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HomeMy WebLinkAboutAFC 07-15-10 ~JCCOG ...rii.... MEETING NOTICE JCCOG Affordable Housing Committee Meeting Thursday, July 15, 2010 4:00 PM Coralville City Hall Council Chambers Agenda 1. Call to Order 2. Consider approval of May 20, 2010 meeting minutes 3. Public discussion (of any item not on the agenda) 4. Consider recommendations on affordable housing initiatives 5. Discussion of mandatory vs voluntary inclusionary housing programs 6. Discuss need for additional meetings 7. Other business 8. Adjournment Attachments 1. May 2008 Joint Statement from Informal Johnson County Housing Group 2. Brochure example of a housing consortium from Taunton, MA S:\JCCOG\Affordable Housing Committee\201 0 july agenda\AFCagenda1-28-1 O.doc PRELIMINARY MINUTES JCCOG AFFORDABLE HOUSING COMMITTEE THURSDAY, MAY 20,2010 - 4:00 P.M. CITY HALL, CORALVILLE, IOWA Members Present: Members Absent: Staff Present: Others Present: Call to Order: City of Iowa City: City of Tiffin: City of University Heights: Homebuilders Association: Housing Fellowship: Housing Trust Fund: Steve Long Royce Phillips Louise From Glenn Siders Barb Bailey (alt. for MaryAnn Dennis) Tracy Achenbach City of North Liberty: Tracy Mulcahey City of Coralville: Ellen Habel Iowa City Area Association of Realtors: Cheryl Nelson University of Iowa: Cathy Fountain Johnson County: Andy Johnson ICCSD: Lane Plugge Clear Creek Amana School District: Paula Vincent Kris Ackerson, Linda Severson, John Yapp Barbara Beaumont (League of Women Voters); Carol Spaziani (League of Women Voters); Gary Klein (FAIR!/CCI); Andy Douglas (HCDC); Mike Wright (Iowa City City Council); Erika Skemp (resident of Iowa City) John Yapp called the meeting to order at 4:05 p.m. Consider Approval of April 1, 2010 Minutes: From moved to approve the minutes and Achenbach seconded; the motion passed unanimously. Public Discussion: None. Overview and discussion of housing tax credits and residential tax increment financing Yapp began the discussion by outlining housing tax credits and residential tax increment financing tools that local governments can use to encourage affordable housing. The federal housing tax credit is a private/public partnership that frequently fills the gap in providing financing for an affordable housing project. Yapp explained that Tax Increment Financing (TIF) is a method to use the increase in tax revenue from a development to fund public improvements, infrastructure, or refund property taxes. From asked if any communities in Johnson County have used this method for residential projects; Yapp noted that Solon, Mt. Vernon, and Tiffin have implemented TIF districts for housing and that Iowa Code requires TIF housing projects to include an affordable housing set aside. Achenbach highlighted that a new rule now allows TIF funds to be used outside of the TIF district. Siders asked whether TIF can be used in blighted areas; Yapp stated that this is allowed, and encouraged by the Iowa Finance Authority. S:\PCD\Minutes\Affordable Housing Committee\201 O\aff hsg 5-20-1 a.doc Affording Housing Committee May 20, 2010 Page 2 Overview and discussion of HOME consortiums Severson discussed the potential to form a consortium to receive federal HOME funding affordable housing. A consortium enables local governments that would normally submit grant applications for HOME funds to join with other municipalities to receive a direct allocation of funds annually. Achenbach highlighted that Waterloo/Cedar Falls received more funds when they created their consortium. Siders noted that creating a consortium would increase 'regionalism' in our community and create new opportunities. The committee agreed that Iowa City should request an analysis from the Department of Housing and Urban Development in Omaha to determine how much money a consortium in Johnson County might receive. Long agreed that he would investigate this analysis and report back to the committee members. Overview and discussion of inclusionarv housing programs Ackerson reviewed the memo and map submitted regarding this topic. Siders noted that the communities with inclusionary housing programs that were listed in the table have varying population sizes and that most are in coastal major metropolitan areas. Long asked for more information about communities that adjusted their programs from voluntary to mandatory, and vice versa; Ackerson agreed to research this question. Bailey noted that developers must receive incentives to offset the costs of selling/renting units below market value. Long mentioned that if a consortium was created for federal HOME funds, these funds could be used by communities as financial incentives. Siders expressed that inclusionary housing programs, if implemented, should be implemented regionally to be effective. Discuss status of committee recommendations Yapp recommended that the committee prepare recommendations for the JCCOG Urbanized Area Policy Board based on the work completed by the committee thus far. The committee agreed to make this topic of discussion the main agenda item of the upcoming meeting on July 15th, 2010. Achenbach suggested that the meeting should be attended by representatives of all the municipalities and the county. Other business; updates from members of local affordable housing proiects None. Adiournment: The meeting was adjourned at 5:08 p.m. ~JCCOG ,..