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HomeMy WebLinkAboutStaff Report 5.A 12/03/2003Pay ¢ I I - , 6 .._ __( e ,..„„ CITY OF PETALUMA, CALIFORNIA AGENDA BILL Agenda Title: Resolution Revising The Amount Of Fees Payable Meeting Date: December 1, 2003 In -Lieu Of Providing Affordable Housing Units As Required By Program 11 Of The 1999 -2006 Petaluma Housing Element. Meeting Time: ❑ 3:00 PM ® 7:00 PM - Category (check one): ❑ Consent Calendar ❑ Public Hearing ❑ New Business M Unfinished Business ❑ Presentation Department: Director: Contact Person: Phone Number: Redevelopment/ Paul Marangella Bonne Ga r 778 -4484 (direct line) Housing e Cost of Proposal: $500 Account Number: 211 -5401 Amount Budgeted: $500 (staff time) Name of Fund: Housing Administration Attachments to Agenda Packet Item: 1. In -Lieu Option #2- Sliding Scale (Minimum of $2,400; Maximum of $22,500) 2. In -Lieu Option #3- Sliding Scale (Minimum of $742; Maximum of $33,075) 3. Draft Resolution Summary Statement: Updating the City's Housing In -Lieu Fee Schedule was a component of the City's contract with Revenue and Cost Specialists, LLC. As part of that overall review, it was noted that the current in -lieu fee of $2,400 per market -rate unit has been unchanged since the original resolution adopting the fee in 1984. Based on Housing Element policies and programs and an updated calculation of need and affordability, the consultant recommended a fee increase to a minimum of $6,700 /unit. After reviewing the consultant's recommendation, Council directed staff to develop a formula for calculating the housing fee using a sliding scale, based on square footage, and to provide a series of options for the Council to consider. Those options are provided in this staff report. Recommended City Council Action /Suggested Motion: Adopt Resolution Revising The Amount Of Fees Payable In -Lieu Of Providing Affordable Housing Units As Required By Program 11 Of The 1999- 2006 Petaluma Housing Element. Aevjewed by Einance Director: Review, ±d _ tto ey: a A rov , � City Mana er: Date: Date: Toda Dat : Revision # and Date Revised: File Code: # November 15 2003 20031n- Lieu /d 6 CITY OF PETALUMA, CALIFORNIA DECEMBER 1, 2003 AGENDA REPORT FOR Resolution Revising The Amount Of Fees Payable In -Lieu Of Providing Affordable Housing Units As Required By Program 11 Of The 1999 -2006 Petaluma Housing Element. 1. EXECUTIVE SUMMARY: Updating the City's Housing In -Lieu Fee Schedule was a component of the City's contract with Revenue and Cost Specialists, LLC. As part of that overall review, it was noted that the current in -lieu fee of $2,400 per market -rate unit has been unchanged since the original resolution adopting the fee in 1984. Based on Housing Element policies and programs and an updated calculation of need and affordability, the consultant recommended a fee increase to a minimum of $6,700 /unit After reviewing the consultant's recommendation, Council directed staff to develop a formula for calculating the housing fee using a sliding scale, based on square footage, and to provide a series of options for the Council to consider. Those options are provided in this staff report. 