Loading...
HomeMy WebLinkAbout2023-04-11 Planning PACKET Planning CommissionAgenda Note: Anyone wishing to speak at any Planning Commission meeting is encouraged to do so. If you wish to speak, please rise and, after you have been recognized by the Chair, give your name and complete address for the record. You will then be allowed to speak. Please note the public testimony may be limited by the Chair. April 11, 2023 REGULAR MEETING AGENDA I. CALL TO ORDER: 7:00 p.m., Civic Center Council Chambers, 1175 E. Main Street II.ANNOUNCEMENTS III.CONSENT AGENDA A. Approval of Minutes 1.March 14, 2023, Regular Meeting 2.March 28, 2023 Study Session IV.PUBLIC FORUM Note: To speak to an agenda item in person you must fill out a speaker request form at the meeting and will then be recognized by the Chair to provide your public testimony. Written testimony can be submitted in advance or in person at the meeting. If you wish to discuss an agenda item electronically, please contact PC-publictestimony@ashland.or.us by April 11, 2023 to register to participate via Zoom. If you are interested in watching the meeting via Zoom, please utilize the following link: https://zoom.us/j/99786172757 V.UNFINISHED BUSINESS A. Approval of Findings for PA-T2-2023-00039, 440 Granite Street VI.OTHER BUSINESS A. Recommendation of Housing Production Strategy Draft Report VII.OPEN DISCUSSION VIII.ADJOURNMENT Next Meeting Date: April 25, 2023 Page 1 of 1 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). Planning CommissionMinutes Note: Anyone wishing to speak at any Planning Commission meeting is encouraged to do so. If you wish to speak, please rise and, after you have been recognized by the Chair, give your name and complete address for the record. You will then be allowed to speak. Please note the public testimony may be limited by the Chair. MARCH 14, 2023 REGULAR MEETING DRAFT MINUTES I.CALL TO ORDER: Chair Norton called the meeting to order at 7:00 p.m. in the Civic Center Council Chambers, 1175 E. Main Street. He thanked Commissioner Verner for chairing the February 14 and February 28 thth Planning Commission meetings in his stead. Commissioners Present: Staff Present: Michael Dawkins Brandon Goldman, Interim Community Development Director Haywood Norton Aaron Anderson, Senior Planner Lynn Thompson Michael Sullivan, Executive Assistant Eric Herron Doug Knauer Kerry KenCairn Lisa Verner Absent Members: Council Liaison: Paula Hyatt II.ANNOUNCEMENTS Interim Community Development Director Brandon Goldman made the following announcements: The Community Development Department has filled the Code Compliance Specialist and Associate Planner positions. The position of Community Development Director had also been advertised, and ˶˹˾˱˼˼̉ ˳˼˿̃˵˴ ˿˾ ˝˱̂˳˸ ˈʼ ˂ˀ˂˃ʾ ˤ˸˵ ˓˹̄̉Ͻ̃ ˘̅˽˱˾ ˢ˵̃˿̅̂˳˵̃ ˔˵̀˱̂̄˽˵˾̄ ̇˹˼˼ ˾˿̇ begin reviewing the applications. Mr. Goldman distributed an informational document regarding a meeting being held by the Department of Land Conservation and Development on March 17, 2023, at the Medford Public Library from 6:00-9:00 p.m. The meeting will review how shifting weather patterns effect Oregon residents. This meeting is not compulsory for the Commission to attend. The next Climate-Friendly and Equitable Communities meeting is tentatively scheduled for April 13, 2023 at 6:00-7:30 p.m. at the Talent Community Center. City Page 1 of 5 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). Planning CommissionMinutes staff from Medford, Talent, and Ashland will be in attendance. III.CONSENT AGENDA A. Approval of Minutes 1. February 14, 2023, Regular Meeting 2. February 28, 2023 Study Session Commissioners Dawkins/Knauer m/s to approve the consent agenda. Voice Vote: all AYES. Motion passed 7-0. IV.PUBLIC FORUM Ϻ ˞˿˾˵ V.UNFINISHED BUSINESS A. Approval of Findings for PA-T2-2023-00038, 2308 Ashland Street Ex Parte Contact No ex parte contact was reported. Commissioner Knauer made several grammatical corrections to the Findings, and also suggested that some verbiage be changed to indicate the current status of the Findings. Commissioners KenCairn/Dawkins m/s to approve the Findings for PA-T2-2023-00038 with the amendments made by Commissioner Knauer. Voice Vote: all AYES. Motion passed 7-0. VI.TYPE II PUBLIC HEARINGS A. PLANNING ACTION: PA-T2-2023-00039 SUBJECT PROPERTY: 440 Granite St. OWNER/APPLICANT: Jordan Willing/Rogue Development Services DESCRIPTION: A request for planning approval to construct a new single family home on a non-conforming lot. The planning action requires both a Water Resource Protection Zone (WRPZ) Reduction and a Variance to exceed seven-percent lot coverage. COMPREHENSIVE PLAN DESIGNATION: WR; ZONING: Woodland Residential; MAP: 39-1E-16-BB; TAX LOT: 1300. Chair Norton read aloud the guidelines for a Type II Public Hearing. Ex Parte Contact Page 2 of 5 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). Planning CommissionMinutes No Commissioners reported ex parte contact. Commissioners KenCairn, Verner, and Norton conducted a site visit with staff at 3:00 p.m. on Friday, March 9, 2023. All Commissioners noted their familiarity with the site. Staff Presentation Senior Planner Aaron Anderson gave a brief overview of the site, including its history, zoning, and topography. Mr. Anderson pointed out that the home site is approximately 15ft above the creek, which is important when evaluating flood risk. He noted that the adopted City map shows the site within a Federal Emergency Management Agency (FEMA) A Flood Zone, but that a Letter of Map Amendment (LOMA) overruled that determination in 2009. Therefore, staff did not evaluate the project with regards to flood code regulations. Mr. Anderson detailed the two main elements of the proposal, namely the request for a Variance to lot coverage requirements, and a reduction to the Water Resource Protection Zone (WRPZ). He added that staff did not believe that a Conditional Use Permit (CUP) would be required to modify a non- conforming development, though the applicant had provided Findings addressing that issue. Mr. Anderson detailed the current property lot coverage. He noted that the applicants were requesting a variance to lot coverage, but that the removal of hardscape on the north end of the property would result in a 4% reduction in lot coverage. Mr. Anderson described how the WRPZ approval criteria would apply to the project, and that the tree removal requested in the application could be done without hazard (see attachment #1). Questions of Staff ˓˿˽˽˹̃̃˹˿˾˵̂ ˤ˸˿˽̀̃˿˾ ̂˵́̅˵̃̄˵˴ ˳˼˱̂˹˶˹˳˱̄˹˿˾ ̂˵˷˱̂˴˹˾˷ ̄˸˵ ̀̂˿̀˿̃˵˴ ˴˵̆˵˼˿̀˽˵˾̄Ͻ̃ ˼˿̄ coverage. Mr. Anderson responded that the site currently has 33% lot coverage, and the new proposal will have 29% lot coverage. He noted that the lot coverage limit in this zone is 41%. ˓˿˽˽˹̃̃˹˿˾˵̂ ˛˾˱̅˵̂ ˳˿˽˽˵˾̄˵˴ ̄˸˱̄ ̃̄˱˶˶Ͻ̃ ̂˵̀˿̂̄ ̂˵˶˵̂̂˵˴ ̄˿ ̇˸˱̄ ˹̃ ˳̅̂̂˵˾̄˼̉ ˿˾ ̃˹̄˵ʼ ˴˵̃̀˹̄˵ ̄˸˵ structure having been demolished. Mr. Anderson responded that hardpack Decompressed Granite (DG) was left in place of the home, and was treated as an impervious surface when determining lot coverage. Chair Norton inquired if the Commission would be asked to approve the removal of trees that have not been noticed as part of the proposal. Mr. Anderson responded that the applicants would be putting forward the argument that the tree removals are exempt from noticing. Mr. Goldman added that, should the Commission find that the trees are exempt from noticing because the property is not vacant, noticing would not be necessary. Applicant Presentation ˑ̀̀˼˹˳˱˾̄ ˚˿̂˴˱˾ ˧˹˼˹˾˷ ̄˸˱˾˻˵˴ ̄˸˵ ˓˿˽˽˹̃̃˹˿˾ ˶˿̂ ̂˵̆˹˵̇˹˾˷ ˸˹̃ ̄˵˱˽Ͻ̃ ˱̀̀˼˹˳˱̄˹˿˾ʾ Page 3 of 5 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). Planning CommissionMinutes ˑ˽̉ ˗̅˾̄˵̂ ̀̂˿̆˹˴˵˴ ˱ ̀̂˵̃˵˾̄˱̄˹˿˾ ˴˵̃˳̂˹˲˹˾˷ ̄˸˵ ̃˳˿̀˵ ˿˶ ̄˸˵ ̀̂˿˺˵˳̄ ˱˾˴ ˹̄Ͻ̃ ̀̂˹˽˱̂̉ components, namely the non-conforming nature of the lot and the requested variance regarding the WRPZ guidelines. She detailed the existing lot coverage and zoning, as well as the impervious surfaces that include pathways, patio areas, and graveled surfaces. She confirmed that the existing lot coverage would be reduced from 33% to 29% (see attachment #2). Ms. Gunter described the proposed WRPZ reduction, stating that the proposed modifications would not impact the riparian zone. She detailed the current riparian zone, stating that the portion of Ashland Creek transecting the property would not be impacted by the development and is protected by a retaining wall. Ms. Gunter pointed out that 80% of the WRPZ would be untouched by the proposed development. Ms. Gunter concluded by detailing the narrow right-of-way (ROW) that prevents the front yard setback from being reduced, and described the flora that would be removed and improved by the development. She added that the home itself would be architecturally sensitive to the area. Questions of the Applicant Commissioner KenCairn asked if the original flood plain line corresponded with the WRPZ. Ms. Gunter ̂˵̃̀˿˾˴˵˴ ̄˸˱̄ ̄˸˵ ˓˹̄̉Ͻ̃ ˽˱̀ ̃˸˿̇ ̄˸˵ ˁˀˀʽ̉˵˱̂ ˶˼˿˿˴ ̀˼˱˹˾ ˵̈̄˵˾˴˹˾˷ ̅̀ ̄˿ ˗̂˱˾˹̄˵ ˣ̄̂˵˵̄ʼ ˲̅̄ ̄˸˱̄ the LOMA written in 2009 found that the retaining wall significantly protected the property against flooding. Mr. Goldman stated that the WRPZ is not related to floodplains, and is instead determined based on the type and dimensions of the nearby creek. Ms. Gunter added that the Ashland Modified Floodzone follows the FEMA 100-year floodplain, but that there is no Ashland Modified Floodzone adopted on this side of Ashland Creek. Commissioner Herron requested clarification regarding the proposed setbacks of the development. Ms. Gunter informed the Commission that criteria A in the WRPZ code provides instructions on how to reduce the need for variances in the WRPZ. She cited a building on B Street that is located closer to the property line than would otherwise be permitted due to its proximity to the WRPZ. Ms. Gunter stated that the applicants were opposed to moving the home closer to the relatively busy Granite Street. Chair Norton closed the Public Hearing and Public Record at 7:48 p.m. Deliberations and Decision The Commission discussed the unnatural topography and layout of the site, and Commissioner KenCairn lamented the difficulty in denying a project based on its pre-existing conditions. Commissioner Dawkins stated that the zoning of the site was a mistake, but that the property has not suffered any floods thus far. Commissioner ˤ˸˿˽̀̃˿˾ ˵̈̀̂˵̃̃˵˴ ˳˿˾˳˵̂˾ ˿̆˵̂ ̄˸˵ ̀̂˿̀˿̃˱˼Ͻ̃ Page 4 of 5 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). Planning CommissionMinutes need to encroach on the WRPZ, but stated that she was generally in favor of the application. ˓˿˽˽˹̃̃˹˿˾˵̂ ˛˾˱̅˵̂ ˳˿˽˽˵˾̄˵˴ ̄˸˱̄ ̄˸˵ ˱̀̀˼˹˳˱̄˹˿˾Ͻ̃ ˾˵˵˴ ˶˿̂ ˱ ̆˱̂˹˱˾˳˵ ˱̀̀˵˱̂˵˴ ̄˿ ˲˵ ̃˵˼˶ʽ imposed due to the proposed layout of the property. He stated that approval of this project could create a concerning precedent. Commissioner Thompson elaborated that the difficulty arises due to the pre-existing conditions of the property. Commissioner Verner agreed, but pointed out that the proposed house would largely occupy the space as the previous house, and that any improvements made to the property as part of the application could be beneficial to the site itself. Commissioners Dawkins/KenCairn m/s to approve PA-T2-2023-00039. Roll Call Vote: all AYES. Motion passed 7-0. VII.OPEN DISCUSSION The Commission discussed the difficulty in discerning the differences between variances and exceptions, particularly when deliberating on planning actions such as this one. Mr. Goldman stated that staff would provide an informational presentation to the Commission at its March 28, 2023 Study Session regarding the differences between variances and exceptions. VIII.ADJOURNMENT Meeting adjourned at 8:15 p.m. Submitted by, Michael Sullivan, ExecutiveAssistant Page 5 of 5 In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please email planning@ashland.or.us. Notification 72 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). that will not allow natural water infiltration to the soil. QUESTIONS? 440 GRANITESTREET 440 GRANITEST LOT AREA: 37,902 SQ FT (0.87ACRE) STEEPSLOPES APPROX50% GENTLESLOPES APPROX.10% STEEPSLOPES APPROX.80% HOUSELOCATION HOUSE AND PATIO WOULD REPLACE PREVIOUS DEVELOPMENT CURRENTLYGRAVEL& DECOMPOSED GRANITE SURFACES EXISTING STREETFRONTAGE APPROVAL WOULD SIGNIFICANTLY REDUCE IMPERVIOUS SURFACE AT THE FRONT OF THE PROPERTY. NEW LANDSCAPING WILL RESULT IN IMPROVED CURB APPEAL ALONG GRANITESTREET WATER RESOURCE PROTECTION ZONE REDUCTION Water resource isseparated by astonewallfrom the WRPZ The area above the wall is aman-made, manicured lawn andlandscape All of thebackyardarea from the historic Mill House to the Garden Studio has been historicallydisturbed Proposed modifications will not negatively impact the waterresource MORE WRPZ EXISTINGCONDITIONS WRPZEXISTING DISTURBEDAREA WRPZPROPOSEDCHANGESIN DISTURBEDAREA PATIO (20' FROMWALL) POOL (32' FROMWALL) SWINGS OVERDECK (10' FROMWALL) SWING CONCEPTRENDERING PROPOSEDCOVERAGEINTHEWRPZ PROPOSED PLANTING IN THEWRPZ PROPOSED IMPROVEMENTS INCLUDE A10% REDUCTION IN THE AREA OF MANICURED LAWN, AND NEW PLANTING OF APPROPRIATE SPECIES OF PINES, MAPLES, REDWOODS, FERNS, OXALIS ANDMOSS. THANK YOU FOR YOURCONSIDERATION Planning CommissionMinutes Note: Anyone wishing to speak at any Planning Commission meeting is encouraged to do so. If you wish to speak, please rise and, after you have been recognized by the Chair, give your name and complete address for the record. You will then be allowed to speak. Please note the public testimony may be limited by the Chair. publictestimonymaybelimitedbytheChair. March 28, 2023 DRAFT Minutes I.CALL TO ORDER: Chair Haywood Norton called the meeting to order at 7:00 p.m. at the Civic Center Council Chambers, 1175 E. Main Street. Commissioners Present: Staff Present: Michael Dawkins Brandon Goldman, Interim Community Development Director Haywood Norton Derek Severson, Senior Planner Eric Herron Aaron Anderson, Senior Planner Doug Knauer Michael Sullivan, Executive Assistant Kerry KenCairn Lisa Verner Lynn Thompson Absent Members: Council Liaison: Paula Hyatt (absent) II.ANNOUNCEMENTS Interim Community Development Director Brandon Goldman made the following announcements: The City Council received a presentation by Union Pacific Railroad and the Department of Environmental Quality (DEQ) regarding a clean up plan of the railroad property. Union Pacific Railroad is requesting a modification to a deed that would allow them to clean up the property to urban standards rather than residential standards. This group will provide a presentation to the Planning Commission at its May 9, 2023 meeting. A second Climate Friendly and Equitable Communities meeting will be taking place at the Talent Community Center on April 13, 2023 from 6:00-7:00 p.m. The Commission will review the findings for PA-T2-2023-00039, 440 Granite Street at its April 11, 2023 meeting, as well as an update on the Housing Production Strategy (HPS). The Commission may also review a Water Treatment Plant project proposal at that same meeting. III.PUBLIC FORUM Ϻ ˞˿˾˵ Page 1 of 4 Planning CommissionMinutes IV.DISCUSSION ITEMS A. Variances & Exceptions Discussion Mr. Goldman stated that variances are a form of relief to deviate from strict adherence to zoning ordinances, and are granted rarely or only in unique circumstances. It is incumbent upon the Commission, or staff if it is a staff-granted variance, to show that it is a unique exception to the rule in order to be approved. Exceptions are a specific use that is permitted within a zoning district, even if it is not explicitly specified by the zoning