~ m e m 0 r... Date: July 8, 2010 To: JCCOG Affordable Housing Committee From: Kristopher Ackerson, Assistant Transportation Planner Re: Agenda Item #4: Consider recommendations on affordable housing initiatives Over the past year, we have discussed several potential affordable housing-related initiatives to consider recommending to Johnson County local governments. The intent of this committee was to discuss and make recommendations on affordable housing policies and programs, which would be forwarded to the Johnson County Council of Governments Urbanized Area Policy Board and member entities. At our July 15 2010 meeting, please be prepared to discuss and make recommendations on the following initiatives. This list was taken from the summaries of meetings this past year: A. Establish a Consortium for federal housinq funds? Forming a consortium is a way for lo- cal governments that would not otherwise qualify for funding through the Department of Housing and Urban Development (HUD) to join with other contiguous units of local gov- ernment to directly participate in the federal HOME Program. Instead of competing for funds, a Consortium would act as a cooperative to leverage federal housing funds. In FY10, HUD approved 143 consortia participating jurisdictions, which formed consortia in order to take a more regional approach to affordable housing, and to allow the federal funds to be utilized in jurisdictions contiguous with the central city. HUD has a guide- book for establishing a consortium; One jurisdiction is required to take the role of being the lead agency and is required to complete all the HUD reporting requirements and en- sure appropriate use of the federal funds. B. Create pre-approved desiqn plans for residential structures? Creating preapproved de- sign plans for smaller and/or multi-family residential structures should reduce upfront costs (design time and expense) related to housing development. C. Offer density bonuses as an incentive to develop affordable housinq? There are several ways local governments can reduce zoning code requirements in order to attempt to re- duce the cost of development, in return for affordable housing units being included in the development. Options include: a. Reducing minimum lot sizes b. Increasing allowable maximum lot coverage c. Increasing allowable building height and/or stories d. Reducing parking requirements e. Reducing lot frontage requirements f. Reducing park/open space requirements g. Allowing for expedited review of rezoning and/or subdivision applications, particu- larly if pre-approved design plans are used S:\JCCOGlAffordable Housing Committeel2010 May AgendalTopics of mulal interes'-5_6_10_kja.doc D. Develop a public awareness/educational campaiqn? At the initial meeting in August 2009, the committee discussed the importance of public awareness and the need to pro- vide information and dispel the myths about affordable housing. If a consortium were developed, it would be logical for it to spearhead the public awareness initiatives. The Local Homeless Coordinating Board (A Board made up of local human service agency providers who serve low income individuals and households) has as affordable housing committee, and they intend to conduct public awareness activities related to homelessness. One opportunity might be for local government support for these activi- ties in the form of materials, cable TV staff, or financially. E. Financially support the creation of partnerships? If a non-profit affordable housing de- veloper partners with a for-profit developer, they can work together to mix affordable units into a larger development and share some overhead and infrastructure expenses. Local governments can support/encourager this type of partnership by creating a fund to participate in some development expenses (infrastructure, for example), and/or by di- recting federal housing funds to support developments led by a for-profit and non-profit partnership. F. Dedicate land? Land donation/dedication to a residential developer, in return for a re- quirement for a percentage of affordable housing units, is one way local governments can reduce one of the main costs of development. G. Loan qeneral obliqation bond funds? The committee discussed the potential for cities to loan general obligation bond funds to non-profits at low interest rates to support the creation of affordable housing. H. Develop a list of quaranteed buyers/renters? The committee discussed the fact that resi- dential development is a speculative sector, and housing developers might be encour- aged to develop more affordable units if housing agencies kept a list of pre-approved buyers or renters and facilitated the sale or lease of the dwelling units. I. Encouraqe usinq Tax Increment Financinq for residential development? Utilizing Tax In- crement Financing to help fund infrastructure in developments which have affordable units is one potential way for local government to financially