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96-21939 RESO RESOLUTION NO. 96-21939 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE CITY OF MIAMI BEACH LOCAL HOUSING INCENTIVES PLAN FOR TRANSMITTAL TO THE STATE OF FLORIDA HOUSING FINANCE AGENCY. WHEREAS, the City of Miami Beach has identified the need for the rehabilitation of its existing housing stock; and WHEREAS, the City desires to provide home-ownership opportunities to its residents; and WHEREAS, in 1992, the William E. Sadowski Affordable Housing Act established the State Housing Initiatives Partnership (SHIP) Program, administered by the Florida Housing Finance Agency (FHFA). Program funds derive from set-aside allocations from documentary stamp levies on real estate transactions and the City of Miami Beach was allocated $336,366 in SHIP for 1995/96, with a similar amount estimated for FY 96-97; and WHEREAS, on April 12, 1995, the Mayor and City Commission established the Affordable Housing Advisory Committee (SHIP Committee) as a one-year "sunset" committee through Ordinance No. 95-2989 and Resolution No. 95-21567; and WHEREAS, the Committee's main function was to produce a Local Housing Incentives Plan for consideration by the City within twelve (12) months of passage of the Ordinance; and WHEREAS, the Affordable Housing Advisory Committee held public meetings during March 1996 and approved the attached recommended Local Housing Incentives Plan during an advertised public hearing held on March 21, 1996; and WHEREAS, meetings of the Committee were public meetings where citizen input and involvement was solicited and considered. NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the attached City of Miami Beach Local Housing Incentives Plan be adopted, as submitted, for transmittal to the State of Florida Housing Finance Agency. Passed and adopted this 2nd day of April, 1996. ,') '\ 1/ Ii ( ; .2.' I ~. tL ' I ~/ 1./../ J Mayor Attest: B 0 kLt&- PtWk ~ ITY C~RK - Ro6e~,... PAIz..~He~ FORM APPRO'. ' ) LEGAL DE1:-!' By 1J( I!~ Date ~2.) 2€. CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 COMMISSION MEMORANDUM NO. J B'7 -11 ~ TO: Mayor Seymour Gelber and Members of the City Commission DATE: April 2, 1996 FROM: Jose Garcia-Pedrosa City Manager SUBJECT: A RESOLUTION THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, F ORIDA, ADOPTING THE CITY OF MIAMI BEACH LOCAL HOUSING INCENTIVES PLAN FOR TRANSMITTAL TO THE STATE OF FLORIDA HOUSING FINANCE AGENCY. ADMINISTRATION RECOMMENDATION: That the Mayor and City Commission adopt the City of Miami Beach Local Housing Incentives Plan for transmittal to the State of Florida Housing Finance Agency. BACKGROUND: In 1992, the William E. Sadowski Affordable Housing Act established the State Housing Initiatives Partnership (SHIP) Program, which is administered by the Florida Housing Finance Agency (FHFA). Program funds derive from set-aside allocations from documentary stamp levies on real estate transactions. The City of Miami Beach was allocated $336,366 in SHIP for 1995/96, with a similar amount estimated for FY 96-97. As described in the SHIP Program Plan, adopted by the City Commission on May 3, 1995, the FY 1995/96 SHIP funds will be utilized to create scattered-site home-ownership opportunities through the rehabilitation ofthe City's existing housing stock. The SHIP Program Plan contemplates issuing a competitive Notice of Funds Availability (NOFA)/Request for Proposal (RFP) from not-for-profit, public/quasi-public housing developers, and/or private developers to provide the renovation of buildings suitable for home-ownership. The City's Loan Review Committee (LRC) will review all proposals submitted, and will make recommendations to the Mayor and City Commission for award of SHIP Program Funds. The Mayor and City Commission established the Affordable Housing Advisory Committee (SHIP Committee) as a nine member, one-year "sunset" committee and finalized the appointments in February of 1996. The Committee's main function was to produce a Local Housing Incentives Plan for consideration by the City. ANAL YSIS The Affordable Housing Advisory Committee held three public meetings and approved the AGENDAITEM~ DATE~ COMMISSION MEMORANDUM APRIL 2, 1996 page 2 recommended Local Housing Incentives Plan during a Public Hearing held on March 21, 1996. Meetings of the Committee were public meetings where citizen input and involvement was solicited and considered. Pursuant to State rules, the Committee made recommendations on housing incentives in the following areas: * The definition of affordable housing. Expedited processing of permits issued by the City of Miami Beach. Modification of impact-fee requirements, including reduction or waiver of fees and alternative methods of fee payment. Allowance of increased density levels. Reservation of infrastructure capacity for housing. Transfer of development rights as a financing mechanism for housing. Reduction of