HomeMy WebLinkAbout2005-09-19 Housing PACKET
Ashland Housing Commission
Regular Meeting Agenda
September 19, 2005 6:30 - 8:30pm
Community Development & Engineering Services Building
51 Winburn Way, Ashland OR.
1. (6:30) Approval of Minutes
- August 23, 2005 Regular Meeting
2. (6:35) Public Forum
- items not on the agenda
3. (6:40) Project Updates
- Lithia Parking Lot
Council Decision/ Negotiations / team
-Community Development Department Staffing
4. (7:05) Other Business from Housing Commission Members
- New and miscellaneous commissioner discussion items not on the agenda
5. (7:20) New Business
- (7:20) Election of Chair / Vice-Chair
Discussion; Nomination; Election
- (7:30) Consolidated Annual Performance Evaluation Report (CDBG)
6. (8:00) Old Business
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-POSTPONED to Oct 17 - SDC Deferral Program Changes
7. (8:00) Commission Coordination
- Liaison Reports
- Parks
- Schools
- Planning
- Conservation
- Council
- Subcommittee Reports
- Education
-Employer Assisted Housing meeting
- Finance
- Land Use
Quarterly Study Session proposed dates: Saturday October 15, or 22
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Tuesday October 18 (4:30 Î 8:30pm)
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Workforce Housing Summit (Tues. Feb. 21 , Medford Red Lion Inn)
8. (8:25) October 17, 2005 Meeting Agenda Items
- SDC Deferral Program Changes
- Update; Buildable Lands Inventory, Multifamily Housing Unit counts
9. (8:30) Adjournment
ASHLAND HOUSING COMMISSION
MINUTES
AUGUST 15, 2005
CALL TO ORDER
Chair Matt Small called the meeting to order at 6:40 pm. at the Community Development and Engineering Services Building located
at 51 Winburn Way, Ashland, OR 97520.
Commissioners Present: Matt Small, Chair
Alice Hardesty
Liz Peck
Faye Weisler
Bill Street
Carol Voisin
Don Mackin
Jennifer Henderson (new member)
Council Liaison: Cate Hartzell (arrived at 6:45 p.m.)
Staff Present: Brandon Goldman, Housing Specialist
Sue Yates, Executive Secretary
Small introduced Jennifer Henderson who replaces Kim Miller. Small asked that it be noted in the minutes how much Kim Miller and
Amy KorthÓs (left the Commission a couple of months ago) efforts were appreciated by the Commission.
APPROVAL OF MINUTES
Mackin/Voisin m/s to approve the minutes of the July 18, 2005 meeting. Voice Vote: Everyone approved.
Weisler/Voisin m/s to approve the minutes of the July 23, 2005 meeting. Voice Vote: Everyone approved.
PUBLIC FORUM
HULZ spoke regarding Dapper DellÓs, the solar learning center, an idea he has for high- end homeless people. He is still working on it.
He said it really works.
OTHER BUSINESS FROM HOUSING COMMISSION MEMBERS
New and Miscellaneous Commissioner Discussion Items Not on the Agenda
Small recalled that each subcommittee was going to look at their priorities one last time and report to the Commission at this meeting
those priorities along with a timeline for getting the work done. He thought vulnerable properties should be part of the Land Use
subcommittee. Henderson expressed an interest in working on the Land Use subcommittee and perhaps Finance. Hartzell asked to be
involved in the Land Use subcommittee for at least a couple of meetings. She asked Goldman to update the matrix and add it to next
monthÓs agenda.
The Commissioners discussed the Action Items mentioned on Page 4 of the June 23, 2005 study session and what subcommittee
would be involved with each item.
Creating a list of vulnerable properties. (Land Use)
Inform the Downtown Plan Committee that public lots should be available for work force housing. (Education)
Review information regarding density bonuses and condominium conversions for affordable housing provisions. (Land
Use)
Have a conference call with Fannie Mae regarding employer assisted housing. (Education)
Have a conference call with HUD regarding section 108 loan program. (discuss at this meeting)
Request that other public bodies establish a liaison to the Housing Commission. (Education)
Goldman was going to draft a letter to Parks, School Board, Planning Commission, Conservation Commission and SOU.
Housing Commission members to be liaisons to public bodies.
Parks - Street/Schools - Hardesty/ Planning Commission Î Mackin, Peck, Henderson
Draft letter for Housing Commission to send to ICCA regarding future use of 144 Second Street. Agenda item for tonight.
Determine legality of restricting housing to families only. Goldman found out you can restrict housing to families. People
with children are a protected class.
ASHLAND HOUSING COMMISSION
MINUTES
AUGUST 15, 2005
The Education Committee drafted Voisin to be chair and she recommended that the other committees do the same.
April is supposed to be the month we elect officers. Henderson moved to retain Small as Chair and Weisler as Vice Chair until April.
The motion died for lack of a second. It was agreed this item will be discussed at the September meeting.
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Diana Goodwin-Shavey, former Housing Commissioner, will be in town on August 19 and offered to make herself available to spend
some time answering questions of Housing Commissioners. Goldman will e-mail her and find out exact times and let the
Commissioners know.
Goldman will get an updated copy of the HUD housing in Ashland.
The Commission agreed that committees should consider asking for community volunteers to help them. Hartzell suggested, if it is
approved by Legal, that a committee could establish an advisory group, especially Finance.
NEW BUSINESS
Interfaith Care Community of Ashland update
Goldman said Sharon Schreiber, Director of ICCA, indicated the property on Second Street is for sale. Any sale is contingent upon
ICCA finding another location in Ashland to purchase and operate services. Their goal is to continue operations in Ashland and not
pull the equity out of Ashland. They are looking for a site out of a residential area. Goldman said he will draft a letter to ICCA
complimenting them on their desire to stay in Ashland and encouraging them to continue their services here.
Discussion on recommendation to Council regarding additional Housing Staff
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Gino Grimaldi, City Administrator, is willing to speak to the Housing Commission on September 19. Goldman will itemize his
responsibilities, prioritizing by percentage of time spent on each task. Small asked Hartzell to be prepared to talk to Grimaldi at the
next meeting. She agreed.
OLD BUSINESS
SDC Deferral Program Changes
Goldman said since this was last presented, he has contacted non-profit and for-profit housing developers for their input into the
proposed changes to the SDC program. He received a letter from ACCESS, Inc., outlining their concerns. The proposed changes are
suggestions to clarify the SDC program as it relates to other sections of our code, namely the zoning ordinance and the annexation
ordinance that establish that units have to sell between 60 and 120 percent of median income or rent to those qualified households.
There is nothing in the SDC program that establishes what an affordable purchase price is for the different income levels. As a result
there is a potential that someone can create a unit that meets the zoning requirement and targeted to someone at 60 percent of median
income. The concern is that they may not be able to afford it if they have purchased it at the current maximum purchase price. (Refer
to GoldmanÓs memo of May 25, 2005 and his chart of examples.) The table establishes how much a monthly payment will be. The
rationale behind it is not to establish a maximum purchase price but rather say a household cannot spend more than 30 percent of their
income and if they get a better interest rate they can then afford a higher dollar value for the home. If their interest rate is lower, the
house would have to have a lower selling price. In other words, it shifts the focus from the current SDC program from a maximum
purchase price to maximum monthly mortgage. Whenever a unit transfers, it would be held to this program. However, a provision
could be added to protect the first time buyer to establish the resale amount so it cannot be less than their original purchase price.
The letter from ACCESS has asked what would happen in the case of a hardship. Goldman said in the event of a transfer, if it is a
qualified transfer, an owner would not have to pay the penalties. The penalties would only kick in if an owner wanted to get out of the
program by paying SDCÓs to sell the home at market rate.
There are less than a half dozen homes that fall under the SDC deferral program each year. These are now deed restricted.
Goldman said the program could be a voluntary ÐinÑ but with no voluntary ÐoutÑ. That would keep a unit affordable for 30 years. It
would be StaffÓs recommendation that units will remain affordable for a 30 year period and that the developer would be exempt from
paying the Community Development and Engineering Services Fee.