support the creation of housing. This method of funding would divert tax revenue from other units of govern- ment to fund infrastructure or property tax costs, for the time period the TIF district is in place. J. Pre-zone areas of the community for multi-family development? One hurdle develop- ers/property owners face when developing multi-family projects is the zoning process, which can be unpredictable and take months of time. One constraint which has been discussed is the lack of readily available land for multi-family/higher density develop- ment. K. Enact Inclusionary housinq/zoninq standards? Voluntary with incentives, mandatory in- clusionary housinq. or neither? Inclusionary housing programs are a set of standards which require a certain percentage (typically 10-20%) of a development be set aside for affordable housing, using HUD definitions of affordability related to the Area Median In- come (AMI). The attached memo (Agenda Item #5) describes the differences between mandatory and voluntary inclusionary zoning programs, and describes some communi- ties which have switched from mandatory to voluntary, and vise-versa. S:IJCCOGlAffordable Housing Committeel2010 May AgendalTopics of mulal interesC5_6_10_kja.doc Date: To: From: Re: July 2, 2010 JCCOG Affordable Housing Committee Kristopher Ackerson, Assistant Transportation Planner Agenda item #5: Discussion of mandatory vs. voluntary inclusionary housing programs ~JCCOG r~ m e m 0 (.... Introduction Communities that craft inclusionary housing programs face a major decision - should the inclusionary housing program be mandatory or voluntary? Like many policy decisions, the debate frequently revolves around the benefits of government mandated regulation on one hand, and interference with the housing market on the other. Specifically, policy makers discuss questions such as, Can our community provide sufficient incentives to entice developers to build affordable housing voluntarily? Will a mandated inclusionary housing program have a chilling effect on the market and reduce supply, thereby worsening access to affordable housing? What role should local government play in encouraging affordable housing, in combination with state and federal subsidies and financing programs? Staff in communities with inclusionary zoning frequently stress that successful programs must be predictable to facilitate housing production and increase supply. Developers cannot price and value land appropriately or make informed investment decisions unless they know what the municipality will allow them to build and require from them. As a case in point, developers in Irvine, California, lobbied the city council to change the ordinance from voluntary to mandatory enforcement due to the confusion with the process for the voluntary program (Curtis 2003). Mandatory programs provide developers with predictability by setting uniform expectations and requirements and establishing a level playing field for all developers. Clear incentive-based programs could do the same thing; however, it is critical that any incentives be predictable and substantial enough to result in new projects. Examples of Inclusionary Housing Programs Of the more than two hundred communities nationwide with mandatory inclusionary housing programs, two communities rescinded their programs: Orange County, California and Madison, Wisconsin (Table 1). TABLE 1. SWITCHING FROM MANDATORY TO VOLUNTARY INCLUSIONARY ZONING Municipality or County Existing program Orange County, California Population: 3,026,786 Madison, Wisconsin Population: 218,915 Orange County no longer has a formal inclusionary housing program. The county does attempt to negotiate for affordable housing units on the few remaining vacant parcels in the county that receive development proposals. The ordinance was structured with a sunset in February 2009 and the Madison Common Council allowed it to expire and is no longer in effect. The city now works with federal programs to initiate affordable housing projects. Sources: "The Inclusionary Housing Debate: The Effectiveness of Mandatory Programs Over Voluntary Programs," by Nicholas Brunick; American Planning Association; Sept. 2004. "Examples of Municipalities with Inclusionary Housing Programs," Business and Professional People for the Public Interest, 2008; U.S. Census, 2009 population estimates. S:\JCCOGlAffordable Housing Committee\2010 july agenda\Mandatory v Voluntary IZJ _2_10_kja,doc Jurisdictions with once voluntary programs (Table 2) have amended their ordinances to mandatory requirements in response to low production. In general, communities with mandatory programs develop more affordable housing units than those with voluntary programs (California Coalition for Rural Housing, 2003). This is likely due to the voluntary programs lacking enough incentives to entice developers to take advantage of the program. TABLE 2. SWITCHING FROM VOLUNTARY TO MANDATORY INCLUSIONARY ZONING Municipality or Threshold Number Of Units and Required I t' ncen Ives County Income Target Percentage Threshold: All residential development, except for a single detached dwelling unit with a total floor area of less than 20% (voluntary