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Home My WebLink Aboutbocc.ord.019.1998AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF PITK1N COUNTY, COLORADO, ADOPTING THE ASPEN/PITKIN COUNTY HOUSING OFFICE 1998 GUIDELINES Ordinance No. 98-19 NOW, THEREFORE, BE IT ORDAINED, the Board of County Commissioners of Pitkin County, Colorado (hereinafter 'Board") and the City of Aspen, pursuant to Section 1.7 of an Amended and Restated Intergovernmental Agreement Housing Authority (hereinafter "Authority") the duty to develop and recommend 1998 Affordable Housing Guidelines (hereinafter "Guidelines"); and BE IT FURTHER ORDAINED BY THE BOARD, the Authority has developed such guidelines and has referred and recommended them to the Board for approval; and BE IT FURTHER ORDAINED, the Board has reviewed the Guidelines and has found that it is in the best interests of the community, its housing program in general, and its affordable resident housing programs, specifically, to approve and adopt these Guidelines; and BE IT FURTHER ORDAINED BY THE BOARD, that it does hereby approve and adopt the 1998 Affordable Housing Guidelines attached hereto and made a part hereof; and BE IT FURTHER ORDAINED BY THE BOARD, that by virtue of the adoption of the Guidelines attached hereto, that the regulations and guidelines set forth and adopted herein shall supersede, to the extent inconsistent with the provisions of this Ordinance, all prior Ordinances of the Board; and p: q?-Iq BE IT FINALLY ORDAINED that the provision of resolutions pertaining to employee housing guidelines shall remain in full force and effect to the extent not inconsistent with the regulations and guidelines adopted herein. ..; INTRODUCED, FIRST READ, AND SET FOR PUBLIC HEARING at June 24, NOTICE OF PUBLIC HEARING PUBLISHED IN THE ASPEN TIMES on the 30th day of May, 1998. 074-- APPROVED 1't=APPROVED 0 SECOND READING AND PUBLIC HEARING on the 8th day of July, 1998; and after THIRD READING on the 22nd day of July, 1998. {-- ti��—r� C!.'•- 3 a"`� �ti.c-t.�.��" Get- 7- Z. � - �� 'PUBLISHED AFTER ADOPTION IN THE ASPEN TIMES on the 1st day of August, 1998. ATTEST: e deaes y.✓�e- .e. e.>� Dep ty County Clerk APPROVED AS TO FORM: John Ely County Attorney BOARD OF COUNTY COMMISSIONERS By:s Dorothea Farris, Chairperson 2 Aspen/Pitkin County Housing Office ASPEN/PITKIN COUNTY 1998 AFFORDABLE HOUSING GUIDELINES Effective August 31, 1998 NOUS/NG AUTHOR/TYBOARD Frank Peters - Chairperson Jackie Kasabach -Vice Chairperson Terry Schaefer - Treasurer Cari Britton - Joint City/County Appointee Bob Helmus - County Appointee Rachel Richards - City Council Representative Mick Ireland - SOCC Representative Wish to thank: THEASPEN C/TY COUNC/L Mayor John Bennett Rachel Richards - Councilwoman Terry Paulson - Councilman Jim Markalunas - Councilman Jake Vickery - Councilman And THE BOARD OF COUNTY COMMISSIONERS Dorothea Farris - Chairperson Leslie Lamont - Commissioner Mick Ireland - Commissioner Shellie Harper - Commissioner Bill Tuite - Commissioner for their continued support. TABLE OF CONTENTS TABLE OF CONTENTS.. PURPOSE........................................................................................................................................................... HOUSING BOARD POLICY STATEMENT......................................................................................................I...... PART I. AFFORDABLE HOUSING CATEGORIES SECTION1. Income Categories................................................................................................................... SECTION 2. Resident Occupied Units and Qualifications........................................................................... PART II. RENTING, PURCHASING, RESIDING OR SELLING AFFORDABLE HOUSING SECTION 1. Qualifications to Rent or Purchase Affordable Housing........................................................... SECTION 2. Qualifications to Reside in Affordable Housing....................................................................... SECTION 3. How to Qualify for Affordable Housing (Rental or Purchase) ................................................... SECTION 4. Information on Renting Employee Housing.............................................................................. SECTION 5. Procedures for Sale and Purchase of an Affordable Housing Unit .......................................... SECTION 6. Priorities for Persons Bidding to Purchase an Affordable Housing Unit .................................. SECTION 7. Leave of Absence for Owners of Affordable Housing Units ..................................................... SECTION6. Roommates............................................................................................................................... SECTION9. Special Review......................................................................................................................... PART III. INFORMATION FOR DEVELOPMENT OF AFFORDABLE HOUSING Page 2 9 10 13 15 16 16 SECTION 1. Net Minimum Livable Square Footage for Newly Deed Restricted AH Units .......................... 17 SECTION 2. Maximum Sales Prices for Newly Deed Restricted AH Units & Lots ....................................... 16 SECTION 3. Maximum Monthly Rental Rates for Newly Deed Restricted AH Units .................................... 19 SECTION 4. Requirements for Dormitory/Lodge (Seasonal Units)............................................................... 20 SECTION 5. Affordable Housing Dedication Fee (Payment -in -Lieu Fee) .................................................... 21 SECTION 6. Conveyance of Vacant Lots...................................................................................................... 22 SECTION 7. Deed Restricting Existing Dwelling Units................................................................................. 22 SECTION 6. Execution of Deed Restrictions by Applicants.......................................................................... 23 SECTION9. Maximum Vacancy.................................................................................................................... 23 PART IV. MAXIMUM ANNUAL RENT INCREASE FOR EXISTING RENTAL UNITS ................................... 24 PART V. GRIEVANCE PROCEDURES........................................................................................................... 25 PARTVI. DEFINITIONS.................................................................................................................................... 26 PART VII. APPENDIX A. Maximum Household Income and Assets per Category B. Listing of Principal Ownership Projects C. Listing of Principal Rental Projects D. Listing of Principal Rental Projects and Property Managers E. Methodology for Payment -in -Lieu Schedule PURPOSE "To assure the existence of a supply of desirable and affordable housing for persons currently employed in Pitkin County, persons who were employed in Pitkin County prior to retirement, the Disabled, and other qualified persons of Pitkin County." -Aspea/Pit&in County SousiagAuthority's Goal - (Origlnally Adopted 1983) Each year the Aspen/Pitkin County Housing Authority (hereinafter the Housing Office) establishes guidelines which govern the development of, admission to and occupancy of deed restricted affordable housing units for Aspen and Pitkin County. The guidelines support the Housing Office's Goal and are not intended to supersede the appropriate City or County Land Use Codes or the Uniform Building Code. The 1998 Affordable Housing Guidelines respond to housing needs in Aspen and Pitkin County as identified by the Housing Office. The guidelines are used to review land use applications, establish affordable rental rates and sales prices, establish criteria for admission and occupancy, and to develop and prioritize current and long range housing programs. It is the intent of the Housing Program to provide housing opportunities for persons who are or have been actively employed or self-employed in Pitkin County who provide goods and services to individuals, businesses or institutional operations in Pitkin County. These Affordable Housing Guidelines shall remain in effect until such time as new or amended Guidelines are approved by the City Council and Board of County Commissioners. 1998 Aspen/Pitkin County Housing Guidelines Page 1 of 33 HOUSING BOARD POLICY STATEMENTS The purpose of this section is to assist the staff, development community and the public in understanding the Housing Board's philosophy regarding various aspects of the program. These policy statements will be reviewed and revised by the Housing Board on an annual basis. A. Mitigating Affordable Housing Impacts: The following list establishes the Housing Board's options in order of preference depending on the site location. On-site housing; 2. Off-site housing, including the buydown concept; 3. Cash-in-lieu/Land-in-lieu (the preference of cash or land shall be determined on a case by case analysis). B. Unit types: In areas where developers wish direction regarding the types of unit to construct, the Housing Board would like to see the following, based on current needs: A Entry level sales units (studio and 1 bedroom - Categories 1, 2, and lower priced Category 3); A Rental units (Categories 1, 2 and lower priced Category 3); A Family-oriented sales units (Categories 3 and 4); C. The proceeds from the sale of single family lots will be collected as follows: The County/City will receive sales proceeds from single family lots when the land is being provided as mitigation of affordable housing impacts for a development or growth; 2. The developer/property owner will receive sales proceeds from single family lots when the land is not being provided as mitigation of affordable housing impacts for a development or growth. D. Private sector involvement is critical in order to meet our affordable housing goals. Therefore, the Housing Office Issue Manager will track affordable housing zone projects through the Planning and Building Permit process in order to aid in communications between the developer and government. This tracking system will ensure that all affordable housing developments are treated as expeditiously as the City and County policies intend. 1998 Aspen/Pitkin County Housing Guidelines Page 2 of 33 PART 1. AFFORDABLE HOUSING CATEGORIES The Housing Office's goal is directed at establishing and implementing a plan to provide housing within the community at rental rates and sales prices which are affordable to persons and families of low (Category 1), moderate (Categories 2 and 3) and middle (Category 4) income. In order to carry out this objective, affordable housing units are categorized to reflect which income levels they are to service as set forth in Sections 1 and 2 below. SECTION 1 INCOME CATEGORIES The maximum gross household income (defined in the Definitions for each income category is set forth in Table l: TABLE MAXIMUM INCOMES BY CATEGORY' Category 1 Category 2 Cateaory 3 Category 4 Income Percentile 25% 50% 75% >75% 0 Dependent $ 25,000 $39,765 $64,877 $104,540 1 Dependent $ 32,500 $ 47,265 $72,377 $112,040 2 Dependents $ 40,000 $ 54,765 $79,877 $119,540 3 or More Dependents $ 47,500 $ 62,265 $87,377 $127,040 Total Net Assets Not in Excess of $150,000 $175,000 $200,000 $225,000 NOTE: A household may qualify to purchase or rent a unit in a higher category. 