regulations. Exceptions are granted when a proposed use abides by the ˷˿˱˼̃ ˿˶ ̄˸˵ ˳˿˴˵̃ʼ ˱˾˴ ˹̃˾Ͻ̄ ˹˾ ˳˿˾˶˼˹˳̄ ̇˹̄˸ ̄˸˵ ̇˵˼˶˱̂˵ ˿˶ ̄˸˵ ˓˹̄̉ʾ ˤ˸˵ ˲˵˾˵˶˹̄ ˽̅̃̄ ˿̅̄ʽ̇˵˹˷˸̄ ˱˾̉ detriment to the City, and must be equal or better than the standard (see attachment). Senior Planner Derek Severson detailed how the Ashland Municipal Code (AMC) demonstrates which portions of the AMC are subject to exceptions and variances. It also provides guidelines regarding what is subject to staff approval as Type I Planning Actions, or those that go to the Commission as Type II Planning Actions. Mr. Goldman elaborated that a number of variance requests are processed ˱̃ ˤ̉̀˵ ˙ ˠ˼˱˾˾˹˾˷ ˑ˳̄˹˿˾̃ʼ ̄˸˿̅˷˸ ˱˾̉ ˾˵˹˷˸˲˿̂̃ ˳˱˾ ˳˿˾̄˵̃̄ ̃̄˱˶˶Ͻ̃ ˴˵˳˹̃˹˿˾ ˱˾˴ ̂˵́̅˹̂˵ ̄˸˵ application to go before the Commission. He stated that staff has a certain degree of latitude to approve exceptions, but that some exception requests require Commission approval. Mr. Goldman added that staff will often advise applicants to revise their application so that an exception or variance will not be required, but that applicants can reject this advice and go before the Commission to make their case. ˓˿˽˽˹̃̃˹˿˾˵̂ ˤ˸˿˽̀̃˿˾ ̂˵́̅˵̃̄˵˴ ˳˼˱̂˹˶˹˳˱̄˹˿˾ ̂˵˷˱̂˴˹˾˷ ̃̄˱˶˶Ͻ̃ ˱˲˹˼˹̄̉ ̄˿ ˱̀̀̂˿̆˵ ˤ̉̀˵ ˙ ̀̂˿˺˵˳̄̃ʾ She commented that projects involving Site Development and Design Standards predominantly go before the Commission already. She asked if staff are able to grant exceptions to residential projects that are not subject to Site Development and Design Standards in a Type I context, or if staff is required to use the variance standard. Mr. Goldman responded that the exceptions in the land use ordinance are delineated by type, and can be requested by applicants if they believe a particular code is relevant to their proposal. Mr. Severson added that exceptions are generally limited to the application, such as staff granting an exception to solar setbacks as part of a solar permit. Mr. Goldman stated that staff can determine that an exception is not necessary if the plans can simply be altered, but that the applicants can appeal this decision before the Commission. Commissioner Thompson noted that single-family residences (SFRs) in residential zones are not subject to site design standards of AMC 18.5.2.050.E. She asked if a provision exists in the code for ̃̄˱˶˶ ̄˿ ˷̂˱˾̄ ˵̈˳˵̀̄˹˿˾̃ ̇˸˵˾ ̄˸˵ ˳˿˴˵ ˴˿˵̃˾Ͻ̄ ˱̀̀˼̉ʼ ˿̂ ˹˶ ˱ ̆˱̂˹˱˾˳˵ ̇˿̅˼˴ ˾˵˵˴ ̄˿ ˲˵ ˷̂˱˾̄˵˴ instead. Mr. Goldman responded that SFRs are subject to general requirements of the zone, and that staff can grant general yard exceptions to minimum yard requirements. He commented that these guidelines can be found in AMC 18.2.5.060, and that any exceptions granted would not be considered variances because they are subject to the underlying zoning requirements. Page 2 of 4 Planning CommissionMinutes Commissioner KenCairn stated that the project at 440 Granite Street discussed at the March 14, 2203 meeting confused the differences between variances and exceptions, and that their application may not have been applied appropriately to the project. Mr. Goldman commented that there has been some confusion in interpreting the code when reviewing planning actions, and that the City has attempted to provide clarity in these instances. He mentioned a provision of the AMC that ̀˵̂˽˹̄̃ ̄˸˵ ˹˾˳̂˵˱̃˵ ˹˾ ˼˿̄ ˳˿̆˵̂˱˷˵ ̅̀ ̄˿ ˁˀʵ Ͽ˹˶ ˶˵˱̃˹˲˼˵ʼЀ ̇˸˹˳˸ ˸˱̃ ˲˵˳˿˽˵ ˽˹̃˹˾̄˵̂̀̂˵̄˵˴ ˲̉ planners in the community and was revised in 2015, but has still resulted in some confusion. Senior Planner Aaron Anderson pointed out that the Water Resource Protection Zones (WRPZ) reduction component of the 440 Granite Street project is considered a Type I planning action, and that the magnitude of the lot coverage was the Type II element of the application. This caused the project to come before the Commission. Mr. Goldman elaborated that the requested variance to lot coverage was over 10%, which caused it to go before the Commission, and that the Commission can then determine whether the applicant has demonstrated the need for a variance. Staff or the Commission can also require a reduction to lot coverage if possible, which makes these decisions somewhat discretionary and is why many applicants shy away from requesting exceptions. The Commission discussed the difficulties in discerning the differences between variances and exceptions, particularly as they pertain to Type I and II planning actions and whether those decisions become the purview of staff or the Commission. ˓˿˽˽˹̃̃˹˿˾˵̂ ˛˾˱̅˵̂ ˳˿˽˽˵˾̄˵˴ ̄˸˱̄ ̃̄˱˶˶Ͻ̃ ˽˵˽˿ ˽˵˾̄˹˿˾˵˴ ̄˸˵ ˱̀̀˼˹˳˱˲˹˼˹̄̉ ˿˶ ̆˱̂˹˱˾˳˵̃ ˱˾˴ exceptions, but not in reference to solar projects. Mr. Goldman responded that the Solar Access chapter of the AMC outlines the applicability of projects and exceptions to solar standards, but that AMC 18.4.8.020.C discusses exceptions and variances. Chair Norton commented that a previous project on Granite Street had been upgraded to a Type II planning action at the discretion of former Community Development Director Bill Molnar, and asked if there was a provision in the code for staff to upgrade planning actions to Type IIs if they could cause unusual controversy. Mr. Goldman responded that there was a provision for the staff advisor to make a planning application a Type II planning action in order to send it to the Commission for review. V.OPEN DISCUSSION A. Recognition of Retiring Commissioners Mr. Goldman informed the Commission that Commissioners Thompson and Norton have chosen to not to seek reappointment to the Commission at the end of their terms on April 30, 2023. He expressed his appreciation to both of them on behalf of the City. He thanked Commissioner Thompson for her attention to detail and keen insight, and thanked Chair Norton for his pragmatism ˱˾˴ ˱̀̀̂˵˳˹˱̄˹˿˾ ˶˿̂ ̄˸˵ ̂˵˱˼ʽ̇˿̂˼˴ ˹˽̀˱˳̄ ˿˶ ̄˸˵ ˓˿˽˽˹̃̃˹˿˾Ͻ̃ ˴˵˳˹̃˹˿˾̃ʾ ˝̂ʾ ˗˿˼˴˽˱˾ ˵̈̀̂˵̃̃˵˴ ˸˹̃ ˷̂˱̄˹̄̅˴˵ ˶˿̂ ˲˿̄˸ ˓˿˽˽˹̃̃˹˿˾˵̂̃Ͻ ˿˲˺˵˳̄˹̆˹̄̉ ˱˾˴ ˴˵˴˹˳˱̄˹˿˾ʾ Page 3 of 4 Planning CommissionMinutes ˓˿˽˽˹̃̃˹˿˾˵̂ ˤ˸˿˽̀̃˿˾ ˵̈̀̂˵̃̃˵˴ ˸˵̂ ˱̀̀̂˵˳˹˱̄˹˿˾ ˶˿̂ ̃̄˱˶˶Ͻ̃ ̀̂˿˶˵̃̃˹˿˾˱˼˹̃˽ʼ ˴˵˴˹˳˱̄˹˿˾ ˱˾˴ knowledge. She stated that she was honored to serve on the Commission, and thanked staff and the Commission. Chair Norton thanked staff for assisting the Commission and serving the community. He mentioned ̄˸˱̄ ˸˵ ˸˱˴ ˺˿˹˾˵˴ ̄˸˵ ˓˿˽˽˹̃̃˹˿˾ ˱̄ ˓˿˽˽˹̃̃˹˿˾˵̂ ˤ˸˿˽̀̃˿˾Ͻ̃ ̃̅˷˷˵̃̄˹˿˾ʼ ˱˾˴ ̄˸˱̄ ˿˲˺˵˳̄˹̆˹̄̉ ˹̃ paramount when serving on the Commission. Chair Norton lamented that former Commissioners Melanie Mindlin and Troy Brown could not be properly recognized for their contribution to the Commission when they left during the COVID-19 pandemic. The Commission voiced their appreciation for Commissioners Norton and Thompson, stating that they would be missed. VI.ADJOURNMENT Meeting adjourned at 8:13 p.m. Submitted by, Michael Sullivan, ExecutiveAssistant Page 4 of 4 will not allow natural water infiltration to the soil. Memo DATE: April 11, 2023 TO: Planning Commission FROM: Linda Reid, Housing Program Manager Brandon Goldman, Interim Community Development Director DEPT: Community Development RE: Housing Production Strategy Recommendation SUMMARY The City of Ashland is completing the process of developing a Housing Production Strategy (HPS) to identify and prioritize a variety of strategies and actions for accommodating needed housing within our community. This effort has been supported by a grant from the State Department of Land Conservation and Development (DLCD) with consultant services provided by ECONorthwest. The draft Housing Production Strategy report identifies a set of specific ˱˳̄˹˿˾̃ ̄˸˵ ˳˹̄̉ ̇˹˼˼ ̅˾˴˵̂̄˱˻˵ ˿̆˵̂ ˱˾ ˈʽ̉˵˱̂ ̀˵̂˹˿˴ ̄˿ ˱˴˴̂˵̃̃ ˑ̃˸˼˱˾˴Ͻ̃ ˸˿̅̃˹˾˷ ˾˵˵˴̃ʾ Completion of a Housing Production Strategy, following adoption of a Housing Capacity Analysis, is a new requirement adopted by the Oregon Legislature through passage of House Bill 2003 in 2019. Through approval of a Resolution adopting the HPS related to House Bill 2003 the City will fulfill the State requirement, but more importantly will assist the City in implementing a strategic approach to promote the development of needed housing within our community. To approve the HPS the City Council will be presented with the final draft of the HPS and a resolution to approve. Nothing in the proposed resolution adopting the HPS report shall be construed as a final decision by the Council that concerns the adoption, or amendment of a land use regulation. Each identified action within the HPS is subject to an independent review and decision process as outlined in the report. In consideration of approving the HPS the Council will be presented with eh recommendations form the Housing and Human Services Advisory Committee, the ad-hoc HPS Advisory Committee, and the Planning Commission. Each of these bodies have been actively involved in the drafting and review of the HPS over the course of 2022 and 2023. POLICIES, PLANS & GOALS SUPPORTED Ashland Comprehensive Plan Housing Element Chapter VI Goal (6.10.04): Forecast and plan for changing housing needs over time in relation to land supply and housing production. Community Development Department 51 Winburn Way Tel: 541.488.5305 Ashland, Oregon 97520 Fax: 541.552.2050 ashland.or.us TTY: 800.735.2900 Memo Policy 22: Maintain a data base that includes, measurement of the amount of o vacant land and land consumption, housing conditions, land use, land values, and any other pertinent information. ˘˿̅̃˹˾˷ ˞˵˵˴̃ ˑ˾˱˼̉̃˹̃ Ͽˤ˵˳˸˾˹˳˱˼ ˢ˵̀˿̂̄̃ ˱˾˴ ˣ̅̀̀˿̂̄˹˾˷ ˔˿˳̅˽˵˾̄̃Ѐ o State of Oregon Statewide Planning Goal 10 (Housing): Buildable lands for residential use shall be inventoried, and plans shall encourage the availability of adequate numbers of housing units at price ranges and rent levels which are commensurate with the financial capabilities of Oregon households and allow for flexibility of housing location, type, and ˴˵˾̃˹̄̉ʾЀ Oregon Revised Statutes 197.296: Factors to establish sufficiency of buildable lands within urban growth boundary. House Bill 2003: The 2019 Oregon Legislature passed the law which requires Oregon's cities over 10,000 population to study the future housing needs of their residents and to develop strategies that encourage the production of housing their residents need. HB2001, 2023, signed into law by Governor Kotek on 3/29/2023, requires Oregon ˘˿̅̃˹˾˷ ˱˾˴ ˓˿˽˽̅˾˹̄̉ ˣ˵̂̆˹˳˵̃ ʸ˟˘˓ˣʹ ̄˿ ˳̂˵˱̄˵ ˱ ˸˿̅̃˹˾˷ ̀̂˿˴̅˳̄˹˿˾ ϼ̀̅˲˼˹˳ ˴˱̃˸˲˿˱̂˴Ͻ ˲̉ ˚˱˾̅˱̂̉ ˁʼ ˂ˀ˂˅ʾ ˤ˸˵ ˴˱̃˸˲˿˱̂˴ ̇˹˼˼ ̃˸˿̇ ̀̂˿˷̂˵̃̃ ̄˿̇˱̂˴̃ housing production targets by affordability level for cities with 10,000+ people. The law also establishes accountability and enforcement measures for housing production, to be implemented by DLCD for communities over 10,000 people that conduct an HPS after the targets and measures are established. BACKGROUND AND ADDITIONAL INFORMATION The City of Ashland has adopted numerous policies over the last two decades to promote the development of needed housing, as identified on pages 23-29 of the draft Housing Production Strategy presented this evening. However, the existing and future housing needs of the community remain unmet. In 2021 the City completed an ˱̃̃˵̃̃˽˵˾̄ ˿˶ ˑ̃˸˼˱˾˴Ͻ̃ ˸˿̅̃˹˾˷ ˾˵˵˴̃ ʸ˂ˀ˂ˁʽ˂ˀ˄ˁ ˘˿̅̃˹˾˷ ˓˱̀˱˳˹̄̉ ˑ˾˱˼̉̃˹̃ʹ ˱˾˴ identified several specific steps the City could take to ensure we have adequate housing. To build on this progress, the City applied for a grant with the Department of Land Conservation and Development in 2021 to develop a Housing Production Strategy (HPS). With the assistance of ECONorthwest consultants the City has examined the strategies it presently employs to address housing needs and has identified other strategic actions that can be explored and implemented over the next 8 years to better address the demand for housing that is affordable to households with lower and moderate incomes. These efforts are intended to help achieve equitable outcomes for all Community Development Department 51 Winburn Way Tel: 541.488.5305 Ashland, Oregon 97520 Fax: 541.552.2050 ashland.or.us TTY: 800.735.2900 Memo residents, especially vulnerable groups such as seniors, people of color, people with disabilities, and people experiencing homelessness. The HPS includes actions and implementation steps to support the development of housing, address housing affordability challenges, and encourage the preservation of existing affordable housing. The City identified a set of actions to support new and existing affordable development, encourage the development of more affordable and diverse housing types, and grow partnerships with housing providers, developers, and agencies involved in housing issues. The goal is to increase housing stability for Ashland residents. The Planning Commission reviewed earlier drafts of the HPS on March 22, 2022, July 26, 2022, February 28, 2023, and April 11, 2023. An ad hoc advisory group was formed specifically to assist in the preparation of the Housing Production Strategy, and held five meetings between April 2022 and January 2023, to review the strategies identified and evaluate the priority order for undertaking these actions. The public involvement on this project began during the development of the Housing Capacity Analysis and has continued over the last year in relation to the Housing Production Strategy planning effort. The public engagement efforts included numerous public meetings, study sessions, public surveys, and both an in-person public open house and virtual open house. Additionally, the Housing and Human Services Advisory Committee conducted outreach efforts by setting up a table at Southern Oregon University and distributing questionnaires to reach populations that are seldom engaged in housing policy development. These engagement opportunities over the last 2 years are outlined in Appendix D of the draft Housing Production Study (pages 109-116). The City established a dedicated webpage for this HPS project and past materials, and survey results are archived on-line at www.ashland.or.us/hps. The Housing and Human Services Advisory Committee is reviewing this final draft on Thursday, February 23, and will provide recommendations on the proposed strategies and timeline for implementation included in the document. This draft is the final draft of the HPS being presented for comment prior to creating the final document to be presented at public hearings for formal review and approval. Overall, the HPS is an important step for the City of Ashland to address housing affordability challenges and to provide housing stability for vulnerable groups. The actions and implementation steps identified in the document will be crucial for the Community Development Department 51 Winburn Way Tel: 541.488.5305 Ashland, Oregon 97520 Fax: 541.552.2050 ashland.or.us TTY: 800.735.2900 Memo development of affordable and diverse housing types and partnerships with housing providers, developers, and agencies involved in housing issues. The ad-hoc HPS Advisory group met 5 times between April 2022, and January 2023 to review the development of the HPS document. On January 25, 2023, the group reviewed the final draft HPS and unanimously forwarded a recommendation for approval to the City Council. The Housing and Human Services Advisory Committee reviewed the final draft HPS at their regular meeting on February 23, 2023, and unanimously recommended approval of the draft as presented, and further requested that no changes to the proposed HPS be made. The Planning Commission reviewed the draft HPS at their Study Session on February 28, 2023, and are to review the final draft on April 11 and make a recommendation for th ˓˿̅˾˳˹˼Ͻ̃ ˳˿˾̃˹˴˵̂˱̄˹˿˾ ˱̄ ̄˸˱̄ ˽˵˵̄˹˾˷ʾ SUGGESTED NEXT STEPS Following recommendations by the Planning Commission this