Boulder, 1600 square feet Colorado for rental; Income Target: 57-77% AMI mandatory for None Population: Rental: 57% of AMI (can go up to 67% of ownership) 303,482 AMI); For Sale: 67% of AMI (can go up to 77% of AMI) 30% Increase in FAR Cambridge, Threshold: 10 or more units 1/2 of FAR Increase Massachusetts Allocated to Market Income Target: 65- 80%AMI 15% Rate Population: 108,780 Rental and Ownership 1/2 of FAR Increase Allocated to Affordable Reduced Parking Threshold: All developments, any size Requirements Irvine, Reduced Fees California Income Target: 50-120% CMI Mandatory; Population: 5% at 50% of the County Median 15% of all units Reduced Park Land 209,716 Income; 5% at 51-80% CMI; and 5% at Set Aside to 80-120% CMI Expedited Permit Process Threshold: 15 or more units, but projects Multiple-fam ily Pleasanton, under 15 units must pay an in-lieu fee California residential Fee waiver or deferral, Income Target: Very-Iow-, low-, and projects, 15% design modifications, Population: moderate- income households (based on Single-family priority processing 70,700 HUD definition) projects, 20% Source: "The Inclusionary Housing Debate: The Effectiveness of Mandatory Programs Over Voluntary Programs," by Nicholas Brunick, American Planning Association, Sept. 2004. Conclusion Across the country, communities that enact inclusionary housing programs tend to favor mandatory programs because they want to address a shortage of affordable housing and mandatory programs can be applied across the community. Voluntary programs are also effective where subsidies provide real incentives to spur construction of affordable units. Feel free to contact me with questions at 356-5247 or Kristopher-AckersonCfi2iowa-citV.oro. I will also be at your July 15th meeting to discuss this topic. C:IDocuments and Settingsljyapp\Local Settings\Temporary Internet Files\OLK13E\Mandatory v Voluntary IZ_7 _2_10_kjadoc JOINT STATEMENT Informal Housing Group Johnson County, Iowa May, 2008 ( In September, 2006, the undersigned group of individuals, representing private business, nonprofit, and citizen groups interested in housing issues in Johnson County, began meeting on a regular basis. As stated in a letter to the Iowa City Council dated October 3, 2006, we believe that "Creating and sustaining an adequate supply of affordable housing..... is a community issue and requires a community commitment. And while there is no one solution, it is om shared belief that one important and very necessary preliminary step is for the builders and providers of housing, along with interested community participants, to come together and discuss the issues and identify the challenges. " Over the course of the year, the group has met and considered a variety of issues surrounding the housing market in Johnson County. We have listened to each other's perspectives, learned more about the challenges and opportunities in our community, and identified issues on which we have consensus. Our discussions have been honest and wide-ranging. 1. Our Commitment We discovered early in the process that even professionals who work with housing can have difficulty defining "affordable housing" and arriving at recommended solutions. I-lousing is a huge topic covering a wide range of issues. Making sure that individuals and families are able to obtain decent, affordable housing in safe and stable neighborhoods is a mutual goal. Our commitment is to work toward a regional housing policy with flexible incentives that will result in an increased number and variety of affordable rental units and home owner options for families in our area. 2. Definitions We agreed to lIse the national standard that a household is "cost burdened" when it has to spend more than 30% of its gross income for housing related expenses. We focused on households with income at or below 110% of the area median income. In Johnson County, for a family of four, this is household income of approximately $80,000 and below. Apartments, zero lots, townhomes, condos, and single family homes, as well as modular, mobile and manufactured homes are all part of addressing the area's housing needs. 3. Regionalism We agree that our area communities and residents are not isolated entities. People's lives are not confined to anyone jurisdiction. Each community struggles with affordable Housing Statement Page I of 11 housing issues and it will take a regional approach to find larger and more long lasting solutions. We agree that housing is an important aspect of our regional economy and is most effectively addressed as a regional issue. Because private interests (homebuilders and nonprofits) work in multiple jurisdictions, a regional housing policy would simplify and streamline the development process. We encourage local jurisdictions to work together with private interests to develop a workable housing policy. Lack of regional cooperation, however, should not discourage jurisdictions that are interested in moving forward with specific plans. 