HomeMy WebLinkAbout2008-09-25 Housing PACKET
Ashland Housing Commission
Regular Meeting Agenda
th
Thursday September 25, 2008: 4:30 – 6:30pm
Community Development Building - 51 Winburn Way
1. (4:30) Approval of Minutes
August 28th 2008, Regular meeting Minutes (5 min)
2. (4:35) Candidates Fair-Education Packets Update (10 min)
Regina Ayers-League of Women Voters
Linda Reid-Staff Recommendations
3.(4:45) Croman Site Discussion (10 min)
4. (4:55) Public Forum (5 min)
5.(5:00)Sub-committee Reports (20 min)
Subcommittee Reports Liaison reports
Finance(none)Council (Hardesty)
Education (none)
Parks Commission 9-22-08 (Hauck)
Land Use (9-10-08) (Ayers 5 min)
School Board (Frost)
Planning Commission 9-9-08
(Benjamin)
6. (5:20) Community Development Block Grant Program (40 min)
Consolidated Annual Performance Evaluation Report (CAPER)
Public Hearing
7. (6:00) RFP for CDBG funds (20 min)
8.(6:20)October 23rd Agenda Items
Goal Setting
Public Hearing RFP proposals
Commissioner items suggested(5 min)
Quorum Check – Commissioners not available to attend upcoming regular meetings
should declare their expected absence.
9.(6.25)Upcoming Events and Meetings
City Council Regular meetings, City Council Chambers 7:00-9:00 PM
ndth
Housing Trust Fund Ordinance 2 reading-October 7
stth
Amendment to Annexation Ordinance 1 reading-October 7(5 min) discussion
ndst
Amendment to Annexation Ordinance 2 reading-October 21
Regulatory Barriers Meeting joint Planning, Housing commissions, and City Council
meeting September 30, Council Chambers 7-9:00
Next Housing Commission Regular Meeting
rd
4:30-6:30 PM; Thursday October 23, 2008 Community Development Building
10. (6:30) Adjournment
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 meeting(28 CFR 35.102-35.104 ADA Title 1).
ASHLAND HOUSING COMMISSION
MINUTES
August 28, 2008
CALL TO ORDER
Chair Bill Smith called the meeting to order at 4:37 p.m. at the Community Development and Engineering Services
Building, 51 Winburn Way, Ashland, OR 97520.
Commissioners Present: SOU Liaison: Alexandra Amarotico,
Carol Voisin Absent
Nick Frost
Graham Lewis Council Liaison: Alice Hardesty
Steve Hauck
Bill Smith Staff Present::
Aaron Benjamin Linda Reid, Housing Specialist
Regina Ayars Carolyn Schwendener, Account Clerk
Commissioners Absent
Richard Billin
APPROVAL OF MINUTES
Voisin/Lewis m/s to approve the minutes of the July 24, 2008 Housing meeting. Voice Vote: Approved
PUBLIC RECORDS AND MEETINGS LAW
Barbara Christensen City Recorder and Richard Appicello, City Attorney gave a short presentation on Public
Records Law and Public Meeting Guidelines. Ms. Christensen encouraged the Commissioners to call her office or
the legal department if they have any specific questions regarding anything that has to do with being a
Commissioner. As an appointed Commissioner you are representing the citizens of the Community and you are
subject to Public Records Law as well as Public Meetings Law.
Some highlights that Ms. Christensen and Mr. Appicello pointed out were:
All meetings are open to the public. Meetings must be advertised, accessible and held within the City
limits. Though the public has a right to attend and listen to the meeting they do not necessarily have the
right to participate, that is up to each Commission on how they manage it.
A quorum has to be met and minutes are required to be taken. The minutes are a summary of what has
happened during the meeting. No meeting can be held without a quorum.
Anything and everything you do that has to do with your Commission is public record. It is allowable for the
public to come in and tape your meeting provided they are not disrupting the meeting. They cannot video
tape you before, after or during a recess. Be aware that citizens who are present to listen to the meeting do
not have to identify themselves. If they come forward to speak in the public forum they then need to
identify themselves though they are not required to give their address.
Because anything and everything you do has to be open and available to the public you should not be
using email as a method of discussion. If you use your own home computer it could be subject to public
records inquiry. The best use of email is to notify staff of agenda items to put in the packets for discussion
at the next meeting.
Remember that as a Commissioner you have more duties, responsibilities and liabilities then you have
power.
Do not exceed your authority. Official misconduct is knowingly violating a statute applicable to the public
records law.
Oregon State Retention law states records must be kept for three years.
PUBLIC FORUM
No one spoke
ASHLAND HOUSING COMMISSION
1
MINUTES
August 28, 2008
SUBCOMMITTEE REPORTS
Liaison Reports
Finance – No report
Education – Because the Sub-Committee did not have a quorum on August 13, 2008 a meeting was not
held.Benjamin did spend time talking with Goldman regarding air rights and the application of Frost’s
presentation on Community Land Partnership. They discussed the distribution of the DVD’s that were
made by RVTV and the Education Sub-Committee. There is a Candidates Fair at SOU on October 11,
2008 and they discussed the feasibility of providing each table with a packet of material including the
Housing Notebook to help educate the Candidates. Linda will find out if this is a possibility; there may be a
lobbying issue. Ayars is organizing the Candidates Fair and will check with the League of Woman voters to
see if they will be open with the idea of the distribution of materials. Put this on next month’s agenda.
Land Use – Ayars distributed her minutes to the Commissioners from the August 27, 2008 meeting. The
Committee looked at the four proposed Land Use goals in order to determine priorities. It was decided the
priority would be to target City owned air rights/vertical housing RFP for parking lots. The next meeting will
be September 10, 2008 from 3:00 pm to 4:00 pm.
Liaison Reports
Council – No report.
Reid reported that Ashland ranked high with Oregon Housing and Community Services” Consolidated
Funding Cycle application based on the fact that Ashland has very little affordable housing. Reid confirmed
that the Stratford deal did fall through. Since the intended use of the CDBG funds was for the Stratford’s
rehabilitation, a new RFP will need to be issued to find a new proposal for the remaining CDBG funds.
Reid said she will advertise an RFP that the money is still available. The balance of the CDBG funds is
$346,000. They money has to be spent by May of 2009. Put the RFP on next months Agenda.
Parks Commission – No report.
Ayars reported that at the last Park Commission meeting the Commissioners did not make a decision
regarding the Westwood property and have scheduled an on site visit to the Clay Street property.
School Board – No report. Frost was out of town.
Planning Commission – Benjamin said that aftermuch discussion the Planning Commissioners finally
approved the amendments to the Ashland Land Use Ordinance regarding annexation as was submitted to
them by the Housing Commission. The Ordinance will be going to the City Council on October 7, 2008.
Benjamin commented on the Housing Commissions continued interest in the Croman Site with regard to
workforce/affordable Housing. Assuming that the land will be developed with light industry the Commission
would like see Housing somewhere in the City of Ashland if it’s not going to be on the site itself.
Cate Hartzell, City Councilor, said what she heard the Land Use Planners say was that if you try and put
Housing to close to large Commercial zones you may dilute the value of it as a Commercial or
Manufacturing District.
Graham/Hardesty m/s that the Commission encourages the Planning Commission and City Council when
looking at economic development issues for the City of Ashland that Housing be a component of the study.
