HomeMy WebLinkAboutAgenda - Planning Commission - 10/08/2019South Burlington Planning Commission
575 Dorset Street
South Burlington, VT 05403
(802) 846-4106
www.sburl.com
Meeting Tuesday, October 8, 2019
7:00 pm
South Burlington Municipal Offices, 575 Dorset Street
AGENDA:
1. Directions on emergency evacuation procedures from conference room (7:00 pm)
2. Agenda: Additions, deletions or changes in order of agenda items (7:02 pm)
3. Open to the public for items not related to the agenda (7:03 pm)
4. Planning Commissioner announcements and staff report (7:06 pm)
5. Review and consider warning public hearing on proposed amendments to the Land Development
Regulations and associated Report (7:15 pm):
a. LDR-19-13: Modify and Extend Inclusionary Zoning requirements to encompass all lands within the Transit
Overlay District and portions of land north of I-89 in the vicinity of Hinesburg Road & Old Farm Road;
modify income eligibility in Affordable Housing Density Bonus standards
6. Review and discuss recommendations of Transfer of Development Rights Interim Zoning Committee
(7:50 pm)
7. Staff summary of upcoming meetings & project status (8:40 pm)
8. Meeting Minutes (8:45 pm)
9. Other business (8:47 pm)
10. Adjourn (8:53 pm)
Respectfully submitted,
Paul Conner, AICP,
Director of Planning & Zoning
South Burlington Planning Commission Meeting Participation Guidelines
1. The Planning Commission Chair presents these guidelines for the public attending Planning Commission meetings to
insure that everyone has a chance to speak and that meetings proceed smoothly.
2. Initial discussion on an agenda item will generally be conducted by the Commission. As this is our opportunity to
engage with the subject, we would like to hear from all commissioners first. After the Commission has discussed an
item, the Chair will ask for public comment. Please raise your hand to be recognized to speak and the Chair will try to
call on each participant in sequence.
3. Once recognized by the Chair, please identify yourself to the Commission.
4. If the Commission suggests time limits, please respect them. Time limits will be used when they can aid in making
sure everyone is heard and sufficient time is available for Commission to conduct business items.
5. Side conversations between audience members should be kept to an absolute minimum. The hallway outside the
Community Room is available should people wish to chat more fully.
6. Please address the Chair. Please do not address other audience members or staff or presenters and please do not
interrupt others when they are speaking.
7. Make every effort not to repeat the points made by others.
8. The Chair will make reasonable efforts to allow everyone who is interested in participating to speak once before
speakers address the Commission for a second time.
9. The Planning Commission desires to be as open and informal as possible within the construct that the Planning
Commission meeting is an opportunity for commissioners to discuss, debate and decide upon policy matters.
Regular Planning Commission meetings are not “town meetings”. A warned public hearing is a fuller opportunity to
explore an issue, provide input and sway public opinion on the matter.
10. Comments may be submitted before, during or after the meeting to the Planning and Zoning Department. All
written comments will be circulation to the Planning Commission and kept as part of the City Planner's official
records of meetings. Comments must include your first and last name and a contact (e-mail, phone, address) to be
included in the record.
575 Dorset Street South Burlington, VT 05403 tel 802.846.4106 fax 802.846.4101 www.sburl.com
TO: South Burlington Planning Commission
FROM: Paul Conner, Director of Planning & Zoning
Cathyann LaRose, City Planner
SUBJECT: PC Staff Memo
DATE: September 10, 2019 Planning Commission meeting
1. Directions on emergency evacuation procedures from conference room (7:00 pm)
2. Agenda: Additions, deletions or changes in order of agenda items (7:02 pm)
3. Open to the public for items not related to the agenda (7:03 pm)
4. Planning Commissioner announcements and staff report (7:06 pm)
Staff Report: Lots and lots going on! Everyone’s at full speed, both within P & Z and beyond:
Council continued discussion of LDR amendments on Parking 10/7: At their last meeting
(9/16) the City Council held and closed their public hearing on a series of amendments to the
Land Development Regulations. The Council elected to continue the discussion of LDR-19-01,
minimum parking requirements, to their meeting on Monday 10/7, at which time they may
elect to adopt or further review.
All committees symposium 9/26: The all-committees symposium was well attended – over
50 volunteers and participated. We will soon be getting the “poster boards” that each
committee prepared online and on display.
LDRs effective 10/7. The amendments adopted by the City Council on 9.16 – that is, river
corridors, TDR technical clean-up, administrative process, and elimination of duplicative
standard along the lake, will take full effect on Monday.
Domestic Violence Awareness Events: The City Council has organized two domestic violence
awareness events, to take place on October 10th and October 30th, at the Tuttle Middle
school Cafeteria from 5:30 to 8:00 pm. These are free and open to the public.
Williston Road Streetscape Public meeting 10/2: Approximately 30-40 people attended a
public presentation & discussion on the proposed concepts for a renovated streetscape
along the south side of Williston Road. The proposal is to replace the existing sidewalk with a
grass strip, 10’ wide two-way bicycle facility, green belt, and 6’ sidewalk between Dorset
Street and Midas Drive. No changes to the vehicular travelled way are proposed.
Zoning Permit issued for multi-family residential on Fayette Rd: Staff issued the zoning
permit to Larkin Realty to start construction on a 47-dwelling unit residential structure to be
located on the west side of Fayette Rd, across from the Palace 9 Movie theater.
5. Review and consider warning public hearing on proposed amendments to the Land
Development Regulations and associated Report (7:15 pm):
a. LDR-19-13: Modify and Extend Inclusionary Zoning requirements to encompass all lands within
the Transit Overlay District and portions of land north of I-89 in the vicinity of Hinesburg Road &
Old Farm Road; modify income eligibility in Affordable Housing Density Bonus standards
Enclosed please find an updated memo from the Affordable Housing Committee chair,
updated regulations as discussed at your last meeting, and an updated Planning Commission
Report.
6. Review and discuss recommendations of Transfer of Development Rights Interim Zoning
Committee (7:50 pm)
See enclosed memo & conceptual map
7. Staff summary of upcoming meetings & project status (8:40 pm)
Staff will discuss the schedule of meetings coming up and provide a status of projects.
8. Meeting Minutes (8:45 pm)
9. Other business (8:47 pm)
10. Adjourn (8:53 pm)
575 Dorset Street South Burlington, VT 05403 tel 802.846.4106 fax 802.846.4101 www.sburl.com
South Burlington Planning Commission
Proposed Land Development Regulations
Amendment & Adoption Report
Planning Commission Public Hearing Oct*****, 2019
In accordance with 24 V.S.A. §4441, the South Burlington Planning Commission has prepared the
following report regarding the proposed amendments and adoption of the City’s Land Development
Regulations.
Outline of the Proposed Overall Amendments
The South Burlington Planning Commission will hold a public hearing on ************ at
***************** pm, in the City Hall Conference Room, 575 Dorset Street, South Burlington, VT to
consider the following amendments to the South Burlington Land Development Regulations:
A. LDR-19-13: Modify and Extend Inclusionary Zoning requirements to encompass all lands within
the Transit Overlay District and portions of land north of I-89 in the vicinity of Hinesburg Road &
Old Farm Road and modify income eligibility in Affordable Housing Density Bonus standards
Brief Description and Findings Concerning the Proposed Amendments
The proposed amendments have been considered by the Planning Commission for their consistency
with the text, goals, and objectives of the City of South Burlington’s Comprehensive Plan, adopted
February 1, 2016. For each of the amendments, the Commission has addressed the following as
enumerated under 24 VSA 4441(c):
“…The report shall provide a brief explanation of the proposed bylaw, amendment, or repeal and shall
include a statement of purpose as required for notice under section 4444 of this title, and shall include
findings regarding how the proposal:
(1) Conforms with or furthers the goals and policies contained in the municipal plan, including the
effect of the proposal on the availability of safe and affordable housing.
(2) Is compatible with the proposed future land uses and densities of the municipal plan.
(3) Carries out, as applicable, any specific proposals for any planned community facilities.”
2
A. LDR-19-13: Modify and Extend Inclusionary Zoning requirements to encompass all lands within the
Transit Overlay District and portions of land north of I-89 in the vicinity of Hinesburg Road & Old
Farm Road and modify income eligibility in Affordable Housing Density Bonus standards
Brief explanation of the proposed bylaw.
The proposed bylaw would extend and modify the Inclusionary Zoning Requirements in the City
Center Form Based Code District to encompass all lands within the Transit Overlay District and
portions of land north of I-89 in the vicinity of Hinesburg Road & Old Farm Road, and would
modify income eligibility in Affordable Housing Density Bonus standards elsewhere in the City.
Specifically, Inclusionary Standards include the following structure:
• Required for projects with 12 or more new dwelling units.
• 10% of homeownership units and 15% of rental units must be affordable in perpetuity at
prices/rents affordable to households earning 80% of Area Median Income (AMI). For
ownership units, actual income eligibility would be up to 100% of AMI.
• Developer Offsets and Incentives. One additional market rate unit for every one required
inclusionary unit (rentals) and two additional market rate units for every one required
inclusionary unit (ownership) would be granted above the maximum zoning for the district.
• Parking requirements for inclusionary units are “no greater than one space per unit.
• Developer Bonus: A develop providing a greater proportion of dwelling units at or below 80%
of AMI and meeting inclusionary requirements receiving additional markt rate units at the
same ratios as for offset units, up to maximum total increase of 50% density increase. Note:
this figure is unchanged from the current maximum allowable bonus.
• Alternatives available to developer: land dedication in lieu of inclusionary unit construction
and off-site construction of inclusionary units.
• Units must remain affordable at the rates described above in perpetuity upon resale or new
tenants, adjusted for inflation.
Outside of the Inclusionary Zoning applicable areas, the proposed amendment would allow
households earning up to 100% of AMI to purchase a dwelling unit; units would be required to
reaming affordable to households earning 80% of AMI.
(1) Conforms with or furthers the goals and policies contained in the municipal plan, including
the effect of the proposal on the availability of safe and affordable housing.
The proposed amendments are intended to support the economic integration of housing
in a manner that both supports affordability objectives and is attainable by the
development community. The Comprehensive Plan includes the following objectives and
strategies:
Vision & Goals: Be affordable, with housing for people of all incomes, lifestyles, and stages
of life;
3
Objective 2. Offer a full spectrum of housing choices that includes options affordable to
households of varying income levels and sizes by striving to meet the housing targets set
forth in this Plan.
Strategy 4. Implement a variety of tools and programs to foster innovative approaches to
preserving and increasing the City’s supply of affordable and moderate income housing.
Potential tools should be explored and could include form-based codes that would allow a
variety of residential and mixed use building types, transferable development rights,
neighborhood preservation overlay districts, household definition regulations,
inclusionary zoning, bonuses and incentives, waivers and expedited review processes,
and/or a housing retention ordinance.
Strategy 10. Develop strategies that can lead to the availability or development of more
housing that is affordable to middle income, working residents and families in the City…
Strategy 13. Target for construction, by 2025, of 1,080 new affordable housing units - 840
housing units affordable to households earning up to 80% of the AMI and 240 housing
units affordable to households earning between 80% and 120% of the AMI.
(2) Is compatible with the proposed future land uses and densities of the municipal plan.
The proposed amendments would replace existing allowances of density bonuses of
either 25% or 50% with an inclusionary requirement.
The requirement is accompanied by an offset allowance of 15%-20% in density increase
(rental & ownership) as an incentive to applicants as required under 24 VSA Chapter 117.
In addition, applicants electing to provide a greater proportion of dwelling units at the
Inclusionary Zoning eligibility thresholds would receive additional market rate units for
each. The maximum total density increase in that instance would be 50%, commensurate
with the current maximum.
The Comprehensive Plan includes the following relevant objective:
Objective 39. The majority of all new development will occur within the Shelburne Road,
Williston Road, and Kennedy Drive Corridors, and other areas within the Transit service
area.