4. Issues Not Addressed Our group has chosen to focus on issues surrounding the creation and preservation of permanent, stable, affordable housing. A number of related issues, including chronic homelessness, mental illness, disability and domestic violence, significantly impact housing issues for individuals and families, but have not been addressed by our group. S. Variety of Resources Needed We agree that there is no single solution or "tool" that can be used to address the housing needs of various populations. Having a variety of resources and options available can help local govel'1lment and private interests tailor efforts to specific communities and neighborhoods. 6. Measuring Success As the resources and tools are developed, we agree that it is important for communities to identify measurable goals that can be evaluated by objective criteria. For instance, identifying a specific number of affordable rental units that will be developed or redeveloped within a certain time period gives staff and development interests the possibility of planning to meet those goals and public interest groups with a means of holding both public and private interests accountable. 7. Public Opposition Public perception, or NIMBYism ("Not In My Back Yard") will be a factor when efforts are made to produce workforce and supportive housing opportunities. Political decisionmakers are understandably affected by neighborhood opposition. Private interests, including the development community and citizen interest groups such as the religious community, working together can help create more public support and pressure to encourage these efforts. 8. Monitoring The housing market, like the local economy, is constantly changing. Therefore, any program or policy that is implemented should be reviewed on a continuing basis in light of changing circumstances. Housing Statement Page 2 of 11 9. Credit Issues Credit history and financial literacy have a significant effect on the ability of households to keep and maintain their homes. One time events such as large medical bills, loss of a vehicle, temporary loss of employment, etc can put households in jeopardy. We encourage both the public and private sectors to develop educational programs that will teach budgeting and financial management and credit issues to a broad cross section of people including high school and college students. Successful collaborations like that between the Iowa City Area Association of REAL TORS@ and the Iowa City Housing Authority should be encomaged and expanded. 10. Housing Goals In general, we agree that scattering housing types and densities can create more diverse neighborhoods. It can also have the unintended consequence of isolating households that may depend on public transit. Creative collaboration between communities and developers can result in more dense or affordable sections of developments being "clustered", making it more feasible for local governments to extend transit services. 11. Many Partners The need for affordable workforce housing is an issue of economic and community vitality. Therefore, communities should look for ways to involve a wide spectrum of community stakeholders. In particular, the University of Iowa has a huge impact on the housing market in Jolmson County, not only because of the student population, but because of its role as the largest employer in the area. The University should be challenged to be a partner in increasing the number of affordable housing units in our regions. Opportunities should be pursued that would allow business interests to contribute to housing programs that help foster a stable workforce, which in turn promotes stable neighborhoods and schools. · Utility companies could revise easement policies and limitations in order to help reduce development costs. · Financial institutions could provide incentives for pre-development and construction loans. Programs to increase the pool of pre-approved potential home buyers could be created and/or expanded. · Investors could look at local tax credits as a financially lucrative and community- based investment option. · More landlords could participate in the Section 8 program. · Private developers can work toward developing and marketing diverse neighborhoods. 12. Sectors Each of the sectors represented by our group has a role to play, and specific expertise and resources to bring to the development and preservation of affordable housing. A. Private business/development interests: Homebuilders, realtors, financial institutions and other private sector interests have a number of skills and Housing Statement Page 3 of 11 opportunities that can be used to assist a community in developing and implementing housing policy and goals, including: · First hand knowledge of the market conditions and consumer demand. · Expertise in construction, rehabilitation and development. · Knowledge and understanding of city processes and requirements. · Ability to monitor mandates that affect housing. · Ability to work directly with consumers to provide financial education and plan for housing needs. · Ability to provide technical assistance to nonprofit housing entities. · Ability to market housing opportunities to the community. B. Nonprofits: Entities that develop and operate housing for low income households, as well as those that provide services to targeted populations, also have