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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 07/09/2019 - AFFORDABLE HOUSING AND MOBILE HOME PRESERVATION CODATE: STAFF: July 9, 2019 Sue Beck-Ferkiss, Social Policy and Housing Program Manager Jackie Kozak-Thiel, Chief Sustainability Officer Tom Leeson, Director, Comm Dev & Neighborhood Svrs WORK SESSION ITEM City Council SUBJECT FOR DISCUSSION Affordable Housing and Mobile Home Preservation Council Priorities. EXECUTIVE SUMMARY The purpose of this item is to review City housing policy and explore current City Council priorities related to Affordable and Achievable Housing Strategies, and Mobile Home Park Preservation and Resident Protections. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED 1. Provide an overview of City Affordable Housing Policy. 2. Obtain clarity on Council Priorities regarding: • Affordable and Achievable Housing Strategies • Mobile Home Park Preservation and Resident Protections. 3. Receive City Council feedback and points of emphasis to guide staff’s work going forward. BACKGROUND / DISCUSSION City Council has identified affordable housing strategies and related issues as part of its priority agenda. Consistently, the issue of affordable housing is rated number one or two in the annual Community Survey for at least the past 5 years. Housing affordability is on everyone’s mind. Providing a housing continuum that includes options for all incomes, ages, abilities and life stages continues to be a challenge in Colorado and Fort Collins is no exception. Home prices in Fort Collins are increasing faster than incomes. Since 2000, the median home sales price grew at an average annual rate of 4.4%, while the average annual rate of growth for household income was 1.8%. Housing vacancy remains tight and has not risen to a rate considered normal since 2000. The number of cost-burdened households that pay more than 30% of their income on housing costs is increasing. Spending this much of household income on housing leaves very little for other basic needs. Both homeowners and renters are challenged in finding housing affordable to them, but renters are feeling the crunch more than homeowners. A Fort Collins household must make $25.33 an hour working full time to afford a two-bedroom apartment. That local “housing wage” exceeds the national figure of $22.96 to afford a two-bedroom apartment. Fort Collins has long identified the need for strategic planning generally and on the issue of affordable housing specifically. Starting in 1999, the City has used iterative five-year plans to guide policy and funding decisions to promote the production and preservation of affordable housing. All the City’s current strategic planning documents speak to the need to support affordable housing provision in our community. This item will include: • A review of the housing policy documents • A status report on the progress to date July 9, 2019 Page 2 • Possible opportunities to create more housing choices and preserve affordable options available today Staff will be seeking clarification and details about Council’s two priorities affecting housing policies: 1. Mobile home park preservation and resident protections - Develop policies/programs to preserve mobile home parks as a source of affordable housing and enhance resident protections, particularly around issues of utility gouging and eviction. 2. Affordable and achievable housing strategies such as: Purchase and Deed restrictions; Impact Fees; Regional Partnerships; Work with Partners such as CSU and Community Land Trusts; Down Payment Assistance; Inclusionary Zoning; Land Bank program; and other best practices. Overview of Applicable Plans City Plan The recently adopted City Plan has eight specific strategies articulated in Neighborhood Livability and Social Health that speak directly to this: • Liv 5.2 Supply of Attainable Housing • Liv 5.4 Land Supply for Affordable Housing • Liv 5.5 Integrate and Distribute Affordable Housing • Liv 6.4 Permanent Supply of Affordable Housing • Liv 6.6 Affordable Housing Programs • Liv 6.7 Incentives • Liv 6.8 Prevent Displacement • Liv 6.9 Mitigate Displacement Impacts Most of these strategies are specific to affordable housing as defined in the City to mean housing for households earning no more than 80% area median income (AMI) and spending no more than 30% of their income on rent or 38% of their income on home ownership costs. The first listed strategy, however, introduces the word “attainable” to mean that residents making 100% of the AMI could spend no more than 30% of their income on housing costs. That would mean a family of 4 making $87,200 could spend up to $2,180 a month on housing costs. This is a good starting definition that will need