Weisler said in the hardship cases, would there be an entity that could buy it and hold it in affordability for the short term? She would
like the City to have the right of first refusal. Henderson said there is a model in ACLT.
Is the Commission favorable toward a minimum period of affordability or a voluntary in/voluntary out? Does the Commission wish to
have the purchase price correlated to income (30 percent for a mortgage) or a maximum? Should utilities be included? For simplicity,
it would be better to do things that can be traced over time.
PUBLIC HEARING
ASHLAND HOUSING COMMISSION
MINUTES
AUGUST 15, 2005
MELANIE MINDLIN, Fordyce Co-Housing, strongly supports going to a case by case basis for SDC deferral. She would encourage them
to go to 35 percent to encourage buyers to put together their best package and she would like it tied to percentage of income. She
would not prefer to have a term of affordability and have as little overlay as possible. All it does is get in the way of what the non-
profits are doing. She has a pet peeve about limiting equity on those creating affordable housing and buying affordable housing.
SHELLEY AUSTIN, ACLT, agreed with most of what Cyndi Dyer of ACCESS said in her letter. With regard to the period of
affordability, if there is any deferral program that has a disincentive for getting out of the program, anything less than 30 years, there
should be a $10,000 penalty. WeÓve seen in Ashland so many times where the SDCÓs have been paid off and the units fall out of the
program.
Goldman said heÓd come back with answers to questions and a draft resolution. Hartzell asked Goldman to craft some optional
language in the resolution for the points that have been brought up.
SUBCOMMITTEE REPORTS
Liaison Reports
Parks Ï Street spoke with Mike Gardiner, Parks Commission Chair. TheyÓve met twice with the School Board and City Council.
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They will be meeting again on September 8 at the Council Chambers at 7:00 p.m. and affordable housing is at the top of the list.
However, Gardiner doesnÓt see that Parks will be very involved affordable housing solution. Street will talk with the other
commissioners to try to persuade Gardiner to shift a little bit.
Schools Ï Hardesty met with Ruth Alexander, School Board member and she is very interested. Hardesty has met with Amy Patton.
They are just talking at this point about how they can work together. Alexander is interested in coming to one of the Housing
CommissionÓs meetings. They talked about the idea of little working groups that could be made of up of two to three Housing
Commission members as well as informal discussion with the School Board members that would include Juli DeChiro, Superintendent
of Schools.
Planning Ï Mackin said he and Peck attended the Planning Commission meeting to talk about condominium conversions. It will be
coming back to a Planning Commission study session, maybe on July 23, 2005, 7:00 p.m. at the Council Chambers.
Conservation Ï Weisler asked them if they could support energy conversation for affordable housing. There is a possibility of
dedicating the sale of green tags for solar panels for affordable housing. They would have to go to the Council for approval. At the
end of the year, dedication of the proceeds will be decided. They might also consider applying for a grant from the Bonneville
Environmental Foundation.
Education Ï Voisin reported they have a call to Fannie Mae on how to best devise a survey to take to employers. They will establish a
time when a Fannie Mae representative can be a part of an employer assisted housing workshop (probably November) and the
outcomes they are looking for. Future meetings are August 29 at 5:15 p.m. and September 12, 5:15 p.m.
Next Quarterly Study Session
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There are two October dates Î the 15 or the 22 for a meeting with Darcy Strahan from the State. Goldman will target the 22 and
let Strahan know soon. The meeting time will be 8:30 a.m. to 2:30 p.m. The Commission will have Strahan for about 1 ½ hours.
CITY COUNCIL LITHIA LOT PROPOSAL
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The Council heard the proposals on August 3. TheyÓve set a Special Meeting for August 30 at 7:00 p.m. for this item alone.
Goldman is expecting a decision at that meeting. Hardesty will be there and she encouraged others to attend the meeting and come
prepared. Staff will have a separate recommendation from that of the Housing Commission.
Goldman said Kendrick submitted a Performa showing what their project is built on. He will check with Legal to see if it admissible.
Hardesty, Mackin and Street volunteered to go to the Council meeting.
AGENDA ITEMS FOR NEXT MEETING
Discussion of whether or not to vote for a new Chair and Vice Chair.
ADJOURNMENT Ï 8:45 P.M.
ASHLAND HOUSING COMMISSION
MINUTES
AUGUST 15, 2005
DRAFT
CONSOLIDATED ANNUAL PERFORMACE
EVALUATION REPORT
(CAPER)
Program year 2004
(January 1, 2004 Î July 30 2005)
Prepared for:
The U.S. Department of Housing and Urban Development
By:
The City of Ashland
Department of Community Development
Planning Division
Ashland, Oregon
One Year Use of Funds
CAPER for CDBG Funds
2004 Program Year
City of Ashland
CDBG CAPER 2004
Page 2
City of Ashland 2004 Program Year
Consolidated Annual Performance and Evaluation Report (CAPER)
Part 1. Narrative Statement
A) Assessment of Three to Five Year Goals and Objectives
In May of 2000, the City of Ashland completed the Five-Year Consolidated Plan (2000-
2004). Fourteen priorities (goals) are identified in the Five-Year Consolidated Plan. The
priorities are not ranked in order of importance. Each project/activity, which was
undertaken during Fiscal Year 2004-05, is listed and discussed under the relevant
priority.
This assessment provided in this CAPER covers the 2004 Program year (Jan 1, 2004-
June 30, 2005). This 18 month long program year was the result of modifying from a
calendar to a Fiscal based program year to better streamline the CDBG program with
AshlandÓs fiscal year. In future years the CDBG Program year will extend from July 1 to
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June 30 of the subsequent year.
Goal 1: To increase the supply of affordable rental housing for extremely low-,
low- and moderate-income families. Where possible, give funding priority
to those projects that will provide benefits to residents with the lowest
incomes.
Ashland Community Land Trust
In the 2004 calendar year ACLT added eight units of affordable Housing to
AshlandÓs inventory. An award of $75,000 in CDBG funds awarded to ACLT
during Fiscal Year (FY) 2000-2001 for acquisition of the property was
directed toward the purchase of 41 Garfield Street during FY 2001-2002.
Ashland Community Land trust constructed six (6) residential rental units
upon this parcel. The project, named ÐParkviewÑ, is comprised of two
studios, two 1-bedroom, and two 2-bedroom apartments. In addition to the
$75,000 CDBG contribution to the project ACLT also received $518,354 in
HOME funds, as well as $100,000 in State of Oregon Trust fund dollars to be
used toward the development of the 6 unit project. These six units were
completed in February of 2004 with tenant selection in March/April of 2004.
Of the 6 households selected, 4 were female head of households, and 4
disabled individuals are part of the occupying households. All six households
qualify as low-income as earning less than 60% area median income.
City of Ashland
CDBG CAPER 2004
Page 3
Accessory Residential Units
The City of Ashland allows small second units in the single-family residential
zones to increase the supply of affordable rental units. The Conditional Use
Permit Procedure was changed in 1990 to allow an accessory apartment or
cottage within single family residential zones. This provided valuable
affordable housing units without unreasonable impacts on the neighborhood.
A total of 99 units have been made legal or been newly constructed of which
building permits for eight units were issued in the 2004 calendar year and
three permits were issued in the first six months of 2005. One of these newly
developed Accessory Residential Units, located at 264 Nevada Street, was
subsidized with a deferral of $4375 in System Development Fees from the
City General Fund under the stipulation that the unit be an affordable rental to
qualified households earning less than 80% Area Median Income (AMI).
City of Ashland general funds and planning action submittal fees were utilized
for staff support. No Accessory Residential Unit projects were funded with
Community Development Block Grant funds.
Large scale developments
The City of Ashland currently requires that for large scale developments over
10 residential units, 10% of the units be provided to qualified low-income
households earning less than 80% of area median income at rents equal to or
less than those set under the Ashland Affordable Housing Program. In 2003
the City approved one such large scale 24 unit condominium development at
the corner of Grant and North Main Streets. In this development two
affordable units were provided. Construction was completed in February of
2004 and deed restrictions were imposed in April 2004, thereby adding two
affordable rental units (232 & 234 Grant Street)to the City's inventory of
affordable housing stock. These units must remain affordable for not less
than 20 years.