Hardesty/Graham m/s to amend the motion to include master planning as well as economic development.
Voice Vote on the motion and amendment: All Ayes, both motion and amendment passed unanimously.
DISCUSS AND FINALIZE GOALS FOR THE NEXT 18 MONTHS
Move to next months agenda.
ASHLAND HOUSING COMMISSION
2
MINUTES
August 28, 2008
PROJECT UPDATES
John Wheeler, Director of Acquisitions and Construction for Rogue Valley Community Development Corporation,
gave an update to the status of Terrace Court, Verde Village and the Clay Street Parks property.
Terrace Court will have a ribbon cutting on September 26, 2008. Six houses are almost done. This project has a
total build time of seven months. These houses already have owners. The cost of the two bedroom homes is
$138,000, $145,000 and $146,000. No down payment is necessary because the loans come through Rural
Development. Mr. Wheeler said it is very important that each family is capable of making their monthly payment
and should never pay more then one third of their income for their mortgage. When the house is completed it has to
have at least 15% of its value in equity. If the homes are sold it must be to another qualified low income family.
Verde Village was required to set aside a percentage of the houses for affordable housing. Because the Williams
decided to donate the land to RVCDC those houses will be able to be net zero energy ready, Leeds Platinum
Standard Homes and have solar hot water heaters. They probably will not be able to have the photovoltaic panels
at this time but they will be ready for them in the future. The purchase price will be $140,000 or less. The biggest
problem for RVCDC is recruiting families. Mr. Wheeler purchased a mailing list that included every apartment renter
in Ashland. He mailed out 1200 postcards and one person showed up to the meeting. At this time they need five
more families to participate. For every person that qualifies there are at least 100 who get rejected due to income
requirements, bad credit or they are just not interested.
Clay Creek property off of Chitwood. After Verde Village gets started Mr. Wheeler said they will begin to develop
this project. This will probably not be a self help project but a straight build and find buyers for it. They are
exploring options such as lease to own.
Mr. Wheeler thanked Reid and Goldman for the wonderful Affordable Housing News Letter that came out.
TH
SEPTEMBER 25 AGENDA ITEMS
The Croman Site Development
CDBG Caper review and approval
Finalize goals
Material for Candidates Fair
UPCOMING EVENTS AND MEETINGS
Parks Commission Meeting August 25, 2008, City Council Chambers 7:00 - 9:00 pm
Regulatory Barriers Meeting joint Planning, Housing Commissioners and City Council meeting – September 30,
2008 Council Chambers 7:00 - 9:00 pm
Housing Commission regular meeting –September 25, 2008 4:30 – 6:30. Community Development Building
ADJOURNMENT – The meeting was adjourned at 6:36 p.m.
Respectfully submitted by, Carolyn Schwendener
ASHLAND HOUSING COMMISSION
3
MINUTES
August 28, 2008
Commission Communication
TO:Housing Commission
Title: Housing Education Packets for Candidates
Date: September 25, 2008
Submitted By: Linda Reid, Affordable Housing Specialist
Housing Commissioners,
With regard to providing Housing Education Packets for Candidates there are a few
issues that need to be considered.
The cost of supplying each candidate with the information: A rough
estimate would be between $15-$20 dollars per candidate. (2 CD’s for
$2.00 each, a printed and bound copy of the Housing Notebook, approx.
$8.00, and various other printed materials, approx $5.00) The
commission would need to decide whether they would like to allocate a
portion of their annual budget to providing these materials.
Elected officials will be provided with these materials out of the City’s
budget.
All of these materials are available and accessible electronically, on-line,
at the Community Development Building, and at the Public Library, for
those candidates who are interested in learning more about Affordable
Housing as it relates to the City of Ashland.
There is a concern that providing unsolicited material to candidates
would be wasteful. Some candidates may not hold affordable housing
as a priority and would neither review nor apply the information that is
provided.
Suggestion: One suggestion is for the Housing Commission or the Education sub-
committee to draft a letter (or an e-mail) that provides a listing and a description of
all of the resources that the Housing Commission has created over the years. This
narrative could be used to inform the candidates about the importance of providing
affordable housing In our community, the economic and social pressures that exist
in our community which necessitate advocating for affordable housing, as well as
providing direction to the candidates on where to find and access the resources
available to become better informed about these issues. The letter should also
state that printed/hard copies of these materials are available upon request (or links
to the City website could be supplied). Staff believes that this would be the most
affective and efficient way to get information about affordable housing to those
candidates who have an interest in learning about, promoting, maintaining or
developing affordable housing in the City of Ashland. Staff also thinks that the
candidates would be more inclined to read a summarized version of the available
information rather than to cull through several different resources to find the topics
that ally with their particular platform or agenda.
Commission Communication
TO:Housing Commission
Title: Summary of CAPER Report
Date: September 25, 2008
Submitted By: Linda Reid, Affordable Housing Specialist
The City of Ashland is an entitlement city under the U.S. Department of Housing and
Urban Development’s (HUD) CDBG Program. The City of Ashland receives
approximately $200,000 each year from HUD to apply toward housing and community
development projects that benefit low- and moderate-income persons in Ashland. The
Consolidated Annual Performance Evaluation Report (CAPER) summarizes the
individual project status (physical and financial) of those improvements funded with
CDBG funds for the Program year 2007. This report must be completed and submitted
to HUD as a part of the requirements the City must meet to receive CDBG funding.
"The Housing Commission is charged to hold this public hearing, recommend changes
to the 2007 CAPER if needed, and approve the annual report in order to fulfill the HUD
requirements for public input and review."
CONSOLIDATED ANNUAL PERFORMACE
EVALUATION REPORT
(CAPER)
Program year 2007
(July 1, 2007 Î June 30, 2008)
Date of Report Sept 12, 2008
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
2007-2008 Program Year
City of Ashland 2007 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 2005, the City of Ashland Acknowledged the Five-Year Consolidated Plan
(2005-2009). 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 2007-2008, is listed and discussed under the relevant
priority.
This assessment provided in this CAPER covers the 2007 Program year (July 1, 2007-
June 30, 2008).
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.
Action to meet priority and time-line
As stated in the 2007 Annual Action Plan, The City of Ashland received no
applications for CDBG funds to address the goal of increasing the supply of affordable
housing. The intended use of the 2007 CDBG funds ($152,801) was to assist in the
development of three affordable housing units once a developer and a project had
been identified. No such project was identified and therefore the uncommitted 2007
CDBG funds rolled over into the 2008 program year. As stated in the 2008 Annual
Action Plan, The City of Ashland once again received no applications for CDBG funds
to address the goal of increasing the supply of affordable rental housing. However,
the City is currently working with affordable housing providers to develop an
affordable housing project and it is expected that this project will use the balance of
the 2007 and 2008 uncommitted funds for either predevelopment costs or the
installation of public facilities.
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 112 units have been made
legal or been newly constructed since 1990. Building permits for one accessory
City of Ashland
CDBG CAPER 2006-2007
Page 2
residential unit (ARUs) was issued, two permits were finalized, and one application
was approved between July 1, 2006 and June 30, 2007. In this program year the
City approved land use code amendments to permit ARUÓs in multi-family zone4s as
an outright permitted use. As this change only recently went into effect no new ARUÓs
in multi-family zones have been built as of yet. The number of ARUs created each
year has decreased consistently for the past three years. This trend seems to
decrease proportionately with the decrease in the total number of all housing units
developed. The number of ARUÓs developed each year is about 7.5% of the total
number of housing units built in a given year. This trend continues to persist as less
total units are constructed due to market conditions.