2. BACKGROUND: The City of Petaluma's State - certified and adopted Housing Element contains the following policy and program: Policy 4.2 Assign a share of the responsibility of providing affordable housing to the developers of market -rate housing and non - residential projects. Program 4.4 Make an in -lieu payment to the City's Housing Fund. Program 4.5 Increase the in -lieu housing fee to a level that generates enough funding to develop units, preserve their affordability, and ensure their sustainability. The City's redevelopment strategic planning document, the 2000 -2005 Implementation Plan delineates five priorities that encourage development of affordable housing, provide supportive services, provide service - enriched shelter, provide rehabilitation services and homeowner opportunities. The HUD- required Consolidated Plan contains a set of priorities to serve the homeless, provide low -cost rentals, remove barriers for persons with a disability, promote fair housing, increase child care capacity and encourage sustainability. The fee increase recommended by Revenue and Cost Specialists (RCS) addresses the above - referenced housing policies and programs as outlined in the City's three strategic planning documents and will provide the funding necessary to implement and administer the policies and programs. 3. ALTERNATIVES: As directed by Council, staff has developed three options for consideration. Option #1 $6,700 /unit regardless of size, type, or price (RCS recommendation for a minimum fee) Option #2 Sliding scale based on square footage/ starting at $2,400 Exhibit #1 Option #3 Sliding scale based on square footage/ starting at $742 Exhibit #2 Option #1 is straightforward. The in -lieu fee structure would be modeled on what the City administers currently; i.e. one fee for all units. The only difference is in that the fee would be increased from an existing fee of $2,400 up to $6,700 as recommended by the RCS study. Option 42 is a sliding scale schedule based on home square footage. This option is modeled after the City of Santa Rosa's schedule of fees which increase with home size, in increments of ten square feet. Option #2 begins with a unit size of 640 square feet (average size of an accessory dwelling), charging a fee of $2,400 (Petaluma's existing fee) and tops out with a unit size of 4,000 feet at a fee of $22,500 (the maximum fee allowed using the RCS study conclusions). Option #3 is a direct replica of the schedule used by the City of Santa Rosa. It begins with a unit size of 910 square feet, charging a fee of $742 and tops out at $33,075 for a 4,500 square foot home. 4. FINANCIAL IMPACTS: The City of Petaluma depends upon local dollars for our Housing Program for two reasons. (1) Almost all outside funding sources, both private and public require local funds to be invested in any housing proj ect or program. These funds are often used as the "match" requirement for grant funds. (2) Local dollars are the most flexible and allow us to support the housing programs, which provide service to the most needy in our community. The current annual cost for those services is $842,000. All services are delivered by community -based nonprofits that operate on a shoestring to give the best possible service. In order to support only those programs at the existing level of service will require over $8,000,000 over the next ten years. Adding inflation and any new services will increase that ten -year cost to approximately $13,000,000. The additional in -lieu fees are necessary to fill our existing funding gap. There is no other source of City funding for these valuable projects. 