Loading...
HomeMy WebLinkAbout2020-09-24 Housing & Human Services PACKET Ashland Housing and Human Services Commission Regular Meeting Agenda September 24,2020:4:00–7:00pm Siskiyou Room of the Community Development Building 51 Winburn Way 1.(4:00)Approval of Minutes (5 min) July 23, 2020 2.(4:05) Public Forum (5 min) 3.(4:10)Affordable Housing Trust Fund Review and Recommendation(60min) Linda Reid, Housing Program Specialist 4.(5:10)Affordable Housing Program Revisions Review and Recommendation(60 min) Brandon Goldman, Senior Planner andLinda Reid, Housing Program Specialist 5.(6:10)Cohoots Program Update(10min) Rich Rohde, Commission Chair 6.(6:20)Utility Assistance Recommendation Updates (10 min) Linda Reid, Housing Program Specialist 7.(6:30)General Announcements and Updates (20min) 8.(6:50)Upcoming Eventsand Meetings Next Housing Commission Reglar Meeting September 24, 2020 9.(7:00)Adjournment Written testimony from the public will be acceptedviaemail tolinda.reid@ashland.or.us for both general public forum items and agenda items. Writtentestimoniessubmitted by the public by10:00a.m. on Wednesdaywill beavailable to the Housing andHuman Services Commission before themeeting and will be included in the meetingsminutes. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the Community Development office at 541-488-5305 (TTY phone is 1-800-735-2900). Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to the Ashland Housing and Human Services Commission DraftMinutes July 23, 2020 Call to Order Commission Chair Rohdecalled the meeting to order at 4:00pm in the Siskiyou Room at the Community Development and Engineering Offices located at 51 Winburn Way, Ashland, Oregon, 97520. Commissioners Present:Council Liaison Rich RohdeDennis Slattery-ABS Echo Fields Gina DuquenneSOU Liaison Tom GundersonNone appointed at this time Heidi Parker Chris MannStaff Present: Jackie BachmanLinda Reid, Housing Program Specialist Linda ReppondBrandon Goldman, Senior Planner Commissioners Not In Attendance: Erin Crowley Approval of Minutes CommissionersJackie Bachman /Gina Duquenne m/s to approve the minutes ofMay 28, 2020. Voice Vote:All Ayes. Motion passed Public Forum -None Affordable Housing Standards Land Use Ordinance Amendments Linda Reid and Brandon Goldman presentedthe proposed changes for the Ordinance. Commission discussion: Heidi concerned that the new rental at 60% AMI is too high Rich likes the Development Timing proposed amendment as he feels it promotes developers to partner with low income or non-profit projects. Echo does not like the Housing Distribution proposed amendment, feels it adds to the stigma. Jackie feels the opposite Gina feels she does not see that in Snowberry Heidi in regard to Term of Affordability, she is concerned about repairs needs after 30 years and how low income would handle that. Rich feels the longer time frame is a selling point forAffordability. Wants more feed back from loaning institutions about the longer time frame Heidi asks Brandon about an attachment on a bill of sale that city has the right of first refusal. Analysis of Impediments to Fair Housing Choice-Public Hearing Review by Linda Reid. Commissioners Heidi Parker / Echo Fields m/s to approve the 2020-2024 Analysis of Impediment to Fair Housing Choice presented by Linda Reid. Voice Vote: All Ayes. Motion passed COVID-19 Updates Speaker Dr Jim Shames(Jackson County Public Health Officer)answers questions about COVID come winter shelter timeand about testing for COVID in the homeless and elderly communities. Commission discusses any money procured for COVID and housing issues. Upcoming Eventsand Meetings Work Group for Hardesty property: Gina Duquenne, Linda Reppond Next Housing Commission Regular MeetingTBD Adjournment:Rich Rohdeadjourned the meeting at 5:50p.m. Respectfully submitted by Liz Hamilton Staff EvaluationAHTF To:Ashland Housingand Human ServicesCommission Title: Affordable Housing Trust Fund(AHTF)Award Revisited Date:September 24, 2020 Submitted by:Linda Reid, Housing Program Specialist th At a virtual meeting held on March 26, the Housing and Human Services Commission reviewed Affordable Housing Trust Fund applications and made a funding recommendation to forward to the Council. At that time whether and when Affordable Housing Trust funds would be awarded was thrown into question by the onset of the Coronavirus Pandemic. Since that time, the City has received additional funding to address the needs created by the pandemic and has been working with area non- profit and service providers to address those needs as they arise with the funding available. Consequently, the City was able to maintain the Affordable Housing Trust fund, utilizing only a small portion to address urgent needs. ResourceTotal Amount H&HSC Funds CommittedRemaining AvailableRecommendationBalance Affordable $216,986$110,000-OHRA$3,500-OHRA$211,986 Housing Trust $43,500-NWU$1,500-JxCo Fund The City of Ashland originallyreceivedthreeapplications for$216,986in competitively available Affordable Housing Trust Funds(AHTF).The City of Ashland Housingand Human Services Commissionhelda public hearing on March 26, 2020toreview the grant requestsand madea recommendation to forward to the City Councilfor consideration. Commissioners Echo Fields / Jackie Bachman m/s to recommend funding immediately OHRA, the above proposed\[$110,000\]amount with flexibility to direct those funds to match the emerging needs during this pandemic. Commission also recommends funding Neighbor-works Umpqua the above proposed amount \[$43,500\]. This item has come backbeforethe Commission to consider a revision to an earlier request and an additional request for funding. The original request from OHRA was with the expectation that the winter shelter program would continue in its current location. However,due to the need to practice social distancing to prevent the spread of the Coronavirus in congregate shelter settings OHRA has had to develop analternative winter shelter plan to ensure the safety of the shelter guests and the shelter staff.Due to thischange OHRA is resubmitting a funding request. This is a new request, not a request in addition to the original request.Similarly, Maslow Project is requesting funding to address the needs of the homeless youth population the they serve while continuing to practice social distancing and ensure the health and safety of those populations and their employees. Some or all of the non-congregate sheltering activities proposed by both OHRA and Maslow Project may be eligible to receive reimbursement through the Federal Emergency Management Agency (FEMA), but only if they are paid with City funds. Affordable Housing Trust funds would qualify for FEMA reimbursement, but CDBG funding would not because they are already a federal funding source and therefore would not be reimbursable by another federal funding source, in this instance, FEMA. Once the commission reviews the new information, staff would like the Commission to make a funding recommendation. Anyrecommendation,revised or not,will be forwarded to the Council. The City Councilis scheduled to review applicationsand hear recommendationson October 6,2020. Because new information is being provided, staff has notified both new and previous applicants of the Commission’s intention to revisit and potentially revise the original recommendation. All applications have been invited to speak to the commission in support of their proposals and to make the Commissioners aware of any changes to the original proposals. Original Proposals Received OrganizationProposed AHTF Resolution 2008-Consolidated Council Goals ProjectFunds 34 PreferencesPlan Goal and RequestedRank* Darrell Develop 1 unit$50,0004.1a-New High-Provision 5.Seek opportunities to Cottage of Affordable affordable of Affordable enable all citizens to Housing Housing targeted housing unitsHousingmeet basic needs Proposalto ownership 4.1f-Green 5.2Support and households Buildingpromote, through policy, earning 120% programs that make the AMI or below. city affordable to live in. Andone unit of 5.3Leverage market rate partnerships with non- housing.profit and private entities to build social equity programming. Neighborworks Short Term: A $43,5004.1c-Utilizing a High-Provision 5.Seek opportunities to Umpquaproposal to land trust modelof Affordable enable all citizens to build capacity Housingmeet basic needs 4.1h-Long-term and enhance, affordability5.3Leverage strengthenand 4.1i-Sponsored by partnerships with non- expand existing a non-profitprofit and private housing entities to build social programs.equity programming Long Term: Predevelopment costs for potential housing development. Options for Funding to $110,0004.1i-Sponsored by High-Addressing 5.Seek opportunities to Homeless continue a non-profitissues of enable all citizens to Residents of operating the homelessnessmeet basic needs Ashlandwinter shelter 5.2.aPursue affordable program and High-Services to housing opportunities, provide case Special Needs especially workforce management toPopulationshousing. Identify remove barriers specific incentives for and assist in developers to build more obtaining affordable housing. permanent 5.3Leverage housingpartnerships with non- profit and private entities to build social equity programming 5.4Encourage the ongoing effectiveness of the resource center. Revised/AdditionalFunding Requests OrganizationProposed ProjectAHTF Funds Requested OHRAWinter Shelter$190,223 Maslow ProjectEmergency Housing$30,000 Attachments Darrell Cottage Housing Proposal Maslow Project Proposal Neighbor Works Umpqua Proposal OHRA Revised proposal City of Ashland Housing Program Funding request FY2020-2021 General Information Please indicate if this activity seeks to prevent, prepare for and respond to issues created by the COVID-19 Pandemic: Yes, this activity is to prevent, prepare, and respond to health and safety issue related to COVID 19. Agency Name: Maslow Project Agency Address: PO BOX 999 City: Medford State: OR Zip: 97501 Application Contact Name: Mary Ferrell, Executive Director DUNS# 832252071 Email Address: Mary@maslowproject.com Phone Number: 541-621-7085 Project Name: Maslow Project COVID Response to Vulnerable Populations Project Location: City of Ashland 1. Project Eligibility The CDBG-CV funds allocated under the CARES Act may be used for a range of eligible activities that prevent and respond to the spread of infectious diseases such as the coronavirus disease 2019 (COVID-19). The proposed activities must meet one of the three National Objectives as required by CDBG regulation: Benefit low-and moderate income persons Aid in the prevention or elimination of slums or blight, and Meet an urgent need For Housing Trust Funds eligibility please refer to Section 3 of Resolution 2008-34 Indicate Project Type(s) that agency is applying for with an X: Emergency Shelter Operations Homeless Prevention X Emergency Shelter Case Management (essential Case Management (non-shelter based) X X services) 1 Rent/Utility Assistance Other Public Service Other Please Explain: 2. Project Overview Provide a short summary of the project and how the funding request will be used to support the project: Maslow Project is requesting $30,000 in grant funding from the city of Ashland to provide emergency shelter for homeless youth and their families in Ashland during the COVID 19 pandemic and the natural wildfire disaster. Maslow Project would use the funding for motel and campground fees. This would keep the most vulnerable youth and families off the street to keeps kids and families safe. These funds would help us take care of the most at risk families first, pay for the families to stay in hotels during the pandemic. These foundational, low-barrier services are stabilizing and are preventive in nature to prevent further crisis from occurring. Describe what services will be provided by the funds being requested (e.g. meals, case management, essential services, etc.). Include a description of the range of services: 1) Case Management & Advocacy 2) Navigation of community service agencies related to food, housing, health, employment, utility services and 3) Emergency Services: Crisis counseling, hotel and rental assistance, & food/essential supplies (hygiene & baby supplies) assistance. Describe what staffing will be provided by the funds being requested: Staffing includes: 1 Supervisor, 1 Case Manager, and 1 Family Advocate Total project budget: $_199,706_____ (Include Detailed Project Cost Form-Attached) Total City of Ashland funding request: $___30,000________ Source of City of Ashland Funding Requested (provide amount(s)) Affordable Housing Trust Funds $_30,000_ Community Development Block Grants $__________ Is the agency anticipating the submission of an application for EFSP - FEMA funds? Yes / No If applying for FEMA funds please describe how the applicant intends to conduct COVID-19 Risk assessments for programs: 3. Program Design 2 a. What Population will this project target and primarily serve ? Youth and families experiencing homelessness Very Low Income X Special Needs Seniors X (Homeless families with vulnerable Low income elderly ) Moderate income Covid-19 High Risk X Homeless X Other (explain) At Risk of Homelessness X b. Non-congregate shelter - If the project relates to providing emergency shelter specifically to reduce risk of COVID-19 transmission please provide the following: $500 deposit/ 3 rooms = b.1. Leasing costs (if any) $1500 3 (Secured)-$14,400 Emergency hotel shelters b.2 Number of hotel rooms to be secured (if any) for COVID or Wildfire $14,100 b.2.i Period of expected occupancy per hotel room (days) 180 days $27 per room b.2.ii Per night cost of Hotel Room (include taxes) b.2.iii Deep Cleaning Cost per room and cleaning interval b.3 Hotel(s) partnerships Is there a rental agreement for the number of rooms requested and the price per night for specific hotels? If so provide the hotel name, location, and number of rooms to be provided: b.3.i Hotel #1 (Written agreement in the process, verbal commitment made 3 rooms) Carlise Inn Garden Suites 637 E Main Street b.3.ii Hotel #2 Emergency Hotel shelters for COVID or Wildfire b.3.iii Hotel #3 b.4.iiii Additional Comments: c. Meals Program - If the project relates to providing