evening, the draft Housing Production Strategy will then be presented to the City Council for review on April 17, 2023. Following this review a resolution approving the report will be presented for consideration at the regular Council meeting scheduled for May 2, 2023. nd REFERENCES & ATTACHMENTS Housing Production Strategy dated April 2023 Community Development Department 51 Winburn Way Tel: 541.488.5305 Ashland, Oregon 97520 Fax: 541.552.2050 ashland.or.us TTY: 800.735.2900 City of Ashland Housing Production Strategy Date April 2023 Prepared for: City of Ashland DraftREPORT KOIN Center 222 SW Columbia Street Suite 1600 Portland, OR 97201 503-222-6060 This page intentionally blank Table of Contents This page intentionally blank Acknowledgements ECONorthwest prepared this report for the City of Ashland. ECONorthwest and the City of Ashland thank those who helped develop the Ashland Housing Production City. This project is funded by Oregon general fund dollars through the Department of Land Conservation and Development. The contents of this document do not necessarily reflect the views or policies of the State of Oregon. Kerry KenCairn, Planning Echo Fields, HHSAC Member Commissioner Julie Gillis, Social Equity and Racial Justice Commissioner Gil Livni, Market Housing Developer Noah Hurley, Southern Oregon Julie Stacy, Lender University, Assistant Director of Rich Rohde, HHSAC Member University Housing Lisa Verner, Planning Commissioner Denise James, Affordable Housing Developer Bob Kaplan, Climate Policy Commissioner Brandon Goldman, Interim Community Development Director Linda Reid, Housing Program Manager Mari Valencia Aguilar, Housing Planner Beth Goodman, Project Director Kaitlin La Bonte, Project Manager MacKenzier Visser, Associate Nicole Underwood, Associate Justin Sherril, Technical Manager, Keanan Gleason, Research Analyst ECONorthwest Ashland Housing Production Strategy For more information about this report, contact: City of Ashland Contact: ECONorthwest Contact: Brandon Goldman, AICP Beth Goodman Interim Community Development Director Project Director City of Ashland ECONorthwest 51 Winburn Way 222 SW Columbia, Suite 1600 Ashland, Oregon 97520 Portland, OR 97201 541-552-2076 503-222-6060 brandon.goldman@ashland.or.us goodman@econw.com ECONorthwest Ashland Housing Production Strategy Executive Summary The City of Ashland has sponsored several housing planning efforts over the last several years to address housing access, quality, and affordability concerns. While the City has accomplished ³»©®ɎºµɎª§º«ȍɎº®«¸«Ɏ¯¹Ɏ¹º¯²²Ɏ½µ¸±ɎºµɎ¨«Ɏªµ´«ɎºµɎ«´¹»¸«Ɏ ¹®²§´ªȟ¹Ɏ«¾¯¹º¯´­Ɏ§´ªɎ¬»º»¸«Ɏ®µ»¹¯´­Ɏ needs are met. Ashland developed and adopted a Housing Capacity Analysis in 2020, which ¶¸µ¼¯ª«ªɎ¯´¬µ¸³§º¯µ´Ɏ§¨µ»ºɎº®«Ɏ"¯º¿ȟ¹Ɏ»´³«ºɎ®µusing needs. To build on their progress, the City applied for a grant with the Department of Land Conservation and Development in 2021 to develop a Housing Production Strategy. Purpose of the Housing Production Strategy (HPS) Many households in Ashland are struggling to afford housing. Ashland housing costs and rents have risen sharply in recent years and are considerably above regional averages. About 46% of ¹®²§´ªȟ¹Ɏ®µ»¹«®µ²ª¹Ɏ§¸«Ɏ©µ¹ºɎ¨»¸ª«´«ªɎȘ¯Ȍ«ȌȍɎ¶§ying 30% or more of their income in rent). ¹®²§´ªȟ¹ɎŵųŵŴɉŵųŷŴɎ'µ»¹¯´­Ɏ"§¶§©¯º¿Ɏ ´§²¿¹¯¹Ɏ©²«§¸²¿Ɏ¯ª«´º¯¬¯«¹Ɏ§Ɏ²§©±Ɏµ¬Ɏ®µ»¹¯´­Ɏº®§ºɎ¯¹Ɏ affordable to households with lower and moderate incomes. Some groups are particularly vulnerable to increasing housing costs and may have special housing needs. The HPS is intended to include actions to work together to achieve equitable outcomes for all residents of Ashland, with an emphasis on improving outcomes for underserved communities, lower-income households, and people in state and federal protected classes. Key groups with unmet housing need in Ashland include: Seniors. Many seniors live on fixed incomes and cannot always afford increases in housing costs. They may also need housing that is physically accessible and close to services (such as nearby health care or in-home assistance). People of color (POC). POC are more likely to rent their homes and to live in multifamily housing (except Asian) than the overall average in Ashland. These households may need assistance to avoid displacement and access to housing without ª¯¹©¸¯³¯´§º¯µ´Ɏ¯´Ɏ²µ©§º¯µ´¹Ɏ½¯º®ɎȠ®¯­®Ɏµ¶¶µ¸º»´¯º¿ȡɎȘ¹»©®Ɏ§¹Ɏ§¸«§¹Ɏ´«§¸Ɏ°µ¨¹ȍɎº¸§´¹¯ºȍɎµ¸Ɏ services). People with disabilities. Across Oregon, people with one or more disabilities experience disproportionate cost burden. Some people with disabilities may need physically accessible housing near services (such as nearby health care or in-home assistance). People experiencing homelessness. People experiencing homelessness (or at risk of homelessness) may need a range of supports from immediate assistance (including rent support) to permanent supportive housing (including supportive housing with services) and access to affordable units. ECONorthwest Ashland Housing Production Strategy iii How can the HPS support housing development? This Strategy identifies and describes actions and implementation steps to support development of housing, address housing affordability challenges, and encourage the preservation of existing affordable housing. With this Strategy, the City identified a set of actions to support new and existing affordable development. The actions will encourage the development of more affordable and diverse housing types; grow partnerships with housing providers, developers and agencies involved in housing issues; and increase housing stability for Ashland residents. Exhibit 1. Summary of HPS Strategies Strategies What is it? How does the strategy help? A.Evaluate participating Land banks support low- and moderate-Provides a pipeline of land for future in or establishing a income affordable housing development development and control the type of land bank.by reducing or eliminating land cost from development that may occur on that development, increasing a nonprofitsÔ land. capacity to build affordable housing. The City could contribute funds or lands to affordable housing projects or land trusts. B.Evaluate opportunities Land trusts hold land in perpetuity and sell Supports affordable housing to participate in a land or lease the housing on the land at below-development by holding land in trust. market rate prices. The City could partner perpetuity and selling or leasing the with and contribute funds or land to an housing on the land at below-market existing non-profit land trust or participate rate prices. in the formation of a new non-profit land trust if one does not exist with sufficient capacity to serve Ashland. C.Host educational The City can work with the Housing and Provides education around housing events with the Human Services Advisory Committee or issues, which can help prevent and Housing and Human other organizations to host educational address housing discrimination, Services Advisory events. Trainings could focus on topics ensure rights are protected, and Committee such as fair housing and housing connect residents with housing discrimination, foreclosure, eviction, resources. tenant and landlord rights, trainings to serve vulnerable populations, or other information needs as they arise. D.Develop an equitable An equitable housing plan could Addresses identified impediments to housing plan implement strategies from the Fair fair housing such as: limited Housing Analysis of Impediments Report, community awareness about fair such as offering education and training, housing protections and resources, reviewing City policies for disparate impact instances of discrimination in and biased language, and adopting a tool housing transactions, and a lack of to ensure inclusivity in decision making affordable housing. process regarding City grant funding. ECONorthwest Ashland Housing Production Strategy iv E.Disallow SFD in High The City can evaluate changes to Preserves this zone for higher- Density R-3 Zone AshlandÔs zoning code to disallow single-density housing. family detached housing in the High- Density Residential Plan Designation (R-3 zone). F.Evaluate increasing The City could evaluate increasing Encourages the development of allowances for allowances for residential dwellings in more dense multifamily housing in residential dwellings commercial and employment zones, such commercial and mixed-use zones in commercial and as removing residential density caps and employment zones allowing an increased amount of residential uses in ground floor commercial spaces. G.Maintain quality and The City could work with owners and Preserves and supports support development nonprofit organizations to support development of new manufactured of a new preservation efforts. The City could also home parks, which play a significant manufactured home change the zoning code to more easily role in providing naturally occurring park allow new manufactured home park affordable housing. development. H.Increase development The City could amend the Land Use Allows for a wider range of capacity of MFR Ordinance to allow for a wider range of development will help ensure there dwellings development. Zoning changes could are development opportunities for include increased density, increased needed housing types. allowable height, and reduced parking requirements I.Implement the Offers multi-unit developers that meet City-Provides a way to leverage private, Multiple Unit Property set affordability criteria a partial property market-rate development to expand Tax Exemption tax exemption affordable housing. (MUPTE) to support multifamily or affordable housing J.Preserve and improve The City could evaluate programs, Supports needed repairs for low-cost existing low-cost, technical assistance opportunities, unregulated housing without unregulated, rental regulatory changes, and other options to displacing tenants. housing support property improvements. The City could provide grant funding in support of rehabilitation, weatherization or accessibility upgrades. K.Work with partners to The City would work with service providers Supports development of income- support development to identify and utilize funding and restricted housing that includes of additional development assistance opportunities. services with a goal of ending permanent supportive chronic homelessness. housing ECONorthwest Ashland Housing Production Strategy v L.Evaluate opportunities The City can evaluate opportunities to Helps the City meet its CEAP goals to improve energy incorporate elements of the Climate and and can lower-long term energy efficiency and reduce Energy Action Plan CEAP into housing costs. GHG emissions during developments. The City could also housing development facilitate access to energy efficiency incentives available from the federal and state government, particularly for development of affordable housing. M.Establish a Construction Excise Tax (CET) is one of few The City could use CET revenue Construction Excise options to generate additional locally-funds to support the development or Tax controlled funding for affordable housing. re-development of affordable The funds from the CET are required by housing. State law to be spent on developer incentives, supporting affordable housing programs, and homeownership programs. N.Evaluate using Urban The City will evaluate the potential to use Provides a flexible funding tool that Renewal Urban Renewal to support infrastructure can support many of the key and affordable housing. The City would strategies identified in the Housing need to develop and implement an Urban Production Strategy. Renewal Plan, establish an Urban Renewal Agency, and select projects to fund through Urban Renewal. O.Identify additional The City will identify and evaluate new Identifying additional funding funds to support the sources of funding for income-restricted sources for AshlandÔs Affordable Affordable Housing affordable housing, such as a General Housing Trust Fund would provide Trust Fund Obligation Bond. direct financial resources to the development of affordable housing for low-income households. How do the actions work together? Delivering housing that is affordable to low-income households requires a variety of strategies that address key housing needs in the city. Th«Ɏ"¯º¿ȟ¹Ɏ¹º¸§º«­¯«¹Ɏ§¸«Ɏ¯´º«´ª«ªɎºµɎ¶¸µ¼¯ª«Ɏ incentives and support at various phases of a development project and help overcome obstacles and challenges, making development more financially feasible. The strategies are intended to reduce housing costs and ensure that rents or sales prices are more affordable by making it more financially feasible to build and preserve affordable housing. The City developed four initiatives that address key housing needs in the city, focusing on outcomes of implementing the actions. The initiatives comprise a set of potential city-led strategies, funding sources, and potential partnerships with other entities that help to achieve an overarching goal. By bundling strategies and funding sources, the City acknowledges that ¹«¼«¸§²Ɏ¹º¸§º«­¯«¹Ɏ§´ªɎ¶§¸º´«¸¹®¯¶¹Ɏ§¸«Ɏ´«©«¹¹§¸¿ɎºµɎ§©®¯«¼«Ɏº®«Ɏ"¯º¿ȟ¹Ɏ®µ»¹¯´­Ɏ­µ§²¹ȌɎɎ ECONorthwest Ashland Housing Production Strategy vi Encourage development of low- and moderate-income affordable rental housing. This initiative seeks to increase the housing options for unregulated rental households earning between 60% and 120% of MFI ($43,900 to $87,700). Increase opportunities for affordable homeownership. This initiative seeks to increase the housing options for homeownership for households earning less 120% of MFI (less than $87,700). Encourage development of income-restricted affordable housing units. There are limited options available in Ashland that are affordable to households with income of less than 60% of MFI ($43,900). This initiative supports development of housing affordable in this income group. Preserve existing of low- and moderate-income affordable housing. This initiative seeks to increase the housing options for households earning less than 120% of MFI (less than $87,700). ECONorthwest Ashland Housing Production Strategy vii g n i Ongoing Ongoing 2026* 2025* 2026* 2029* d m 2024 2027 2025 2024 2027 2028 2025 i e T s viii o n p o i o t r p P o d A g - - n ie tt w e s a ol i l g r e x b fen i e a m o d s d o e o r y u lc v o o r m p n f i f h e p d s a u n e s r a P g d f n i e o t s t c e u i n r g o t e a h s s r t i me e u r l pn - o b o u e c l a n e m d v E r o e e o c f d m f n i a a N e v i r t p o i a f i h t ie s s l er e n ib I s e t ia a n nd e w r r u o co t f r e n f I o a m p o p h o Exhibit 2. Housing Initiatives, Potential Actions, and Proposed Adoption - e e l Secondary Focus of the initiative f t bg o a r a n t i e e d n s g r d e u a o o r f o orthwest Ashland Housing Production Strategy mf u m h pa o l o d c l e a n t n e m a n v E o - e e r c d w n o i l H.Increase development capacity of MFR dwellings dwellings in commercial and employment zones G.Maintain quality and support development of a Evaluate participating in or establishing a land C.Host educational events with the Housing and K.Work with partners to support development of F.Evaluate increasing allowances for residential B.Evaluate opportunities to participate in a land Exemption (MUPTE) to support multifamily or efficiency and reduce GHG emissions during additional permanent supportive housing L.Evaluate opportunities to improve energy I.Implement the Multiple Unit Property Tax J.Preserve and improve existing low-cost, E.Disallow SFD in High Density R-3 Zone Human Services Advisory Committee D.Develop an equitable housing plan Establish a Construction