In the 2007 program year staff put together a brochure to inform landlords with a
small number of rental units of fair housing laws. This brochure is provided to all
homeowners who apply for a Conditional Use Permit to legalize an existing or build a
new accessory residential unit.
No Accessory Residential Unit projects were funded with Community Development
Block Grant funds or City General funds in the program year.
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 2007-2008 no projects meeting
this threshold were approved by the Planning Commission. The City of Ashland
considers units added to our affordable housing stock only upon issuance of a
building permit and recording of applicable affordability deed restrictions.
Annexation
In December of 2007 an annexation was approved for an 11.64 acre site located on
Nevada street known as Verde Village. The CityÓs annexation ordinance requires a
percentage of the development to be retained as affordable for a period of not less
than 60 years. This proposed 68 unit residential development will be required to
provide 15 units of affordable housing targeted to households earning 80% of the
Area Median Income or less. In order to meet this condition of annexation, the Verde
Village developers have opted to donate a portion of the subdivision to the Rogue
Valley Community Development Corporation (RVCDC). On the donated land
RVCDC will build 15 town homes for homeownership. RVCDC will promote
affordability by partnering with the Rural Community Assistance Corporation (RCAC)
and by utilizing the U.S. Department of AgricultureÓs Rural Development Mutual Self
Help loan program which uses the homeownerÓs sweat equity to help reduce
construction costs. The Mutual Self-help construction program model has provided
15 affordable homeownership units to the City of Ashland since 2005.
The Verde village project will be a unique development in the state of Oregon in that it
will be one of the first Ðnet zero energyÑ developments. The market rate units and the
affordable units will utilize numerous sustainable building practices in order to meet
the Ðnet zero energyÑ performance standards which will exceed both Energy Star and
Earth Advantage standards. Each home shall meet the state of OregonÓs minimum
requirement for passive solar home tax credit. Appliances will qualify for the state of
City of Ashland
CDBG CAPER 2006-2007
Page 3
OregonÓs tax credit and will be selected from a list maintained by the Oregon
department of Energy. Although the annexation request has been approved, the City
will not report the addition of these units to the CityÓs affordable housing stock until the
after the issuance of building permits and the units are deed restricted to remain
affordable as required.
No CDBG funds have been allocated to this project.
Ashland Community Land Trust
During the 2006-2007 program year, ACLT utilized a CDBG grant in the amount of
$328,800 to purchase property located at 404-408 Bridge Street. This property
contains a duplex which are currently rented to tenants that occupied the dwellings
prior to purchase. At the time of purchase each existing household was income
qualified and found to fall into the low-moderate income category earning less than
80%AMI. At the rear of this recently acquired property ACLT intends to build two
ownership units which are described under goal 2.
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.
The development of affordable home ownership opportunities for low and extremely
low income households is a high priority for the City of Ashland. The 2007 Annual
Action plan states that the City is currently in the process of selling City surplus
property which has an appraised value of 1.2 million dollars, the proceeds from the
sale of this property will be applied to the goal of addressing AshlandÓs Housing
needs.
A portion of the proceeds from the sale of surplus City property have been applied to
the purchase of a .32 acre portion of a 2 acre property located on upper Clay street at
the terminus of Chitwood Lane, which was recently purchased by the Ashland Parks
Department. The CityÓs intention is to use this .32 acre property to develop housing
for low to moderate income households. The City estimates that through the transfer
of residential density from the designated park land to the area to be acquired for
housing, the .32 acres can be developed as five individual units for homeownership.
In October of 2007 the City of Ashland issued a Request for Qualifications for a
qualified affordable housing developer to develop five affordable housing units for
th
homeownership. The City received 3 responses and on December 20 2007 a public
hearing was held to evaluate the respondents. Rogue Valley Community
Development Corporation (RVCDC) was chosen and the City is currently in the
process of drawing up a developer agreement. The addition of these affordable
homeownership units will be reported in the Caper report for program year in which
their Certificates of Occupancy are issued.
No CDBG funds have been allocated to this project.
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
City of Ashland
CDBG CAPER 2006-2007
Page 4
acquires and holds land, while the improvements are sold or rented to the low-income
residents.
ACLT and Habitat for Humanity- Garfield St.
During September of 2005 ACLT expended $80,000 in CDBG funds to purchase a
vacant parcel on Garfield Street to complete two new ownership units. ACLT worked
created to benefits households earning 60%AMI instead of the original income target
of 80%AMI. The ownership of the
land by ACLT secures these units,
built adjacent to their six unit
apartment complex on Garfield St.,
will remain affordable in perpetuity.
The two new units were completed
and occupied in April of 2007. The
occupants were income qualified at
60% AMI by Habitat for Humanity
and the homeownership units sold
for $114,073 and $105,172 which is
a 74% percent reduction from the
2007 median home price. Their
household information is included in
this CAPER.
.
ACLT Bridge St.
As noted under Goal 1, ACLT purchased the property located at 404 and 408 Bridge
Street with $328,800 in CDBG funds during the 2006 program year. The purchase of
the property was completed on October 12, 2006. Although a variance request to
driveway width was granted, the additional two homeownership units are in the final
stages of planning approval and have yet to be issued building permits. It is
anticipated that they will be completed in the 2008-2009 Program year and will
therefore be counted in a subsequent CAPER.
Rogue Valley Community Development Corporation (RVCDC)
RVCDC received two prior CDBG awards which resulted in the acquisition of Property
during the 2004 CDBG Program Year. Combined the two properties allowed RVCDC
to development 15 affordable ownership units in cooperation with the USDA Rural
Development Mutual Self Help Program. Through the Mutual Self-help
homeownership program homebuyers contributed a significant amount of Ðsweat
equityÑ to the project in order to lower the purchase price to below $120,000 per unit.
In the Program year 2006 nine of the 15 affordable ownership units were completed
and are currently occupied by qualified low to moderate income homeowners. All
units will remain affordable for a minimum of 20 years per the CDBG Sub-recipient
Agreement. However RVCDCÓs land lease agreement through their continued
ownership of the land, maintains the units as affordable in perpetuity.
As a result of the subsidy, and the work of the homeowners these 2-3 bedroom town-
homes sold for less than $146,000 in a market where comparable units sell for twice
that amount. As all nine units are deed restricted to remain affordable. As the land
was deed restricted and building permits were issued in 2005-
City of Ashland
CDBG CAPER 2006-2007
Page 5
RVCDC - Park St.
Phase two of RVCDCÓs Mutual Self-Help project, located at 795 Park Street was
purchased 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 were
obtained through a loan
from Rural
DevelopmentÓs
Collaborative in the
amount of $80,500. As
with the previous site (9
units on 2001 Siskiyou
Blvd in 2005) RVCDC
has partnered 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.