meals for homeless individuals please provide the following: 3 c.1. Total Number of Meals provided 288 Meals c.2. Period of expected Meal program - Start Date / End Date Nov 1 to April 30 Delivery and - c.3. How will Meals be distributed services at our center $3.50 per person / per c.4. Total cost per Meal provided (single meal cost) meal e. Other-Please Explain: 6. Other Requirements a. Affirmatively Furthering Fair Housing: If the project assists the homeless clients with placement in permanent affordable housing, discuss how your agency will assist the clients by expanding fair housing choice outside concentrated areas of poverty: Community-based collaborations are at the heart of our service delivery model, enabling us to provide effective, comprehensive wrap-around support to homeless youth &families. We coordinate with over 40 local community agencies/organizations forming a continuum of care that addresses the full range of needs of our clients. Long-standing partnerships ensure wrap-around supports, coordinated care and, multiple access points, eliminating duplication of services, expediting the provision of basic needs and referrals and increasing linkages for our clients. As an identifier of homeless youth/families in the region we also participation in Jackson Co. Continuum of Care and Homeless Task Force, and activity participating in local coordination entry efforts (VI SPDAT & TAYSPDAT screening, entering in to service point, etc.) to ensure effective referrals and successful outcomes, continuously improve inter-agency relationships, coordinating resources, and reducing duplication of services. We provide financial assistance for rental deposits, rent, rental diversion, & utility payments to help our clients become and remain stably housed. Case management offers a coordinated service approach to meet clients they to stabilize and engage to: 1) identify and coordinating resources in the community; 2) housing navigating and applications; 3) working with landlords on rent deposits and application fees; & 4) navigate housing obstacles/eviction diversion. Has your agency received training in Fair Housing in the last year? Yes / No If Yes, please list date(s) of training and provider of training: Basics of the Fair Housing Act- Youtube Channel, every fall, last training, August 2020. Ongoing partnership and training with the Housing Authority of Jackson County. 4 DETAILED PROJECT COST FORM: Project Name: Maslow Project COVID Response to Vulnerable Populations Agency Name and Address: Contact Person: Mary Ferrell Maslow Project Contact Phone Number: 541-621-7085 PO BOX 999 Medford, OR. 97501 Contact Email: Mary@maslowproject.com Positions Salary Expenses REQUESTED Agency related to the funding Total Annual Support from Other FUNDING from Contribution request: Program Costs* Funding Sources City of Ashland Director Supervisors $51,000 $0 Case Managers Navigation Services $40,000 $0 Monitors Administrative Staff Family Advocate $35,000 $0 Employee Benefits: FICA at 7.65% $9,639 Other Fringe Benefits $16,821 Private Foundations: $50,000, Federal and State Grants:$60,000 & School District Contracts: $30,000, & Individual Donations: $12,460 $152,460 $152,460 Agency Expenses related to the funding request: Rent Utilities 5 Insurance $1,000 Providing kitchenette supplies, sheets, Program Supplies etc. $1,000 $1,000 for families in Emergency Food shelter $1,000 Office Supplies/Equipment Security Repair & Maintenance ($1,500 deposit + $14,400 for secured hotel) (emergency hotel Homeless Prevention stays-$14,100) = Assistance $30,000 $30,000 * Authorized by federal government to DeMinus of 10% Indirect Cost rate for Overhead which includes insurance, $15,246 $15,246 supplies, etc. Totals: $199,706 $152,460 $30,000 $17,246 To the best of my knowledge and belief, data in the proposal are true and correct, submission of the proposal has been duly authorized by the governing body, and the governing body has agreed to execute required certifications, statements of assurances and contracts if selected by City of Ashland to do so. 09/14/2020 Signature CEO/Chairperson/President/ Date 6 Coastal Housing Center Main Office 93781 Newport Ln. 605 SE Kane St. Coos Bay, OR 97420 Roseburg, OR 97470 Phone: 541-756-1000 Phone: 541-673-4909 1. Introduction Umpqua Community Development Corporation dba NeighborWorks Umpqua (NWU) is a non-profit community development corporation that serves Southern Oregon, with an emphasis on Coos, Curry, Douglas, Jackson, and Josephine Countries. NWU was founded in 1991 and is a rural-focused housing and community development corporation committed to promoting opportunity for all. We do this by providing quality housing, community development, property management, financial services, education, and advocacy in order to attain economic, social and environmental sustainability, and equity. We are members of the NeighborWorks America and Rural LISC networks, allowing us access to industry expertise, peer sharing, and national funding sources. NWU is a certified Community Housing Development Organization (CHDO) for the State of Oregon’s HOME program demonstrating our dedication to our mission, our board oversight, and economic justice for all. As a regional community development organization, NWU is unique in Southern Oregon. Using housing that is affordable as a platform, we engage in comprehensive community development. We work to build assets and financial opportunity for individuals, facilitate community based economic development, and expand housing options, for both rental and for ownership. The way our programs are designed and delivered shifts across the five-county service district, as we strive to meet the diverse needs of each community. NWU engages with individuals and communities in the region to improve the quality of life for residents and ensure that Southern Oregon has opportunities for everyone to thrive. In 2016, NWU adopted a new Strategic Plan to guide our efforts into the 2020s. The plan emphasized growth and expansion and taking on a deeper and more meaningful role in the region. In addition to unit production goals, NWU is focused on developing new partnerships and methodologies to have a more meaningful impact. This application to the City of Ashland Affordable Housing Trust Fund (AHTF) is a result of those efforts. We propose to use AHTF support to strengthen the organization’s capacity to manage and support Community Land Trust (CLT) style homes and expand the CLT in Ashland to allow more people to have access to homeownership that is permanently affordable. Equal Housing Opportunity and Equal Housing www.nwumpqua.org| CCB# 15199 | NMLS# 255912 Coastal Housing Center Main Office 93781 Newport Ln. 605 SE Kane St. Coos Bay, OR 97420 Roseburg, OR 97470 Phone: 541-756-1000 Phone: 541-673-4909 2. Project Description CLT ownership has become an increasingly common way for communities to address the shortage of affordable housing. CLT units are permanently affordable; while the homeowner owns the unit, and land underneath is held and stewarded by a mission- oriented entity. This entity stewards the land and ensure ongoing affordability and program management. Given the high costs of homes in Ashland, the CLT model is well suited for the community. NWU proposes a three-part project to strengthening our capacity to steward CLT units in Ashland, modernize existing CLT stewardship systems, and expand the CLT model to provide additional affordable housing. This project will help improve the long-term viability of 36 existing CLT units in Ashland, providing housing to 36 low-moderate income families, and plan for the development of up to an additional 30 CLT units starting in 2021. These new units would be targeted for families earning less than 120% of Area Median Income (AMI), with at least half of those targeted at families making less than 80% of the AMI. 66 permanently affordable CLT units in Ashland will be supported via this effort. NWU currently stewards 30 CLT units in Ashland at the Rice Park, Siskiyou, and Terrace communities. These communities provide affordable homeownership options for low-moderate income people who are looking to live in Ashland but are priced out of the market. NWU became the steward of these units in 2013 when Rogue Valley CDC decided to cease operations. Since their initial creation and transfer, the CLT sector has continually improved and refined the organizational structure and systems needed to sustainably steward CLT communities. Via our membership in the Grounded Solutions Network and Northwest Community Land Trust Coalition, we have a better understanding of current best practices, and seek to employ that knowledge for the CLTs in Ashland. The first part of our project is the modernization of these existing CLT communities’ organizational structure. In the community meetings we held with each community in late 2019 and early 2020, we heard clearly that residents are willing to have additional rules and governance in order to better organize themselves and manage their communities. While each community is different, in general this modernization would consist of a conversion to transfer of the current land leases to the Grounded Solutions Model Land Lease, and an assessment and plan to create a formal resident lead group at each community, like a Homeowners Association. NWU seeks AHTF backing to support our efforts working with the communities to plan and implement Equal Housing Opportunity and Equal Housing www.nwumpqua.org| CCB# 15199 | NMLS# 255912 Coastal Housing Center Main Office 93781 Newport Ln. 605 SE Kane St. Coos Bay, OR 97420 Roseburg, OR 97470 Phone: 541-756-1000 Phone: 541-673-4909 these transitions. We would seek out professional technical assistance to help NWU with the technical and planning elements to ensure strength and success; AHTF monies would allow NWU to access high quality technical assistance or consulting services. Transitioning to a new lease and establishing an HOA will require some attorney fees as well, to ensure the transfer adhere to all applicable laws. The second part of the project in late 2019, NWU was approached by ACCESS to see if NWU would be interested is becoming the steward of the 6 CLT homes they have in Ashland, which they inherited from the Ashland Community Land Trust. NWU and ACCESS agreed in principle that CLT stewardship is a better fit with NWU, and given our existing presence in Ashland, it made sense to pursue. The barrier to moving forward has been lack of resources for due diligence or other transfer expenses. Like the CLT units NWU currently stewards, we would transfer these units to a new land lease; as the 6 ACCESS units are scattered site, it is not anticipated that a HOA will be formed. Expanding the NWU CLT portfolio would improve our ability to sustainably steward CLT units in Ashland. The third part of the project includes the planning and pre-development activities to develop a new CLT project in Ashland. This project would be up to 30 CLT units. NWU’s goal will be to develop a project that will be ready for the Oregon Housing and Community Services Local Innovation Fast Track (LIFT) Homeownership application cycle in early 2021. NWU has identified several parcels that may be viable options. This project may be single site, scattered sites, or a mix, depending on available land. The AHFT would support NWU dedicating staff time to this project. NWU would fund the direct pre-development expenses from our revolving loan fund from Oregon Community Foundation’s Oregon Impact Fund. Assuming a LIFT award in 2021, construction could begin by late 2021. These units would largely be targeted to families making 80% or less of the AMI. This project will help meet a need called for in the Ashland Housing Needs Analysis for homeownership units for families making below $75,000 per year. These units would be priced in the $240,000-$280,000 range. NWU emphasizes efficient land use and density, preservation of natural environments and energy efficient design and construction in all our developments. This project would begin in July of 2020, or once the AHTF award is made. Parts One and Two can begin immediately after an award and would be complete by the end of 2020. These parts will be led by NWU’s Asset Manager, Lynn Williams. Part 3 will likewise begin in July 2020 and will culminate in early 2021 with an application to the LIFT for Homeownership Program. This part will be led by NWU’s Director or Acquisitions and Development, Brian Shelton-Kelley. NWU is a host organization for the California Coalition for Rural Housing’s Internship Program, a program that seeks Equal Housing Opportunity and Equal Housing www.nwumpqua.org| CCB# 15199 | NMLS# 255912 Coastal Housing Center Main Office 93781 Newport Ln. 605 SE Kane St. Coos Bay, OR 97420 Roseburg, OR 97470 Phone: 541-756-1000 Phone: 541-673-4909 to place recent college graduates with diverse backgrounds into affordable housing and community development with rural housing organizations to increase the diversity in rural community development. Our 2020 intern via this program will assist on all the project parts. This project will serve several existing locations in Ashland. Rice Park: 15 homes at the intersection of Almeda Drive and Perozzi Street. Siskiyou: 9 homes located at the intersection of Siskiyou Boulevard and Faith Avenue Terrace: 6 homes located on Siskiyou Boulevard off of Park Street. ACCESS Portfolio: 3 townhomes located at 114, 120, and 126 Crocker Street. 1 single family home located at 311 Hersey Street. 1 duplex with two units located at 37 and 39 Garfield Street. The new project location is to be determined. NWU has looked at site on Nevada Street and Clay Street. The goal will be to have a site or site under site control, typically with an option to purchase, by the end of 2020. 