Excise Tax new manufactured home park Primary Focus of the initiative e unregulated, rental housing m a N nhousing development o i t affordable housing c A s e c r u o S trust. bank. g n i d n ECON M. A. u F g n i 2025* d m 2028 i e T s n. Some of these actions do ix o n icipation p o i o t r p P o d ch, with varying involvement from local partners. The city has A Coordinate with lopment of affordable housing, but the delivery requires the part HHSAC g - r - City Council. n ie e tt w Develop housing Develop housing Manage Land Trust e h s a ol i t l g r e x b fen O i e a m o d s d o e o r y u lc v o o r m p n f i f h e p d s a u nadoption of an ordinance depending on the direction provided by e s r a outreach and plan Partner to identify The implementation schedule for these actions involves getting policy direction from City Council during this year, not adoptio P needs, develop materials, do s uction, delivery, and preservation of housing units. t i events g d lf f n i e o a o t s r c t c e u i p o n r g o n t L e a h s s o r t i me e u N r l How will the City implement the Strategy? Who are the partners? pn - o b o u e c l a n e m d v E r o e e o c f d m f n d i a a e n s t N r a a e e e R v p l i r t t o p b o l i a e f a i h e t k d ie s s v r l r er e n e a ib I s e o t f ia a D n f M nd e w r A r u o co t f r e n f I o a m p o p t h o n s e e r i m e c n h - n r e t e l f t e e O bg o a g v r Each of the strategies require a different implementation approa a n t A i o e e d n s g r d G e u a o o r f o orthwest Ashland Housing Production Strategy mf u m h identified strategies that it can use to best support the deve pa o l o d Contribute land or Contribute land or Partner to identify c l e a plan/host events n t needs, develop n e outreach and materials, do m a n v E o not require adoption of an ordinance, others may not result in - e e r c funding funding of key partners who have roles essential to the constr d w n o i l y t i Exhibit 3. City and Partner Roles in Implementation to support the Affordable C B.Evaluate opportunities to participate in Housing and Human Services Advisory C.Host educational events with the N.Evaluate using Urban Renewal e A.Evaluate participating in or m establishing a land bank. a O.Identify additional funds N n s o i n Housing Trust Fund t o c i t A c A a land trust. Committee ECON * x Policy Commission: Provide input Major employers, and the business Provide input Ashland Climate Property owners ovide input Provide input Coordinate with manufactured provide input provide input home parks: Owners of HHSAC Provide input Provide input identify and utilize Service providers: provide input & Partnership on opportunities. development preservation Partnership; funding and assistance materials; outreach efforts Provide input Pr OHCS: partnership input & materials; Authority: provide Building Division: Ashland Housing develop regional Division, Electric Jackson County: on preservation Taxing Districts: partnership to Conservation provide input Department, exemption approach. outreach approval consider Ashland efforts orthwest Ashland Housing Production Strategy development code; development code development code development code Outreach, develop Develop program; funding; outreach steps and identify and development eligibility criteria, implement plans implementation, implementation, property owners implementation Provide funding and nonprofits Develop plan, opportunities; opportunities Develop and & promotion outreach to assistance promotion determine adoption, adoption, Evaluate partners Revise Revise Revise Revise emissions during housing development H.Increase development capacity of MFR E.Disallow SFD in High Density R-3 Zone development of additional permanent development of a new manufactured I.Implement the Multiple Unit Property M.Establish a Construction Excise Tax residential dwellings in commercial D.Develop an equitable housing plan F.Evaluate increasing allowances for Tax Exemption (MUPTE) to support J.Preserve and improve existing low- energy efficiency and reduce GHG L.Evaluate opportunities to improve multifamily or affordable housing cost, unregulated, rental housing K.Work with partners to support G.Maintain quality and support and employment zones supportive housing s e home park c dwellings r u o S g n i d n ECON u F xi Residents: provide Property owners provide input community: input implement the URA: Select projects; Plan orthwest Ashland Housing Production Strategy sources of funding, partner w/Urban Renewal Agency implement plan Establish and Evaluate new develop, and N.Evaluate using Urban Renewal or other funds to support the Affordable Housing Trust Fund O.Identify additional financing tools ECON 1.Introduction The City of Ashland has sponsored several housing planning efforts over the last several years to address housing access, quality, and affordability concerns. While the City has accomplished ³»©®ɎºµɎª§º«ȍɎº®«¸«Ɏ¯¹Ɏ¹º¯²²Ɏ½µ¸±ɎºµɎ¨«Ɏªµ´«ɎºµɎ«´¹»¸«Ɏ ¹®²§´ªȟ¹Ɏ«¾¯¹º¯´­Ɏ§´ªɎ¬»º»¸«Ɏ®µ»¹¯´­Ɏ needs are met. Ashland developed and adopted a Housing Capacity Analysis in 2020, which ¶¸µ¼¯ª«ªɎ¯´¬µ¸³§º¯µ´Ɏ§¨µ»ºɎº®«Ɏ"¯º¿ȟ¹Ɏ»´³«ºɎ®µusing needs. To build on their progress, the City applied for a grant with the Department of Land Conservation and Development in 2021 to develop a Housing Production Strategy. A Housing Production Strategy (HPS) is intended to include goals and strategic actions to work together to achieve equitable outcomes for all residents of Ashland, with an emphasis on improving outcomes for underserved communities, lower-income households, and people in state and federal protected classes. An HPS considers issues of Fair Housing, which is intended to provide access to housing choice by everyone, free from discrimination. Federal protected classes are: race, color, national origin, religionȍɎ­«´ª«¸ȍɎ¬§³¯²¯§²Ɏ¹º§º»¹ȍɎ§´ªɎª¯¹§¨¯²¯º¿ȌɎ.¸«­µ´ȟ¹Ɏ additional protected classes are: marital status, source of income, sexual orientation and gender identity, and status as a domestic violence survivor. Under Fair Housing laws, it is illegal to deny access to housing in based on the characteristics of people within these protected classes. 3®¯¹Ɏ¸«¶µ¸ºɎ¶¸µ¼¯ª«¹Ɏ¯´¬µ¸³§º¯µ´Ɏ§¨µ»ºɎ ¹®²§´ªȟs housing needs. It provides an understanding of the issues (in Chapter 2), before solutions are proposed (in Chapter 3). This report draws its information and findings from several documents including: ¹®²§´ªȟ¹Ɏ Housing Capacity Analysis (2021) Comprehensive Plan and Housing Element Update (2019) Ashland Consolidated Plan 2020-2024 (2020) 1 Affordable Housing Ordinance (2020) Rent Burden Meetings in recent years Missing Middle Code Update (2022) Ashland recently completed the Ashland Housing Capacity Analysis (HCA) in 2021. Key findings from the HCA are: Ashland is forecast to grow by about 858 new dwelling units between 2021 to 2041. On average, this equates to 43 new dwelling units per year. Changes in demographic characteristics will drive need for new housing. The HCA forecast Ashland will need more attached and multifamily housing in the future than Ɏ"¯º¿Ɏµ¬Ɏ ¹®²§´ªȌɎȘŵųŵųșȌɎ ¹®²§´ªȟ¹ɎŵųŵųɉŵųŵŷɎ"µ´¹µ²¯ª§º«ªɎ/²§´ȌɎ 1 ECONorthwest Ashland Housing Production Strategy 1 the current housing stock provides. The key demographic trends that will affect ¹®²§´ªȟ¹Ɏ¬»º»¸«Ɏ®µ»¹¯´­Ɏ´««ª¹Ɏ§¸«Ɏº®«Ɏ§­¯´­Ɏµ¬Ɏº®«Ɏ¨§¨¿Ɏ¨µµ³«¸¹ȍɎº®«Ɏ®µ»¹«®µ²ªɎ formation of the millennials and Generation Z, and growth in Latino populations. The implications of these trends are increased demand from older (often single person and more likely to be female) households and increased demand for affordable housing for families, both for ownership and rent. Ashland has an existing deficit of housing affordable to low- and middle-income households and is likely to have similar future deficits. ¹®²§´ªȟ¹Ɏ«¾¯¹º¯´­Ɏª«¬¯©¯ºɎµ¬Ɏ housing that is affordable for extremely-low and very-low income, low-income, and middle-income households indicates a need for subsidized affordable housing for renters and affordable homeownership. Without the types of solutions proposed in Chapter 3 of this report, lack of affordability will continue to be a problem and possibly will grow, in the future, if incomes continue to grow at a slower rate than housing costs. Ashland has sufficient land within the urban growth boundary to support development over the next 20 years. ¹®²§´ªȟ¹Ɏ'" Ɏ¹®µ½¹Ɏº®§ºɎº®«Ɏ"¯º¿Ɏ©§´Ɏ accommodate growth (858 dwelling units) over the next 20-years with a surplus of ©§¶§©¯º¿Ɏ¸«³§¯´¯´­ȌɎ'µ½«¼«¸ȍɎ¹µ³«Ɏª«¼«²µ¶³«´ºɎ¯´Ɏ ¹®²§´ªȟ¹Ɏ2»¨»¸¨§´Ɏ1«¹¯ª«´º¯§²ȍɎ Normal Neighborhood, and Multifamily Residential Plan Designations will need to be §©©µ³³µª§º«ªɎ¯´Ɏº®«Ɏ©¯º¿ȟ¹Ɏ»¸¨§´¯À¯´­Ɏ§¸«§ȌɎ Requirements of a Housing Production Strategy OAR 660-008 describes the requirements of a Housing Production Strategy (HPS) in sections 660-008-0050 through 660-008-0070. This section briefly describes these requirements and review by staff with the Department of Land Conservation and Development (DLCD). The HPS is required to include the following information. It is noted what chapter this information is included in, in this report: Unmet Housing Need in Ashland (Chapter 2 and Appendix A in this report) should provide information about the socio-economic and demographic trends of households in Ashland, the policies the City has adopted to meet housing needs, and a summary of engagement the City has had with stakeholders about housing needs (especially with stakeholders in underrepresented groups). Actions to Meet Future Housing Need (Chapter 3 in this report) identifies specific §©º¯µ´¹ȍɎ³«§¹»¸«¹ȍɎ§´ªɎ¶µ²¯©¯«¹Ɏ´««ª«ªɎºµɎ§ªª¸«¹¹Ɏ®µ»¹¯´­Ɏ´««ª¹Ɏ¯ª«´º¯¬¯«ªɎ¯´Ɏ ¹®²§´ªȟ¹Ɏ HCA report. Achieving Fair and Equitable Housing Outcomes (Chapter 4 in this report) evaluates the entire list of strategies to achieve equitable outcomes. The valuation considers factors such as location of housing, Affirmatively Furthering Fair Housing, facilitating housing choice, identifying housing options for residents experiencing homelessness, supporting development of affordable housing, and increasing housing stability. ECONorthwest Ashland Housing Production Strategy 2 The City is required to submit the HPS to DLCD after its adoption by the City Council. The City is then required to monitor progress on implementation of the HPS and progress on production of housing related to the policies and actions in this report. Linking housing development directly to implementation of the actions in this report may be challenging and difficult to quantify. But City staff will be able to report changes in building activity that occur before and after implementation of specific actions and will be able to provide qualitative feedback on implementation of actions based on development of partnerships and discussions with stakeholders. Ashland will be required to submit a report to DLCD four years after the City adopts the HPS that includes: A summary of the actions taken by that time. For actions not adopted on the schedule in the HPS, the city must provide an explanation of the circumstances that posed a barrier to implementation and a plan for addressing the need identified in the strategy. An evaluation of the efficacy of the actions that the city has implemented for meeting the needs in the HCA and whether the actions are moving the city to achieve more fair and equitable housing outcomes. Implementation of the HPS will take time because each action will require further consideration, such as additional analysis, engagement of consultants, changes to existing standards or programs, discussions with decision makers, or public hearings. The City may be unable or chose not to implement some of these actions because of new information that arises from further consideration about the specifics of each action. If the City is unable to or chooses not to implement an action within 90 days of the timeline proposed in the HPS, the City must notify DLCD about the action(s) that the City is taking to address this issue. The City may propose an alternative schedule for implementing the action or may identify a different action (or actions) to meet the specific housing need addressed by this action. Considerations for Implementing the Housing Production Strategy As part of development of the HPS, it is impo¸º§´ºɎºµɎ»´ª«¸¹º§´ªɎ§Ɏ©¯º¿ȟ¹Ɏ¸µ²«Ɏ¯´Ɏ®µ»¹¯´­Ɏ ª«¼«²µ¶³«´ºȌɎ2»¶¶µ¸º¯´­Ɏ§´ªɎ²«¼«¸§­¯´­Ɏº®«Ɏ¶¸¯¼§º«Ɏ³§¸±«ºȟ¹Ɏ§¨¯²¯º¿ɎºµɎª«²¯¼«¸Ɏ³§¸±«ºɉ¸§º«Ɏ development at the broadest possible range of price-points is critical to increase the supply of housing more broadly, especially in light of the limited public funding available to support income-restricted housing. In an area with §Ɏ¸«§¹µ´§¨²¿Ɏ¹º¸µ´­Ɏ®µ»¹¯´­Ɏ³§¸±«ºȍɎ§Ɏ©¯º¿ȟ¹Ɏ influence over market-rate development is substantial, despite the number of factors that the city does not control. The graphic in Exhibit 4 illustrates how four factors must intersect so that development can occur, and where the City has most influence. ECONorthwest Ashland Housing Production Strategy 3 Cities do not control all of these factors entirely. Public policy at the local level is shaped through state policy. Land is generally controlled by the individual landowners and development of infrastructure necessary to make land development can be prohibitively expensive. Market feasibility is largely affected by market forces, such as construction costs and achievable rents. Access to capital is largely controlled by investors and banks. However, cites can directly influence public policy (through its development code) and availability of land (through zoning, density, planning for new land needed for housing, redevelopment, government owned surplus land, potential urban renewal and other types of projects and acquisitions, and infrastructure planning). Cities can also have a limited influence on market feasibility (through policies that reduce costs like tax abatements or waiving fees). Exhibit 4. Four Necessary Factors that Allow Development of New Market-Rate Housing Source: ECONorthwest These factors all suggest that the City should consider a wide range of actions. Exhibit 5 shows the range of strategies, characterizing some strategies as more impactful and some as less impactful. More impactful strategies are those that provide funding or direct resources to support housing development (like land acquisition and disposition). These strategies are more impactful because funding and resources are the greatest constraint on development of income- ECONorthwest Ashland Housing Production Strategy 4 restricted affordable housing (such as housing affordable to households with incomes below 80% of MFI). While removing regulatory barriers and partnerships are shown as less impactful strategies, they are often necessary (but not sufficient on their own) to support housing development. For example, increasing allowable densities, on its own, result in new affordable being built. The City needs other strategies to support development of affordable housing for people to live and work in Ashland. This example also underscores the fact that many of the actions presented in this chapter build on each other. While a partnership on its own may not be sufficient to support development of housing, it may be key when combined with other actions. Exhibit 5. Types of Strategies to Support Housing Production Source: ECONorthwest Building Equity into the HPS $·»¯º¿Ɏ¯¹Ɏ¨µº®Ɏ§´Ɏµ»º©µ³«Ɏ§´ªɎ§Ɏ¶¸µ©«¹¹ȌɎ ¹Ɏ§´ɎȠµ»º©µ³«ȍȡɎ«·»¯º¿Ɏ³«§´¹Ɏº®§ºɎ¸§©«Ɏµ¸Ɏµº®«¸Ɏ ³§¸±«¸¹Ɏµ¬Ɏ¹µ©¯§²Ɏ¯ª«´º¯º¿Ɏ½µ»²ªɎ´µɎ²µ´­«¸Ɏ¶¸«ª¯©ºɎµ´«ȟ¹Ɏ²¯¬«Ɏµ»º©µ³«¹ɎȘ¬µ¸Ɏ¯´¹º§´©«Ɏ¯´Ɏ®«§²º®ȍɎ socioeconomic advantages, educational access, life