City of Madison
Legislative File ID   02363
Type:   Ordinance    Status:   Passed
Enactment Date:   3/10/2006    Enactment No.:   ORD-06-00015
Title:  
SUBSTITUTE - Amending Section 28.04(25) of the Madison General Ordinances to add a new kind of occupancy to the inclusionary zoning ordinance.
Controlling Body:   PLAN COMMISSION
Introduced:   11/9/2005    Version:   2
Final Action:   2/21/2006    Contact:   Janice Pena
Name:  
amendments to inclusionary zoning
Extra Date 1:   3/10/2006
Requester:   PLAN COMMISSION
Sponsors:  
David J. Cieslewicz, Austin W. King, Brenda K. Konkel, Brian Benford, Judy K. Olson, Michael E. Verveer, Tim Gruber, Robbie Webber
Legislative History
DateActing BodyAction TakenMotion
11/8/2005COMMON COUNCILA motion was made by Ald. Konkel, seconded by Ald. Verveer, to Refer For Public Hearing to the PLAN COMMISSION, due back on January 17, 2006. The motion passed by acclamation.Pass
Notes: Additional Referral(s): Economic Development Commission, Housing Committee. Due back at the 1/17/06 Common Council Meeting for a public hearing.
11/9/2005Attorney's Office/Approval GroupApproved As To Form
11/9/2005Attorney's OfficeFiscal Note Required / Approval to the Comptroller's Office/Approval Group Completed on 1/5/2006
11/9/2005Comptroller's Office/Approval GroupFiscal Note Pending to the Attorney's Office Completed on 1/4/2006
Notes: Brasser
11/9/2005Attorney's OfficeReferred for Introduction
Notes: Plan Commission; Public Hearings January 9 PC, January 17 CC
11/10/2005PLAN COMMISSIONRefer to the ECONOMIC DEVELOPMENT COMMITTEE due on 1/17/2006. Completed on 1/9/2006
11/10/2005PLAN COMMISSIONRefer to the HOUSING COMMITTEE due on 1/17/2006. Completed on 1/4/2006
11/10/2005PLAN COMMISSIONFiscal Note Required / Approval to the Comptroller's Office/Approval Group Completed on 1/5/2006
Notes: Send back to Plan Commission after approval.
12/22/2005HOUSING AFFORDABILITY SUBCOM OF THE HOUSING COMA motion was made by Committee Member Merrill, seconded by Committee Member King, to Return to Lead with the Following Recommendation(s) to the HOUSING COMMITTEE approval of the percentage method as the most simple, best balanced of the several approaches discussed. The motion passed by the following vote:Pass
(4:0)
Notes: The Subcommittee identified and discussed major changes and alternatives proposed in the inclusionary ordinance regarding the homebuyer terms of sale, and the balancing goal of attractiveness to the buyer with the goal of some retention of affordability into the future. The subcommittee discussed the pros and cons of four alternatives: a) Percentage approach: City share is defined as a percentage of the value of the inclusionary dwelling unit. When the IZ buyer wishes to sell, the City receives a pay-off determined by this percentage, and the owner retains all other equity. b) Flat amount: The City share is defined by a specified dollar amount. When the IZ buyer wishes to sell, the City receives a flat amount. c) Flat amount plus some 'interest': The City's share is defined by a specific flat amount, plus a nominal amount that would help the program maintain some affordability into the future. d) Resale restriction that would require the IZ buyer to sell only to an income eligible family upon sale. This resale requirement would be time-limited to 5, 10, 15 or a specific number of years. The Subcommittee discussed the benefits and impacts of each approach as they related to several subgoals of the IZ program: a) attractiveness to initial buyer; b) fair treatment of IZ buyer compared with non-IZ unit buyer; c) some ability to retain a level of affordability into the future with the next buyer; d) ease of understanding; e) differential effects in up and down markets. The Subcommittee reviewed a table summarizing homebuyer terms and alternatives. A copy is available in the City Community Development Office (request by e-mail at cdbg@cityofmadison.com, or by phone at 267-0740).