3. Project Experience NWU has nearly 30 years of experience with affordable housing development, production, and management. We have developed or acquired over 600 units of rental housing, built or rehabbed more than 100 single family homes, and have assisted thousands of existing or prospective homeowners to buy and or retain their home through counseling, education, lending, foreclosure prevention, and home repair services. NWU senior staff have 90 years combined experience in affordable housing issues. Our equity work is a strong driver towards creating new and innovative ways of developing new housing design systems. NWU has a staff of approximately 60 full time employees, and an annual operating budget of $5 million. Our diverse Board of Directors provides leadership, strategic rd oversight, and governance. As a CHDO, 1/3 of our Board members represent low- income communities. We have Board members representing the many geographies and communities of our service area, including Jackson County. NWU is well linked to the CLT community of practice. We are members in the Grounded Solutions Network and Northwest Community Land Trust Coalition. We will be hosting the NWCLTC annual gathering in Ashland in May of 2020. We have solid Equal Housing Opportunity and Equal Housing www.nwumpqua.org| CCB# 15199 | NMLS# 255912 Coastal Housing Center Main Office 93781 Newport Ln. 605 SE Kane St. Coos Bay, OR 97420 Roseburg, OR 97470 Phone: 541-756-1000 Phone: 541-673-4909 relationships with CLT leaders like Proud Ground in Portland and Champlain Housing Trust in Vermont. NWU currently has over 200 units in active development, and more in the development pipeline. Highlights include, Deer Creek Village, a 68-unit affordable rental project under construction in Roseburg ($17.5 million total development cost), a 5-unit Mutual Self Help build in Myrtle Creek, and a 20 home Mutual Self Help build planned for Winston. In 2019, NWU was awarded a multiyear capacity building grant from Meyer Memorial Trust to support our efforts to jumpstart housing development on the South Coast. Expanding our housing development activities to Ashland using the CLT model is a natural progression for NWU, and we can use our organizational experience to ensure a successful project. In additional to NWU, the other partners involved in the project will be ACCESS, Inc. and the residents of the CLTs. Resident engagement and involvement will be critical for a successful outcome and NWU will devote the time needed to meaningfully engage with residents. 4. Funding Request The total project cost is $96,500. NWU is requesting $43,500 from the AHTF to support this project. This will be matched by $53,000 of applicant cash ($50,000) or in-kind ($3,000) services. The AHTF request is 48% of the project budget. A detailed budget in included. As existing CLTs have limited ability to pay back loans or other forms of investments with repayment terms, local grant sources like the AHTF are crucial resources to support this type of capacity building project. Supporting our pre- development work for a new project will help leverage millions of development capital for affordable housing production in Ashland via the new CLT project. Equal Housing Opportunity and Equal Housing www.nwumpqua.org| CCB# 15199 | NMLS# 255912 Match Source NWU In-kind (SalesForce Set up and Programming)NWU Oregon Impact Fund Revolving Loan Fund ------- 3,000.003,000.005,000.005,000.005,000.00 10,000.0015,000.0010,000.0050,000.0050,000.0053,000.00 Match $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0 ------- 7,500.005,000.003,500.007,500.007,500.00 10,000.0043,500.00 10,000.0036,000.00 Ashland AHFT $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 7,500.005,000.003,500.003,000.007,500.005,000.005,000.005,000.00 96,500.00 10,000.0010,000.0039,000.0010,000.0015,000.0010,000.0050,000.0057,500.00 Proposed Budget $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Project Item CLT Management Strengthening Capacity Building/Project Management NWU Community Land Trust Modernization Technical Assistance / Consulting Legal/Professional Fees Access CLT Integration Due Diligence and Transfer Expenses Legal/Professional Fees Set Up and Integration Total CLT Management Capacity Building CLT Expansion and Development New CLT Pre Development Capacity Building / Project Management Pre Development Activities Site Control Expenses (Option/Earnest Money) Environmental Assessment Wetlands Assessment/Mapping Site Planning/Civil Engineering Land Use Approvals / Entitlements Legal Pre Development Activities Total Total CLT Expansion and Development Total Options for Helping Residentsof Ashland Proposal to Ashland Affordable Housing Trust Fund September 4, 2020 OHRA Winter Shelter This proposalto theAffordable Housing Trust Fundis for funds to operatethe OHRA Winter Sheltersafely and incompliancewith all requirements and precautionsdictatedby COVID-19. The pandemic requiresus to move the shelter to a larger facility where we can assure social distancing including proper spacing and barriers between beds. Precautionsalso include cleaning every other day and providing staff and guestswith personal protective equipment. A concern for safety hasalso led us to discontinue our volunteer program and to hire paid Overnight Hosts.Funds requested in this proposal will help usensure that our program meets all shelter COVID-19 safety requirementsand precautions. Options for Helping Residents of Ashland (OHRA) will manage the OHRA Winter Shelter (OWS) which will houseup to 40 individuals per night from November 1, 2020 to March 31, 2021.Guestswill be selected based on a combination of their vulnerability to COVID-19 using CDC criteria and their overall vulnerability based on the Service Prioritization Decision Assistance Tool(SPDAT).Once a person has beenaccepted they will have a bed guaranteed for the rest of the shelter season unless they voluntarily leave or are excluded for cause.Breakfast and dinner will be provided in prepackaged meals to be preparedby external volunteer groups. The shelter site will be the Calvin Hall of the Ashland FirstPresbyterian Church,1601 Siskiyou Boulevard.Calvin Hall is approximately 7,700 sq.ft. with approximately 7,000 sq.ft of usable square footage. The building has fourrestrooms, a commercial kitchen, large open areas and 5 classrooms of approximately 250 sq.ft.each. The facility will be rented in the months of October and April to allow for set up,beak down and cleaning. The proposed rent has been negotiated at a rate less that the estimated commercial rate (perattached Letterof Opinion). The hallwill be arranged withbeds spaced six feet apart and separated by temporary barriers.CDC guidelineswill be followed in all operationsto ensure minimum risk of COVID- 19transmission. The facility will be open from6:00 pm to 9:00 am each night. Because COVID-19 prevents us from using volunteers, the shelter willbe staffed by two paid overnighthostsand a fire watch monitor. In addition, aResourceNavigator will meet with guests in the evening and morning to help themaccessresourcesneeded to stabilize theirlives. The facility will be cleaned by a commercial cleaningservice every other dayand deep cleaned at the end of shelterseason. In addition to operating the OHRA Winter Shelter, OHRA willprovide emergency motel rooms to guests who been exposedCOVID-19 but have not been diagnosed with the disease or to guests who have another medical reason to be isolated. These guests will be housed for as long as is medically necessary. The Affordable Housing Trust Fund will fund COVID-19 related expenses including the overnight hosts, rent, utilities, set-up and breakdown costs, personal protective equipment and boxes for individual meals. All other operational costs will be covered through a contract with ACCESS. 1 Budget OHRA Affordable Housing Trust Fund Proposal Salaries 2.8 FTE Overnight Hosts @ $15.93/hr.x 5 months $37,346 SUBTOTAL$37,346 Employee Benefits: FICA at 7.65%$2,857 Other Fringe Benefits $878 SUBTOTAL$3,735 Operating Costs Rent (Winter Shelter)$42,000 Rent (Motel Rooms)$45,300 Utilities$3,745 Program Supplies$7,716 Repair & Maintenance (shelter)$25,000 Repair & Maintenance (motel rooms)$5,000 SUBTOTAL$128,761 Total Salaries, Benefits and Expenses$169,842 Overhead @ 12%$20,381 TOTAL BUDGET$190,223 BUDGET NARRATIVE1 RentWinter Shelter):Rent for Calvin Hall, 7 months @ $6,000/month(negotiated rate). Rent (Motel Rooms):Rent for motel rooms, average 5 rooms per night for 151 days at $60/night. Utilities: Electricity, gas, water and garbage for Calvin Hall(per estimate by church). Program Supplies:Cleaning supplies, personnel protective equipment and boxes for prepackaged meals to be supplied by volunteers(2boxes/guest/day x 40 guests x 151 days x $0.20 each (per research on retail costs). Repair and Maintenance (Shelter):Set up costs andcost of regular cleaning of Calvin Hallto CDC standards by a commercial cleaner. Repair andMaintenance (Motel Rooms):Cost of deep cleaning as required by motel management. 2 City of Ashland Housing Program Funding request FY2020-2021 General Information Please indicate if this activity seeks to prevent, prepare forand respondtoissuescreatedby theCOVID-19 Pandemic: Agency Name: OptionsforHomelessResidentsofAshlanddbaOptionsforHelpingResidentsof Ashland. Agency Address:POBox 1133 City:Ashland State: OR Zip: 97520 Application ContactName: MichelleArellano,ExecutiveDirector DUNS#067939147 EmailAddress: Phone Number: 541-625-4055 executivedirector@helpingashland.org Project Name: OHRAWinterShelter Project Location: 1601SiskiyouBoulevard,Ashland,OR97520 1. ProjectEligibility The CDBG-CV funds allocated under the CARES Act may be used for a range of eligible activities that prevent and respond to the spread of infectious diseases such as the coronavirus disease 2019 (COVID-19). The proposed activities must meet one of the three National Objectives as required by CDBG regulation: Benefit low-and moderate income persons Aid in the prevention or elimination of slums or blight, and Meet an urgent need For Housing Trust Fundseligibilityplease refer to Section3 of Resolution 2008-34 Indicate Project Type(s) thatagencyisapplyingfor withan X: Emergency ShelterOperationsHomeless Prevention X Emergency ShelterCase Management (essentialCase Management(non-shelter based) X services) Rent/Utility Assistance Other Public Service Other Please Explain: 1 2. Project Overview Provide a short summary oftheprojectand howthe funding request will be used tosupportthe project: OptionsforHelpingResidentsofAshland(OHRA)willmanagetheOHRAWinterShelter (OWS)whichwillhouseupto40individualspernightfromNovember1,2020toMarch31, 2021inamannerthatcomplieswithallprecautionsandrequirementsnecessaryto minimizetheriskofCOVID-19transmission.Motelroomswillbeprovidedtoguestswho needtoself-quarantinebecauseofCOVID-19exposureorillnesssuchastheflu. Describewhat services will beprovidedbythe fundsbeing requested (e.g.meals,case management, essential services, etc.). Include a description of the range of services: OvernightwinterhousinginasafeenvironmentthatminimizesriskofCOVID-19 transmission.Casemanagementandmealswillbeprovidedthroughotherfundingsources orvolunteeractivity. Describewhat staffing willbe providedby thefunds being requested: Two(2)overnighthostssevennightsperweek(2.8FTE). Total projectbudget: $398,951 (IncludeDetailed Project Cost Form-Attached) Total City of Ashland funding request: $190,223 Source of CityofAshland Funding Requested (provide amount(s)) Affordable Housing Trust Funds $190,223 Community Development Block Grants $0 Is the agency anticipating the submission of an application for EFSP - FEMA funds? Yes / No If applying for FEMA funds pleasedescribehow the applicant intends to conduct COVID-19 Risk assessments for programs: 2 3. Program Design a.What Population willthisproject target and primarilyserve? Very Low IncomeSpecial Needs Low incomeSeniors Moderate income Covid-19 High Risk Homeless XX Other (explain) At Riskof Homelessness b. Non-congregate shelter - If the project relatestoproviding emergencyshelterspecifically to reducerisk of COVID-19 transmissionpleaseprovide the following: b.1. Leasing costs (ifany) b.2Numberof hotel rooms to besecured (if any) b.2.iPeriod ofexpectedoccupancyper hotel room (days) Seenarrativebelow b.2.ii Pernightcost ofHotel Room (include taxes) b.2.iii Deep Cleaning Costper room andcleaninginterval OHRAwillrentmotelroomstohouseguestswhoeitherhavebeenexposedtoCOVID-19but havenottestedpositiveorthosewhoexhibitsignsofillnesssuchasfluandneedtobe quarantined.ShelterguestswhotestpositiveforCOVID-19willbetransferredtoacounty programfortheircare. Thelengthofstaywillvarydependingontheseverityoftheperson’sillnessortheoutcome ofsubsequentCOVID-19testsinthecaseofapersonwhohavebeenexposed. Weareprojectinganaverageoffiveroomspernightatacostof$60/nightandacostof $5,000forcleaningofroomsattheendofeachstay. b.3Hotel(s) partnerships Is there a rental agreement for the number of rooms requested and the price per night for specific hotels? If so provide the hotel name, location, andnumber of rooms to beprovided: b.3.i Hotel #1 NOTAPPLICABLE b.3.iiHotel #2 b.3.iii Hotel #3 3 b.4.iiii Additional Comments: c. Meals Program - If the project relates to providing meals for homeless individuals please provide the following: c.1. Total Number of Meals provided c.2. Period of expected Meal program - Start Date / End Date c.3. How will Meals be distributed c.4. Total cost per Meal provided (single meal cost) e. Other-Please Explain: Allmealswillbepreparedanddonatedbycommunityvolunteer groups.OHRA’sonlycostwillbetheindividualdisposableboxes forthemeals. 6. Other Requirements a. Affirmatively Furthering FairHousing: If the project assists the homeless clients with placement in permanent affordable housing, discuss how your agency will assist the clients by expanding fair housing choice outside concentrated areas of poverty: ResourceNavigatorsassistguestsinfindingpermanenthousingthroughapplicationforHUD vouchers,Section8orotherbenefitsprograms.Incaseswhereguestshaveincomewehelp themfindaccommodationsthroughthecommercialmarket. Has your agency received training in Fair Housing in the last year? Yes / No If Yes, please list date(s) of training and provider of training: SeniorDirectorofProgramServicesattendedtrainingin2019. 