Total New Affordable Rental Units Added
January 1, 2004 Î July 30 2005
The 2004 program year saw a nine unit cumulative increase in newly
constructed rental housing units, affordable to low-moderate income
households.
CDBG funds contributed to the development of six of the nine units as noted
under the ACLT project. Eight of the nine units are deed restricted requiring a
period of affordability of either 20 years (condo-conversions) or will be
perpetually affordable under ACLT. One Accessory Residential Unit is
affordable but could voluntarily exit the program by paying the deferred SDCs
plus interest.
City of Ashland
CDBG CAPER 2004
Page 4
Goal 2: To increase the homeownership opportunities for extremely low-, low- and
moderate-income households. Where possible, give funding priority to those
projects that will provide benefits to residents with the lowest incomes.
Ashland Community Land Trust(ACLT)
The purpose of the land trust is to create and sustain long-term affordable
housing in the city limits of Ashland for low and moderate-income families.
The land trust acquires and holds land, while the improvements are sold or
rented to the low-income residents.
During Fiscal Year 2001-2002 a total of $120,000 in CDBG funds were
awarded to the Ashland Community Land Trust (ACLT) for the purchase of
property to construct 4 affordable housing units. The City Council reviewed
and approved a modification of the 2001-2002 Action Plan to enable ACLT to
reduce the number of units provided from 4 to 3. ACLT purchased one
property at 311 Hersey Street which was sold to a single mother earning less
than 80%AMI utilizing $40,000 in CDBG funds. The remaining $80,000 is to
be utilized to purchase a vacant parcel on Garfield Street to complete two new
ownership units. As of the date of this publication an environmental review
has been completed on the identified property and ACLT is anticipating
purchasing the property (close of escrow) on September 30 2005. This
property purchase will occur in the 2005 CDBG Program year.
Rogue Valley Community Development Corporation (RVCDC)
The RVCDC relocate three homes slated for demolition from Southern
Oregon University to 290 Patterson, 321 Hersey and 311 Hersey St. The
home on 311 Hersey eas purchased in part by ACLT and is reported above.
The remaining two homes were not assisted with CDBG funds however were
secured as affordable by the use of USDA Rural Development loans to the
homebuyers, and the City deferral of System Development Charges. These
two units were both sold to households earning less than 80%AMI for less
than $146,744, nearly half the market rate of the homes today. The City
executed Resale Restriction Agreements on the two properties, 290 Patterson
Street, and 321 Hersey Street, on July 1, 2004.
RVCDC received two prior CDBG awards which resulted in the acquisition of
Property during the 2004 CDBG Program Year. Combined the two properties
purchased will allow the development of 15 affordable ownership in
cooperation with the USDA Rural Development Self Help Program.
Homebuyers will contribute a significant amount of Ðsweat equityÑ to lower
the ultimate purchase price to below $120,000 per unit. All units will be
occupied by low-moderate income households and will remain affordable for
a minimum of 20 years per the CDBG Subrecipient Agreement. However
City of Ashland
CDBG CAPER 2004
Page 5
RVCDC has indicated through their continued ownership of the land, the units
will effectively be affordable in perpetuity. The two properties purchased for
this scattered site development include 2001 Siskiyou Blvd, and 795 Park
Street.
The first site (2001 Siskiyou Blvd.) originally had a single family home on the
½ acre parcel which has been cleared in preparation for the development. The
RVCDC has received planning approval for nine units on the property, the
subdivision survey has been recorded, and the building permits are near
issuance. Ashland provided RVCDC with $361,750 in CDBG funds to
acquire the property for this phase of the development. This contribution was
the complete purchase price for the property. The RVCDC received a SHOP
grant award of $80,000 to provide pre-development costs as well as to
contribute toward common area improvements. The individual homeowners
(builders) will receive USDA 502 loans for the construction funds which
provide low interest subsidy to further reduce the cost of the housing.
Additionally the City awarded $13,800 in CDBG funds to be utilized toward
public facility improvements (curb, gutter, sidewalks) within the street right of
way on the properties frontage. The site is within a qualified low-income
census tract, thus these sidewalk improvements will serve not just the
residents of the affordable housing development, but the low-income
neighbors as well. Construction for this property is expected to be completed
in the 2005 CDBG program year thus the accomplishments of providing
affordable units will be reported in that years CAPER.
The second site, located at 795 Park Street was purchased by RVCDC for a
total of $350,000 with $274,000 being provided by the CDBG Program. The
remaining $76,000 in purchase price and additional closing costs was obtained
through a loan from Rural Development Collaborative in the amount of
$80,500. As with the previous site the RVCDC will be working with USDAÓs
Self-Help Program to obtain low-interest construction loans for the home-
owner/builders to develop the six units intended for this site. All units will be
affordable to households earning less than 80% Area median income. The
construction of these units is not expected to be completed until PY 2006 and
thus the accomplishments of providing affordable units will be reported in that
years CAPER.
Affordable Housing Program
The City currently provides a density bonus to developers who construct
affordable rental and ownership units. The City also defers the system
development charges for affordable rental and single family homes. The
deferred system development charges become a "sleeping second" mortgage
and are only activated if the home is sold outside the program, or the rents
exceed the maximum rent limit set by HUD. The participants can earn up to
130 percent of median income (for ownership) however as many units that
take advantage of the SDC deferral program are required to be affordable (due
City of Ashland
CDBG CAPER 2004
Page 6
to zone change and annexation requirements) they are typically targeted to
homes selling, or renting, to households earning less than 80%AMI. A total
of 55 households are currently participating in the program. During the 2004
program year four (4) new single family homes (311 &321 Hersey, 290 Patterson,
295 Mistletoe), and three (3) multifamily units (234 & 236 Grant St, 920 E Main), and
one (1)Accessory Residential Unit (274 Nevada St.) entered into the program.
Three participating single family units (245 E Nevada, 1126 Village Square Dr., 1332
left the program. In 2004-2005 the Ashland Housing Commission
Millpond)
has begun the process of revising the SDC deferral program in part to restrict
or prohibit voluntary withdrawal from the Affordable Housing Program. The
18 month CDBG program year saw a net increase of five units enter the
Affordable Housing Program (eight added, three exited). The deferred SDC
amount on the newly added households totaled $39,916.44.
Of the eight new units to enter the program only two can voluntarily exit the
program by repaying the SDC amount plus interest. The remaining six all
have deed restrictions requiring affordability for a period of 20 years or
greater. No CDBG funds were used for the deferred SDC program, as the City
of AshlandÓs general fund forgoes collection of the system development
charge to assist in lowering the cost of the housing. This program is ongoing.
Condominium Conversions
The City allows conversion of existing apartments to ownership units only in
cases where 25% of the units converted are affordable where the residents
have first right of refusal. In the 18 month CDBG program year the City did
not approve any condominium conversions. A four unit apartment complex on
Beach Street was approved for conversion to a condominium in 2003,
however the resale restriction covenants (deed restrictions) were not recorded
until May 2004. Thus this condo-conversion technically added one (1)
additional affordable unit to the city during the 2004 CDBG program year.
A newly constructed development at 920 East Main was converted to
condominiums immediately upon completion thereby requiring one of the
four units to be affordable. This unit is rented (not owned) by a low income
household but the Resale Restriction Agreement executed by the City
establishes the unit as an affordable ownership, or rental, unit for a minimum
of 20 years.
In 2003 the City approved the convervion of a 10 unit apartment into condos
(Park Place Condos) thereby adding three (3) affordable housing units for
ownership. These units require a 20 year affordability period through a deed
restriction on the property. The approval for this conversion occurred in 2003
however the final recording of documents did not take place until March of
2004. Given the 18 month 2004 CDBG Program Year these units were
secured as affordable during this report period.