to be expanded on as the City gears up for the next iteration of affordable housing planning. Most of the City’s efforts to date have focused on the lowest wage earners because the real estate market has provided options to income levels above 80% AMI. Real Estate is a commodity driven market. The City has an active role in the lowest income category because historically the market fails to meet demand at this level without public assistance of some kind. Therefore, the City has established policies, plans, programs and initiatives for the traditionally affordable income range. Now even households making more than 80% AMI are struggling to find housing that is affordable to them. This presents an opportunity for the City to broaden the traditional policy analysis. While the City does not build or develop housing directly, the City does have and use influence to develop policy, fund affordable housing development, facilitate partners, and regulate the development of housing. City Strategic Plan The City’s Strategic Plan also speaks to housing in the strategic objectives in the Neighborhood Livability and Social Health Key Strategic Outcome Area. Specifically, Objective 1.1 seeks to improve access to a broad range of quality housing that is safe, accessible and affordable, and Objective 1.2 seeks to leverage and improve collaboration with other agencies to address homelessness, poverty issues and other high priority human service needs. July 9, 2019 Page 3 City Affordable Housing Goals Currently, the City’s affordable housing policy and funding is guided by the 2015-2019 Affordable Housing Strategic Plan. This plan establishes an overarching goal to have 10% of the City’s housing inventory restricted as affordable when the City reaches build out, anticipated to be around 2040. To achieve that end result, the City would need to increase the percentage of affordable housing by 1% every five years until build out. An annual goal of 188 units a year for this Plan’s term was established. Affordable Housing Studies Between the 2010 and the 2015 Affordable Housing Strategic Plans (AHSP), the City undertook a series of studies to inform the policies and strategies contained in the current 2015-2019 AHSP. These included: • 2013 Affordable Housing Redevelopment Displacement Mitigation Strategy (Mitigation Strategy), which resulted in specific recommendations that apply to mobile home park preservation and a review of the recommendations and progress will follow. • 2014 Social Sustainability Gaps Analysis (Gaps Analysis) established the level of need for specific types of housing appropriate to specific income categories. • 2014 Housing Affordability Policy Study (HAPS) built on the Gaps analysis data with policy suggestions which will be reviewed in detail below too. • 2015 Land Bank Property Disposition Study (Land Bank Study) provided a full market study built on 2014 property appraisals which showed requisite value in the land bank parcels. This study concluded the City should deploy one or more parcels. The City partnered with Housing Catalyst (the City’s Housing Authority) to develop one parcel into the Village on Horsetooth which boasts 96 rental homes. The City has entered into an exclusive negotiating agreement on another parcel with developer TWG, Inc., and they are exploring feasibility for a home ownership community of about 60 units. Extensive public outreach was conducted at each stage of this policy work. Stakeholder workshops, public open houses, focus groups, interviews, presentations to the Chamber of Commerce and the Board of Realtors and board and commission presentations were conducted. The Affordable Housing Board has been involved in all levels of policy development and program implementation and continues to inform the on-going work. In 2018, the Center for Public Deliberations conducted a Community Issues Forum on the topic of affordable housing. Most recently, the Internal Housing Task Force hosted a series of developer and lender coffee chats and lunches to discuss housing challenges and collaboratively search for solutions. Affordable Housing Redevelopment Displacement Mitigation Strategy (Mitigation Strategy) This is the City’s primary policy document related to Mobile Home Parks. It is important to note that no mobile home parks have redeveloped during the current AHSP term. The table below lists the seven recommendations from the Mitigation Strategies with a summary of implementations progress: AHRDMS Recommendations Progress Continue to Expand Designated Affordable Housing (AH) AH constructed and preserved Rental units - Not mobile Home Parks Relocation Assistance When Government funded Continues - case by case basis Manufactured Home Park Zoning District Planning and Zoning Board did not support (2014) Program to Invest in Infrastructure Budget offer not funded for 2015-2016 Budget Require One Year Notice for Closure Monitoring statewide efforts to expand required notice from 6 months Require Owners/Developers to Pay Relocation Assistance Negotiated on a case by case basis Build Resident Capacity to Own Park Facilitated Conversations with Non-profits and technical assistance providers, beginning in 2017 July 9, 2019 Page 4 Additionally, Preserving Mobile Home Parks is specifically mentioned in the newly adopted City Plan in two short term policies that will be initiated within the next 1-3 years: Liv 6.8 - PREVENT DISPLACEMENT Build the capacity of homeowners’ groups, affordable housing providers and support organizations to enable the purchase, rehabilitation and long-term management of affordable housing. Particular emphasis should be given to mobile home parks located in infill and redevelopment areas. Liv 6.9 - MITIGATE DISPLACEMENT IMPACTS Consider mitigation strategies to assist residents displaced through the closure of manufactured housing parks or conversions of rental apartments, including single-room-occupancy units, to condominiums or other uses. The AHSP incorporates the Mitigation Strategies by reference. Opportunities abound for preservation work for mobile home parks. Some possible options to explore include: • Increase time for Notice of Redevelopment from the 6 months required by State law • Enact Resident Rights Regulations - which could include regulations requiring process when utility bills are shared by multiple residents • Create a New Zone District • Create Rights of First Refusal If Council chooses, staff could further explore these and other possible options for mobile home park stabilization and preservation. Housing Affordability Policy Study (HAPS) HAPS also issued specific recommendations. The table below summarizes these recommendations and progress to date: HAPS Recommendations Progress Tiered Fees so small units pay less fees In progress Expand Fee Waivers to include all developers of qualifying units Done in 2017 Public financing-based incentive policy -negotiate units in exchange for public privilege Ongoing- example Metro Districts AH Agreements/easements - for currently unrestricted AH Budget offer not funded for 2017-2018 Reduce minimum house size Done in 2015 Disposition Strategy for Land Bank Done - one developed in 2018, one in progress Help remedy state level Construction Defects Litigation issue Done - Combination of 2017 Legislation and Case Law seems to have resolved HAPS was a comprehensive study conducted in 2014. In addition to the recommendations summarized above, it provided information on a variety of housing options. HAPS suggested that the City should continue to monitor conditions to see if an inclusionary housing ordinance (which would require a percentage of units in a development to be affordable to a specific income range) would be desirable in the future. That policy was not recommended because: • It can be harmful to overall affordability causing cost shifting to market rate units to bring down the price of the affordable units; • It cannot be used for rental units which was the City’s biggest need; • There were market rate units available at that time for the same price as the affordable units would be sold for, creating a market detriment. Instead, negotiated incentive zoning was recommended. Incentive zoning allows negotiation instead of codified entitlements and is an agile way to respond to local housing conditions. An example of where the City has used July 9, 2019 Page 5 this concept is in the creation of metropolitan districts. All the recently approved districts have promised affordable housing as part of what they are providing the City in exchange for the privilege of using the metropolitan district tool. HAPS recognized that new revenue sources such as linkage fees (which are impact fees charged on new development to mitigate the need for affordable housing created by commercial and/or residential development) would be very impactful and recognized that political and economic challenges at the time would make implementation difficult. HAPS remains a good primer on most policy options available to cities. It includes an analysis of best practices from cities across the country. It also posed some interesting questions to consider five years later that could be triggers for additional policy intervention. • In 2014, HAPS categorized the city’s housing stress as modest and challenged the City to weigh whether the benefits of action on a modest problem were worth the costs of implementing and enforcing stringent regulations. • HAPS suggested that when employers have difficulty attracting or retaining talent that policy intervention should be considered. In 2018, Talent 2.0, a reginal workforce attraction and retention initiative led by the Fort Collins Chamber of Commerce identified housing as one of the top issues facing the local workforce. • Lastly, HAPS asked what is the City’s tolerance for in-commuting? (In 2015, the City had 41,275 workers who lived elsewhere and commuted into the City, 36,800 workers who resided and worked in the City, and 34,776 workers who lived in the City but worked somewhere else). Assuming more affordable housing is available in the commute shed; does the City want to also have options in the City? (In looking at other City goals such as stated in the Climate Action Plan, suggests the answer is yes). 2015-2019 Affordable Housing Strategic Plan (AHSP) Much of this policy work was incorporated into the 2015-2019 AHSP and contributed to the specific and measurable goals articulated in the current AHSP. The pillars of the plan are five strategies, not in prioritized order: • Increase the inventory of affordable rental units • Preserve the long-term affordability and physical condition of existing housing stock • Increase housing and associated services for people with special needs • Support opportunities to obtain and sustain affordable Homeownership • Refine development incentives, and expand funding sources and partnerships The City invests in the development and preservation of affordable housing by using federal and City funds. Typically, federal funds provide about 66% of the money available to invest with City funding making up the rest. Since 2010, over $18 million has been invested into affordable housing construction and rehabilitation. (For details of investments made between 2010 and 2017, see Attachment 2) In 2019, through the Competitive Process, almost $2 million was invested into constructing and preserving affordable housing units. The Affordable Housing Capital Fund was voter approved in 2015 to provide $4 million dollars over ten years. The fund has been committed to providing direct capital assistance to the Mason Place Permanent Supportive Housing development and to partially match General Fund reserves for reimbursing City departments for affordable housing fee waivers. The City also uses programs such as Homebuyer Assistance and the Land Bank program to expand housing options. Since 1995, the City has assisted 1,150 households with down payment and closing costs. Currently the program has $220,000 in funding available which is approximately 15 loans at the maximum amount of $15,000 each. In total, the City has over $5 million in loan balances for homeownership between the Homebuyer Assistance program and loans to Habitat for Humanity. The City offers some development incentives such as fee waivers for units targeting 30% AMI households, priority processing, impact fee delays, and a density bonus in the low-density mixed-use neighborhood zone. Since we are almost at the end of this Plan’s term, it is a good time to examine results. Much progress has been accomplished and there is still work to do. • Since 2015, the City has added 370 new affordable units to the City’s inventory. • There are more than 180 units in construction now. July 9, 2019 Page 6 • More than half of these new units target special needs populations, including permanent supportive housing at Redtail Ponds for individuals formerly experiencing homelessness, three communities that are age restricted for seniors as well as income restricted, and a group home is under construction in the City owned Sherwood House for families escaping homelessness. The current AHSP’s goal of 940 units (188 units a year) was ambitious. While the goal will not be achieved, the progress made in adding inventory is more than in any prior plan term. In addition to the development of 550 (370 constructed and 180 under construction) new units: • 594 units were renovated, preserved and the land use restrictions reset for another 20 to 40 years. • The City has supported home ownership by investing in the Larimer Home Improvement Project and Habitat for Humanity, maintaining the restricted home ownership program at Provincetowne Condominiums, partnering on a land bank parcel for home ownership units, negotiating for restricted units in metropolitan district communities and through the Homebuyer Assistance Program. • The City is investigating partnering with a Community Land Trust to create additional opportunities for restricted homeownership. These new and preserved units are well distributed throughout the City. (See Attachment 1) Perhaps the most active pillar of the AHSP currently is refining development incentives, expanding funding sources and partnerships. This is the work brought forward by the