Council Provided Information - 12/5/2023COUNCIL STAFF
REPORT
CITY COUNCIL of SALT LAKE CITY
TO:City Council Members
FROM: Nick Tarbet, Policy Analyst
DATE: December 5, 2023
RE:Zoning Amendments:
Affordable Housing Incentives
PLNPCM2019-00658
PROJECT TIMELINE:
Briefing 1: Sept 19, 2023
Briefing 2: Oct 3, 2023
Briefing 3: Oct 10, 2023
Briefing 4: Nov 7, 2023
Briefing 5: Nov 14, 2023
Set Date: Oct 3, 2023
Public Hearing: Oct 17, 2023
Potential Action: Dec 5,
2023
Visit the Council’s Website for more information on various topics relating to affordable housing,
including this proposal tinyurl.com/SLCHousingProposals
NEW INFORMATION – November 14 Work Session Summary
During the November 14 briefing the Council approved the following straw polls. These along with the
straw polls from November 7 have been incorporated into the final ordinance for consideration on
December 5, 2023.
1. The council supports adopting the Affordable Housing Incentives ordinance with an effective date
of April 30, 2024. This will give the administration time to accomplish the following:
a. Forward a transmittal pertaining to Title 18 that would make recommendations for code
changes to safeguard that construction work may not damage adjacent properties, establish
a process to help remedy situations when damage has occurred, and include penalties that
will discourage damage from being done.
b. Transmit a report to the Council outlining the implementation plan to administer and
enforce the Affordable Housing Incentives program.
The ordinance will go into effect whether or not the two items have been transmitted to the Council
by the effective date of April 20. 2024
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2. Removing the following section from the draft ordinance:
21A.52.050.H.3.E - Unit Limits: For overall development sites with more than 125 units, no more
than 50% of units shall be designated as affordable units.
Planning staff made this recommendation because they felt capping the amount of affordable units
is unnecessary because projects are using income averaging more and this would prevent some
projects from being eligible for the incentives.
Legislative Action
The following legislative action is included as one of the options for consideration on the motion sheet.
1. I move the Council to initiate a legislative action requesting the Administration work with the
Attorney’s Office to draft an ordinance that would; clarify City code to ensure that construction
work may not damage adjacent properties, include penalties that would discourage damage from
being done, establish a process for the City to successfully enforce city code in situations when
damage occurs and establish a process to remedy situations when damage occurs.
I further move the Council request that the Administration transmit a report to the Council
outlining the implementation plan to administer and enforce the Affordable Housing Incentives
program by April 30, 2024.
Outline of Ordinance Changes supported by the Council:
1. Changes to incentives to encourage more homeownership in both Single family and mid to
high density areas of the city
2. Building height for additional stories is defined as “not exceeding 12 ft.”
3. Outline specific information required for an application to improve the ability of the
Administration to track the application through the process.
4. Removed a section of the draft ordinance that would have prohibited projects with 125 or
more units from participating in the affordable housing incentive program.
The following information was provided for the November 14 briefing. It is provided again
for background purposes.
NOVEMBER 7 INFORMATION
During the November 7 work session briefing, the Council approved the following straw polls. These
changes will be incorporated into the final draft of the ordinance.
1. Amendments to Incentivize Homeownership
a. Type A Incentives (single family zoning)
•50% of units shall be affordable to those with incomes at or below 100% AMI
•If an existing structure is preserved, 25% of units shall be affordable to those with
incomes at or below 100% AMI
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b. Type B and C Incentives (mid/high density)
•10% of units shall be affordable to those with incomes at or below 80% AMI
•5% of units shall be affordable to those with incomes at or below 60% AMI
2. Additional Building Height
a. Building height for additional stories is defined as “not exceeding 12 ft.”
b. Tables will be updated to reflect the updated maximum height for additional stories.
3. Application Tracking
a. Specific information required for an application is outlined to improve the ability of the
Administration to track the application through the process.
b. Include a point that provides room to request any other information necessary to
demonstrate compliance.
Another straw poll failed that would have removed three and four-unit structures from the permitted type
of housing allowed in the single-family zones.