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Further, on July 12 of 2005 a seven unit apartment complex was approved
for conversion by the Planning Commission. The resulting two affordable
City of Ashland
CDBG CAPER 2004
Page 7
units will be ÐcreatedÑ, by the recording of deed restrictions establishing a 20
year affordability period, in the 2005 CDBG year and thus reported in the
2005 CAPER.
Affordable Housing Action Plan
The Affordable Housing Action Plan was adopted in October of 2002
outlining a number of strategies to address the housing needs of AshlandÓs
low-moderate income residents. Specifically a number of strategies to
eliminate or reduce regulatory barriers were recommended. One such strategy
was to ensure efficient, high density, development within multifamily zones.
To this end the Ashland Housing Commission developed a minimum density
ordinance for consideration by the Ashland City Council which was approved
in December 2004. This ordinance required that property be developed at a
minimum of 80% the base density for the zone, thereby encouraging smaller
units and high density to accommodate the need for rentals. The ordinance
was in part a response to concerns over multifamily zoned land being
consumed by single family ownership housing at the expense of multi-family
housing stock.
Another Strategy outlined in the Action Plan involved the development of the
air-rights above City Owned parking lots with affordable housing. To this end
the Housing Commission drafted a Request for Proposals to develop up to 10
affordable rental units above a small downtown parking lot as a pilot project.
This RFP was issued by the City Council in December 2004 resulting in four
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applications. On August 30 2005 the City Council selected one of the
proposed development teams to create nine-ten workforce housing units
targeted to households earning less than 80% Area Median Income.
Total Affordable Ownership Units Added
January 1, 2004 Î July 30 2005
During the 2004 CDBG program year Ashland increased its stock of new
affordable ownership housing by eight units (five condominiums, three stand
alone single family homes).
Additionally 15 new ownership units are ÐunderwayÑ through the RVCDC
Self-Help project but as they have not yet been constructed, they were not
added to the inventory of affordable housing stock in 2004.
City of Ashland
CDBG CAPER 2004
Page 8
Goal 3: To maintain the existing affordable housing supply. Where possible, give
funding priority to those projects that will provide benefits to residents with
the lowest incomes. Also, give funding priority to those programs which
retain the units as affordable in perpetuity, or recapture the rehabilitation
costs for further use in Ashland.
Ashland Community Land Trust
The purpose of the land trust is to create and sustain long-term affordable
housing in the city limits of Ashland for low and moderate-income families.
The land trust acquires and holds land, while the improvements are sold or
rented to the low-income residents. The ACLT accomplishments regarding
new ownership housing are noted under Goal 1, and the accomplishments
regarding new rental Housing are noted under Goal 2. In 2004 ACLT also
completed the acquisition of an existing Duplex at 264 Grant Street to become
affordable in perpetuity under the Land Trust model and therefore maintain
two existing affordable rental units consistent with Goal 3.
The Ashland Community Land Trust (ACLT) was awarded a total $285,000
in CDBG funds for the 2004 Program Year to purchase a property located at
264 Grant Street and provide minor rehabilitation work. The property is .22
acres in size and currently contains a single story structure containing two
residential units (880sq.ft. each). The duplex remains occupied by one
extremely low-income household (single person), and one household (retired
couple) earning slightly more than 80% of area median income. As one unit
of a duplex can be affordable and still be considered to meet the 51% low-
mod benefit eligibility criteria, ACLT has kept the existing tenants in the
duplex. Upon the voluntarily vacation of the medium income household
ACLT will rent the vacated unit to a household earning less than 60%AMI per
the agreement executed with the City. These units were acquired by ACLT
for $271,000 in CDBG funds in June 2004, and the rehabilitation of the units
was completed in August 2005 utilizing $14,000 in CDBG funds.
Rehabilitation included a roof replacement, bathroom repair, wall and floor
repair, cabinet repair, and interior and exterior paint. The original duplex was
constructed in 1979 so no lead based paint issues were identified. As the
rehabilitation was not completed during the 2004 CDBG Program year it will
be reported in the 2005 CAPER.
Consent to Annexation
In the 2004 CDBG Program year the City Council approved the extension of
services to a household outside the City Limits, but within the Urban Growth
Boundary. The household had a failing septic system and water quality
issues. Thus the extension of services was necessary for the household to
remain in residence. The owner occupant of this household at 295 Mistletoe
Rd, being low income, was unable to pay the necessary System Development
Charges to connect to City Services and thus the City contributed $2,656.00 in
SDC Deferrals to allow the household to obtain water and sewer services.
City of Ashland
CDBG CAPER 2004
Page 9
The Owner was required to execute a Resale Restriction Agreement indicating
the unit would remain occupied by a low-income household for the period of
the SDC Deferral (20 years) or the deferred amount is due with interest.
Housing Commission
The Housing Commission was established in 1995 to monitor the
accomplishments of the City's housing program, to make recommendations to
the City Council on housing policy, and to serve as an advocate for affordable
housing in the City's political process. As mentioned above under
ÐAffordable Housing Action planÑ the Housing Commission continues to
delineate activities to address the retention and creation of affordable housing.
These activities are further explained under Goal 13 of this CAPER. The
Housing Commission also oversees specific affordable housing projects
undertaken by the City in partnership with private groups, and non-profit
organizations. The Housing Commission also fulfills the responsibility of
reviewing the Community Development Block Grant program specifically to
include reviewing all proposals for CDBG awards and providing
recommendations to the City Council as to which project(s) best meet the
intended goal of providing affordable housing.
Federal CDBG and City of Ashland general funds are utilized for staff
support. The Federal CDBG funds are part of the 20% yearly allocation used
for CDBG program administration.
Technical Assistance
The City provided technical assistance to nonprofit organizations whose
mission includes providing affordable housing. This technical assistance
includes, when necessary, providing information on the CDBG program, City
zoning regulations, educating agencies on the planning process and providing
information on the City's affordable housing program including deferred
systems development charges and density bonuses. The City also aims to
direct potential affordable housing developers to other resources such as Rural
Development programs and Oregon Housing and Community Services
funding. The City of Ashland provided technical assistance through the
Planning Division as requested and supported applications consistent with the
Consolidated Plan. The City provided assistance to the Rogue Valley
Community Development Corporation, Rogue Valley Habitat for Humanity,
Ashland Community Land Trust, Fordyce Co-Housing Project, and the
Housing Authority of Jackson County in preparing applications for their
proposed developments during the 2004 CDBG program year.
Federal CDBG and City of Ashland general funds utilized are for staff
support. Twenty Percent of the yearly CDBG allocation ($51,200 in PY2004)
is utilized for CDBG program administration.
City of Ashland
CDBG CAPER 2004
Page 10
Total Existing Affordable Units Retained
January 1, 2004 Î July 30 2005
D uring the 2004 CDBG program year Ashland saw the retention of three
existing affordable units. Two of these units were rentals (264 Grant Street
Duplex), and one owner occupied unit was retained (295 Mistletoe). If it were
not through the contribution of CDBG funs, or SDC deferrals and extension of
services, all three of these units faced resale on the open market which would
have likely displaced the existing households. The rental units are secured as
affordable perpetually whereas the ownership unit is not secured in that
although affordable now, the owner could pay off the SDC deferral to exit the
program
Goal 4: Encourage the development of emergency and transitional housing for
homeless families with children and/or individuals.
No CDBG funded actions were undertaken or completed during the 2004
program year that specifically applied CDBG funds toward the development
of emergency or transitional housing.
City Staff, the Housing Program Specialist, did participate with the planning
body of the Jackson County Continuum of Care Homeless Task Force in an
effort to examine homelessness regionally and develop strategies for
providing transition from homelessness. Further the Housing Program
Specialist assisted local homeless individuals, community members, and staff
from the Oregon Department of Health and Human Services, in the
development of an independent organization , the Ashland Homeless Alliance,
whose mission includes development of emergency and transitional housing
in Ashland.
Goal 5: Support services for homelessness prevention and transition. Where
possible, give funding priority to services that are part of a comprehensive
approach that improves the living conditions of clients. Safety net services,
or services that meet basic needs shall only be funded with CDBG dollars if
it can be demonstrated that clients receiving those benefits are part of a
program that will eventually help them obtain self-sufficiency.