(3) Carries out, as applicable, any specific proposals for any planned community facilities.
The amendments do not impact specific proposals for any planned community facilities.
memo
To: South Burlington Planning Commission
From: John Simson on behalf of the South Burlington Affordable Housing Committee
CC: Paul Conner, Planning Director
Date: October 3, 2019
Re: Draft Inclusionary Zoning Amendment for the Land Development Regulations
Thank you for considering this proposed expansion of the Inclusionary Zoning provision in the Land Development Regulations (Section 18.01). This proposal
was last formally presented to the Planning Commission on 8/27/19; and discussed again on 9/24/19. The proposal has been amended based on feedback
and the discussions at these meetings. See the Proposed Inclusionary Zoning Program Structure section of this memo below for a description of these
changes.
Background:
While the Affordable Housing Committee (AHC) would like to gain greater economic integration throughout the entire City, the AHC is only proposing to
expand inclusionary zoning to the Transit Overlay District, and a few additional areas shown on the map attached at the end of the memo, at this time to
ensure development during interim zoning includes an affordable component. Since inclusionary zoning is not an affordable housing production tool, but
rather a tool for economic integration of affordable units into market rate projects where housing production is happening, now is an ideal time to
incorporate it in the proposed areas.
2
As a reminder, the 2016 Comprehensive Plan includes the following Ten-Year Affordable Housing Targets: “Based on the Affordable Housing Committee
report’s recommendation, this plan includes targets of construction, by 2025, of 1,080 new affordable housing units - 840 housing units affordable to
households earning up to 80% of the AMI and 240 housing units affordable to households earning between 80% and 120% of the AMI.” In the first three and
half years of this Plan, 961 affordable units have been (or soon will be) constructed, and 105 units at Dorset Commons will now remain affordable. At this rate
(57/year v. 108/year) the City will fall well short of the 1,080 affordable housing target by 2026. Also at the same time, the City has seen demolitions of
naturally occurring affordable housing. It is not likely that inclusionary zoning will meet the target on its own, but it will certainly help.
Proposed Inclusionary Zoning Program Structure (major changes in red):
1. Required for projects with 12 or more new dwelling units (18.01 (B)(2)).
2. Homes must be affordable in perpetuity to the following household area median income (AMI) targets (18.01 (C)(1)):
a. For rental units: 15% of homes priced and eligible to households at or below 80% AMI
a. For ownership units: 10% of homes priced at 80% AMI and eligible to households at or below 100% AMI. As discussed at your last Planning
Commission meeting, the original proposal set the price point and the eligible households at 100% AMI for homeownership. Champlain
Housing Trust (CHT) Staff explained that this was not workable for three main reasons: 1. There are plenty of older condos on the market
available to folks at this income level without resale restrictions; 2. Without a gap between price point and eligible households the
inclusionary units would only be available to folks who earn 100% AMI exactly; and 3. Without a gap, and because housing costs increase
faster than incomes these units will be very difficult to re-sell in the future. Therefore, CHT recommended a price point at 70% AMI. This was
then further refined to 80% AMI based on feedback from Chris Snyder at your last meeting, and further investigation of a project of his in
Shelburne. This final proposal meets a balance between establishing a gap between the price point and eligible households, and making the
policy work for the private sector. See the table on the last page of this memo to compare these price points. The Affordable Housing
Committee will be discussing and confirming this policy change at their meeting on the morning of 10/8.
3. Developer Offsets and Incentives are critically important because the program should not slow the overall production of housing and the City is
obligated to provide offsets to accommodate the developers provision of a public good. The offsets include parking requirements for inclusionary
units are “no greater than one space per unit” (18.01 (I)); and one additional market rate unit for every one rental inclusionary unit; and two
additional market rate units for every one homeownership inclusionary units (18.01 (F), (G) and (H)). The previous proposal included an offset and
bonus of 1:1 for both rental and homeownership. The proposal changes the homeownership offset and bonus to 2:1, to accommodate for the greater
burden on the housing developers to price the inclusionary units at 80% AMI versus 100% AMI. In addition, a maximum density increase of 50% has
been added to the density bonus provision (18.01 (G)) to mimic the current density bonus provision available in the rest of the City per Section 18.02.
See the following two tables for maximum densities and price point comparisons.
4. Alternatives available to developer (18.01 (E)): land dedication in lieu of inclusionary unit construction and off-site construction of inclusionary units.
No fee-in-lieu is proposed.
1 Cathedral Square on Market Street (39 units); CHT on Market Street (42 units); Quarry Hill Road (13 units); Shenk on Market Street (2 units)
3
Density Examples
REQUIRED - no greater than 15% or 10% than base density OPTIONAL - up to 50% greater than base density COMBINED TOTALS IF OPTION USED
Zoning
District Acreage
Base
Density
Rental
or
Owner
Total
Required
IZ units
(included
within
base)
Plus
Offset
Market
Rate
Units
Total
Market
Rate
Units
Total
Units
Maximum
Density
Permissible
(up to 50%
increase
over base)
Bonus
Density
Units
Achievable
Additional IZ Units
Required to Achieve
Max Density Bonus
Ratios: R - 1:1; H - 2:1
(included within base)
Total
Units
Total
IZ
Units
% IZ
Units
Total
Market
Rate
Units
%
Market
Rate
Units
R4 6 24 Owner 2 4 26 28 36 8 4 36 6 16.7 30 83.3
R12 3 36 Rental 5.4 5.4 36 41 54.0 12.6 12.6 54.0 18.0 33.3 36.0 66.7
R4 10 40 Owner 4 8 44 48 60 12 6 60 10 16.7 50 83.3
R4 10 40 Rental 6 6 40 46 60 14 14 60 20 33.3 40 66.7
For reference: What
Maximum Rents and Price
Points would look like in 2019
Maximum Rental Prices Maximum Purchase Price for Homeownership1
Income level
(% of median
income)
Studio One bedroom Two bedroom One bedroom Two bedroom Three bedroom
Burlington-South Burlington
Metropolitan Statistical Area
Median Family Income
80% 1,283 1,375 1,650 186,500 224,500 260,500
Max. Associated Incomes (2, 3 & 4 person incomes) Max. Associated Incomes (2, 3 & 4 person incomes)
Burlington-South Burlington
Metropolitan Statistical Area
Median Family Income
80% 58,650 66,000 73,300 N/A N/A N/A
100% N/A N/A N/A 73,300 82,500 91,600
South Burlington Rents and Purchase Prices for
ALL Homes for Comparison
Median Market Rate Rent2
Median Sale Prices:
1,151 1,156 1,411 2018 Median Condo Sale Price (VHFA) = $229,900
N/A 1,600 1,812 2018 Median Single Family Home Price (VHFA) = $389,950
South Burlington Actual Rents and Purchase
Prices for NEW Construction for Comparison
Actual Rent for New Construction (Apts.com) Median NEW Sale Prices:
N/A 1437 1825 Not Available 329,900 416,500
Lowest NEW Sale Prices:
Not Available 329,900 339,500
1 - In housing developments with homeowner or condo association fees, the required purchase prices are going to be lower t han listed in this table to accommodate
for the association costs that the renter or homeowner will have to bear.
4
2 - First row: South Burlington Median Gross Rent. U.S. Census Bureau; American Community Survey 5 -year estimates (Table B25031); and Second
Row: South Burlington rental search on Apartments.com on 10/3/2019
Additional Resources:
1. State enabling statute for Inclusionary Zoning (24 VSA § 4414(7)): https://legislature.vermont.gov/statutes/section/24/117/04414
2. Inclusionary Housing Resources by Grounded Solutions: https://inclusionaryhousing.org/
5
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
ARTICLE 2 DEFINITIONS
2.02 Specific Definitions
NOTE: These are new definitions relating to Inclusionary Zoning; they do not replace the Affordable
Housing definitions that are currently in the Land Development Regulations (and included here for
reference).
Affordable housing. this shall mean either of the following:
(A) Housing that is owned by its inhabitants, whose gross annual household income does not
exceed eighty one-hundred percent (80100%) of the median income for the Burlington-
South Burlington Metropolitan Statistical Area (MSA), as defined by the United States
Department of Housing and Urban Development, and the total annual cost of the housing,
including principal, interest, taxes and insurance, is not more than thirty percent (30%) of
the household’s gross annual income; or
(B) Housing that is rented by its inhabitants whose gross annual household income does not
exceed eighty percent (80%) of the median income for the Burlington-South Burlington
Metropolitan Statistical Area (MSA), as defined by the United States Department of Housing
and Urban Development, and the total annual cost of the housing, including rent, utilities,
and condominium association fees, is not more than thirty percent (30%) of the household’s
gross annual income
This definition, however, does not apply to housing projects covered under inclusionary zoning,
pursuant to 24 VSA Section 4414(7). See Section 18.01 (Inclusionary Zoning).
Affordable housing development. A housing development of which at least fifty percent (50%) of the units
are affordable to households at 80% AMI for rentals and homeownershiphousing units. This definition,
however, does not apply to housing projects covered under inclusionary zoning, pursuant to 24 VSA Section
4414(7), and Section 18.01 of this ordinance.
Household Size. The household size for an applicant seeking to rent or purchase an Inclusionary Unit is the
total number of individuals (adults and children) that will live in the Inclusionary Unit, regardless of each
individual household member’s relationship, if any, to other members of the household. Note, however, that
South Burlington’s land development regulations prohibit five or more individuals age 18 or older from
occupying a single dwelling unit when none of the five or more individuals is related to any other individual
living in the dwelling unit.
Household Income. The household income for an applicant seeking to rent or purchase an Inclusionary Unit
is the total combined annual cash income, whether earned (for example, salary, wages, tips, or commissions)
or unearned (for example, benefits, unemployment compensation, interest, dividends) of each household
member.
1
ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
Inclusionary Housing. A designated percentage, as defined in Section 18.01, of dwelling units included in a
development of 12 or more dwelling units that, as required:
(1) have a sales or rental price at or below that corresponding to the Area Median Income level (AMI),
80% for ownership or 80% for rental (as defined by the US Department of Housing and Urban
Development), to which the inclusionary unit is targeted as required by these regulations; and
(2) are occupied by households whose household income, at initial occupancy, do not exceed 100% AMI
for homeownership and 80% AMI for rental for a household of its size; and
(3) have a sales or rental price that shall remain perpetually affordable at the 80% AMI level.
Inclusionary home ownership. A dwelling unit that is owned by its inhabitants:
(1) whose sales price does not exceed the maximum price calculated based on a HUD formula using
unit size (i.e. number of bedrooms) to define a unit-specific household size, for a household income of
80% of the Area Median Income (AMI) for the Burlington-South Burlington Metropolitan Statistical
Area (MSA) (as defined by the US Department of Housing and Urban Development); and
(2) which is owned by a household, whose household income, upon purchase, does not exceed the
100% AMI for a household of its size; and
(3) whose purchase price shall remain perpetually affordable at the 80% AMI level;
Note the unit-specific household size based on the number of bedrooms and the actual household size
of the purchasing household do not have to be the same.
Inclusionary rental housing. A dwelling unit that is rented by its inhabitants:
(1) whose rent does not exceed the maximum price calculated based on a HUD formula using unit size
(i.e. number of bedrooms) to define a unit-specific household size, for a household income of 80% of
the Area Median Income (AMI) for the Burlington-South Burlington Metropolitan Statistical Area
(MSA) (as defined by the US Department of Housing and Urban Development), to which the
inclusionary unit is targeted; and
(2) which is rented by a household whose household income, at initial occupancy, does not exceed the
80% AMI target for a household of its size; and
(3) whose rent shall remain perpetually affordable at the 80% AMI level;
Note the unit-specific household size based on the number of bedrooms and the actual household size
of the renting household do not have to be the same.