'Prior to 1990, Income categories were designated as low, moderate or middle income in accordance whh the applicable Guidelines at that time. In 1990, APCHA redefined the tams and established four income categories In an effort to create a greater variety of units to serve the community's Income levels. The four Income categories are equated to the past income categories as shown below. APCHO shall interpret prior references, Including but not limited to past Guidelines, Deed Restrictions and Land Use Code approvals to low, moderate or mideNe income categories as to their applicability and compliance with the Guidelines herein. Category#1 Equivalent to low income level Category #3 Equivalent to upper moderate income level Category#2 Equivalent to lower moderate Income level Category #4 Equivalent to middle Income level =income amounts and percentiles are derived from the 1990-91 AsperWitkin County Housing Study and survey of employees who Nva or work in Phldn County and have been a4usted to the current Guidelines. Percentiles are provided for informational purposes only. The medlar household reported by the survey was $10,000. 1998 Aspen/Pitkin County Housing Guidelines Page 3 of 33 SECTION 2 RESIDENT OCCUPIED UNITS AND QUALIFICATIONS In addition to the income categories for affordable housing units set forth in Section 1 above, affordable housing units may also be designated 'Resident Occupied" (RO) units. This category was created to offer the private sector an incentive to produce affordable housing for the community. RO units shall be occupied by persons and families who qualify as stated below. The Housing Office shall only qualify purchasers or tenants for compliance as set forth below. Resident Occupied units with deed restrictions recorded prior to the establishment of the RO Guidelines are subject to their individual deed restrictions. This includes, but is not limited to, Smuggler Mobile Home Park, Aspen Village and the AABC Rowhouses. Williams Ranch contains 10 "Category 5" units, which limits gross income to $157,325 and net assets to $400,000. RO units shall meet the following criteria: A. Gross income and net assets shall not exceed an amount that permits a household to qualify for a $600, 000 purchase under the following assumptions: 1) if all net assets to be counted as a down payment; 2) if 28% of gross income is available to finance the remainder of the purchase price at an 8% interest rate amortized over 30 years. if the unit is located in the Aspen City limits, there will be no income or asset caps. B. initial Sales Price shall not exceed $375,000 for a three- or four-bedroom unit The $375, 000 shall include the cost of the lot and the construction of the unit. The developer has the option to request a Sepcia/ Review to increase this maximum by providing documentation that a higher price is needed to do the project or the project provides an exceptional community benefit. An initial CO must be obtained within three years of the sale of the lot This does not apply if the RO units are within the Aspen City limits. C. Maximum Resale Price/Appreciation - The maximum resale price shall be calculated as follows: A the initial sale price of the RO lot or unit, plus 3% or CPI whichever is less, appreciation on that amount, subject to the requirements below; PLUS A the actual cost to construct a unit on a lot, plus 3% or CPi, whichever is less, appreciation on that amount from the time of Certificate of Occupancy (CO), subject to the requirements below; PLUS A any additional cost to expand the unit to the maximum 2,200 square feet, plus 3% or CPI, whichver is less, appreciation on that amount, from the time of CO for that addition, subject to the requirements section stated below; PLUS A the actual cost of permitted capital improvements stated in an exhibit attached to the deed restriction, not to exceed 10% of the initial sales price of the completed unit, or the expanded unit. 1998 Aspen/Pitkin County Housing Guidelines Page 4 of 33 For any existing mobile home park converted to the RO category, where the unit owners are qualified Pitkin County residents as defined by the Guidelines, there will be no appreciation cap on the trailer and/or lot and the Housing Office shall have a right of first refusal on any resale. D. Unit Size - A maximum of 2,200 gross square feet; a maximum 500 square foot garage; and a maximum 800 square foot basement. if a larger garage or basement is constructed, then all square footage over 500 or 800, respectively, will be counted as a part of the 2,200 square feet of space allowed. E. Employment Requirement - Applicants must demonstrate that they are qualified employees and that they have four years of consecutive full-time employment, as defined by the Affordable Housing Guidelines, in Pitkin County immediately prior to application. individuals who are retired are required to demonstrate that they were qualified employees based upon the definition in these Guidelines for five consecutive years immediately prior to retirement. F. Primary Residence - A RO unit must be the owner's primary residence. Proof of residency, including, but not limited to, voter registration and automobile registration, shall be required. G. income/Eamings - Applicants must demonstrate that their income%arnings are earned primarily in Pitkin County (759,66). Applicants must demonstrate that they pay Colorado Income Tax as a Colorado resident. H. The owner cannot own any other developed residential property in those portions of Eagle, Garfield, Gunnison or Pitkin Counties which are part of the Roaring Fork River drainage, or must list for sale, at competitive market prices, the residential real estate or mobile home prior to or simultaneously with closing on the RO unit. 1. Sales and Marketing - The Housing Office shall only qualify prospective purchasers. Units will be bought and sold in the private sector, however, each sale shall contribute a one percent (19/6) fee (on total sale price) to the overall housing program. This fee will be collected in the same fashion as the FNMA fee at closing. (If the Housing Office markets and sells RO units, then the seller shall contribute a 2% fee [on total sale price] to the overall housing program, excluding the I% fee above.) 1998 Aspen/Pitkin County Housing Guidelines Page 5 of 33 PART II. RENTING, PURCHASING, OR SELLING AFFORDABLE HOUSING SECTION 1 QUALIFICATIONS TO RENT OR PURCHASE AFFORDABLE HOUSING To qualify for and be eligible to rent or purchase an affordable housing unit, a person must meet the following criteria: A. Be a full-time employee working in Pitkin County, a retired person who has been a full-time employee in Pitkin County a minimum of four years immediately prior to his or her retirement defined in the Guidelines, or a disabled person residing in Pitkin County who has been a full- time employee in Pitkin County a minimum of two years immediately prior to their disability (as defined in the Definitions); or the spouse of any such employee, retired person, or disabled person or a dependent thereof living with that qualified employee, retired person or disabled person. B. Upon purchase or rental of the unit, employee(s) shall occupy the unit as the primary residence. C. Must not own developed residential real estate or a mobile home in those portions of Eagle, Garfield, Gunnison or Pitkin Counties which are part of the Roaring Fork River drainage, or must list for sale, at competitive market prices, the residential real estate or mobile home prior to or simultaneously with closing on the affordable housing unit (and still meet the assetlincome limitations as set forth in Table 1). If the property is not sold by the time of closing on purchase of the affordable housing unit, it must remain listed until sold. If the owner of the other residential property desires to rent that property prior to sale, the owner shall be required to rent such property as affordable housing in accordance with the Guidelines at the income category determined by the Housing Office to be appropriate under the circumstances. If an individual owns vacant land in those portions of Eagle, Garfield, Gunnison or Pitkin Counties part of the Roaring Fork River drainage, while leasing or owning an affordable housing unit, as soon as the land is improved with a residence the individual must relinquish the affordable housing unit by vacating the rental unit or listing and selling the ownership interest in that unit. NOTE. Persons owning improved residential property, residing in affordable housing prior to May 1, 1994, will be allowed to retain ownership of that residential property and still be eligible to reside in affordable housing. However, once the residential property is sold, the person residing in affordable housing may not acquire additional residential property and remain eligible to reside in affordable housing._ D. Must have total current household income no greater than the maximum amount specified in Part I above for the particular category. . 1998 Aspen/Pitkin County Housing Guidelines Page 6 of 33 E. Must not have total current household net assets greater than $225,000 for Category 4, $200,000 for Category 3, $175,000 for Category 2, and $150,000 for Category 1. Any renter or purchaser who has assigned, conveyed, transferred, or otherwise disposed of property within the last two years without fair consideration in order to meet the net asset limitations shall be ineligible. NOTE: The ownership of any residential property (including the affordable housing unit to be purchased) shall be considered in determining Maximum Net Assets. Maximum net asset limits for households which consist of at least one citizen of retirement age are 150% of the applicable income category. SECTION 2 QUALIFICATIONS TO RESIDE IN AFFORDABLE HOUSING To REMAIN ELIGIBLE to reside in an affordable housing unit, a person must meet the following criteria: A. For residing in a rental unit, a person meet the requirements of Part II, Section 1, A, B, C, D and E. B. For residing in an ownership unit, the owner must meet the requirements of Part II, Section 1, A, B and C. 1998 Aspen/Pitkin County Housing Guidelines Page 7 of 33 SECTION 3 HOW TO QUALIFY FOR AFFORDABLE HOUSING (Rental or Purchase) A. INITIAL QUALIFICATION: In order to determine that a person or household desiring to rent or purchase an affordable housing unit meets all of the criteria set forth in Section 1 above, the Housing Office shall request any combination, or all, of the following documentation as proof of residency, income, assets and employment (all information and documentation is confidential): 1. Federal income tax returns for the last year (for prospective renters) or the last two (2) years (for prospective purchasers). Prospective purchasers must also furnish a current income statement and a current financial statement, in a form acceptable to the Housing Office, verified by applicant to be true and correct; or other documentation acceptable to the Housing Office. When current income is twenty percent (20%) more or less than income reported on tax returns, then the applicant's income will be averaged based upon current income and the previous year's tax returns to establish an income category for the purpose of purchasing or renting a unit. - 2. Verification of employment in Pitkin County (i.e., wage stubs, employer name, address, and phone number, plus evidence of legal residency [or I.N.S. Form 1-9, Employment Eligibility Verification] or other appropriate documentation as requested by the Housing Office). 