COUNTY OF SAN MATEO

Inter-Departmental Correspondence

 

ENVIRONMENTAL SERVICES AGENCY

 

DATE:

October 24, 2005

BOARD MEETING DATE:

November 8, 2005

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

   

FROM:

Marcia Raines, Director of Environmental Services

   

SUBJECT:

Consideration of Revised Affordability Agreements for Two Affordable Housing Sites on Coverdale Road, Pescadero.

 

RECOMMENDATION:

1.

Adopt a resolution authorizing Revised Agreements between (1) the County of San Mateo and Natalino & Phyllis Marchi, and (2) the County of San Mateo and Peter & Phyllis Marchi Trust, to provide long-term affordable housing on two parcels created for that purpose on Cloverdale Road, Pescadero (Attachment A).

   

2.

Direct staff to record the Agreements (Attachments B and C).

   

VISION ALIGNMENT:

Commitment: Offer a full range of housing choices.

Goal 9: Housing exists for people at all income levels and for all generations of families.

 

The Agreements further the above commitment/goal by securing two units for very low, low or affordable units for moderate income households in the Pescadero area.

 

Performance Measure:

Measure

FY 2005-06
Actual

FY 2006-07
Projected

Number of affordable units reserved for low or moderate households.

One unit reserved for low or moderate households.

Two units reserved for low or moderate households.

 

BACKGROUND:

LCP Policy 3.23 allows a density bonus for affordable housing to be built and land divided for that purpose in rural areas of the Coastal Zone. The subject properties were created by the subdivision of a 20-acre parcel approved by the County on December 3, 1982. The subdivision resulted in 3 lots, including two affordable housing sites 2.3 and 3.5 acres in size (Parcels B and C, respectively) and a 14.9-acre agricultural parcel with an existing house on it (Parcel A). An affordability agreement was recorded in 1985 to ensure that the housing units constructed on Parcels B and C would be occupied by low or moderate-income households. A house was subsequently constructed on Parcel C in 1987. At this time, Parcel B remains undeveloped (see location/vicinity map, Attachment D).

 

In 2001, the original owners of the entire property, Natalino and Phyllis Marchi, sold Parcel A. They currently retain ownership of undeveloped Parcel B. The Phyllis Marchi Trust and the Peter D. Marchi Trust currently own the house on Parcel C, which is occupied by Phyllis Marchi.

 

The Marchis now wish to sell or transfer title of Parcel B to their son, Peter Marchi. Peter Marchi does not qualify as a low or moderate income household, but intends to own the property and rent any subsequently constructed housing unit to a qualified low or moderate income household. The Marchis are requesting the proposed change in the language of the agreement to facilitate the sale/transfer.

 

DISCUSSION:

The primary objective of the original agreement is to ensure that any housing units constructed on Parcel B or C are occupied by households of low or moderate income. Staff has determined that the sale of Parcel B or C to a person or household that does not qualify as low or moderate income is nevertheless consistent with the intent of the agreement, as long as any housing units on the parcels are rented/occupied by a household that qualifies as low or moderate income. As such, the language of the agreement has been updated and amended to clarify that purchase of either Parcel B or C at the restricted price by a non-qualifying household would be allowed, as long as any housing unit on either parcel is rented to a qualifying very low, low or moderate income household. In fact two separate (but identical) agreements are needed, since Parcels B and C are currently in different ownership.

 

County Counsel has reviewed the agreements.

 

FISCAL IMPACT:

Nominal cost to Planning staff to monitor compliance with agreement periodically or upon transfer of title.

 

ATTACHMENTS

A.

Resolution Authorizing Agreements

B.

Agreement for Parcel B, APN 086-050-070

C.

Agreement for Parcel C, APN 068-050-080

D.

Location/Vicinity Map

LAA:kcd - LAAP1220_WKU.DOC