4 DETAILEDPROJECTCOSTFORM: ProjectName:OHRAWinterShelter AgencyNameandAddress:ContactPerson:MichelleArellano OptionsforHomelessResidentsofAshlanddba ContactPhoneNumber:541-625-4055 OptionsforHelpingResidentsofAshland ContactEmail: POBox1133 executivedirector@helpingashland.org Ashland,OR97520 REQUESTED Total Annual Support from Agency FUNDING Program Other Funding Contribution from City of Costs*Sources(“ Match”) Ashland Salaries Director $26,880$26,880$0$26,880 Supervisors $37,500$37,500$0$37,500 Case Managers $64,460$64,460$0$64,460 Monitors $37,346$0$37,346$0 Administrative Staff $11,000$11,000$0$11,000 SUBTOTAL $177,186$139,840$37,346$139,840 Employee Benefits: FICA at 7.65% $13,555$10,698$2,857$10,698 Other Fringe Benefits $11,664$10,786$878$10,786 SUBTOTAL $25,219$21,484$3,735$21,484 Agency Expenses related to the funding request: Rent (Winter Shelter) $42,000$0$42,000$0 Rent (Motel Rooms) $45,300$0$45,300$0 Utilities $3,745$0$3,745$0 Insurance $1,500$1,500$1,500 Program Supplies $7,716$0$7,716$0 Office Supplies/Equipment $3,000$3,000$3,000 Security $20,540$20,540$20,540 Repair & Maintenance $25,000$0$25,000$0 (Shelter) Repair & Maintenance $5,000$0$5,000$0 (Motel Rooms) Homeless Prevention $0$0$0 Assistance SUBTOTAL $153,801$25,040$128,761$25,040 Total Salaries, Benefits $356,206$186,364$169,842$186,364 and Expenses Overhead @ 12%$42,745$22,364$20,381$22,364 TOTAL BUDGET $398,951$208,728$190,223$208,728 5 Tothebestofmyknowledgeandbelief,dataintheproposalaretrueandcorrect,submissionoftheproposal hasbeendulyauthorizedbythegoverningbody,andthegoverningbodyhasagreedtoexecuterequired certifications,statementsofassurancesandcontractsifselectedbyCityofAshlandtodoso. ________________________________________September8,2020 SignatureCEO/Chairperson/President Date 6 Memo DATE:9/24/2020 TO:Ashland Housing and Human Services Commission FROM:Brandon Goldman, Senior Planner Linda Reid, Housing Program Specialist RE:Affordable Housing Standards Land Use Ordinance Amendments Beginning in 2018,Planning staff began the process of evaluatingthe affordable housing program. The primary goals of the evaluation wereto improve administrative efficiency ofthe affordable housing program for the many entities involved in Ashland’s Affordable Housing Program. These entities include homeowners, homebuyers, members of the development community and real-estate professionals. The changes proposed address specific concerns raised over the last several years from the wide range of entities involved in the affordable housing process. The changesproposed havethe overarching goal of balancing long-term affordability while allowing a reasonable rate of return for homeowners and developers.Several revisions aim to increase the effectiveness andefficiency of the program’sadministration, and several changes are proposedto address regulatory barriers or to help simplify existing processes. All of the proposed changes should help to make the program more readily understood by affordable housingand private market developers, as well as to increase the coordination between affordable and private market developers. Additionally, should the changes be adopted,the futuretransfer of homes to participating ownership householdswill be easier whileprovidinga more predictable return on investment. As part of the process, staff undertook a review of housing affordability program best practices and evaluated a range of options. The Planning Commission held a study session to review the identified issuesonMarch 10, 2020,the Housing and Human Services Commission held a meeting on July 23, 2020and the City Council held a Study Session on July 20, 2020. Through the Housing Program and Affordable Housing Standardsevaluation process staff identified a number of changes beingconsidered for resolution2006-13.As the Affordable Housing Program resolution also referencesland use code requirements, once the land use standards are finalized itwillbe necessary to amend the resolution for consistency. Amendments toResolution 2006-13 will be prepared and presented to the City Council after adoption of the land use amendments currently proposed. Lastly, staff is taking thisopportunityto address inconstancies in the land use ordinance and to explore additionalchanges based on feedback from affordable housing and market rate developers regarding barriers to developmentof affordable housing. DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Staff presented thepotential revisions to the Planning Commission, the Housing Commission and the City Council (at the meeting dates listed above) as well as to group of private market and affordable th housing developers, and real-estateprofessionals at two stakeholder meetings held on August 11and th August 14to gain feedback.The input provided at these stakeholder meetings is summarized in a separate memo entitled “Affordable Housing Standards –Stakeholder meeting “. Based on the feedback from the elected and appointed officials and from the development and real- estate communities, staff made additional changes to thethose which were originally presented. The changes outlined below will provide a means of simplifying the affordable housing program to be more readily understood by affordable housing developers and owners of affordable housing units. The following provides a summary of potential revisions to the Affordable Housing Standards within Ashland’s Land Use Ordinance that should be considered in order to address changes in market conditions,correctinconsistencies in the land use code, facilitate coordination between market rate developers and affordable housing providers, and implement housing program adjustments to better enablelow-and moderate-income families to afford quality housing. Summary of PotentialRevisions: Change the method by which the maximum sale price is calculated for ownership units within the Affordable Housing Program.Staff is suggesting afixed rate formula calculation for establishing the maximum resale price that increases at a rate of 1.5% annually.The current variable calculation method which incorporates lending interest rates, taxes, and homeowner association (HOA) dues would still be utilized to calculate the initial sale price when an affordable unit first enters the program. Thereafter the 1.5% annual increase in the maximum purchase pricewould provide for a more predictable resale price for homeowners within the affordable housing program. Further this new method of calculating resale price would ensure homeowners are not faced with a stagnant home value due to increasing HOA dues or increasing interest rates.The City of Ashland has an agreement in place with the Jackson County Assessor’s office which ensuresthat the increase in assessed value of units deed restricted throughthe City’s affordable housing program willbebased on the maximum sales price of a givenunit as determined by the City’s affordable housing formula. This assures that the assessed value for the purpose of determining the annual tax rate is commensurate with the formula’s rate of increase. o Establishing a fixed rate method of valuation increase for the purposes of establishing the allowable resale price will allow homeowners to calculate their future return on investment in a predicable manner. Currently determining the resale price of a covered unit employs the use of a complex formula which considers current interest rates, median incomes by household size, changes in HOA dues, and ultimately requires consultation with City Housing Program Staff to derive the resulting maximum purchase price on an annual basis. A fixed-rate formula increase eliminates such complexity and will thus increase the efficiency of the City Housing Program Specialist’s administration of the program. DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Amend the provisions of the Ashland Land Use Ordinance relating to the monthly rental amounts used in the affordable housing program (18.2.5.050.B.1). Instead of utilizing the existing table outlining rental charges for affordable rental housing (Table 18.2.5.050.B) feedback from stakeholders suggest referencing the maximum rents established by U.S. Department of Housing and Urban Development (HUD) for the HOME program for the corresponding bedroom sizeand for Low Income Housing Tax Credit (LIHTC) program for the corresponding bedroom size for those units financed with that funding source.As These rents are adjusted annually by HUD based on the median incomes in the Medford-Ashland Metropolitan Service area. o Correlating Ashland’s maximum rental amounts with the HUD Low-rent and High-rent limits and the LIHTCprograms for our area will allow our program to better align with affordable housing proposals that utilize state or federal funding for their projects. As many affordable housing providers are already subject to the HUD established HOME and LIHTCprogram rent limits due to their sources of funding, making our program consistent with those rental rates will simplify the application processes for affordable housing providers seeking State grant funding. Further, as the State of Oregon maintains and adjuststhese programlimits each year, the City of Ashland will no longer be responsible to annually calculate and maintain a unique maximum rental amount table for use only for covered units within the City of Ashland. Amend the provisions within the Ashland Land Use Ordinance relating to the base density calculation used for determining the number of required affordable housing (18.5.8.050.G.1). Amending this section would clarify that the base density of the property shall be calculated using the area to be developed, excluding any portions of the property containing undevelopable areas such as wetlands, floodplain corridor lands, slopes greater than 35 percent, or land dedicated as a public park. o Presently the affordable housing requirements are based on the entire lot size, indiscriminate of any reductions of buildable area due to natural areas to be preserved. The way this standard is presently written differs from other Land Use provisions which otherwise allow the density of a development to be reduced in considerationof the unbuildable natural areas to be preserved. Not providing for a corresponding reduction in the density of affordable housing required can have the unintended consequence of effectively increasing the proportion of required affordable housing as a proportion of the housing units actually developed. This discrepancy can result in a scenario where the number of affordable housing units required for an annexation or zone change could exceed the number of market rate units that could otherwise be developed, thereby making a residential housing project no longer financially viable without substantial governmental subsidy. Amend the provisions within the Ashland Land Use Ordinance establishing equivalence values for affordable housing to newly allow rentalto households earning 80% Area Median Income (AMI)to qualify as 1.25 units for the purposes of calculating the affordable housing unit requirement(18.5.8.050.G.1.c). DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us o Rental units affordable to households earning 80%AMI or less are not currently being provided by the marketat the rates needed, allowing such toqualify as part of an annexation/zone change request could incentivize the creation of more rental units. Presently the market rents in Ashland exceed what households earning 80%AMI can afford without being cost burdened. Amending this standard for annexations and zone changes would help address this disparity and allow developers to provide units benefiting households earning up to 80% AMI while providing rental units that satisfy the affordable housing requirements. Remove the provisions within the Ashland Land Use Ordinance that allow newly constructed affordable homeownership and rental units to be targeted to households earning 60% AMI (18.5.8.050.G.1.d)for required affordable housing in annexation, zone changes, and condo- conversions. o Removing the 60%AMI target for ownership households, and instead focusing on households earning 80%AMI, 100% AMI, or 120% AMI,is necessary in Staff’s assessment as there are no longer lending packages for the 60%AMI income bracket and units are therefore difficult to finance at change of ownership. Affordable housing providers (e.g. Habitat for Humanity) have indicated that households earning 60% AMI and below often do not qualify for loans (both subsidized and conventional) and thus such units can be difficult to developor resale once completed.Raising the qualifying incomes to 80%AMI or below for the lowest income bracket would not preclude a household earing 60%AMI from purchasing a qualified ownershipunit, but it would enable households earning up to 80%AMI to qualify. o Allowing for rental units targeted to households earning 80%AMI will help ensure rentalsdeveloped by the private market are financially viable. Due to the existing availability of the 60%AMI rental option, private developers select the 60% rental option simply to provide fewer affordable units, however the difficulty of developing and administering affordable units at this income level is often not fully considered. Non- Profit affordable housing providers (e.g. Housing Authority of Jackson County) will still be able to develop rental units reserved forhouseholds earning 60% AMI as suchunits will still qualify as meeting the “less than the 80%AMI”target. Amend the affordable housing household “occupancybasis” as described Table 18.2.5.050.Cof the Land Use Ordinance. Potential changes include removing the 4-bedroom/7-person option; revisingthe 3-bedroom unit occupancy basis from 6 to 5 persons; and revising the 2-bedroom unitoccupancy basis from 4 to 2 persons. Households with a greater or lesser number of occupants shall remain eligible for covered units but the sale price shall not be adjusted based on the median incomes of the larger household sizes. Table 18.2.5.050.C. Occupancy Basis for Affordable Rental Housing Unit Type Occupancy Studio= 1 person household income for the designated income level 1 Bedroom = 2 person household income for the designated income level DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Unit Type Occupancy 2 Bedroom = 4 person 3 person household income for the designated income level 3 Bedroom = 6 person 5 person household income for the designated income level 4 Bedroom =7 person household income for the designated income level o Given Ashland’s average persons per household number (2.0 persons per household), the