Inclusionary Unit. A dwelling unit that meets the requirements of dwelling units defined under Inclusionary
Housing.
2
ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
18. AFFORDABLE HOUSING STANDARDS
18.01 Inclusionary Zoning
18.02 Affordable Housing Density Bonus
18.03 Housing Preservation
18.01 Inclusionary Zoning
A. Purpose. Inclusionary zoning to provide affordable and moderate income housing in the applicable
locations defined in Subsection (B)(1) (Applicability - Zoning Districts and Locations) of this Article the City
Center Form Based Codes District of the City of South Burlington has been adopted pursuant to 24 VSA §
4414(7) for the following purposes:
(1) To be a City that is affordable for people of all incomes, lifestyles, and stages of life through the
preservation and development of a variety of housing in diverse, accessible neighborhoods, consistent
with the South Burlington Comprehensive Plan, as most recently amended;
(2) To implement policies that support achievement of housing goals, objectives, and targets included
in the South Burlington Comprehensive Plan as most recently amended;
(23) To affirmatively address the current and anticipated need for affordable housing units among low-
and moderate-income South Burlington households that pay more than 30% of their income on housing,
as described in state law (24 VSA § 4303(1));
(34) To mitigate the impacts of market-rate housing development that is unaffordable to low- and
moderate-income households on the cost and supply of land and infrastructure available for affordable
housing development in the City Center Form Based Codes Districtapplicable locations;
(45) To promote the integrated development of mixed-income housing in the applicable locationsCity
Center Form Based Codes District, including a range of housing options needed to strengthen, diversify,
and contribute to the vitality of City Center and the South Burlington community;
(56) To ensure thatpromote the development of affordable housing opportunities that are available in
the City Center Form Based Codes District, which is or will belocations accessible to goods and services
and served by existing or planned public transit services;
(67) To ensure that affordable housing units developed under inclusionary zoning remain perpetually
affordable.
(78) To provide integrated development incentives that contribute to the economic feasibility of
providing affordable housing units, including eliminating maximum residential densities, minimum lot
sizes, and minimum parking requirements for residential units within the City Center Form Based Codes
District.
B. Applicability
(1) Zoning Districts and Locations. Inclusionary Zoning shall apply in the following areas:
(a) All zoning districts that permit residential development and underlie the Transit Overlay District;
3
ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
(b) The parts of the Center City Form-Based Code district that do not underlie the Transit Overlay
District; and
(c) The land in the vicinity of Hinesburg Road that does not underlie the Transit Overlay District and
is bounded by Interstate 89 in the southerly direction and the Transit Overlay District in the
northerly direction.
(2) Covered Development. Except as otherwise provided in this bylaw, the provisions of this section shall
apply in the locations defined in Subsection (B)(1) (Applicability - Zoning Districts and Locations) of this
Article within the City Center Form Based Codes District to any development, notwithstanding any phasing
of the development, that will result in the creation of twelve (12) or more total dwelling units through
subdivision, new construction, or the conversion of an existing structure or structures from non-residential
to residential use. In addition, the provisions of this section shall apply to any development that will result
in the creation of twelve (12) or more of any other form of permanent housing, including but not limited
to housing units contained within a housing facility that is permitted as a congregate care facility, except
group homes, residential care facilities, or skilled nursing facilities as defined in these regulations. When
a development includes both residential dwelling units and housing units permitted as congregate
housing, the number of required inclusionary units shall be determined by the sum of the residential units
and the housing units contained in the congregate care facility, and distributed proportionally between
the two uses. For purposes of this requirement, two or more developments shall be aggregated and
considered as one development subject to this section if:
(a) The developments are located on abutting properties; and
(b) The developments are owned or controlled by the same person; and
(c) Either:
(i) The developments will undergo subdivision, construction, or conversion of an existing
structure or structures from non-residential to residential use within the same five-year period,
which period shall be measured from the date a proper and complete application is first
submitted, or
(ii) A master plan exists, as approved by the City, which includes two or more of the
developments.
(23) Exemptions. The following developments are exempt from these requirements:
(a) Projects that are developed by an educational institution for the exclusive residential use and
occupancy of its students.
(b) Institutional, group homes or group quarters housing, including long-term care facilities.
(c) The redevelopment of existing dwelling units in a project that produces no additional units.
C. Inclusionary Units
(1) For covered development, at least five fifteen percent (15%) of the total dwelling units offered
for rent or sale, including units offered for sale in fee simple, shared, condominium or cooperative
ownership, shall be affordable to households; or at least ten percent (10%) of the total dwelling units
offered for sale, including units offered for sale in fee simple, shared, condominium or cooperative
ownership, shall be affordable to households. While there is no requirement for inclusionary units to be
offered as either rent or sale, prior to or upon request for the Certificate of Occupancy the applicant shall
provide whether the inclusionary units will be used for rental or for purchase so that the City, or their
designee, may confirm that the offered rents or prices meet these requirements prior to issuance of the
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Certificate of Occupancy. The rents or price shall be affordable to the income limits having incomes as
follows:no greater than 80% of the area median income (AMI) adjusted for household size. An additional
five percent (5%) of the total dwelling units shall be affordable to households having incomes no greater
than 100% of the AMI adjusted for household size. An additional five percent (5%) of the total dwelling
units shall be affordable to households having incomes no greater than 120% of the AMI adjusted for
household size.
(a) For inclusionary units offered as rental, the inclusionary units must be affordable to
households having incomes at or below 80% AMI as defined in Section 18.01(D)(2).
(b) For inclusionary units offered as home-ownership, the inclusionary units must be affordable
to households having incomes at or below 100% AMI as defined in Section 18.01(D)(2).
(c) Where the application of this formula results in a fractional dwelling unit, that fractional
dwelling unit shall be rounded to the nearest whole number (fractions that are greater than n.00 but
less than n.50 are rounded down; fractions that are greater than or equal to n.50 but less than n+1.00
are rounded up).
(b) When the developer proposes to build at least 12 but fewer than 17 housing units, the
requirement will be to include two (2) affordable dwelling units one of which shall be affordable to
households whose incomes are no greater than 80% of AMI adjusted for household size and the other
shall be affordable to households whose income is no greater than 100% of AMI adjusted for
household size.
(c) When the developer is required to build a number of affordable dwelling units where the
number of affordable dwelling units calculated by multiplying the total number of units by 15% is not
evenly divisible by three, the first “remaining” dwelling unit must be affordable at the 80% AMI level
adjusted for household size and, where applicable, the second “remaining” dwelling unit must be
affordable at 100% AMI level adjusted for household size.
Example: The developer is required to build 13 affordable dwelling units. Four dwelling units
must be affordable at the 80% of AMI adjusted for household size, four dwelling units must be
affordable at the 100% of AMI adjusted for household size; four dwelling units must be
affordable at the 120% of AMI adjusted for household size; and the “remaining” dwelling unit
must be affordable at the 80% AMI adjusted for household size.
(2) Inclusionary units required under this section shall be:
(a) Constructed on site, unless off-site construction is approved under Subsection (E)(1)(b) (Off-
Site Construction) of this Article, and integrated among market rate units in the development.
(b) Similar in architectural style and outward appearance to market rate units in the proposed
development.
(i) Inclusionary units shall be constructed with the same exterior materials and architectural
design details used in market rate construction. Similar exterior amenities and landscaping shall
also be provided. However, the exterior dimensions of the inclusionary units may differ from those
of the market rate units.
(ii) Inclusionary units shall be no less energy efficient than market rate units;
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(iii) inclusionary units may differ from market rate units with regard both to interior amenities
and to gross floor area. The average (mean) gross floor area of all inclusionary units, however, shall
not be less than 70% of the average (mean) gross floor area of market rate units.
(iv) Inclusionary units developed as part of a housing development that includes market rate
duplexes, triplexes, four-plexes or other multi-family dwellings may be of varied types.
Inclusionary units developed as part of a single-family housing development may be
accommodated in duplexes or multi-family dwellings that resemble the market rate single-family
dwellings, as allowed within the City Center Form Based Codes District.
(v) The number of bedrooms in inclusionary units shall be the same as the number of
bedrooms in the market rate units, on a proportional basis. An alternative to precise
proportionality is for the average number of bedrooms in the Inclusionary Units to be no less than
the average number of bedrooms in the Market Units.
(c) Constructed and made available for occupancy concurrently with market rate units unless the
Administrative Officer or Development Review Board, based on documentation from a financial
institution denying financing, or physical site constraints, approves a plan allowing non-concurrent
construction of the affordable units. Buildings containing the last 10% of market rate units shall not
receive certificates of occupancy until certificates of occupancy are issued for all buildings containing
inclusionary units, including when the inclusionary units are provided off-site as provided for in
Subsection (E)(1)(b) (Off-Site Construction) of this Article.
D. Affordability Requirements. The bases for determining maximum rental and purchase prices for
inclusionary units and applicant rental or purchaser household eligibility for accessing inclusionary units under
this section are described below. The data used to determine the incomes, rents and purchase prices are
updated annually by U.S. Department of Housing and Urban Development (HUD). The Vermont specific data
is updated annually on the Vermont Housing Data website, managed by the Vermont Housing Finance Agency,
in a table titled “Maximum rent and purchase price affordability thresholds by income and household size”.
Refer to this table in administration of this section.
(1) Affordability Determinations. Inclusionary units required under this section shall be affordable
and marketed to income-eligible eligible households as follows
(a) Maximum rent and purchase prices.
(a) For rentals, the maximum monthly rent for an inclusionary unit is one-twelfth of 30% of the
targeted Area Median Income (80%) corresponding to the size of the specific unit (measured
in number of bedrooms). This is the maximum monthly amount that may be charged for rent
that includes all of the rental housing costs, as defined herein. When any component of the
rental housing costs is excluded, the maximum rent allowed is reduced accordingly.
(b) For homeownership, the maximum monthly homeownership cost for an inclusionary Unit is
one-twelfth of 30% of the targeted Area Median Income (80%) corresponding to the size of
the specific unit (measured in number of bedrooms). This is the maximum monthly housing
cost total for sales units, as defined herein.
(a)(c) Maximum rent and purchase price calculation. Maximum Rents and Purchase Prices
for Inclusionary Units are calculated based on three components: housing costs, area
median income targets, and the number of bedrooms in the inclusionary unit. Housing
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costs for inclusionary units shall not exceed 30% of annual household income,
adjusted for household size.
i. (i) Housing costs used to calculate the affordability of inclusionary units shall
include:
(a) For rental units – rent (inclusive of any condominium or homeowners’
association fees) and utilities (water, electricity and heating costs).
(b) (ii) For sale units – mortgage principal and interest, annual property
taxes, average annual homeowner’s insurance premiums, and average
annual mortgage insurance premiums, and 50% of annual condominium
or homeowners’ association fees.
i. (b) Income eligibility shall be determined based on
income guidelines, as adjusted for household size, published
annually by the U.S. Department of Housing and Urban
Development (HUD) for the Burlington-South Burlington
Metropolitan Statistical Area (MSA), or on program-based
income eligibility requirements established by a partnering
housing organization. The AMI shall be determined using the
most recent income guidelines available at the time a unit is
available for occupancy.
ii. Area Median Incomes (AMI) Targets. The U.S. Department of Housing and Urban
Development (HUD) estimates the Area Median Income for households residing
in the Burlington-South Burlington Metropolitan Statistical Area (MSA) and, in
addition, for households of varying sizes residing in the MSA. HUD also calculates
AMI ratios, including 80% AMI, for households of varying sizes in the MSA. HUD
publishes this AMI-based annual household income information annually.
Maximum rents and sales prices shall be determined using the most recent HUD-
published income guidelines available at the time the unit is available for
occupancy.