RVCDC received Planning Approval from the City of Ashland for the proposed
development in September of 2007. The six units located at this site qualified for the
deferral of SDCs and Engineering and Community Development fee waivers in the
cumulative amount of $57,057. This contribution has further reduced the purchase
price of each unit by approximately $10,000. Upon completion the units are expected
to sell for between $133,383 and $148,393. Buyers will utilize USDA low interest
home loans to further reduce the housing cost burden.
The accomplishments of providing six affordable units will be reported in CAPER in
the 2008 program year as the scheduled completion date for these six units is set for
September 23rd 2008. The City Contribution of $57,057 will be reported for the 2008-
2009 Program Year.
Fordyce Co-Housing Project
Construction of AshlandÓs first co-housing project was undertaken in 2006-2007 with
the Bear Grass Village 13 unit project. In
2005 the City approved a zone change from
single family to multifamily to accommodate
the density and layout of the project. As a
requirement of the zone change the project
included two deed restricted affordable
housing units targeted as ownership units to
households earning less than 60%AMI.
These two dwelling units are to remain
affordable for 60 years. The remaining
eleven units are not considered ÐaffordableÑ
by AshlandÓs housing program standards
however it should be noted that the Co-
Housing Community established equity limitations to ensure they remain below the
market rate for comparable houses. The two deed restricted units were sold to
City of Ashland
CDBG CAPER 2006-2007
Page 6
income qualified participants in late 2007. Their household demographics are
reported in this CAPER. Both low income households qualified for subsidized loans
through the Rural Development 502 Loan program.
Affordable Housing Program
The City of Ashland continues to offer incentives to non-profit and for profit
developers, community development corporations, and public housing authorities to
encourage the development of new affordable housing options. Similarly the City of
Ashland continues to look for ways to create new regulations or amend existing
regulations that serve to promote, protect, and maintain the CityÓs affordable housing
stock. These incentives and regulations are detailed below.
In 2005-2006 the City passed a new resolution (res 2006-13) that established
AshlandÓs Affordable Housing Guidelines as well as the thresholds for a waiver of
Community Development fees, and Engineering Services fees for eligible affordable
units that are voluntarily provided. These fees amount to 1.85% of a projects
valuation. Therefore the automatic waiver of these fees for voluntarily provided
affordable units amounts to a direct subsidy from the City in the average amount of
approximately $1500 - $2500 per unit.
This program allows the deferral of SDCs for any affordable unit targeted to
ownership households earning less than 80% the Area Median Income (AMI), or
rental households dedicated to households earning 60% AMI or less. A total of 48
households are currently participating in the program. During the 2007 program year
6 new units built through the partnership of RVCDC, USDAÓs Rural Development, and
Rural Community Assistance Corporation (RCAC), were assisted with SDC deferrals.
The deferred SDC amount on the newly added households totaled $40,875.15 and
the Community Development and Engineering services fees waived totaled
$16,181.52 for a combined contribution of $57,056.67 in City General Funds to
support the development of these six affordable units.
Although the SDC deferral program only requires a 30 year minimum period of
affordability, the six units assisted in FY2007-2008 will be affordable for a minimum of
99 years as the land is owned by the Rogue Valley Community Development
Corporation. 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.
The City of Ashland General fund contributed $57,056.67 in direct assistance to
affordable housing projects during FY2007-2008 through this program.
Density Bonus Program
The City of Ashland offers a density bonus for the voluntary inclusion of affordable
housing within a subdivision or multifamily development. No developers took
advantage of the Density Bonus Program during the 2007-2008 Program year. As
market values in Ashland have nearly doubled in the last five years, we have found
that the private use of density bonuses in Ashland to be exceedingly rare. Building
affordable unit costs more than the affordable sale price permitted, thus the increase
in density allowable (one unit increase for every affordable unit) does not provide
City of Ashland
CDBG CAPER 2006-2007
Page 7
enough recapture to cover expenditures, and therefore its use by private developers
on a voluntary basis is not cost effective. The Ashland Housing Commission has
postulated the idea of increasing the density bonus (to a 2:1 ratio) to better address
the disparity but as of yet we have not initiated any ordinance amendments. In
circumstances where affordable housing is otherwise being provided in response to
direct subsidy, or regulatory requirements, we do see the Density Bonus allocation
being utilized to either increase the number of affordable units, or to account for the
required affordable units without reducing the number of market rate housing units.
Condominium Conversions
The City allows conversion of apartments on a sliding scale, where the larger the
complex the more rental units must be retained. In cases where an owner wishes to
exceed this limitation to create more market rate ownership units the City then
requires the provision of affordable housing. The City considers units that are
required to be affordable to be added to our inventory only upon the recording of deed
restrictions on the property. The Affordable Housing Program parameters under
resolution 2006-13 establish that rental apartments converted into condominiums are
to be affordable at the 80% income level for a period of not less than 30 years. This
ordinance amendment in 2007 was intended to preserve a decreasing supply of rental
apartments.
The time period between the initial approval for conversion of an apartment complex
into condominiums, and the actual recording of a condominium survey can be
lengthy. The corresponding resale restriction covenants (deed restriction) are not
imposed until such time as the condominium survey is completed thus this CAPER
will distinguish between those approved and those considered complete.
Completed Conversions
Garfield Street
An existing ten (10) unit apartment complex on Garfield Street received final plat
approval for conversion on January 9, 2008. The conditions of the Condominium
Conversion Resolution 2006-13 required that three (3) of the units be designated as
deed restricted affordable housing targeted to households earning less than 80%AMI.
These three recorded affordable units will be reported in this years CAPER.
Pending Conversions
Park Street
An existing thirty (30) unit apartment complex received approval for conversion in
2006. This approval required that six (6) of the units be designated as deed restricted
affordable housing targeted to households earning less than 80%AMI. The final
condominium surveys for this condominium conversion project were approved by the
City in June of 2008, but the signed Resale Restriction Covenants for these affordable
units are yet to be recorded. These six units are will be counted in the 2008 program
year CAPER.
Total Conversions
In the 2007 CDBG program year the City added three (3) new condominium units to
our affordable housing stock through condo conversions. Currently there are no
City of Ashland
CDBG CAPER 2006-2007
Page 8
planning applications pending approval for conversion of existing apartments.
Although 71 total units completed or initiated conversion to condominiums in 2006-
2007, the rate of condominium conversions decelerated considerably in 2007-2008
program year. This marked reduction in conversions may be attributed to the recent
economic downturn in the housing market as well as City initiated ordinance changes
instituted to addressing the adverse impacts of such conversions on tenants and on
the CityÓs rental housing stock.
Total Affordable Units Added to the Cities Inventory from July 1, 2007 - June
30, 2008
During the 2007 CDBG program year Ashland increased its stock of affordable
ownership housing by 5 units.
As noted above, three (3) new condominium units were designated as affordable
through the condominium conversion process and two (2) new homeownership units
were built through the collaboration of Habitat for Humanity and ACLT using partial
funding from CDBG grant funds. Though planning approval had been granted to
three projects slated for completion in this program year or the next, two of the
projects which would have added a total of 21 affordable housing units to the cities
affordable housing stock were unable or unwilling to move forward with those projects
due to the nationwide downturn in the housing market. One project, referenced in
goal #1 is a subdivision which will provide 15 affordable homeownership units in
conjunction with RVCDC as a condition of that propertyÓs annexation into the city.
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.