No actions were undertaken or completed during the 2004 program year that
specifically directed CDBG funds toward services for the homeless.
The City does allocate over $100,000 of general fund dollars each year in
Social Service grants from the City General Fund. These Social Service grant
allocations are listed under the Continuum of Care Narrative and included a
grant of $25,000 to the Interfaith Care Community of Ashland (ICCA) to
provide case management services to homeless individuals and families. This
City of Ashland
CDBG CAPER 2004
Page 11
grant addresses this goal while supporting ICCA, a member of the Jackson
County Continuum of Care Consortium.
Goal 6: To support housing and supportive services for people with special needs.
People with special needs include the elderly, the frail elderly, persons with
developmental disabilities, persons with physical disabilities, persons with
severe mental illness, persons with alcohol or other drug dependencies and
persons with HIV/AID or related illnesses.
No specific CDBG Funded activities were identified in 2004 Action Plan to
address this goal.
However the City will continue to support the development of housing and
supportive services for individual with special needs. The City allocates over
$100,000 annually in ÐSocial Service GrantsÑ out of the CityÓs General Fund.
Through this City Grant Program $115,400 was awarded to 18 agencies of
which the majority specifically address supportive services for people with
special needs. Most notably the Community Health Center was provided
$30,000 to provide health care services, the Interfaith Care Community of
Ashland (ICCA) was provided $25,000 to provide client services to homeless
individuals, and Community Works was given a total $33,000 to provide
services including rape crisis counseling as well as temporary shelter for
victims of domestic violence. Additionally a grant of $2000 was provided to
OnTrack Inc. to assist in the operating expenses for their drug abuse treatment
programs.
Agency and Program Name Amount Granted
ACCESS, Inc (Housing) $5,000
CASA of Jackson County, Inc. (Housing) $2,500
Center for NonProfit Legal Services, Inc $5,000
Children's Dental Clinic of JC $1,750
Community Health Center $30,000
Community Works- Dunn House $19,000
Community Works- Help Line $8,000
Community Works- Parent Education $2,000
Community Works- Rape Crisis $2,700
Community Works- Personal Safety $1,300
ICCA (Homeless services) $25,000
JC Children's Advocacy Center $3,000
Mediation Works $2,400
Ontrack, Inc (Drug treatment) $2,000
Planned Parenthood of SW Oregon $1,750
RV Manor- Senior Volunteer $1,500
RV Manor- Foster Grandparent $1,000
SDS RVCOG Food & Friends $1,500
TOTAL GRANTED $115,400.00
City of Ashland
CDBG CAPER 2004
Page 12
The City does not use CDBG funds made available for these activities during
Program year 2004 instead using General Funds and reserving CDBG funds for
affordable Housing projects (Goals 1-3).
Goal 7: To provide safe and convenient access to alternative transportation routes in
extremely low-, low- and moderate-income neighborhoods.
In previous years the City had made a CDBG commitment to sidewalk
improvements in moderate- and low-income neighborhoods by allocating ten
percent of the total federal funding for sidewalk improvement and new
construction annually in prior years. However the Ashland Consolidated Plan
was revised to eliminate this 10% set-aside beginning with the 2002-2003
program year. This limitation on the allocation of CDBG was continued in the
2005-2009 Consolidated Plan further eliminating the potential to apply CDBG
funds to sidewalk improvements exclusively based on qualified low0income
neighborhood status. However an award of 13,8000 in CDBG funds was
awarded to RVCDC to assist in the development of public sidewalks on their
property frontage at 2001 Siskiyou Blvd in support of the affordable housing
project approved for that site. This site is within a qualified Census tract, so
this improvement expected to be completed in PY 2005 will improve access
from the neighborhood to the adjoining transit line on Siskiyou Blvd.
To support alternative transportation for all Ashland residents, including those
in low-moderate income neighborhoods the City of Ashland contracts with
Rogue Valley Transportation District (RVTD) to provide free bus service
within the City. The City General Fund contributes $250,000 to RVTD in
order to provide the no-cost fare.
Goal 8: To make city facilities easier and safer to use for people with disabilities.
The City did not utilize CDBG funds toward this goal in the 2004 program
year.
Goal 9: To affirmatively further fair housing.
The City of Ashland sponsored an hour long live call in show on Rogue
Valley Community Television (channels 9 & 31in Jackson County and
channel 34 in Josephine County) on the rights afforded citizens under the Fair
Housing Act. The City Housing Program Specialist (Brandon Goldman)
interviewed Diane Hess, Education Coordinator of the Fair Housing Council
of Oregon regarding housing discrimination, harassment and informed
residents how they can learn more as well as seek help in the event they face
discrimination. This shows aired a total of 12 times (four times each on
City of Ashland
CDBG CAPER 2004
Page 13
channels 9, 30 and in Josephine county channel 14) during the 2004 CDBG
Program year reaching a cable subscriber base of 72,000 residents.
This show continues to be re-run on RVTD over the course of the 2005
calendar year. A DVD recording of the show is included with this CAPER.
The City of Ashland recognizes the importance of promoting fair housing and
as such we are very pleased to have worked with FHCO to have had local
tester trainings in 2004, and assist the education provided by the local cable
broadcast. Additionally during 2004 the City also worked with FHCO and
the Oregon Shakespeare Festival to utilize OSF's production of Raisin in the
Sun to highlight discrimination in Oregon. This was accomplished through
coordinated displays, direct mailings to OSFs subscriber base inviting them to
a special performance and a community discussion on Housing
Discrimination following the special performance of the play.
Federal CDBG and City of Ashland general funds were utilized for staff
support. The Federal CDBG funds allocated toward fair housing activities
were part of the 20% yearly allocation identified for CDBG program
administration.
Goal 10: Assure activities assisted by the City are conducted in compliance with state
and federal laws that apply to lead-based paint hazards, and the information
distributed about lead-based paint is in compliance with current state and
federal laws.
The City did not plan to use funds made available for an activity addressing
this goal during 2004. However as the development of three affordable units
at Hersey and Patterson Streets involved relocating existing homes to the site,
the City required the organization completing the rehabilitation of the homes
(Rogue Valley Community Development Corporation) complete a lead hazard
assessment, perform the appropriate work to remove the hazard and to have
the final clearance provided to the City and prospective home buyers
consistent with state and federal law. Ashland Community Land Trust
purchased the properties for one of these homes as noted under Goal 2 above,
with the remaining two homes sold as affordable to low0income households
by the Rogue Valley Community Development Corporation.
Through staff oversight on this project the City of Ashland did monitor the
rehabilitation of these homes including lead based paint abatement and safe
work practices, to ensure activities funded with CDBG were in compliance
with state and federal law.
Goal 11: To reduce the number of people living in poverty in the City of Ashland.
The City did not use CDBG funds for a specific activity addressing this goal
during the 2004 Program year other than through the efforts to promote
City of Ashland
CDBG CAPER 2004
Page 14
affordable housing. The City social service grants provided to Community
Health Center ($30,000) and the Interfaith Care Community of Ashland
($25,000) were to provide direct benefits to impoverished residents and
homeless individuals. Through improved health provided by the Community
Health Center, or direct client counseling and case management provided by
ICCA, the individuals receiving services have an increased ability to obtain
self sufficiency.
Goal 12: Promote and support activities in the community that improve or provide
access to economic opportunities for extremely low- and low-income
residents of Ashland.
Although no CDBG funds were directed to address this goal, the City of
Ashland granted numerous Economic Development Grants during the 2004
CDBG program year. 19 different organizations received awards, however the
majority were granted to organizations supporting the arts (Ballet, theater,
singers, etc.).
A recipient organization that promoted activities in the community that
improve or provide access to economic opportunities for extremely low- and
low-income minority residents of Ashland included the Southern Oregon
Economic Development Coalition that received $2000 to be directed toward
assisting Native American economic development.
