourth Amendment, the terms of this Fourth Amendment shall prevail. 4. Counterparts. This Fourth Amendment may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Amendment. 5. Effective Date. This Fourth Amendment is effective upon its recordation with the Sonoma County Recorder’s Office. This Fourth Amendment shall be recorded within ten days 3 after the effective date of the ordinance approving this Fourth Amendment. [Intentionally left blank. Signatures continue on following page.] 4 IN WITNESS WHEREOF, this Fourth Amendment has been entered into by and between Developer and City as of the day and year first above written. CITY: City of Rohnert Park, a California municipal corporation By: City Manager Authorized by Ordinance ______, adopted by the Rohnert Park City Council on November ____. 2019 Approved as to Form: By: City Attorney Attest: By: City Clerk DEVELOPER: Penn Grove Mountain, LLC a California limited liability company By: Title: Acknowledgment ACKNOWLEDGMENTS A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA ) COUNTY OF ) On ____________ __, 20__ before me, , Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ****************************** A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA ) COUNTY OF ) On ____________ __, 20__ before me, , Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: (seal) Signature: (seal) ______________________________________________ REVISED 6 SPECIFIC SECTION OF SESP DEVELOPMENT AGREEMENT CHANGED BY FOURTH AMENDMENT TO DA EXHIBIT D AFFORDABLE HOUSING PLAN I. INTRODUCTION The Southeast Specific Plan and accompanying Development Agreement meet the City of Rohnert Park's inclusionary housing requirement. Under the proposed Development Agreement and Specific Plan, the project will provide Low and Very Low income housing (as such terms are defined in Section l 7.07.020(N)(2) of the City's Municipal Code) as rental housing, and will provide affordable owner-occupied housing. As depicted in the Specific Plan and Final Development Plan, a total of 72 Affordable Units are included in the Project as follows: 36 apartment units in one apartment complex (Affordable Apartment Complex); 28 Duet Units; and 8 Townhome Units. Unless otherwise defined herein, capitalized terms contained in this Affordable Housing Plan shall have the meaning given to such terms in the Development Agreement. II. PAYMENT OF IN-LIEU FEE As is set forth in the Development Agreement, if the City adopts an applicable in-lieu housing fee, or otherwise modifies the affordable housing provisions of its Municipal Code, the Developer may elect to pay the in-lieu fee or comply with the revised code requirements. If Developer elects to pay the in-lieu fee for all 72 of the required Affordable Units, then the Developer shall prepare a document rescinding the Affordable Housing Plan in a form approved by the City Attorney which the City will approve and record. III. AFFORDABLE APARTMENT COMPLEX A. Obligation to Construct The Developer shall either (1) construct the Affordable Apartment Complex in accordance with plans and specifications approved by the City, or (2) donate land within the Project, to one or more non-profit housing developers in place of actual construction. Prior to donating the land to the non-profit, the land must be appropriately zoned, buildable, free of toxic substances and contaminated soils. Prior to donating this land to the non-profit, the Developer shall ensure that the lots are fully improved with infrastructure, adjacent utilities, completed grading, all applicable fees have been paid, and compliance with all applicable conditions of approval and mitigation measures. The non-profit to whom the Developer donates the land shall have a minimum of five years' experience in development, ownership, operation, and management of similar sized affordable rental housing projects, and shall demonstrate that it has the capacity to construct and operate the affordable housing apartment complex. REVISED 7 The Affordable Apartment Complex will be constructed on parcel "D" located at the corner of Bodway Parkway and Valley House Drive. The Parties acknowledge that parcel "D" is expected to be adequate to accommodate the Affordable Housing Complex, subject to formal site plan review by the City and confirmation by the City that the Affordable Housing Complex complies with the Specific Plan, the Project Approvals and Applicable Law. Irrespective of who constructs the Affordable Apartment Complex, construction shall be completed no later than the market-rate units that are part of the Project. In recognition of the fact that Developer may phase construction of the market-rate