Technical Assistance
The City provided technical assistance to nonprofit organizations whose mission
includes providing affordable housing. This technical assistance includes; providing
information on the CDBG program, City zoning regulations, educating agencies on
the planning process and providing information on the City's affordable housing
programs 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 has provided technical assistance
through the Planning Division as requested and has 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, and the Housing Authority of Jackson County in both their
search for available property for CDBG funded projects, as well as in preparing
applications for proposed developments during the 2007 CDBG program year.
City of Ashland
CDBG CAPER 2006-2007
Page 9
Goal 4: Encourage the development of emergency and transitional housing for
homeless families with children and/or individuals.
rd
On April 3 2007, the Ashland City Council approved a resolution setting forth policies
and conditions under which the city will provide emergency housing for homeless and
other individuals during sever weather conditions. In the event of the need for an
emergency shelter during extreme weather, the use of Pioneer Hall or other available
city-owned buildings may be used. The temporary shelter will be staffed by volunteers
from nonprofit organizations or other organizations in the business of providing for the
needs of persons.
Ashland experiences Ðextreme weatherÑ conditions primarily during the winter months
where temperatures can drop below 20 degrees, and exposure to the elements can
th
be hazardous to persons without adequate shelter. Most recently on April 18, 2007
due to an unseasonable snow storm Pioneer Hall was opened as emergency shelter
and 6 homeless individuals were able to remain indoors overnight.
The provision of such emergency housing in City buildings is a new activity for the
City and was initiated because of the loss of ICC the City of AshlandÓs emergency
services provider.
The City of Ashland's general fund absorbs the cost of marinating the facilities and
making them available to individuals in need of emergency housing during extreme
weather conditions. Support in the form of volunteers from non-profit organizations
also contributes to this endeavor.
The City did not address the development of a permanent emergency or transitional
housing project in 2007. The City will assist in endeavors to develop transitional
housing at the former location of the CityÓs sole emergency housing agency, Interfaith
Care Community of Ashland (ICCA), which downsized and moved to its Medford
headquarters in April 2007. The City of AshlandÓs CDBG program would entertain
supporting an organization that offered emergency and transitional housing in the
former ICCA location or in a yet to be identified property but has not directed
resources directly for its development. The City remains an active and supportive
member of the Jackson County Continuum of Care ConsortiumÓs Homeless Task
Force.
No CDBG funded actions were undertaken or completed during the 2007 program
year that specifically applied CDBG funds toward the development of emergency or
transitional housing.
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 CDBG funded actions were undertaken or completed during the 2007 program
year that specifically applied CDBG funds toward the support services for
City of Ashland
CDBG CAPER 2006-2007
Page 10
homelessness prevention and transition, or for safety net services that focus on self
sufficiency. $23,333.40 in CDBG grant funds were drawn down in November of 2007
to reimburse Interfaith Care Community of Ashland for an activity awarded and
completed in the 2006 program year. The original grant award was $32,000 but due
to inadequate and untimely reporting practices by the sub-recipient the
reimbursement was delayed and the remainder of the award was cancelled. The
remaining award balance of $8,666.60 was reprogrammed to the 2008 program year.
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.
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 2007 Action Plan to address
this goal.
The City will continue to support the development of housing and supportive services
for individual with special needs. The City allocates ÐSocial Service GrantsÑ out of the
CityÓs General Fund to address these needs. Through this City Grant Program an
annual allocation of $119,000 was awarded to 20 agencies of which the majority
specifically addresses supportive services for people with special needs. This
allocation was provided for FY 2007 and FY 2008 for cumulative doubling of the
award amounts listed. In total the City contributes $338,000 over a two year period to
the agencies listed below.
Of these awards most notably the Community Health Center was provided $32,000
annually to provide health care services, Community Works was given a combined
total annual award of $32,206 to provide services including rape crisis counseling as
well as temporary shelter for victims of domestic violence. Additionally an annual
grant of $3000 was provided to OnTrack Inc. to assist in the operating expenses for
their drug abuse treatment programs.
See table below
Ashland Social Service Grants 2007-2009
Awarded
Annual allocation
Organization (2 year disbursement = award below x 2)
Community Health Center 32,000
Southern Oregon Drug Awareness 1,030
Children's Dental Clinic 3,104
Planned Parenthood 2,060
Ontrack 3,000
Community Works-Dunn House 15,000
Community Works-Sexual Assault Victims Services 2,575
Community Works-Parent Education 1,442
City of Ashland
CDBG CAPER 2006-2007
Page 11
Community Works-Helpline 7,210
Community Works-Street Outreach 5,979
Help Now! (low income legal assistance) 1,100
WinterSpring Center for Living with Loss & Grief 1,000
Southern Oregon Child Study and Treatment Center 2,900
Center for Non Profit Legal Services 6,000
Children's Advocacy Center 2,700
RV Manor- Foster Grandparent 1,200
RV Manor- Retired Senior Volunteer Program 1,500
Mediation Works 2,200
Access Inc (food share Î emergency food) 5,500
Jackson County Sexual Assault Response Team 2,350
Interfaith Care Community 13,600
Jackson County Court Appointed Special Advocates (CASA) 2,500
Trinity Respite Care 1,700
Southern Oregon Adolescent Study and Treatment Center 1,350
$ 119,000
Total Awarded
($338,000 over two years)
The City does not use CDBG funds made available for these activities as they are
entirely funded out of the City General Fund.
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 low-income neighborhood status.
During the 2007-2008 program year the City of Ashland provided the Rogue Valley
Transportation District (RVTD) with $270,000.00 to underwrite the cost of public
transportation by providing reduced bus fares City wide. As the RVTD bus routes
transect each of AshlandÓs low income neighborhoods (Census block groups 0018,
0019, 0020) the reduced fares benefited extremely-low, low- and moderate-income
households be lessening the cost of public transportation. The fare reduction was a
50% reduction from fares elsewhere in the Transportation district. This reduction
meant fares in Ashland were only $1.00 verses $2.00 elsewhere in the valley. Further
the CityÓs contribution to RVTD also reduced the fare from $4.00 to $2.00 for the
Valley Lift program which provides door to door transportation for the disabled and
mobility impaired residents of Ashland. Lastly the City purchases $4,000 in bus
passes to be provided to qualified senior citizens and Ashland High School students.
City of Ashland
CDBG CAPER 2006-2007
Page 12
The City did not utilize CDBG funds toward this goal in the 2007-2008 program year
The full $274,000 contribution to RVTD for reduced fares was provided by the CityÓs
General Fund.
Goal 8: To make city facilities easier and safer to use for people with disabilities.
The City committed to providing accessibility improvements to City-owned buildings
through an agreement with the Department of Justice (DOJ) to improve access to City
facilities. The City has completed all improvements outlined in the Department of
Justice Agreement to be compliant with the Americans with Disabilities Act and
received an acknowledgement of compliance in FY 2006 from the DOJ, thereby
ensuring those identified City facilities are accessible to people with disabilities.
As new facilities are designed and developed, or new standards for accessibility are
established, the City will ensure that the accessibility needs of AshlandÓs residents are
addressed.
The City did not utilize CDBG funds toward this goal in the 2007 program year.
Goal 9: To affirmatively further fair housing.