Council Members decided to put this item on the November 14 agenda for further discussion. The focus of
that discussion will be on enforcement, staffing and potential legislative actions.
For quick access to the enforcement and reporting & auditing sections of the ordinance, staff has attached
the legislative version of the ordinance to memo. See Attachment A.
•The enforcement section of the code is found in 21A.52.050.E, page 17.
•The reporting and auditing section is found in 21A.52.050.D, pages 15-17.
The following information was provided for the November 7 briefing. It is provided again
for background purposes.
NOVEMBER 7 INFORMATION
During the October 10 work session, the Council had the opportunity to raise questions about the
Affordable Housing Incentives plan. Planning staff has provided responses to the questions raised at that
time. Please see Attachment A to review the questions and responses.
Changes to the Ordinances
During the previous briefings, Council Members supported making specific changes to the ordinance
pertaining to incentives for homeownership and additional building height. Additionally, a change was
made that would help the Administration better track applications. If the Council supports the following
changes they will be added to the final draft.
•Home Ownership
▪Affordable homeownership units shall meet a minimum of at least one of the
affordability criteria identified. Any fractional number of units required shall be
rounded up to the nearest whole number.
•10% of units are restricted as affordable to those with an income at or below
80% AMI; or
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•5% of units are restricted as affordable to those with an income at or below
60% AMI
•Additional Building Height
o Building height for additional stories is defined as “not exceeding 12 ft.”
o Tables were updated to reflect the updated maximum height for additional stories.
•Application Tracking (page 14)
o Specific information required for an application is outlined to improve the ability of the
Administration to track the application through the process.
Potential Follow up Questions
1. Does the Council support the changes to the draft ordinance pertaining to homeownership,
additional building height and application tracking?
2. Does the Council wish to initiate a request for the administration to complete a study to justify a fee
for the AHI program?
a. Does the Council have concerns that a fee would potentially discourage the construction of
affordable housing units?
3. Does the Council want to consider a delayed implementation for the AHI ordinance?
a. Planning staff indicates this could be helpful in order to give the Administration time to get
the permitting system set up with new requirements. This could also be helpful to get the
tracking system up and running or to phase in the ordinance if that is desired.
4. Does the Council wish to include any of the requirements from the Landlord Tenant Program as
part of the AHI program?
5. Does the Council with to discuss owner occupied requirements with the Administration?
a. Admin staff responded they feel owner occupied requirements would reduce interest from
property owners to participate in the AHI program.
6. Does the Council wish to discuss with the Administration the Legislative Action to study of single-
family zones and its potential impact on the AHI ordinance?
7. Does the Council wish to ask the Administration to add annual reporting requirements to the
ordinance (number of units built, number affordable, homeownership, etc.)?
Legislative Action
During some of the briefings Council Member Wharton expressed concerns about perceived
ambiguousness of city code when it comes to enforcing and limiting the impact on construction on adjacent
properties. Council Members expressed general support for initiating a legislative action that would
request the Administration provide recommendations to the City Council to clarify the city code.
Staff will have a motion ready for consideration at time of potential adoption of the AHI ordinance.
The following information was provided for the October 17 briefing. It is provided again
for background purposes.
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October 17 Work Session Information
The Council held a follow-up discussion about the Affordable Housing Incentive proposal on October 10.
During the discussion, Council Members raised questions about the proposal. Questions included topics
such as long-term enforcement and administration of the program, community concerns about
neighborhood character, and ways this proposal intends to address the affordable housing crisis.
The Mayor’s Administration will work on responding to these questions in the next several weeks. Council
staff will add this list of questions to the public packets as soon as it is finalized. A follow-up briefing will be
held to discuss the responses and to determine if any changes will be made to the plan.
The public hearing is scheduled for October 17.
The following information was provided for the October 10 briefing. It is provided again
for background purposes.
The Council held a follow up briefing on both the Affordable Housing Incentives proposal and the Thriving
in Place draft plan during the October 3 work session briefing.
The Council decided to hold another work session to give more time to publicly identify any questions and
follow-up items. The goal of the briefing will be for Council Members to share requests, and then allow
time for Planning to respond and incorporate potential changes before returning for a follow-up briefing in
the coming weeks.