or commercial units, for purposes of this Affordable Housing Plan, the phrase "completed no later than market-rate units" shall mean no later than the City's issuance of a building permit for the 225th market-rate residential unit. The Developer shall provide in its transfer documents donating land within the Project to a non-profit housing developer for a reversion in fee to Developer of the land upon which the Affordable Apartment Complex is to be constructed if the Affordable Apartment Complex has not been constructed as required by this Affordable Housing Plan. If the non-profit housing developer has not completed construction of the Affordable Apartment Complex as set forth in this Affordable Housing Plan, then the Developer will be required to complete construction of the Affordable Apartment Complex itself. Developer shall do so at Developer's sole expense, and Developer shall complete construction of the Affordable Apartment Complex no later than issuance of the building permit for the 290th market-rate unit. City shall not be obligated to issue any additional building permits beyond the 290th building permit until the Affordable Apartment Complex is satisfactorily completed, as evidenced by a final certificate of occupancy, according to the terms of the Agreement and this Affordable Housing Plan. B. Affordability The Affordable Apartment Complex shall consist of 36 Affordable Units. Six (6) apartments, shall be rented to Extremely Low Income Households (30% of area median income); fifteen (15) apartments shall be rented to Very Low Income Households (50% of area median income); fourteen (14) apartments shall be rented to Low Income Households (80% of area median income); and one (1) apartment shall be rented to a Moderate Income Household (120% of area median income.) Affordable Rent shall be set as defined by the Rohnert Park Municipal Code. C. Affordable Housing Agreement Affordable rental properties shall be restricted for 55 years and owner-occupied affordable housing units shall be restricted for 45 years as is required by the Rohnert Park Municipal Code. In order to ensure that these affordability restrictions remain in place, the Developer or the non-profit to whom the Developer donates land, shall enter into an Affordable Housing Agreement with the City in a form and content acceptable to the City Attorney. The REVISED 8 Affordable Housing Agreement shall be recorded against the Affordable Apartment Complex parcel or project site prior to the issuance of the building permit for the 100th market rate residential unit. The Affordable Housing Agreement shall include at least the following terms: 1. The requirement to construct the Affordable Apartment Complex in accordance with this Affordable Housing Plan. 2. Provisions restricting the rental of the Affordable Apartments to low and very Low Income Households at an Affordable Rent as defined by the Rohnert Park Municipal Code for 55 years. 3. Non-discrimination covenants. 4. Annual certification requirements for the lease of the rental units. 5. The submission of certificates of continuing program compliance to the City at least once a year. 6. Restrictions on the ability to transfer the Affordable Apartment Complex. 7. Maintenance and management requests, including identifying the City's remedies following notice and opportunity to cure. 8. A marketing plan for the Affordable Apartments, including any preference programs. D. Quality Standards The Affordable Apartment Complex shall comply with the construction and aesthetic standards set forth in Rohnert Park Municipal Code Section 17.07.020, Footnote (N), subsection 9. Specifically, the Affordable Units shall be comparable in number of bedrooms, exterior appearance, and overall quality of construction to the market-rate units in the same project. With prior approval from the City Manager, the Affordable Units may have different square footage or interior features from the market-rate units in the Project so long as the interior features are still of good quality and are consistent with contemporary standards for housing. In its approval of the Development Agreement for this Project, the City specifically approves and authorizes the clustering of the 36 affordable apartment units in the Project. E. Marketing/Implementation Developer or its designated affordable housing developer shall prepare and implement a marketing and implementation plan for the rental of the Affordable Apartments. The plan must be in a form and content reasonably acceptable to the City and include, among other things, the following: 1. A plan to market the Affordable Apartments to eligible households. REVISED 