Fair Housing Council of Oregon
The Fair Housing Council of Oregon has been an invaluable partner to the City of
Ashland in affirmatively furthering fair housing. During fiscal year 2007 the City of
Ashland supported FHCO in its outreach and education activities by assisting in the
production of quarterly forums on Fair Housing within our region. FHCO, the City of
Ashland, and City of Medford sponsored of a series of trainings specifically targeted
to groups impacted by the Fair Housing Act. The first of these trainings was targeted
to tenants and housing advocates and was broadcast on a live public television show
that was simultaneously webcast across the State of Oregon from the Ashland City
rd
Council Chambers on May 23, 2007. This was the first of 4 such trainings, two of
which were conducted in Medford, these trainings focused on fair housing issues as
they relate to the real estate and building industries. The final training (a tester
rd
training) took place in Ashland on October 3 2007. In combination these trainings
were intended to educate, realtors, property managers/landlords, lenders, architects,
builders, planning officials, tenants and tenant advocate groups about the protections
afforded under the law and practices to eliminate discrimination in housing.
City of Ashland general funds and CDBG funds (Planning and Administration
allocation) were utilized for staff support. However no specific CDBG allocation was
used for these activities.
Legal Services and CASA
The City of Ashland provided the Center for Non-Profit Legal Services a general
fund grant in the amount of $6,000 explicitly to provide legal assistance for low
income Ashland households facing housing discrimination or harassment. Low-
income Ashland households facing housing discrimination were able to obtain
legal services through the Center for Non-Profit Legal Services that may not
City of Ashland
CDBG CAPER 2006-2007
Page 13
otherwise be in a position to pursue legal action. During the 2007-2008 program
year the City provided CASA with a $2,500 grant to assist them in providing
minority residents with an advocate and a resource for housing assistance. These
activities attempt to address the enforcement side of Fair Housing in addition to
the educational trainings that work preemptively to reduce discrimination before it
occurs. The City did not utilize CDBG funds toward the $8,500 in grants noted
above.
Federal CDBG and City of Ashland general funds were utilized for staff support.
The cash awards noted above were provided in their entirety from City General
Funds. 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 use funds made available for an activity addressing this goal during
2007 as no projects assisted by the City in this period involved properties with lead
based paint contamination. The City will continue to ensure that when the potential of
lead based paint hazards exists on an activity by the City that any and all effected
parties will be provided with appropriate information and that proper abatement will
take place.
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
2007 Program year. As outlined below the ALIEAP program provides financial
assistance to impoverished households and thus improves their living conditions and
may function to assist individuals in moving out of poverty.
Ashland Low-Income Energy Assistance Program (ALIEAP)
As the City of Ashland owns and operates the Electric Utility, the City is in the unique
position to assist very-low income households in meeting their energy needs,
specifically during the winter months when energy costs and use are highest. To this
end the City targets assistance to Low-income Ashland utility customers who need
help to pay their heating bills over the course of each winter.
Applicants must have an active electric utility account with the City and the ApplicantÓs
household income may not exceed 125% of the Federal Poverty Guidelines. Over
the course of the CDBG program year (July 1, 2007 Î June 30, 2008) the City of
Ashland provided $64,639.56 in direct assistance to 355 extremely-low or low-income
households to assist with electric utility bills. The City provided an additional $5,570
to assist 37 extremely-low or low-income households with heating assistance. The
City of Ashland also provided a Senior and Disabled Discount on electric usage
charges to 128 households totaling $26,216.19. Cumulatively, through this program
the City provided direct assistance out of the general fund toward this goal in the
amount of $96,425.75 from July 1, 2007 ÎJune 30, 2008.
City of Ashland
CDBG CAPER 2006-2007
Page 14
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 2007 CDBG program
year. 20 different organizations received awards, however the majority were granted
to organizations supporting the arts (Ballet, theater, singers, etc.).
Relevant to the goal of providing access to economic opportunities the City funded
two activities in the 2007 program year out of the General Fund. Community Works
received a grant of $2,500 for their Lithia Springs education program. Specifically
funded was a job training component of the program in which low income and at-risk
youth are provided training in manufacturing jobs, in the program they make mission
candles. Through this program the participants learn job skills while earning revenue.
Home Occupations
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 2007
and June 30, 2008 the City issued 99 Home Occupation permits for new businesses
within residences. This is a slight decrease from the 113 such permits in 2006-2007.
Home Occupation Permits allow 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.
To increase understanding regarding affordable and particularly the rental housing
market the City of Ashland completed a rental needs analysis in May of 2007. This
effort included a phone survey with 500 households to determine what the
respondents perceived as barriers to affordability. Additionally the survey questions
examined issues regarding length of tenancy, reasons for moving, minimum
expectations for the housing units (yard, bedroom sizes, proximity to work etc.),
income and lastly housing costs. With this information the City possess the data
necessary to utilize the Oregon Housing Needs Model made available through the
Oregon Department of Housing and Community Services. This forecasting model
assists Ashland in determining where likely barriers to affordability are to be
experienced by our residents. With this information and other efforts to examine
barriers to affordability the City will be in a stronger position to enact, or remove,
regulations within the CityÓs control to promote affordable housing.
City of Ashland
CDBG CAPER 2006-2007
Page 15
In May of 2007 the City Council adopted the Tenant Rights ordinance (Ordinance #
2939) that works to minimize the adverse impacts upon renters displaced through the
process of condominium conversions of existing apartments. Including provisions to
compensate with an amount equal to three times the Fair Market Rent for displaced
tenants that are not provided with a years notice the City believes this will assist
households in overcoming one barrier that is the cumulative first moths rent, last
months rent, and deposit typically required to obtain a new rental.
Lastly to further address the impacts of condominium conversions a land use
ordinance has been adopted that regulates conversions to limit the number of units
that can be converted to for purchase units. Additionally the ordinance establishes
incentives to preserve rental units, and specifically deed restricts affordable units, in
exchange for relief from site design standards as part of the conversion process. This
ordinance was adopted by the City Council in October of 2007.
Education and Outreach is a significant role of the Housing Commission and such
activities often have the benefit of not just disseminating information, but collecting
information as well. Such a dialogue within the City facilitates an awareness of the
barriers to affordable housing and highlights mechanisms available to address such
barriers. In the 2007 CDBG program year the Housing Commission has continued its
ongoing efforts to produce informational material to raise awareness and
understanding by facilitating the development and completion of the ÐHousing
NotebookÑ. The Housing Notebook is a comprehensive guide to affordable housing
programs as well as strategies used to address the creation and retention of
affordable housing. The housing notebook has been made available to the public
through the City of AshlandÓs webpage at: www.ashland.or.us/housingnotebook.
A coordinated effort between the Housing Commission, the Planning Commission,
and the City Council is planned for September 2008 to discuss barriers to affordable
housing and what steps can be taken to overcome such barriers and promote the
development of affordable and multi-family housing within the City. The Housing
Commission will continue to implement the actions outlined in the adopted Affordable
Housing Action Plan, http://www.ashland.or.us/Page.asp?NavID=1350 specifically
the adoption of the Housing Trust Fund ordinance and the identification of funding
methods to support the Trust Fund is a primary goal of the City for the 2008 fiscal
year.
The City of Ashland Housing Commission and Planning Commission have also
examined the existing annexation ordinance and modified it to further promote the
development and retention of affordable housing. The recommended revisions to the
land use ordinance to meet this goal have been drafted and have been forwarded to
the City Council for consideration and adoption in the 2008 fiscal year.