Council staff and the Administration will track the list, including items raised during the October 3rd
briefing, and get written responses to each question/concern for a future briefing.
The following information was provided for the October 3 briefing. It is provided again for
background purposes.
NEW INFORMATION
During the September 19 work session, the Council held a briefing on the Affordable Housing Incentives
zoning amendment petition. Based on that discussion, several questions were raised, and Council staff is
working with the Administration to get responses to those questions.
A follow up briefing will be held on October 3 in conjunction with a briefing on the Thriving In Place (TIP)
plan. The TIP plan identifies the Affordable Housing Incentives as a priority for implementation and notes
funding for new staff will be needed.
As part of the discussion on Affordable Housing Incentives, the Council may wish to consider discussing
some of the policy questions outlined below.
1. Drafting Administrative Policies and Procedures
•During the work session briefing Planning staff mentioned it would take some time to get
guidelines and procedures in place to administer the program. Council staff asked for
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clarification because there was some confusion if that meant design guidelines for the
appearance of structures needed to be created.
Planning staff clarified they need to create the administrative procedures that outline the
process administrative staff will follow to move an application through the process.
2. Design Guidelines
•Some questions were raised about how buildings constructed according to the Affordable
Housing Incentives would be compatible with neighborhoods and existing development.
The draft ordinance notes that base zoning standards apply unless they are specifically
modified by this section. However, if there are conflicts with design standards, the more
restrictive regulation applies and takes precedence.
According to the draft ordinance, the “development regulations are intended to provide
supplemental regulations and modify standards of the base zoning district for the purpose
of making the Affordable Housing Incentives more feasible and compatible with existing
development.” (21A.52.H – Development regulations)
There are design standards that apply to rowhouses, sideways rowhouses, cottages as well
as for the new housing types in single- and two-family zoning districts. 21A.52.H, 1-3 –
Development regulations.
3. Staffing Adjustments
•Administrative staff said they will be able to initially absorb the anticipated workload that
creating and administering this program will require. However, they anticipate they will
likely come to the Council in future budgets to request additional staff once the program is
up and running.
4. Potential Program Participation Fee
•At this time Administration has not proposed to include a fee for the program that will help
cover the costs of administering it. However, they noted it is likely a fee can be justified.
o Does the Council wish to put in a place holder in the ordinance that anticipates
the Administration will return to the Council with a request to put a fee in the City
Code?
5. Good Landlord Requirements
•Council staff is working with Attorney’s and Planning staff to find out if requirements
outlined in the good landlord program can be included as a requirement as part of
participation in the Affordable Housing Incentives program.
6. Impact Fee Waiver
•Council staff is working with the Attorney’s Office to find out if impact fees can be waived
for affordable units that are constructed are part of this program.
7. Licensing Requirements for Apartments with Three or Fewer Units
•Staff is working with Attorney’s and Planning staff to confirm if apartment complexes with
three or fewer units are required to have a business license and be part of the good landlord
program
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8. Enforcing fines and compliance with code
•Questions have been raised about how the City enforces fines that are levied to bring
properties into compliance with City Code. Some questions have been raised about the
effectiveness of fines and when the City decides to settle with property owners at levels
much lower than their accrued amount.
•Council staff is working with the Attorney’s Office to get a response to this question. At the
time this staff report was drafted, a response was not yet ready. Staff will update the
Council once a response is ready.
9. Administering and Enforcement
Administering and enforcement of the program was discussed. Planning staff outlined the key
provisions related to the enforcement plan: 21A.52.D, E and F
•Reporting and Auditing
o Property owners must submit an annual report to the Director of CAN by April 30
of each year, demonstrating compliance with the ordinance
o That report includes:
1. Property location, tax ID and legal description
2. Property owner name, mailing and email addresses,
3. Information on the dwelling units and tenants receiving incentives includes:
a. total number of dwelling units
b. number of bedrooms for each unit
c. rental rate of each unit
d. identify dwelling units that comply with level of affordability
identified in the approval process and statement that units are in
compliance
e. identify change in occupancy to the units, include number of people
residing in each unit and change in tenant (Personal data is not
required)
f. confirm verification for all tenants was performed on annual basis
g. identify differences in rent between agreed upon rental rate and
actual rent received
h. identify instances where an affordable unit was no longer rented at
the agreed upon level of affordability, length of time it was not in
compliance and remedy taken to address noncompliance
o The CAN director has 30 days to provide written notice to property owners
whether they are in compliance or not.
o In situations of noncompliance, a property owner has 30 days to come into
compliance. If they are unable to do so, they will start paying the fine.