parking and setback requirements. Allowance of zero lot-line configurations. Modification of street requirements. Establishment of a process by which the City considers, before adoption, the impact of proposed policies, procedures, ordinances, regulations, or plan provisions have upon the cost of housing. Preparation of a printed inventory of locally owned lands. * * * * * * * * * * The Local Incentives Plan adopted by the Committee is attached for yourreview and approval. Although the Plan contains eleven (11) elements, at a minimum, the fonowing must be adopted by the Mayor and City Commission before May 3rd, when the SHIP Plan is due. * A schedule for implementation of expedited permit processing for housing projects, and A process for review of City policies, ordinances, regulations, and incentive plan provisions that significantly impact the cost of housing prior to their adoption. * The March 21st Public Hearing was noticed, yet no one other than the Committee attended. Failure of the City Commission to adopt either the Local Incentive Plan or the above two requirements before May 3rd, will result in the loss of the State Grant totaling $336,366. CONCLUSION: The Administration recommends that the Mayor and City Commission approve the attached Resolution adopting the City of Miami Beach Local Housing Incentives Plan for transmittal to the State of Florida Housing Finance Agency. JGP/~nrg CITY OF MIAMI BEACH, FLORIDA LOCAL HOUSING INCENTIVES PLAN ADOPTED BY THE MAYOR AND CITY COMMISSION ON APRIL 2, 1996 Contact Person: Shirley Taylor-Prakelt, Director Housing and Community Development 1700 Convention Center Drive Miami Beach, FL 33139 (305) 673-7260 CITY OF MIAMI BEACH LOCAL HOUSING INCENTIVES PLAN TABLE OF CONTENTS Page I. Table of Contents II. Introduction ii III. Committee Recommendations IV. A. Definition of Affordable Housing 1 2-3 B. Expedited Permitting Process C. Modification of Impact Fee Requirements 4-5 D. Allowance of Increased Density Levels 6 E. Reservation of Infrastructure Capacity 7 F. Transfer of Development Rights 8 G. 9-11 Reduction of Parking and Setback Requirements H. Allowance of Zero-lot-Line Configurations 12 I. J. Modifications of Sidewalk and Street Requirements 13 Review Process for City Procedures and Policies that impact the cost of Housing 14-15 K. Printed Inventory of Locally-owned lands 16 Chairman Approval of Recommendations 17 V. Certification to Florida Housing Finance Agency Page i City of Miami Beach Local Housing Incentives Plan INTRODUCTION The Mayor and City Commission of the City of Miami Beach, Florida, adopted this Affordable Housing Incentives Plan on Apri 2,1996, in compliance with City of Miami Beach Ordinance No. 95- 2989, City of Miami Beach Resolution No. 95-21567, Chapter 91-37, Florida Administrative Code, and section 420.9076, Florida Statutes, based on recommendations made by the Affordable Housing Advisory Committee. The Affordable Housing Advisory Committee held public meetings to review the established policies and procedures, ordinances, regulations, and adopted local Comprehensive Plan and made recommendations on specific initiatives to encourage or facilitate affordable housing while protecting the ability of the property to appreciate in value. The Committee reviewed and made recommendations in the following areas: 1. The affordable housing definition in the appointing resolution; 2. The expedited processing of permits for affordable housing projects; 3. The modification of impact fee requirements, including reduction or waiver of fees and alternative methods of fee payment; 4. The allowance of increased density levels; 5. The reservation of infrastructure capacity for housing for very low-income and low- income persons; 6. The transfer of development rights as a financing mechanism for housing for very low-income ~nd low-income persons; 7. The reduction of parking and setback requirements; 8. The allowance of zero-lot-line configurations; 9. The modifications of sidewalk and street requirements; 10. The establishment of a process by which the City considers, before adoption, procedures and policies that have a significant impact on the cost of housing; and 11. Preparation of a printed inventory of locally-owned public lands. City of Miami Beach Local Housing Incentives Plan Page ii A. Review of the affordable housing definition in the appointing resolution. Review mandated by section 420.907(4)(a), Florida Statutes. (1) Incentive The Affordable Housing definition in the appointing resolution. (2) Current status The City of Miami Beach defined the term "Affordable Housing" in City of Miami Beach Ordinance No. 95-2989 and Resolution No. 95-21567 as follows: "Housing where the occupants pay no more than thirty (30) percent of gross income for housing costs, including utility costs." (3) Explanation of existing regulation regarding this incentive This definition is consistent with the definition of "Affordable