(iii) Number of bedrooms. Rental and purchase prices of inclusionary units are not linked
to the size of the household that rents or purchases the inclusionary unit. Number of
bedrooms is used to define a household size linked to the specific unit. The use of “number
of bedrooms” for this purpose is explained under the Vermont Housing Data website’s
annual maximum rent and purchase price tables entitled “Maximum rent and purchase
price affordability thresholds by income and household size”.
Table 18-1 HUD Formula for Determining
Maximum Rents and Purchase Prices
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
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Unit Size Household Size
Equivalent1
Efficiency/Studio 1
One-Bedroom Unit 1.5
Two-Bedroom Unit 3
Three-Bedroom Unit 4.5
Four-Bedroom Unit 6
(d) With respect to inclusionary units offered for sale, sale prices shall be calculated based on an
available fixed rate, 30-year mortgage, consistent with a blended rate for banks or other lending
institutions offering mortgages in South Burlington, or a lower Vermont Housing Finance Agency
(VHFA) rate if the developer can guarantee the availability of VHFA mortgages at this rate for all
required inclusionary units. The calculated price shall assume a down payment of no more than 5% of
the purchase price.
(2) Renter and Home-buyer Income Eligibility. Income eligibility for an applicant household is
determined based on three components: Household Size, Household Income and Annual Median
Income (AMI) targets for Inclusionary Units. Household Size and Household Income are included
in Article 2 DEFINITIONS. The AMI amounts for applicants seeking to rent or purchase an
Inclusionary Unit shall be determined using the most recent HUD-published income guidelines
available at the time the unit is available for occupancy.
(a) For renters, households regardless of household size, are eligible for inclusionary units so long
as their combined household income does not exceed 80% AMI.
(a)(b) For home-buyers, households regardless of household size, are eligible for
inclusionary units so long as their combined household income does not exceed 100% AMI.
(3) Flexibility between maximum rent and purchase prices and eligible renter or purchaser households.
1 The maximum allowable rent or sales price is based on the designated AMI level (80%, 100%, or 120%) corresponding
to the “Household Size Equivalent” in the table above that matches the number of bedrooms in the housing unit. The
result is that the maximum rent or sales price for a particular affordable unit is the same for all eligible households
seeking to rent or purchase that affordable housing unit.
For example, the maximum rent or sales price for a one-bedroom inclusionary unit is determined using the average of
the applicable AMI level for one- and two-person households. Note that the applicant household’s income is not used
to determine the maximum rent or sales price of a particular inclusionary housing unit.
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
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(a) Eligible renter or purchaser households may rent or purchase an Inclusionary Unit whose rent or
purchase price is linked to a household size (derived from number of bedrooms) that is not the same
as the Eligible Household’s size.
Examples:
● a two-person household may purchase a three-bedroom house or condominium.
● a three-person household may rent a one-bedroom apartment.
(b) Eligible renter or purchaser households may rent or purchase an Inclusionary Unit whose AMI target
is higher than the Eligible Household’s AMI percentage.
Examples:
● a three-person household whose income is 70% of AMI (for its household size) may rent an
apartment whose rent is targeted to 80% of AMI.
● a two-person household whose income is 90% of AMI (for its household size) may purchase a
condominium or house whose price is targeted to 80% of AMI.
(c) Eligible renter or purchaser households may rent or purchase an Inclusionary Unit whose housing
costs exceed 30% of the Eligible Household’s income.
(4) Alternative Eligibility Criteria. When an affordable housing organization is a partner in a covered
development, eligibility may be determined in accordance with program-based eligibility
requirements established by the partner housing organization.
(25) Continued Affordability. An inclusionary unit shall remain affordable in perpetuity
commencing from the date of initial occupancy, through a deed restriction, restrictive covenant, or
through purchase by or a contractual agreement with a local, state or federal housing authority or
nonprofit housing agency, to be reviewed by the City Attorney and approved by the City Manager prior to
recording in the City of South Burlington Land Records. Any deed restriction, covenant or other instrument
or agreement ensuring the continued affordability of inclusionary units shall include:
(a) Resale Restrictions. Provisions to ensure the affordability of units offered for sale shall include
a covenant that limits the resale price to whatever is the higher of what the seller bought it for, or
what is affordable to a household at 80% AMI at the time of resale, or a covenant provided by a non-
profit affordable housing agency that is approved by the City. formula for limiting equity appreciation
to an amount not to exceed 25% of the increase in the unit’s value, as determined by the difference
between fair market appraisals of the unit at the time of purchase and the time of resale, with
adjustments for improvements made by the seller and the necessary costs of sale, as may be approved
by the City Manager. ; In addition, the City shall have the option to purchase or transfer its option to
purchase owned inclusionary units at each future time of resale.
(i) The seller or his/her representative shall notify the City Manager or his/her designee of the
prospective sale of an owned inclusionary unit;
(ii) The City Manager or his/her designee, in consultation with the members of the Housing Trust
Fund, shall then have an exclusive option for thirty (30) days to purchase the owned inclusionary
unit from the seller at a price consistent with the requirements of this subsection unless waived
or transferred;
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(iii) If the City Manager or his/her designee, in consultation with the members of the Housing Trust
Fund, fails to exercise such option by failing to negotiate and sign a purchase and sale agreement
for purchase of the owned inclusionary unit, or declaring an intent not to exercise such option,
the seller shall offer the owned inclusionary unit for purchase to income-eligible households in
accordance with the requirements of subsection 18.01(D) (Affordability Requirements).
(iv) On or before a purchase and sale agreement is executed between the seller and the City
Manager or his/her designee, s/he may assign the City’s option specified in this subsection to
purchase the owned inclusionary unit to a 501(c)(3) organization whose primary purpose is the
development of affordable housing. Upon the decision to exercise this transfer option, the City
Manager or his/her designee shall notify the seller of such assignment and the organization to
which the City has assigned the option, which organization shall deal directly with the seller and
shall have all of the authority of the City Manager, as provided under this subsection.
(b) Rent IncreasesChanges. Provisions to ensure the affordability of rental units shall require that
limit annual rent changes not exceedincreases to the percentage increase change in the median
household income within the Burlington-South Burlington MSA, when the change is an increase; and
that annual rent changes match the percentage change in the median household income within the
Burlington-South Burlington MSA, when the change is a decrease. An exception to the limit on
increases or required decreases is permitted to the extent that further increases or delayed decreases
are made necessary by documented hardship or other unusual conditions. , and shall provide that no
rent increase Such exceptions may not take effect until it has received the written approval of
approved in writing by the City Manager;
(c) Sublet Restrictions. Provisions for inclusionary rental units shall prohibit the subletting of units
at rental rates that exceed affordability limits established pursuant to this section.
(36) Reporting Requirements. Annually, the owner of a project that includes inclusionary rental units
shall prepare and submit a report to the City Manager that lists the gross rents charged for inclusionary
units and the household move-in incomes of unit tenants, and certifies that unit affordability has been
maintained as required.
E. Developer Options
(1) Options (a) and (b) below are available to developers, upon request, as necessary to address
documented financial hardships based on documentation from a financial institution denying financing or
physical site constraints that limit or preclude the incorporation of inclusionary units within a covered
development. Options (c) and (d) are available to the developer at his or her discretion. A payment or
contribution in lieu of constructing required inclusionary units shall be prohibited.
(a) Dedication. The South Burlington City Council, in consultation with the entity designated by
the City Council (for example, a permanent South Burlington Affordable Housing Committee or South
Burlington Affordable Housing Board), may accept as an alternative to the development of
inclusionary units, a dedication by the developer of equal or greater value, including land and expected
inclusionary unit value, that furthers the purposes of this section. An example might be the donation
of developable land in the City Center Form Based Codes District that provides accessibility to transit,
employment opportunities, and services.
(b) Off-Site Construction. The developer of a covered development may comply with the
requirements of this section by constructing, within two years of receiving a permit for the covered
development, the required number of inclusionary units on another site within the same contiguous
boundary of the zoning district in which the covered development is locatedCity Center Form Based
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
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Codes District, or contracting with another entity to construct the required number of units within the
same contiguous boundary of the zoning district in which the covered development is located. This
condition shall not be considered satisfied until certificates of occupancy have been issued for all off-
site inclusionary unitsin the City Center Form Based Codes District. Off-site means outside the
boundaries of the Planned Unit Development, Subdivision or Site Plan of the covered development.
(c) A developer who constructs inclusionary units having three bedrooms shall receive credit for
three inclusionary units for every two three-bedroom inclusionary units constructed.
(d) A developer who constructs inclusionary units having four bedrooms shall receive credit for
four inclusionary units for every two four-bedroom inclusionary units constructed.
F. Offset for Fulfillment of Inclusionary Unit Requirements
(1) Residential Unit Offset. To offset an applicant’s fulfillment of this Section’s inclusionary unit
requirement is an allotment of one additional dwelling unit for each required rental inclusionary unit
that is constructed; or an allotment of two additional dwelling units for each required inclusionary
homeownership unit that is constructed. This offset shall not be provided for any required unit for
which the developer receives approval for the Dedication as described in 18.01 E.(1)(a) herein.
(a) Offset residential units are not subject to the inclusionary affordability requirements.
(b) The offset described above shall be approved as long as the total housing units in the specific
covered development do not result in non-compliance with Section 15.02(A)(4).
Example (1): In a 24-unit owner housing development on a six-acre plot in a R4 district, the developer
is required to build two (2) inclusionary units The developer shall receive an offset of four (4) market
rate dwelling units, and the project now includes a total of 28 dwelling units.
Example (2): In a 36-unit rental housing development on a three-acre plot in a R12 district, the
developer is required to build five (5) inclusionary units. The developer shall receive an offset of five
(5) market rate dwelling units, and the project now includes a total of 41 dwelling units.
G. Density Bonuses for Exceeding Inclusionary Housing Requirements
(1) Applicability. This subsection applies in zoning districts or portions thereof as defined in
Subsection (B)(1) (Applicability - Zoning Districts and Locations) of this Article, in which residential
development is permitted. However, density is not a dimensional requirement in the City Center Form
Based Code districts, therefore this section is not relevant in those districts.
(2) Density Bonuses. When an applicant voluntarily includes, in the base zoning density unit-maximum
for the development, more than the number of inclusionary units required under Section 18.01.C.1,
upon the applicant’s request, the development shall, in addition to the offset units, receive a density
bonus. The density bonus shall be one dwelling unit for each voluntary inclusionary rental unit and
two dwelling units for each voluntarily inclusionary homeownership unit, up to a maximum density no
greater than 50% more than the base density. Density bonus dwelling units are not subject to the
inclusionary affordability requirements.
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Example (1): In a 24-unit owner housing development on a six-acre plot in a R4 district, the developer
is required to build two (2) inclusionary units. The developer shall receive an offset of four (4) market
rate dwelling units, and the project now includes a total of 28 dwelling units. In order to receive
approval for the maximum 50% density increase (which equates to a maximum of 8 additional units in
this example since the offset units need to be accounted for), the developer includes an additional four
(4) inclusionary units in the base zoning density unit-maximum (24) for which the developer receives
12 bonus density units. In sum, the total project includes 36 units, 6 of which are inclusionary (17% of
the units) and 30 of which are market rate (83% of the units).
Example (2): In a 36-unit rental housing development on a three-acre plot in a R12 district, the
developer is required to build five (5) inclusionary units. The developer shall receive an offset of five
(5) market rate dwelling units, and the project now includes a total of 41 dwelling units. In order to
receive approval for the maximum 50% density increase (which equates to a maximum of 13 additional
units in this example since the offset units need to be accounted for), the developer includes an
additional thirteen (13) inclusionary units in the base zoning density unit-maximum (36) for which the
developer receives 13 bonus density units. In sum, the total project includes 54 units, 18 of which are
inclusionary (33% of the units) and 36 of which are market rate (67% of the units).
Example (3): In a 40-unit owner housing development on a ten-acre plot in a R4 district, the
developer is required to build four (4) inclusionary units. The developer shall receive an offset of eight
(8) market rate dwelling units, and the project now includes a total of 48 dwelling units. In order to
receive approval for the maximum 50% density increase (which equates to a maximum of 12
additional units in this example since the offset units need to be accounted for), the developer
includes an additional six (6) inclusionary units in the base zoning density unit-maximum (40) for
which the developer receives 12 bonus density units. In sum, the total project includes 60 units, 10 of
which are inclusionary (17% of the units) and 50 of which are market rate (83% of the units).
Example (4): In a 40-unit rental housing development on a 10-acre plot in a R4 district, the developer
is required to build six (6) inclusionary units. The developer shall receive an offset of six (6) market
rate dwelling units, and the project now includes a total of 46 dwelling units. In order to receive
approval for the maximum 50% density increase (which equates to a maximum of 14 additional units
in this example since the offset units need to be accounted for), the developer includes an additional
fourteen (14) inclusionary units in the base zoning density unit-maximum (40) for which the
developer receives 14 bonus density units. In sum, the total project includes 60 units, 20 of which are
inclusionary (33% of the units) and 40 of which are market rate (67% of the units).
H. Affordable Housing Density Bonuses for Developments with Fewer than 12 Dwelling Units
(1) Applicability. This subsection applies in zoning districts or portions thereof as defined in
Subsection (B)(1) (Applicability - Zoning Districts and Locations) of this Article, in which residential
development is permitted. However, density is not a dimensional requirement in the City Center Form
Based Code districts, therefore this section is not relevant in those districts.
(2) Density Bonus. For applications that include at least three (3) but fewer than twelve (12)
dwelling units (calculated using the base zoning density unit-maximum for the development), where
the developer has opted to construct one or more units that qualify as inclusionary priced at or below
the 80% of AMI level, such approval shall, upon request of the applicant, include a density bonus over
the base zoning density. The density bonus shall be one dwelling unit for each inclusionary rental unit
and two dwelling units for each inclusionary homeownership unit included voluntarily up to a
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
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maximum density of no greater than 50% more than the base density. These bonuses apply to both
rental and home-ownership developments with fewer than 12 units in which the developer voluntarily
provides inclusionary units eligible to households at or below 80% AMI for rentals and 100% AMI for
homeownership. The density bonus units are not subject to the inclusionary affordability
requirements.
I. Parking Requirements. The number of parking spaces required for each inclusionary unit shall be no greater
than one space per unit.
FJ. Administration and Compliance
(1) Application Requirements. In addition to other submission requirements applicable to proposed
projects specified within this bylaw, applications under this section shall include the following information:
(a) A site or subdivision plan that identifies the number, locations, types, and sizes of inclusionary
units in relation to market rate units;
(b) Documentation supporting the allocation of inclusionary and market rate units, including
inclusionary unit set aside calculations;
(c) A description of each unit’s type, floor area, number of bedrooms, estimated housing costs,
and other data necessary to determine unit affordability;
(d) A list of proposed options, if any, to be incorporated in the plan, as provided for under
Subsection (E) (Developer Options) of this Article;
(e) Documentation regarding household income eligibility;
(f) Information regarding the long-term management of inclusionary units, including the
responsible party or parties, as required to ensure continued affordability;
(g) Draft legal documents required under this section to ensure continued affordability;
(h) Construction timeline for both inclusionary and market rate units; and
(i) Other information as requested by the Administrative Officer to determine project compliance
with inclusionary zoning requirements.
(2) Application Compliance Officer. The Administrative Officer (AO) is responsible for certifying, in
writing, whether a development application is in compliance with the inclusionary zoning requirements
specified in Subsection (FJ)(1) (Application Requirements) of this Article. In cases in which the AO
determines the application is not in compliance, he or she shall specify the areas of non-compliance.
(3) Application Review and Decision-Making. Depending on the approval authority of the base
application either the Development Review Board or Administrative Officer shall review and approve,
approve with conditions, or deny applications for developments subject to the inclusionary requirements
of Section 18.01 that are located in the applicable locations defined in Subsection (B)(1) (Applicability -
Zoning Districts and Locations) of this Article.
(4) Ongoing Compliance. The City of South Burlington Housing Authority, if any; another municipal
entity; or a bona fide qualified non-profit organization, as determined by the South Burlington City Council,
shall be responsible for the on-going administration of the inclusionary units as well as for the
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promulgation of such rules, regulations, and/or procedures as may be necessary to implement this
program. The Housing Authority, other municipal entity, or non-profit organization shall define and
implement eligibility priorities, continuing eligibility standards and enforcement, and rental and sales
procedures.
(53) Program Evaluation. In order to monitor and track the success of inclusionary zoning in meeting
the purposes of this section and the City’s affordable housing goals and targets, the City Manager shall:
(a) Collect and maintain income eligibility guidelines, mortgage interest rate information, and
other information necessary to meet the requirements of this section;
(b) Monitor and maintain records regarding the status of inclusionary units developed under this
Section 18.01; and
(c) Prepare an annual written report for distribution to the South Burlington City Council and
Planning Commission and posting on the City’s website, to be considered in a public meeting, that
summarizes the status of covered projects and inclusionary units approved to date, and sets forth
program findings, conclusions, and recommendations for any changes that will increase the
effectiveness of inclusionary zoning.
18.02 Affordable Housing Density Bonus
A. Purpose. One of the adopted Comprehensive Plan goals is the availability of quality housing and
quality affordable housing to attract and retain a qualified work force. The following provisions are established
to enable the City of South Burlington to ensure a supply of standard housing available at below-market rate
purchase prices or rents. In this way, a choice of housing opportunities for a variety of income groups within
the City can be created in accordance with the Comprehensive Plan and these Regulations.
B. Applicability. This section shall apply in any Zoning District in which residential development is
permitted, with the exception of the applicable locations defined in Section 18.01 (B)(1) (Applicability - Zoning
Districts and Locations) of this ArticleCity Center Form Based Codes District.
C. Density Increase. On a case by case basis and as part of the Planned Unit Development application,
the Development Review Board may grant an increase in residential density over the base zoning density, in
order to create below market rate housing. The density increases shall be approved on the following criteria
and standards:
(1) Affordable Housing Development. The Development Review Board may grant a density increase
of no more than fifty percent (50%) in the total number of allowed dwelling units for an Affordable Housing
Development. The total of below market rate units shall be at least half of the total proposed dwelling
units. Where the total proposed dwelling units is an uneven number, the total of below market rate units
shall be calculated as at least the total proposed dwelling units, less one (1), divided by two. Such
application shall be subject to Article 14, Site Plan and Conditional Use Review, and Article 15, Subdivision
and Planned Unit Development Review.
(2) Mixed Rate Housing Development. The Development Review Board may grant a density increase
of no more than twenty-five percent (25%) in the total number of allowed dwelling units for a Mixed Rate
Housing Development. For each additional market-rate dwelling unit produced as a result of the density
increase, one (1) comparable below market rate unit must be provided. Such application shall be subject
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to Article 14, Site Plan and Conditional Use Review, and Article 15, Subdivision and Planned Unit
Development Review.
Table 13-9 Example of Affordable Housing Bonus Calculation
Affordable Project: Mixed-Rate Project:
50% of Total Units Affordable 25% of Bonus Units Affordable
Acres 8.35 8.35
Base Density 12 12
Base Units 100.2* 100.2*
Bonus Units 50 25
Total Units 150 125
Net Density 17.98 14.99
Affordable Units 74 13
Market Rate Units 74 112
*Partial units always round DOWN to the lower whole number of units
D. Criteria for Awarding Density Increase. In addition to the standards found in Article 14, Site Plan and
Conditional Use Review, , and Article 15, Subdivision and Planned Unit Development Review, the following
standards shall guide the Development Review Board:
(1) The density upon which a bonus may be based shall be the total acreage of the property in
question multiplied by the maximum residential density per acre for the applicable zoning district or
districts.
(2) Within the Residential 1 and Residential 2 zoning districts, the provisions of this Section 13.14 shall
apply only to properties of five (5) acres or more, and the maximum allowable residential density with or
without such a density increase shall be four (4) dwelling units per acre.
(3) Development Standards.
(a) Distribution. The affordable housing units shall be physically integrated into the design of the
development in a manner satisfactory to the Development Review Board and shall be distributed
among the housing types in the proposed housing development in the same proportion as all other
units in the development, unless a different proportion is approved by the Development Review Board
as being better related to the housing needs, current or projected, of the City of South Burlington.
(b) Minimum Floor Area. Minimum gross floor area per affordable dwelling unit shall not be less
than comparable market-rate units in the housing development.
(c) Plan for Continued Affordability. The standards for Section 18.01(D)(25) shall apply.
(4) Administration. The City of South Burlington Housing Authority, if any, or a bona fide qualified
non-profit organization shall be responsible for the on-going administration of the affordable housing units
as well as for the promulgation of such rules and regulations as may be necessary to implement this
program. The Housing Authority or non-profit organization will determine and implement eligibility
priorities, continuing eligibility standards and enforcement, and rental and sales procedures.
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
E. Housing Types. The dwelling units may at the discretion of the Development Review Board be of varied
types including one-family, two-family, or multi-family construction, and studio, one-bedroom, two-bedroom,
three-bedroom and four-bedroom apartment construction.
18.03 Housing Preservation
A. Purpose. The intent of this Section is to achieve one or more of these goals:
(1) To promote the health, safety and general welfare of the community by preserving existing housing
stock in residential neighborhoods, particularly the supply of affordable and moderately-priced homes
through the use of housing retention requirements as referenced in South Burlington’s 2016
Comprehensive Plan;
(2) To reduce and mitigate the demolition and conversion to nonresidential use or nonuse of
residential structures, and to maintain housing that meets the needs of all economic groups within the
City particularly for those of low and moderate income;
(3) To meet the specific mandates of 24 V.S.A. Section 4302(11) related to housing opportunities for
safe and affordable housing for all Vermonters and to meet the needs of the diverse social and income
groups in each Vermont community;
(4) To support the retention of housing units in the City;
(5) To promote the health safety and welfare of the community by preserving the residential character
of neighborhoods; and,
(6) To offset the loss of housing by requiring replacement of housing units with new construction,
conversion of nonresidential to residential use or a contribution to the City of South Burlington Housing
Trust Fund.
B. Applicability. Except as otherwise provided in sub-section C (Exemptions), this Section 18.03 of these
Regulations is applicable to the loss, demolition or conversion to a nonresidential use or nonuse (for example
a vacant lot) of any dwelling unit in the City. This includes without limitation any of the following:
(1) any dwelling unit that is demolished, removed, or declared unfit for habitation pursuant to any
order, decision or other action of the City or State that is caused by unreasonable neglect or deferred
maintenance of an existing or prior owner(s);
(2) any dwelling unit that is demolished or removed pursuant to any municipal, State or Federal
program, including any air traffic or airport noise mitigation and compatibility program; and/or,
(3) the loss, demolition or conversion to nonresidential use or non-use of any other form of
permanent housing, including but not limited to housing units contained within a housing facility that is
permitted as a congregate care facility, except group homes, residential care facilities, or skilled nursing
facilities as defined in these Regulations.
C. Exemptions. This Section shall not be applicable to:
(1) The redevelopment of a dwelling unit or any other form of permanent housing, including but not
limited to housing units contained within a housing facility that is permitted as a congregate care facility,
within a two (2) year period. Any applicant for a demolition permit seeking to avail themselves of this
exemption shall be required to obtain a Certificate of Occupancy within two (2) years of the date of
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
issuance of the demolition permit thereby demonstrating redevelopment of the dwelling unit and
restoration of the residential use on the same parcel.
(2) Any dwelling unit ordered demolished or declared unfit for habitation because of damage caused
by civil commotion, malicious mischief, vandalism, natural disaster, fire, flood or other causes beyond the
owner’s control.