•Enforcement
o Violations of the restrictive covenant will be investigated and prosecuted
1. A lien may be placed on the property
2. A business license may be revoked
•Eligibility
o Property owner must enter into a legally binding restrictive covenant which must
be filed with the Salt Lake County Recorder
o Notice of sale shall be provided to the City and the City shall have right of first
refusal to any sale of the property.
o Affordable units shall be both income and rent/housing payment restricted
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o Affordable units must be comparable to market rate units within the development
10. Delayed Adoption for Portions of the Affordable Housing Incentives Amendment
Some have asked about the possibility of dividing the Affordable Housing Incentives into separate
pieces for adoption. The first piece would be to adopt the RMF/mixed use/institutional zoning
initiatives. Then the second would be to adopt changes to the single-family zoning districts.
11. Institutional Zone Amendments
There were some questions about what incentives apply to the Institutional zoning district.
According to the draft ordinance, housing would be allowed on institutional zoned land. These
would include row houses, sideways row houses, cottage developments
Additionally, the Institutional zoning district will follow the affordability requirements as outlined
in table 21 A.52.050.G (see page 7 below)
Affordable rental or homeownership units shall meet a minimum of at least one of the
affordability criteria identified. Any fractional number of units required shall be rounded up to
the nearest whole number.
1. 20% of units are restricted as affordable to those with an income at or below 80% AMI;
2. 10% of units are restricted as affordable to those with an income at or below 60% AMI;
3. 10% of units are restricted as affordable to those with an average income at or below
60% AMI and these units shall not be occupied by those with an income greater than
80% AMI;
4. 5% of units are restricted as affordable to those with an income at or below 30% AMI;
5. 10% of units are restricted as affordable to those with an income at or below 80% AMI
when the affordable units have two or more bedrooms;
6. 5% of units are restricted as affordable to those with an income at or below 60% AMI
when the affordable units have two or more bedrooms; or
5% of the units are restricted as affordable to those with an income at or below 80%
AMI when the affordable units have three or more bedrooms.
The following information was provided for the September 19 briefing. It is provided again
for background purposes.
ISSUE AT-A-GLANCE
The Council will receive a briefing about an ordinance that would amend various sections of the City zoning
ordinance by establishing Affordable Housing Incentives (AHI). The proposed amendments would allow
the following if requirements for affordable units are met in order to streamline and encourage more units
to be built in the City at an affordable rate. See more details on each of these changes starting at
the end of page 2, and chart on page 3 to see the level/quantity of affordability required for
each:
• Permit administrative design review and additional building height between 1-3 stories, depending
on the zone, in various zoning districts that permit multifamily housing.
• Remove the Planned Development requirement for specific modifications and for development in
the CS (Community Shopping) zoning districts.
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• Permit an additional story in the TSA Transition zoning districts and two stories in the TSA Core
zoning districts.
• Allow additional housing types in the CG (General Commercial), CC (Community Commercial), and
CB (Community Business) zoning districts.
• Allow housing on Institutional zoned land.
• Remove the density requirements in the RMF (Residential Multi Family) zoning districts.
• On properties currently zoned for single- or two-family homes:
o Allow townhomes and housing structures that contain up to 4-unit buildings,
o a second detached dwelling when an existing dwelling is maintained;
o cottage developments;
o Allow twin and two-family homes in these zoning districts where they are not currently
allowed.
The proposal was initially envisioned as an overlay. However, since the incentives are different for various
zoning districts, the proposal was changed to a specific section of the zoning ordinance, 21A.52 Zoning
Incentives. The Affordable Housing Incentives is proposed to be the first section of this new chapter of the
zoning ordinance.
