4-9-065 DENSITY BONUS REVIEW:

A. PURPOSE:

The purpose of this Section is to offer increased residential density for developments that construct affordable housing units, assisted living facilities, or cottage housing. Density bonuses are offered to meet the intent of the Comprehensive Plan policies, including but not limited to goals and policies of the land use element, and housing and human services element, as well as the purpose and intent of the zoning districts. (Amd. Ord. 4985, 10-14-2002; Ord. 5137, 4-25-2005; Ord. 5573, 11-15-2010; Ord. 5759, 6-22-2015; Ord. 6042, 12-13-2021; Ord. 6135, 5-20-2024)

B. DENSITY BONUS APPLICABILITY, LIMITATIONS, AND ELIGIBILITY CRITERIA:

1. Applicability: Density bonuses may be requested for the following types of projects that meet the requirements of this Section:

a. Residential development that includes construction of on-site affordable housing, or cash payment to support construction of off-site affordable housing in lieu of on-site affordable housing.

b. Assisted living facilities.

c. Cottage house developments.

2. Limitations: Density bonuses shall not be granted for projects where variances are also requested.

3. Affordable Housing Eligibility Criteria: To be eligible for density bonuses for on-site affordable housing, the dwelling units must be used as either affordable owner occupancy housing or affordable rental housing by households with an annual household income that does not exceed the below applicable percent of the area median income and must be sold or rented for no more than amounts specified below to retain affordability:

a. Affordable Owner Occupancy Housing: at the time of purchase, the household must have a gross household income of equal to or less than eighty percent (80%) of the area median income, adjusted for housing size, at rate determined and posted by City Clerk.

b. Affordable Rental Housing: the household must have a gross household income of equal to or less than fifty percent (50%) of the area median income, adjusted for housing size, at rate determined and posted by City Clerk.

c. Area Median Income: for purpose of determining eligibility, the area median income shall be based upon the median family income for the Seattle-Bellevue, WA, Metro Fair Market Rent (FMR) Area as most recently determined by the Secretary of Housing and Urban Development (HUD) under Section 8(f)(3) of the United States Housing Act of 1937, as amended. In the event that HUD no longer publishes median family income figures for the Seattle-Bellevue, WA, Metro FMR Area, the Administrator may adopt by rule an alternative method of calculating the Area Median Income, which shall be binding upon all impacted affordable housing unless an alternative is separately adopted by the City Council or imposed by state or federal law. (Amd. Ord. 4985, 10-14-2002; Ord. 5137, 4-25-2005; Ord. 5369, 4-14-2008; Ord. 5387, 6-9-2008; Ord. 5503, 11-16-2009, eff. 11-21-2009; Ord. 5759, 6-22-2015; Ord. 6042, 12-13-2021; Ord. 6135, 5-20-2024)

C. REVIEW PROCESS:

1. Concurrent Review: Density bonus review shall be requested and occur concurrently with any other required land use permit that establishes the permitted density and use of a site, including subdivisions, site plan review, and conditional use permits. When the development proposal does not otherwise require a subdivision, site plan review, or conditional use permit to establish the permitted density of a site, but includes a density bonus request, the development proposal shall be reviewed under administrative site plan review requirements.

2. Authority: The Community and Economic Development Administrator shall determine compliance with the density bonus process unless the required land use permit as described in subsection C.1 of this Section, Concurrent Review, requires Hearing Examiner review.

3. Submittal Requirements and Fees: A request for density bonus shall be submitted as part of the primary development application pursuant to RMC 4-8-120, Submittal Requirements – Specific to Application Type. (Amd. Ord. 4985, 10-14-2002; Ord. 5137, 4-25-2005; Ord. 5759, 6-22-2015; Ord. 6135, 5-20-2024)

D. DENSITY BONUS MAXIMUM ALLOWANCES:

1. Maximum Bonus Dwelling Units: The following table provides the maximum density that may be granted in applicable zones for conformance with affordable housing, assisted living facility, or cottage housing density bonus requirements and all other applicable requirements for development are met:

SUBJECT ZONES

MAXIMUM DENSITY BONUS

AFFORDABLE HOUSING

R-14 and RMF

30% above the maximum net density permitted by the subject zone pursuant to RMC 4-2-110A.

CV and UC

30% above the maximum net residential density permitted by the subject zone pursuant to RMC 4-2-120A.