3. Landlord verification (proof of residency, physical address). 4. Copy of valid Colorado Driver's License. 5. Verification of telephone service (date of installation, person listed to). 6. Vehicle registration and/or voter registration. 7. Any other documentation which the Housing Office deems necessary to make a determination. 8. The applicant desiring to purchase a unit will be required to sign a release so that the Housing Office can obtain a copy of the completed loan application submitted to the lender. 9. Divorce Decree - If you have been divorced and you receive any sort of alimony or child support, a copy must indicate that it has been entered of record and all exhibits and supplements must be attached. 1998 Aspen/Pitkin County Housing Guidelines Page 8 of 33 B. REQUALIFICATIONS: In addition to the initial qualification requirements set forth above, renters of affordable housing units shall be reviewed and verified bi-annually to ensure that they meet Minimum Occupancy, Income and Asset requirements under the Guidelines as they are adopted from time to time. Landlord shall provide disclosure in the lease that tenants must be qualified every two years and that tenants must reapply for qualification in the second year. 2. The Housing Office shall endeavor to cause the landlord to give each tenant written notice, thirty (30) days prior to expiration of the two-year period, of the. requirement for requalification with the Housing Office for continued occupancy of the affordable housing unit. The notice should be accompanied by the Housing Office's Rental Approval Form (with instructions for requalification). If the tenant does not receive the landlord's notice or the Rental Approval Form, the tenant should contact the Housing Office at 530 East Main, Lower Level, Aspen, Colorado 81611 (telephone: 920-5050) and request a copy of the Form and instructions for requalification. The Housing Office will impose a $15 fee for requalification. 3. If a tenant does not meet the minimum occupancy, income and asset requirements upon requalification or elects not to pay the requalification fee, the tenant may continue to rent and occupy the unit at the rent (subject to the Guidelines limit) and upon the terms established by the landlord's lease, for up to one (1) additional year in order to provide adequate time to secure new housing or come under compliance. 4. If the tenant is a resident of a unit which is owned by the City, County or Housing Office, as the result of a "buydown" situation and that resident's tenancy began prior to the "buydown" and has been continuous since that time, then the tenant must qualify as a full-time employee, but does not have to quality under the income or asset provisions. The tenant will be required to pay rent commensurate with his or her household income of the unit, regardless of the price category for the unit. 5. No requalification to meet income, asset and occupancy is required for persons who have purchased and own an affordable housing unit, although the individual shall remain a qualified employee or retiree as defined in these Guidelines and as they are amended from time to time. SECTION 4 INFORMATION ON RENTING EMPLOYEE HOUSING Most of the rental projects are managed by separate management companies. Each specific complex may differ in its rental procedures. Persons desiring to rent an Affordable Housing unit must meet minimum occupancy and employment requirements. A list of the rental projects and managers is located in Appendix D. 1998 Aspen/Pitkin County Housing Guidelines Page 9 of 33 Units managed by the Housing Office are Truscott Place, Smuggler Mountain Apartments and Marolt Ranch Seasonal Housing. Please contact the Housing Office or individual property managers for specific rental information. The Housing Office requires all tenants of deed restricted rental housing to requalify every two years. Persons who receive emergency worker priority for rental units must verify their continued service to that agency for their lease to be renewed. This requirement expires after two years of residency/service. SECTION 5 PROCEDURES FOR SALE AND PURCHASE OF AN AFFORDABLE HOUSING UNIT A. LISTING UNIT WITH THE HOUSING OFFICE: STAFF DUTIES An owner of an affordable housing unit desiring to sell should consult with Housing Office and review the Deed Restriction covering the unit to determine the maximum sales price permitted and other applicable provisions concerning a sale. Unless otherwise provided in the Deed Restriction, the unit must be listed for sale with the Housing Office and the Housing Office staff will administer the sale in accordance with the Guidelines in effect at the time of listing. There shall be a minimum listing period of three months before a unit's price can be readjusted. Any termination in the listing may require the payment of administrative and advertising costs. 2. These Guidelines are intended to assure that ALL purchasers and ALL sellers will be treated fairly and impartially. Questions will be answered and help provided to any potential purchasers or sellers EQUALLY in accordance with the current Guidelines. Listings, sales contracts, extensions to contracts and closing documents will be prepared and all actions necessary to consummate the sale shall be undertaken. 3. In pursuit of the above, the Housing Office staff will be acting on behalf of the Housing Office. It should be clearly understood by and among all parties to a sales transaction that the staff members are not acting as licensed brokers to the transaction, but as representatives of the Housing Office and its interests. They shall nevertheless attempt to help both parties to consummate a fair and equitable sale in accordance with the current Guidelines. 4. All purchasers and sellers are advised to consult legal counsel regarding examination of title and all contracts, agreements and title documents. The retention of such counsel, licensed real estate brokers, or such related services, shall be at purchaser's or seller's own expense. The fees paid to the Housing Office are to be paid regardless of any actions or services that the purchaser or seller may undertake or acquire. 1998 Aspen/Pitkin County Housing Guidelines Page 10 of 33 B. ADVERTISING THE SALE: BID PERIODS After a unit is listed for sale with the Housing Office, the Housing Office, at its expense, arranges to advertise the unit for sale in the Wednesday daily papers. When a unit is first listed, there is an initial two-week bid period during which the unit is advertised with two open house dates when the unit may be viewed by interested parties. The initial two-week bid period ends on the Wednesday after the second week of advertising. If there are no bids received in the initial bid period, there will follow consecutive one- week bid periods, ending on Wednesday, until the unit is sold. 2. If more than one bid is received during any bid period, bids are prioritized according to the Guidelines. If more than one bid is in top priority, a lottery is held and the winner is notified. If the winner of the lottery does not proceed to contract within five business days of notification, the next in line is notified and so on, until the unit is under contract for purchase. Back-up contracts in the priority order set forth above will be accepted. 3. Prospective purchasers are encouraged to investigate sources of financing prior to submitting a bid for affordable housing and can obtain names of lenders from the Housing Office sales department. Sales staff are available to assist interested parties with the purchase procedure and to answer any questions about the process. C. SALES AND OTHER FEES: 1. Unless otherwise set forth in the Deed Restrictions covering the unit, at closing, the seller will pay the Housing Office a sales fee equal to two (2) percent of the sales price. The Housing Office may instruct the title company to pay said fees to the Housing Office out of the funds held for the seller at the closing. Unless otherwise specified in the Deed Restriction, a one-half percent (1/2%) fee is paid by the Seller at the time of listing, which is applied to the total sales fee payable at closing. In the event that the seller fails to perform under the listing contract, rejects all offers at maximum price in cash or cash -equivalent terms, or should withdraw the listing after advertising has commenced, that portion of the fee will not be refunded. In the event that the seller withdraws for failure of any bids to be received at maximum price or with acceptable terms, the advertising and administrative costs incurred by the Housing Office shall be deducted from the fee, with the balance credited to the owner's sales fee when the property is sold. 2. Unless otherwise set forth in the Deed Restriction covering the unit, upon the initial sale, resale or refinancing of units where FNMA -type financing provisions are used, the use of which shall be at the sole discretion of the Housing Office, there shall be a 1/4% fee charged by Housing Office. The fee shall be paid by the mortgagor; shall be based on the amount of the mortgage; shall be paid for each mortgage transaction; and shall be deposited in the Housing Office mortgage reserve fund account. Where the fee was not paid on the initial purchase of units using the FNMA -type financing provisions, by way of example the Twin Ridge, Fairway III and Williams Woods projects, the fee shall 1998 Aspen/Pitkin County Housing Guidelines Page 11 of 33 be paid by the owners of said units at the time the unit is refinanced or resold. The purchasers of said units shall also pay the fee based on their mortgage as set forth above. If the fee is paid on a unit and the unit is subsequently refinanced, the fee shall only apply to that amount of the refinanced mortgage greater than the initial mortgage upon which the fee was initially collected. FNMA -type financing provisions are those which provide, among other things, for the removal of the Deed Restriction on the unit upon foreclosure of the mortgage if the Housing Office or the City or the County do not exercise their option to purchase the unit within a specified time following foreclosure. If FNMA -type financing provisions are not used by the mortgagor, no fee shall be charged by the Housing Office. The amount and adequacy of the fee and the mortgage reserve fund shall be reviewed annually as part of the review of the Guidelines. D. DEED RESTRICTION: The purchaser must execute, in a form satisfactory to the Housing Office and for recording with the Pitkin County Clerk concurrent with the closing of the sale, a document acknowledging the purchaser's agreement to be bound by the recorded Deed Restriction covering the sale unit. E. ADDITIONAL INFORMATION: 1. Any co -ownership interest other than joint tenancy or tenancy -in -common must be approved by the Housing Office. 