Ashland also recognizes the increasing opportunities for low income residents
to participate in home businesses, either as a proprietor of services,
manufacturer of goods, or through employment at such small home
occupations. Between July 1 2004 and June 30, 2005 the City issued 91 Home
Occupation permits approaching its average 100 annual permits. Therefore in
the CDBG program year the City issued approximately 140 Home Occupation
Permits allowing incubator businesses, home based services, internet based
businesses, and other such small, residentially compatible, business
opportunities for Ashland Residents. Given the ability to work out of ones
home, expenses typically required for securing commercial property are
eliminated. No data is collected on the incomes of applicants for Home
Occupation Permits so it can not be determined how effective this is at
providing opportunities for low- or extremely-low income households.
Goal 13: Remain aware of the barriers to affordable housing in Ashland, and where
it is within the CityÓs ability, take steps to overcome such barriers.
During FY2002-2003 the City of Ashland completed a Housing Needs
Analysis and adopted an Affordable Housing Action Plan. This work effort
was completed utilizing $32,000 in City general fund dollars and no CDBG
City of Ashland
CDBG CAPER 2004
Page 15
funds were allocated to this project. The City created a new full time staff
position of "Housing Coordinator" to investigate and implement the
recommendations of the Affordable Housing Action Plan.
This position is partially funded out of the City General Fund and has been
funded in part with Community Development Block Grant Funds to
administer the CDBG Program. Through coordination with other agencies the
City has been able focus more directly upon the barriers to affordability
during 2004 both locally and regionally.
Goal 14: To provide institutional structure and intergovernmental cooperation.
During Program Year 2004 Staff supported the efforts of the Ashland Housing
Commission to monitor the accomplishments of the CityÓs housing program,
to make recommendations to the City Council on housing policy and to serve
as an advocate for affordable housing in the CityÓs political process. The
Commission also provided coordination and continuity to programs to meet
housing and community development needs.
The City of Ashland and the numerous organizations directly involved with
providing affordable housing in our region interact in a number of ways.
Through common memberships, periodic updates, and collaborative forums
the City of AshlandÓs elected officials and the Ashland Housing Commission
have been able to keep abreast of the myriad of activities underway related to
housing. Specifically during the 2004 CDBG Program year Ashland
completed a new Consolidated Plan for the Period 2005-2009. This effort
entailed key interviews, direct one on one meeting and focus group meetings
with elected and appointed officials, non-profit housing providers, the
Housing Authority, City of Medford, and social service agencies within the
region.
Ashland has continued active participation in the Jackson County Housing
Coalition attending nearly every meeting during the 2004 Program Year. The
membership of the Jackson County Housing Coalition includes a substantial
number of individuals that are elected officials of the Ashland City Council,
as well as appointed representatives on the Ashland Housing Commission.
These representatives, as well as City Staff, attend the meetings of the Jackson
County Housing Coalition and are thus able represent Ashland, and to
effectively convey the activities and objectives of the Coalition back to their
respective governing bodies. This ensures a broader understanding and
coordination with the activities undertaken by all participants of the Jackson
County Housing Coalition.
The Ashland Housing Commission oversees specific affordable housing
projects undertaken by the City in partnership with private groups. The
Commission promotes cooperation between local non-profit organizations and
City of Ashland
CDBG CAPER 2004
Page 16
governmental agencies for projects in Ashland to insure that the resources are
used as efficiently as possible and that there are not duplication of efforts.
The Housing Commission also reviews the proposals received for use of
CDBG funds and provides award recommendations to the City Council.
$51,200 in Federal CDBG funds (20% of the yearly allocation) was directed
toward Administration of the CDBG Program during 2004. Administration of
the CDBG program includes staff support of programs and projects that
further the goals outlined in the 2000-2004 Consolidated Plan, provision of
technical assistance, and the monitoring of the activities of sub-recipients.
City of Ashland general funds are also utilized to contribute toward CDBG
program administration as well as staff support of non-profit organizations
and intergovernmental cooperation.
B. Affirmatively Furthering Fair Housing
Under Goal 9 above the CAPER reflects the activities undertaken in 2004 to
address Fair Housing. Specifically in the 1996 Analysis of Impediments the
lack of information regarding Fair Housing Law was seen as a key factor in
discrimination. The workshops, training's, and video presentations attempt to
rectify this impediment to ensure people understand both their rights and
responsibilities under the law.
C. Affordable Housing
During the 2004 Program year the City saw the addition of eight new
affordable ownership housing units to the City's inventory, with three pre-
existing units exiting the program. Additionally one preexisting unit low-
income occupied unit was preserved as affordable due to City extension of
utilities and deferral of System Development Charges. This constitutes a net
gain of six affordable ownership units. As noted previously an addition 15
units of affordable ownership housing were initiated in 2004 through the
acquisition of two properties by RVCD with CDBG funds, however these
units will not be occupied until the subsequent CDBG program years.
The rental housing stock of affordable units was increased by nine new units
and two additional units were retained as affordable due to CDBG funds being
used to purchase and rehabilitate and existing duplex.
The City of Ashland does not directly develop or manage affordable housing
in Ashland. The City of Ashland has prioritized the provision of affordable
housing to be the highest priority need in the Consolidated Plan. In doing so
all competitively available CDBG funds (80% of the yearly allocation) were
made available to sub-recipients with projects to retain or create affordable
housing in PY2004. In doing so the City can ensure that the limited resources
available are utilized effectively to address the need for affordable housing
City of Ashland
CDBG CAPER 2004
Page 17
(see goals 1,2,&3). However in future years (2005-2009) the new City
Consolidated plan will make 15% of our annual CDBG allocation available to
social services, specifically those addressing homelessness.
The City currently does provide a density bonus to developers who construct
affordable rental and ownership units. The City also defers the System
Development Charges (SDCs) for affordable rental and single family homes
so long as they remain ÐaffordableÑ. The maximum rent limit set by HUD can
not be exceeded, nor can the housing units be sold outside the program, or the
deferred SDCs will be activated. The funding source for this project is the
City of AshlandÓs General fund foregoing collection of System Development
Charges.
During 2002 the City of Ashland completed and adopted a Housing Needs
Analysis and an Affordable Housing Action Plan. This plan identifies
strategies the City will implement to increase the development of affordable
housing. One identified strategy involves modification to Ashland's Land Use
Ordinance to the opportunities to develop single family uses on Multi Family
zoned properties in an effort to encourage the needed housing type of
apartments. The City Council adopted an ordinance establishing a Ðminimum
densityÑ for multifamily zoned property in 2004. Although this ordinance will
not directly create affordable housing, it should effectively limit the inefficient
use of the limited stock of Multi-Family zoned Property. The inefficient use
of such lands through the low density development of single family homes
places upward price pressures on the remaining land without contributing to
the supply of needed multifamily units. With the newly passed ordinance
such properties must develop at 80% the base density established for the
zones.
D. Continuum of Care Narrative
The City directs over $100,000 in general fund dollars to safety net
services, homeless care providers, low income health care, and essential
continuum of care services each year. In the 2003-2004 fiscal year the
"Social Service Grants awarded totaled over $115,000 (table next page)
Fiscal Year includes the first half of the CDBG 2004 Program year (Jan 1-
June 30 2004). Given the relatively small size of the award requests, the
use of the City's General Fund grant awards enables these non-profits to
direct the award to services with a minimal amount of grant administration
costs.