Housing" as contained in the Housing Element of the City's Comprehensive Plan, the City's Consolidated Plan, and with the statutory definition provided in the State Housing Initiatives Partnership Act. (4) Advantages/disadvantages of changing/adopting this incentive By adopting a standard definition to be applied City-wide, the City of Miami Beach implements consistent regulation. The Committee evaluated other definitions which only address the percent of a households income which goes towards rent/utilities or mortgage PITI, as opposed to addressing the total adjusted household income. The Committee felt that families whose income exceeds 80% of the median, should not be a priority for assistance. The Committee acknowledges that other programs such as the Dade County Surtax Scattered-site Home-ownership program, can serve families with incomes of up to 120% of the median. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation No cost reductions are anticipated from implementation of this recommendation. (7) Recommendation of advisory committee That the definition of Affordable Housing be "housing available to households who earn up to 80% of the area median income, adjusted annually by family size, of which the househ91d pays no more than 35% for homeownership units which includes mortgage PITI, and condominium maintenance fees, or 30% for rental units excluding utilities"; when in conflict with other Federal, County and State programs, the definition of affordable housing in those definitions will take precedence. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 1 B. Review and consideration of expedited processing of permits for housing projects as mandated by section 420.9076(4)(b), Florida Statutes. (1) (2) (3) (4) (5) (6) (7) Incentive The expedited processing of permits for housing projects. Current status The City of Miami Beach currently does not distinguish between affordable housing and other types of residential development projects in its permitting process. The property owner must apply for building permits to construct the project. The permitting process is split between different departments, e.g. the Building Department, the Planning, Design and Historic Preservation Division and the Code Enforcement Division. Applications are also reviewed through the Design Review process. Zoning variances are processed through the Zoning Board. The City's affordable housing projects are currently funded through federal funds and are coordinated through the Housing & Community Development Office. Explanation of existing regulation regarding this incentive The current permitting process is designed to be completed usually within three days at the Building Department, and then an additional three to seven days at the Planning, Design and Historic Preservation Division. Therefore, the average permitting time is approximately 10 days. The City of Miami Beach's permitting process compares favorably with that of other cities throughout the county and its time-frames do not constitute an undue burden on developers. Advantages/disadvantages of changing/adopting this incentive The current permitting system in the City of Miami Beach is fairly streamlined; however, a priority system would benefit developers of affordable housing. Certain development costs, such as interest, overhead, insurance, security, and maintenance accrue every day of a project's life. Time savings translate into cost savings. Disadvantages are that such a priority system could not guarantee expedited permitting in the case of projects requiring complex review or variances. Pre-design meetings with City staff would allow developers to present and discuss informally their development plans before formal submissions are prepared. This can prevent delays and expensive revisions. Impacts on Public Health, Safety or Welfare No negative 'impacts on the public health, safety, or welfare should occur as a result of this recommendation. Housing cost reduction anticipated from implementing this recommendation Even though actual cost reductions are difficult to quantify, housing cost reductions resulting from implementation of the proposed expedited permitting process may vary from project to project. In terms of time reductions, it is expected that the recommended improvements will reduce the permitting time element involved in affordable housing projects by up to 50%. Recommendation of advisory committee That the City of Miami Beach give priority in scheduling a Pre-Design Conference with all relevant agencies including but not limited to: Fire, Planning & Zoning, Page 2 City of Miami Beach Local Housing Incentives Plan Building, Historic Preservation, Public Works, Americans with Disabilities Act (ADA), and Housing and Community Development, for designated "Affordable Housing" projects; and, when the plans are ready for permitting, that first priority will be given to them with the goal of reducing the process time by 50%; further, that the City prepare a brochure that advises applicants of the application process; and, the Housing and Community Development Director will act as "liaison" to coordinate and expedite the application with all relevant agencies. (8) Recommended schedule for implementation The Housing and Community Development and Planning and Zoning Offices will, within nine months of approval of the Housing Incentives Plan by the City Commission, develop legislation to expand the permitting process, as proposed. City of Miami Beach Local Housing Incentives Plan Page 3 C. Modification of impact fee requirements, including reduction or waiver of fees and altemative methods of fee payment. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Waiver of building permit impact fees and alternative methods of fee payment for affordable housing projects. (2) Current status The City of Miami Beach currently charges impact fees for the following services: Water and Sewer, Parking, Streets and Sidewalks, and Building Permits. (3) Explanation of existing regulation regarding this incentive Impact fees are fees assessed against new developments to fund the cost of capital improvements triggered by growth. The assessment of these fees is a way for the City to raise money without raising taxes. Revenue obtained from these fees, frees up the City's tax revenue and results in more tax monies available to pay for other City services. (4) Advantages/disadvantages of changing/adopting this incentive The exemption from payment of impact fees for certain segments of affordable housing has a direct benefit and constitutes an incentive for new development. The use of a sliding scale when calculating the percentage of reduction of impact fees serves as an additional incentive for longer-term affordability vs. short term affordability. There are no disadvantages for those properties that benefit from the exemption, however, revenue shortfalls resulting from the waiver of fees would impact other system users, whose assessments could be higher because of these shortfalls. Another advantage is that the value of local fees and other charges normally imposed on projects, if waived, forgiven or deferred, count as part of the required match for certain federal housing program grants received by the City. (5) Impacts on Public Health, Safety or Welfare The loss of revenues resulting from the impact fee waivers could have a detrimental impact on the quality and level of service provided by the City and potentially have an adverse effect on the public health, safety, or welfare. (6) Housing cost reduction anticipated from implementing this recommendation The housing cost reduction for affordable housing associated with the exemption from certain fees will vary for projects from 3 to 15 years is 100% of the fee for projects with a period of affordability of 15 years or more, depending on a pro-rata percentage .of units, decreasing to projects whose period of affordability exceeds three years, and therefore varies from project to project. (7) Recommendation of advisory committee That, for affordable housing initiatives whose period of affordability exceeds three years e.g. the HOME Program, the City waive building permit fees based on the pro- rata percentage of units in the building and the period of affordability of up to 15 years which equates to a 100% waiver. (8) Recommended schedule for implementation The Housing and Community Development and Planning, Design and Historic Page 4 City of Miami Beach Local Housing Incentives Plan Preservation Offices will, within nine months of approval of the Housing Incentives Plan by the City Commission, develop legislation to modify the fee structure, as proposed. Page 5 City of Miami Beach Local Housing Incentives Plan D. Allowance of increased density levels. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Allowance of increased density levels. (2) Current status The City of Miami Beach is almost 100% developed. In keeping with its current development patterns, there is virtually no room for density intensification without extensive urban renewal. Any intensification in the density levels would also require that concurrency-driven levels of service standards be maintained. (3) Explanation of existing regulation regarding this incentive Existing density regulations are tightly integrated with concurrency and maintenance of adequate levels of service standards. In theory, increased density permits more houses or apartments to be built within developments and can potentially affect affordable housing by maximizing land resources and minimizing per-unit development costs. As density increases, per unit land costs decrease proportionately. Higher densities, as a general rule, result on more effective utilization of the land, lower infrastructure costs, and higher property tax return than lower density land. (4) Advantages/disadvantages of