(3) Dwelling units existing in the following zoning districts: City Center Form Based Code, Industrial –
Open Space, Mixed Industrial & Commercial, Swift Street, Institutional-Agricultural, Parks & Recreation,
Municipal, Commercial 1-AIR, Airport, and Airport-Industrial.
(4) The conversion of a duplex to a single-family home.
(5) As of the initial effective date of this Section, any dwelling units:
(a) For which the Burlington International Airport / City of Burlington has obtained Federal
Aviation Administration (FAA) Airport Improvement Program (AIP) grant funding approval for the
acquisition, demolition or removal pursuant to the FAA’s Part 150 Noise Compatibility Program. This
includes the dwelling units identified in FAA AIP grant numbers, AIP-94, AIP-105, and AIP-109 whether
or not these dwelling units have been purchased or removed as of January 1, 2018.
(b) Indicated on the 2009 Burlington International Airport Part 150 Noise Inventory and Re-Use
Plan “Proposed Property Acquisition Program” map, Figure 4: Detailed Acquisition Plan, dated April
23, 2009.
See Appendix H for a complete listing of properties by address.
(6) The removal of accessory dwelling units.
D. Approval. Notwithstanding any other provision of these Regulations and unless otherwise exempt
under sub-section C of this Section, no dwelling unit shall be removed, demolished, or converted to a
nonresidential use or nonuse, without receipt of a zoning permit in accordance with this Section.
In addition to any other submission requirements in these Regulations, the applicant shall submit as part of a
zoning permit application under this Section:
(1) A statement certifying the number of dwelling units to be demolished or converted to
nonresidential use and the number of bedrooms existing within each of these units;
(2) A demonstration of compliance with tenant or occupant notice and relocation provisions of
applicable state and federal law; and
(3) A demonstration of compliance with sub-section E, F and G (if applicable) of this Section.
E. Housing replacement requirement. In addition to any other requirements for approval under these
Regulations, approval of the zoning permit referred to in Sub-section D above requires the replacement of
each dwelling unit that is to be removed, demolished, or converted to nonresidential use or nonuse with a
replacement dwelling unit. Any dwelling unit approved under Section 18.01 or 18.02 shall not qualify as a
replacement dwelling unit. This replacement requirement may be satisfied in one of the following ways:
(1) Construction of a new dwelling unit in accordance with sub-section F of this Section;
(2) The conversion of a non-residential building to residential use in accordance with sub-section F of
this Section; or,
(3) Contribution to the Housing Trust Fund. Payment to the City of South Burlington’s Housing Trust
Fund for each dwelling unit that is removed, demolished, or converted to nonresidential uses or nonuse
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
in an amount equal to twenty-five percent (25%) of the higher of (1) the most recent assed valuation the
premises as modified by the CLA (Common Level of Appraisal) or (2) the most recent sales price of the
premises.
F. Replacement Dwelling Unit Requirement. In addition to the foregoing, all replacement dwelling
units built pursuant to this Section must meet the following requirements:
(1) Each replacement dwelling unit shall have at least the same number of bedrooms as the dwelling
unit being replaced;
(2) Each replacement dwelling unit must be located within the City of South Burlington;
(3) Each replacement dwelling unit must receive a Certificate of Occupancy within eighteen (18)
months of the date on which the zoning permit referenced in Sub-section D above is approved;
(4) Each rental replacement dwelling unit(s) must be maintained either as a Group Home or as a
leased “Affordable Housing” unit, as that term is defined in Article 2 of these Regulations to prospective
occupants who are income eligible at the time they first lease the unit, for a period of not less than twenty
(20) years from the date of first occupancy.
(5) Each non-rental replacement dwelling unit(s) must be offered for sale either:
(a) At or below the fair market value of the dwelling unit that was removed, demolished, or
converted to nonresidential use or nonuse, as determined either (i) by an appraisal provided by the
applicant, or (ii) by the City’s latest assessed value of the premises including the dwelling unit that was
removed, demolished, or converted to nonresidential use or to nonuse; or
(b) As an “Affordable Housing” unit, as that term is defined in Article 2 of these Regulations, to
prospective purchaser/occupants who are income eligible at the time they purchase the unit. Any such
unit shall be subject to a covenant restricting the sale of the dwelling unit for a twenty (20) year period
to an owner/occupant who qualifies by income.
(6) Income eligibility for replacement units described in this subsection shall be determined based on
income guidelines, as adjusted for household size, published annually by the U.S. Department of Housing
and Urban Development (HUD) for the Burlington-South Burlington Metropolitan Statistical Area (MSA),
or on program-based income eligibility requirements established by a partnering housing organization.
The income eligibility shall be determined using the most recent income guidelines available at the time a
unit is available for occupancy.
G. Performance Guaranty/Letter of Credit. When an applicant proposes to construct a new replacement
dwelling unit or convert a non-residential building to a replacement residential unit, the applicant must post
a performance guaranty in the form of a letter of credit, or other security acceptable to the City Attorney, in
the amount equivalent to the amount the applicant would have been required to contribute to the City of
South Burlington’s Housing Trust Fund if the applicant had chosen that option pursuant to Sub-section E(3),
above. Such a performance guaranty shall be valid for no more than two (2) years, after which the full amount
due shall be provided to the City of South Burlington’s Housing Trust Fund if a replacement dwelling unit
satisfying the conditions of this Section has not been granted a Certificate of Occupancy as a dwelling unit.
H. Administration. The City of South Burlington Housing Authority, if any, or a bona fide qualified non-
profit organization approved by the City of South Burlington following demonstration of its qualifications shall
be responsible for the on-going administration of this section as well as for the promulgation of such rules and
regulations as may be necessary to implement this section. The Housing Authority or non-profit organization
will determine and implement eligibility priorities, continuing eligibility standards and enforcement, and rental
and sales procedures.
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
I. Violations. In the event of a violation of this Section, an enforcement action in accordance with Article
17 shall commence and the requirements of this Section shall apply in addition to any other remedies available
to the City by law.
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ARTICLE 18 AFFORDABLE HOUSING STANDARDS
South Burlington Land Development Regulations
NOTE - The following includes Inclusionary Zoning amendments to other LDR Articles:
Article 15 SUBDIVISION and PLANNED UNIT DEVELOPMENT REVIEW
15.02 Authority and Required Review
A. Authority
(6) The modification of the maximum residential density for a zoning district shall be permitted only
as provided in the applicable district regulations and/or for the provision of affordable housing
pursuant to Section 18.01 and 18.02 13.14 of these Regulations.
Article 17 ADMINISTRATION and ENFORCEMENT
17.03 Certificates of Occupancy
A. Certificate of Occupancy Required. It shall be unlawful to use, occupy or permit the use or
occupancy of any land or structure or part thereof created, erected, changed, converted, or wholly or partly
altered or enlarged in its use or structure until a certificate of occupancy has been issued therefor by the
Administrative Officer.
B. Certificate of Occupancy Not Required. Certificates of occupancy shall not be required for single-
family or two-family dwellings, except as specifically listed below:
(1) Certificates of Occupancy are required for single and two family dwellings within the Floodplain
Overlay (Zones A, AE, and A1-30) Subdistrict.
(2) Certificates of Occupancy are required for inclusionary single and two-family dwellings within the
applicable locations defined in Section 18.01(B)(1) (Applicability - Zoning Districts and Locations). Buildings
containing the last 10% of market rate units shall not receive certificates of occupancy until certificates of
occupancy are issued for all buildings containing inclusionary units, including when the inclusionary units
are provided off-site as provided for in Subsection (E)(1)(b) (Off-Site Construction)City Center FBC District.
(3) Certificates of Occupancy are required for dwelling units constructed in accordance with Section
18.03(C)(1) of these Regulations.
(4) Certificates of Occupancy are required for replacement dwelling units built in accordance with
Section 18.03 of these Regulations.
20
General
• Outline TDR bank structure
• Outline TDR registry structure – TBA. Will be designed and administered by City staff
Residential TDRs
• South Burlington TDR Program Evaluation – We already know most of what is and is not
working. It is in TDR Committee report
o What is working and why?
o What isn’t working and why?
• Benchmarking
o Identify cities that have a successful TDR program
§ We have identified a few examples below
o What are the traits/characteristics/mechanisms of a successful program?
o What traits/characteristics/mechanisms would work in South Burlington?
• Evaluate timing of purchase of TDRs
o Purchase for initial units to be built vs. Purchase after base density units have been built
out
Commercial District TDRs
• Benchmarking
o What cities are doing this?
§ Warwick Township PA
§ Seattle WA
§ Hadley MA
§ Calvert County MA
o Are they successful?
§ Yes
o Why are they successful?
o What are the characteristics?
o Are there unintended consequences?
• South Burlington
o Which characteristics would work for South Burlington?
o Where could this be applied?
§ See developer comments
Future Items to Evaluate/Investigate – None identified
• Regional TDR Program
Regional TDR Program – Not our charge. Can and should be looked into by SB in future
• Benchmarking
o Are there similar sized regions that are doing this?
o Has the Regional Planning Commission (RPC) looked into this?
o If yes, what were their findings?
§ King County WA has an interlocal agreement with Seattle
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Warwick Township, Lancaster County PA
Transferable Development Rights (TDR) Program
Under Warwick Township’s Zoning Ordinance, the Transferable Development Rights (TDR)
Program assigns every farm within the Agricultural zone (sending area) one transferable
development right for each two gross acres of farmland. TDRs are purchased from farmers who
wish to preserve their farmland. The purchase price is based on the fair market value of the
farmland at the time the TDRs are sold. Since 1991, the TDR program has been successful in
preserving twenty-six farms comprised of more than 1,500 acres of farmland.
TDRs are sold for the purpose of increasing lot coverage in the Campus Industrial zone
(receiving area). In order to ensure sound land use practices, the maximum lot coverage within
the Campus Industrial zone is 10%; however, for each transferable development right acquired,
an additional 4,000 square feet of lot coverage is permitted, up to a maximum of 70% coverage.
The Township also partners with developers to review and determine the number of TDRs
needed for a specific project within the Campus Industrial Zone. The number of TDRs needed is
based on the size of the project, and the size of the tract where the project would be located. This
partnership has been successful in selling 446 TDRs since 2001, redirecting more than
$750,000.00 to farmland preservation.
The TDR program has been an effective planning tool in preserving prime agricultural areas,
while directing growth in a responsible and efficient manner.
The Township partners with the Lancaster County Agricultural Preserve Board and/or Lancaster
Farmland Trust to preserve farmland. The funds generated by the sale of TDRs are specifically
used to preserve additional farmland within Warwick Township.
Additional facts regarding farmland preservation in Warwick Township:
• 2,990.91 acres have been preserved.
• 1,547.036 acres have been preserved through the TDR Program.
• Warwick Township has purchased 636 TDRs and has sold 304 TDRs.
• A total of 801 TDRs have been purchased and 446 TDRs have been sold through a
cooperative program with the Lancaster County Ag. Preserve Board and Farmland Trust.
Update September 25, 20019
Talked with Daniel Zimmerman, Township Manager.
TDR sales in his town are booming. Expects to sell 150 TDRs this year. Have now preserved 32
farms. They are focused on the Campus Industrial Zone. Currently has 3 sites under development
in this Zone. TDRs are sold for $3000 and conserves 2 acres. Each TDR is worth 4,000 square
feet of additional lot coverage up to a maximum of 70% coverage (base coverage is 10% lot
coverage). For example, the Township contributes $50,000 to the Lancaster County Agricultural
Preserve Board and/or Lancaster Farmland Trust towards the cost of the land (in this case a 90
acre farm) and gets 45 TDRs which are sold for $135,000 – a profit of $85,000 for Warwick
Township.