2. Co-signers may be approved for ownership of the unit but shall not occupy the unit unless qualified by the Housing Office. 3. If a unit is listed for sale and the owner must relocate to another area, the unit may, upon approval of the Housing Office, be rented to a qualified individual, in accordance with the Guidelines for a maximum period of two (2) years. Notice of such intent and the ability to comment shall be provided to any applicable homeowner's association at the time of request to the Housing Office. A letter must be sent to the Housing Office requesting permission to rent the unit until sold. A minimum six (6) month written lease must be provided to the tenant with a sixty (60) day move out clause upon notification when the unit is sold. All tenants must be qualified by the Housing Office and the unit must be leased for the terms set forth in the Deed Restriction on the unit or, if there are no such provisions in the Deed Restriction, upon terms approved by the Housing Office. Prior to Housing Office's qualification of tenant, said tenant shall acknowledge as part of the lease that said tenant has received, read and understands the homeowners' association covenants, rules and regulations for the unit and shall abide by them. Enforcement of said covenants, rules and regulations shall be the responsibility of the homeowners' association. A copy of the executed lease shall be furnished by the owner or tenant to the Housing Office and homeowners' association. 1998 Aspen/Pitkin County Housing Guidelines Page 12 of 33 SECTION 6 PRIORITIES FOR PERSONS BIDDING TO PURCHASE AN AFFORDABLE HOUSING UNIT Units developed by a private developer under the Affordable Housing Zone District will have the option to choose a qualified employee for 1/3 of each of type of unit being developed. All other units will be placed in a lottery and prioritized as stated below. The 1/3 chosen by the developer MUST MEET minimum occupancy as stated below. The qualified person(s) submitting the highest bid price (not to exceed the maximum bid price) during a bid period shall have the first right to negotiate purchase of the unit. If two or more qualified bids are submitted at the highest bid price, they shall receive preference and be prioritized for selection as the top bidder in the following order: A. Persons with a present ownership interest (joint or tenants in common) in the affordable housing unit. B. Person(s) chosen by the remaining owner(s) to purchase the interest of another owner. Any fractional sales must be approved by Special Review if not under a court order due to dissolution procedures. C. Qualified spouses and/or children of current owners, including joint custody of the childrerr,- and/or qualified parent(s) meeting minimum occupancy and falling under the definition stated in paragraph A on page 5. D. Persons living in and owning another unit within the complex who meet minimum occupancy standards. A person must have owned his in -complex unit for at least one year prior to receiving the in -complex priority. If there are more than one in -complex bids meeting minimum occupancy, a lottery will be held by giving the number of chances as stipulated below. On an in -complex move, a unit must open up to bid to other qualified persons before receiving the in -complex priority. E. Persons with four or more consecutive years of employment in Pitkin County immediately prior to application for purchase: 1. With minimum occupancy and one or more dependents for units with three or more bedrooms (dependents must reside in the unit more than 183 days out of any 12 -month period). 2. With minimum occupancy. Each household in the top priority will receive the following number of chances: Working in Pitkin County greater than 4 years but less than 8 years 5 chances Working in Pitkin County greater than 8 years but less than 12 years 6 chances Working in Pitkin County greater than 12 years but less than 16 years 7 chances Working in Pitki n county greater than 16 years but less than 20 years 8 chances Working in Pitkin County greater than 20 years 9 chances 1998 Aspen/Pitkin County Housing Guidelines Page 13 of 33 F. Persons with one to four consecutive years of employment in Pitkin County immediately prior to application for purchase (each individual will receive one chance in a separate lottery unless there is no one bidding who has been working in Pitkin County four years or more): 1. With minimum occupancy and one or more dependents for units with three or more bedrooms (dependents must reside in the unit greater than 183 days out of any 12 -month period). 2. With minimum occupancy. G. Persons with less than one consecutive year of employment in Pitkin County immediately prior to application for purchase (each individual will receive one chance in a separate lottery unless there is no one bidding who has been working in Pitkin County four years or more): 1. With minimum occupancy and one or more dependents for units with three or more bedrooms (dependents must reside in the unit greater than 183 days out of any 12 -month period). 2. With minimum occupancy. H. Persons with four or more consecutive years of employment in Pitkin County immediately prior to -application for purchase not meeting minimum occupancy, but which most closely approximates minimum occupancy. Persons with one to four consecutive years of employment in Pitkin County immediately prior to application for purchase not meeting minimum occupancy, but which most closely approximates minimum occupancy. J. Persons with less than one consecutive year of employment in Pitkin County immediately prior to application for purchase not meeting minimum occupancy, but which most closely approximates minimum occupancy. After prioritization, names of bidders with the highest bids of equal amounts and equal priority status shall be placed in a lottery which will be held within a reasonable amount of time following the deadline for bids. If the terms of the proposed purchase contract, other than maximum price, as initially presented to the owner, are unacceptable to the owner, there shall be a mandatory negotiation period of three (3) business days to allow the owner and potential buyer to reach an agreement regarding said terms, including but not limited to the closing date and financing contingencies. If after the negotiation period is over the owner and buyer have not reached an agreement, the next bidder's offer will then be presented to the owner for consideration and a three (3) business day negotiating period will begin again. All follow-up qualified bids will be processed in a like fashion until the unit is sold or all bids are rejected. If the owner rejects all bids, the unit shall be rebid or withdrawn from sale and the owner shall be subject to the provisions of Part 1, Section 5, paragraph C.1., regarding sales fee. 1998 Aspen/Pitkin County Housing Guidelines Page 14 of 33 NOTES: 1. Minimum Occupancy (see Definitions) as used herein is one person (with an ownership interest) per bedroom. A minor child (21 years of age or younger) or dependent residing in the unit greater than 183 days out of any 12 -month period shall be granted equal rights as a person with an ownership interest. 2. Emergency workers (see Definitions) meeting minimum occupancy may qualify for placement into the highest lottery category (except Section 6 A, 8, C and D) and compete with other applicants in that category upon Special Review and upon finding by the Special Review Committee that the emergency worker complies with the definition herein. In order to receive the emergency worker priority, the emergency worker must have been in service to the community with that agency for a least one year. In addition, they will be required to be in service to their agency as a qualification of ownership until they have completed the four years of service. If they leave their service position before that time, they will be required, as any other person out of compliance, to list their unit for sale to a qualified employee. (The option for Special Review of circumstances for leaving would be open to these emergency workers.) 3. First priority for handicapped accessible units shall be given to disabled persons prioritized by length of residency. 4. Persons removed from their residence in Aspen or Pitkin County due to conversion or reconstruction of their residence by government action may receive higher priority upon Special Review. 5. Transfer within immediate family to a qualified buyer requires a $100 fee. 6. For the sale of any unit that has been expanded to include another bedroom, minimum occupancy shall be based on the original bedroom count (e.g., for a 1 -bedroom unit expanded to a 2 -bedroom unit, a single person household would meet minimum occupancy). SECTION 7 LEAVE OF ABSENCE FOR OWNERS OF AFFORDABLE HOUSING UNITS If an owner of an affordable housing unit must leave Pitkin County for a limited period of time and desires to rent the unit during the absence, a leave of absence may be granted by the Housing Office for one year upon dear and convincing evidence which shows a bona fide reason for leaving and a commitment to return to the Aspen/Pitkin area. A letter must be sent to the Housing Office, at least 30 days prior to leaving, requesting permission to rent the unit during the leave of absence. Notice of such intent to rent and the ability to comment shall be provided to any applicable homeowners' association at the time of request to the Housing Office. The leave of absence shall be for one year and may, at the discretion of the Housing Office, be extended for one year, but in no event shall the leave exceed two years. The unit may be rented in accordance with the Housing Office's Guidelines during said one or two year period so long as the Deed 1998 Aspen/Pitkin County Housing Guidelines Page 15 of 33 Restriction covering the unit permits the rental. In the event that the rental rate is not set forth in the Deed Restriction, the rent shall be established at the greater of owner's cost or the rent established in accordance with the Guidelines for units at the appropriate income category (see Table IV). Owner's cost as used herein includes the monthly mortgage principal and interest payment, plus condominium fees, plus utilities remaining in owner's name, plus taxes and insurance prorated on a monthly basis, plus $20 per month. Prior to Housing Office's qualification of tenant, said tenant shall acknowledge as part of the lease that said tenant has received, read and understands the homeowners' association covenants, rules and regulations for the unit and shall abide by them. Enforcement of said covenants, rules and regulations shall be the responsibility of the homeowners' association. A copy