5. CONCLUSION: In order to continue the City's stellar record of housing production and sustainability, additional funds will be needed for the foreseeable future. Housing prices continue to escalate; our rental vacancy rate is too low to provide a healthy rental market for those people who are renting by choice or necessity; our low- income senior population is growing and will continue to need assistance to achieve a safe and decent quality of life. 6. OUTCOMES OR PERFORMANCE MEASUREMENTS THAT WILL IDENTIFY SUCCESS OR COMPLETION: Continuing the City's existing programs; increasing and improving production of units and programs. 7. RECOMMENDATION: Adopt Resolution Revising The Amount Of Fees Payable In -Lieu Of Providing Affordable Housing Units As Required By Program 11 Of The 1999 -2006 Petaluma Housing Element. Unit Square Footage Total Fee 640 $ 2,400 650 $ 2,441 660 $ 2,482 670 $ 2,524 680 $ 2,565 690 $ 2,607 700 $ 2,649 710 $ 2,690 720 $ 2,732 730 $ 2,774 740 $ 2,816 750 $ 2,859 760 $ 2,901 770 $ 2,944 780 $ 2,986 790 $ 3,029 800 $ 3,072 810 $ 3,115 820 $ 3,158 830 $ 3,201 840 $ 3,244 850 $ 3,287 860 $ 3,331 870 $ 3,374 880 $ 3,418 890 $ 3,462 900 $ , 3,506 910 $ 3,550 920 $ 3,594 930 $ 3,638 940 $ 3,683 950 $ 3,727 960 $ 3,772 970 $ 3,817 980 $ 3,861 990 $ 3,906 1,000 $ 3,951 1,010 $ 3,997 1,020 $ 4,042 1,030 $ 4,087 1,040 $ 4,133 1,050 $ 4,178 1,060 $ 4,224 1,070 $ 4,270 City of Petaluma Housing In Lieu Fees by Unit Size Option Two Unit Square Footage Total Fee 1,080 $ 4,316 1,090 $ 4,362 1,100 $ 4,408 1,110 $ 4,454 1,120 $ 4,501 1,130 $ 4,547 1,140 $ 4,594 1,150 $ 4,641 1,160 $ 4,688 1,170 $ 4,735 1,180 $ 4,782 1,190 $ 4,829 1,200 $ 4,876 1,210 $ 4,924 1,220 $ 4,971 1,230 $ 5,019 1,240 $ 5,066 1,250 $ 5,114 1,260 $ 5,162 1,270 $ 5,210 1,280 $ 5,259 1,290 $ 5,307 1,300 $ 5,355 1,310 $ 5,404 1,320 $ 5,452 1,330 $ 5,501 1,340 $ 5,550 1,350 $ 5,599 1,360 $ 5,648 1,370 $ 5,697 1,380 $ 5,747 1,390 $ 5,796 1,400 $ 5,846 1,410 $ 5,895 1,420 $ 5,945 1,430 $ 5,995 1,440 $ 6,045 1,450 $ 6,095 1,460 $ 6,145 1,470 $ 6,195 1,480 $ 6,246 1,490 $ 6,296 1,500 $ 6,347 1,510 $ 6,398 Unit Square Footage Total Fee 1,520 $ 6,449 1,530 $ 6,500 1,540 $ 6,551 1,550 $ 6,602 1,560 $ 6,653 1,570 $ 6,705 1,580 $ 6,756 1,590 $ 6,808 1,600 $ 6,860 1,610 $ 6,912 1,620 $ 6,964 1,630 $ 7,016 1,640 $ 7,068 1,650 $ 7,120 1,660 $ 7,173 1,670 $ 7,225 1,680 $ 7,278 1,690 $ 7,331 1,700 $ 7,384 1,710 $ 7,437 1,720 $ 7,490 1,730 $ 7,543 1,740 $ 7,596 1,750 $ 7,650 1,760 $ 7;703 1,770 $ 7,757 1,780 $ 7,811 1,790 $ 7,865 1,800 $ 7,919 1,810 $ 7,973 1,820 $ 8,027 1,830 $ 8,081 1,840 $ 8,136 1,850 $ 8,190 1,860 $ 8,245 1,870 $ 8,300 1,880 $ 8,355 1,890 $ 8,410 1,900 $ 8,465 1,910 $ 8,520 1,920 $ 8,576 1,930 $ 8,631 1,940 $ 8,687 1,950 $ 8,742 EXHIBIT #1 Unit Square Footage Total Fee 1,960 $ 8,798 1,970 $ 8,854 1,980 $ 8,910 1,990 $ 8,966 2,000 $ 9,022 