Mixed Income housing ordinance review
background
On September 1, 2015 the City Council adopted an updated citywide Mixed Income Housing Ordinance. The ordinance (17.712 of City Code) established a citywide Housing Impact Fee along with additional requirements for projects of 100 acres or more in size. Funds collected from this fee are transferred to the Housing Trust Fund, which is administered by the Sacramento Housing and Redevelopment Agency (SHRA). Funds are used to develop affordable housing units with the goal of increasing the supply available for lower income workers.
Implementation Program H1 of the City’s recently adopted 2021-2029 Housing Element directs the City to review the existing Mixed Income Housing Ordinance. The program commits the City to evaluating the effectiveness of the existing Mixed Income Housing Ordinance (MIHO) and conducting an economic feasibility study of potential changes to the ordinance, including the consideration of a mandatory inclusionary housing component. Amendments to the ordinance will be considered with the goal of increasing the amount of affordable housing built in the City while ensuring the requirements do not pose a constraint to overall housing production.
project overview
The Mixed Income Housing Ordinance Review Project consists of the following components:
- A review of existing (2015) and past (2000) Mixed Income Housing Ordinances, including key features and performance.
- A review of affordable housing requirements in programs elsewhere, and
- Financial feasibility analyses including pro forma testing of alternatives such as
- Alternative fee levels, including adding fees to higher density housing projects
- Alternative onsite inclusionary requirements, ranging in terms of the percent of units set aside and the level of affordability of the units
- Modifications to or removal of the Housing Incentive Zone
- Modifications to the Mixed Income Housing Strategy requirement for sites larger than 100 gross acres
Sign up for emails here to receive project updates
project updates and resources
The City has released Preliminary Recommendations for the Mixed Income Housing Ordinance. Over the past two months, City Staff have met with interested parties and stakeholders to provide an overview of and receive feedback on the Mixed Income Housing Ordinance Draft Report, draft policy objectives, and potential ordinance options for consideration. This outreach, in combination with the contents of the Draft Report, provided the foundation for the development of preliminary recommendations for a revised Mixed Income Housing Ordinance.
Staff will be conducting outreach with interested parties on these recommendations in the following month and will be presenting the recommendations to the following governing bodies:
- Sacramento Housing and Redevelopment Commission (November 1)
- Planning and Design Commission (November 9)
- City Council (December 5)
Written comments on the recommendations are due by November 30th. Please send written comments and/or meeting requests to the Project Manager, Greta Soos, at gsoos@cityofsacramento.org.
Mixed Income Housing Ordinance Preliminary Recommendations (October 2023)
Staff Memorandum (August 2023)
Mixed Income Housing Ordinance Draft Report (August 2023)
project timeline
Additional resources
staff contact
Greta Soos, Associate Planner
Community Development Department
300 Richards Blvd., 3rd Floor
Sacramento, CA 95811
(916) 808-2027
gsoos@cityofsacramento.org