unique skills and resources, including: · Access to certain forms of public funding, including city, state and federal funds. · Knowledge of federal and other funding regulations and compliance issues. · Access to charitable contributions and grant funding. · Experience managing multiple sources of financing for a single project. · Community volunteers and access to service clubs and churches. · Experience and contact with specific populations and income groups. · More flexibility than public entities. · Strong boards of directors who are willing to act as community activists and supporters. · Significant experience in construction and rehabilitation. C. Citizen interest groups: Housing initiatives will not be successful if there is not public input and support. Community groups, including neighborhood associations and civic and religious organizations, have a crucial role to play, including: · Welcoming people into our neighborhoods - even if their housing type, income, race or other factors may be different than our own. · Participating in public hearings on zoning changes to provide policy makers support, pressure, and appreciation for increasing density for the purposes of increasing the variety and affordability of housing in a particular area. · Assisting in addressing real fears about parking and traffic issues that are perceived to be associated with higher density development. 13. Affordable Rental Housing In general, homeownership is not possible for households with income less than $25,000. Homeownership may be impractical, but not impossible, for households with income below $45,000. Federal programs are the primary resources for local programs that address the most significant affordability gaps. However, local government decisions impact the delivery of funding and services and should be targeted toward activities that Housing Statement Page 4 of 11 address the most serious needs. Elected and appointed officials should ensure that funding and resources are directed toward needs identified in City Steps (Iowa City) and other planning documents. Federal affordable housing tax credits are the main sources of funding that make affordable rental housing possible. Therefore, communities should explore policies that plan for and support future tax credit applications. Specific policies are discussed in Appendix A (See ~ A(S)). Other options for encouraging the creation and preservation of affordable rental housing include residential TIFs, making low interest bond financing available and establishing higher density zoning in more areas of the community. 14. Affordable Homeownership Households making more than $45,000 may be able to afford an entry level home if no other factors (such as credit history) stand in the way, but they remain in a precarious position as far as being able to pay the ongoing costs of homeowners hip, such as taxes, insurance, repair needs, routine maintenance, etc. For households between $45,000 and $80,000 there is perhaps the greatest opportunity for public private partnerships to assist households in either purchasing homes 01' maintaining the current housing stock for this population. Relatively small investments may be needed to assist them meet their housing needs within the community and financial institutions would be a key resource to involve in these efforts. . 15. Preservation of Affordable Housing New construction is not the only strategy to ensuring affordable housing units in our area. Preservation of the existing stock of affordable housing is often more cost effective than new construction and contributes to maintaining older neighborhoods. 16. Inclusionary Housing We spent a number of sessions having wide ranging discussions about the concept of inclusionary housing because this was a recommendation of the Scattered Site Housing Task Force and has been discussed by the Iowa City Council. It is hard to identify specific areas of consensus 01' disagreement without a clear definition 01' specific proposal before us. Topics discussed included: · Options such as land dedication, off-site development and fees. · Incentives and concessions and the need for flexibility. · Program administration. After thoroughly discussing the many components ofinclusionary housing, it is clear that the individuals and organizations represented by our group disagree on the fundamental merits of inclusionary housing programs. We hope that our community is able to learn from the accomplishments (increased number of affordable units) and mistakes (legal pitfalls) from early attempts at inclusionary zoning in other communities. Housing Statement Page 5 of 11 Even if enacted, inclusionary housing is not a total solution to issues of affordable housing but mllst be part of a broader, countywide strategy for meeting housing needs. Also, because the housing market is regional, the effectiveness of inclusionary housing would be improved if adopted in at least the largest, and in particular the fastest growing, communities in Johnson County - Iowa City, Coralville, North Liberty and Tiffin. 