2,010 $ 9,079 2,020 $ 9,135 2,030 $ 9,192 2,040 $ 9,249 2,050 $ 9,305 2,060 $ 9,362 2,070 $ 9,419 2,080 $ 9,476 2,090 $ 9,534 2,100 $ 9,591 2,110 $ 9,649 2,120 $ 9,706 2,130 $ 9,764 2,140 $ 9,822 2,150 $ 9,880 2,160 $ 9,938 2,170 $ 9,996 2,180 $ 10,054 2,190 $ 10,112 2,200 $ 10,171 2,210 $ 10,229 2,220 $ 10,288 2,230 $ 10,347 2,240 $ 10,406 2,250 $ 10,465 2,260 $ 10,524 2,270 $ 10,583 2,280 $ 10,643 2,290 $ 10,702 2,300 $ 10,762 2,310 $ 10,822 2,320 $ 10,881 2,330 $ 10,941 2,340 $ 11,001 2,350 $ 11,062 2,360 $ 11,122 2,370 $ 11,182 2,380 $ 11,243 2,390 $ 11,303 City of Petaluma Housing In Lieu Fees by Unit Size Option Two Unit Total Unit Total Unit Total Unit Total Square Fee Square Fee Square Fee Square Fee Footage Footage Footage Footage 2,400 $ 11,364 3,670 2,810 $ 13,950 $ 20,062 3,220 $ 16,725 2,410 $ 11,425 2-,820 $ 14,016 3,230 $ 16,795 2,420 $ 11,486 2,830 $ 14,081 3,240 $ 16,865 2,430 $ 11,547 2,840 T14,147 35250 $ 16,935 2,440 $ 11,608 2,850 $ 14,213 3,260 $ 17,006 2,450 $ 11,670 2,860 $ 14,279 3,270 $ 17,076 2,460 $ 11,731 2,870 $ 14,345 3,280 $ 17,147 2,470 $ 11,792 2,880 $ 14,411 3,290 $ 17,217 2,480 $ 11,854 2,890 $ 14,477 3,300 $ 17,288 2,490 $ 11,916 2,900 $ 14,543 3,310 $ 17,359 2,500 $ 11,978 2,910 $ 14,610 3,320 $ 17,430 2,510 $ 12,040 2,920 $ 14,676 3,330 $ 17,501 2,520 $ 12,102 2,930 $ 14,743 3,340 $ 17,572 2,530 $ 12,164 2,940 $ 14,810 3,350 $ 17,644 2,540 $ 12,226 2,950 $ 14,877 3,360 $ 17,715 2,550 $ 12,289 2,960 $ 14,944 3,370 $ 17,787 2,560 $ 12,351 2,970 $ 15,011 3,380 $ 17,859 2,570 $ 121414 2,980 $ 15,078 3,390 $ 17,930 2,580 $ 12,476 2,990 $ 15,145 3,400 $ 18,002 2,590 $ 12,539 3,000 $ 15,213 3,410 $ 18,074 2,600 $ 12,602 3,010 $ 15,280 3,420 $ 18,146 2,610 $ 12,665 3,020 $ 15,348 3,430 $ 18,219 2,620 $ 12,729 3,030 $ 15,416 3,440 $ 18,291 2,630 $ 12,792 3,040 $ 15,484 3,450 $ 18,364 2,640 $ 12,855 3,050 $ 15,552 3,460 $ 18,436 2,650 $ 12,919 3,060 $ 15,620 3,470 $ 18,509 2,660 $ 12,982 3,070 $ 15,688 3,480 $ 18,582 2,670 $ 13,046 3,080 $ 15,756 3,490 $ 18,655 2,680 $ 13,110 3,090 $ 15,825 3,500 $ 18,728 2,690 $ 13,174 3,100 $ 15,893 3,510 $ 18,801 2,700 $ 13,238 3,110 $ 15,962 3,520 $ 18,874 2,710 $ 13,302 3,120 $ 16,031 3,530 $ 18,947 2,720 $ 13,367 3,130 $ 16,100 3,540 $ 19,021 2,730 $ 13,431 3,140 $ 16,169 3,550 $ 19,095 2,740 $ 13,496 3,150 . $ 16,238 3,560 ' $ 19,168 2,750 $ 13,560 3,160 $ 16,307 3,570 $ 19,242 2,760 $ 13,625 3,170 $ 16,376 3,580 $ 19,316 2,770 $ 13,690 3,180 $ 16,446 3,590 $ 19,390 2,780 $ 13,755 3,190 $ 16,515 3,600 $ 19,464 2,790 $ 13,820 3,200 $ 16,585 3,610 $ 19,539 2,800 $ 13,885 3,210 $ 16,655 3,620 $ 19,613 3,630 $ 19,687 3,640 $ 19,762 3.650 S 19.837 3,660 $ 19,912 3,670 $ 19,986 3,680 $ 20,062 3,690 $ 20,137 3,700 $ 20,212 3,710 $ 20,287 3,720 $ 20,363 3,730 $ 20,438 3,740 $ 20,514 3,750 $ 20,590 3,760 $ 20,666 3;770 $ 20,742 3,780 $ 20,818 3,790 $ 20,895 3,800 $ 20,971 3,810 $ 21,047 3,820 $ 21,124 3,830 $ 21,201 3,840 $ 21,278 3,850 $ 21,355 3,860 $ 21,432 3,870 $ 21,509 3,880 $ 21,586 3,890 $ 21,664 3,900 $ 21,741 3,910 $ 21,819 3,920 $ 21,896 3,930 $ 21,974 3,940 $ 22,052 3,950 $ 22,130 3,960 $ 22,209 3,970 $ 22,287 3,980 $ 22,365 3,990 $ 22,444 4,000 $ 22,500 Ir., SANTA ROSA SCHEDULE OF FEES EXHIBIT #2 OPTION 3 