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City of Seattle and King County WA
Overview
In 2013, King County and the City of Seattle entered into an interlocal agreement for the
implementation of a regional program to transfer development rights from King County farm and
forest land to the South Lake Union, Denny Triangle, and Commercial Core in the City of
Seattle. While establishing a marketplace for TDR credits, this agreement will protect and
maintain the existing character of rural, farm, and forest lands, in turn directing growth into the
region’s largest designated urban center. Regional TDR credits can be used to increase
development capacity in these specific areas of the City of Seattle.
Using Rural TDR Credits in Seattle
The City of Seattle has approved the use of TDRs in the South Lake Union, Denny Triangle, and
Commercial Core areas, as shown in the map. TDRs must originate from agricultural, forest,
and rural zoned sending sites, including sending sites that are part of King County’s TDR
Bank. The City of Seattle allows development projects within specified receiving areas to
increase residential and non-residential square footage beyond the base zoning.
For example TDR credits may be used to increase commercial capacity and residential density as
identified below.
Additional floor area or height or density above base with TDR
Residential +40%
Commercial +25%
I spoke to Michael Murphy, Interim Deputy Division Director, King County Water and Land
Resources Division.
His advice was “keep it simple so that you don’t need a calculator to work out how many TDRs
are needed for a project”.
He also noted that TDR ratios should be “tweaked” to direct TDRs to where you want dense
development or less dense development (e.g. one TDR gets you 2 units in a district where you
want more density but only one unit in a district where you want less density)
Recent market activity in Seattle is shown below.
Regional TDR Transactions Inside Seattle
This is a subset of the "Rural TDR Transactions" shown on the Sales Data page.
Transaction Date # TDRs sold/bought Price per TDR Credit Type Use of TDR
7/15/2016 7 $22,660 Forest (2) commercial
6/21/2016 14 $22,660 Forest (2) commercial
6/7/2016 6 $24,640 Agricultural (2) commercial
6/7/2016 4 $22,660 Forest (2) commercial
4/5/2016 4 $22,660 Forest (2) commercial
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3/31/2016 5 $24,846 Agricultural (2) residential
3/31/2016 75 $22,725 Forest (2) residential
12/8/2015 66 $22,660 Forest (2) commercial
12/8/2015 1 $24,640 Agricultural (2) commercial
7/24/2015 22 $22,660 Forest (2) commercial
7/17/2015 4 $24,640 Agricultural (2) commercial
7/17/2015 6 $22,660 Forest (2) commercial
7/17/2015 3 $24,640 Agricultural (2) commercial
4/1/2015 19 $24,640 Agricultural (2) commercial
10/17/2014* 14 $15,680 Agricultural (2) commercial
10/17/2014* 8 $15,680 Agricultural commercial
12/13/2014* 27 $14,420 Forest (2) commercial
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Town of Hadley MA TDR Program
§ 17.4 Transfer of development rights.
Transfer of development rights provides for increased density of commercial or industrial development
in the designated Receiving District when suitable open space land in the Farmland Preservation
District is permanently preserved from development. The transfer of development rights is
accomplished by the execution of an agricultural preservation restriction, and the increased density is
permitted by the issuance of a special permit, both as hereinafter provided.
The maximum limits on density, lot coverage, and parking reductions permitted to be developed by
special permit in the Receiving District shall be determined by reference to the Table of Exchange
Standards for Transfer of Development Rights, found below in this section.
Table of Exchange Standards for Transfer of Development Rights
[Amended 5-1-2008 ATM by Art. 26; 5-7-2009 ATM by Art. 32]
Farmland
Preservation
District (Sending
District)
Business and
Industrial Zoning
(Receiving District) Notes 1 acre of
developable
farmland1 equals
2,000 square feet of
additional commercial
or industrial floor area2
plus a reduction in
parking of 20 spaces3
1) The Board may allow an increase in lot coverage
from the 30% maximum lot coverage required in
Section IV of the Hadley Zoning Bylaw up to a
maximum 70% lot coverage4
2) The Planning Board may reduce the parking
requirements in § 5.4 of the Zoning Bylaw for off-street
parking area which is equal to twice the floor area of
any commercial or industrial building to be constructed.
The Planning Board may reduce this requirement for
off-street parking area to a minimum of 1.5 times the
floor area of any commercial or industrial building to be
constructed.
1 acre of
developable
farmland1 equals
2 additional bedrooms See §§ 27.5.3.1 to 27.5.3.3 of the Hadley Zoning Bylaw
1 "Developable farmland" is defined in § 17.2 2 "Additional commercial or industrial floor area" shall be defined as floor area
above that which would normally be permitted under the Hadley Zoning Bylaw.
The increased floor area shall be accommodated through either increased lot
coverage or reduced parking requirements as noted in the table above. 3 One parking space is equal to 200 square feet. 4 The requirement in § 5.5 of the Hadley Zoning Bylaw for a minimum of 20%
open space on a lot must be maintained.
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Calvert County MA
Calvert County created the first land preservation program in Maryland and currently has the
most active transferable development rights (TDRs) program in the state. The TDR program
allows a landowner to sell the development potential to another party. The sale requires the
recording of restrictive covenants in land records permanently subjecting the property to
development restrictions in perpetuity. Subject to County regulations, a TDR purchaser can use
TDRs to attain higher lot density on another property. The TDR program goal is to deter
development of farms and forest lands to areas targeted for residential and commercial growth.
Transferable Development Right Sales
2016
Qtr. Dates Number of TDRs
Sold
Avg. cost per
TDR
Number of FC TDRs
Sold
Avg. cost per
FCTDR
1 Jan. Feb.
Mar. 40 $3,200.00 7 $4,750.00
2 Apr. May
Jun 0 N/A 2 $4,500.00
3 Jul. Aug.
Sept 0 N/A 0 N/A
4 Oct. Nov.
Dec. 18 $3,000.00 1 $4,500.00
Total 58 $3,100.00 10 $4,583.33
2017
Qtrr. Dates Number of TDRs
Sold
Avg. cost per
TDr
Number of FC TDRs
Sold
Avg. cost per
FCTDR
1 Jan. Feb.
Mar. 6 $3,500.00 2 $4,500.00
2 Apr. May
Jun 41 $2,750.00 3 $4,333.33
3 Jul. Aug.
Sept 88 $2,514.29 2 $4,500.00
4 Oct. Nov.
Dec. 44 $2,916.67 N/A N/A
TOTAL 179 $2,775.00 7 $ 4,400.00
2018
Qtr. Dates Number
of TDRs
Avg. cost per
TDR
Number of FC
TDRs
Avg. cost per
FCTDR
1 Jan. Feb. Mar. 4 $3,200.00 0 $0.00
2 Apr. May Jun 48 $2,843.75 0 $0.00
3 Jul. Aug. Sept - -
4 Oct. Nov. Dec. 186.5 $2,900.00 0 $0.00
TOTAL 238.5 $6,043.00 - -
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TDR Implementation Examples
Case-by-case example
Town A has adopted a plan that will allow TDR on a case-by-case
basis.
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Blanket rezone example
Town B has adopted a plan that has mapped sending and receiving
areas, and wishes to complete a blanket rezone petition to
implement the plan. This will make it as easy as possible for willing
landowners in sending and receiving areas to participate in the TDR
program.
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TDR Interim Zoning Committee
Interviews with Developers
Developer A 9/3/19
• Can envisage many projects along Shelburne Road that would benefit
from TDR density increases.
• For example the new development at corner of Shelburne Road and
Fayette Drive, could have a 5th floor if that was possible with TDRs. Would
of course depend on compliance with other relevant LDRs.
• Definitely thinks there would be a market for TDRs if they could be used in
receiving areas in the Transit Overlay District.
• Sees a lot of potential when properties come up for redevelopment.
Developer B 9/4/19
• Sees opportunities for commercial developments using TDRs.
• Thinks there is definitely a market for TDRs outside the SEQ.
• There would be residential density and redevelopment opportunities
outside the SEQ.
• Has used TDRs in projects (about 20 from Auclair Trust).
• Will use TDRs in another project now under development (about 26 from
the Vermont Land Trust).
Developer C 9/9/19
• Developer C has been more involved in commercial developments, less in
residential.
• Has a residential project under construction at present in Burlington.
• Sees possible opportunities for redevelopment using TDRs in South
Burlington.
• For example, along the North side Williston Road where land use is very
inefficient – many single story commercial establishments. Redevelopment
in this area could produce multi-story mixed use buildings fronting on
Williston Road and dense residential development behind.
• Similar opportunities along the Sherbrooke Road corridor.
Developer D 9/10/19
• Has used TDRs in a small development.
• Made similar comments to those of Developer C about redevelopment
opportunities along the Williston and Sherbrooke corridors.
• Did not need to acquire TDRs for very large development on Spear Street
and finds the current TDR process cumbersome and complex. Difficult to
bring TDR owners and buyers together.
• Having a TDR bank or registry would be a major improvement.
• Commented that having TDR sending and receiving areas in the same
zone defeats the purpose of moving density into suitable urban areas and
away from rural areas.
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TDR Interim Zoning Committee
Interviews with TDR Owners
Owner A 8/23/19
• Acquired 14 acres about 10 years ago.
• Subdivided into 3 lots – one 11.5 acres and two from the remaining 2.5 acres.
• Retained ownership of the 14 TDRs when the properties were sold.
• Sold 3 TDRs (Wildflower Drive?).
• Has 11 TDRs now.
• Objective is to sell these TDRs for a development which is not built on “open
space”.
• Would like to see an expanded market outside the SEQ where those objectives
could be met.
• Needs to use the proceeds to fund college for children.
Owner B 9/3/19
• Has about 40 TDRs.
• Would like to extinguish the TDRs by creating a conservation easement possibly
held by the Vermont Land Trust.
• Will not sell TDRs for development on open space.
• Would sell for suitable development outside the SEQ.
• TDRs could be held in trust for a future owner of the property who might then be
able to use them under the conditions specified in the trust.
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Findings
• 114 TDRs were severed and transferred under the TDR program, which conserved 95 acres
o Another 470 TDRs were extinguished as part of the PUD process, but not transferred as
TDRs per se
o An estimated 1,357 TDRs remaining. 116 are owned by the city, 1241 by landowners
• The TDR market has not been as robust as envisioned likely due to
o Limited receiving areas
o Absence of a mechanism to connect TDR holders with potential buyers has not supported
development of a robust marketplace for TDR holders
o No reliable database or registry of TDRs available, sent (severed) and where used in
receiving areas thus making the program less transparent and effective than it could be
• The Committee concluded that the current TDR Program is problematic in that the TDR sending
areas and TDR receiving areas are all in the SEQ which is where almost all of South Burlington’s
remaining open space is located
o The consequence of this can be dense development in the same areas where our LDRs and
Comprehensive Plan encourage open space preservation, natural resource protection,
wildlife habitat preservation and continued agriculture.
o South Burlington residents have expressed growing concern about the pace of development
in the City and the importance of conserving open space and precious natural resources and
have voiced strong concerns about some SEQ defined TDR Receiving areas as lands worthy
of conservation.
o The Committee could find no other TDR program that transfers development rights from
forests, farmlands, meadows and fields to other fields, meadows and farmlands. The
programs examined by the Committee all transferred rights from open space to industrial,
commercial and residential zones.
o Several residents we have spoken to that hold TDRs have stated they will not sell their TDRs
if it means the rights will be used to further develop South Burlington’s remaining open
space
• Based on interviews with several developers, there would seem to be ample demand for TDRs
outside of the SEQ
Recommendations
• Expand the TDR marketplace to Receiving Areas outside the SEQ
• Add new Sending areas in the SEQ and outside the SEQ which are identified as high priority for
conservation
• Re-designate sensitive Receiving areas in the SEQ
• Define a “dwelling unit” by size (maximum square footage or number of bedrooms or other criteria)
• Work to develop a balance between the capacity for TDR usage and the supply in order to create a
fair and well-functioning TDR market.