The Planning Commission held public hearings and forwarded a positive recommendation to the City
Council. Additionally, the Planning Commission added a condition that if adopted by the City Council, the
incentives plan should be analyzed 24 months after approval, to include a report of the cost and benefits of
the changes.
Staff note on public notice/engagement: Because of the City-wide breadth and potential impact of
this topic, along with the context of the City-wide anti-gentrification study, the Council authorized the
mailing of a postcard City-wide, to all residents and property owners, with direction to go to the
Council’s main website on the affordable housing topic, that includes information on these issues and
others, at tinyurl.com/SLCHousingProposals
POLICY QUESTIONS
•Reporting and Enforcement Related Questions
o Reporting Requirements – annual reporting and auditing will be a key component of the
plan to ensure property owners and builders who use the incentives keep the units at
affordable levels.
▪Will the proposed fine structure be enough to ensure compliance by property
owners?
▪The Council could consider requiring a biannual report on the affordability
compliance of the program.
o Option for the City to contract with another entity to administer the program
▪Would the third party be responsible for enforcement?
▪What type of entity might be interested in administering the program?
o Will properties that are part of the program be required to get a business license and
participate in the Good Landlord Program?
o Is there a plan in place to link up the affordable housing with income-restricted individuals,
or would the City service as a central resource to connect individuals with housing?
•Staffing/Guidelines Questions
o The Planning Commission staff report noted additional staff will be needed to administer
the program. The Council may wish to ask the Administration when and how they will
propose funding this additional staffing, how many FTEs would be needed, and the
anticipated timeline to onboard and train those FTEs?
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o Because this ordinance would go into effect prior to the next budget amendment, is existing
staff sufficient to accept any applications that may come in prior to the next budget and
ensure compliance with design and affordability objectives?
o Is there a possibility this ordinance will go into effect before design guidelines are
developed/approved? Would funding be needed to develop those design guidelines? Will
the development of the design guidelines be an administrative process, or will they be
approved by the Planning Commission?
o Does the Administration plan to promote this program to the general public to notify them
of the program and potential benefits?
o How long might it take for the City to get the necessary affordability and design review
structures in place?
•Thriving in Place Plan Objectives and Community feedback
o The Council may wish to discuss with the Administration whether there are alternative
ways to achieve the goals of this proposal (see page 5).
o Given the significant community feedback received to date, the Council may wish to discuss
concerns that have been noted by some neighborhoods about the potential for these
incentives to result in the demolition of existing housing stock, including existing naturally
occurring affordable housing.
o The purpose statement of the affordable housing incentives notes design is key to the
success of the proposal: Housing constructed using the incentives is intended to be
compatible in form with the neighborhood and provide for safe and comfortable places to
live and play. Does the Council wish to ask the administration to discuss how design
guidelines will be able to help implement this vision?
o Based on concerns expressed by some residents, the Council may wish to discuss the
benefit of additional housing units with the potential for additional traffic in areas where
transit is not readily available.
o Based on recent discussion about the lack of family-sized housing with much of the new
construction in the city, the Council may wish to discuss if this incentive program has ways
to provide more family- sized affordable housing.
SUMMARY OF INCENTIVES
Pages 3-6 of the Planning Commission staff report outline key changes of the proposed amendment. The
list below, from Attachment B Summary of Incentives, is a high-level summary of the key changes, based
on the type of zoning district.
•Multi-family and Mixed-Use Zoning Districts
o Permit additional height, between 1-3 stories (approximately 10’ per story), depending on
the zone in various zoning districts that currently permit multifamily housing.
•Residential Multifamily Zoning Districts
o Remove the density requirements in the RMF zoning districts,
o No additional height permitted.
o Only 25% of the units could be 500 square feet or smaller.
o Add development and design standards for rowhouses, sideways rowhouses, cottages, and
other building forms.
•Single- and Two-family Zoning Districts
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o Allow additional building types in single- and two-family zoning districts, provided 1-2 of
the units would be affordable.
o Allow townhouses in groups of up to four, 3–4-unit buildings, and cottage developments on
parcels that are currently zoned for single- or two-family homes.
o Twin and two-family homes would be permitted in the zoning districts where they are not
currently allowed.
o Add development and design standards for these dwellings.