of the executed lease shall be fumished by the owner or tenant to the Housing Office and homeowners' association. Additionally, an owner may request a one-time in -county leave of absence for one (1) year by Special Review with all the above conditions applying. SECTION 8 ROOMMATES Sales Units - Roommates are permitted provided that they meet the provisions of Part II, Section 1, A, B and C. Any roommate must be given a lease of at least six (6) months. Copies of all leases must be filed with the Housing Office. The maximum rental rate for the room shall not exceed the maximum rental rate permitted under the Guidelines in Part 111, Section 3, for said unit pro rated on a per bedroom basis. For example, one roommate in a two bedroom unit shall pay a maximum rent of one-half (1/2) of the rent; one roommate in a three-bedroom household shall pay a maximum rent of one-third (1/3) of the total rent. Unless otherwise set forth in the Deed Restriction and or covenants of the Homeowner's Association covering the unit, an owner may rent a unit/room to a qualified employee or qualified employee of a non-profit (provided that they meet the income guidelines for that specific unit) so long as the owner continues to reside in the unit as a sole and exclusive place of residence. The owner shall be deemed to have ceased to use the unit as his or her sole and exclusive place of residence by accepting permanent employment outside of Pitkin County, or residing in the unit fewer than nine (9) months out of any twelve (12) months. SECTION 9 SPECIAL REVIEW A Special Review for a variance from the strict application of these Guidelines may be requested if an unusual hardship can be shown, and the variance from the strict application of the Guidelines is consistent with the Housing Program intent and policy. In order to request a Special Review, a letter must be submitted to the Aspen/Pitkin County Housing Authority stating the request, with documentation regarding the unusual hardship. The applicant shall submit any additional information reasonably requested by APCHA. A Special Review meeting will then be scheduled in a timely manner. The Special Review Committee may grant the request, with or without conditions, if the approval will not cause a substantial detriment to the public good and without substantially impairing the intent and purpose of the Guidelines, and if an unusual hardship is shown. 1998 Aspen/Pitkin County Housing Guidelines Page 16 of 33 PART Ill. INFORMATION FOR DEVELOPMENT OF AFFORDABLE HOUSING Part III of the Guidelines contains information to be used by developers of affordable housing units in the City of Aspen and Pitkin County whether required in connection with an application for free- market development or otherwise. SECTION 1 NET MINIMUM LIVABLE SQUARE FOOTAGE FOR NEWLY DEED RESTRICTED AFFORDABLE HOUSING UNITS Table II sets forth the allowable Minimum Net Livable Square Feet (see Definitions) for each unit type and category. Developers may choose to construct larger units; however, allowable rent and sale prices for such larger units may not exceed the maximum set forth in Tables III and IV. PLEASE NOTE. The minimum net livable square foot requirements may be reduced upon demonstration to and approval by the Housing Office that the development satisfies, or is required to adjust to, other physical factors or considerations including, but not limited to, design for livability, common storage, other amenities, location or site designs. TABLE If MINIMUM NET LIVABLE SQUARE FEET FOR EACH UNIT TYPE AND INCOME CATEGORY Categories 1 & 2 Categories 3 & 4 Unit Type Square Feet Square Feet Studio 400 500 1 Bedroom 600 700 2 Bedroom 850 950 3 Bedroom 1,000 1,200 Single -Family Detached 1,100 1,400 NOTE: Net Livable Square Footage (see Definitions) calculations shall be required for the affordable housing component of a project and must be verified by the Community Development Department prior to issuance of any building permits for either the free market or affordable housing component of the project. The Community Development Department shall retain a set of approved building permit drawings for the project and the Community Development Department or Housing Office may check the actual construction of the affordable housing units for compliance with the approved building permit plans. 1998 Aspen/Pitkin County Housing Guidelines Page 17 of 33 SECTION 2 MAXIMUM SALES PRICES FOR NEWLY DEED RESTRICTED AFFORDABLE HOUSING UNITS AND FOR AFFORDABLE LOTS Table III sets forth the maximum sales price for newly deed restricted affordable housing units and affordable lots to the initial purchaser. The maximum resale price of a unit shall be controlled by the Deed Restriction covering the unit executed by the initial purchaser upon closing of the initial purchase. TABLE III MAXIMUM UNIT SALES PRICES Unit Type Studio Catecory 1 $29,000 Cateaory 2 $66,000 Category 3 $109,600 Cateoory 4 $185,400 1 Bedroom $36,400 $78,300 $120,800 $196,000 2 Bedroom $43,800 $89,700 $132,200 $208,200 3 Bedroom $51,000 $100,300 $143,000 $219,500 Single -Family Detached $62,400 $115,800 $158,300 $226,900 Single -Family Lot ($68,100) ($20,500) $ 1 $28,300 NOTES: Single-family lots shall be developed with homes of three bedrooms or larger and shall be prioritized for lottery as set forth in Part II, Section 5 herein. 2. Category 2 single-family lots will require a $20,500 subsidy payment by the developer in addition to the conveyance of the lot. Category 1 single-family lots will require a $68,100 subsidy payment by the developer in addition to the conveyance of the lot. Lot prices include the cost of access and utilities for the lot as set forth in Part III, Section 6 herein. 3. Sale units will be offered for sale through the Housing Office to all qualified persons under the procedures established by the Guidelines. 4. In the event affordable housing units associated with a lodge, agricultural operation, or commercial development are retained by the owner/operator of the development, persons employed directly by such owner/operator shall be given first priority to purchase; however, said persons must meet the Housing Office's Guidelines for occupancy, income and assets criteria in order to qualify to occupy the unit(s). In the event there are no persons directly employed by the owner who qualify, the unit shall then be offered to other qualified persons according to Part Il, Section 5, of these Guidelines. (Affordable Housing [AH] Zone development is exempt from this section.) All resales will go into the general lottery and be sold by the Housing Office per the deed restriction. 5. All newly deed restricted affordable housing sales units must be in a marketable condition and comply with the Uniform Building Code and with all rules, regulations, and codes of all governmental utilities and agencies having jurisdiction. Prior to sale the unit must be inspected and approved by a certified building inspector, architect or engineer approved by the Housing Office for compliance with the Guidelines. Cost of such inspections shall be the responsibility of the applicant, and the results of such inspection must be approved by the Housing Office. 1998 Aspen/Pitkin County Housing Guidelines Page 18 of 33 SECTION 3 MAXIMUM MONTHLY RENTAL RATES FOR NEWLY DEED RESTRICTED AFFORDABLE HOUSING UNITS Table IV sets forth the maximum monthly rental rates which may be charged by the developer for newly deed restricted affordable housing units. The rental rates apply and shall be in effect for a twelve (12) month period from the commencement date of the initial lease with the first tenant of the newly deed restricted unit. Thereafter, the maximum monthly rental rate may be increased only if, and to the extent that, the Guidelines then in effect permit an annual increase in rental rates, by using Table VII. TABLE IV MAXIMUM MONTHLY RENT Unit Type Category 1 Category 2 Category 3 Category 4 Studio $349 $620 $ 925 $1,457 1 Bedroom 429 728 1,033 1.576 2 Bedroom 510 836 1,142 1,684 3 Bedroom 592 946 1,252 1,794 Single -Family Detached 673 1,055 1,359 1,848 NOTES: 1. Units constructed prior to the effective date of these Guidelines shall charge rents that do not exceed those set forth in Part IV, Table VII. 2. Rental rates shall apply whether the units are provided fumished or unfumished. 3. Rental rates in Table IV include, and may not be increased to pay for, the cost of utilities in common areas, condominium dues, management costs and taxes. In the event that utilities are commonly metered, a charge to the tenant may be made in addition to the maximum rents in Table IV for the tenant's share of such utilities attributable to the tenant's net living area. Tenants shall be responsible for individually metered utilities. 4. Prior to occupancy of a deed restricted rental unit, a proposed tenant must be qualified by the Housing Office for occupancy and provide to the Housing Office all vertfication required under these Guidelines. Occupant must provide owner/landlord with prof of verification and qualification by the Housing Office prior to occupancy. Owner shall be required to provide a copy of lease agreement with tenant to the Housing Office for approval, which shall be given or denied within five working days after receipt by the Housing Office. Leases shall meet occupancy standards and allowed rental rates, and shall be for a minimum term of six consecutive months. An executed copy of the lease shall be provided to the Housing Office prior to occupancy by tenant. 5. In the event affordable housing units associated with a lodge, commercial, agricultural operation, or residential development are retained by the owner/operator of the development, persons employed directly by such owner/operator meeting the income, occupancy, and asset standards may be given first priority to rent. In the event there are no persons directly employed by the owner who qualify, the unit shall then be offered to other qualified persons according to the procedures contained in Part II of the Guidelines. 6. All newly deed restricted affordable housing rental units must comply with the Uniform Building Code and with all rules, regulations and codes of all govemmental bodies and agencies having jurisdiction. The owner of affordable housing rental units, at its cost and expense, must keep and maintain the interior and exterior of the total structure (including all residential units therein) and the adjacent open areas in a safe and clean condition and in a state of good order and repair, reasonable wear and tear and negligent or intentional damage by tenants excepted. 