larger household sizes indicated in the table are not typically realized in covered affordable units. As the maximum sale price of a unit is based on household incomes, these large household sizes setting the occupancy basis within the existing table have the unintended effect of increasing the purchase price beyond the means of the more typical, smaller, household sizes. Amend the provisions within the Ashland Land Use Ordinance that establish the timing of the development of affordable units (18.2.5.050.G.4) to clarify that dedication of land through transfer of title to a non-profit affordable housing provider will satisfy these requirements and there would be no further timing obligation for the market rate units. There has been concern raised by private developers that they have no control over the timing of the development of affordable units after the property is transferred to an affordable housing partner. The Planning Commission also expressed concerns about the timing of the development of the affordable housing component of the overall development as well as ensuring that the units would be built as affordable. To address this concern language was added to stipulate that the transfer of title to an affordable housing provider would have to be completedprior toreceiving a certificate of occupancy for the first 25% of themarket rate units.This would facilitate the transfer of title soon after infrastructure is in place to enable the lands development by the affordable housing provider. Remove the provision within the Ashland Land Use Ordinance that requiresaffordable units be distributed throughout the project (18.2.5.050.G.5). o The City has approved numerous exceptions to this standard in finding that the efficient development of affordable housing often necessitates clustering the units together. Further, given the small scale of developments within Ashland, the concern intended to be addressed by this standard, that affordable units would be segregated and stigmatized within an area, has not been evident in recent developments. o Removing this requirement would provide developers more flexibility regarding the location of affordable housing units within a project. This is often requested as a condition of partnering with non-profit housing developers to complete the affordable housing units. Affordable housing providers can benefit from consolidating their affordable housing units into a contiguous area as it provides for efficiency in the initial building process, and further simplifies management of the affordable units over time. o Both private and affordable housing developers were in favor of this change.And while there were concerns raised regarding social justice issues and issues of stigmatism at the DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Housing and Human Services Commission as well as at the stakeholder meeting. The evaluation and changes currently beingproposed are in response to barrier removalissues that have been identified over the past several years. The uncertainty of the development process when asking for exceptions to approval criteria hasbeen brought up as a barrier to the development of affordable housing. Consequently, staff is recommending the removal of this requirement. Amend the provisions of the Ashland Land Use Ordinance relating to the comparable building materials used for required affordable housing units (18.2.5.050.G.6) to newly allow different housing types. By adding allowances for different “housing types”, the provision would be amended to newly permit affordable units which are of a different housing type than the market rate units. For example, in a new subdivision of detached single-family homes, the affordable units could be attached-SFR, cottages, or apartments and still comply with this standard provided they retain a comparable number of bedrooms to the market rate units. Essentially if a proposal included an affordable housing provider or private developer that wanted to provide apartments or cottages, of a compatible bedroom mix, that could be newly allowable. o The Affordable Housing Standards as established do presently require affordable units to be comparable in bedroom size, if all the market rate units are 3 bedrooms, then so to should be the affordable units. Staff believes the City could consider allowing different housing types that still provide the commensurate number of bedrooms required. The City has identified a need for rental housing, and for smaller ownership units (e.g cottages/townhomes). By clarifying within the ordinance that alternative housing types are permissible, proposals for annexation and zone changes could more readily provide for a mix of housing needs by providing apartments, cottages, or townhomes within what is otherwise proposed as a detached single-family subdivision. Amend theprovisions of the Ashland Land Use Ordinance relating to the maximum net assets for households in the affordable housing program (18.2.5.050.C.1.c)to adjust thelimitsfor consumer price index changes since2005. The current $20,000 asset limitation, or $130,000 for retired households purchasing an affordable unit has been unchanged since Resolution 2006-13 was approved. Adjusting these figures to $25,000 and $175,000 respectively at this time will updatethe amountsto the 2020 equivalents. Furthermore,staff would suggest an annual CPI adjustment be included in the final ordinance and resolution language to account for changes over time. Amend the provisions of the Ashland Land Use Ordinance requiring a 60-year term of affordability for covered affordable units through annexation or zone changes (18.2.5.050.G.8). o Although 60 years of affordability is of benefit to the City in providing affordable housing for longer, there have been concerns raised regardingissues with lenders, conventional lenders can be reluctant to loan on a property where a deed restriction has a term of affordability that extends beyond the typical 30-year term of a mortgage, and with affordable housing developer.Similarly, there were concerns about homeowners feeling like renters under such long deed restrictions. For these reasons Staff suggests deed restricting affordable housing units fora30-yearperiod of affordabilityfor DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us ownership units, and a 60-yearperiodforaffordablerental unitsas part of this update of the affordable housing standards. o Both the Planning and Housing Commissionsdiscussed concerns regarding the reduction of the term of affordability from 60 years to 30 years and wished to further examine potential equity recapture opportunities that could be considered through resale restrictions imposed on covered affordable housing units.To address this concern staff will be presenting a proposed amendment to the resolution regarding System Development Charge deferrals. SDCs deferrals constitute a direct financial subsidy the City provides to qualified affordable housing units. The concept to be presented, as a separate resolution,would be to recaptureall or a portion of the original SDC subsidyif an affordable housing unit leaves the program after 30 years of required affordability, but before a 60-yearperiod required for full forgiveness of the deferredSDCs.This method of SDC recapture would mean after 30 years of affordability the homeowner couldsell the unit at market rate and pay back the full amount of deferred SDC’s including accrued interest.For owners of the affordable housing units maintaining ownership beyond the 30-year term of affordability, the deferred system development charges will be reduced every year thereafter proportionately fora period of 30 years, until year 60 at which point no payback of SDCs would be required. Remove the provision of the Ashland Land Use Ordinance that limit the density bonus allowable for affordable housing provided as part of an annexation to 25% (18.2.5.050.G.8). This limit is less than is otherwise allowable through Performance Standardsordinance provisions which allow for 35% maximum density bonus for affordable housing (18.3.9.050.B.4) and a cumulative bonus of up to 60%, and as such is inconsistent with other density bonus allowances. o Amending this section of the ordinance is a good example of creating consistency within the code to eliminate inconsistencies and therefore simplify the application and approval process for annexations. Specifically, this change will enable affordable housing developers to provide as many affordable housing units on a development requiring annexation as could otherwise be achieved upon a property already within the City limits. This promotes the creation of more needed affordable housing within the community. Amend the provisions of the Ashland Land Use Ordinance that relate to residential annexations requiring there be less than a five-year supply of vacant or redevelopable land in the current City Limits (18.2.5.050.H.1). o Removal of this requirement was a recommendation of the Ashland Housing Strategy Implementation Plan which was presented to the City Council in Mayof 2019: “Revise the City’s annexation policies to eliminate the requirement to demonstrate lessthan a five-year supply of land. Existing policies were intended to help ensure orderlygrowth; however, this is the role of the City’s Urban Growth Boundary (UGB). Creatingobstacles to annexing land within the UGB for housing contributes to higher land costsand makes it difficult to find land for larger housing developments.” DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Next Steps Planning and Housing Program Staff will present the potential amendments to the affordable housing standards at a public hearing before thePlanning Commission at the regular meeting on October 27, 2020and at a public hearing before the City Council on November 17, 2020. Upon completion of Council’s second reading of the ordinance,staff will prepare the corresponding amendments to Resolution 2006-013 to present to Council prior to the effective date of the ordinance. Attachments Resolution 2006-13 Affordable Housing Standards Revisions_Stakeholder_Memo Council Minutes December 17, 2018 Planning Commission Minutes March 10, 2020 Housing and Human Services Commission Minutes July 23, 2020 DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Memo DATE:9/24/2020 TO:Ashland Housing and Human Services Commission Ashland Planning Commission Ashland City Council FROM:Brandon Goldman, Senior Planner Linda Reid, Housing Program Specialist RE:Affordable Housing Standards –Stakeholder meeting thth On August 11and August 14, 2020 meetings were convened consisting of City Staff, Elected and Appointed officials, and members of the development communities representing both affordable housing providers and market-rate housing developers. Those in attendance at one or bothmeetings included: Elected and Appointed OfficialsAffordable Housing Providers Dennis Slattery, City CouncilCindy Dyer, Columbia Care Alan Harper, Planning CommissionDenise James. Habitat for Humanity Rich Rohde, Housing & Human Services Ryan Haynes, Housing Authority of Commission Jackson County Brian Shelton-Kelley, NeighborWorks Umpqua City of Ashland Staff Bill Molnar, Community Dev. DirectorMarket Rate Developers Brandon Goldman, Senior PlannerKyle Taylor, Taylored Elements Linda Reid, Housing SpecialistMark Knox, KDA Homes Laz Ayala, KDA Homes Rick Harris, Realtor During the stakeholder meeting(s) open discussion among the participants explored the intended and potentially unintended consequences of the draft revisions to the affordable housing standards. The group exploredAshland’s existing Affordable Housing Standards and discussed whether the changes being considered would help or hinder the production of affordable housing.Through these discussions it was evident that the production of affordable housing benefiting households earning less than 80% the area median income could best be achieved by coordination between market-rate developers and affordable housing providers. Below is a summary of various issues discussed by the meeting DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us participants. Staff was able to take these discussions into consideration and incorporate changes into the draft ordinance being presented to the Commissions and Council for consideration. 