A. Existing inclusionary units created pursuant to Chapter 23C.12 shall be exempt from any affordable housing fee.

B. Rent Limitation Fee Reduction. The affordable housing fee shall be reduced as set forth in this chapter if the owner converting the property has agreed as part of the application to limit future rent increases for the life of the property for any resident tenants at the time of conversion to no more than 65% of the increase in the Consumer Price Index for all Bay Area Consumers.

C. If the property contains three or more units, the affordable housing mitigation fee for a unit that is occupied by an owner as their principal place of residence for at least 5 consecutive years immediately prior to the date of sale, including as a tenant in that unit immediately prior to ownership, shall be reduced by 50 percent, but only if the owner owned and resided in the unit as of June 30, 2010.

D. In addition to any other fee reductions under this section, the affordable housing mitigation fee for a unit shall be reduced by 25 percent when it is paid no later than the date of conversion. In such cases, the sale price of the unit shall be deemed to be the appraised value as determined by a Certified Residential Appraiser licensed by the California Office of Real Estate Appraisers.

E. Applicants with applications pending before the City as of March 24, 2009, may elect to pay the affordable housing mitigation fee pursuant to this chapter in effect as of March 24, 2009, or as it was between August 16, 2007, and March 23, 2009, so long as the City has taken final action approving a parcel map or final subdivision map no later than December 31, 2012. (Ord. 7070-NS § 6, 2009: Ord. 7025-NS § 1, 2008)