•Other Incentives
o Waive the Planned Development process for some proposals
o Allow single-family and single-family attached housing on Institutional zoned land. Future
zoning amendments may be considered to allow multifamily housing.
o Allow additional housing types in the CG (General Commercial), CC (Community
Commercial), and CB (Community Business) zoning districts to encourage the
redevelopment of underutilized commercial land. These districts currently permit
multifamily housing, but not single-family dwellings, including single-family attached
units, or cottages.
•Affordability requirements - Planning staff worked with developers to come up with a model that
would provide sufficient return on development to incentivize the development of affordable units
in various projects. Table 21A.52.050.G of the ordinance outlines the recommendation based on
that analysis. Attachment G of the Planning Commission staff report includes a summary of the
proforma and scenario analyses.
See the table on the next page.
Table 21A.52.050.G
Incentive Type
Types Incentives
Type A. Applicable to the single- and
two-family zoning districts: FR-1,
FR-2, FR-3, R-1/12,000, R-1/7,000,
R-1/5,000, R-2, SR-1, SR-1A, and
SR-3.
Dwelling units shall meet the requirements for an
affordable rental or homeownership unit affordable to
those with incomes at or below 80% AMI.
New construction: At least 50% of the provided
dwelling units shall be affordable.
Existing building maintained: A minimum of one of the
dwelling units shall be affordable provided the existing
building is maintained as required in
21A.52.050.H.1.c.
Type B. Applicable to residential
multifamily zoning districts: RMF-
30, RMF-35, RMF-45, and RMF-75
An affordable rental unit shall meet a minimum of at
least one of the following affordability criteria:
1. 40% of units shall be affordable to those with
incomes at or below 60% AMI;
2. 20% of units shall be affordable to those with
incomes at or below 50% AMI; or
3. 40% of units shall be affordable to those with
incomes averaging no more than 60% AMI
and these units shall not be occupied by those
with an income greater than 80% AMI.
For sale owner occupied units: An affordable
homeownership unit shall provide a minimum of 50%
of units affordable to those with incomes at or below
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80% AMI
Type C. Applicable to zoning
districts not otherwise specified.
Affordable rental or homeownership units shall meet
a minimum of at least one of the affordability criteria
identified. Any fractional number of units required
shall be rounded up to the nearest whole number.
7. 20% of units are restricted as affordable to those
with an income at or below 80% AMI;
8. 10% of units are restricted as affordable to those
with an income at or below 60% AMI;
9. 10% of units are restricted as affordable to those
with an average income at or below 60% AMI
and these units shall not be occupied by those
with an income greater than 80% AMI;
10. 5% of units are restricted as affordable to those
with an income at or below 30% AMI;
11. 10% of units are restricted as affordable to those
with an income at or below 80% AMI when the
affordable units have two or more bedrooms;
12. 5% of units are restricted as affordable to those
with an income at or below 60% AMI when the
affordable units have two or more bedrooms; or
13. 5% of the units are restricted as affordable to
those with an income at or below 80% AMI when
the affordable units have three or more
bedrooms.
COMMUNITY OUTREACH
Pages 2-3 of the transmittal summarize outreach efforts Planning conducted to get feedback from the
community on the proposed change.
Outreach efforts included: online surveys, developer discussion, recognized community organization
outreach, and open houses, both in person and online. The Historic Landmark Commission and Planning
Commission both reviewed the proposed changes. The Planning Commission held public hearings in May
2022 and March 2023.
Additionally, in the fall and winter of 2022/2023 the Mayor convened a focus group that included 15-20
members of the community, including neighborhood leaders, developers, policy advisors, and housing
advocates. The group reviewed and discussed topics with the most community concerns over four meetings
in the fall and winter of 2022.
Based on the focus group’s recommendations, changes were made to the final draft. Their recommended
changes to the proposal are detailed in the Planning staff’s report and highlighted on pages 7-9 of
Attachment A – Updated Affordable Housing Incentives March 2023 to this memo.