CD, CO, and COR

30% above the maximum net residential density permitted by the subject zone pursuant to RMC 4-2-120B. If the applicant is seeking conditional use permit approval to increase density within applicable zones (CD and CO), the applicant may request a maximum density bonus of up to 30% above the maximum density permitted via conditional use permit approval, pursuant to RMC 4-9-030G.

ASSISTED LIVING FACILITIES

R-1, R-10, and R-14

Up to 18 dwelling units per net acre.

RMF

50% above the maximum net density permitted by the subject zone pursuant to RMC 4-2-110A.

CV and UC

50% above the maximum net residential density permitted by the subject zone pursuant to RMC 4-2-120A.

CD, CO, and COR

50% above the maximum net residential density permitted by the subject zone pursuant to RMC 4-2-120B.

COTTAGE HOUSE DEVELOPMENTS

R-4, R-6, R-8, R-10, and R-14

2.5 times the number of lots identified in the pro forma subdivision plan, based on the maximum net density permitted by the subject zone pursuant to RMC 4-2-110A.

(Ord. 6135, 5-20-2024)

E. AFFORDABLE HOUSING DENSITY BONUS STANDARDS:

1. Minimum Number of Affordable Housing Units: For every two (2) dwelling units that exceed the baseline maximum density for the applicable zoning, at least one unit shall be reserved for affordable housing. Bonus dwelling units may be granted up to the maximum density bonus allowed pursuant to subsection D.1 of this Section, Maximum Bonus Dwelling Units.

2. Affordable Housing Income Levels: Dwelling units conditioned as affordable under this Section shall conform to the definition of “affordable housing” pursuant to RMC 4-11-010, Definitions A.

3. On-Site Affordable Housing: Developments qualifying for density bonus due to on-site affordable housing shall conform to the following standards:

a. Minimum Number: All projects must construct at least two (2) affordable housing units.

b. Affordability Duration and Recalculation: Affordable housing units provided under this Section shall remain affordable housing for a term of fifty (50) years from the date the affordable housing agreement is recorded. For the full term a dedicated affordable housing unit is required to remain affordable, the most recent affordability rates on file with the City Clerk’s Office shall be applied at any point a new owner or renter is allowed to purchase or rent the unit, and at the time of each rental rate adjustment. For owner-occupied units, compliance with the most recent affordability rates on file with the City Clerk’s office shall be verified at the time of purchase. Affordability shall not be recalculated for owner-occupied units so long as the unit remains occupied by the same owner who qualified at time of their purchase.

c. Affordable Housing Agreement: Prior to issuing any building permit or final plat approval, an agreement in a form approved by the Administrator that secures appropriate use of affordable housing units by addressing such terms as price restrictions, home buyer or tenant qualifications, phasing of construction, monitoring of affordability, record keeping, duration of affordability, and enforcement, shall be recorded with the King County Recorder’s Office. This agreement shall be a covenant running with the land and shall be binding on the assigns, heirs and successors of the applicant. After issuance of the building permit or final plat approval (whichever is the basis for the Affordable Housing Agreement recorded), the Administrator may authorize, at their sole discretion, to subordinate the agreement or modify its terms to advance the purpose of making the housing available, such as enabling a qualified purchaser to obtain financing for purchase of the dwelling unit or redevelopment of the property.

d. Affordable Housing Unit Conditions: Affordable housing units shall be provided in a range of sizes and with features comparable to market-rate units. To the extent practicable, the number of bedrooms in affordable housing units shall be in the same proportion as the number of bedrooms in units within the entire development. The affordable housing units shall be distributed throughout the development and have substantially the same functionality as the other units in the development.

e. Compliance Monitoring: All on-site affordable housing shall be monitored to ensure compliance with the affordable housing requirements of this Section, in conformance with the following standards:

i. Monitoring Experience and Qualification: Any applicant or owner with on-site affordable housing shall either demonstrate to the Administrator’s satisfaction that they possess the experience and ability to monitor and prepare reports for on-site affordable housing, or the applicant/owner shall provide monitoring and reporting by a qualified, independent third-party professional, selection of whom to be approved by the Administrator. Unless otherwise approved by the Administrator, the applicant shall demonstrate that a third-party professional has been contracted for the purposes of monitoring and report preparation for the on-site affordable housing, prior to issuance of building permit for the project. The property owner shall remain ultimately responsible for overseeing an approved third-party professional and accurate monitoring and reporting. If at any point after approval an approved professional discontinues its services, the owner shall either request written approval from the Administrator for a replacement professional or request written approval for self-monitoring and reporting.

ii. Monitoring Frequency and Reporting: Monitoring and reporting for the affordable housing shall be provided as follows:

(a) Owner Occupancy Affordable Housing: The applicant/owner, or authorized third-party professional on behalf of the owner, shall file an affordability compliance report with the Administrator prior to completion of any sale to a new eligible household.