changing/adopting this incentive Given the City's desire to maintain its current density levels, the fact that the City is a "coastal high hazard area", the City's desire to promote the renovation of its existing housing stock for affordable housing through rehabilitation, and the high costs associated with urban renewal, there are no advantages to increased density levels. (5) Impacts on Public Health, Safety or Welfare The Committee is not recommending any changes or modifications on existing density levels, therefore, no negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation No cost reductions are anticipated from the implementation of the recommendation since the density levels will continue to function as they presently operate. (7) Recommendation of advisory committee That due to the fact that Miami Beach is a "coastal high hazard area," and recognizing that existing densities are high, the committee does not recommend any increased density for the City of Miami Beach. (8) Recommended schedule for implementation No changes are recommended. City of Miami Beach Local Housing Incentives Plan Page 6 E. Reservation of infrastructure capacity for housing. Review mandated by section 420.9076 (4) (b), Florida Statutes. (1) Incentive Reservation of infrastructure capacity for housing. (2) Current status Currently, the City does not provide for an incentive or capacity reservation set-aside for housing for very low- and low-income persons. (3) Explanation of existing regulation regarding this incentive Infrastructure capacity reservation is directly related to the state requirements that the City maintain a "concurrency management" system. The Growth Management Act of 1985 requires local governments to ensure that public facilities and services that are necessary to ensure that public facilities and services that are necessary to support development be "concurrent" with the impacts of development. This means that all new developments must be located where existing services are available or where there are plans and funds to provide these services. (4) Advantages/disadvantages of changing/adopting this incentive The City of Miami Beach has experienced unprecedented growth during the last few decades. The reservation of infrastructure capacity means that, in the future, should the City get close to 100% of its infrastructure capacity, there would be preference given to affordable housing projects when assigning the remaining capacity. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation The housing cost reduction anticipated from this recommendation is not quantifiable at this time. (7) Recommendation of advisory committee That as a recommendation, in the future, should the City approach 100% of its infrastructure capacity, that the City reserve 2% of City-wide "infrastructure capacity" for affordable housing which meets the new definition of affordable housing. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 7 F. Transfer of development rights as a financing mechanism for housing. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Transfer of development rights as a financing mechanism for housing. (2) Current status Currently, in the City's Zoning Ordinance Development Rights (Unused Floor Area) shall only be transferred from properties in designated transfer districts to properties in designated receiving districts. Specific existing legislation regarding the transfer of development rights does not distinguish between affordable housing and other projects. (3) Explanation of existing regulation regarding this incentive The concept of transfer of development rights stems from the idea that property ownership entails a number of rights. To obtain a benefit from these property rights, a mechanism must be in place which allows for the transfer of rights from one property to another within a specified geographic area. The City of Miami Beach has regulations in place that make it possible for a property owner to transfer development rights from one property to another, subject to limitations and existing regulations. (4) Advantages/disadvantages of changing/adopting this incentive In some cases, development rights have been purchased by developers to increase densities, floor space allowances, and thus reduce the per-unit costs of developments. Conversely, developers may sell excess development potential and apply the revenues to the development budget, reducing the per-unit costs of developments. Disadvantages to these transfers include that the program is difficult to administe'r and would require constant monitoring. Current legislation regarding transfer of development rights has seldom been used to the advantage or disadvantage of developers. (5) Impacts on Public Health, Safety or Welfare The Committee is not recommending any changes or modifications on existing density levels, therefore, no negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation No potential housing cost reductions are anticipated from implementing this recommendation. (7) Recommendation of advisory committee That the ''Transfer of Development Rights" provisions as they now exist in the current zoning ordinance, may be used as an incentive for affordable housing. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 8 G. Reduction of parking and setback requirements. 420.9076(4)(b), Florida Statutes. Review mandated by section (1) Incentive Reduction of parking and setback requirements. (2) Current status Parlclng Requirements Off-street parking requirements require that, when any building or structure is erected or altered, accessory Off-street parking spaces for residential units be provided as follows: Type of Building/Structure Spaces Per Apartment Building 1.5 Unit Hotel 1 Unit Single-Family detached dwelling 2 Unit Townhouse 2 Unit 1 guest 5 Units space There are no Off-street parking requirements for Main or Accessory Uses associated with existing Buildings which are located within the Miami Beach Architectural District or Local Historic District. (This provision does not apply to renovations and new additions to existing Buildings which create or add floor area and to new construction which has parking requirements.) Setback Requirements Front Side, Interior Side, Facing a Street Rear At Grade 20' 5' or 5% of Lot width 5' or 5% of Lot Width 5' (Non-oceanfront Lots) (Parking Lot (whichever is greater) (whichever is greater) 50' from Bulkhead Line on the same (Oceanfront Lots) Lot.) Subterranea 20' 5' or 5% of Lot width 5' or 5% of Lot width 0' (Non-oceanfront Lots) n (whichever is greater) (whichever is greater) 50' from Bulkhead Line 0' if Lot width is 50' or (Oceanfront Lots) less Pedestal 20' Sum of the Side yards Sum ofthe Side yards 10% of Lot depth (Non- shall equal 16% of Lot shall equal 16% of Lot oceanfront Lots) width. Min.- 7.5' or 8% width. Min.- 7.5' or 20% of Lot Depth, 50' from of Lot width, 8% of Lot width, Bulkhead Line (Oceanfront whichever is greater. whichever is greater. Lots) whichever is greater. City of Miami Beach Local Housing Incentives Plan Page 9 Front Side, Interior Side, Facing a Street Rear Tower 20'+1' for every Required Pedestal Sum of the Side 15% of Lot Depth (Non- l' increase in setback plus .10 of Yards shall equal 16% oceanfront Lots) height above 50' the height of the of the Lot width. Min- 25% of Lot Depth, 75' to a maximum of Tower portion of the 7.5% or 8% of Lot minimum from Bulkhead 50', then shall building. Total Width, whichever is Line (Oceanfront Lots) remain constant. required setback shall greater. whichever is greater. not exceed 50'. (3) Explanation of existing regulation regarding this incentive Parking requirements should reflect the anticipated demands of the residents who will live in the proposed development with respect to the average number of vehicles per dwelling unit. Currently, the parking requirement may be satisfied by entering into a Development Agreement with the City for said parking through the construction of facilities over City-owned properties (air rights) or by providing for Off-site Parking facilities in accordance with the ordinance. When there is inadequate area available on Site, or at a location within 1200 feet of the Site, for providing some or all of the parking spaces required by the Ordinance, the parking requirement may be fulfilled by payment of an impact fee instead. The substitution of this fee shall not result in the construction of a new residential Development which provides less than 1 parking space per unit. The impact fee is satisfied through a one-time payment at the time of issuance of a Building Permit of up to $10,000 per space not provided. For projects proposing to renovate existing structures, a payment plan may be elected in which the first impact fee payment is paid prior to the issuance of a Building Permit, the second payment is due June 1 st following the issuance of the Occupational License or Certificate of Use, whichever is earlier, and the remaining amount is paid annually as long as the Use exists. Existing structures also have the opportunity for a one time redemption payment which may be made at any time. It is anticipated that in the near future, provisions regarding the payment of an impact fee in lieu of parking spaces will be removed from the Zoning Ordinance. (4) Advantages/disadvantages of changing/adopting this incentive Relaxation of parking impact fees for certain segments of affordable housing has a direct benefit and constitutes an incentive for new development. The reduction of parking and building setback requirements is a technique utilized to reduce construction costs for affordable housing projects. The reduction of setback requirements and parking standards, however, in a City which faces the overcrowded and density problems of a developed urban community cannot be ignored in favor of additional development. It would be counterproductive and undesirable to reduce parking standards and setback requirements based on existing conditions within the City. An additional advantage is that the value of local fees and other charges normally imposed on projects, if waived, forgiven or deferred, count as part of the required match for certain federal housing program grants received by the City. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. City of Miami Beach Local Housing Incentives Plan Page 10 (6) Housing cost reduction anticipated from implementing this recommendation The housing cost reduction for affordable housing associated with deferring the payment of the parking impact fee is 100% of the fee for projects with a period of affordabilityof 15 years or more, depending on a pro-rata percentage of units, and decreasing to projects whose period of affordability exceeds three years. Therefore, said reduction varies from project to project. (7) Recommendation of advisory committee To defer "Parking Impact Fee" payments on affordable housing units over a 17 year period. New construction of affordable housing units must provide one parking space per unit on site and may pay a parking impact fee over a 17 year period for the other .5 space per affordable housing unit in each building, for those projects whose period of affordability exceeds three years (e.g. the HOME Program); in the event that the parking impact fee program is terminated for new construction, the provisions of the parking impact fee program will remain in place for the affordable housing units; there shall be no change to the setback and height requirements. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 11 H. Allowance of zero-lot-line configurations. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Allowance of zero-lot-line configurations. (2) Current status The City does not currently allow zero-lot-line development. (3) Explanation of existing regulation regarding this incentive Zero-lot-line housing configurations are used in many instances to place a normal- sized housing unit on a small or undersized lot, thus making the most out of a small yard by combining both side yards into one. This type of development regulation is usually applied to large tracts of vacant land proposed to be developed as detached dwelling units. The City of Miami Beach is almost 100% developed. There are no practical sites available to utilize zero-lot-line configurations. (4) Advantages/disadvantages of changing/adopting this incentive Even though in other communities the allowance of zero lot line configurations has decreased the cost of housing, these configurations are not appropriate in Miami Beach, which already has significant Multi-family Zoning. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation No housing cost reduction is anticipated from implementation of this recommendation. (7) Recommendation of advisory committee That because the City of Miami Beach has so many areas zoned as Multi-Family to accommodate affordable housing, in addition to the fact that there are no large tracts of available land, that there be no zero-lot-Iine-configurations as an incentive to affordable housing. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 12 I. Modifications of sidewalk and street requirements. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Modification of sidewalk and street requirements. (2) Current status The City of Miami Beach follows the guidelines and standards established by Metropolitan Dade County and the City's Code. The City's right-of-way system is nearly 100% developed. (3) Explanation of existing regulation regarding this incentive The City of Miami Beach is a highly developed community within a densely-populated urban settina and has the attendant traffic congestion problems. The City usually requires that a developer repair and/or replace the sidewalk, curb and gutter for projects associated with new construction or rehabilitation. (4) Advantages/disadvantages of changing/adopting this incentive Relaxation of the requirement to construct new sidewalks and curbing, other than that which is damaged prior to, or during the construction process, has a direct financial benefit and constitutes an incentive for new development. The City's General Fund budget did not contemplate funds for the construction of street and sidewalks for affordable housing initiatives, therefore funds are not budgeted. I (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation The housing cost reduction anticipated from implementation of this recommendations will vary from project to project. (7) Recommendation of advisory committee That the City waive the requirements to replace and/or repair new sidewalks and curbing, other than that portion which is damaged prior to, or during, the construction process on affordable housing projects. No other changes are proposed. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 13 J. Establishment of a process by which the City considers, before adoption, procedures and policies that have a significant impact on the cost of housing. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Process by which the City considers, before adoption, procedures and policies that have a significant impact on the cost of housing. (2) Current status Currently, the City has a review process in place that includes input from the Planning & Zoning, Public Works, and Building Department, as well as the Design Preservation Board, the Planning Board, and others. The City's Housing and Community Development Office, however, is not included. (3) Explanation of existing regulation regarding this incentive Site plan review is a costly and time consuming process which requires not only review and recommendations by City staff, but a review by the Planning Board and approval of the project by the City Commission. (4) Advantages/disadvantages of changing/adopting this incentive The intent of the recommendation is to formalize the participation of the Housing and Community Development Division in the review of proposed ordinances, policies and procedures, and regulations. The advantage is that the impact on affordable housing that a proposed plat or variance may have will be addressed and specific recommendations will be considered by the governing body prior to adoption. The disadvantage is the creation of an additional review/comment point on legislation which mayor may not be relevant to housing. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing cost reduction anticipated from implementing this recommendation No specific cost reduction can be associated with the implementation of this recommendation since future cost savings cannot be estimated at this time. (7) Recommendation of advisory committee That prior to adoption of any proposed policy, procedure, Ordinance, Development Plan regulation or Comprehensive Plan amendment that might impact housing, the City will evaluate the potential effect and cost on affordable housing; all such items will be sent to the City's Housing and Community Development Office for review and analysis to determine if the effect is "significant"; the H & CD Director may send such legislation to applicable Boards and Committees for review, including but not limited to the Community Development Advisory Committee (CDAC), the Loan Review Committee (LRC) and the Miami Beach Housing Authority (MBHA); the resulting analysis shall be provided directly to the original sponsor of the policy, procedure, Ordinance or Comprehensive Plan amendment and the Miami Beach City Commission. City of Miami Beach Local Housing Incentives Plan Page 14 (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 15 K. Preparation of a printed inventory of locally owned public lands. Review mandated by section 420.9076(4)(b), Florida Statutes. (1) Incentive Preparation of a printed inventory of locally-owned public lands suitable for affordable housing. (2) Current status The City has previously prepared a formal inventory of all locally-owned public lands. Said inventory includes land suitable for affordable housing, even though it does not specifically identify them as such. (3) Explanation of existing regulation regarding this incentive The maintenance of a current inventory of locally-owned public lands is necessary to provide developers with information regarding land available for development. (4) Advantages/disadvantages of changing/adopting this incentive The inclusion of recently acquired locally-owned public land suitable for affordable housing in said existing inventory will represent an incentive for the development of affordable housing locally. (5) Impacts on Public Health, Safety or Welfare No negative impacts on the public health, safety, or welfare should occur as a result of this recommendation. (6) Housing co~t reduction anticipated from implementing this recommendation No specific cost saving can be directly attributed to the implementation of this recommendation. (7) Recommendation of advisory committee That the City continue to maintain the Inventory of City-Owned Land and shall make such document available for inspection by the public at City Hall. Additionally, the City shall amend the Inventory to reflect the seven (7) parcels that the MBHA received as a result of the Portofino Development Agreement, as sites suitable for affordable housing initiatives. (8) Recommended schedule for implementation Upon approval of the Housing Incentives Plan by the City Commission. City of Miami Beach Local Housing Incentives Plan Page 16 The foregoing recommendations adopted by the City of Miami Beach Affordable Housing Advisory Committee are being submitted herewith for approval to the City Commission of the City of Miami Beach, Florida on this 21 st day of March of 1996. obert Saland, Chairman Page 17 City of Miami Beach Local Housing Incentives Plan