1/4/2006HOUSING COMMITTEEA motion was made by King, seconded by Verveer, to Return to Lead with the Recommendation for Approval to the PLAN COMMISSION to adopt the changes to the Inclusionary Zoning Ordinance that the Housing Committee has gone through and discussed, including the specific recommendations the Housing Committee has made that depart from the proposed ordinance regarding the marketing period, density bonus, exemptions for non-profit, and stacking and twinning density. Hirsch noted the Affordable Housing Subcommittee at its meeting of December 22 voted 4-0 to recommend Housing Committee approval of the percentage shared equity approach in this proposed ordinance. The subcommittee noted that it had previously recommended the date of the certificate of occupancy as a key event in the determination of the marketing and bump-up periods for the IZ units for both sale and for rental. The subcommittee endorsed the idea that the last 30 days of the initial marketing period occur after the certificate of occupancy and that it occur no less than 30 days after the certificate of occupancy and then the second marketing period would kick-in whenever the first one ended. This is not reflected in the box chart in the packet. The Housing Committee discussed the proposed ordinance in three different segments. (A) Equity - King noted there was movement at the last Housing Affordable Subcommittee which is the recommendation that the pro-rata second mortgage be the City's share based on the IZ value of the home as a proportion of its fair market value. That percentage would grow or shrink with the market in the future, and the owner would be able to appreciate said proportion of the accrued equity. King moved this recommendation be adopted, second by Wilcox. Vote: 9-1 (Arnesen) (B) Incentives - Hirsch noted the Housing Affordable Subcommittee recommended that an incentive be added that would permit developers to change a plat or neighborhood plan to allow for greater residential use in an area previously zoned for commercial. King stated that he believes a vote had been taken on a very specific recommended change to the density section that would move the bonus from the midpoint to highpoint in the neighborhood plan, change C2 and C3 to the same density as R6 instead of R4 and it dealt with Design Zones II, III and IV downtown. Hirsch and Arnesen noted this was done in the subcommittee but not re-affirmed with the full Housing Committee. These items are found on page 6 of the ordinance. King moved the changes as follows with a second by Kerr: h. One additional story for development in Downtown Design Zones [strike the "s" in Zones and add "I" so it reads 'Downtown Design Zone I']. 5. C1, C2, C3, C4 - 38 units/acre - Take C2, C3 and C4 out and make them their own area and have the base be 72.60 units/acre which is the same as R6. Strike the "midpoint" from all of the neighborhood density plan ranges and replace with "highpoint". There have been complaints that sometimes the density bonus isn't real. These are 3 very simple and very supportable changes that can be made to make the bonus that much more real. This helps codify that and takes it an extra step in response to some of those complaints. It was noted that "Planned Unit Development" and all items under the title "Existing Density" should be flush left under "Conservancy". Vote: 9-1 (Villacrez) (C) Dispersion - Permit closer spacing of IZ which allows the twinning of units in certain circumstances to allow 2 units to be in an otherwise single family plat. The second is to allow certain percentage of the floor area to be excluded to create some extra value in those units. King moved that the Housing Committee re-affirm the remaining policy issue recommendations that are in draft ordinance as recommended by the Housing Affordable Subcommittee. Second by Verveer. Kerr asked where the subcommittee ended up with their conversation on stacking of units? Hirsch noted there seems to be consensus that the committee wants to address the issue of stacking to be permitted, and not address the issue of dispersion on a horizontal basis for a floor plan. Wilcox noted we need to give the sense of the committee's opinion on dispersion to the Plan Commission. It was suggested that Hirsch do a summary memo to the Plan Commission on issues that the Housing Committee felt strong about but weren't addressed in the ordinance. (D) Waiver Option - Add rehab of an existing off-site unit to the waiver option. (E) Marketing - Strengthen marketing plan as part of Plan Commission Review. Involve more non-profits and helper agencies in recruitment and marketing to target populations. Link marketing of IZ units with other affordable units and with buyer assistance programs. Create two trigger events: For sale housing, marketing period must include 30 days after initial building permit, with bump-up to second target population no sooner than 30 days after permit. For rental, use certificate of occupancy date. The Subcommittee noted that it had previously recommended the use of the certificate of occupancy as a key event in the determination of the marketing and bump-up period for the marketing of IZ units for sale and for rental. The Subcommittee endorsed the idea that the last 30 days of the initial 120 day marketing period start no sooner than the date of the certificate of occupancy. This was the recommendation made clear from the Affordable Housing Subcommittee from their December 22 meeting. Exempt student housing from the IZ ordinance. Exempt all housing that creates such affordable units. King withdrew his original motion. The motion passed by the following vote:Pass
(11:0)
1/5/2006PLAN COMMISSIONA motion was made by Cnare, seconded by Thompson-Frater, to Refer to the PLAN COMMISSION. The motion passed by acclamation.Pass
Notes: Referred to the meeting of January 9, 2006.