9 2. Procedures for the rental of the Affordable Apartments, including the slotting of applications and creation of a waiting list, eligibility determination, income certification, and annual re-certifications. IV. DUET UNITS AND TOWNHOME UNITS A. Obligation to Construct Developer shall construct 28 affordable Duet Units and 8 affordable Townhome Units on the sites depicted in and in accordance with the Specific Plan and Final Development Plan as well as all plans and specifications as approved by the City. Construction shall be completed, as evidenced by a final certificate of occupancy, concurrently with the related market-rate units according to the Project phasing plan and phasing map as reviewed and approved by the City and as included in the Final Development Plan. B. Affordability The 28 affordable Duet Units and 8 affordable Townhome Units shall be used either as rental housing or owner-occupied housing, subject to the following requirements: 1. If operated as rental housing, fifty percent (50%) of the Affordable Units shall be rented to Very-Low income households at an Affordable Rent. The remaining fifty (50%) of the Affordable Units shall be rented to Low-income households at an Affordable Rent. 2. If sold as owner-occupied housing, fifty (50%) of the Affordable Units shall be sold to Low Income households at an Affordable Sales Price. The remaining fifty percent (50%) of the Affordable Units shall be sold to Moderate income households at an Affordable Sales Price. C. Affordable Housing Agreement Concurrent with recordation of the final map for each tract in which affordable housing sites have been designated, Developer shall record an Affordable Housing Agreement containing covenants against any parcel on which Affordable Units are proposed to be constructed. The covenants containing the affordability restrictions for the Affordable Units shall remain in place for a minimum of fifty-five (55) years (for rental housing) or forty-five (45) years (for owner- occupied housing). Among other things, the Affordable Housing Agreement shall include the following terms: If the Affordable Housing Unit(s) is/are operated as rental housing: 1. The requirement to construct the Affordable Units as provided herein; REVISED 10 2. Provisions restricting the rental of Affordable Units to low- and very low-income households at an affordable rent for a period of fifty-five (55) years; 3. Non-discrimination covenants; 4. Provisions requiring income certification before the lease of any Affordable Units and recertification every year thereafter; 5. Provisions requiring the submittal of certificates of continuing program compliance to the City on at least an annual basis; 6. Restrictions on the ability to transfer the Affordable Units; 7. Maintenance and management requirements, including City remedies following notice and opportunity to cure; 8. Provisions regarding the marketing of the Affordable Units. If the Affordable Housing Unit(s) is/are sold as owner-occupied housing: 1. The requirement to construct the Affordable Housing Unit(s) as provided herein; 2. Provisions restricting the sale of the Affordable Units to Low and Moderate-income households at an Affordable Sales Price for a period of forty-five (45) years; 3. Non-discrimination covenants; 4. Provisions requiring income certification before the sale of any Affordable Units; 5. Restrictions on the ability to transfer the Affordable Units; 6. The phasing plan already submitted to the City that indicates the location and unit size of each Affordable Unit, and the timing of the construction of the Affordable Units in relation to the market rate units; 7. Provisions requiring homebuyers to execute and record, as appropriate, resale and refinance restrictions, disclosure statements and a performance deed of trust; and 8. A form of Resale and Refinance Restriction Agreement that includes, among other things, provisions requiring that the Affordable Unit be sold to a Low or Moderate- income household at an Affordable Sales Price for a period of forty-five (45) years, refinance limitations, provisions prohibiting the rental of the Affordable Unit, and an option to purchase at an Affordable Sales Price in favor of City the event of a default by the owner. REVISED 11 D. Quality Standards The Affordable Units shall comply with the construction and aesthetic standards set forth in Rohnert Park Municipal Code Section 17.07.020, Footnote (N), subsection 9. Specifically, the Affordable Units shall be comparable in number of bedrooms, exterior appearance, and overall quality of construction to the market-rate units in the same Project. With prior approval from the City Manager, the Affordable Units may have different square footage or interior features from the market-rate units in the Project so long as the interior features are still of good quality and are consistent with contemporary standards for housing. The Affordable Units shall be dispersed throughout their respective phase. E. Marketing/Implementation Developer shall prepare and implement a marketing and implementation plan for the Affordable Units. The plan must be in a form and content reasonably acceptable to the City and include, among other things, the following: 1. A plan to market the Affordable Units to eligible households. 