expectancy, etc.). Achieving that outcome remains a challenge because our economic systems were, often unintentionally, designed and ¨»¯²ºɎºµɎ³§¯´º§¯´Ɏ¯´«·»§²¯º¿Ɍ§´ªɎº®«¿Ɏ©µ´º¯´»«ɎºµɎªµɎ¹µȌɎɎ To achieve equitable outcomes, equity is also a process that people undertake to better understand, question, and disrupt historical and contemporary inequitable systems and structures. We can use this process to create policies that are based in equal opportunity and resources, and we can ensure that those most impacted by policies and practices are meaningfully involved in their creation and implementation. ECONorthwest Ashland Housing Production Strategy 5 Equitable housing goes beyond affordability. It aims to ensure all people have housing choices that are diverse, high quality, energy efficient, physically accessible, and reasonably priced, with access to employment opportunities, services, and amenities. This includes reducing rates of cost burden and increasing access to homeownership, especially for low-income households and vulnerable groups such as seniors, workers with low pay, people with disabilities, and communities of color. This broad definition of equitable housing includes choices for homes to buy or rent that are reasonably priced (relative to income) and accessible across all ages, household sizes, abilities, and incomes and are convenient to everyday needs such as schools, childcare, food, and parks. Exhibit 6 provides an equity framework to increase the consideration of equity in the project process and implementation (including measuring impact). Creating equitable processes will help ensure that diverse and underrepresented communities (including vulnerable and low- income communities) are able to influence and inform policy and program development. Exhibit 6. Housing Production Strategy Equity Framework Measurement Identify Unmet Housing Engagement Process HPS Plan Development 2 and Analysis Needs Identify unmet housing Engage community Ensure that the actions Develop needs, such as lower-members to learn about in the HPS address measurements income cost-burdened their priorities, needs, and AshlandÔ unmet housing to understand households challenges to affordable needs the impact and housing progress Identify vulnerable people Identify outcomes within toward within the community who Build community the HPS that respond to increasing are at risk or who could awareness and support community needs and equity of the benefit from access to through the engagement promote housing stability actions more affordable housing process and choice, particularly for those households Continue engagement in with the unmet housing implementation of the need. actions within the HPS The HPS was developed within this equity framework. The actions in the HPS are intended to increase equitable housing outcomes as the City implements the recommendations of the HPS. Stakeholder Involvement in Developing the HPS A key part of developing the HPS was consulting community members to learn about their priorities, needs, and challenges related to affordable housing. The stakeholder outreach process for developing the HPS was collaborative and included input from the following groups: Engagement builds on prior engagement that the City has done on other housing and community development 2 projects, such as work on the Ashland Consolidated Plan. It also includes engagement conducted as part of the HPS project. Implementation of the HPS will include additional engagement. ECONorthwest Ashland Housing Production Strategy 6 ¹®²§´ªȟ¹Ɏ'µ»¹¯´­Ɏ ª¼¯¹µ¸¿Ɏ"µ³³¯ºº««Ȍ The project included five meetings with the Advisory Committee over the course of the project. The advisory committee consisted of ten community members with diverse backgrounds related to housing issues in Ashland. The committee met throughout the development of the HPS, to review the draft list of housing actions, identify gaps in the list and potential strategies to fill in gaps, refine the list of strategies and to provide input in the draft HPS document. According to a survey of Advisory Committee in October 2022, the highest priority housing actions included: Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks. Work with partners to support development of additional permanent supportive housing. Preserve and improve existing low-cost, unregulated, rental housing. The full results of the AC survey are shown in Exhibit 7 below. Exhibit 7. Advisory Committee Housing Action Priority Survey Discussions with Stakeholders. Service providers for vulnerable populations, to better understand the range of unmet housing needs for people experiencing houselessness, students, low-income renter and homeowner households, and other special needs populations. These ECONorthwest Ashland Housing Production Strategy 7 discussions identified several actions to better support and coordinate with providers. Some of the actions discussed include: Increasing partnership opportunities, such as partnering to undertake trainings to serve vulnerable populations, Regular meetings and coordination with the City to discuss needs and opportunities, and Funding for emergency weather related shelter coordination in a model like the one the City of Medford has with Access. Local housing developers and builders The project included five interviews with stakeholder groups, including developers, builders, planners, and architects, to solicit feedback on potential strategies and housing development barriers in Ashland. Key suggestions from these interviews included: Urban Renewal has been effective in facilitating development in neighboring jurisdictions and could be a useful tool in Ashland. Land banking could allow developers to construct more workforce housing. Review the code for unintended barriers to density. Evaluate opportunities to streamline development review. Modifications to code requirements for Cottage Housing and ADUs could make these housing types more feasible. Open house. A virtual open house was held in October 2022. The open house included a presentation on housing needs in Ashland and shared information about the strategies the city is considering to meet unmet housing needs. The presentation included a brief survey for participants to share the priorities around potential housing strategies. Planning Commission ɎɋɎ3®«Ɏ¶¸µ°«©ºɎ¯´©²»ª«ªɎ¬µ»¸Ɏ³««º¯´­¹Ɏ½¯º®Ɏº®«Ɏ/²§´´¯´­Ɏ Commission. The meeting topics included 1) the project overview and associated stakeholder and community engagement, 2) strategies to accommodate housing need in Ashland, 3) reviewing the draft HPS and 4) reviewing the final HPS. Housing and Human Services Advisory Committee. The project included two presentations and one meeting with the Housing and Human Services Advisory Committee (HHSAC). The HHSAC recommended prioritizing nine strategic actions for inclusion in the Housing Production Strategy document. The HHSAC recommended tiering those nine strategies in order of highest priority, as follows: Tier one (highest priority) strategic actions includes: Identify additional funds to support the Affordable Housing Trust Fund Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks Participate in a land trust ECONorthwest Ashland Housing Production Strategy 8 Participate in or establish a land bank. Tier two includes: Establish a construction excise tax Disallow SFD in high density R-3 zone Tier three (lower priority) includes: Evaluate using urban renewal Implement the Multiple Unit Property Tax Exemption Increase development capacity of MFR dwellings through changes to the Land Use Ordinance 3®«¹«¹Ɏ¹º¸§º«­¯©Ɏ§©º¯µ´¹Ɏ½«¸«Ɏ¸«©µ³³«´ª«ªɎ½¯º®Ɏº®«Ɏ»´ª«¸¹º§´ª¯´­Ɏº®§ºɎº®«Ɏ''2 "ȟ¹Ɏ priorities should not be construed as eliminating or diminishing the remaining strategies. The motion was approved unanimously. City Council. The project included three meetings with City Council. On the August 2022 presentation, Council provided the following feedback: Council was supportive of: Land banking Land trust - they were very interested in long-term affordability Preservation of manufactured home parks Evaluating using Urban Renewal Potentially using a CET Council asked why there wasn't inclusion of: Pre-approved ADU and Missing Middle Plan Sets 3 Universal design as a strategy for inclusion 4 Council discussed, and some suggested removing, inclusionary zoning 5 This strategy was included as a recommendation in the HPS but not specified as an action that would be 3 implemented in the HPS because pre-approved plan sets may be less effective in supporting these types of housing developments because there may be substantial variation in development of Middle Housing types because each development is likely to have unique challenges. Ɏ ©©«¹¹¯¨¯²¯º¿Ɏ²§´­»§­«Ɏ¯¹Ɏ¯´©²»ª«ªɎ»´ª«¸Ɏº®«ɎȠ/¸«¹«¸¼«Ɏ§´ªɎ¯³¶¸µ¼«Ɏ«¾¯¹º¯´­Ɏ²µ½ɉ©µ¹ºȍɎ»´¸«­»²§º«ªȍɎ¸«´º§²Ɏ®µ»¹¯´­ȡɎ 4 ¹º¸§º«­¿ȌɎ%µ²²µ½¯´­Ɏ"µ»´©¯²ȟ¹Ɏ©µ³³«´ºȍɎ²§´­»§­«Ɏ½§¹Ɏ§²¹µɎ§ªª«ªɎºµɎº®«ɎȠ$·»¯º§¨²«Ɏ'µ»¹¯´­Ɏ/²§´ȡɎ¹º¸§º«­¿Ɏ§Ɏ regarding promotion of Universal Design policies or goals to address equity for people with disabilities. Inclusionary zoning was removed as a potential strategy from the HPS after discussion with City staff because of 5 º®«Ɏ¸«·»¯¸«³«´º¹Ɏ¯´Ɏ.¸«­µ´ȟ¹Ɏ(´©²»¹¯µ´§¸¿Ɏ9µ´¯´­Ɏ¹º§º»º«¹Ɏthat limit it to use on multifamily buildings with 20 or more units. Ashland has had very few multifamily developments over 20 units per structure in the last decade. As a ECONorthwest Ashland Housing Production Strategy 9 The Housing and Human Services Advisory Committee also conducted a survey to ­§»­«Ɏº®«Ɏ¶»¨²¯©ȟ¹Ɏ¶¸¯µ¸¯º¯«¹Ɏ§¸µ»´ªɎ®µ»¹¯´­Ɏ¯¹¹»«¹ȍɎ¯´©²»ª¯´­Ɏ­§»­¯´­Ɏ¶»¨²¯©Ɏµ¶¯´¯µ´¹Ɏ about potential HPS strategies. Of the 236 responses, respondents overwhelming cited º®«Ɏ¨¯­­«¹ºɎ®µ»¹¯´­Ɏ¨§¸¸¯«¸Ɏ¯´Ɏ ¹®²§´ªɎ½§¹ɎȞ there are no available rentals or properties for sale within my price range ȡȌɎ.¼«¸ɎŸųɎ¶«¸©«´ºɎµ¬Ɏ¸«¹¶µ´dents thought the following strategies would make a significant positive difference in improving housing options for residents of Ashland: Create policy that supports the construction different types of homes and broadens ½®§ºɎ¯¹Ɏ§©©«¶º§¨²«Ɏ§¹Ɏ§ɎȠª½«²²¯´­Ɏ»´¯ºȎȡɎ$¾§³¶²«¹ȎɎ©µºº§­«¹ȍɎ§©©«¹¹µ¸¿Ɏª½«²²¯´­Ɏ units, duplexes, triplexes, manufactured home parks, tiny homes, 3D printed homes, domes, repurposed cargo containers, etc. 6 Limit the number of vacation rentals as well as limiting the converting existing housing into vacation rentals. Require private developers to include a percentage of affordable housing units in ¶¸µ°«©º¹Ɏº®§ºɎ½µ»²ªɎ©µ´º§¯´Ɏ³µ¸«Ɏº®§´ɎŵųɎª½«²²¯´­Ɏ»´¯º¹ȍɎ¸«¬«¸¸«ªɎºµɎ§¹ɎȠ(´©²»¹¯µ´§¸¿Ɏ Àµ´¯´­ȡȌɎ Support using city-owned land for the construction of affordable housing. Support and fund non-profit organizations who build new housing that people of varied income levels can afford. result, implementing inclusionary zoning would likely have little effect and may discourage development of multifamily buildings with 20 or more dwelling units. . ɎȠ!¸µ§ª«´Ɏº®«Ɏº¿¶«¹Ɏµ¬Ɏª½«²²¯´­Ɏ»´¯º¹Ɏ§²²µ½«ªɎ¨¿Ɏ ¹®²§´ªɎª«¼«²µ¶³«´ºɎ©µª«ȡɎ½§¹Ɏ¯´¯º¯§²²¿Ɏ©µ´¹¯ª«¸«ªɎ§¹Ɏ§Ɏ¹º¸§º«­¿Ɏ 6 in this HPS. After discussion with city staff, it was removed as a strategy because it was determined that the barrier to these alternative building types is not Ashland code but state building code requirements. ECONorthwest Ashland Housing Production Strategy 10 Structure of the Report The structure of this report is organized as follows: Chapter 2. Contextualizing Housing Need summarizes the findings about housing need in Ashland, with a focus on housing need at varying income levels and housing needs of specific groups of people. Chapter 3. Actions to Meet Future Housing Need presents the proposed policies and actions to meet the housing need described in Chapter 2. Chapter 4. Evaluation: Achieving Fair and Equitable Housing Outcomes presents an evaluation of the HPS through considerations of the location of housing, Fair Housing, housing choice, and other factors. ¶¶«´ª¯¾Ɏ ȌɎ"µ´º«¾º»§²¯À¯´­Ɏ ¹®²§´ªȟ¹Ɏ'µ»¹¯´­Ɏ-««ª¹Ɏ presents the data and analysis ´«©«¹¹§¸¿ɎºµɎ»´ª«¸¹º§´ªɎ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹Ɏ¯´Ɏ³µ¸«Ɏª«º§¯²ȌɎɎ Appendix B. Trends in Gentrification and Displacement Risk presents an analysis of trends in gentrification and displacement risk developed for Ashland as part of the HPS. ECONorthwest Ashland Housing Production Strategy 11 2.Unmet Housing Needin Ashland The Ashland Housing Capacity Analysis (HCA) describes the housing needs of current and future residents of Ashland based on some demographic and socioeconomic characteristics, such as age and income. It does not provide detailed data about housing needs for other demographic characteristics, such as race, ethnicity, people with a disability, or people experiencing homelessness. This chapter provides additional information about the housing needs by income, age, race, ethnicity, disability and for people experiencing homelessness. It uses standard sources of information from the U.S. Census. It adds info¸³§º¯µ´Ɏ¬¸µ³Ɏµº®«¸Ɏ¹µ»¸©«¹ȍɎ¹»©®Ɏ§¹Ɏ.¸«­µ´ȟ¹Ɏ Housing and Community Services Department, the United States Department of Housing and Urban Development, Costar, and the City of Ashland. This chapter meets the HPS requirement to further contextualize housing need, beyond what the HNA provided. This chapter presents a description of the housing needs that the Housing Production Strategy is intended to address, as well as existing po²¯©¯«¹ɎºµɎ§ªª¸«¹¹Ɏ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹ȌɎ(ºɎ«´ª¹Ɏ with a summary of the existing and expected barriers to development of needed housing. ECONorthwest Ashland Housing Production Strategy 12 Housing Needs Addressed by the Housing Production Strategy 3®¯¹Ɏ¹«©º¯µ´Ɏª«¹©¸¯¨«¹Ɏ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹Ɏ¨§sed on data gathered in the Ashland Housing Needs Analysis report, household income shown in Exhibit 8 and on additional analysis of unmet housing needs for underserved groups (based on analysis in Appendix A). Across Oregon, developers have been able to build some types of housing without need for public intervention, such as single unit detached housing that is affordable to people with higher incomes. However, many low- and middle-income houses have unmet housing needs because the market has been unable to keep up with their needs. The HPS focuses on actions that ensure that developers can produce housing for low- and middle-income households. Housing at this part of the income spectrum, and housing that meets the special needs of specific groups, usually requires public intervention. Defining Median Family Income The Housing Production Strategy is intended to develop policies and actions that address AshlandÔs housing needs. Throughout this report, we discuss housing affordability based on Median Family Income (MFI) that is defined by the U.S. Department of Housing and Urban Services (HUD) for Jackson County for a household of four people. The terms used to describe housing affordability by income group are: Extremely Low Income: Less than 30% MFI or $21,900 or less for a household of four Very-Low Income: 30% to 50% of MFI or $21,900 to $36,600 for a household of four Low Income: 50% to 80% of MFI or $36,600 to $58,500 for a household of four Middle Income: 80% to 120% of MFI or $58,500 to $87,700 for a household of four High Income: 120% of MFI or more $87,700 or more for a household of four ECONorthwest Ashland Housing Production Strategy 13 Over one-third of Ashland households earn less than 50% MFI. $¾®¯¨¯ºɎŻɎ¹®µ½¹Ɏº®§ºɎŶŹƳɎµ¬Ɏ ¹®²§´ªȟ¹Ɏ®µ»¹«®µ²ª¹ had incomes less than 50% of Median Family (´©µ³«ɎȘ,%(șɎȘǻŶŹȍŹųųșɎ§´ªɎ©§´´µºɎ§¬¬µ¸ªɎ§Ɏº½µɉ¨«ª¸µµ³Ɏ§¶§¸º³«´ºɎ§ºɎ)§©±¹µ´Ɏ"µ»´º¿ȟ¹Ɏ%§¯¸Ɏ Market Rent (FMR) of $1,195 in 2022. Exhibit 8. Share of Households by Median Family Income (MFI) for Jackson County ($73,100), for a household of four, Ashland, 2021 Source: Analysis by ECONorthwest; U.S. Department of HUD, Jackson County, 2021. U.S. Census Bureau, 2015-2019 ACS Table 19001. Median Family Income varies by household size. The actual income thresholds vary in MFI based on household size. For example, a household of one person with an income of 80% of MFI has an income of $40,940 compared to the income for a household of four ($58,480) or a household of six people ($67,855). The housing needs for a single person are also different than those of a household of four people or six people. Throughout this document, we use the income for a household of four to illustrate housing needs, but MFI varies by household size, as does the size and other characteristics of housing need. ECONorthwest Ashland Housing Production Strategy 14 Exhibit 9 Median Family Income and housing affordability by Household size, Jackson County (Medford-Ashland MSA), 2021 Source: Analysis by ECONorthwest; U.S. Department of HUD, Jackson County, 2021. Many households in Ashland pay more than 30% of their income for housing. A household is defined as cost burdened if their Because the local housing market cannot produce income-restricted, housing costs exceed 30% subsidized affordable housing (housing affordable at 60% or less of MFI) of their gross income.A household that spends 50% §ºɎ¹»¬¬¯©¯«´ºɎ²«¼«²¹ɎɋɎ§´ªɎ¨«©§»¹«Ɏ¯ºɎ©§´´µºɎµ¬º«´Ɏ¶¸µª»©«Ɏ²µ½Ɏ or more of their gross income/workforce housing (housing affordable at 60% to 80% of MFI) income on housing costs is without subsidy, many households in Ashland are cost burdened. said to be severely cost burdened. Low-income households have few options for either homeownership or rental units. Housing costs for both rental and ownership units are much higher than Fewer than one-quarter of many residents can afford. Exhibit 10 shows financially attainable Ashland’s householdshave income sufficient to housing costs for households across the income spectrum in Jackson afford housing sales prices County. For example, a household earning median family income in in Ashland. About one- thirds of Ashland Jackson County (about $73,100 per year) can afford a monthly rent of 7 households are unable to about $1,830 or a home roughly valued between $256,000 and $292,000 afford the average asking rent in Ashland without without cost burdening themselves. 8 cost burden. Note that Median Family Income for the region is different than Median Household Income (MHI) for Ashland (see 7 Exhibit 27). MFI is determined by HUD for each metropolitan area and non-metropolitan county. It is adjusted by ¬§³¯²¿Ɏ¹¯À«ɎɋɎ¯´Ɏº®§ºȍɎŴųųƳɎ,%(Ɏ¯¹Ɏ§ª°»¹º«ªɎ¬µ¸Ɏ§Ɏ¬§³¯²¿Ɏµ¬Ɏ¬µ»¸ȌɎɎ A household is considered cost burdened if they spend more than 30% of their gross income on housing costs, a 8 standard set by the U.S. Department of Housing and Urban Services to measure housing affordability. ECONorthwest Ashland Housing Production Strategy 15 In Ashland, a household would need to earn at least $140,000 (192% of MFI for a family of four) to afford the median sales price of a home in Ashland, as shown in Exhibit 52. Rent costs are 9 comparatively more affordable but still pose a barrier to finding affordable housing for many households. A household would need to earn about $62,000 (85% of MFI for a household of four) to afford the average asking rent of an apartment ($1,550 per month). 10 Exhibit 10. Financially Attainable Housing, by Median Family Income (MFI) for Jackson County (Medford-Ashland MSA) ($73,100), Ashland, 2021 Source: U.S. Department of Housing and Urban Development, Jackson County, 2021. Oregon Employment Department. With higher mortgage interest rates in 2022 and into 2023, a household may need to have higher income to afford 9 the median home sales price. CMP Real Estate Services, Inc., December 2020. 10 ECONorthwest Ashland Housing Production Strategy 16 Ashlandisforecast to grow by 858 new dwelling units between 2021 and 2041. ¹®²§´ªȟ¹Ɏ'µ»¹¯´­Ɏ-««ª¹Ɏ ´§²¿¹¯¹Ɏ¶¸µ°«©º¹Ɏº®§ºɎº®«Ɏ"¯º¿Ɏ½¯²²Ɏ­¸µ½Ɏ¨¿ɎŻŸŻɎ´«½Ɏª½«²²¯´­Ɏ»´¯º¹Ɏ between 2021 and 2041 to accommodate new population growth. These dwelling units will need to be available at a variety of income levels. Assuming future residents of Ashland have an income distribution that is the same as existing residents, about a third of new housing will need to be for those with very low or extremely low incomes (below 50% MFI). 1112 Exhibit 11. AshlandÔs Future Households by Income, 2021 to 2041 Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B19001, U.S. Department of HUD 2021 MFI, and PSUÔs Population Forecast, 2021 to 2041 as found in AshlandÔs Housing Needs Analysis. Note: Median Family Income (MFI) is estimated for a household of 4. Given the fact that incomes have grown at a relatively slow pace over the last two decades in comparison to 11 housing costs (especially home sales prices) this may be a conservative assumption about the future affordability of housing. The HPS does not anticipate building new units for all existing households in Ashland that have problems 12 affording housing costs. But the HPS does propose actions to stabilize the housing costs of existing lower income households and may result in development of housing that is more affordable to these households, enabling them to stay in Ashland. Information about lower income households and cost burden for existing households illustrates the existing housing need in Ashland. ECONorthwest Ashland Housing Production Strategy 17 Housing Needs for Extremely Low Income (Less than 50% MFI) Households Within this income range, Ashland has housing need of: What we know about the need: New households: 311(from 2021-2041) Existing households: 3,572 Rents (including basic utility costs) of not more than $920 per month. What can they afford? A household would need to earn $62,000 to afford average multi-unit rent of $1,550 (about 85% of MFI for a household of four). Households with incomes of less than 50% of MFI cannot afford this rent. A combination of preserving existing income-restricted What will it take to meet their needs? affordable housing and development of new income-restricted affordable housing. Development of income-restricted affordable housing typically requires extensive subsidy, with funding from state and federal sources, in addition to any support from the city and other partners. Housing Needs for Low Income (50-80% MFI) Households Within this income range, Ashland has housing need of: What we know about the need: New households: 127(from 2021-2041) Existing households: 1,462 Rents (including basic utility costs) of between $920 to $1,460 per month. What can they afford? A household would need to earn $62,000 to afford average multi-unit rent of $1,550 (about 85% of MFI for a household of four). These households cannot afford this rent. Households with this income range are likely to live in rental housing predominantly. Ɏ©µ³¨¯´§º¯µ´Ɏµ¬Ɏ¶¸«¹«¸¼¯´­Ɏ«¾¯¹º¯´­ɎȠ´§º»¸§²²¿Ɏµ©©»¸¸¯´­Ɏ What will it take to meet their needs? §¬¬µ¸ª§¨²«Ɏ®µ»¹¯´­ȡɎ§´ªɎª«¼«²µ¶³«´ºɎµ¬Ɏ´«½Ɏ¯´©µme-restricted affordable housing in this price range. Some households in this income range may need rent assistance, such as a Housing Choice Voucher. Development of new housing affordable in this price range generally requires some subsidy or public support, such as tax exemptions, government funding (typically federal, state, or county, with some level of local contribution being critical) reduced systems development charges, low-interest loans, philanthropic contributions, or other financial support. Funding for rental housing affordable at 60% to 80% of MFI is scarce. Homeownership opportunities for this income range will likely be related to housing developed by nonprofit organizations, possibly with some subsidy, such as through a community land trust. Housing Needs for Middle Income (80-120% MFI) Households Within this income range, Ashland has housing need of: What we know about the need: New households: 144 (from 2021-2041) Existing households: 1,655 Rents (including basic utility costs) of between $1,460 to $2,190 per month. What can they afford? ECONorthwest Ashland Housing Production Strategy 18 For the most part, these households can afford rents higher than the asking rents for a two-bedroom unit of about $1,550. However, households in this range cannot afford the median home sales price in Ashland of $549,000. Some households with income in the higher part of this range are likely to live in rental housing and some may be homeowners, especially people who have owned their home for years. Households with incomes in this income range are likely need assistance in attaining homeownership. Development of rental housing (without subsidy from What will it take to meet their needs? local or state government) and lower cost housing for homeownership. Some homeownership opportunities for this income range will likely be related to housing developed by nonprofit organizations, possible with some subsidy, such as land banking or a community land trust. Housing Needs of People of Color : POC are more likely to rent their homes and to live in multifamily What we know about the need housing (except Asian) than the overall average in Ashland. POC in general are cost burdened more frequently than the average household. However, in Ashland the difference in cost burden rates for POC is smaller than in many ofɎ.¸«­µ´ȟ¹Ɏ©µ³³»´¯º¯«¹ȌɎ/§¸ºɎµ¬Ɏº®«Ɏ¸«§¹µ´Ɏ¬µ¸Ɏ this may be the small population of POC in Ashland. 13 About 7%Ɏµ¬Ɏ ¹®²§´ªȟ¹Ɏ¶µ¶»²§º¯µ´Ɏ¯ª«´º¯¬¯«ªɎ§¹Ɏ´µ´ɉ'¯¹¶§´¯©Ɏ!²§©±ȍɎ ¹¯§´ȍɎº½µɎµ¸Ɏ³µ¸«Ɏ¸§©«¹ȍɎ or another race. About 7%Ɏµ¬Ɏ ¹®²§´ªȟ¹ population identified as Latino (any race). Addressing the affordability issues, discussed above, as well What will it take to meet their needs? as ensuring that people of color have access to housing without discrimination. This will require increasing awareness of Fair Housing rules for property owners and managers, tenants, City decision makers, and City staff. It will also require careful decision making to change policies that have created barriers to access housing by people of color. People of Color includes Black, Latino, American Indian or Alaska Native, Asian, Native Hawaiian and Pacific 13 Islanders, and people of another or multiple races. These categories were combined due to limited data availability. ECONorthwest Ashland Housing Production Strategy 19 Housing Need of People with Disabilities The Census reports that about 10% of What we know about the need: Disabilities include those ¹®²§´ªȟ¹Ɏ¶µ¶»²§º¯µ´Ɏ®§¼«Ɏµ´«Ɏµ¸Ɏ³µ¸«Ɏª¯¹§¨¯²¯º¿ȍɎ¹»©®Ɏ§¹Ɏ that are visible, such as ambulatory, vision, hearing, cognitive, self-care, or independent ambulatory or vision disabilities, and those living disabilities. that are not readily apparent, such as self- care, independent living, Addressing the affordability What will it take to meet their needs? or cognitive disabilities. issues, discussed above, as well as ensuring that people with Other conditions may disabilities have access to housing that addresses their disability require special accommodations, such as and that they have access to housing without discrimination. This disabling diseases or will require increasing awareness of Fair Housing rules for mental health conditions. property owners and managers, tenants, City decision makers, and City staff. It will also require approaches that encourage development of housing with specialized design standards to accommodate special needs. Housing Need of People Experiencing Homelessness here are approximately 831 people experiencing homelessness in T What we know about the need: Jackson County in 2021. In addition, 125 students in the Ashland School Districts experienced homelessness. The number of people experiencing homelessness in Ashland is not clearly known. In part, this is because people experiencing homelessness may move between neighboring cities. Strategies will range from emergency assistance (including What will it take to meet their needs? rent and utility assistance), permanent supportive housing (including supportive housing with services), and improved access to an affordable unit (as discussed above). ECONorthwest Ashland Housing Production Strategy 20 Stakeholder Engagement about Housing Needs Conducted Before Development of the HPS Since 2017, the City of Ashland has undertaken several strategic planning document updates and policy changes which required public engagement processes and community input. Housing Element Update ɎɋɎ%¸µ³ɎŵųŴźɎºµɎŵųŴżɎº®«Ɏ"¯º¿Ɏ»´ª«¸ºµµ±Ɏ§´Ɏ»¶ª§º«Ɏµ¬Ɏº®«Ɏ Housing Element of the Comprehensive Plan. This process included a community forum and an online questionnaire as well as several public hearings. 5-Year Consolidated Plan ɋɎ(´ɎŵųŵųȍɎº®«Ɏ"¯º¿Ɏ»¶ª§º«ªɎº®«Ɏ5-year Consolidated Plan for the use of Community Development Block Grant funds. This included an online questionnaire, individual stakeholder interviews and three public hearings. Annual Rent Burden Public Forums ɎɋɎ2¯´©«ɎŵųŴŻɎº®«Ɏ"¯º¿Ɏ®§¹Ɏ¨««´Ɏ®µ²ª¯´­Ɏ§´´»§²Ɏ¸«´ºɎ burden public forums in accordance with HB 4006. Housing Capacity Analysis ɋɎ%¸µ³ɎŵųŵųɉŵųŵŴɎº®«Ɏ"¯º¿Ɏ½µ¸±«ªɎ½¯º®Ɏ§Ɏ©µ´¹»²º§´ºɎºµɎ complete an updated Housing Capacity Analysis which involved a subcommittee comprised of Ashland citizens, developers, land use professionals, and other community stakeholders, as well as several public hearings. Middle Housing Code Update ɎɋɎ(´ɎŵųŵŴȍɎº®«Ɏ"¯º¿Ɏª«¼«²µ¶«ªɎ´«½Ɏ©µª«Ɏ²§´­»§­«ɎºµɎ establish a middle housing code in accordance with HB2001. This process took place between 2020-2021 and included several public hearings and a Development Round Table meeting. Affordable Housing Program resolutionɎ§´ªɎµ¸ª¯´§´©«Ɏ¸«¼¯«½Ɏ§´ªɎ»¶ª§º«ɎɋɎ Lastly, the City undertook a review and update of the resolution and ordinance that governs the City of Ashland Affordable Housing Program. This process included targeted public meetings with homeowners and affordable and private market housing developers as well as several public hearings before the Housing and Human Services Advisory Committee, the Planning Commission, and the City Council. Summary of Public Feedback Themes from Recent Community Engagement Activities (The bulleted items below include issues regularly raised by members of the public regarding needed housing and suggested policies and actions the City could explore to assist in the production of needed housing.) Increase density, rezone land to ensure more multi-family zoned land/higher density zoned land, promote infill over sprawl, but only where appropriate (not in historic districts or next to existing single-family neighborhoods). City Planning policies should allow for more flexibility in housing type and design. More innovative alternative housing types should be allowed such as container houses, tiny houses, micro cottages. Similarly, more diversity of development and household types should be allowed, co-ops, co-housing, tiny house villages, mixed ECONorthwest Ashland Housing Production Strategy 21 use/commercial/residential, multi-generational households/seniors renting rooms in their homes to students, and Single Room Occupancy/boarding house type households. Need larger houses/units to attract families with children, but also need smaller units for the existing population of seniors and students. Need for more affordable housing for both rental and ownership. This is a highly prioritized need. Cost and availability of housing are consistently identified as problem areas and are