City of Ashland
CDBG CAPER 2004
Page 18
2003-2004 Social Service Grants - from City General Fund
Agency and Program Name Amount Granted
ACCESS, Inc (Housing) $5,000
CASA of Jackson County, Inc. (Housing) $2,500
Center for NonProfit Legal Services, Inc $5,000
Children's Dental Clinic of JC $1,750
Community Health Center $30,000
Community Works- Dunn House $19,000
Community Works- Help Line $8,000
Community Works- Parent Education $2,000
Community Works- Rape Crisis $2,700
Community Works- Personal Safety $1,300
ICCA (Homeless services) $25,000
JC Children's Advocacy Center $3,000
Mediation Works $2,400
Ontrack, Inc (Drug treatment) $2,000
Planned Parenthood of SW Oregon $1,750
RV Manor- Senior Volunteer $1,500
RV Manor- Foster Grandparent $1,000
SDS RVCOG Food & Friends $1,500
TOTAL GRANTED $115,400.00
The City of Ashland is a supportive participant in the Jackson County
Community Services Consortium (JCCSC) which is comprised of
numerous local non-profit and government agencies. The consortium is
engaged in formulating and implementing long range strategies to provide
a continuum of care to homeless individuals and families throughout
Jackson County. It is our hope that the consortiumÓs plans will best
address the full range of needs for the homeless of Jackson County and
within Ashland specifically. The City of Ashland remains active on the
Homeless Task Force arm of JCCSC.
The Jackson County Community Services Consortium Homeless
taskforce member that is directly active within Ashland implementing the
countywide Continuum of Care strategies has been the Interfaith Care
Community Association (ICCA). Although ICCA is an active member of
the Continuum of Care Taskforce, they did not receive program
implementation grant funds awarded by HUD to certain members of the
Taskforce. The City supports ICCA through the award of a Social Service
Grant out of the CityÓs General Fund. The City has consistently awarded
approximately $10,000 per year for the continued operation of ICCAÓs
Homeless services center at 144 N. Second Street , through the Social
Service Grant program. In 2003-2004 ICCA was awarded $25,000 to
further assist their activities in light of statewide funding shortages and
was provided an additional $14,400 in City Funds in 2004-2005 spanning
the 2004 CDBG Program Year. ICCA provides emergency housing
vouchers and transitional foster homes for homeless families and
individuals within Ashland. ICCA provides an ongoing program to assist
individuals in finding permanent housing and employment through
extensive client case work.
City of Ashland
CDBG CAPER 2004
Page 19
By supporting established non-profit organizations, such as ICCA, with
the mission of providing housing and services for homeless, special needs,
and low-moderate income individuals, the City of Ashland hopes to
increase the quality of life for the population served. The City will
maintain its role as a supportive partner and continue to stimulate new
partnerships with non-profit and public agencies.
The City of Ashland will continue to be a participant in the Jackson
County Continuum of Care Consortium to ensure the strategies set forth in
this planning process are implemented within Ashland by participating
members of the taskforce. In the future, if the Continuum of Care goals
and strategies are not being met in this manner, the City will consider
other actions to accomplish Continuum of Care goals.
E. Other Actions
No specific actions were taken during 2004 that are not identified
elsewhere in the Consolidated Annual Performance and Evaluation
Report.
F. Leveraging Resources
While the City itself did not use CDBG funds to leverage other public and
private resources, local non-profits have reported the CDBG funds to be
essential in obtaining private donations and other public and private
grants. During 2001-2002 the Ashland Community Land Trust was able to
secure other grants totaling over $618,000 in part because of the local
support for their project evidenced by an award of $75,000 in CDBG
funds. This project was completed during the 2004 program with
occupancy of the six-plex taking place in this report year. however this
projects leverage was reported in 2002.
During 2004 the CDBG funds awarded to RVCDC for acquisition of 2001
Siskiyou Blvd ($361,750) and 795 Park Street ($274,000) allowed
RVCDC to obtain SHOP Funding for a USDA Self Help Project in the
amount of $80,000 to assist RVCDC in completing their proposed
projects. Additionally RVCDC received an award to utilize Youth-Build
labor to accelerate the development of the project through an award
through the Job Council. Lastly the home-buyer-builders have been
qualified by USDA for section 502 Home loans at very low interest rates.
These loans (between 1-3% interest) enable the homebuyers to pay
considerably less in monthly mortgage payments thereby offering further
subsidy to the project. For this project the City will contribute
City of Ashland
CDBG CAPER 2004
Page 20
approximately $6,000 per unit toward System Development Charges for a
cumulative contribution of approximately $90,000. These SDCs are
assessed at the time of issuance of a building permit and therefore will be
reported in the 2005CDBG CAPER.
G. Citizen Comments
No comments have been received regarding the 2004 Action Plan or 2004
CAPER.
The availability of the Consolidated Annual Performance and Evaluation
Report (CAPER) for use of 2003 CDBG funds was advertised in the
th
September 16 2005, edition of the Ashland Daily Tidings (display
advertisement enclosed) and was posted continuously on the City of
th
Ashland web site from September 16, 2005 through September 30, 2005
for public comment. Additionally the Housing Commission reviewed the
th
CAPER at their September 19 Regular meeting to obtain comments.
(Number) comments had been received as of 3:00________. The 2004
CAPER document remains archived on the City website.
H. Self Evaluation
A. Impact of Activities on Identified Needs
The City of Ashland Five-Year Consolidated Plan for 2000-2004 includes
a list of 14 ÐGoalsÑ of the community. These goals demonstrate that the
highest priority need is the provision of affordable housing. To this end,
80% of the yearly CDBG allocation is now directed to this highest priority
need. Administration of the program uses the remaining 20%. Given that
Ashland is a small-city with limited resources, it is highly unlikely that
each of the fourteen identified goals can be addressed in any single
program year. Furthermore, while Ashland experiences a broad range of
needs similar to larger communities, the resources and services available
to assist low- to moderate-income people in the Rogue Valley is limited
and comparable to rural areas.
Ashland is using an innovative approach to tackling the problem of
providing affordable rental housing and home-ownership opportunities for
low-income. One such way is the elimination of regulatory barriers, or the
imposition on new regulations that promote affordable housing.
Specifically the City established criteria for a zone-change (from low to
high density) or annexations that require a percentage of affordable
housing as part of the development. In April 2005 the City Council
approved one such zone change from single family to multifamily to allow
a co-housing project to be developed. Although all the units of the Co-
Housing development are intended to be available at less than market rate,
City of Ashland
CDBG CAPER 2004
Page 21
two of the units are specifically targeted to households earning less than
60%AMI to meet the zone-change criteria. The developer intends to work
with Habitat for Humanity to develop the affordable units. In PY 2004 the
City also passed a minimum density ordinance in an effort to promote the
development of needed rental units in multi-family zones. Ashland
continues to offer System Development Charge deferrals for new units
affordable to low-moderate income households thereby reducing
development costs for affordable housing projects. However, as housing
costs in Ashland continue to rise, the incentive provided by the deferral of
System Development Charges may not be substantial enough in and of
itself to retain the affordable housing stock. As such the Housing
Commission has undertaken the task of examining the SDC deferral
program to ensure retention of affordable housing and ultimately create
more affordable housing in Ashland (See Goal 12).
In 1990, the City amended the local land use ordinance to allow
ÐAccessory Residential UnitsÑ, an apartment or cottage in addition to the
primary residence, as a conditional use in single family residential zones.
This was done in an attempt to create additional, ÐaffordableÑ rental units.
Since 1990, 99 units have been made legal or newly constructed through
the conditional use permit process. While it is clear the program has
added rental units to the market, with the exception of the Accessory
Residential unit mentioned under Goal 1, the accessory residential units
are not typically limited by any income qualifications. However, due to
the size limitations set for Accessory Residential Units (a maximum of
half the size of the primary house or 1000 sq.ft Î which ever is less) they
typically can not command the same market rental prices as Ðfull sizeÑ
residential units. Additionally the City considers units of less than
500sq.ft. to be only 3/4 of a unit. This designation reduces System
Development Charges, and parking requirements. Therefore the majority
of new Accessory Units developed are less than 500sq.ft. in size.
Another Priority Need which has been difficult to address is assisting
individuals in the transition from being homeless to a permanent housing
situation. Local non-profit agencies, which provide assistance and
homeless prevention services, report that the population of homeless
individuals in Ashland in the Rogue Valley is rapidly increasing. These
providers had been unable to keep up with demand for their current level
of services, and thus a $25,000 City general fund grant was awarded to
Interfaith Care Community of Ashland to assist individuals in locating
shelter.