Internal Housing Task Force in a City Council Work Session late last year. The task force’s recommendations fell into 3 categories: 1. Increase Revenue; 2. Decrease Costs and Regulations; and 3. Maximize Partnerships. Work in progress was recognized under each of these categories and City Council directed staff to continue to pursue additional recommended actions. In addition to reporting that the Affordable Housing Capital Fund is being used for direct capital assistance and in a limited way for fee waiver reimbursements, and Metropolitan Districts were being used to fund new affordable housing, staff suggested that a study for an Affordable Housing Impact Fee would be helpful to see what revenue could be generated. The City’s Financial Services group is consolidating all potential new revenue and fee requests across the organization and will provide a high-level summary of each and facilitate a prioritization discussion with the Council Finance Committee in August / September. Under the topic of decreasing costs and regulations, staff is looking to the implementation of City Plan for efficiencies for all housing types and for development standards that could be flexed for affordable housing without negative consequences. Lastly, staff reported that the City is working to collaborate with the water districts in the City because this is a driving factor in development costs, working with Employers to find their role in providing housing, and has been exploring partnering with a Community Land Trust to create more housing options. Community Land Trusts (CLT) create and maintain homes as permanently affordable by: • Retaining ownership of the land with a lease to the home buyer for the unit. The lease sets terms for selling to income-qualified buyers, formulas for splitting the unit’s appreciation allowing some appreciation to remain in the home to keep price affordable to subsequent buyers, requiring owner occupancy, and other provisions to assure permanent affordability. • CLTs monitor and enforce the lease provisions and certify buyers and sales prices to assure affordability restrictions are complied with. • CLT’s retain responsibility for managing the program perpetuity and maintaining relationships with the home buyers when they purchase, when they reside in the homes and when they sell. The City has been approached by Elevations Community Land Trust who would like to enter into a Memorandum of Understanding (MOU) with the City establishing a working relationship and an agreement to try to support the CLTs efforts to provide permanently affordable homeownership opportunities in the City. Staff recommends entering into this MOU and seeks Council direction about moving forward. July 9, 2019 Page 7 Internal and External Partnerships The City continues to work towards the goals of the AHSP through internal and external partnerships. City Council has guided staff efforts through a series of work sessions and Council actions. Work Session Summaries are attached. (Attachment 3) • An Internal Housing Task Force has been created to recognize the enterprise-wide nature of affordable housing and how many different City departments touch the development of this necessary community infrastructure. • The City has been working with a regional group, including many people and organizations in both Larimer and Weld counties called No Co Housing Now to look for answers to regionally experienced housing stress. • Larimer County has convened a work group to look at reducing housing burden which occurs when a household spends too much of their income on housing costs and needs to skimp on other basic needs. • The City has received a grant for $796,000 from the Colorado Department of Public Health and Environment to specifically address health disparities in housing through the implementation of City Plan. • The City has been encouraging employers and anchor institutions such as Colorado State University to define their role in alleviating housing stress for their employees. • The City continues to work with other communities and organizations such as Housing Catalyst, Homeward 2020, the Affordable Housing Board, the Fort Collins Board of Realtors and the Chamber of Commerce locally and regionally to expand housing options to the end that all residents in Fort Collins have housing choices that are affordable to them. Next Steps Staff will use Council clarifications on these priorities to adjust work plans. Staff from the Utilities Department, Neighborhood Services and Social Sustainability plan to meet to work collaboratively on the resident protection aspects of the Mobile Home Park priority based on Council direction. Staff is gearing up for the next iteration of the Affordable Housing Strategic Plan. Data is being updated and a work group will be convened in the coming months. Drafting and outreach is planned for early 2020 with anticipated adoption of the new plan by the end of 2020. ATTACHMENTS 1. New and renovated affordable housing map locations (PDF) 2. 