prioritized for policy solutions/city support. The City should support alignment with the Ashland Climate and Energy Action Plan (CEAP) policies. Parks, outdoor recreation, and preservation of and access to natural areas are a high priority for the Ashland community. Eco-friendly/green housing developments, less reliance on cars, more alternative transportation friendly developments are highly prioritized. City should reduce parking requirements, plan for more innovative, alternative transportation options. Cost of public infrastructure is a barrier to development. City processes can be a barrier to development. The City needs to provide more information/resources to help the public learn about City incentives and processes for ®µ»¹¯´­Ɏª«¼«²µ¶³«´ºɃ 14ȟ¹Ƀ§´´«¾§º¯µ´¹ȌɎɎ ECONorthwest Ashland Housing Production Strategy 22 Existing Policies to Address Ashland’sHousing Needs This section lists existing measures that ¹®²§´ªȟ¹Ɏ®§¹Ɏ¯³¶²«³«´º«ªɎºµɎ¹»¶¶µ¸ºɎ®µ»¹¯´­Ɏ development and presents preliminary draft measures (or policies or strategies) that may be included in the HPS. The City of Ashland has the following housing measures (or policies or strategies) currently in place to address Ashland housing needs: Zoning Action/Strategy Description Allow Middle Housing Ashland allows Duplexes and Accessory Residential Units wherever a single-family types (Duplexes, dwelling unit is permitted per the requirements of HB2001. Code amendments were Cottage housing, enacted in June 2021. Townhomes, Row Ashland adopted cottage housing ordinance in November 2017 which allows cottage Houses, and Tri- and housing developments within single family zones. Following adoption Ashland has Quad-Plexes) in low approved a number of cottage housing developments. density zones Allow Middle Housing AshlandÔs cottage housing ordinance allows cottage housing developments in the R- types in medium 1-5 and R-1-7.5 zones on lots that are greater than 1.5 times the minimum lot size density zones for the zone. Cottage Housing developments can be between 3 to 12 units depending on lot size. Tri- and Quad-Plexes Townhomes, Row Houses, Stacked Townhouses are permissible in AshlandÔs Medium Density zone (R-2), and Townhomes are further permitted in the R-1-3.5 zone or other residential zones (R-1-5, R-1-7.5, R-1-10) through planned unit developments. Allow Stacked Stacked townhomes, condominiums, garden apartments and larger-scale Townhouses, Garden apartments are permitted in R-2 and R-3 zones. However due to small lot sizes of Apartments, and vacant/partially vacant properties available in these zones, larger scale apartments larger-scale are not often achievable given existing lot sizes, height limitations, and density Apartments in high allowances. density zones Allow Live-Work Live-work housing and mixed-development would be a permitted use within housing or Mixed-use commercial zones although not specifically listed in the allowable use table for either housing in commercial or residential zones. Home Occupations are special permitted in all commercial zones zoning designations except for industrial (M-1). Current Action(s): A private developer is presently working on a legislative proposal to amend the Croman Mill Masterplan which would include live-work housing and mixed-use development. The amended masterplan, as presently being developed, is intended to focus on providing more flexibility in providing both residential and commercial uses than does the existing zoning. Allow small or ÑtinyÒ Small, or tiny, units that are built on a foundation are permitted in Ashland and have homes been developed as Accessory Residential Units. Tiny homes on wheels would have to be in an RV park, and there are thus limited opportunities for their placement in Ashland. Allow Small Planned Unit Developments in all SFR and MFR zones will allow for small lots (up to Residential Lots zero lot line and no minimum lot size) at allowable Densities for the zone. Additionally, cottage housing developments in SFR zones (R-1-5 & R-1-7.5) allow lots ECONorthwest Ashland Housing Production Strategy 23 smaller than the minimum lot size for the zone in conjunction with common open space. AshlandÔs R-1-3.5 zone has a minimum lot size of 3,500 SF. Current Action: Middle Housing legislation (State) will allow expedited land divisions of middle housing (Duplexes) to enable independent lots smaller than the minimum lot sizes within the zone (July 2022) Mandate Maximum Ashland does not have a maximum lot size or minimum density requirement in Lot Sizes Single Family Residential zones, although market development typically maximizes the number of units provided. In cases where lot sizes are proposed that exceed the minimum lot size it is often in response to physical or environmental constraints that limit the buildable portion of a site (e.g. steep slopes, floodplains, wetlands and riparian areas) Mandate Minimum Minimum Density requirements (80% base density) are in place in multifamily Residential Densities residential zones (R-2 and R-3) on lots large enough to accommodate 3 or more units. Minimum densities and are required of any residential annexation equal to 90% Base Density exclusive of environmentally constrained lands. Increase Allowable Ashland recently removed the maximum residential densities within the Transit Residential Densities Triangle Overlay area (Ashland Street, portions of Siskiyou Blvd, and Tolman Creek Road). A form-based approach is used where limitations on height, lot coverage, and setback requirements create the 3D envelope in which units can be developed. This allows for many smaller units within the same space when compared to a base density approach which can produce fewer, large apartments or condominiums. Current Action: Draft Ordinance removing maximum residential densities in E-1, C-1 and C-1-D zones for mixed-use development has been reviewed and recommended for approval by the Planning Commission. The City Council is expected to review revisions to the draft ordinance this year. Allow Clustered Ashland permits Planned Unit Developments in SFR and MFR zones which allows Residential clustering of units and transfer of density from naturally constrained areas to the Development developable portion of the site. Re-designate or Rezoning land in Ashland is not a common practice. The City has implemented a rezone land for number of master planning efforts (Normal Neighborhood, North Mountain Plan, housing Croman Mill District) which have identified lands to be developed as multifamily or mixed-use development. Individual property owners have requested and received rezoning of their properties to multifamily zones for specific development proposals. However, there has not been an effort to examine vacant low density and employment properties within the City Limits as candidates for a comprehensive plan and zone change to increase the supply of multifamily zoned properties. Current Action(s): A Draft Ordinance which would allow an increased allowance for ground floor residential in employment zoned lands (E-1, C-1) for mixed-use development has been reviewed and recommended for approval by the Planning Commission. The City Council is expected to review the draft ordinance this year. A private developer is presently working on a legislative proposal to amend the Croman Mill Masterplan which would include rezoning the district to allow for a variety of housing types on lands currently zoned for commercial, employment, and industrial uses. Transit Triangle Implements recommendations of an infill strategy to promote more housing within Overlay an area surrounding the bus route in the southeastern part of Ashland that circulates on Ashland St., Tolman Creek Rd., and Siskiyou Blvd. The approved Ordinance (Ordinances 3166, creates a Zoning Overlay, known as the Transit Triangle, that allows for a reduced 3167,3168) amount of required commercial or employment uses from 65% to 35% of the ground floor in mixed-use buildings, a reduced parking requirement for small units, ECONorthwest Ashland Housing Production Strategy 24 (adopted: December elimination of housing density maximums, and a requirement to provide rental 2020) housing in exchange for utilizing the optional Transit Triangle Overlay provisions. Middle Housing Ordinance Amendments to the duplex and accessory residential unit (ARU) Ordinance standards to meet the requirements of new state laws and administrative rules amendments included in House Bill (HB) 2001 from the 80 Oregon Legislative Assembly, 2019 th Regular Legislative Session. The primary changes to the land use code for duplexes (Ordinance 3199) are that duplexes are permitted in all residential zones including the single-family (adopted 6/2021) zones, are required to have two on-site parking spaces, and the approval process requires a building permit prior to construction or conversion of an existing structure. The primary changes to the land use code for ARUs are that ARUs do not require on- site parking spaces and the approval process requires a building permit prior to construction or conversion of an existing structure Cottage Housing The Cottage Housing Ordinance adopted allows cottage housing in single family Standards (Ordinance residential zones (R-1-5, R-1-7.5, and NN-1-5 ) and established the following 3147) provisions: A minimum of 3, and a maximum of 12, cottages can be provided in a (adopted 11/2017) cottage housing development depending on lot size. Cottages shall be no larger than 1000sq.ft., and at least 75% of the cottages shall be less than 800sq.ft. The parking requirements for cottage housing units was reduced to be as follows: Units less than 800 sq. ft. - 1 space/unit; Units greater than 800 square feet and less than 1000 square feet -1.5 spaces/unit. Reduce Regulatory Impediments Action/Strategy Description Reduced Parking Ashland provides parking reductions for small units city-wide (one space per unit for Requirements units 500 SF or less). Within the Transit Triangle Overlay parking requirements are reduced to one space per unit for units 800 SF or less. Cottages of 800 SF or less within approved cottage housing developments require one space per unit. Many parking credits may be allocated to projects including: Off-street parking credit (1 for 1) for each on-street space along the propertyÔs frontage; joint use and mixed-use development credits (sharing the same space between a commercial use and residential use when demonstrated their time of use is not in conflict); off-site shared parking; transit facilities credit; Transportation Demand Management plan implementation. Reduce Street Width Ashland has long implemented a ÑNarrow StreetÒ standard through the Street Standards Standards and Transportation System Plan. The narrow street and interconnected grid pattern promoted by AshlandÔs Street Standards both reduces development costs associated with new streets in subdivisions and retains developable land are for new housing. Encourage Mixed use projects are permitted and encouraged in Ashland Commercial, and multifamily Employment zoned. residential ECONorthwest Ashland Housing Production Strategy 25 development in Current Action(s): There is currently a draft ordinance under consideration that would commercial zones increase the percentage of the ground floor that could be used as residential, as well as elimination of residential density caps in such mixed -use projects. Ordinance review expected in May 2022 in consideration of an economic study being undertaken by ECONorthwest for the Ashland Chamber of Commerce. Remove barriers to Ashland allows Accessory Residential Units (ARU or ADU) as an accessory use to Development of single-family homes throughout the City with only Building Permit approval. Ashland Accessory Dwelling further provides reduced SDCs for small units of less than 500 SF. Units (ADUs) in single- No additional parking is required for ARUs in Ashland, and there has never been any family zones owner-occupied requirement for the development of an ARU within the City. Affordable Housing Provides a clear and predicable methodology for calculating maximum rent and Standards (Ordinance purchase prices for covered affordable housing units; incentivizing affordable 3195) housing production through removing barriers to coordination between non-profit and for-profit housing developers; achieving a mixture of unit types commensurate (adopted 2020) with community housing needs; and improving administrative efficiency and effectiveness of the affordable housing program. Financial Incentives Action/Strategy Description Reduced / Waived Programs that reduce various development fees as an incentive to induce qualifying Building Permit fee, types of development or building features. Ashland waives or defers 100% of System Planning fees, or Development Charges including Parks, Transportation, Water, Sewer and Storm SDCs Water SDCs for qualified affordable housing units targeted to households earning 80% AMI or less and meeting the rent or sale requirements of the Ashland Housing Program. Ashland waives Community Development Fees, and Engineering Services fees for voluntarily provided affordable housing units that remain affordable for 60 years. Affordable ownership units that leave the program after 30 years, but less than 60 years, must repay a prorated amount of SDCs, Community Development Fees, and Engineering Services Fees that were deferred. Scaling SDCs to Unit Cities often charge a set SDC per dwelling unit, charging the same SDCs for large Size single-family detached units as for small single-family detached units or accessory dwelling units. AshlandÔs SDC methodology charges 50% of the calculated per unit SDC amount for units less than 500sq.ft., and 75% of the calculated per unit SDC amount for units between 500 and 800sq.ft. Thus, smaller units pay proportionately less SDCs for Transportation, Parks, and Sewer and Water compared to full size units due to their potential for smaller household sizes and commensurate impacts. Storm Water SDCs are based on lot coverage and thus, smaller units have lower Storm Water Provide Density Ashland has four density bonuses, one of which is for development of affordable Bonuses to housing at higher densities and another for energy-efficient housing. Developers Affordable housing projects meeting eligibility requirements (including rental or ownership housing affordable to households at 80% or less of AMI for a min. of 30 years) receive a density bonus of two units for each affordable unit provided, up to a max. of a 35% increase in density. The max. density bonus inclusive of other bonuses (open space, conservation) can be 60% over the base density within the zone. ECONorthwest Ashland Housing Production Strategy 26 AshlandÔs Cottage Housing Development ordinance effectively provides a doubling of the allowable density in the zone for provision of the small cottage housing units. Ashland classifies small units, of 500 SF or less, as only 75% of a unit for the purposes of density calculations. A greater number of small units can be developed within existing density allowances without employing a density bonus. SDC Deferral Establishes the terms of affordability and recapture provisions for deferred fees and Resolution charges for qualified affordable ownership units and affordable rental units that (Resolution 2020-24) remain in the affordable housing program for at least 30 years. (adopted 2020) Vertical Housing Tax A Vertical Housing Development Zone has been established for designated Credit Commercially zoned properties within the Transit Triangle to promote the