San Jose Inclusionary Zoning
The City of San Jose will take its first step toward implementation of a City wide inclusionary zoning ordinance that has been delayed from taking effect for the last 3 years while CBIA’s historic challenge wound through the legal system. At the March 29th meeting the City Council will weigh Staff recommendation to implement a grace period in the Inclusionary Housing Guidelines for projects subject to the Ordinance, providing an exemption from its requirements if all Planning Permits needed for the project are obtained by June 30, 2016. The Ordinance generally requires that, in market-rate for-sale developments of 20 or more units, 15% of the units be made affordable to and sold to moderate-income households. The Ordinance provides numerous alternative ways that the developer can meet this requirement, including payment of an in-lieu fee and construction of affordable units off-site, among many others. If the Council agrees with the Staff recommendation, the Ordinance will return to Council on June 30, 2016. According to the Staff Memorandum, the June 30, 2016, date provides extra time for Staff to arrange for additional notice and outreach to the development community as well as time to prepare implementation guidelines, agreements, other relevant documents, and tracking systems necessary to implement the Ordinance.