2010-2017 Affordable Housing Funding History (PDF) 3. Work Session Summaries (PDF) 4. Powerpoint presentation (PDF) 1 20 47 126 72 North Fort Collins LOCATION OF CITY'S AFFORDABLE HOUSING INVESTMENTS ATTACHMENT 1 2 96 285 116 60 110 16 LOCATION OF CITY'S AFFORDABLE HOUSING INVESTMENTS Project: Community Development Block Grant (CDBG): HOME Program Funding: Affordable Housing Fund – City dollars: Fee Waivers Project description: Legacy Senior Residences – (2010 & 2011 funding) $275,513 $412,748 $28,890 $0 Construction of 72 units of affordable senior housing Redtail Ponds (2011 ‐2013) $673,108 $488,553 $229,416 $288,000 Construction of 60 units of housing for homeless and very low income Tenant Based Rent Assistance (2012 – 2014) $0 $156,240 $17,434 Monthly rental assistance for previously homeless individuals in partnership with Touchstone Health Systems Village on Cunningham Corner Acquisition (2012) $502,076 $570,735 $0 N/A Acquisition/preservation of 3 multi‐family properties with a total of 284 rental units Village on Cunningham Corner –Rehab (2013 – 2016) $1,240,502 $601,119 $220,579 N/A Rehabilitation and preservation of acquired property with deferred maintenance needs Village on Redwood (2013 ‐2015) $578,274 $1,552,889 $588,537 $100,708 New construction of 72 units of affordable rental housing Village on Matuka Rehab 2014 $380,000 $0 $0 N/A Rehabilitation of 20 units of very low income rental housing Village on Horsetooth (2017) $1,125,000 $350,000 Development of 96 units on City Land Bank parcel Tenant Based Rental Assistance (2015 ‐ 2017) $0 $170,227 $0 N/A Monthly rental assistance for previously homeless individuals in partnership with Touchstone Health Systems Caribou II Apartments (2010) $300,000 Construction of 96 units of affordable housing City of Fort Collins (HBA Program) (2010‐ 2017) $350,000 $150,000 $250,000 Downpayment & Closing cost assistance for first time homebuyers Larimer Home Improvement Program (2010 – 2017) $562,721 Emergency repair & rehab program for low‐income home owners. CARE Housing Provincetowne (2010) $250,000 $552,700 Construction of 85 units of affordable housing (Fee waiver was a result of FCHA .001 ownership interest) Habitat – Rigden Farm (2011) $82,500 Land acquisition cost for construction of 3 homes Habitat – Avondale (2013) $605,000 $40,000 Land acquisition and water tap fees to construct 10 homes 2010-2017 AFFORDABLE HOUSING FUNDING HISTORY ATTACHMENT 2 Habitat – Harmony (2016‐2017) $282,953 $500,000 $97,047 Land acquisition and water tap fees to construct 18 homes Neighbor to Neighbor (2013‐2017) $203,832 Energy efficiency upgrades and repairs across multiple properties Northern Hotel (2016‐2017) $675,000 Rehabilitation of 47 units of affordable senior housing DMA Plaza (2017 $512,516 $487,487 Rehabilitation of 110 units of affordable senior housing TOTAL: $5,649,942 $6,554,998 $2,955,956 $1,291,408 $16,452,304 ATTACHMENT 3 July 9,2019 Council Priorities on Housing & Mobile Home Parks Sue Beck-Ferkiss & Tom Leeson ATTACHMENT 4 Work Session Objectives 2 1. Overview of City Affordable Housing Policy 2. Clarify Council priorities regarding: • Affordable and Achievable Housing Strategies • Mobile Home Park Preservation and Resident Protections 3. Council Feedback and Points of Emphasis Strategic Alignment 3 City Plan & SSD Strategic Plan City Strategic Plan Neighborhood Livability & Social Health 1.1 Affordable Housing Strategic Plan City Plan Policies • Supply of Attainable Housing • Affordable Housing • Land Supply • Integration and Distribution • Permanent Supply • Programs & Incentives • Prevent Displacement • Mitigate Displacement Impacts 4 Problem We’re Trying to Solve 5 Key Trends: • Fort Collins is creating more jobs than housing units • Wages are not keeping pace with rent & home prices • Housing capacity is insufficient to meet long-term demand Median Home Price Median Income of a Family of 4 Median Income of All Households 6 Housing Affordability Along the Income Spectrum AMI 0% Below 80% AMI is City’s Definition of Affordable Housing 80% $68K/yr 100% 200% $85K/yr 120% $102K/yr $415K Market Housing Purchase Price $320K Goal is defined by AHSP (188-228 units/year) Fewer attainable options are available to the “Missing Middle” Goal is harder to define & City influence may be outweighed by market forces City’s Role: ü Policy ü Funding ü Facilitating ü Regulating No City Role in: X Building X Developing 7 City’s Role in Affordable Housing City’s Plans and Goals 8 Units Overarching Goal = 10% at