EXHIBIT 2-A
RULE 11 -
DEFINITIONS
AFFORDABLE HOUSING - "Affordable Housing" shall mean and
refer to housing that is affordable to moderate-income households. Such housing
is affordable if the sales price is equal to or less than three times the
maximum annual moderate-income household income; or if rented, if the annual
rent is equal to or less than 25% of the maximum annual moderate-income
household income. "Moderate Income" shall include all salaries, rents
and similar sources of income as well as the economic value of property,
savings, stocks, bonds, and other assets.
The term "Affordable
Housing" shall only apply to a "Dwelling Unit" which is
available for private occupancy, but for which ownership and/or occupancy is
restricted by recorded covenant or other deed restriction. This covenant or
restriction shall be enforceable by either the District or the public and shall
limit use of all "Affordable Housing" so that only households of
"Moderate Income" or less shall qualify to occupy these units by purchase,
by rent, or by lease. This covenant or restriction shall comply with the
standards set by the California Department of Housing and Community Development
(HCD) and the Monterey County Housing Authority for resale and occupancy of
"Low Income" and "Moderate Income" housing, and shall
require that the District receive notice prior to the removal or modification
of that deed restriction. The recorded covenant shall further provide notice to
each subsequent owner that any change of water use from an affordable housing
use to any other residential or non-residential use shall constitute an
intensification of use which shall require payment at the then-present value
of connection charges to the District both for the intensification of water use
capacity and for the increment of water use which had originally been exempted
from the full fee. The recorded covenant shall be in a form approved by the
District General Manager. This covenant shall also require the use and
maintenance of water conservation measures as determined by the District
General Manager which shall, among other things, maximize the use low-flow
fixtures and drought resistant landscaping.
LOW-INCOME HOUSING -
"Low-Income Housing" shall mean and refer to housing that is
affordable to low-income and very low-income households. Such housing is
affordable if the sales price is equal to or less than three times the maximum
annual very low-income household income; or if rented, if the annual rent is
equal to or less than 25% of the maximum annual very low-income household
income.
The term "Low-Income
Housing" shall only apply to a "Dwelling Unit" which is
available for private occupancy, but for which ownership and/or occupancy is
restricted by recorded covenant or other deed restriction. This covenant or
restriction shall be enforceable by either the District or the public and shall
limit use of all "Low-Income Housing" so that only households of
"Low-Income" or less shall qualify to occupy these units by purchase,
by rent, or by lease. This covenant or restriction shall comply with the
standards set by the California Department of Housing and Community Development
(HCD) and the Monterey County Housing Authority for resale and occupancy of
"Low Income" housing, and shall require that the District receive
notice prior to the removal or modification of that deed restriction. The
recorded covenant shall further provide notice to each subsequent owner that
any change of water use from a low-income housing use to any other residential
or non-residential use shall constitute an intensification of use which shall
require payment at the then-present value of connection charges to the District
both for the intensification of water use capacity and for the increment of
water use which had originally been exempted from the full fee. The recorded
covenant shall be in a form approved by the District General Manager. This
covenant shall also require the use and maintenance of water conservation
measures as determined by the District General Manager, which shall, among
other things, maximize the use of low-flow fixtures and drought resistant
landscaping.
MODERATE INCOME HOUSEHOLD - "Moderate Income
Household" shall mean those individuals or group of individuals living
together as one household, whose combined gross annual income does not exceed
the limits established under the United States Housing Act of 1937, as
determined from time to time by the U.S. Department of Housing and Urban
Development (HUD) in its annual transmittal of income eligibility data for a "Moderate
Income Household" in the Seaside, Monterey, Salinas Standard Metropolitan
Statistical Area Median Family Income as specified in the latest United States
Census and projected to a year of sale by the United States Department of
Housing and Urban Development. "Moderate Income" shall include all
salaries, rents and similar sources of income as well as the economic value of
property, savings, stocks, bonds, and other assets.
VERY LOW-INCOME HOUSEHOLD - "Very Low-Income
Household" and "Low-Income Household" shall mean those
individuals or group of individuals living together as one household, whose
combined gross annual income for each such group does not exceed the limits
established under the United States Housing Act of 1937, as determined from time
to time by the U.S. Department of Housing and Urban Development (HUD) in its
annual transmittal of income eligibility data. Permissible income limits shall
not exceed the primary criteria to determine applicant eligibility for Section
8 HUD Public Housing programs. The terms "Very Low-Income" and
"Low-Income" shall include all salaries, rents and similar sources of
income as well as the economic value of property, savings, stocks, bonds, and
other assets.
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