2. Procedures for the rental or sale of the Affordable Units, including the slotting of applications and creation of a waiting list, eligibility determination, income certification, and annual re-certifications. V. COMPLIANCE MONTORING Commencing one year after the Effective Date and every year through the Term, the Developer shall submit an annual implementation plan to the City summarizing the status of compliance with the Affordable Housing Plan, including status of construction and sale or rental of the Affordable Units. At the time of submission of the information required by this section, Developer shall submit the required Processing Fees to cover City's costs to review and monitor Developer's compliance with the Affordable Housing Plan. VI. DEVELOPER'S OBLIGATION The obligations set forth in the Affordable Housing Plan are the obligation of Developer, who shall be responsible for fulfilling them at Developer's sole cost and expense. Neither the City nor the Rohnert Park Community Development Agency will have any obligation to assist in the development of any of the Affordable Units or Second Units. The Developer shall provide any and all subsidies necessary to construct the Affordable Units and to comply with all provisions of the Affordable Housing Plan. VII. PRIORITY REVISED 12 The Affordable Housing Agreement described above shall be superior to any mortgage, deed of trust, lien, or other encumbrances (other than the lien for current taxes or assessments not yet due) recorded against the Property, and shall be enforceable against any party who has acquired its title by foreclosure, trustee's sale, voluntary conveyance, or otherwise. If so requested by the City, the Developer or its successor shall execute and agree to the recording of a subordination agreement evidencing the provisions of this Section VIII. VIII. ADJUSTMENT The Developer may seek a reduction, adjustment, or waiver of these Affordable Housing requirements as is set forth in Rohnert Park Municipal Code Section 17.07.020, footnote (N), subsection 15. REVISED 13 AFFORDABLE HOUSING PLAN MAP AFFIDAVIT OF POSTING Pursuant to California Govemment Code $ 36933 and S 40806 Pursuant to Rohnert Patu Municipal Code 1.08.010 STATE OF CALIFORNIA County of Sonoma l, JoAnne M. Buergler, City Clerk for the City of Rohnert Park, declare this is a true and correct copy of Ordinance No.937 Summary of Ordinance No. 937 of the City Council of the Cíty of Rohnert Park, California, Adopting an Ordinance Approving a Fourth Amendment to the Development Agreementfor the Southeasf Speclfi c PIan between the City of Rohnert Park and Penn Grove Mountain LLC was published on 1111512019 and 1210612019, as required by law, and posted in five (5) public places in said City, to: www.rpcitv.orq for website posting City Hall 130 Avram Avenue Public Safety Main Station 500 City Center Drive Rohnert Park Community Center 5401 Snyder Lane Rohnert Park - Cotati Regional Library 6250 Lynne Conde Way A certified copy of the fuli text Ordinance was posted at the City Clerk's office, 130 Avram Avenue, Rohnert Park, California 94928 on 1111512019 and 1210612019. Summary of Ordinance Âlo. 937 was published in the Community Voice on 1111512019 and 1210612019 as required by law. \'[^ - -i^^/\,,..^ ,r * (y'nnne Buerslär, city Õi-erk l- Subscribed and sworn to before me this December 16,2019 SS Sylvia Lopez Cuevas, Assistant City Clerk - City of Rohnert Park Summary of Ordinance No. 937 STATE OF CALIFORMA, The undersigned does hereby certify and declare: That at all times hereinafter sworn, deposes and says: That at all times he¡einafter mentioned she was a citizen of the United States, over the age of eighteen years and a resident of said county and was at all said times the principal clerk of the printer and publisher of The Community VOICE, a newspapel of general circulation, published in the City of Rohnert Park, in said County of Sonoma, State of California; that The Community VOICE is and was at all times herein mentioned, a