Sec. 1326. (a) An impact fee ordinance may provide for a reduction in an impact fee for housing development that provides sale or rental housing, or both, at a price that is affordable to an individual or a family earning less than eighty percent (80%) of the median income for the county in which the housing development is located. If the housing development comprises more than one (1) residential unit, the impact fee reduction shall apply only to the residential units that are affordable to an individual or a family earning less than eighty percent (80%) of the median income of the county.
(b) If the impact fee ordinance provides for a reduction in an impact fee under subsection (a), the ordinance must:
(1) contain a schedule or formula that sets forth the amount of the fee reduction for various types of housing development specified in subsection (a);
(2) require that, as a condition of receiving the fee reduction, the owner execute an agreement that:
(A) is binding for a period of at least five (5) years on the owner and subsequent owners; and
(B) limits the tenancy of residential units receiving the fee reduction to individuals or families who at the time the tenancy is initiated are earning less than eighty percent (80%) of the median income of the county;
(3) contain standards to be used in determining if a particular housing development specified in subsection (a) will receive a fee reduction; and
(4) designate a board or an official of the unit to conduct the hearing required by subsection (c).
(c) A fee reduction authorized by this section must be approved by a board or official of the unit at a public hearing.
As added by P.L.221-1991, SEC.27.