4091477 Zoning Commission Notice of Public Hearing: Case No. 04-33F (Text Amendments: PUDs & Inclusionary Zoning - Termination of Affordability Controls upon Foreclosure)
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ZONING COMMISSION FOR THE DISTRICT OF COLUMBIA
NOTICE OF PUBLIC HEARING
TIME AND PLACE: Thursday, January 24, 2013, @ 6:30 p.m.
Jerrily R. Kress Memorial Hearing Room
441 4th Street, N.W., Suite 220-S
Washington, D.C. 20001
FOR THE PURPOSE OF CONSIDERING THE FOLLOWING:
Case No. 04-33F (Text Amendments: PUDs and Inclusionary Zoning -Termination of Affordability Controls upon Foreclosure)
THIS CASE IS OF INTEREST TO ALL ANCs
This is the second notice of public hearing issued under this docket.
The Office of Planning (“OP”), in a report dated July 26, 2012, petitioned the Zoning Commission for the District of Columbia (“Zoning Commission” or “Commission”) for text amendments to provide for the automatic termination of affordability controls imposed on a unit by a PUD order or the Inclusionary Zoning regulations contained in chapter 26 of Title 11 DCMR upon the unit’s foreclosure or the recordation of a deed in lieu of foreclosure by the first mortgagee; provided that the agency specified in the affordability covenant recorded against the unit is provided advance notice and records an acknowledgment of receipt of such notice in the District’s land records.
At its regular public meeting held July 30, 2012, the Zoning Commission set down the case for a public hearing and adopted the amendments on an emergency basis.
The amendments were intended to remove a legal impediment to the issuance of mortgage insurance by the United States Department of Housing and Urban Development to properties with affordability controls. Through comments provided on September 25, 2012, HUD informed the District that the notice requirement was in conflict with the need for automatic termination of the affordability controls. The Office of Planning therefore requested cancellation of the scheduled public hearing and, in coordination with the Department of Housing and Community Development and Office of the Attorney General, revised the text to eliminate the notice requirement and added provisions intended to safeguard affordable units regarding foreclosure.
OP submitted this revised text to the Zoning Commission through its report dated November 9, 2012. At its regular public meeting held November 19, 2012, the Zoning Commission set down the revised text for a public hearing and authorized the immediate publication of this notice. In addition, the Commission adopted the amendments on an emergency basis and authorized the publication of a notice of proposed rulemaking.
The proposed amendments to the Zoning Regulations, title 11 DCMR, are as follows:
Chapter 24, PLANNED UNIT DEVELOPMENT PROCEDURES, § 2409, IMPLEMENTATION, is amended by adding new §§ 2409.10 and 2409.11 to read as follows:
2409.10 The Zoning Administrator shall not approve an application for a certificate of occupancy for a PUD if the order approving the PUD includes a condition requiring the provision of affordable housing unless the owner has executed monitoring and enforcement documents with the District of Columbia, which will bind the owner and all successors in title to abide by such terms as the District considers necessary to ensure that the affordable housing will be constructed, marketed, sold, re-sold, rented, and occupied, so as to be affordable to the target households during the specified control period and safeguarded regarding foreclosure.
2409.11 A condition in an order approving or modifying a PUD that requires the provision of affordable housing shall automatically terminate if title to the mortgaged property is transferred by foreclosure or deed-in-lieu of foreclosure, or if the mortgage is assigned to the Secretary of the U.S. Department of Housing and Urban Development provided the owner has executed monitoring and enforcement documents per the requirements of § 2409.10.
Chapter 26, INCLUSIONARY ZONING, is amended as follows:
Section 2602, APPLICABILITY, is amended as follows:
By amending § 2602.4 to add a reference to new §§ 2602.10 and, 2603.6, so that the provision will read as follows:
2602.4 Except as provided in §§ 2602.5, 2602.10, 2603.5, 2603.6, and 2607.1(c) or the Act, all inclusionary units created pursuant to this chapter shall be leased or sold only to eligible households for so long as the inclusionary development exists.
By adding a new § 2602.10 to read as follows:
2602.10 The requirements of this chapter shall automatically terminate if title to the mortgaged property is transferred by foreclosure or deed-in-lieu of foreclosure, or if the mortgage is assigned to the Secretary of the U.S. Department of Housing and Urban Development.
Section 2603, SET-ASIDE REQUIREMENTS, is amended by adding a new § 2603.6 to read as follows:
2603.6 Notwithstanding § 2603.5, nothing shall prohibit the Mayor or the District of Columbia Housing Authority to acquire title to inclusionary units in a for-sale inclusionary development if any of the following circumstances exist:
(a) There is a risk that title to the units will be transferred by foreclosure or deed-in-lieu of foreclosure, or that the units’ mortgages will be assigned to the Secretary of the U.S. Department of Housing and Urban Development; or
(b) Title to the units have been transferred by foreclosure or deed-in-lieu of foreclosure, or the units’ mortgages have been assigned to the Secretary of the U.S. Department of Housing and Urban Development.
Proposed amendments to the Zoning Regulations of the District of Columbia are authorized pursuant to the Zoning Act of June 20, 1938, (52 Stat. 797), as amended, D.C. Official Code § 6-641.01, et seq.
The public hearing on this case will be conducted as a rulemaking in accordance with the provisions of 11 DCMR § 3021. Pursuant to that section, the Commission will impose time limits on testimony presented to it at the public hearing.
All individuals, organizations, or associations wishing to testify in this case should file their intention to testify in writing. Written statements, in lieu of personal appearances or oral presentations, may be submitted for inclusion in the record.
Information should be forwarded to Sharon S. Schellin, the Secretary of the Zoning Commission, Office of Zoning, Suite 200-S, 441 4th Street, N.W., Washington, D.C., 20001. Please include the number of this particular case and your daytime telephone number. FOR FURTHER INFORMATION, YOU MAY CONTACT THE OFFICE OF ZONING AT (202) 727-6311.
ANTHONY J. HOOD, MARCIE I. COHEN, ROBERT E. MILLER, PETER G. MAY, AND MICHAEL G. TURNBULL -------- ZONING COMMISSION FOR THE DISTRICT OF COLUMBIA, BY SARA A. BARDIN, DIRECTOR, AND BY SHARON S. SCHELLIN, SECRETARY TO THE ZONING COMMISSION