1/5/2006Comptroller's Office/Approval GroupApproved Fiscal Note By The Comptroller's Office (AFTER CC INTRO) to the PLAN COMMISSION Completed on 1/5/2006
Notes: Brasser
1/9/2006PLAN COMMISSIONA motion was made by Konkel, seconded by Davis, to RECOMMEND TO COUNCIL TO REREFER - PUBLIC HEARING to the PLAN COMMISSION, due back on January 23, 2006. The motion passed by acclamation.Pass
Notes: The public hearing on this matter was recessed.
1/9/2006ECONOMIC DEVELOPMENT COMMITTEEA motion was made by Clear, seconded by Slone, to Return to Lead with the Following Recommendation(s) to the PLAN COMMISSION. The motion passed by the following vote:Pass
(7:1)
Notes: Recommend approval and - adoption of the Housing Committee's recommendations on ordinance amendments except for the recommendation to allow rezoning of commercial areas to residential use to provide an incentive to developers (Falk opposed); - adoption of the 7 principles recommended by DMI, Inc. as guidance for further amendments to the ordinance (Clear, Falk and Slone opposed).
1/17/2006COMMON COUNCILA motion was made by Ald. Van Rooy, seconded by Ald. Compton, to Rerefer to the PLAN COMMISSION. The motion passed by acclamation.Pass
Notes: Public Hearing Recessed.
1/23/2006PLAN COMMISSIONA motion was made by Konkel, seconded by Davis, to RECOMMEND TO COUNCIL TO REREFER - RECESSED PUBLIC HEARING to the PLAN COMMISSION, due back on February 6, 2006. The motion passed by acclamation.Pass
2/6/2006PLAN COMMISSIONA motion was made by Golden, seconded by Ohm, to RECOMMEND TO COUNCIL TO ADOPT - RECESSED PUBLIC HEARING the February 3, 2006 substitute ordinance regarding leased residential spaces. The motion included a request for the City Attorney's Office to draft the remaining changes to the ordinance for introduction at the February 21, 2006 Common Council meeting with public hearings to be set as soon as possible. The motion passed by acclamation.Pass
Notes: Ald. Golden proposed passing the "Pres House amendment" regarding leased residential spaces out for the Common Council to consider at their February 21, 2006 meeting. At the same meeting, Ald. Golden indicated that an ordinance that included the remaining proposed changes to inclusionary zoning would be introduced to continue the dialogue on those other proposed changes. Alds. Golden and Konkel asked that a link be provided in Legistar [the Legislative Information Center] between the new ordinance to be introduced and I.D. 02363 so that the information presented to and decisions made by other reviewing boards and commissions about changes to inclusionary zoning could be linked to the continuing dialogue. Staff indicated that it will work with the City Clerk's Office to see if those links can be made.
2/14/2006Attorney's Office/Approval GroupApproved As To Form
Notes: Substitute.
2/14/2006Attorney's OfficeFiscal Note Required / Approval to the Comptroller's Office/Approval Group due on 2/15/2006. Completed on 2/15/2006
2/15/2006Comptroller's Office/Approval GroupApproved Fiscal Note By The Comptroller's Office (SUBSTITUTES) to the Attorney's Office/Approval Group Completed on 2/15/2006
Notes: Brasser
2/15/2006Attorney's Office/Approval GroupSubstitute Created to the PLAN COMMISSION Completed on 8/16/2006
2/21/2006COMMON COUNCILA motion was made by Ald. Van Rooy, seconded by Ald. King, to Adopt and Close the Public Hearing. The motion passed by acclamation.Pass
Notes: 1 Registrant(s) in support not wishing to speak.

  powered by Daystar Computer Systems, Inc.