60-year versus a 30-year term of affordability: Annexations and Zone Change standards within the Ashland Land Use Ordinance currently require the affordable units remain affordable for 60 years. Both market-rate developers and Affordable Housing Developers expressed that the standard applying equally to both rentals and ownership did not afford buyers of affordable housing units to realize equityreturns. Specifically,Habitat for Humanity noted that the 60-year restriction was too long anddid not work with Habitatsequity share model where they sell the finished home to the homeowner for the appraised cost, then recapture a portion of the equity upon resale.Affordable housing providers further noted that a 60-year term for affordable rental housing did align with other restrictions from primary funding sources such as the Low-Income Housing Tax Program. It was further expressed that a30-year cap for affordable ownership units would be better for lenders and homeowners. Additionally, it was stated that ownership housing is a tiered system that provides for upward mobility, and as such affordable housing can provide the entry tier for homeownership, and a 30-year term would better address this mobility objective. The Housing Authority of Jackson County noted that to be competitive in obtaining state or federal funding for an affordable rental housing project, a 60-year term is standard. This discussion raised the issue that instead of changing the existing 60-year requirement to 30 years for all affordable units, perhaps the final ordinance could provide differing periods of affordability for affordablerental housing and affordable ownership housing. Distribution of affordable housing throughout the Development: Annexations and Zone Change standards within the Ashland Land Use Ordinance currently require that the affordable units provided shall be distributed throughout the project. The stakeholdersdid discuss existing ordinance’sunderlying intent to not cluster all the affordable units together and create a separate neighborhood of low-income residences. It was also expressed that the size of Ashland’s developable properties leads to smaller developments where such segregation or “stigmatization” of low-income housing hasnot been evident. Noting that as such small developments arenot impacted by the social justice issuethe ordinance intended to address, a market rate developer explained that needing to providesome of thethe highest value land to the affordable unitsdue to the distribution requirement undercuts the developer’s ability to “subsidize” the units through the sale of the market rate units.The participants in the meeting(s) were in general agreement that removal of the distribution requirement would help facilitate thedevelopment of affordable housing. Transfer of land to a non-profit affordable housing provider: Annexations and Zone Change standards within the Ashland Land Use Ordinance currently provide an option that a market rate developer can transfer land to an affordable housing provider or public corporation to satisfy the affordable housing requirement. However,this standard is presentlyunclear as to whether this also satisfies the timing requirements for affordable housing to be developed concurrent with the market rate homes. In discussing this potential clarification regarding transfer of land, the participants expressed thatthe creation of affordable housing has historicallybeen accomplished through a transfer to an affordable housing provider. Private market developers explained thatthey don’t have the same access to affordable housing financing programs that the non-profits haveand such partnership with an affordable housing provider is key. Further it was noted that holding costs of the property to the private market developer were a barrier and if they could transfer it to the affordable housing developerearly in the process that would assist in their financial project pro formas. It was also noted DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us that upon receipt of transferred land, an affordable housing provider would seek development financing and that competitive process and award cycle is out of the control of the market rate development. As there was general agreement that the transfer of land to an affordable housing provider was advantageous to creating affordable housing, and that the market rate development should be able to move forward independent of the development of the affordable housing once the transfer is complete. Maximum Resale and Maximum Rental Formulas. The proposedchanges to the affordable housing standards include revisions to how the resale value of ownership units is calculated, as well as changing the formula calculation for affordable rents. Stakeholder participants were favorable to moving the ownership calculationfrom the current variable formulato a fixed rate formula as it was noted that having such clarity in the resale formula is really helpful for homeownersand is beneficialinapplication witha land trust model. It was further supported in that a fixed rate formula provides some predictable equity return for the homeowner. There was concern that the 1.5%ratemay be insufficient to keep up with market rate appreciation. Affordable rental providers were favorable to changing the rental rate formulato be indexed using the HOME program as proposed, but further questioned whether the formula could also consider the maximum rents per the Low Income Housing Tax Credit program for projects that receive LIHTC funding. In consideration of these differing indexes, and in acknowledging that LIHTC is a significant funding source for larger rental developments, Staff has modified the draft ordinance to address this issue. Conclusion Overall, the stakeholder meetings allowed members of the development community to review the proposals being considered and provide early input to help shape the final ordinance. In addition to providing direct feedback early in the process, the meetings also functioned to inform the participants of the potential changes, so theyare better able to provide informed testimony at the future public hearings. Attendees voicedthat workforce housing (moderate income/ownership) programs should be supported through the jurisdiction and Affordable housing (low-income/rentals) are bestaccomplished through transfer of land to affordable housing providerswho are betterequipped to undertake and manage such developments. The opportunity for market-rate developers and non-profit affordable housing developers to meet and discuss the program together further clarified that their efforts to develop affordable housing in Ashland is best accomplished through partnerships. The changes proposed to the Affordable Housing Standards within the Ashland Land Use Ordinance should function to facilitate such coordination. DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us ORDINANCE NO. \[2020-xxxx\] AN ORDINANCEAMENDING CHAPTERS 18.2.3, 18.2.5, 18.5.8 AND 18.5.9 OF THEASHLAND LAND USE ORDINACEREGARDING CONVERSION OF MULTI-FAMILY RENTAL UNITS INTO FOR-PURCHASE HOUSING, AFFORDABLE HOUSING STANDARDS, AND APPROVAL STANDARDS FOR ZONE CHANGESAND ANNEXATIONS. Annotated to show deletionsand additionsto the code sections being modified. Deletions are boldlined through and additions are in bold underline. WHEREAS, Article 2. Section 1 of the Ashland City Charter provides: Powers of the CityThe City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession. WHEREAS,the above referenced grant of power has beeninterpreted as affording all legislative powers home rule constitutional provisions reserved to Oregon Cities. City of Beaverton v. International Ass’n of Firefighters, Local 1660, Beaverton Shop20 Or. App. 293; 531 P 2d 730, 734 (1975); and WHEREASthe City of Ashland recognizes that under Goal 10 of Oregon’s Statewide Planning Goals & Guidelines (OAR 660-015-0000(10)) that jurisdictions shall encourage the availability of adequate numbers of needed housing units at price ranges and rent levels which are commensurate with the financial capabilities of Oregon households and allow for flexibility of housing location, type and density; and WHEREAS, theHousing Element of theCity of Ashland Comprehensive Plan establishes the goal of supportingthe creation and preservation of housing that is affordable to low-and moderate-income households and that is commensurate with the incomes of Ashland’s workforce; and WHEREASthe City of Ashland City Council recognizes that for a healthy community the provision ofa range of affordable housing is a top priority for the City of Ashland; and WHEREAS, the City Council of the City of Ashland has determined that neither the private market, nor the public sector, has yet provided the levels of housing affordability necessary to maintain a balanced community, local government must take an active lead to ensure an adequate supply of housing for residents and working people of all income levels; Page 1of 15 WHEREAS,the City of Ashland Housing and Human ServicesCommission conducted on th September 24, 2020 a duly advertised public meeting on amendments to the Ashland Land Use Ordinance concerning the standards relating to affordable housing, and standards for zone changes and annexations, and following deliberations recommended __________of the amendments; WHEREAS, the City of Ashland Planning Commission conducted on ____aduly advertised public hearing on amendments to the Ashland Land Use Ordinance concerning the standards relating to affordable housing, and standards for zone changes and annexations, and following deliberations recommended __________of the amendments; WHEREAS, the City Council of the City of Ashland conducted a duly advertised public hearing on the above-referenced amendments _________; and WHEREAS, the City Council of the City of Ashland, following the close of the public hearing and record, deliberated and conducted first and second readings approving adoption of the Ordinance in accordance with Article 10 of the Ashland City Charter. WHEREAS, the City Council of the City of Ashland has determined that in order to protect and benefit the health, safety and welfare of existing and future residents of the City, it is necessary to amend the Ashland Municipal Code and Land Use Ordinance in manner proposed, that an adequate factual base exists for the amendments, the amendments are consistent with the comprehensive plan and that such amendments are fully supported by the record of this proceeding. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1.The above recitations are true and correct and are incorporated herein by this reference. SECTION 2.The Special Use StandardsChapter of Ashland Land Use Ordinance, sub-section 18.2.3.200.C.5 is hereby amended asfollows: 18.2.3.200Multiple-Family Rental Unit Conversion to For-Purchase Units 18.2.3.200.C 5.Affordable Housing Units provided under 18.2.3.200.C.2and18.2.3.200.C.3shall meet the following affordability standards: a.Affordable Rental Units shall be affordable for rent by households earning at or below 6080percent of the AMI in accordance with the standards established by section 18.2.5.050(Resolution 2006-13). b.Affordable Ownership Units shall be affordable for purchase by households earning at or below 80 percent of the AMI in accordance with the standards established by section 18.2.5.050(Resolution 2006-13).. Page 2of 15 SECTION 3.The Standards for Residential ZonesChapter of Ashland Land Use Ordinancesub- section 18.2.5.050, Affordable Housing Standards,is hereby amended asfollows: 18.2.5.050 Affordable HousingStandards A.General Eligibility–Rental and Purchased Housing. 1.All qualifying ownership or rental units required to be affordable through density bonuses, annexation, zone change, condominium conversion, or other land use approval under this ordinance shall not be eligible to receive a waiver of the Community Development and Engineering Services fees associated with the development of said affordable units unless a waiver is approved by the City Council. 2.All qualifying ownership or rental units required to be affordable through density bonuses, annexation, zone change, condominium conversion, or other land use approval under this ordinance shall be eligible to receive a deferral of the System Development Charges associated with the development of said affordable units. 3.All qualifying ownership or rental units voluntarily provided as affordable to low income households, consistent with subsections 18.2.5.050.A.1and18.2.5.050.A.2, above, shall be eligible for a System Development Charge, Engineering Service, and Community Development Fee deferral or waiver without obtaining approval from the Council. 4.Affordable HousingUnits covered under this section can only be sold or rented to occupant households from the same income category as the original purchasers or renters for a period of not less than 30 years, or as required through the condition of approval for a unit required to be affordable through a land use approval. 5.System Development Charges, Engineering Services, and Community Development Fees may be deferred or waived when units are sold or rented to low-income persons. For purposes of this subsection, "low-income persons" means: a.With regard to rental housing, persons with an income at or below 60 percent of the area median income (AMI) as determined by the State Housing Council based on information from the United States Department of Housing and Urban Development (HUD); and b.With regard to home ownership housing and lease to purchase home ownership housing, persons with an income at or below 80 percent of the AMI as determined by the State Housing Council based on information from HUD. B.Rental Housing.Units designated for affordable rental housing in developments which have qualified for density bonuses, annexation, zone change, condominium conversion, or other land use approval under this ordinance shall be rented to individuals or households whose annual income is consistent with the target income identified in the planning approval. Incomes Page 3of 15 shall be qualified as being equal to or less than either atthe 60 percent or 80 percent median income levelsmaximums annually establishedfor households in the Medford-Ashland Metropolitan Statistical Area (MSA). This figure shall be known as the "qualifying household income" and shall be determined by the City’s Community Development Department in May of each year from the annual family incomes published by HUD for the Medford-Ashland MSA. 1.Area MedianIncome–60 and80 percent.The rent charged for such affordable rental housing benefiting households earning 60 percent Area Median Incomeor less,and80 percent AMI of Area Median Incomeor greaterless, including any home-owners association or maintenance fees, shall not exceed 23 percent of the qualifying monthly income (qualifying family income divided by twelve) as provided in the following formulas:not exceed 23 percent of the qualifying monthly income (qualifying family income divided by twelve) as provided in the following formulas: comply with the maximum rents established by U.S. Department of Housing and Urban Development (HUD) for the HOME program for the corresponding bedroom size. Table 18.2.5.050.B.Rent Charges for Affordable Rental Housing Unit TypeMaximum Rent Charges Studio Apartment23% of the average of 1& 2 person qualifying monthly incomes 1 Bedroom23% of the average of 2& 3 person qualifying monthly incomes 2 Bedroom23% of the average of 3, 4,& 5 person qualifying monthly incomes 3 Bedroom23% of the average of 4, 5, 6,& 7 person qualifying monthly incomes 4 Bedroom23% of the average of 5, 6, 7,& 8 person qualifying monthly incomes a.The City's Community Development Department shall maintain a table of maximum rent levels permitted pursuant to the formulas of Table 18.2.5.050.B established byU.S. Department of Housing and Urban Development (HUD) for the HOME programand shall annually update the table in May of each year. b.The HUD “Low Rent” limit shall apply to units targeted toward households earning 60% of Area Median Incomeor less. Page 4of 15 c.The HUD “High Rent” limit shall apply to units targeted toward households earninggreater than 60%Area Median Incomeup to and including 80% of Area Median Income. d.Low-Income Housing Tax Credit (LIHTC) assisted affordable rental housing units, subject to rent control through the LIHTC program,may utilize the rent limitsestablished by the LIHTCprogram as an alternative to the rent levels established by U.S. Department of Housing and Urban Development (HUD) for the HOME program.Upon completion of the LIHTC compliance period the maximum rent levels established in 18.2.5.050.B.1.a-c shall apply through the remaining term of affordability. 