newspaper of general circulation as that term is defined by Section 6000 of the Govemment Code; its status as such newspaper of general circulation having been established by Court Decree No. 35815 of the Superior Court of the State of Califomia, in anã fo. the County of Sonoma, Department No. I thereof; and as provided by said Section 6000, is published for the dissemination of local and telegraphic news and intelligence of a general character, having a bona fide subscription list of paying subscribers, and is not devoted to the interest, or published for the entertainment or instruction of a particular class, profession, trade, calling, race or denomination, or for the entertainment and inst¡uction of such classes, professions, trades, callings, races or denorninations; that at all said times said newspaper has been established and published in the said City of Rohnert Park, in said County and State at regular intervals for more than one year preceding the fi¡st publication of this notice herein mentioned; that said notice was set in type notimalle¡ than non-pareil and was preceded with words printed in black face type no smaller than non-pareil, describing and expiessing in general terms, the purport and character of the notice intended to be given; that the " City of Rohnert Park, Summary of Ordinance No. 937" of which the annexed is a printed copy, was published in said newspaper at least -1 consecutive time(s), commencing on the l5 day November,2019 and ending on the 15 day of November,2019. I HEREBY CERTIFY AND DECLARE I-INDER THE PENALTY OF perjury that the foregoing is true and correct EXECUTED this 15 day of November, 2019 , at Rohnert Park, California. Signed Claudia Smith Chief Cle¡k CERTIFICATION OF PUBLICATION IN "The community voICE" (Published every Friday) in the SUPERIOR COURT of the STATE OF CALIFORNIA In and For the County of Sonoma COTINTY OFSONOMA ROI-INERT PARK Nov 21 2019 ;:Ë.FY CLERK JoAnne Buergler' City Cle* Clty of RohneÉ Park 2019. CERTIFICATION OF PUBLICATION IN "The community voICE" (Published every FridaY) in the SUPERIOR COURT of the STATE OF CALIFORMA In and For the County of Sonoma COUNTY OFSONOMA Chief Clerk ROHNER]'PARK DEC t 2 201s C¡TY CLERK City of Rohnert Park Summary of Ordinance #937 STATE OF CALIFORNIA, The undersigned does hereby certify and declare: That at all times hereinafter swom, deposes and says: That at all times hereinafter mentioned she was a citizen of the United States, over the age of eighteen years and a resident of said county and was at all said times the principal clerk of the printer and publisher of The Community VOICE, a newspaper of general circulätion, published in the City of itotrnôrt Park, in said County of Sonoma, State of California; that The Community VOICE is and was at all times herein mentionéd, a newspaper of general circulation as that term is defined by Section 6000 of the Government Code; itsstatusassuchnewspaperofgeneralcirculationhavingbeenestablishedbyCourtDecreeNo.35Sl5oftheSuperiorCourtofthe - State of California, in ãnO for thle County of Sonoma, Department No. I thereof; and as provided by said Section 6000, is published for the dissemination of local and telegraphic news and intelligence of a general character, having a bona fide subscription list of paying subscribers, and is not devoted to thelnterest, or published for the entertainment or instruction of a particular class, profession, trade, calling, race or denomination, or for the entertainment and instruction of such classes, professions, trades,,callings' races or denorünations; that at all said times said newspaper has been established and published in the said City of Rohnert Pa¡k, in said County a¡d State at regular intervals for more than one yèar preceding the first publication of this notice herein mentioned; that said notice was set in type notimaller than non-pareil and was preceãed with words printed in black face type no smaller than non-pareil, describing and expiessing in general terms, the purpoÍ anã character of the notice intended to be given; that the " City of Rohnert Park, Summary of Ordinance #937" of *hi.h the annexed is a printed copy, was published in said newspaper at least -l consecutive time(s)' commencing on the 6 day December 2079 and ending on the 6 day December 2019. I HEREBY CERTIFY AND DECLARE LINDER THE PENALTY OF perjury that the foregoing is true and correct EXECUTED this 6 day Decembe¡ 2019 , at Rohnert Pa¡k, California. Signed tu Claudia Smith Gouncilmembers Adams, Mackenzle, Statford and V¡ce Mâyor Callinan None Mayor Belforte NoneABSTAIN: Buergler,ffi Communlty Voice Dated: December 3, 2019 Pub: December8,2019