development of mixed-use projects that incorporate multiple floors of housing. (adopted 12/2020) SDC Financing Ashland amended the SDC collection of charge provisions in 2019 within the Credits Ashland Municipal Code (4.20.090). These amendments allow SDCs to be paid over a 10-year period in semi-annual installments. A one-year installment loan shall not be subject to an annual interest rate provided all charges are paid prior to the CityÔs issuance of the Certificate of Occupancy, time of sale, or withing one year of when the charge was imposed, whichever comes first. For installments that exceed one year, repayment interest on the unpaid balance at annual rate of six percent (6%) is assessed for a five-year installment loan or seven percent (7%) for a 10-year installment loan. Financial resources Action/Strategy Description CDBG Ashland is a direct Community Development Block Grant (CDBG) entitlement community and receives HUD allocations of approx. $175,000/year. The 5-year Consolidated Plan for use of CDBG funds prioritizes capital restricted CDBG funds toward affordable housing and shelter and 15% of the award is typically provided to service providers benefiting extremely low-income individuals. General Fund Grants AshlandÔs Affordable Housing Trust Fund is part of the General Fund and is used to or Loans support the development of affordable housing. The City has not issued a bond to generate revenue for affordable housing Transient Lodging Tax Ashland collects Transient Occupancy Taxes (TOT), and applies them toward tourism (TLT) related activities, economic development grants, and social service grants annually in accordance to the restricted/unrestricted use parameters. Fees or Other Ashland has an Affordable Housing Trust Fund, and the City Council has dedicated Dedicated Revenue Marijuana Tax revenue (up to $100,000 annually) to support the AHTF through the annual budgeting process. Local Improvement Ashland has utilized LIDs for specific public improvement projects within the City, District (LID) which has enabled a group of property owners to share the cost of a project or infrastructural improvement on a pro-rata basis, where the City contributes the majority of the costs of public improvements. ECONorthwest Ashland Housing Production Strategy 27 Reimbursement AshlandÔs municipal code (13.30.0150) was amended in 2010 to enable a District developer to request the City establish a Reimbursement District to collect public improvement costs that exceed those attributable to service the property owned by the applicant. Examples of excess costs include (but are not limited to): Full-street improvements instead of half street improvements; Off-site sidewalks; Connection of street sections for continuity; Extension of water lines; and Extension of sewer lines To date, no Reimbursement District has been requested or formed. Tax Exemption and Abatement Action/Strategy Description Vertical Housing Tax On December 15, 2020, Ashland passed a Vertical Housing Tax Credit and Abatement (Locally designated Commercially zoned properties within the Transit Triangle overlay area as Enabled and an eligible Vertical Housing Development Zone. Managed) Land, Acquisition, Lease, and Partnerships Action/Strategy Description Land Trusts A land trust is typically a nonprofit organization that owns land and sells or leases the housing on the land to income-qualified buyers. There are 49 units within Ashland that are operated under the land Trust model. The Ashland Community Land Trust operated in Ashland from 2000 until 2015 when the non-profit organization formally dissolved. And transferred their 18 affordable land trusted housing units to ACCESS Inc. Rogue Valley Community Development Corporation developed 31 units under the land trust model which were transferred to NeighborWorks Umpqua for administration. Public Land Ashland has dedicated surplus City property for the development of affordable housing or Disposition sold surplus City property and directed the proceeds into the Ashland Housing Trust Fund to support affordable housing development. Current Action: The City of Ashland is presently evaluating the disposition of surplus property, as well offering the air rights above a city owned parking lot to develop needed housing. Affordable and workforce housing providers will be extended the opportunity to respond to any Request for Proposals or purchase/sale solicitation efforts. Parcel Parcel assembly involves the cityÔs ability to purchase lands for the purpose of land Assembly aggregation or site assembly The City has experience acquiring property for the future development of affordable housing, having acquired 10 acres on Clay Street in cooperation with the Housing Authority of Jackson County. Over the last decade this property provided a location for 120 units of affordable housing. The City typically relies on affordable housing partners to identify property for a proposed development and has provided financial assistance (CDBG or Affordable Housing Trust Fund (AHTF) to assist in acquisition. Most recently the City helped purchase a parcel using AHTF for Columbia Care to develop a 30-unit affordable housing project ECONorthwest Ashland Housing Production Strategy 28 Requirements Action/Strategy Description Preserving Existing Ashland has an ordinance that regulates conversion of apartments into Housing Supply condominiums, providing for preservation of multi-family rentals and providing for longer notice periods prior to tenant displacement and relocation assistance can be required. AshlandÔs demolition ordinance does regulate demolitions of housing, requiring replacement dwellings be provide as part of the demolition proposal. Further, the demolition of a house (over 45 years old) must demonstrate it is not financially viable to retain the structure versus replacement, thus promoting renovation as opposed to removal. Inclusionary Zoning Ashland requires a percentage of affordable housing (25% of the base density exclusive of unbuildable areas) as part of residential annexations, as well as for zone changes that increase residential density by 4 units or more: https://ashland.municipal.codes/LandUse/18.5.8.050.G Ashland has not implemented an inclusionary zoning ordinance for residential developments within the City Limits for proposed structures containing 20 units or more under the StateÔs 2020 inclusionary zoning legislation. Condominium An Ordinance establishing that conversion of existing rental units into for-purchase Conversion units (Condominium Conversions) requires that half of the units in an existing Ordinance apartment complex are to be retained as rentals upon conversion in the event any relief from current land use requirements is requested. In the event the applicant chooses to convert all the apartments in a complex into for purchase housing, the ordinance establishes a requirement that 25% of the total number of units be designated as affordable ownership housing. Other Action/Strategy Description Comprehensive Plan In 2019 the City of Ashland rewrote the entirety of the Housing Element of the Housing Element Comprehensive Plan. The Housing Element sets forth general goals and policies which provide guidance for AshlandÔs growth and development over time. The (adopted 2019) adopted Housing Element includes Goals and Policies under four main categories: Diversity of Housing Types Production and Preservation of Affordable Housing Environmental Stewardship and Sustainability Data, Inventories, Projections and Permitting Tenant Rights An Ordinance establishing Chapter 10.115 of the AMC which provides for Tenant (Ordinance 2939) Rights and relocation benefits for residents facing displacement due to condominium conversions. ECONorthwest Ashland Housing Production Strategy 29 Existing and Expected Barriers to Development of Needed Housing The barriers to development of needed housing in Ashland include: Having enough development-ready land for the next 5 years. While the Ashland HCA shows that there is enough land within the UGB to meet housing needs over the next 20 years, land in the UGB is not necessarily development ready. Land requires the full suite of backbone services (water, wastewater, transportation) before it is development ready. The cost of building out infrastructure is increasing. Additionally, the annexation process in Ashland can be a lengthy and uncertain process, which adds cost and risk to development. Inclusionary zoning requirements for residential annexations add further cost to greenfield development. These factors affect the short-term availability of land to meet immediate housing needs. Zoning limitations for higher density housing. Density, height and lot coverage limitations in R-2 and R-3 zones are barriers to higher density residential development. Stacked townhomes, condominiums, garden apartments and larger-scale apartments are permitted in R-2 and R-3 zones. However, due to small lot sizes of vacant/partially vacant properties available in these zones, larger scale apartments are not often achievable given existing lot sizes, height limitations, and density allowances. Additionally, the Ashland HCA shows there are only 11.7 acres of net buildable land in º®«Ɏ"¯º¿ȟ¹Ɏ1ɉŶȌɎ3®«¹«Ɏ¬§©ºµ¸¹Ɏ²¯³¯ºɎº®«Ɏ´»³¨«¸Ɏµ¬Ɏ»´¯º¹Ɏº®§ºɎ©§´Ɏ¨«Ɏ¨»¯²ºɎ¯´Ɏº®«Ɏ"¯º¿ȟ¹Ɏ higher density residential zones Land for development of regulated affordable housing. Land for development of regulated, income-restricted affordable housing is scarce. Building income-restricted housing (i.e., housing that is affordable at 60% or less of MFI) requires land that is affordable, allows multi-unit development, and in an appropriate location. The locations best suited for development of affordable income-restricted housing are areas with access to transit, near services (both social services and other services), and near jobs (or with easy access to jobs). Land in these locations is often higher-cost and may not currently be zoned to allow multi-unit housing. Funding and resources to support development of income-restricted affordable housing. Developing income-restricted housing for households with incomes below 60% of MFI generally requires federal, state, and local subsidy so that it can cover the costs of development and operations with restricted rents. One of the key barriers to development of income-restricted affordable housing is identifying sufficient funding to ¹»¶¶µ¸ºɎ¯º¹Ɏª«¼«²µ¶³«´ºȌɎ Ɏ©¯º¿ȟ¹Ɏµ¶º¯µ´¹Ɏfor funding affordable housing development include direct funding (i.e., monetary contributions for housing), contributions of land, and cost reductions (e.g., tax abatements or waiving fees). Funding and resources to support development of housing affordable to middle- income households. Developing new housing affordable to households with incomes of ECONorthwest Ashland Housing Production Strategy 30 60% to 120% of MFI is often not financially feasible without subsidy. Federal and state funding is harder to access for building housing affordable in this income group. As a result, supporting development of housing affordable to middle-income households requires city intervention, such as removing zoning barriers to development of this type of housing and ensuring that infrastructure is available to support housing development, both of which are discussed above. In addition, cities can support development of this type of housing through direct funding (i.e., monetary contributions for housing), contributions of land, and cost reductions (e.g., tax abatements or waiving fees). Capacity of the development community to support development of needed housing. Capacity for development of housing includes developers willing and able to develop needed housing, nonprofits with the capacity to support development of affordable housing, and availability of skilled construction labor to do the housing development (or renovations). Each of these are potential barriers and can have different impacts on development of affordable housing. Capacity in the development community can include knowledge of navigating affordable housing financing and reporting requirements, knowledge of development of new or innovative housing projects, and capacity to take on new housing development. Capacity for nonprofits can be a combination of staff capacity for executing on projects and funding to support affordable housing projects. Lack of existing nonprofit capacity to support affordable housing development. There are no nonprofit organizations currently available to partner with Ashland on housing development, such as nonprofit organizations running local land banks or land trusts. /§¸º´«¸¯´­Ɏ½¯º®Ɏ²µ©§²Ɏ´µ´¶¸µ¬¯º¹Ɏº®§ºɎ©§´Ɏ¹»¶¶µ¸ºɎº®«Ɏ"¯º¿ȟ¹Ɏ¨¸µ§ª«¸Ɏ­µ§²¹Ɏ§¸µ»´ªɎ affordability could help improve access to a variety of housing types affordable at lower and middle incomes. A lack of nonprofit capacity to develop housing, as well as running ¶¸µ­¸§³¹Ɏº®§ºɎ¹»¶¶µ¸ºɎº®«Ɏ"¯º¿ȟ¹Ɏ¨¸µ§ª«¸Ɏ®µ»¹ing goals, can be a substantial barrier to developing affordable housing. ECONorthwest Ashland Housing Production Strategy 31 3.Actionsto Meet Future Housing Need Summary of the Actions and How They Work Together Most of the actions and funding tools discussed in this section can be used to meet housing needs at different income levels. This section describes how groupings of strategies, into ¯´¯º¯§º¯¼«¹ȍɎ§¸«Ɏ´«©«¹¹§¸¿ɎºµɎ½µ¸±Ɏºµ­«º®«¸ɎºµɎ³««ºɎ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹ȌɎ The City developed four initiatives that address key housing needs in the city. The initiatives comprise a set of potential city-led strategies, funding sources, and potential partnerships with other entities that help to achieve an overarching goal. By bundling strategies and funding sources, the City acknowledges that several strategies and partnerships are necessary to achieve º®«Ɏ"¯º¿ȟ¹Ɏ®µ»¹¯´­Ɏ­µ§²¹ȌɎɎ Many of the actions and funding tools discussed in this project can be used to meet housing needs at different income levels. This section describes how groupings of actions, into initiatives, are work together to meet Ashland housing needs. The initiatives are: Encourage development of low- and moderate-income affordable rental housing. This initiative seeks to increase the housing options for unregulated rental households earning between 60% and 120% of MFI ($43,900 to $87,700). Identify additional funds to support the Affordable Housing Trust Fund Evaluate participating in or establishing a land bank. Evaluate opportunities to participate in a land trust. Implement the Multiple Unit Property Tax Exemption (MUPTE) to support multifamily or affordable housing Increase opportunities for affordable homeownership. This initiative seeks to increase the housing options for homeownership for households earning less 120% of MFI (less than $87,700). Identify additional funds to support the Affordable Housing Trust Fund Maintain quality and support development of a new manufactured home park Evaluate participating in or establishing a land bank. Evaluate opportunities to participate in a land trust. Establish a Construction Excise Tax Encourage development of income-restricted affordable housing units. There are limited options available in Ashland that are affordable to households with income of ECONorthwest Ashland Housing Production Strategy 32 less than 60% of MFI ($43,900). This initiative supports development of housing affordable in this income group. Work with partners to support development of additional permanent supportive housing Establish a Construction Excise Tax Evaluate using Urban Renewal Evaluate participating in or establishing a land bank. