§ 4.7.9. General provisions.

a.

If not located offsite, all workforce housing units constructed or rehabilitated under this program shall be situated within the development so as not to be in less desirable locations than market-rate units in the development and shall, on average, be no less accessible to public amenities, such as open space, as the market-rate units.

b.

Workforce housing units, if located within a market rate unit development or located offsite, shall be integrated with the rest of the development and shall be compatible in exterior design, appearance, construction, and quality of materials and contain comparable HVAC systems and appliances with market rate units and provide them as standard features. All workforce housing units shall contain comparable square footage to the corresponding market-rate unit.

c.

The developer shall endeavor to provide workforce housing units that include unit types in the same proportion as the market rate housing unit types. The following conditions must be met:

i.

The proportion of one-bedroom workforce units to total workforce units may not exceed the proportion of one bedroom market rate units to total market rate units. [Added by Amd. Ord. 2-07 2/20/07]

ii.

The proportion of two-bedroom workforce units to total workforce units may not exceed the proportion of two-bedroom market rate units to total market rate units.

iii.

The proportion of three-bedroom workforce units to total workforce units must meet or exceed the proportion of three bedroom market rate units to total market rate units, unless four plus bedroom workforce units are provided.

iv.

The proportion of four-plus-bedroom workforce units to total workforce units must meet or exceed the proportion of four plus bedroom market rate units to total market rate units.

v.

If the development contains a mix of different types of units, (e.g. condominium, townhouse, detached, etc.), the proportion of workforce units of each type to total workforce units must be approximately the same as the proportion of market rate units of each type to total market rate units.

vi.

If the development includes both for sale and for rent units, the proportion of for rent workforce units to for sale workforce units must not exceed the proportion of for rent market rate units to for sale market rate units; provided however if the workforce housing units are funded under Florida Housing Finance Corporation's Housing Credit or SAIL Programs, the proportionality requirement herein stated shall not apply if the development provides at least 20 percent of the "for sale" units as workforce housing units. [Amd. Ord. 39-06 7/25/06]

vii.

Notwithstanding Section 4.7.9 c. i., ii., iii., iv. and v. above, in the Southwest 10 ^th Street Overlay District at least 75 percent of the workforce housing units shall be three-bedroom units offered for initial sale in an amount not to exceed $225,000.00 and 25 percent of the workforce housing units may be two bedroom units offered at the low income affordability rate. [Amd. Ord. 2-07 2/20/07]

d.

The construction schedule for workforce housing units shall be consistent with or precede the construction of market rate units.

e.

There shall be no lot premiums charged on the workforce housing units.

f.

All fractional bonus densities shall be rounded down.

g.

The City of Delray Beach, its successors and assigns may enforce the covenants. No amendments to the covenants shall be made unless by written instrument approved by the City.

h.

No efficiency or studio type units shall be allowed under the family/workforce housing program. [Amd. Ord. 2-07 2/20/07]

i.

The total number of one bedroom units in any qualifying project shall not exceed 30 percent of the total number of units in the project, including both family/workforce units and market rate units. [Added by Amd. Ord. 2-07 2/20/07]

j.

Except as otherwise provide in Section 4.7.8(c), Workforce Housing Units constructed according to this policy shall be protected for subsequent resale or rental to Workforce Households whose income does not exceed the applicable AMI by deed restrictions or by other equivalent and effective methods. Conversions of rental units to owner occupied units or vice versa shall require the subsequent rental or sale to be for the same workforce housing income category. (Ord. No. 23-17, § 3, 7-6-17)

k.

Workforce Housing Units constructed according to this policy shall only be rented or sold as a primary residence.

l.

Except as otherwise provide in Section 4.7.8(c), a deed restriction on a form acceptable to the City Attorney shall be recorded in the Public Records of Palm Beach County. In addition to other restrictions therein contained, said deed restriction shall prohibit any subletting or assignment of the respective Workforce Housing Unit to a tenant(s) or purchaser(s) whose income exceeds the percent of the AMI under which the unit is originally approved. For the purpose of this section, household income is determined by the cumulative income of all tenants or purchasers under one roof. In addition, said deed restriction shall limit the maximum permitted resale price to the initial sale price of the Workforce Housing Units, increased at the same rate as the Palm Beach County median income has increased from the initial date of purchase. Prior to the closing on any sale, resale or prior to any rental of any workforce housing unit, the City shall be notified of the sale, resale or rental. (Ord. No. 23-17, § 3, 7-6-17)

m.

For both sale and rental of Workforce Housing Units, affordability and occupancy restrictions shall remain in effect for 40 years and shall apply to any replacement structure or structures constructed if a structure containing a Workforce Housing Unit or Units is demolished or destroyed, provided that if demolition or destruction of a structure containing Workforce Housing Units occurs 35 years after recording of the restrictions and said demolition or destruction was unintentional, restrictions on the units in the structure shall terminate on demolition or destruction.

n.

Nothing requires a workforce household to vacate a rental workforce housing unit or sell a workforce housing unit if the tenant(s) or purchaser (s) income later exceeds AMI.

o.

Workforce housing rental units shall be marketed continuously as workforce housing units. In the unlikely event that, notwithstanding the marketing efforts outlined in a specific Covenant agreement, the total number of occupied workforce housing units does not equal 100 percent of the workforce units required for the project and , as to workforce units which have remained vacant for 45 days or more due to a lack of Eligible

Occupants, those units may be rented to non-eligible occupants at market rents; provided that the Developer shall pay to the Delray Beach Housing Trust Fund (DBHTF) at the end of each calendar year any rents actually received from the non-eligible occupants of the workforce units for that year in excess of the rents that would have been received from Eligible Occupants for such workforce units based on workforce rents at the time of the signing of the lease ("Excess Rental Payment"). Excess Rental Payments shall accrue only for periods in which the required 100 percent is not satisfied. No later than 20 days following the end of the month, the Developer shall provide the DBHTF with a monthly statement highlighting those units which require Excess Rental Payments. No later than 30 days following the end of the year, the Developer shall provide the DBHTF with an annual statement and shall submit the amounts due to the DBHTF within 30 days following written notice from the DBHTF of its approval of each annual statement. The workforce units rented to non-eligible occupants will be considered Workforce Housing Units for the purposes of complying with this Ordinance, but only until the next vacant unit is rented to an eligible candidate, at which time the non-eligible unit will cease to be considered a Workforce Housing Unit. If less than 100 percent of the total number of workforce units required for the project are occupied with workforce eligible occupants, then each subsequent vacant unit shall be marketed to workforce eligible applicants pursuant to an approved marketing and advertising plan until all required workforce units are rented to eligible occupants. [Amd. Ord. 38-09 8/18/09]; [Added by Amd. Ord. 02-09 2/3/09]