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San Juan Capistrano, Calif. intends to reduce the fee that developers pay to help fund state-mandated affordable housing in town by 10 percent. The city asks residential developers to designate 10 percent of the units in a proposed project as affordable for lower-income households or pay a fee to be used to arrange for such housing. The 10 percent reduction in the fee could increase the city’s vulnerability to litigation and state audits, according to the city’s housing coordinator.

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