Buildout Pillars of Current Affordable Housing Strategic Plan Expand Rental Inventory Preserve Existing Inventory Support Home Ownership Housing with Services for Special Needs Incentives, Funding Sources and Partnerships 9 Current Resources 10 Funding Programs Incentives 1. Home Buyer Assistance 2. Land Bank 3. Provincetowne 1. Density Bonus 2. Impact Fee Delay 3. Priority Processing 4. Fee waivers (limited) 1. Affordable Housing Capital Fund 2. CDBG/HOME (HUD) 3. Affordable Housing Fund (GF) 4. Metro Districts 5. URA Housing Policy Cycle Affordable Housing Strategic Plan 2010 2015 2020 AH Redevelopment Displacement Mitigations Strategy 2013 Social Sustainability Gaps Analysis 2014 Housing Affordability Policy Study 2014 Land Bank Property Disposition Study 2015 11 AHRDMS Recommendations 12 Recommendation Status Actions Continue to Expand Designated AH AH constructed and preserved Relocation Assistance When Government funded Continues on a case by case basis Manufactured Home Park Zoning District Planning and Zoning Board did not support Program to Invest in Infrastructure Budget offer not funded Require One Year Notice for Closure Monitoring statewide efforts to expand required notice from 6 months Require Owners/Developers to Pay Relocation Assistance Negotiated on a case by case basis Build Resident Capacity to Own Park Facilitated Conversations Preserving Manufactured Housing Priority Opportunities: • Policy - City Plan Liv 6.8 & 6.9 • Explore Possible Options including: • Increase Time for Notice of Redevelopment • Resident Rights Regulations • New Zone District • Rights of First Refusal 13 Housing Affordability Policy Study HAPS Recommendations Status Actions Tiered Fees In progress Expand Fee Waivers Done Public financing based incentive policy Done – example Metro Districts AH Agreements/easements Budget offer not funded Reduce minimum house size Done Disposition Strategy for Land Bank Done – one developed, one in progress Help remedy state level Construction Defects Litigation issue Done 14 Additional Options Considered in HAPS 1. Inclusionary Housing Ordinance 2. Codified Incentive Zoning • Not Needed if Use Negotiation for Permissive Uses 3. New Fees or Other Revenue Source • Political and Economic Challenges • Probably Most Impactful if Challenges Overcome 15 Progress Since 2015 Constructed 370 new units built +180 under construction Preserved 594 renovated rental units Home Ownership Habitat Homes Land Bank Project 16 17 20 47 126 72 North Fort Collins 18 96 285 116 60 110 16 South Fort Collins Increase Housing & Services for Special Needs Populations Formerly Homeless Individuals - Permanent Supportive Housing: • Redtail Ponds • Mason Place (under development) Seniors - Age Restricted & Income Restricted: • Affinity • Legacy Senior Residences • Oakridge Crossing • Volunteers of America (under development) Families Escaping Homelessness - Transitional Housing: • Sherwood Group Home (under renovation) 19 Support Homeownership 20 Homebuyers Assistance Low Income Home Improvement Program Habitat Homeownership Provincetown Condominiums Proposed Land Bank Developments Metro Districts Incentives, Funding Sources and Partnerships 21 INCREASE REVENUE DECREASE COSTS MAXIMIZE PARTNERSHIPS 1. City Plan Update 2. Development Based Incentives 1. Water District Collaboration 2. Employers 3. Community Land Trusts 1. Direct Capital Assistance 2. Metro Districts 3. New Fee Study 2018 Community Engagement 22 April 25 City Works 101 April 11 & 20 Coffee Chats May 2 Community Issues Forum Stakeholders Open House April 26 Neighborhood Connections April 12 July 10 Board of Realtors Developers & Lenders Focus Group May 21 Affordable Housing Board October 11 23 City Council Internal Housing Task Force Affordable Housing Executive Team Regional Work Teams • No Co Housing Now • County Strategic Work Group CDPHE Health Disparities Grant Program City B & Cs Developers, Board of Realtors, Major Employers Exploring additional partnership • Community Land Trust? Partners in Effort Council Direction Sought 24 1. Overview of City Affordable Housing Policy 2. Clarify Council priorities regarding: • Affordable and Achievable Housing Strategies • Mobile Home Park Preservation and Resident Protections 3. Council Feedback and Points of Emphasis Continue Consider Affordable Housing • Purchase & Deed restrictions • Local & Regional Partnerships • Homebuyer Assistance • Land Bank Program • Development Based Incentives • New Affordable Housing Fee Study • Community Land Trust Partnership • Inclusionary Zoning • Other Best Practices Mobile Homes • Develop Policies/Programs to Preserve mobile home parks • Enhance Resident Protections • Increase Time for Notice of Redevelopment • New Zone District • Rights of First Refusal