1998 Aspen/Pitkin County Housing Guidelines Page 19 of 33 SECTION 4 REQUIREMENTS FOR DORMITORY/LODGE (Seasonal Units) Pursuant to the applicable City or County Land Use Codes, an applicant for a development may, under certain conditions and subject to certain requirements, satisfy the affordable housing requirements by provision of dormitory/lodge units designed for occupancy by seasonal employees. Acceptance of such dormitory/ lodge units shall be at the sole discretion of the respective governing body at the recommendation of the Housing Office. The dormitory/lodge units must satisfy all requirements of the applicable Guidelines and shall be required to meet the following minimum standards: A. Occupancy of a dormitory unit shall be limited to no more than eight persons. B. There shall be 150 or greater net livable square feet of living area per person, including sleeping and bathroom. For purposes of this requirement, Net Livable square footage shall not include interior or exterior hallways, parking, patios, decks, cooking, lounge used in common, laundry rooms, mechanical areas, and storage. Rents for dormitory/lodge units and units developed for seasonal occupancy only pursuant to a plan approved by the Housing Office shall be calculated on the net livable square footage as described above and computed at the rates set forth on a case-by-case basis. C. Notes 3, 4, 5 and 6 under Table IV, Part III, Section 3, apply to Dormitory/Lodge units. D. At least one bathroom shall be provided for shared use by no more than four persons, containing at least one water closet, one lavatory, one bathtub with a shower, and a total area of at least 60 net livable square feet. E. A kitchen facility or access to a common kitchen or common eating facility shall be provided subject to the Housing Office's approval and determination that the facilities are adequate in size to service the number of persons using the facility. F. Use of 20 net leasable square feet per person of enclosed storage area located within, or adjacent to, the unit. G. A manager's or assistant manager's rent shall be calculated based on the income category of the respective manager. H. Rents for dormitory units will be set by Special Review on a case -by -base basis, given the unique and varying characteristics of dormitory units, with affordability as the key issue. 1998 Aspen/Pitkin County Housing Guidelines Page 20 of 33 SECTION 5 AFFORDABLE HOUSING DEDICATION FEE (Payment -In -Lieu Fee) Payment -In -Lieu Schedule A. Pursuant to the applicable City or County Land Use Codes, an applicant for a development may, under certain conditions and subject to certain requirements, satisfy the affordable housing requirement by payment of an affordable housing dedication fee (payment -in -lieu fee). The number of employees (affordable housing residents) required to be housed is determined by the Employee Generation schedules contained in the applicable City and County Codes. The time of payment of the fee is prior to the issuance of a building permit. Acceptance of the payment -in -lieu fee shall be at the sole discretion of the respective governing body at the recommendation of the Housing Office. B. All County fees shall be paid to the Pitkin County Finance Director and all City fees shall be paid to the City Finance Director. A receipt shall be issued by the Finance Directors to the applicant for submission to the Planning Office as verification of payment, with a copy of the receipt supplied by the developer to the Housing Office prior to issuance of a building permit. TABLE V PAYMENT IN LIEU SCHEDULE Payment per Full -Time Equivalent Employee by Category Category 1 $107,600 Category 2 $ 93,000 Category 3 $ 80,000 Category 4 $ 58,200 A full-time equivalent employee equals an employee working 2,080 hours per year. For the purposes of calculating payment -in -lieu fee, the following occupancy standards shall apply: TABLE VI OCCUPANCY STANDARDS BY UNIT TYPE Dormitory/Lodge Studio One Bedroom Two Bedrooms _ Three Bedrooms OCCUPANCY 1.00 employee/150 sq. ft. 1.25 employees 1.75 employees 2.25 employees 3.00 employees For each bedroom in excess of three, the occupancy standard increases by .5 employees Refer to Appendix E concerning methodology on Payment -in -Lieu Schedule 1998 Aspen/Pitkin County Housing Guidelines Page 21 of 33 SECTION 6 CONVEYANCE OF VACANT LOTS Pursuant to the applicable City or County Land Use Codes, an applicant for a development, under certain conditions and subject to certain requirements, may satisfy the affordable housing require- ment by the conveyance of vacant lots. Acceptance of the lots shall be at the sole discretion of the respective governing body upon recommendation of the Housing Office. A. All lots must be fully developed and ready for construction, i.e., improved lots with water or well, sewer or septic, roads, and telephone, electricity and gas (if available) in place to the property line. A soils report, prepared by a qualified engineer and based upon test holes within the building envelope of each lot, stipulating that the lot is suitable for construction of the intended dwelling type without requiring unusual excavation, foundation work or accommodation of other unusual conditions shall accompany the conveyance. B. All lots shall be conveyed to the Housing Office concurrent with recordation of final plat for the project. C. At the time of conveyance, the developer shall establish an escrow account in an amount sufficient to cover 125% of the estimated costs required to complete the improvement of the lots in accordance with Item A above. Improvements as noted in Item A above, shall be completed withing one year from the date of conveyance of the property to the Housing Office. D. The Subdivision Improvements Agreement and the Protective Covenants shall incorporate the conditions stated in A, B and C, directly above this paragraph. SECTION 7 DEED RESTRICTING EXISTING DWELLING UNITS A. Pursuant to the applicable City or County Land Use Codes, an applicant for a development, under certain conditions and subject to certain requirements, may satisfy the affordable housing requirement by deed restricting existing unrestricted housing to comply with the Guidelines. Acceptance of existing units shall be at the sole discretion of the respective governing body upon recommendation of the Housing Office. B. If accepted by the City or County, existing units must be upgraded in accordance with the following criteria, unless a variance from these requirements is approved by the applicable governing body upon the recommendation of the Housing Office: all units must be freshly painted; all appliances must be purchased within the last five years and be in good condition and working order; new carpet shall be provided (unless carpet has been purchased in last five years and is in good condition and repair); the exterior walls shall be freshly painted within one year of dedication, a general level of upgrade to yards and landscaping shall be provided, and, windows, heating, plumbing and electrical systems, fixtures and equipment shall be in good condition and working order. The roof must have a remaining useful life of 1998 Aspen/Pitkin County Housing Guidelines Page 22 of 33 at least ten (10) years. All units shall meet Uniform Building Code minimum standards, any applicable housing code or, in the absence of an adequate code, such recognized housing code acceptable to the Housing Office and shall be approved by the Housing Office and verified by a qualified Building Inspector accepted and approved by the Housing Office. Applicant shall bear the costs and expenses of any required upgrades to meet the above standards as well as any structural/engineering reports required by the Housing Office to assess the suitability for occupancy and compliance with the Housing Office standards of the proposed units. SECTION 8 EXECUTION OF DEED RESTRICTIONS BY APPLICANTS Deed Restrictions must be submitted by the applicant to the Housing Office according to the following time schedule: A. Conditional Use Applications - Prior to issuance of any building permit for a project, the Housing Office shall have an approved, executed and recorded Deed Restriction for the required commitment by the applicant. B. Growth Management Plan Applications - Prior to issuance of any building permit for a project, the Housing Office shall have an approved, executed and recorded Deed Restriction for the required commitment by the applicant. A copy of the recorded Land Use Code and Resolution and Deed Restriction shall be sent to the Housing Office. Prior to issuance of any Certificate of Occupancy, the Deed Restriction shall be amended, if necessary, to reflect changes approved by the Housing Office and governing bodies which may have occurred during construction or conversion of the unit(s) (i.e., net livable square footage), executed and recorded, with the original returned to the Housing Office for their files. C. Others - Prior to issuance of any building permit for a project, the Housing Office shall have an approved, executed and recorded Deed Restriction for the required commitment by the applicant. A copy of the recorded Land Use Code Resolution and Deed Restriction shall be sent to the Housing Office. Prior to issuance of any Certificate of Occupancy, the Deed Restriction shall be amended, if necessary, to reflect changes approved by the Housing Office which may have occurred during construction or conversion of the unit(s) (i.e., net livable square footage), executed and recorded, with the original returned to the Housing Office for their files. SECTION 9 MAXIMUM VACANCY Deed restricted rental units, which are required to be occupied, may be vacant between tenancies for a maximum period of forty-five (45) days, unless authorized by the Housing Office. If the owner exceeds the forty-five (45) day limit without Housing Office approval, then the Housing Office will place a qualified employee from existing wait lists with a minimum six (6) month lease. 