No new activities were initiated in the 2007-2008 program year to address this goal
and no CDBG public service or CIP funds were expended on related activities.
Administrative CDBG funds have contributed to the support of activities that address
the development of affordable housing units funded in whole or in part with CDBG
awards.
The City General Fund has provided the funding for addressing the Council goals of
establishing a Housing Trust Fund. Further the Land Use modifications that assist in
the removal of barriers to affordable housing will be undertaken utilizing Staff funded
through the City General Fund.
City of Ashland
CDBG CAPER 2006-2007
Page 16
Goal 14: To provide institutional structure and intergovernmental cooperation.
The City of Ashland employs a Housing Program Specialist, which assists in providing
institutional structure as well as examining and implementing opportunities for
intergovernmental cooperation. City of Ashland Staff continues to provide staff
support to the City of Ashland Housing Commission. Together the City of AshlandÓs
Housing Commission and the Housing Program Specialist monitor the
accomplishments of the CityÓs housing programs, make recommendations to the City
Council on housing policy and serves as an advocate for affordable housing in the
CityÓs political process. The Commission also provides coordination and continuity to
programs to meet housing and community development needs. 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, private interests and governmental agencies for
projects in Ashland to insure that the resources are used as efficiently as possible and
that there is not duplication of efforts.
The Housing Commission has included in their regular meetings a regular update
from all affordable housing projects that are underway within the City. This allows
affordable housing providers an opportunity to express to the commission progress on
or obstacles to their developments. This communication will function to assist in
educating the Commission as well as provide a further opportunity for cooperation
between the City and organizations working to address our housing goals.
The City continues to be an active participant in the Southern Oregon Workforce
Housing Group comprised of the Rogue Valley Council of Governments, the Cities of
Grants Pass, Medford, Talent and Ashland, as well as various housing providers and
representatives of local banks and realtor associations. Additionally the Housing
Program Specialist sits on the Board of the Southern Oregon Housing Resource
Center to assist in regional coordination of that organizationÓs efforts. Ashland
continues to work with the Jackson County Housing Coalition, and the Jackson
County Continuum of Care Homeless Task force to address affordable housing and
homeless issues on a regional level.
$42,547 in Federal CDBG funds (20% of the anticipated yearly allocation) have been
directed toward Administration of the CDBG Program. Administration of the CDBG
program includes staff support of programs and projects that further the goals outlined
in the 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 2007 and 2008 to
address Fair Housing. The City will continue to work to ensure Fair Housing laws are
understood, and complied with, within the City.
City of Ashland
CDBG CAPER 2006-2007
Page 17
C. Affordable Housing
During the 2007 Program year the City saw the addition of 5 new affordable housing
units to the City's inventory. Each of these units is deed restricted to remain
affordable from 30 to 99 years.
Rogue Valley Community Development CorporationÓs mutual self help program that is
currently developing 6 affordable ownership units is expected to be issued Certificates
of Occupancy in September of 2008. These units will not be included in our inventory
until 2008-2009. The City also purchased property with City General Funds. This
property located along Clay Creek is to be used as a two acre park and an area was
set aside for five affordable housing units. Further the Request for Qualifications was
issued and the non-profit agency Rogue Valley Community Development Corporation
was selected to develop the five affordable town homes for homeownership. This
project is currently in the contract stage and is not expected to be completed and the
units will not be included in our inventory until 2008-2009.
The City of Ashland does not directly develop or manage affordable housing. The City
of Ashland has prioritized the provision of affordable housing to be the highest priority
need in the Consolidated Plan. Over the years the City of Ashland has developed a
number of programs, incentives, and regulations in an effort to promote the
development of affordable housing.
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 as noted in Goals 1-3 for a period of 30 years. The maximum rent limit
set by HUD can not be exceeded, nor can the housing units be sold outside the
program during this period. A change in the SDC waiver program instituted in 2005
was to eliminate the ability to Ðbuy-outÑ of the program by paying off past SDCs. The
funding source for this project is the City of AshlandÓs General fund foregoing
collection of System Development Charges.
The City continues to examine and initiate new and innovated programs to promote,
develop, and retain affordable housing.
D. Continuum of Care Narrative
The City directs over $100,000 in general fund dollars to safety net services each
year. Awards to selected service providers are made on a two year cycle, with
st
recipients receiving the full award amount on July 1, of each year. Therefore the
award indicated in the table below is an annual allocation and the recipient
ultimately receives twice the amount listed. Homeless care providers, low income
health care, and essential continuum of care services are funded each year. In
the 2007 program year the "Social Service Grants awarded totaled $119,000.
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.
Ashland Social Service Grants FY 2007, FY 2008
Awarded
Annual allocation
Organization (2 year disbursement = award below x 2)
City of Ashland
CDBG CAPER 2006-2007
Page 18
Community Health Center 32,000
Southern Oregon Drug Awareness 1,030
Children's Dental Clinic 3,104
Planned Parenthood 2,060
Ontrack 3,000
Community Works-Dunn House 15,000
Community Works-Sexual Assault Victims Services 2,575
Community Works-Parent Education 1,442
Community Works-Helpline 7,210
Community Works-Street Outreach 5,979
Help Now! (low income legal assistance) 1,100
WinterSpring Center for Living with Loss & Grief 1,000
Southern Oregon Child Study and Treatment Center 2,900
Center for Non Profit Legal Services 6,000
Children's Advocacy Center 2,700
RV Manor- Foster Grandparent 1,200
RV Manor- Retired Senior Volunteer Program 1,500
Mediation Works 2,200
Access Inc (food share Î emergency food) 5,500
Jackson County Sexual Assault Response Team 2,350
Interfaith Care Community 13,600
Jackson County Court Appointed Special Advocates (CASA) 2,500
Trinity Respite Care 1,700
Southern Oregon Adolescent Study and Treatment Center 1,350
$ 119,000
Total Awarded
($338,000 over two years)
E. Other Actions
No specific actions were taken during 2007 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.
Relating to projects under construction in the 2007 program year, the CDBG funds
awarded to RVCDC for acquisition of land at 795 Park Street ($274,000) to
develop and provide 6 lots for low-income qualified families to build town homes
for homeownership. To maintain affordability RVCDC leveraged funds from a
variety of sources. Total project costs were estimated to be $1,200,000. RVCDC
leveraged $80,000 in SHOP funding to help with land acquisition and closing
costs, $122,000 in loans from RCAC for infrastructure, architectural and
engineering fees, and $600,000 in USDA 502 construction loans for Mutual Self
Help Projects. RVCDC also obtained assistance from the City of Ashland in the
form of SDC deferrals which added another $60,000 in leveraged funds to the
total project costs.
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
City of Ashland
CDBG CAPER 2006-2007
Page 19
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.
