9-1-19-24A: POLICY 24 (ABSOLUTE) THE SOCIAL COMMUNITY:
A. Historic and Conservation District: Within the Conservation District, which area contains the Historic District (see special areas map1) substantial compliance with both the design standards contained in the "Handbook of Design Standards" and all specific individual standards for the transition or character area within which the project is located is required to promote the educational, cultural, economic and general welfare of the community through the protection, enhancement and use of the district structures, sites and objects significant to its history, architectural and cultural values.
1. Within the Historic or Conservation District, no historic structure shall be altered, moved, or demolished without first obtaining a Class A or Class B development permit from the town. Accompanying such approval to alter, move or demolish any historic structure shall be an application for a Class A or Class B development permit as required by code to authorize any proposed new development which shall take the place of a moved or demolished historic structure. The issuance of building permits for altering, moving, or demolishing a historic structure and the construction of a replacement structure shall be issued concurrently and shall not be issued separately. Moving a historic structure from its historic lot or parcel to another lot or parcel is prohibited.
2. In addition to the procedural requirements of this chapter, an application for alteration, demolition, or moving of a historic structure shall be accompanied by a cultural survey prepared by a qualified person when required by the town.
B. Employee Housing Impact Mitigation:
1. The purpose of this subsection B is to ensure that new development or changes in the intensity of use provide a reasonable amount of employee housing to mitigate the impact on available employee housing caused by such development.
2. Subsections B through H, inclusive, of this policy shall apply to all new development and changes of use of the following land uses:
a. Commercial Use
b. Industrial Use
c. Mixed Use
d. Recreation and Leisure Amenities
e. The following Residential Uses:
i. Boarding House
ii. Condominium
iii. Divisible Unit
iv. Hotel/Lodging/Inn
v. Multi-Unit Residential
vi. Timeshare Unit
vii. Townhomes
3. This policy does not apply to institutional uses.
C. Employee Generation And Mitigation Rates:
1. The "Employee Generation Rates by Type of Use Table," below, shall be applied to each type of use listed in subsection B(2) of this section. For any use not listed, the director shall determine the applicable employee generation rate by consulting the town's then-current current nexus study.
Type Of Use | Employee Generation Rate |
|---|---|
Hotel/Lodging/Inn, Boarding House, Condominium, Divisible Unit, Timeshare Unit | 0.6 employee per room, or 0.6 employee per unit, as applicable |
Multi-Family Housing and Townhomes | 0.33 employee per unit |
Office (including real estate and property management office) | 3.2 employees per 1,000 square feet of area |
Conference Facility | 0.8 employee per 1,000 square feet of area |
Eating and Drinking Establishment/Restaurants and Bars | 10.2 employees per 1,000 square feet of area |
Exterior Food and Beverage Areas | 5.1 employees per 1,000 square feet of area |
Health Club | 0.96 employee per 1,000 square feet of area |
Retail Store/Personal Service/Service Commercial/Repair Shop | 2.4 employees per 1,000 square feet of area |
Spa | 2.1 employees per 1,000 square feet of area |
2. If an applicant submits competent evidence demonstrating that the employee generation rates contained in table "Employee Generation Rates by Type of Use Table," above, do not accurately reflect the number of employees generated by the proposed development or change of intensity of use and the planning commission finds that such evidence warrants a deviation from those employee generation rates, the planning commission shall allow for such a deviation as the planning commission deems appropriate. The town may, at its discretion, hire an independent third party consultant to verify the evidence provided by an applicant. The cost of such verification shall be paid or reimbursed by the applicant.
3. Each development shall mitigate its impact on available employee housing by providing new employee housing for thirty five percent (35%) of the employees generated by the project, in accordance with the table "Employee Generation Rates by Type of Use Table," above, and the requirements of this policy.
For example, for a new indoor eating and drinking establishment/restaurant and bar proposing two thousand five hundred (2,500) square feet of new area, the required employee housing would be calculated as follows:
([2,500 square feet/1,000 square feet] x [10.2]) = 25.5 new employees generated x 35% = 8.9 employees to be housed; and
A new exterior food and beverage area of one thousand (1,000) square feet would require employee housing calculated as follows: ([1,000 square feet/1,000 square feet] x [5.11]) = 5.1 new employees generated x 35% =1.79 employees to be housed.
4. If an increase in employee generation is caused by a change in the intensity of a use in existing square footage (e.g. retail to restaurant), the employee housing requirements of this policy shall apply to the difference of new employees generated (e.g. different between retail and restaurant employee generation rate).
D. Size And Building Requirements: The "Size of Employee Housing Table," below, establishes the minimum size of employee housing units and the number of employees that are able to be housed in each employee housing unit. Each employee shall be assessed at 350 square feet per employee.
Type Of Unit | Unit Size (GFA) | Number Of Employees Housed |
|---|---|---|
Studio | 438 | 1.25 |
1 bedroom | 613 | 1.75 |
2 bedroom | 788 | 2.25 |
3 or more bedroom | 1,225 | 3.5 |
E. Methods of Mitigation:
1. On Site Mitigation: For all:
i. new construction (i.e., development that does not affect any existing buildings or structures);
ii. demo/rebuild projects;
iii. development that involves a changes in intensity of use of existing square footage, no less than twenty-five percent (25%) of the mitigation of employee housing required by this policy shall be accomplished with on-site units.
a. Exceptions: At the sole discretion of the Planning Commission, an exception may be granted from this subsection E1 based upon one of the following findings:
(i) Implementation of the on-site unit mitigation method would not be compatible with the other on-site or adjacent uses;
(ii) Implementation of the on-site mitigation method would be contrary to the goals of the applicable elements of the town's land use guidelines;
(iii) Exceptional or unique conditions apply to the site, which generally do not apply to other sites, that prevents the implementation of the on-site unit mitigation method;
(iv) The method of mitigation proposed better achieves the general and specific purposes of this policy than the on-site mitigation unit method., as decided by the town through a development agreement; or
(v) The project is located in the Conservation District.
(vi) An applicant may pay a fee in lieu of providing required employee housing only when the amount employee housing requirement required by this policy is less than 1.0 employee.
b. Deed Restrictions: All on-site employee housing shall be deed restricted in accordance with the town's Housing Guidelines and subsection G of this policy.
c. Remaining Portion of Requirement: Any remaining portion of the mitigation requirement not provided with on-site units shall be provided in accordance with Subsection 2 of this section.
2. Off Site Mitigation: For all development projects except those mitigated by subsection E1 of this section, the mitigation of employee housing required by this policy shall be accomplished through one or any combination of the methods further described in this section. Unless otherwise regulated by this policy, the choice of method(s) used to mitigate the employee housing requirements of this policy shall be at the sole discretion of the applicant.
Off-Site Units: The required number of employee housing units less the on site required mitigation, may be provided off-site within the Upper Blue Basin, provided that such employee housing units are deed restricted in accordance with subsections A through G of this policy.
3. Payment Of Fees In-Lieu:
a. The fee in-lieu for each employee required to be housed by this policy shall be established periodically by resolution of the town council
b. An administrative fee, established by resolution of the town council, shall be paid by the applicant in addition to the fee in-lieu
c. Fees in-lieu shall be due and payable prior to the issuance of a building permit for the development.
d. The town shall use monies collected from fees in-lieu only to provide additional employee housing units.
e. An applicant may provide a payment of fees in-lieu only for any fractional remainder of the requirement generated under this policy totaling less than 1.0 employee.
f. The fee in-lieu shall be calculated based on the market affordability gap for a two person household earning 80% Area Median income (AMI) in Summit County. The fee in-lieu calculation shall be updated periodically as new AMI information is published by the U.S. Department of Housing and Urban Development.
80% Area Median Income for 2 person Household | $61,440 |
Affordable Monthly Payment | $1,229 |
Taxes/Insurance/HOA | $350 |
Mortgage Payment | $879 |
Maximum Mortgage Amount | $151,650 |
Affordable Purchase Price* | $168,500 |
Average S.F. of Affordable Units | 1370 |
Median Price per S.F. (Market Units) | $513 |
Cost Per Unit | $702,810 |
Affordability Gap per Unit in Lieu | $543,310 |
Gap per Employee (1.4 employees/household on average) | $381,650 |
Administrative Fee per Employee (2%) | $7,633 |
Total Gap per Employee | $389,283 |
Fee per Square Foot per Employee | $279 |
Administrative Fee per Square Foot per Employee | $6 |
Total fee in-lieu per S.F.** | $284 |
*Assumes 5.69% interest rate, 10% down payment, 30 year fixed loan, $350 for HOA, Insurance, and Taxes. These assumptions will be updated in accordance with the Summit Combined Housing Authority assumption changes.
**Number will be rounded up or down to the nearest whole number.
Sample fee in-lieu Calculation:
For example, for an application proposing one hundred (100) square feet of new area for a retail establishment, the required fee in-lieu would be calculated as follows:
([100 square feet of Additional Retail Space/1,000 square feet] x [2.4]) = 0.24 new employees generated x 35% = .084 employees to be housed
.084 x 350 square feet = 29.4 total square feet to be assessed fee in- lieu
29.4 square feet x Total fee in-lieu per S.F. = Total fee in-lieu to be paid In accordance with subsection E3a of this section, "Policy 24 (Absolute) Social Community," future changes to the amount of the fee in-lieu shall be made by resolution of the town council.
F. Administration: Each application for development review or change of intensity of use shall include an employee housing narrative which includes the following:
1. Calculation Method: The calculation of employee generation and the mitigation method by which the applicant proposes to meet the requirements of this policy;
2. Plans: A dimensioned site plan and architectural floor plan that demonstrates compliance with subsection D of this policy;
G. Occupancy and Deed Restrictions: Each employee housing unit provided pursuant to this policy shall be encumbered by a properly recorded restrictive covenant in a form acceptable to the town attorney. The terms of such restrictive covenant shall be consistent with the Administrative Rules and Regulations Pertaining to Workforce Housing, as amended from time to time, and such restrictive covenant shall not be subordinate to any senior lien or encumbrance, except the lien of the general property taxes. (Ord. 1, Series 2019; amd. Ord. 17, Series 2020; Ord. 7, Series 2021; Ord. 6, Series 2022; Ord. 35, Series 2022; Ord. 2, Series 2023; Ord. 8, Series 2023)
1 Note: See section 9-1-20 of this chapter.