A. Linkage Fee Requirement. An affordable housing unit requirement is hereby established for new, expanded, remodeled, or changed nonresidential development in the City. These units and funds shall be used for programs and activities to expand affordable housing opportunities for very low- and low-income persons.

B. Payment of In-Lieu Fees. Developers of nonresidential projects shall pay an affordable housing fee. The City Council, by resolution, shall set forth the specific amount of the fee, list the types of programs and activities to be financed, describe the beneficiaries of these programs and activities, describe the reasonable relationship between this fee and the various types of development projects, and the time for payment.

C. As an alternative to the payment of the in-lieu fee, a developer of a nonresidential project may submit a request to mitigate the impacts of such development through the dedication of land. Such requests shall be approved by the City Council, if the City Council determines that such alternative will further affordable housing opportunities in the City to an equal or greater extent than would have the construction of units or the payment of the in-lieu fee.

D. As an alternative to the payment of the in-lieu fee, a developer of a nonresidential project may submit a request to mitigate the impacts of such development through construction of units affordable to very low- and low-income persons. Such requests shall be approved by the City Council, if the City Council determines that such alternative will further affordable housing opportunities in the City to an equal or greater extent than would have the payment of the in-lieu fee or dedication of land.

E. Time of Payment. The requirements of this chapter shall be met by each project prior to the issuance of the building permit or, where a building permit is not required, the use permit for the new, expanded, remodeled, or changed nonresidential development.

F. Annual Review. The City Council shall annually review the fee/unit requirements to determine whether they are reasonably related to the impacts of development and whether the described affordable housing units, programs and activities are still needed.