As noted above, the Council also authorized a City-wide postcard to notify residents and property owners
about this proposal as well as the City-wide anti-gentrification plan.
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KEY ELEMENTS OF THE PROPOSAL
The Affordable Housing Incentives amendments are intended to encourage the development, construction,
and preservation of housing in the city through a variety of methods, including allowing for additional
height, reducing parking requirements, allowing additional housing types, and providing planning process
waivers or modifications.
Purpose
The purpose statement of the Affordable Housing Incentives section reads as follows:
To encourage the development of affordable housing. The provisions within this section facilitate
the construction of affordable housing by allowing more inclusive development than would
otherwise be permitted in the base zoning districts. Housing constructed using the incentives is
intended to be compatible in form with the neighborhood and provide for safe and comfortable
places to live and play.
There are two primary goals of the Affordable Housing Incentives:
1. Help public and private dollars that go into building affordable housing create more housing units.
2. Create additional opportunities for property owners to provide new, affordable housing units.
(April 26, 2023, Planning Commission Staff Report, Page 2)
Affordable Housing Definition
The draft ordinance provides the following definition for affordable housing:
Shall be both income and, as applicable, rent restricted. The affordable units shall be made available
only to individuals and households that are qualifying occupants at or below the applicable
percentage of the area median income for the Salt Lake City Utah, U.S. Department of Housing and
Urban Development (“HUD”) Metro FMR Area the “SLC Area Median Income” or “AMI”, as
periodically determined by HUD and adjusted for household size) and published by the Utah Housing
Corporation, or its successor. Affordable housing units must accommodate (30% of gross income for
housing costs, including utilities) at least one of the following categories:
a.Extremely Low-Income Affordable Units: Housing units accommodating up to 30% AMI;
b.Very Low-Income Affordable Units: Housing units accommodating up to greater than 30% and
up to 50% AMI; or
c.Low-Income Affordable Units: Housing units accommodating greater than 50% and up to 80%
AMI
Preservation of Existing Housing
The Affordable Housing Incentives adds provisions to encourage preservation of existing housing. This
includes allowing a second, detached dwelling on a property when the existing dwelling is maintained.
Key Concepts Discussed with the Planning Commission
Pages 2-3 of the transmittal letter outline the key considerations of the draft amendments discussed with
the Planning Commission. A short summary is provided below. See pages 7-14 for full analysis.
1.Implementation of city goals and policies identified in adopted plans
a. Planning staff found the proposed amendments are consistent with principles and polices
of Plan Salt Lake and Growing SLC
2.Affordability level and percentage of units
a. See chart on page 3 above.
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3.Neighborhood Impacts
The focus group discussed several mitigation options based on comments from the Planning
Commission and the public and came to a consensus on the following recommendations:
•The removal of the proximity to transit and adjacency to arterial roads requirement for
additional housing types in the single- and two-family zoning districts.
•Emphasis on the preservation of existing housing
•Additional design standards for new housing types in single- and two-family zoning
districts
4.Administration and Enforcement
a. Administrative staff anticipates additional staff will be needed to administer the program
based on the number of projects that use the affordable housing incentive program.
b. Language is included in the draft ordinance that would enable the City to contract with a
third party for administration on the incentives.
c. Language on reporting, compliance, and enforcement are included in the ordinance. The
properties using the AHI would be required to submit an annual report, and a restrictive
covenant would be placed on the property.
5.Infrastructure impacts
a. If a water, sewer, or storm drain line does not have adequate capacity for new housing
units, a developer is required to increase the capacity. This is handled during the building
permit process.
b. Planning staff also worked with Public Utilities to determine the impact this proposal may
have on water supply and demand in the city. Public Utilities provided scenarios for
different types of potential development that would result from the proposed changes.
i. Average usage for single-family residential dwellings is between 12,000-15,000
gallons per month.
1. Much of this is for outdoor watering and in the winter water usage is
approximately 6,500-7,000 gallons per month.
ii. A sampling of high-rise and wood frame construction with a total of about 725 units
averaged water usage of approximately 2,000 gallons per month, per unit.
iii. Two fourplexes and a cottage court (10 units) averaged approximately 3,000 gallons
per month, per unit.