(b) Rental Affordable Housing: The applicant/owner, or authorized third-party professional on behalf of the owner, shall file an annual affordability compliance report with the Administrator within thirty (30) days after the first anniversary of issuance of the project’s certificate of occupancy, and each year thereafter for as long as the dwelling unit is required to remain affordable housing.

iii. Affordability Compliance Report Standards: The report shall contain such information and records as the Administrator may require to confirm compliance. Such information shall include, but is not limited to, the following information:

(a) A certification that the project has been in compliance with the affordable housing requirements of this Section since the date the City issued the project’s certificate of occupancy and that the project continues to be in compliance with the requirements of this Section;

(b) A breakdown of the number and specific affordable housing units sold or rented during the twelve (12) months, ending with the anniversary date, to meet the affordable housing requirements of this Section;

(c) The total sale or rental amount of each affordable housing unit for households sold or rented during the twelve (12) months ending with the anniversary date, as applicable;

(d) Documentation that demonstrates to the Administrator’s satisfaction that the purchaser or renter (at the time of purchase or rental lease/renewal) of an affordable housing unit, qualifies as an eligible household, as defined in RMC 4-11-010, Definitions A.

iv. Fees: The City reserves the right to establish, within the City’s fee schedule, monitoring fees for the affordable housing unit, which may be adjusted over time to account for the City’s cost to monitor and enforce compliance with income and affordability restrictions required by this Section and/or the affordability agreement.

4. Cash Payment in Lieu of On-Site Affordable Housing: As an alternative to providing on-site affordable housing pursuant to subsection E3 of this Section, the applicant may substitute the provision of one or more required affordable housing units by making a cash payment to the City. Cash payments in lieu of on-site affordable housing shall be authorized only under the following conditions:

a. Eligibility: The cash payment in lieu option is available only for projects that propose eight (8) bonus market-rate units or less.

b. Payment Calculation: The cash payment in lieu shall be paid in an amount specified within the City of Renton fee schedule.

c. Payment Timeline: The payment obligation shall be established and paid prior to issuance of any building permits for the project.

d. City Use of Affordable Housing Funds: To approve payments in lieu, the City must have a budgeted program, fund, or other dedicated means of depositing and preserving all payments received so that the payments will be used for the development of affordable housing. (Ord. 6135, 5-20-2024)

F. ASSISTED LIVING DENSITY BONUS STANDARDS:

1. Maximum Density Bonus: Bonus dwelling units may be granted up to the maximum density bonus allowed pursuant to subsection D1 of this Section, Maximum Bonus Dwelling Units.

2. Assisted Living Facilities: The development shall satisfy the definition of “assisted living facility” pursuant to RMC 4-11-010, Definitions A. (Ord. 6135, 5-20-2024)

G. COTTAGE HOUSE DEVELOPMENT DENSITY BONUS STANDARDS:

1. Maximum Density Bonus: Bonus dwelling units may be granted up to the maximum density bonus allowed pursuant to subsection D1 of this Section, Maximum Bonus Dwelling Units.

2. Pro Forma Subdivision Plan and Density Bonus Calculation: The applicant shall submit a pro forma subdivision plan for the proposed property showing the number of conventional lots that would be allowed based on the maximum net density permitted by the subject zone pursuant to RMC 4-2-110A. This pro forma subdivision plan will be used to determine the maximum number of unit lots allowed, by multiplying the number of lots in the pro forma subdivision plan by two and one-half (2.5). (Ord. 6135, 5-20-2024)

H. VIOLATIONS:

1. Correction: Any violations of the provisions of this Section or terms of the covenant(s) recorded pursuant to this Section, including failure to submit an affordability compliance report, shall be promptly corrected within thirty (30) days of receiving a warning of violation from the City, unless an alternative time frame is equitable and just based upon the circumstances of the violation, as determined by the Administrator.

2. Remedies: The remedies for violations may, at the discretion of the Administrator, be enforced as contractual remedies through the affordable housing agreement or deemed to be violations of this Section and enforced pursuant to chapters 1-3 and 1-10 RMC. Civil fines and contractual remedies should be established in amounts that are designed to correct the violation which, depending upon the circumstances, may be up to amounts that are necessary for the City to provide dedicated replacement affordable housing, plus the City’s cost of enforcement. (Ord. 6135, 5-20-2024)