Affordable housing set aside.

Kansas City Code § 74-11

in effect

Sec. 74-11. - Affordable housing set aside. (a) The following definitions shall apply to this section: Affordability offset value means the estimated financial gap between revenues from market-rate units and affordable units. This amount shall be calculated annually by the city manager's office, by adjusting the current estimated $5,000.00, by an amount equal to any increase in the construction cost index for Kansas City published by the Engineering News Record. Affordable housing means housing that a household having an income at or below 60 percent of the HUD MFI ("60% MFI") for all households within the Kansas City metropolitan area would be able to afford if they were to expend not more than 30 percent of such income for the mortgage or rent, including utilities. City incentives means economic incentives granted by the city or any economic development agency created by the city, including Port KC, in the nature of the capture and redirection, abatement, or exemption of taxes or the issuance of bonds or grants by the city or other city-backed financing. Deeper levels of affordability means housing priced such that households at lower incomes than 60 percent MFI within the Kansas City metropolitan area would be able to afford it if they were to expend not more than 30 percent of such income for the mortgage or rent, including utilities. Sources of income means the lawful manner by which an individual supports themselves and their dependents, including tenant-based rental assistance. (b) For all development projects primarily providing multi-family housing available for rent and including 12 or more residential units across all sites and phases of the development project that are seeking city incentives, at least 20 percent of the total residential units shall be affordable housing. The requirements of this section shall not apply to projects that benefit from no city incentive other than the reimbursement of costs for public improvements eligible for reimbursement pursuant to section 99.825.3 RSMo that are located in a redevelopment plan for any redevelopment area that has been found by the city council to constitute an economic development area pursuant to RSMo. § 99.800 et seq. (c) A project developer may make a payment to the city in lieu of the affordable housing unit provision in an amount equal to the affordability offset value multiplied by the total number of housing units in the project. In the event that project developer provides some affordable housing units, but less than the number required to comply with subsection b, the payment in lieu shall be calculated by the affordability offset value multiplied by the total number of housing units less the number of affordable housing units. Such payment shall be deposited into the city's housing trust fund. (d) That for purposes of this ordinance, affordable housing shall comply with the following criteria: (1) That all units qualifying as affordable housing shall be on the principal development project site and shall not be off site from the project. (2) That affordable housing units shall be mixed with, and not clustered together or segregated in any way, from market-rate units. (3) That all units qualifying as affordable housing shall either be at least one-bedroom units in size or be equal to or share the same size as at least 25 percent of units to be constructed on the project site. (4) That if the project development contains a phasing plan, the phasing plan shall provide for the development of affordable housing units concurrently with the market-rate units. No phasing plan shall provide that the affordable housing units built are the last units in a housing development. (5) That the quality and cost of in-unit finishes, systems, appliances, and square footage of all units deemed as affordable housing shall be comparable with that of the remaining units on the project site. (6) That the exterior appearance of affordable housing units shall be made similar to market-rate units by the provision of exterior building materials and finishes substantially the same in type and quality. (7) That the project developer must covenant with the city and successors in interest that the designated units remain affordable for a period of not less than the period of the incentive awarded. (8) That the project developer must covenant with the city and successors in interest that the appropriate number of units be rented to individuals or families whose household incomes are at or below 60 percent MFI, in accordance with subsection (b). (9) That the project developer must covenant with the city and successors in interest that the developer will not engage in any discriminatory housing practices as defined in section 38-105(d) of the city's Code of Ordinances, including discrimination based on lawful sources of income. (10) That the project developer must covenant with the city and successors in interest that developer will use a procedure deemed acceptable by the city to determine income eligibility of residents qualifying for the affordable housing units and that the city or its designee shall have the right to audit any such income verification procedure records. Any required determinations of income eligibility shall occur at the time an initial lease with the resident is entered into. (e) The following shall be exempt from the requirements of this section: (1) Any project that has been awarded federal or state low income housing tax credits from the Missouri Housing Development Commission; and (2) Any project that involves the renovation or rehabilitation of a building that has been designated by a government entity as a local or national historic landmark. (Ord. No. 251058, § 6, 2-5-26; Ord. No. 260286, § 4, 5-7-26)

Source: City of Kansas City, Missouri, Code of Ordinances, Charter and Zoning and Development Code (Municode Library, library.municode.com)URL: https://library.municode.com/mo/kansas_city/codes/code_of_ordinances?nodeId=COORKAMIVOII_CH74ECDEINPOPRCO_ARTIGE_S74-11AFHOSEASFetched: 10/28/2026