AN ORDINANCE relating to land use and zoning, adding a new subsection to Section 23.49.012 of the Seattle Municipal Code, providing a transition rule for use of housing bonuses earned but not used for commercial development prior to the amendments to SMC Chapter 23.49 enacted by Ordinance 120443.

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. SMC 23.49.012, which Section was added to the Seattle Municipal Code by Ordinance 120443, is hereby amended by adding a new subsection E, as follows:

E. Transition Rule for Use of Housing Bonus Approved Under Prior Code. Any housing bonus approved by the Housing Director or her predecessor, the Director of Housing and Human Services, as evidenced by an agreement between the housing owner and the City, recorded prior to the effective date of this section, may be used by a project to which this section applies, subject to the terms of the Public Benefit Features Rule, to the extent that said terms are consistent with the provisions of this Title in effect as of the date of vesting of the relevant permit application, and subject to the further terms and conditions of this subsection.

1. If, after approval by the Housing Director of a bonus ratio or an amount of bonus floor area generated by a housing development for use on a particular lot, or both, the housing bonus is proposed for use on another lot, neither any bonus ratio nor the total amount of bonus floor area generated by such housing shall be increased, regardless of the zone or zones involved.

2. No more than two projects shall use bonus floor area from a single housing development.

3. If an applicant otherwise qualifies to use housing bonus pursuant to this subsection, the Housing Director may extend the maximum time period that the Public Benefit Features rule allows from the date of the building permit for the housing to the issuance of the Master Use Permit for the project using the bonus, from three (3) years to no more than twenty (20) years, provided that the amount of housing bonus floor area otherwise available shall be reduced by five percent (5%) for each year of such extension, after the effective date of this ordinance, with partial years prorated on the basis of the number of months elapsed, unless the commitment to maintain the housing as affordable to lower or moderate income households is also extended for the same number of years as the extension of the time period for use of the housing bonus. The Housing Director may condition any extension upon any or all of the following:

a. satisfactory evidence that the housing is in compliance with the terms of the applicable agreement with the City;

b. a review of the financing of the housing and a determination that no subsidies have been used except as contemplated by such agreement;

c. if the housing has benefited from any subsidies not contemplated by such agreement, a reduction in the bonus ratios permitted;

4. An applicant who obtains an extension of time under this subsection E may assign the privilege to use the housing to satisfy bonus conditions, subject to the requirements for assignment set forth in subsection B1 of Section 23.49.012.

5. Nothing in this subsection E shall be construed to confer on any owner or developer of housing, any party to a linkage agreement or any assignee, any development rights or property interests. The granting of any extension of time, as authorized under this subsection, does not confer a vested right.

Section 2. The provisions of the ordinance are declared to be separate and severable. The invalidity of any particular provision shall not affect the validity of any other provision.

Section 3. This ordinance shall take effect and be in force thirty (30) days from and after its approval by the Mayor, but if not approved and returned by the Mayor within ten (10) days after presentation, it shall take effect as provided by Municipal Code Section 1.04.020.

Passed by the City Council the _____ day of ____________, 2002, and signed by me in open session in authentication of its passage this _____ day of _________________, 2002. _____________________________________ President _______ of the City Council

Approved by me this _____ day of _________________, 2002. ___________________________________________ Mayor

Filed by me this _____ day of ____________________, 2002. ___________________________________________ City Clerk

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