HOUSING ALLOCATION PLAN IN LIEU FEES BY UNIT SIZE Unit Total Unit Total Fee Unit Square Total Fee Unit Total Fee Square Fee Square Footage Footage a Footage Footage 910 $742 1,400 $4,922 1,890 $8,577 $8,654 2,380 2,390 $12,551 $12,635 920 $972 1,410 1,420 $4,994 $5,066 1,900 1,910 $8,732 2,400 $12,720 930 940 $1,143 $1,287 1,430 $5,138 1,920 $8,811 2,410 2,420 $12,804 $12,889 950 $1,413 1,440 1,450 $5,211 $5,283 1,930 1,940 $8,889 $8,967 2,430 $12,974 960 970 $1,529 $1,636 1,460 $5,355 1 17950 $9,046 $9,124 2,440 21450 $13,059 $13,145 980 $1,738 1,470 1,480 $5,428 $5,500 1,960 1,970 $9,203 2,460 $13,230 990 1,000 $1,834 $1,927 1,490 $5,573 1,980 $9,282 $9,361 2,470 2,480 $13,316 $13,401 1,010 $2,017 1,500 1,510 $5,646 $5,718 1,990 2,000 $9,440 2,490 $13,487 1,020 1,030 $2,104 $2,190 1,520 1,530 1,540 $5,791 $5,864 $5,938 2,010 2,020 2,030 $9,519 $9,599 $9,679 2,500 2,510 2,520 $13,573 $13,659 $13,745 1,040 $2,273 1,050 1,060 $2,355 $2,435 1,550 $6,011 2040 , $9,758 $9,838 2,530 2,540 $13,831 $13,918 1,070 $2,514 1,560 1,570 $6,084 $6,158 2,050 2,060 $9,918 2,550 $14,004 1,080 1,090 $2,593 $2,670 1,580 $6,231 2,070 $9,998 $10,079 2,560 2,570 $14,091 $14,178 - 1,100 $2,747 1,590 1,600 $6,305 $6,379 2080 , 2,090 $10,159 2,580 $14,265 1,110 1,120 $2,823 $2,898 1,610 $6,453 2,100 $10,240 $10,320 2,590 2,600 $14,352 $14,439 1,130 $2,973 1,620 1,630 $6,527 $6,601 2,110 2,120 $10,401 2,610 $14,527 1,140 $3,047 1,640 $6,676 2,130 $10,482 21620 2,630 $14,614 $14,702 1,150 $3,121 1,160 $3,195 1,650 1,660 $6,750 $6,825 2,140 2,150 $10,563 $10,645 2,640 $14,789 1,170 1,180 $3,268 $3,341 1,670 $6,899 2,160 $10,726 $10,807 2,650 2,660 $14,877 $14,965 1,190 $3,414 1,680 1,690 $6,974 $7,049 2,170 2,180 $10,889 2,670 $15,053 1,200 1,210 $3,486 $3,559 1,700 $7,124 2,190 $10,971 2,680 2,690 $141 $15,230 1,220 $3,631 1,710 1,720 $7,199 $7,275 2,200 2,210 $11,053 $11,135 2,700 $15,318 1,230 1,240 $3,703 $3,775 1,730 $7,350 2,220 $11,217 $11,299 2,710 2,720 $15,407 $15,495 f 1,250 $3,847 1,740 1,750 $7,426 $7,502 2,230 2,240 $11,382 2,730 $15,584 1,260 1,270 $3,919 $3,990 1,760 $7,578 $11,547 2,750 $15,762 1,280 $4,062 1,770 1,780 $7,654, $7,730 2,260 2,270 $11,630 2,760 $15,851 1,290 1,300 $4,134 $4,205 1,790 $7,806 2,280 $11,713 2,770 2,780 $15,941 $16,030 1,310 $4,277 1,800 1,810 $7,883 $7,959 2,290 2,300 $11,796 $11,880 2,790 $16,120 1,320 1,330 $4,348 $4,420 1,820 $8,036 2,310 $11,963 $12,047 2,800 2,810 $16,210 $16 1,340 $4,492 1,830 1,840 $8,113 $8,190 2,320 2,330 $12,130 2,820 389 1,350 1,F37 60 $4,563 $4,635 1,850 $8,267 2,340 $12,214 2, 30 2,840 $16,479 $16,570 1,0 n $4,707 �e 779 1,860 1.870 $8,344 $8,421 2,350 2,360 $12,298 $12,382 - . -- 2,850 $16,660 mac �cn Ir., HOUSING ALLOCATION PLAN IN LIEU FEES BY UNIT SIZE (continued 19 Unit Total Unit Total Unit Total Unit Square Fee I Square Fee Square Fee Square Footage Foota a Footage 2,870 1 $16,841 -Footage 3,360 $21,422 3,850 $26,269 4,340 2,880 $16,932 3,370 $21,518 3,860 $26,371 4,350 2,890 $17,022 1 3,380 1 $21,615 3,870 $26;472 4,360 2,900 $17,113 3,390 $21,711 3,880 $26,574 4,370 2,910 $17,204 3,400 $21,808 3,890 $26,676 4,380 2,920 $17,295 3,410 $21,905 3,900 $26,778 4,390 2,930 1 $17,387 3,420 $22,001 3,910 $26,880 4,400 2,940 1 $17,478 3,430 $22,098 3,920 $26,982 4,410 2,950 $17,570 1 3,440 $22,196 3,930 $27,084-1 1 4,420 2,960 $17,661 3,450 $22,293 3,940 $27,187 4,430 2,970 $17,753 3,460 $22,390 3,950 $27,289 4,440 2,980 $17,845 3,470 $22,488 3,960 $27,392 4,450 2,990 $17,937 3,480 $22,585 L 3,970 1 $27,494 4,460 3,000 $18,029 3,490 $22,683 3,980 $27,597 4,470 3,010 $18,121 3,500 1 $22,781 1 3,990 $27,700 4,480 3,020 $18,213 3,510 1 $22,878 4,000 $27,803 4,490 3,030 $18,306 3,520 1 $22,976 1 4,010 $27,906 4,500 3,040 $18,399 3,530 $23,074 4,020 128,009 3,050 $18,491 3,540 $23,173 4,030 $28,112 3,060 $18,584 = 3,550 $23,271 4,040 128,216 3,070 $18,677 3,560 $23,369 4,050 $28,319 3,080 $18,770 3,570 $23,468 4,060 1 $28,423 3,090 $18,863 3,580 1 $23,566 1 4,070 $28,526 3,100 $18,956 3,590 $23,665 4,080--F-$28,630 3,110 $19,050 3,600 $23,764 4,090 T $28,734 3,120 $19,143 3,610 $23,863 4,100 $28,838 3,130 $19,237 3,620 $23,962 L 4,110 1 $28,942 3,140 $19,331 3,630 $24,061 4,120 1 $29,046 3,150 $19,425 3,640 $24,160 4,130 1 $29,150 3,160 $19,519 3,650 $24,260 4,140 1 $29,255 3,170 1 $19,613 3,660 $24,359 4,150 $29,359 3,180 $19,707 3,670 $24,459 4,160 $29,464 3,190 $19,801 3,680 $24,559 4,170 $29,568 3,200 $19,896 3,690 $24,658 4,180 $29,673 3,210 $19,990 3,700 $24,758 4,190 $29,778 3,220 1 $20,085 3,710 $24,858 4,200 1 $29,883 3,230 1 $20,180 3,720 $24,958 4,210 1 $29,988 3,240 1 $20,274 3,730 $25,059 4,220 $30,093 3,250 $20,369 3,740 $25,159 4,230 1 $30,198 3,260 $20,465 3,750 $25,259 4,240 1 $30,303 3,270 $20,560 3,760 $25,360 4,2S-01 $30,409 3,280 $20,655 3,770 $25,460 4,260 1 $30,514 3,290 $20,751 3,780 $25,561 L 4,270 1 $30,620 3,300 $20,846 3,790 $25,662 1 4,280 $30,726 3,310 1 $20,9421 3,800 $25,763 4,290 1 $30,831 3,320 $21,038 1 3,810 $25,864 4,300 $30,937 3,330 $21,133 3,820 $25,965 4,310 $31,043 3,340 $21,229 3,830 $26,066 4,320 $31,149 19 EXHIBIT 3 RESOLUTION REVISING THE AMOUNT OF FEES PAYABLE IN -LIEU OF PROVIDING AFFORDABLE HOUSING UNITS AS REQUIRED BY PROGRAM 11 OF THE 1999 -2006 PETALUMA HOUSING ELEMENT. WHEREAS the Housing Element of the Petaluma General Plan, adopted on December 16, 2002, by Resolution No.2002 -198 N.C.S. sets forth goals, policies and implementation programs to achieve an adequate supply of housing units and programs for all groups; and WHEREAS, Program 4.4 of the Housing Element states: continue to require residential projects of five or more units to contribute to the provision of below- market -rate housing in one of the following ways: a. Provide affordable units on site b. Dedicate a portion of the project site C. Make an in -lieu payment to the City's housing Fund d. Use alternative methods WHEREAS, it is the desire of the City Council to establish a fee for those developers who choose to make an in -lieu payment into the Housing fund; NOW THEREFORE BE IT RESOLVED that the following in -lieu fee is adopted in order to implement that policy and program of the Housing Element. Fill in with Council decision BE IT FURTHER RESOLVED that said in -lieu fee shall be collected on behalf of the City of Petaluma at the time escrow is closed on for -sale homes and at time of final inspection and issuance of a certificate of occupancy for multi - family properties. 2003inlieu /d