17. Incentives with Flexibility Incentives with flexibility will playa key role in any housing policy. These elements working in tandem for both nonprofit and for profit developers, will more effectively assist in meeting our community's housing goals. If affordable units are part of a development, we believe some kind of point system should be developed. Projects that accumulate a certain level of points would be awarded with appropriate levels of incentives. Points would be awarded for reaching maximum 01' increased density) desired design elements, having a development near schools, employment centers, transit, shopping and other amenities, working collaboratively with other developers, leveraging federal dollars, and/or investing in property management of dense rental units. Once a minimum number of points are reached, the developer would have the option of choosing from a "menu" of incentives which could include: . Density bonus . Fast tracked process · Subsidies such as direct investments in projects, tax abatement, TIFs, contributions from the Housing Trust Fund, partial or full contributions to infrastructure, reduction or elimination of tap on fees (01' the ability to pay them over a period of time), and provision of public transit. · Low cost financing (including bigger investments for rental projects) · Tax credits .We believe that the Housing Trust Fund of Johnson County would be the proper entity to receive, manage and distribute revenue that is generated to suppOli affordable housing. 18. Deyelopment Process Complex and lengthy development approval procedures with significant amounts of discretionary authority result in direct and indirect costs to developers. Conflicting resource protection standards and fees assessed on development also add to the consumer's price of housing. These additional costs have the potential to "out price" many households from new housing, as well as risk project feasibility. Unnecessarily long approval processes cost both the public and private sectors time and money, limiting what each subsidy and investment dollar is able to achieve. We agree that possible steps toward more efficient and responsive development regulations might include: Housing Statement Page 6 of 11 · Clearly linking implementing regulations to long-term planning documents. · Developing a buildable lot inventory system to ensure land availability. · Ensuring that development criteria are consistent, objective, and measurable. · Allowing, innovation and flexibility in site planning and design once the objective criteria are met. · Regularly evaluating the approval process through staff, public commissions and elected bodies. 19. Shared Housing Policy When developing housing policy, we hope that communities seek broad input frol11 interested parties and we encourage businesses, nonprofits and community groups to participate in the process. Addressing housing issues can be controversial and difficult. Hopefully, effort given to identifying community values and encouraging collaboration among interested parties will pay dividends in terms of accomplishing a community's housing goals. We all agree that communities need to develop a comprehensive housing policy over the next 6 months with the intent of reaching set goals of increased numbers of units within set time frames in order to address regional housing needs. We believe that the goals set should be measurable and should start to be implemented in Fiscal Year 2010. Goals should include specific targets that address the needs of residents across the economic spectrum, while maintaining sufficient flexibility to ensure that targets do not become a barrier to occupancy. As a starting point, we suggest the following goals be discussed: For the contiguous communities ofIowa City, Coralville, North Liberty, Tiffin, as well as Jolmson County: Use various tools including those discllssed in other portions of this docllment such as bonding, TIFs, tax abatement, land dedication, contributions to the Housing Trust Fund, etc., and agree to invest an amount equal to 5% of the general fund to the creation and preservation of affordable housing. As part of this commitment, we look to local entities to: · Use the recently completed Affordable Housing Market Study to set achievable goals for numbers of units, both rental and owner occupied, to be created/preserved. · Provide information on a regular basis to report on the progress made toward reaching the goals. For the University of Iowa: Work toward replacing every unit of private housing removed from the private housing market to create homes affordable to households earning less than 80% of area median income or rental units affordable to households earning less than 50% of area median income. Housing Statement Page 7 of 11 20. Conclusion We hope that this statement is a positive contribution to the community discussion surrounding affordable housing. We encourage more people to contribute to the dialogue and we look forward to learning more from t e who have additional information and expertise. Al Axeen Hawkeye Area Community Action Program (HACAP) '----X~-e,~ MaryAnn Dennis The Housing Fellowship rad Houser Iowa Realty, Houser Development ~ t2A-en ~ Karen Kubby FAIR! 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