1998 Aspen/Pitkin County Housing Guidelines Page 23 of 33 PART IV. MAXIMUM ANNUAL RENT INCREASE FOR EXISTING DEED RESTRICTED RENTAL UNITS The maximum monthly rent for an existing affordable housing unit is determined by starting with the maximum monthly rent permitted for that unit under the Guidelines in effect in the year in which the unit was first occupied and increasing that rent each year by the maximum percentage rent increases permitted by the Guidelines each year. Maximum rent increases and the year in which each increase was allowed for existing units are as follows: _ TABLE VII PERMITTED INCREASE IN MAXIMUM RENT FOR EXISTING AFFORDABLE HOUSING UNITS Year Increase Year Increase Ym Increase 1978-1982 0.0% 1990 3.0% 1996 .99% 1983 6.6% 1991 0.0% 1997 1.31% 1984 5.0% 1992 2.0% 1998 .73% 1985 3.3% 1993 1.2% 1986-1988 0.0% 1994 1.0% 1989 4.7% 1995 1.1% The proposed .73% increase is based on the percentage change in the Consumer Price Index (Urban Wage Earners), November 1996 - November 1997. The index increased at the rate of 1.83% during this period. Operating costs for rental housing, which are subject to the CPI increase, are assumed to be 40% of rental income. The proposed rental increase of .73% is 40% of the CPI increase, which is sufficient to cover any increase in operating costs. Please contact the Housing Office for the actual maximum rental rates available and the Housing Office will assist any applicant in determining their maximum permitted rent. 1998 Aspen/Pitkin County Housing Guidelines Page 24 of 33 PART V. GRIEVANCE PROCEDURES A grievance is any dispute that a tenant or purchaser (see Definitions) may have with the Housing Office with respect to action or failure to act in accordance with the individual tenant's or purchaser's rights, duties, welfare or status. A grievance may be presented to the Housing Office Board of Directors under the following procedures. I. FILING A GRIEVANCE A. Any grievance must be presented in writing to the Housing Office. It may be simply stated, but shall specify: 1) the particular ground(s) upon which it is based; 2) the action requested; and 3) the name, address, telephone number of the complainant and similar information about his/her representative, if any. B. Upon presentation of a written grievance, a hearing before the Housing Office Board of Directors shall be scheduled for the next scheduled Board meeting. The matter may be continued at the discretion of the Board. The complainant shall be afforded a fair hearing providing the basic safeguard of due process, including notice and an opportunity to be heard in a timely, reasonable manner. C. The complainant and the Housing Office shall have the opportunity to examine and, before the hearing at the expense of the complainant, to copy all documents, records and regulations of the Housing Office that are relevant to the hearing. Any document not made available after written request may not be relied upon at the hearing. D. The complainant has the right to be represented by counsel. II. CONDUCT OF THE HEARING A. If the complainant fails to appear at the scheduled hearing, the Board may make a determination to postpone the hearing X make a determination based upon the written documentation and the evidence submitted. B. The hearing shall be conducted by the Board as follows: Oral or documentary evidence may be received without strict compliance with the rules of evidence applicable to judicial proceedings. C. The right to cross-examine shall be at the discretion of the Board and may be regulated by the Board as it deems necessary for a fair hearing. D. Based on the records of proceedings, the Board will provide a written decision and include therein the reasons for its determination. The decision of the Board shall be binding on the Housing Office which shall take all actions necessary to carry out the decision. 1998 Aspen/Pitkin County Housing Guidelines Page 25 of 33 PART A DEFINITIONS Accessory Dwellina Unit (Ordinance #1. Series of 19901 See Aspen land Use Code, Chapter 26.40.090. Affordable Housing - Dwelling units restricted to the housing size and type for individuals meeting asset, income and minimum occupancy guidelines approved by the Aspen City Council, Board of County Commissioners and/or the Housing Office, whichever shall apply. Affordable Housina Zone District - See Aspen land Use Code, Chapter 26.28.110. AsperdPitkin County Hgusing Authority - Housing Office. Assets - Anything owned by an individual which has commercial or exchange value. Assets consist of specific property or daims against others, in contrast to obligations due others. See also definition for Gross Assets and Net Assets. Basement - As defined by the applicable City or County land Use Code. Bedroom - Designed to be used for sleeping purposes which may contain closets, may have access to a bathroom and which meets applicable City or County Uniform Building Code requirements for light, ventilation, sanitation and egress. Buvdown Unit - Free-market which the government (Aspen, Pitkin County, Housing Office) acquired and deed restricted to affordable housing. Caoltal Improvements - Unless otherwise defined in the Deed Restriction covering the affordable housing unit, any facture erected as a permanent improvement to real property excluding repair, replacement, and maintenance costs. Caretaker Dwellina Units - See County Land Use Code. Consumer Price Index (CPll - The Consumer Price Index that is used for purposes of the Guidelines and for purposes of the Deed Restriction is the Consumer Price Index - U.S. CW Average and Regions, Urban Wage Earners and Clerical Workers (CPI -149, Ad Items, Updated information is received on a monthly basis from the U.S. Department of Labor, Bureau of Labor Statistics. Cosigner - A joint signatory of a promissory note who shall not occupy the unit unless qualified by the Housing Office. Deed Restriction - A contract entered into between the Housing office and the owner or purchaser of real property identifying the conditions of occupancy and resale. Dependent - A minor child (21 years or younger) or other relative of the renter or owner of an affordable housing unit, which child or relative is taken and listed as a dependent for federal income tax purposes by such renter or owner or his or her present or former spouse (said dependent must also be related by blood or adoption and residing with the individual at least six months and one day [183 days) out of every 12 - month period of time). Disabled Person - A person who meets the definition of "individual with a disability" contained in 29 U.S.C. Section 706(8), and/or as defined in the Americans with Disabilities Act of 1990; and/or a person who has a "handicap," as defined in C.R.S. 24-34301(4), the Colorado Antidiscrimination Act. Dormitory - A structure or portion thereof under single management that provides group sleeping accommodations for occupants in one (1) or more rooms for compensation. Standards for use, occupancy, and design of such facilities shall be approved by the Housing Office. See Part III, Sec. 4. Emergency Worker - An employee or volunteer (on call 24 hours/day for human, Iffe threatening emergencies) of a community based organization that provides on -scene assistance giving personal care to victims, including, but not limited to the following: Fire Department Workers, Mountain Rescue, Sheriffs Deputies, Police Officers, Hospital Emergency Room Technicians, Social Service Workers (mental health and abuse case workers), Ambulance Drivers, Emergency Medical Technicians, and Communications Dispatchers through the Sheriffs Office or Police Department. Emergency Service Department Head approval is required, demonstrating the need of that agency to house another Emergency Worker in the Aspen area. 1998 Aspen/Pitkin County Housing Guidelines Page 26 of 33 Employee/Qualified ResidentlBuver - A person who is employed on the basis of a minimum of 1,500 hours worked per calendar year in Pitkin County, which averages 35 hours a week, 10 months a year, or 32 hours a week, 11 months a year, physically working in Pitkin County and must reside in the unit a minimum of nine (9) months out of the year. Emolover - A business whose business address is located within Aspen or Pitkin County, whose business employs employees (as defined herein) within Pitkin County, and whose business taxes are paid in Aspen or Pitkin County. EmWoyee fNon-Profit) - A person who works/ performs for a non-profit organization. Employees include artists, performers, musicians, organizers, bookkeepers, etc., but excluding construction workers. Non-profit organizations include any certified non-profit organization providing services to and located in Pitkin County. Employee Dwellina Unit - See Pitkin County Land Use Code. Employee Housing - See definition for Affordable Housing. FamLiy-Oriented Unit - A dwelling unit attached or detached, 3 bedrooms or more, with direct ground floor access to a useable yard area. Fee Simple Estate - The maximum possible estate that one can possess in mal property; complete and absolute ownership of indefinite duration, freely transferable, and inheritable. Financial Statement - A statement detailing all personal assets, liabilities, and net worth (the difference between assets and liabilities) as of a specific date. FixtLus - 1) A tangible thing which previously was personal property and which has been attached to or installed on land or a structure thereon in such a way as to become a part of the real property. 2) Any non-portable lighting device built in or attached securely to the structure. 3) The permanent parts of a plumbing system and fixtures. Gross Assets - Anything which has tangible or intangible value, including property of all kinds, both real and personal; includes among other things, patents and causes of action which belong to any person, as well as any stock in a corporation and any interest in the estate of a decedent; also, the entire property of a person, association, corporation, or estate that is applicable or subject to the payment of debts. Gross assets shall include funds or property held in a living trust or any similar entity or interest, where the person has management rights or the ability to apply the assets to the payment of debts. Gross assets shall not include, where approved by Special Review, pension plans, blind trusts, or other entities or interests in which a person has no management rights and no ability to apply such assets to the payment of debts, except to the extent that taxable earnings or interest income are derived therefrom. Gross Income - The total income to include alimony and child support derived from a business, trust, employment and from income-producing property, before deductions for expenses, depreciation, taxes, and similar allowances. Household - All Individuals who will be occupying the unit regardless of legal status. Household Net Assets - Combined net assets of all individuals who will be occupying the unit regardless of legal status. Household Income - Combined gross income of all individuals who will be occupying the unit regardless of legal status. Adjustments to the gross for business expenses can be made for persons who are self-employed. Kitchen - For Accessory Dwelling Units and Caretaker Dwelling Units, a minimum of a two-bumer stove with oven, standard sink, and a 6 -cubic foot refrigerator plus freezer. Leasehold Interest - A less than fee simple estate which a tenant possesses in real property. Lottery - A drawing of lots to select a winner from equal applicants of highest priority. 