City of Ashland
CDBG CAPER 2004
Page 22
B. Barriers to Fulfilling Strategies
The most obvious barrier to addressing the Priority Needs of the Five-
Year Consolidated Plan is a lack of resources and the rapidly increasing
market rate of property. Property value increases in Ashland continue to
outpace the State, and Jackson County. Property values have on average
increased atover 20% annually over the last 5 years resulting whereas
incomes increase at less than 3%.The Ashland median home cost was
$285,300 and in 2004 the median home in Ashland sold for $334,500.
This represents an appreciation of 17% in a single year.
Jackson County currently has approximately 181,269 residents with
20,590 of those people living within the Ashland city limits. The
Medford-Ashland area has been picked recently as one of the twenty-two
Ðmagnet marketsÑ in the nation, defined as having a high diversity
quotient, a large senior population, and expected to grow the fastest over
the next 25 years. If this is the case, the county would increase to 226,198
1
by 2010, a 24% growth rate in ten years.As stated earlier, even though the
population is much smaller than many of the counties in Oregon, a similar
range of social services and community needs are in demand. Particularly
with an increasing retiree population demaind for senior services will
continue to increase. These needs are for the most part provided by local
non-profit agencies. The non-profit agencies face multiple barriers in
obtaining funding. Since there is a small population, direct resources from
the area are limited. This negatively affects the ability of local non-profits
to leverage local funds to obtain grants.
The tough competition for dollars in an area with limited population and a
wide geographic range has resulted in only the most efficiently managed
non-profits being able to survive. While on the surface this seems like a
beneficial outcome, the real result is that less services are provided by
fewer, and expansions of service are rare. Staff turn-over at the agencies
is high. Attracting the highly skilled personnel needed to manage the non-
profits is difficult given the highly constrained communities, demanding
nature of the work, low salaries and high living costs.
C. Improvements
A coordination improvement to the CDBG Program completed in the
reporting period was the adjustment of the CDBG program year to match
the CityÓs Fiscal Year. Although this may appear to be an insignificant
improvement the result will be to streamline the award process and
accounting process to match the City Fiscal Year. It was this one-time
adjustment in the CDBG program year that resulted in the 18 month
1
Oregon Employment Department, , 2004.
City of Ashland
CDBG CAPER 2004
Page 23
period covered in this CAPER. However in future years the reporting
period will be consistent with the City Fiscal Year (July 1 Î June 30).
The City of Ashland ranked the Priority Needs of the Five-Year
Consolidated Plan for 2000-2004 to help address the limited resources
available for social services and community needs in the Rogue Valley.
Specifically this ranking directs the majority of available CDBG funds to
the highest priority need, the provision of affordable housing.
The City has been very concerned about the significant delays by
subrecipients in identifying suitable property. The timely expenditure of
funds is essential to the success of the CDBG program therefore it is
imperative that all activities are completed, and funds expended, in the
program year for which the award is made. To this end the City requires
sub-recipient agreements to include timing schedule to require the actions
be completed within a set timeframe. Additionally initiation target dates
are noted in the award of CDBG funds to ensure if a project is not initiated
in a timely fashion the funds can be immediately reallocated to an eligible
use Furthermore, at the initial Request for Proposals for use of CDBG the
City of Ashland will request applications for acquisition of property
include a letter of support from the property owner of the identified
property.
The 2005-2009 Consolidated plan was developed during the 2004
program year. Information gathered for the 2002 Housing Needs Analysis,
and data compiled in conjunction with the development of the 2005-2009
Consolidated Plan will be of assistance in potentially refining the goals to
better reflect the needs of the community. This Plan retained the primary
strategies and emphasis on affordable housing, however as it was found
that homeless needs were also of high priority the City re-established the
use of 15% of the CDBG allocation to be available to serve their needs.
This improvement in our distribution of CDBG funds should not only
provide needed services for an underserved population (homeless), but
will more effectively utilize CDBG funds in a timely manner.
A coordination improvement to the CDBG Program the City adjusted the
CDBG program year to match the CityÓs Fiscal Year. This was done for
ease in reporting as well as to streamline the award process and accounting
process to match the City FY. It was this one-time adjustment in the
CDBG program year that resulted in the 18 month period covered in this
CAPER. However in future years the reporting period will be consistent
with the City Fiscal Year (July 1 Î June 30).
City of Ashland
CDBG CAPER 2004
Page 24
Section 2
A. Consolidated Plan Priorities
See Section 1.A for full description of Priority Needs and projects
completed in 2004 addressing those Priority Needs.
B. Changes in Program Objectives
There were no changes in program objectives in 2004.
City of Ashland
CDBG CAPER 2004
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C. Action Plan for 2004
The activities undertaken as described in the Consolidated Annual Performance and
Evaluation Report (CAPER) were consistent with the 2000-2004 Consolidated Plan, the
Action Plan for 2004, or in previously identified Action Plans (2001-2003).
CDBG Funded Projects undertaken during Program Year 2004
Project ID Recipient Activity Location CDBG # Households or
Organization Name Funds Persons Assisted
Annually
1 City of Ashland CDBG city wide $51,200 city wide
Administration
2 Ashland ACLT Duplex Ashland city $271,000 Purchase of a duplex
Community purchase limits at 264 Grant Street.
Land Trust
264 Grant COMPLETED
Street
3 Ashland ACLT Duplex Ashland city $14,000 Rehabilitation/weathe
Community rehabilitation limits rization of a duplex at
Land Trust 264 Grant Street.
264 Grant
Street COMPLETED
5 City of Ashland Accessibility Accessibility $16,841 853 mobility impaired
Improvements Improvements citizens
to Pioneer
COMPLETED
Hall
(reported in 2003
restrooms
CAPER)
COMPLETED (reported in 2003 CAPER)
CDBG Funded Projects from prior Program Years
2001- Ashland ACLT Hersey Ashland city $120,000 Purchase of three lots
modified Community Street limits upon which three
in 2003 Land Trust purchase single family homes
3 lots at
are to be purchased
Hersey and
by low-income
Patterson
households
Streets
Completed purchase of one Property ($40,000), Property for two remaining units to be
Purchased in October 2005
2002-1 Rogue Valley RVCDC Land Ashland city $361,750 Creation of 8-10
Community Acquisition limits affordable one two,
(includes the
Development and three-bedroom
(2001 $193,000 awarded in
Corporation ownership units
Siskiyou Blvd) 2003 and the
(RVCDC) through the USDA
reprogramming of the
Self Help Program
$168,750 allocated in
2002)
Completed Purchase of Property, Planning Approval, Survey Recorded. Construction set to
begin in October 2005.
Contribute toward the
2002-2 Rogue Valley RVCDC Ashland city $13,800
public facility
Community limits
Public Facility
improvements within
Development
Improvements (2001
the Siskiyou and
Corporation
Siskiyou Blvd)
Faith Street rights of
(RVCDC)
way (sidewalk,
utilities, curb-gutter,
street trees, etc).
PENDING
City of Ashland
CDBG CAPER 2004
Page 26
D. National Objectives
The projects initiated and/or completed during 2004 met the National
Objectives.
E. Displacement
The Rogue Valley Community Development Corporation's (RVCDC)
acquisition of 2001 Siskiyou Blvd. necessitated the displacement of a
household that moved into the existing single family home after the
negotiations for purchase had been initiated. Although the household
moved before the acquisition took place it was City staffs determination
that they were still eligible for relocation assistance. Right-of-Way Inc.
was hired to complete a relocation plan and find the displaced household.
It was found that the household had already found a comparable unit for
less rent than they were previously paying, however it was determined that
they were entitled to relocation assistance. This assistance totaled $1015
for moving costs. Opportunity existed to inform the household of the
pending CDBG funded project before they moved into 2001 Siskiyou
Blvd. As no notice was provided RVCDC paid this relocation benefit to
the displaced individual.
The City will continue to ensure all relocation benefits are provided
households displaced by CDBG or City funded activites.
F. Economic Development
With the exception of Economic Development grants (See Goal 12), no
economic development activities were undertaken during 2004.
City of Ashland
CDBG CAPER 2004
Page 27