A local governmental agency issued a building permit for the development of a housing project which included units for low-income tenants, qualifying the project for a density bonus. The permit allowed the developer to set the rent for low-rent units at an amount higher than what a low-income tenant was qualified to pay, in anticipation that Section 8 federal housing subsidies for the density bonus-qualifying low-rent units would fund the portion of the rent the tenant was unable to pay. A private citizen made a demand on the agency to revoke the building permit for the development, claiming the project violated the density bonus law since the developer was able to rent the units for more than the amount a low-income tenant was qualified to pay. The agency claimed the developer could rent units under a density bonus for more than the amount a low-income tenant was qualified to pay since a tenant can include Section 8 subsidy amounts as part of the total rent agreed to be paid. A California court of appeals held a local governmental agency may grant a density bonus for a developer’s housing project when the rent ceiling is set as the sum of the combined amounts a tenant renting a low-income unit is qualified to pay and the Section 8 federal housing subsidy the tenant receives, since the density bonus law defines the rent ceiling as an amount which includes the Section 8 subsidy in the total rent a low-income tenant agrees to pay. [Wollmer v. City of Berkeley (2011) 193 CA4th 1329]