2.Area Median Income–60 percent or lower.The rent charged for such affordable rental housing benefiting households earning 60 percent AMI or less, including any home-owners association or maintenance fees, shall comply with the maximum rents established by the State of Oregon HOME Program based on the target income qualification as adjusted annually by HUD for the Medford-Ashland MSA. The HOME program indexed allowable rents are adjusted annually by the State of Oregon Housing and Community Services Department (OHCS). 3.Owner’s Obligation.Theowner of the affordable rental housing shall sign a 30-year agreement, or longer depending on the period of affordability established through this ordinancea planning action approvalor legislative land use decision,with the City that guarantees these rent levels will not be exceeded and that the owner will rent only to households meeting the income limits. The agreement shall bind subsequent owners who purchase the rental housing during the established period of affordability. The agreement shall also require the owner to allow the unit to be rented to HUD Section 8 qualified applicants and agree to accept rent vouchers for all of the affordable units when applicable. The City shall file the agreement for recordationin the County Clerk deed records, Jackson County, Oregon. 4.Certification of qualifying occupants.The owner of record, or the designated agent of the record, owner, shall annually file with the City a signed certificate stating the occupants of the record owner’s rental housing units continue to be qualified households, or are a household that qualified at its initial occupancy, within the meaning of this resolution, and any amendment made to it. The City shall provide the record owner or the record owner’s agent with access to a form to complete and sign to comply with this provision. C.Purchased Houses–Qualifying.Units designated for affordable housing available for purchase in developments which have qualified foraffordable housingdensity bonuses, annexation, zone change, condominium conversion, or other land use approval under this ordinance must satisfy the criteria in subsections 18.2.5.050.C.1and 18.2.5.050.C.2, below: Page 5of 15 1.They shall only be sold to occupant households whose: a.Annual income is consistent with the target income identified in the planning approval for the development. Incomes shall be qualified atthe applicable 60 percent, 80 percent, 100 percent, or 120 percent median income levels for households based on number of people per household as adjusted annually by HUD for the Medford-Ashland MSAMetropolitan Service Area (MSA). b.The maximum initial purchase price shall be determined on the date the designated affordable unit enters the affordable housing program. The maximum initial purchase price is based on a formula that accounts for what a qualifying household can afford to pay asamaximum monthly housing payment. The formula used to calculate the maximum monthly housing payment incorporates the following: i.The maximum monthlyhousing payment shallnot exceed 30% of the monthly income for the target income level indicated in subsection 18.2.5.050.C.1.a. ii.The formula used tocalculatethe monthly housingpayment shall include Principal, Interest, Taxes, and Insurance (PITI) and any homeowners or regular maintenance fees. iii.The formula used tocalculatethe monthly housingpayment will assume a down payment equal to 10% of the purchase price. iv.The formula used tocalculatemonthly housingpayment will assume a 30- year fixed-ratemortgagewith an interest rate of5%. b.c.The maximum monthly housingpayment for a covered unit shall be established to not exceed the affordability limits, established in the paragraph abovethis section, and pursuant to the occupancy number indicated in Table 18.2.5.050.C. Table 18.2.5.050.C.Occupancy Basis for Affordable RentalOwnershipHousing Unit TypeOccupancy Households with a greater or lesser number of occupants shall remain eligible for covered units but the sale price shall not be adjusted due tohousehold size above the limits established above. Studio=1 person household income for the designated income level 1 Bedroom=2 person household income for the designated income level Page 6of 15 Unit TypeOccupancy 2 Bedroom=43person household income for the designated income level 3 Bedroomor greater=65person household income for the designated income level 4 Bedroom=7 person household income for the designated income level c.Net assets, excluding pension plans and IRAs and excluding the down payment and closing costs, do not exceed $20,000$25,000 for a household or $130,000 $175,000if one household member is 65 years or older. d.Mortgage payment does not exceed more than 30 percent of the monthly income for the target income level indicated in subsection 18.2.5.050.C.1.a, above on total housing costs which includes principal, interest, taxes, insurance, and any homeowners or regular maintenance fees. e.The maximum monthly payment for a covered unit shall be calculated by utilizing the interest rate for the Oregon Bond Loan Rate Advantage as updated by the OHCS. 2.They shall remain affordable as follows: a.The purchasers of the affordable housing units shall agree to the City of Ashland Affordable Housing Resale Restriction Agreement establishing a period of affordability of not less than 30 years. In no event will a purchaser be required to sell the unit subject to the aforementioned Agreement for less than his or her original purchase price, plus any applicable closing costs and realtor fees. b. The maximum resale price will be calculated using the current seller’s initial purchase price plus an additional 0.125% of said initial purchase price for each full month the current seller has owned the home. c. In no event will a purchaser be required to sell the unit subject to the Affordable Housing Resale Restriction Agreement for less than his or her original purchase price, plus any applicable closing costs and realtor fees. b.For housing financed by Farmer’s Home Administration (FHA), the affordability shall be assured by the FHA’s recapture provisions FHA which require sellers to repay FHA for all the subsidies accrued during the period the sellers resided in the housing unit. Page 7of 15 SECTION 4.The Annexations Chapter of Ashland Land Use Ordinance, sub-sections 18.5.8.050.C, 18.5.8.050.G and 18.5.8.050.Harehereby amended asfollows: Annexation 18.5.8.050 Approval Criteria and Standards An annexation may be approved if the proposed request for annexation conforms, or can be made to conform through the imposition of conditions, with all of the following approval criteria. A.The land is within the City’s Urban Growth Boundary. B.The proposed zoning for the annexed area is in conformance with the designation indicated on the Comprehensive Plan Map, and the project, if proposed concurrently with the annexation, is an allowed use within the proposed zoning. C.The land is currently contiguous with the present city limits. D.Adequate City facilities for the provision of water to the site as determined by the Public Works Department; the transport of sewage from the site to the waste water treatment plant as determined by the Public Works Department; the provision of electricity to the site as determined by the Electric Department; urban storm drainage as determined by the Public Works Department can and will be provided to and through the subject property. Unless the City has declared a moratorium based upon a shortage of water, sewer, or electricity, it is recognized that adequate capacity exists system-wide for these facilities. E.Adequate transportation can and will be provided to and through the subject property. For the purposes of this section "adequate transportation" for annexations consists of vehicular, bicycle, pedestrian, and transit transportation meeting the following standards. 1.For vehicular transportation a 20-foot wide paved access exists, or can and will be constructed, along the full frontage of the project site to the nearest fully improved collector or arterial street. All streets adjacent to the annexed area shall be improved, at a minimum, to a half-street standard with a minimum 20-foot wide driving surface. The City may, after assessing the impact of the development, require the full improvement of streets adjacent to the annexed area. All streets located within annexedareas shall be fully improved to City standards. Where future street dedications are indicated on the Street Dedication Map or required by the City, provisions shall be made for the dedication and improvement of these streets and included with the application for annexation. 2.For bicycle transportation safe and accessible bicycle facilities exist,or can and will be constructed. Should the annexation be adjacent to an arterial street, bike lanes shall be provided on or adjacent to the arterial street. Likely bicycle destinations from the project site shall be determined and safe and accessible bicycle facilities serving those destinations shall be indicated. Page 8of 15 3.For pedestrian transportation safe and accessible pedestrian facilities exist, or can and will be constructed. Full sidewalk improvements shall be provided on one side adjacent to the annexation for all streets adjacent to the proposed annexed area. Sidewalks shall be provided as required by ordinance on all streets within the annexed area. Where the project site is within a quarter of a mile of an existing sidewalk system, the sidewalks from the project site shall be constructed to extend and connect to the existing system. Likely pedestrian destinations from the project site shall be determined and the safe and accessible pedestrian facilities serving those destinations shall be indicated. 4.For transit transportation, should transit service be available to the site, or be likely to be extended to the site in the future based on information fromthe local public transit provider, provisions shall be made for the construction of adequate transit facilities, such as bus shelters and bus turn-out lanes. All required transportation improvements shall be constructed and installed prior to the issuanceof a certificate of occupancy for any new structures on the annexed property. F.For all residential annexations, a plan shall be provided demonstrating that the development of the entire property will ultimately occur at a minimum density of 90 percent of the base density for the zone, unless reductions in the total number of units is necessary to accommodate significant natural features, topography, access limitations, or similar physical constraints. The owner or owners of the property shall sign an agreement, to be recorded with the county clerk after approval of the annexation, ensuring that future development will occur in accord with the minimum density indicated in the development plan. For purposes of computing maximum density, portions of the annexed area containing undevelopable areas such as wetlands, floodplain corridor lands, or slopes greater than 35 percent, shall not be included. G.Except as provided in 18.5.8.050.G.7, below, annexations with a density or potential density of four residential units or greater and involving residential zoned lands, or commercial, employment or industrial lands with a Residential Overlay (R-Overlay) shall meet the following requirements. 1.The total number of affordable units provided to qualifying buyers, or to qualifying renters, shall be equal to or exceed 25 percent of the base densityas calculated using the unit equivalency values set forth herein.The base density of the propertyfor the purposes of this calculationshall excludeany undevelopable portions of the property such as wetlands, floodplain corridor lands, water resource areas, slopes greater than 35 percent, or landareadedicated as a public park. a.Ownership units restricted to households earning at or below 120 percent the area median income shall have an equivalency value of 0.75 unit. b.Ownership units restricted to households earning at or below 100 percent the area median income shall have an equivalency value of 1.0 unit. Page 9of 15 c.Ownership or rentalunits restricted to households earning at or below 80 percent the area median income shall have an equivalency value of 1.25 unit. d.Ownership or Rental units restricted to households earning at or below 60 percent the area median income shall have an equivalency value of 1.5 unit. 2.As alternative to providing affordable units per section 18.5.8.050.G.1, above, the applicant may provide title to a sufficient amount of buildable land for development complying with subsection 18.5.8.050.G.1.b, above, through transfer to a non-profit (IRC 501(3)(c) affordable housing developer or public corporation created under ORS 456.055to 456.235. a.The land to be transferred shall be located within the project meeting the standards set forth in 18.5.8.050.G, subsections 4 -6. b.All needed public facilities shall be extended to the area or areas proposed for transfer. c.Prior to commencement of the project, title to the land shall be transferred to the City, an affordable housing developer which must either be a unit of government, a non–profit 501(C)(3) organization, or public corporation created under ORS 456.055to 456.235. d.The land to be transferred shall be deed restricted to comply with Ashland’s affordable housing program requirements. 