G. Citizen Comments
The availability of the Consolidated Annual Performance and Evaluation Report
th
(CAPER) for use of 2007 CDBG funds was advertised in the September 10
2008, edition of the Ashland Daily Tidings (advertisement enclosed) and was
th
posted continuously on the City of Ashland web site from September 10, 2008
th
through September 25, 2008 for public comment. Additionally the Housing
th
Commission reviewed the CAPER at their September 25 Regular meeting to
hold a public hearing and obtain comments. No comments had been received as
of 3:00________. The 2007 CAPER document remains archived on the City
website. (www.ashland.or.us/cdbgcaper2007)
H. Self Evaluation
A. Impact of Activities on Identified Needs
The City of Ashland Five-Year Consolidated Plan for 2005-2009 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, 65% of the yearly CDBG
allocation is now directed to this highest priority need. Homelessness and the
provision of social services to low and extremely low income households was also
identified as a critical need and thus the City re-established a 15% set aside for
such activities. Administration of the program uses the remaining 20%. Outside
of the CDBG Program the City allocates over $100,000 per year of general funds
to address social services, $250,000-300,000 per year to support alternative
transportation (goal 7), and over $100,000 annually to economic development
although only a limited percentage (approximately $2,000-5,000) of this program
can clearly be seen to increase economic opportunities to low income residents.
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
households. One such way is the elimination of regulatory barriers, or the
imposition of new regulations that promote affordable housing (see Goal 13).
Specifically the City has 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. 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 and in 2005 the City
amended this program to better correlate housing costs with incomes to ensure
covered units are not too expensive for the intended households. This program
was also changed to ensure covered units remain affordable for not less than 30
years.
City of Ashland
CDBG CAPER 2006-2007
Page 20
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, 112 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, 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. AshlandÓs 2002 Housing Needs Analysis showed that small
units such as studios had the lowest vacancy rates (essentially 0%) and highest
demand in our community. The provision of numerous small units should assist in
addressing affordability from the supply side to a degree as options increase.
Another priority need which has been difficult to address is assisting individuals in
the transition from homelessness to permanent housing situations. Local non-
profit agencies, which provide assistance and homeless prevention services,
report that the population of homeless individuals in Ashland and in the Rogue
Valley is rapidly increasing. Since the loss of the CityÓs only emergency shelter
organization in 2007, the Ashland City Council adopted an Emergency Shelter
Resolution in an attempt to provide a resource for the CityÓs homeless population
in extreme weather (see goal # 4). The City will assist in endeavors to develop
transitional housing within the city, and would entertain using CDBG funds in
supporting an organization that offered emergency and transitional housing in the
former Interfaith Care Community (ICC) location or in a yet to be identified
property.
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 values in Ashland increased more rapidly than the in rest of
the state and Jackson County during the housing boom (increasing on an average
of over 20% over the past 5 years) and have maintained their values despite the
economic downturn. The median home in Ashland was $334,500 in 2004, the
median home price increased to $469,400 by August of 2006. This dramatic
increase in valuation is a trend that has continued unabated over the last decade
when the 1996 median home cost in Ashland was $162,094. With a cumulative
cost increase of over 300% over the last decade the resources available have not
kept pace with those needed to address the market conditions. Since August of
2006 the regional purchase prices have dropped by up to 11% in some
communities. Ashland has also seen a slowing of appreciation with only a 4%
increase in value during this same period. It is anticipated that values have
stabilized to a degree due in part to constraints on lending practices and
speculative investment; however it is unlikely that property values in Ashland will
be reduced drastically in the near or long term.
City of Ashland
CDBG CAPER 2006-2007
Page 21
AshlandÓs CDBG allocation has decreased annually in recent years and future
projections identify further reductions are possible or even the elimination of
entitlement community status. The loss of Federal support for affordable housing
places an increasing burden on small communities to address the goals
established in the Consolidated Plan with local regulatory controls or local
commitment of funding. Although Ashland continues to promote affordable
housing through direct financial support and the establishment of regulatory
incentives and controls, limited resources and limitations on the extent of
regulation allowable under state law reduce options for the City.
C. Improvements
The City of Ashland ranked the Priority Needs of the Five-Year Consolidated Plan
for 2005-2006 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.
Section 2
A. Consolidated Plan Priorities
See Section H.A. for full description of Priority Needs and projects completed in
2007 addressing those Priority Needs.
B. Changes in Program Objectives
There were no changes in program objectives in 2007.
C. Action Plan for 2007
The activities undertaken as described in the Consolidated Annual Performance
and Evaluation Report (CAPER) were consistent with the 2005-2009
Consolidated Plan, the Action Plan for 2007, or in previously identified Action
Plans (2006).
The table below shows the projects awarded CDBG funds in Program Year 2007:
CDBG Funded Projects for Program Year 2007
Project ID Recipient Activity Location CDBG # Households or
Organization Name Funds Persons Assisted
Annually
1 City of Ashland CDBG city wide $42,547 city wide
Administration
(Goal 14)
2 Rogue Valley Youthbuild Economic $31,190 10 individuals ACTIVITY
Community Program Development CANCELLED
(Goal 12)
Development Activity Î multiple
Corporation sites (Ashland and
Medford) but
primarily on-site
construction at 795
Park Street.
3 City of Ashland Land $152,801 3 households
To be Determined
Acquisition
(Goal 1)
City of Ashland
CDBG CAPER 2006-2007
Page 22
Unfinished CDBG Funded Projects from prior Program Years to be cancelled with funds reprogrammed per
the awards above.
Rogue Valley
2002-2 RVCDC Ashland city limits $13,800 The applicant submitted a
Community letter declining the award
Public Facility (2001 Siskiyou Blvd)
Development due to added costs
Improvements
Corporation associated with
acceptance of the CDBG
grant (administrative and
Davis Bacon). ACTIVITY
CANCELLED
D. National Objectives
The projects initiated and/or completed during 2007 met the National Objectives.
E. Displacement
No occupants were displaced by CDBG funded activities during the 2007 program
year.
The City will continue to work to minimize displacement and to ensure all
relocation benefits are provided households ultimately displaced by CDBG or City
funded activities.
F. Economic Development
With the exception of City funded Economic Development grants (See Goal 12),
no economic development activities were undertaken during 2007.
City of Ashland
CDBG CAPER 2006-2007
Page 23
Commission Communication
TO:Housing Commission
Title: 2008 RFP re-issuance
Date: September 25, 2008
Submitted By: Linda Reid, Affordable Housing Specialist
A new RFP has been issued to expend the balance of the 2007-2008 CDBG funds
($345,000). The RFP has been re-issued in accordance with the City of Ashland’s
procurement policies. A legal notice was run in the Ashland Daily Tidings on
th
September 18 2008, to meet the public participation requirements. A notice about
the RFP and a link to a PDF version of the document has been posted on the City of
Ashland’s Website. Furthermore a short letter containing a link to the PDF form on the
City’s website has been mailed to potential applicants. The reissued RFP is
essentially the same as the RFP submitted in February, to review this document visit
the City of Ashland’s website.
The timeline for awarding the funds for the reissued RFP has been slightly
accelerated, but the award process remains essentially the same as it has been for
the regular CDBG funding cycle. Applicants have been given 30 days to complete
th
and submit an application. The applications are due October 17 by 3:00 P.M. in the
Community Development building. However, unlike the annual CDBG process, the
public hearing and award recommendations by the Housing Commission are
rd
scheduled to take place at the October 23 meeting; this is in an effort to expedite the
process in order for the City to maintain timeliness in allocating and expending at least
a portion of the CDBG funds ($150,000) by May of 2009. The Housing Commission’s
th
award recommendations will go before the City Council at the November 18 regular
meeting.