1998 Aspen/Pitkin County Housing Guidelines Page 27 of 33 Maximum Bid Price - Unless otherwise defined in the Deed Restriction covering the unit, the owner's purchase price multiplied by the appreciation (as permitted by the Deed Restriction) plus the present value of capital improvement costs including labor, if professionally provided, and for which verification of the expenditure is provided. Minimum Occupancy - One person (with a leasehold/ ownership interest) per bedroom. A minor child or dependent shall be granted equal status as a person with leasehold/ownership interest Net Assets - Gross assets minus liabilities. Retirement accounts will be reviewed on a case-by-case basis to determine whether or not they shall be included as a net asset. Net Livable Sauare Footage - Is calculated on interior living area and is measured interior wall to interior wall, Including all interior partitions. Also included, but not limited to, habitable basements and interior storage areas, closets and laundry area. Exclusions include, but are not limited to, uninhabitable basements, mechanical areas, exterior storage, stairwells, garages (either attached or detached), patios, decks and porches. Present Value - For the purposes of these Guidelines and any Deed Restrictions containing such terms, the present value shall be the cost or price of any capital improvements as established at the time of such improvement and shall be neither appreciated nor depreciated from such time. Primary Residence - The sole and exclusive place of residence. The owner or renter shall be deemed to have ceased to use the unit as her sole and exclusive place of residence by accepting permanent employment outside of Pitkin county, or residing in the unit fewer than nine (9) months out of any twelve (12) months. Purchaser - A person who is buying or has purchased a deed restricted unit which is subject to these Guidelines, and any qualifying potential purchaser or past owner of any such deed restricted unit, but only with respect to any issue arising under these Guidelines. Qualified Resident - A person(s) meeting the income and asset limitations who meet the profile requirements (part of which requirements include being a qualified employee, a retired person, a disabled person, or dependent(s) of any of these as such terms are defined herein) established by the Housing Office from time to time and in effect at any time. Resale Agreement - A contract entered into between the Housing Office and the owner or purchaser of real property identifying the conditions of occupancy and resale (also commonly referred to as a Deed Restriction). Retirement Aae - Should an owner or tenant of a deed restricted unit retire before the age of 65 , that individual must sell the ownership or move from the deed restricted rental unit. Such individual may go through Special Review to ask for a waiver to maintain ownership/occupancy of his/her unit. Seasonal Employee - A person working not less than 35 hours per week during the Winter Season (generally November through April) and/or Summer Season (generally June through August). Spacial Review Committee - A Special Review Committee, as established from time to time by the Housing Office, is composed of three or more persons — one person from City staff, one person from County staff, and a Housing Board member. The Committee shall have the authority to review special circumstances with respect to matters specifically designated in the Guidelines that are eligible for special review, including, but not necessarily limited to, the priority system; financial and asset limitations; verifications and qualifications; self-employment financial considerations; occupancy; admission; etc. Storage Space - Space intended and commonly utilized as location for preservation or later use or disposal of items. Tenant - A person who is leasing or has leased a deed restricted unit which is subject to these Guidelines, and any qualifying potential lessee or past lessee of any such deed restricted unit, but only with respect to any issue arising under these Guidelines. 1998 Aspen/Pitkin County Housing Guidelines Page 28 of 33 APPENDIX A MAXIMUM INCOMES BY CATEGORY (as of Apr111998) INCOME CATEGORIES The maximum gross household income (defined in the Definitions) for each income category is set forth in Table L Income Percentile Category 1 25% Cateaory 2 50% Cateaory 3 75% Category 4 >75% 0 Dependent $ 25,000 $39,765 $64,877 $104,540 1 Dependent $32,500 $47,265 $72,377 $112,040 2 Dependents $40,000 $54,765 $79,877 $119,540 3 or More Dependents $47,500 $62,265 $87,377 $127,040 Total Net Assets Not in Excess of $150,000 $175,000 $200,000 $225,000 NOTE: A household may qualify to purchase or rent a unit in a higher category. The 0 dependent figure increased by 1.83% due to the CPI; each dependent adds $7,500 to each category, up to three dependents. 'Income amounts and pwcantllw am delved hen the 1995 Aspen#ftin County Housing Study and survey of employees who lire or work in Min County and have been adjusted to the curtent Guidelines. PwcwWes am provided for Informadonal purposes only. The median household reported by the survey was $40,000. 1998 Aspen/Pitkin County Housing Guidelines Page 29 of 33 APPENDIX B - CHART OF PRINCIPAL OWNERSHIP PROJFCTS PROJECT NAME NUMBER OF UNITS AND TYPE OF UNITS MAXIMUM INCOME CATEGORY REQUIRED RESIDENCY AABC Rowhouses 12 Townhomes No Income Guidelines Per Covenants Aspen Village MHP 150 Trailers/Ownership of Land Resident Occupied Per Guidelines Benedict Commons 27 Studios and One Bedrooms Category 2, 3 and 4 Per Guidelines Billings Place 7 Townhomes Category 2, 3 and 4 Per Guidelines Castle Crk Valley Ranch 4 Single -Family Homes Category 4 Per Guidelines Centennial 92 Condominiums Category 4 Per Guidelines Common Ground 21 Townhomes Category 2 and 3 Per Guidelines East Hopkins 4 Townhomes Category 4 Per Guidelines East Owl Creek 4 Single -Family Homes Category 4 Per Guidelines Fairway Three 30 Townhomes Category 4 Per Guidelines Highland Villas 16 Condominiums Category 4 Per Guidelines Hunter Creek 77 Condominiums Category 4 Per Guidelines Juan Street 2 Duplexes; 2 Single -Family Category 4 Per Guidelines Lacet (East Cooper) 14 Townhomes/Single-Family Category 3, 4 and RO Per Guidelines Lone Pine 28 Condominiums (Land Lease) Category 4 Per Guidelines Midland Park 37 Condominiums Category 4 Per Guidelines Oh -Be -Joyful 5 Single -Family Homes Category 3 Per Guidelines Smuggler MHP 87 Single -Family (Modular) No Income Requirements Per Covenants Smuggler Run MHP 17 Single -Family (Modular) Category 4 Per Guidelines Sopris Crk Cabins (Meadows) 6 Units consisting of Single Family & Duplexes Lots 1, 2, 5, 7 & 9: Category 3 Lot 8: Category 1 Per Guidelines Twin Ridge 12 Townhomes 13 Single-Famity (w/Garage) Category 4 Per Guidelines Ute Park 7 Single -Family Homes Category 4 Per Guidelines Victorians at Bleeker 5 Condominiums Category 4 and RO Per Guidelines West Hopkins 11 Townhomes Category 2 and 3 Per Guidelines Williams Ranch 35 Units consisting of Single -Family Homes & Duplexes Category 2, 3, 4, RO-5 and RO Per Guidelines Williams Woods 18 Townhomes Category 2 and 3 Per Guidelines W/J Ranch TOTAL 63 Single -Family Homes 808 Units Category 4 and RO Per Guidelines 1998 Aspen/Pitkin County Housing Guidelines Page 30 of 33 APPENDIX C CHART OF PRINCIPAL RENTAL PROJECTS AND REQUIREMENTS NUMBER OF UNITS MAXIMUM REQUIRED PROJECT NAME AND TYPE OF UNITS INCOME CATEGORY RESIDENCY AABC APARTMENTS 1 40 Units I Category 3 1 Per Covenants ALPINA HAUS 44 Units N/A - Resident Occupied Per Ordinance CASTLE RIDGE 80 Units Category 3 Per Covenants CENTENNIAL 148 Units Category 3 Per Guidelines CITY PLAZA BLDG. 4 Units Category 1 Per Resolution CLARK's MARKET APT. 18 Units NIA - Resident Occupied Per Covenants COPPER HORSE 13 Units N/A - Resident Occupied Per Resolution CORTINA (Hotel Jerome) 16 Units Category 1 Per Resolution HUNTER LONGHOUSE 33 Units Category 3 Per Guidelines MAROLT RANCH Permanent Seasonal 4 Units 96 Units Category 3 N/A Per Guidelines MOUNTAIN OAKS/HOSPITAL 21 Units Hospital Priority Per Hospital NORTH MILL STATION 17 Units Resident Occupied Per Resolution SMUGGLER MOUNTAIN APARTMENTS 11 Units Category 1 Per Guidelines TRUSCOTT PLACE 1- & 2-13edrooms Studios 46 Units 50 Units Category 3 N/A Per Guidelines LITE CITY PLACE TOTAL 22 Units 567 Units Permanent _9L Units Seasonal 663 Units Category 2 & 3 Per Guidelines You must be a qualified employee, retired person or disabled Individual, as defined in the Guidelines, to reside in the units listed above. This is only a partial list as there are numerous deed restricted units in the Aspen area. It is also a requirement that all deed restricted units meet minimum occupancy; Le., one person per bedroom. 1998 Aspen/Pitkin County Housing Guidelines Page 31 of 33 APPENDIX D LISTING OF PRINCIPAL RENTAL PROJECTS AND PROPERTY MANAGERS (as of April 1998) AABC Apartments Bruce Nethery, Property Manager Lynn Hancock Aspen/Pitkin County Housing Authority 303 Aspen Airport Business Center 530 East Main, Lower Level Aspen, CO 81611 Aspen, CO 81611 (970) 925-2102; 925-2104 Fax (970) 920-3499 (Jan. - May & Sept. - Dec.) (970) 920-5580 Fax Alpina Haus Kevin De Carlo, Property Manager Mountain Oaks (Hospital) 935 East Durant Bill Brunsworth, Manager Aspen, CO 81611 0401 Castle Creek Road (970) 920-3975; 920-2396 Fax Aspen, CO 81611 (970)544-1380) Castle Ridge Apartments Maxine Jacobs, Resident Manager North Mill Station 1175 Doolittle Circle, #603 Frank Mazza/Tony Woods, Managers Aspen, CO 81611 355 Puppy Smith Lane (970) 925-6851 Aspen, CO 8161 (970) 925-8603 Centennial Apartments Kim Keflin, Property Manager Smuggler Mountain / Truscott Place Apartments 100 Luke Short Court Terry Kappeli, Chief of Property Management Aspen, CO 81611 Aspen/Pitkin County Housing Authority (970) 925-1876; 920-2691 Fax 530 East Main, Lower Level Aspen, CO 81611 City Plaza Building (970) 920-5139; 920-5580 Fax Chuck Torinus, Manager 517 East Hopkins Aspen, CO 81611 (970) Copper Horse Kevin DeCarto, Property Manager 328 West Main Street Aspen, CO 81611 (970) 920-3975; 920-2396 Fax Hunter Longhouse Apartments Josh Bumaman, Property Manager 101 Lone Pine Road, #20 Aspen, CO 81611 (970) 925-9474 Marolt Ranch (Seasonal Housing) 1998 Aspen/Pitkin County Housing Guidelines Page 32 of 33 APPENDIX E METHODOLOGY PAYMENT IN -LIEU SCHEDULE Under certain conditions, developers may sattsfy the affordable housing requirement by payment of an affordable housing impact fee (payment -in -lieu). The amount of the payment is based on the actual cost to purchase land and construct units and the price for which units may be rented or sold. The payment -in -lieu schedule for 1996 Is based on the cost of three actual projects (East Hopkins, Juan Street and Benedict Commons). We calculated the actual cost of each unit, from one bedroom to three bedrooms, using up-to- date land costs, and subtracted the sales price far that unit at each Category (1, 2, 3 or 4). The result was the total subsidy required for each of the three projects units. This amount was divided by the average number of employees who would live in each unit, for a total subsidy per employee. The average of these is the amount of payment -in -lieu per employee in each category. East Benedict No. of Units 4 6 27 Land Cost` $ 900,000 $ 787,750 $1,500,000 Construction 944,289 1,510,371 3,632,000 Parking Sales ( 700.0001 TOTAL ItA446M $2.298.121 $4.432.000 'Land cost adjusted to 1996 costs. UnitTvoe Cost Price Subsidy Employees Subsidy/ Employee 1 Bedroom, Category 1 $150,696 $ 32,800 ($117,896) 1.75 ( $67,369) 1 Bedroom, Category 2 164,148 70,800 ( 93,348) 1.75 ( $3,342) 1 Bedroom, Category 3 164,148 109,200 ( 54,948) 1.75 ( 31,399) Average Subsidy 2 Bedroom, Category 1 $263,197 $ 39,500 ($223,697) 2.25 ( $99,429) ($107,594) 2 Bedroom, Category 2 269,923 81,OOQ_ (188,923) 2.25 ( 83,966) ($92,994) 2 Bedroom, Category 3 280,898 119,400 (161,498) 225 ( 71,777) ($79,988) 2 Bedroom, Category 4 211,018— 188,100 ( 22,918) 2.25 ( 10,188) ($58,159) 3 Bedroom, Category 1 $375,697 $ 46,100 ($329,597) 3.00 ($109,886) 3 Bedroom, Category 2 375,697 90,700 ( 284,997) 3.00 ( 94,999) 3 Bedroom, Category 3 397,647 129,200 ( 268,447) 3.00 ( 89,482) 3 Bedroom, Category 4 422,036 198,300 ( 223,736) 3.00 ( 74,579) 1998 Aspen/Pitkin County housing Guidelines Page 33 of 33