3.The affordable units shall be comparable in bedroom mix and housing typewith the market rate units in the development. a.The number of bedrooms per dwelling unit in the affordable units within the residential development shall be in equal proportion to the number of bedrooms per dwelling unit in the market-rate units within the residential development. This provision is notintended to require the same floor area in affordable units as compared to market-rate units. The minimum square footage of each affordable unit shall comply with the minimum required floor based as set forth in Table 18.5.8.050.G.3, or as established by the U.S. Department of Housing and Urban Development (HUD) for dwelling units developed under the HOME program. Table 18.5.8.050.G.3. Minimum Required Unit Floor Area Unit Type (Square Feet) Studio350 1 Bedroom500 2 Bedroom800 Page 10of 15 Minimum Required Unit Floor Area Unit Type (Square Feet) 3 Bedroom1,000 4Bedroom1,250 b.The required on-site affordable units shall be comprised of the different unit types in the same proportion as the market dwelling units within the development. 4.A development schedule shall be provided that demonstrates that that the affordable housing units per subsection 18.5.8.050.Gshall be developed, and made available for occupancy, as follows. a.That 50 percent of the affordable units shall have been issued building permits prior to issuance of a certificate of occupancy for the last of the first 50 percent of the market rate units. b.Prior to issuance of a building permit for the final ten percent of the market rate units, the final 50 percent of the affordable units shall have been issued certificates of occupancy. c. Transfer of title of buildable landto a non-profit (IRC 501(3)(c) affordable housing developer,or public corporation, shall be considered a demonstration that 18.5.8.050G.4(a) and 18.5.8.050G.4(b) are satisfied, provided the transferred land is deed restricted to be developed as affordable housing in compliancewith subsection 18.5.8.050.G.2and the transfer of title is completed prior to the issuance ofa certificate of occupancy for the last of the first 25% of the market rate units. 5.That affordable housing units shall be distributed throughout the project. 6.That affordable housing units shall be constructed using comparable building materials and include equivalent amenities as the market rate units. a.The exterior appearance ofthe affordable units in any residential development shall be visually compatible with the market-rate units in the development. External building materials and finishes shall be substantially the same in type and quality for affordable units as for market-rate units. b.Affordable units may differ from market-rate units with regard to floor area, interior finishesand materials,and housing typeprovided that the affordable housing units are provided with comparable features to the market rate units, and shall have generally comparable improvements related to energy efficiency, including plumbing, insulation, windows, appliances, and heating and cooling systems. Page 11of 15 7.Exceptions to the requirements of 18.5.8.050, subsections G.2–G.56, above, may be approved by the City Council upon consideration of one or more of the following. a.That an alternative land dedication as proposed would accomplish additional benefits for the City, consistent with the purposes of this chapter, than would development meeting the on-site dedication requirement of subsection 18.5.8.050.G.2. b.That an alternative mix of housing types not meeting the requirements of subsection 18.5.8.050.G.3.bwould accomplish additional benefits to the City consistent with this chapter, than would the development providing a proportional mix of unittypes. cb..That the alternative phasing proposal not meeting subsection 18.5.8.050.G.4 provided by the applicant provides adequate assurance that the affordable housing units will be provided in a timely fashion. dThat the distribution of affordable units within the development not meeting subsection 18.5.8.050.G.5is necessary for development of an affordable housing project that provides onsite staff with supportive services. e. That the distribution of affordable units within the development as proposed would accomplish additional benefits for the city, consistent with the purposes of this chapter, than would development meeting the distribution requirement of subsection 18.5.8.050.G.5. f.c.That the materials and amenities applied to the affordable units within the development, that are not equivalent to the market rate units per subsection 18.5.8.050.G.6, are necessary due to local, State, or Federal Affordable Housing standards or financing limitations. 8.The total number of affordable units described in this section 18.5.8.050.Gshall be determined by rounding down fractional answers to the nearest whole unit. A deed restriction or similar legal instrument shall be used to guarantee compliance with affordable criteria for a period of not less than60yearsfor units qualified as affordable rental housing, or 30years for units qualified as affordable for-purchase housing. Properties providing affordable units as part of the annexation process shall qualify for a maximum density bonus of 25 percent. H.One or more of the following standards are met. 1.The proposed area for annexation is to be residentially zoned,and there is less than a five-year supply of vacant and redevelopableland in the proposed land use classification within the current city limits. “Redevelopable land” means land zoned for residential use on which development has already occurred but on which, due to present or expected market forces, there exists the likelihood that existing development will be converted to more intensive residential uses during the planning period. The five-year supply shall be determined from vacant and redevelopable land Page 12of 15 inventories and by the methodology for land need projections from the Housing Element of the Comprehensive Plan.under the Comprehensive Plan,and that the applicant will obtain planning action approvalfor an outright permitted use, special permitted use, or conditional usein conformance with the annexation request. 2.The proposed lot or lots will be zoned M-1,CM, E-1, or C-1 under the Comprehensive Plan, and that the applicant will obtain Site Design Review approval for an outright permitted use, or special permitted use concurrent with the annexation request. 3.A current or probable public health hazard exists due to lack of full City sanitary sewer or water services. 4.Existing development in the proposed annexation has inadequate water or sanitary sewer service, or the service will become inadequate within one year. 5.The area proposed for annexation has existing City water or sanitary sewer service extended, connected, and in use, and a signed consent to annexation agreement has been filed and accepted by the City. 6.The lot or lots proposed for annexation are an island completely surrounded by lands within the city limits. SECTION 5.The Application Review Procedures and Approval CriteriaChapter of Ashland Land Use Ordinance, subsection 18.5.9.020.Ais hereby amended asfollows: 18.5.9.020 Applicability and Review Procedure Applications for Plan Amendments and Zone Changes are as follows: A.Type II.The Type II procedure is used for applications involving zoning map amendments consistent with the Comprehensive Plan map, and minor map amendments or corrections. Amendments under this section may be approved if in compliance with the Comprehensive Plan and the application demonstrates that one or more of the following. 1.The change implements a public need, other than the provision ofaffordable housing,supported by the Comprehensive Plan. 2.A substantial change in circumstances has occurred since the existing zoning or Plan designation was proposed, necessitating the need to adjust to the changed circumstances. 3.Circumstances relating to the general public welfare exist that require such an action. 4.Proposed increases in residential zoning density resulting from a change from one zoning district to another zoning district, will provide 25 percent of the proposed base densityasaffordable housingconsistent with the approval standards set forth in subsection 18.5.8.050.G. Page 13of 15 5.Increases in residential zoning density of four units or greater on commercial, employment, or industrial zoned lands (i.e., Residential Overlay), will not negatively impact the City’s commercial and industrial land supply as required in the Comprehensive Plan, and will provide 25 percent of the proposed base density asaffordable housingconsistent with the approval standards set forth in subsection18.5.8.050.G. 6.The total number ofaffordableunits described in18.5.9.020.A, subsections 4 or 5, above, shall be determined by rounding down fractional answers to the nearest whole unit. 7. A deed restriction, or similar legal instrument, shall be used to guarantee compliance withaffordablecriteria for a period of not less than60yearsfor units qualified as affordable rental housing, or 30years for units qualified as affordable for-purchase housing..18.5.9.020.Asubsections 4 and 5 do not apply to Council initiated actions. SECTION 6.Severability.The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. SECTION7.Codification. Provisions of this Ordinance shall be incorporated in the City Comprehensive Plan and the word “ordinance” may be changed to “code”, “article”, “section”, or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i.e. Sections 1, 6-7)need not be codified.In preparing this ordinance for publication and distribution, the City Recorder shall not alter the sense, meaning, effect, or substance of the ordinance, but within such limitations, may: (a) Renumber sections and parts of sections of the ordinance; (b) Rearrange sections; (c) Change reference numbers to agree with renumbered chapters, sections or other parts; (d) Delete references to repealed sections; (e) Substitute the proper subsection, section, or chapter numbers; (f)Change capitalization and spelling for the purpose of uniformity; (g) Add headings for purposes of grouping like sections together for ease of reference; and (h) Correct manifest clerical, grammatical, or typographical errors. The foregoing ordinance was first read by title onlyin accordance with Ashland Municipal Code §2.04.090on the _____day of ________________, 2020, and duly PASSED and ADOPTED this _____ day of ________________, 2020. _______________________________ Melissa Huhtala, City Recorder SIGNED and APPROVED this day of , 2020. Page 14of 15 ____________________________________ John Stromberg, Mayor Reviewed as to form: _________________________ David Lohman, City Attorney Page 15of 15 Memo DATE:September 24, 2020 TO:Housingand Human ServicesCommission FROM:Linda Reid, Housing Program Specialist RE:Cahoots ProgramUpdate Commission Chair Rich Rohde has an update regarding the Cahoots Mobile Mental Health Crisis Program based in Eugene, Oregon. DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us Memo DATE:September 24, 2020 TO:Housingand Human ServicesCommission FROM:Linda Reid, Housing Program Specialist RE:Utility Assistance Update In March of this year the Housing and Human Services Commission made a recommendation based on the work of the Utility Ad Hoc Group members: (SVdP-John Englehardt, OHRA-Jackie Bachman, H&HSCommissionChair-Rich Rohde, City Council Liaison-Dennis Slattery, City Administrator-Kelly Madding). Due to Covid implementation of these items wasput on hold, as the Utility Department suspended Utility shut offs. Staff will provide an update of recommended actions which have taken place. 1.Increase awareness of utility assistance programs to those in need a)Mailer included with utility bill and city source newsletter showing programs and income levels associated with each. Make it colorful and easy to read! b)When client calls Utility office for help in paying their bill, work with them to see if they are eligible for any assistance programs. c)When client calls Utility office for help and is not eligible for programs, refer them to sources of help: OHRA, SVdP, Access, Salvation Army, etc. d)Get ACCESS involved in signing people up for assistance here in town. 2.Expand awareness of ways citizens can contribute to Assistance Funding a)Expand Round Upprogram to allow for additional $ contributions b)Make donation process easy for ongoing contributions as well as one-time donations. c)Make it clear that the donations are dedicated to Assistance programs d)Reach out to churches andother NGOs to spread the word about the assistance programs and donation process 3.Reorganize the utility shut-off door hanger a)Mention all 3 assistance programs on the door hanger b)Reorder the list of agencies that can provide help: OHRA, SVdP, Access, Salvation Army, AFS, JCFC 4.Track signups for assistance programs for historical data analysis and success of efforts going forward a) Provide periodic reports to Ashland’s Housing and Human ServiceCommission in collaboration with OHRA and SVdP on success of recommendations being DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us implemented (ex: # clients on each assistance program, # accounts participating in Round Up and other donation options, etc.) 5.Analyze the Call-Out process for efficiency, success, and response in collaboration with OHRA & SVdP to include: st a)Comparison with pre-callout success rate (# responding after 1door hanger) b)Exploration of why the # of door notices and disconnects increased substantially in 2019, concomitant with implementation of Call-Out process c)Send analysis to city’s H&HS Commission 6.Increase awareness of conservation and energy audit programs a)Mention energy audit and conservation programs in City Source newsletter b)Suggest helping agencies inform clients to initiate contact with city regarding energy assistance/conservationprograms c)Suggest a meter check if bill seems abnormally high. 7.Consider increasing the financial benchmarks for the 3 assistance programs. a)Use the financial thresholds from Access as a starting point, but allow for increase as allowed by city ordinance b)Consider a higher income threshold for single households, as they bare a disproportionate share of the fixed costs ($99.25 per bill) DEPT. OF COMMUNITY DEVELOPMENT Tel: 541-488-5305 20 E. Main Street Fax: 541-488-6006 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us