• Establish a TDR clearing house, registry or bank where holders could list the TDRs they wish to offer
for sale
• As required by 24 V.S.A. § 4423, the City should develop and maintain a map of areas from which
development rights have been severed. This map should show also the areas to which TDRs have
been transferred or used intra-parcel.
• The City could purchase and retire TDRs from select parcels that have the highest conservation
values as indicated by the Interim Zoning Open Space Committee.
TDR Concepts
For PC Discussion 2019-10-08
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Transfer of Development Rights Interim Zoning Committee
Meeting Minutes
25 September 2019
Members Present: Andrew Chalnick (clerk), Kelly Lord, Michael Mittag (chair), Monica Ostby and John
Simson
Members Absent: Michael Albertson, Tim Barritt
Staff and Guests: None
The Meeting was called to order at 7:00 PM in the Clubhouse at Ridgewood Estates.
1. Directions on emergency evacuation procedures from conference room
The emergency exit procedures and routes were described.
2. Agenda: Additions, deletions or changes in order of agenda items
No changes.
3. Open to the public for items not related to the agenda
No comments unrelated to the agenda.
4. Review Planning Commission Action Items proposal
The Committee reviewed Michael’s draft responses and agreed with those responses. A suggestion was
to explicitly indicate in the TDR committee report that industrial/commercial areas should be considered
as new receiving areas. It was noted that other communities with successful TDR programs zone
commercial/industrial with very low lot coverage, requiring developers to purchase TDRs in order to
increase lot coverage. It was further noted that the TDR programs that Michael found all share a
common theme: development rights are transferred from open space to industrial/commercial areas.
None of them transfer developments rights to open space. To further the committee’s work, members
requested that Michael send an email to the planning commission explicitly asking that the PC review
the recommendations of the TDR committee.
5. Identify Receiving Areas on the TDR Overlay map (identify also Receiving Zones and associated
density increases).
It was decided to defer more work on the map pending feedback from the PC.
6. Adjourn
The meeting adjourned at 8:25PM.
Respectfully submitted,
Andrew Chalnick
TDR Concepts
For PC Discussion 2019-10-08
Page 12
34
Attachment F – TDR Overlay District Map
Recommended Zoning with TDR Overlay
R2 —> R7 = 1. PURPLE
R4 —> R7 = 7, ORANGE
R4 —> “Transition Zone” = A, B 12 & 13
LIGHT BLUE (when R7/C1)
(LIGHT GREEN when R7 only)
(YELLOW When INSIDE Neighborhood
Like Shelburne RD “secondary”)
R7/C1 —> R12/C1 = 6 DARK RED
R7/C2 —> R12/C2 = 3. LIGHT PINK
IA —> R7 = 14a. DARK GREEN outline
Unassigned But Opportunity = 2, 5, 9,
14, 16, RED OUTLINE
Plann Comm considering changes.
Include TDRs? (Paul’s Pink Map) 17
BRIGHT PINK
https://www.arcgis.com/home/webmap/viewer.html?webmap=981146b29160450aa194e05f3104d33b&extent=-
73.2422,44.4126,-73.0416,44.4834 coneptTDR Concepts
For PC Discussion 2019-10-08
Page 13
SOUTH BURLINGTON PLANNING COMMISSION
MEETING MINUTES
24 SEPTEMBER 2019
1
The South Burlington Planning Commission held a regular meeting on Tuesday, 24 September 2019, at
7:00 p.m., in the Conference Room, City Hall, 575 Dorset Street.
MEMBERS PRESENT: B. Gagnon, Acting Chair; T. Riehle, M. Ostby, M. Mittag, A. Klugo, D. Macdonald
ALSO PRESENT: P. Conner, Director of Planning and Zoning; D. Crawford, J. Simson, T McKenzie, S.
Dooley, C. Snyder
1. Directions on emergency evacuation procedures from conference room:
Mr. Gagnon provided directions on emergency evacuation procedures.
2. Agenda: Additions, deletions or changes in order of agenda items:
No changes were made to the agenda.
3. Open to the public for items not related to the Agenda:
Mr. Crawford, Chair of the Natural Resources Committee, said they committee is trying to find out how
to interface with other committees to see how they can work together.
Mr. Crawford also noted that he had testified at the City Council public hearing on the proposed LDR
amendments, specifically the elimination of parking minimums in commercial development. He said he
feels it is best if the DRB still have a role to play in determining parking, and that to eliminate them
entirely in that discussion seems inappropriate to him. He suggested allowing the DRB to waive all
parking, if the saw fit, but to still have a hand in that decision.
4. Planning Commissioner announcements and staff report:
Mr. Conner noted that this month is Library Card Sign-Up Month.
5. Review and consider warning public hearing on proposed amendments to the Land
Development Regulations:
a. LDR-19-08 Reduce first story minimum window heights and establish privacy
standards:
Mr. Conner noted there was concern expressed with 7-1/2 foot tall windows on the first floor for
residential units in the T4 District. Mr. Klugo noted there was lots of discussion with the Form Based
Code Committee and the public over 2 meetings. If anyone later wants a larger opening at a later time,
it can be done through renovations.
No issues were raised.
2
b. LDR-19-09 Modify City Center Open Space locational criterial and options:
Mr. Conner noted open space can be off-site in certain cases. The question was raised as to how can a
property with a large, centrally located open space be applied to a larger area. For larger properties (15
acres), half of the open space can be in larger areas accessible to pedestrians.
Mr. McKenzie said that solves one problem. Other issues will be addressed in Appendix F. Mr. Snyder
said he would like them to be reviewed at the same time. Mr. Conner said when those changes come in,
they can go directly to the City Council without an additional Commission public hearing as the
Commission held a hearing on those in August and referred comments received at that time to the FBC
Committee.
c. LDR-19-10 Allow greater proportion of landscape budget to be used off -site and to
be used for hardscape in Form Based Code district:
Mr. Conner explained this came from Snyder-Braverman and involves the use of hardscape in the Form
Based Code district. The Committee felt that where open space is off-site, landscaping could go off-site.
How much is green should be more flexible in an urban space (e.g., potential for benches, fountains,
etc.).
Ms. Ostby felt that if money is going off-site, it should go to “something good.” Mr. Conner said there
are some tweaks to Appendix F to be as clear as possible about this.. Mr. Klugo said the intent is to put
the landscaping where there is value to the community.
d. LDR-19-11 Reduce size of reserve width for future buildings in Form Based Code T4
and T5 Districts:
Mr. Klugo said they felt 62’ is the right number because that is how buildings are usually constructed
with parking below ground.
e. LDR-19-12 Modify Upper Story Glazing Standards:
Mr. Conner said this involves how much of upper story windows needs to be transparent (e.g.,
bathroom windows). The amendment also removes the stipulation that windows had to be 30’ from the
edge of the buildings to make it the same as in other districts.
f. LDR-19-13 Modify and Extend Inclusionary Zoning Requirements:
Mr. Conner recommended no action would be taken on this amendment tonight, as the Affordable
Housing Committee is working on adjustments. He said that he could provide an update following this
item. Mr. Gagnon concurred.
3
g. LDR-19-14 Expand allowances for Cultural Facilities, indoor Theatres, Artist
Production Studios, and Community Centers within C1-R15 and C1 Auto Zoning
districts:
Mr. Conner said staff had been doing a period review of the table of uses and found it strange that these
uses weren’t allowed along Shelburne Road, as they are of similar or lesser impact than currently
permitted uses.
No issues were raised by the Commission or the public on these amendments.
Mr. Riehle moved to warn a public hearing on proposed amendments a-e and g for Tuesday, October
22nd at 7 pm. Mr. Mittag seconded. Motion passed 6-0.
Members then discussed the Inclusionary Zoning proposed amendment. Mr. Conner reviewed the
history and noted that staff had reached out to Champlain Housing Trust, who will be involved in the
inclusionary zoning process. They raised some questions and recommended some changes as follows:
Champlain Housing felt 100% of median income created problems, most certainly with resale.
The unit is competing in the market against product in a similar price range, and a buyer would be more
likely to choose the product with no restrictions.
Champlain Housing also recommends creating an income spread to create a market that will be
able to get a loan. They recommend 70% of median income for the price point.
They also recommended lowering affordability units to 10% and giving 2 market units for each
affordable unit.
Mr. Macdonald asked Mr. Snyder if he could build a house for $299,000.00 in South Burlington. Mr.
Snyder said he could not. Ms. Ostby said you also have to average in the 2 additional units you get for
the affordable one.
Mr. Klugo said he didn’t feel the residential developer should bear the burden for affordable housing.
There should be a community-based solution. For that reason he would vote against the proposed
Inclusionary Zoning Amendment. He also asked how you maintain the spread after an inclusionary unit
has been sold once. Mr. Conner noted the committee is looking at options for retaining affordability
over time.
Ms. Ostby felt TDRs could be part of the solution for this.
Mr. Klugo asked how people recover if they put a lot of money into the house in a 70% formula (e.g.,
new kitchen or roof). Ms. Dooley said people in affordable units are usually saving money and planning
to buy a market price house.
4
Mr. Snyder said he has done this in Shelburne and had to “thread the needle.” He cited issues of finding
people who match the criteria. He added that getting more density is not necessarily the fix. In some
places, you can’t use that density, which leads to vertical development. Also, anything over 9 units has
to go to Act 250, and you have to figure in what they will require. Mr. Snyder said the higher priced
units are completely subsidizing the affordable ones. He then suggested some ways to address
affordability including:
1. Permit fees (they are $10,000-12,000 per unit) – figure out how not to assess that on an
affordable unit
2. Cities used to build public infrastructure (sewers, landscaping, bike paths, etc.). That is no
longer the case, and it would drop the cost of housing.
Mr. Gagnon said that would shift the cost to the tax payers. Mr. Snyder said the Grand List goes up at
the same time, and covers the bond. He stressed that you can’t build Market Street housing at the
density the public wants.
Mr. Klugo said the city needs some self-determination. Developers determine how and when roads go
it. The city should solve certain road improvements, not wait for a developer to do it.
Ms. Dooley said there is evidence that the lack of affordable housing is a drag on the economy. There
would be more jobs and more young people.
Mr. Klugo noted that people aren’t giving up smaller houses as quickly as they used to.
Ms. Ostby noted there is nothing in the city’s regulations to prevent an affordable unit from being
replaced by a non-affordable unit. She cited the Larkin development on Shelburne Rd. as an example of
this.
Mr. Klugo said what he is looking for is someone to take a wholistic approach to this, not just focusing
on some group. Do something more sustainable community-wise. Ms. Dooley noted the Conservation
Board was supposed to get 100% funding, but that good source was “raided.”
Mr. Snyder said the only reason affordable housing is working in City Center is State and Federal
funding. He added they couldn’t provide that level of fit-up without that funding. Mr. McKenzie noted
that South Burlington Realty built Market Street. The city is re-building it and is building Garden Street.
6. Debrief of City Council Public Hearing on LDR Amendments:
Mr. Conner noted the Council adopted 4 of the 5 amendments and closed the public hearing on the 5th.
They will vote on that one at the 7 October meeting. There was a suggestion that the DRB and Planning
Commission get together to try to come up with something more in line with what the DRB is asking for.
But that has not happened.
7. Meeting Minutes of 10 September 2019:
5
Mr. Mittag noted that Williston Rd. should be added to the streets named on the last page.
Mr. Riehle moved to approve the Minutes of 10 September with the noted addition. Mr. Klugo
seconded. Motion passed 5-0 with Mr. Macdonald abstaining.
8. Other Business:
Mr. Conner noted there is symposium for all committees on Thursday evening. He asked for members
to present a 10-15 minute synopsis of Planning Commission work. Mr. Klugo and Mr. Mittag felt they
could attend.
As there was no further business to come before the Commission, the meeting was adjourned by
common consent at 8:45 p.m.
___________________________________
Clerk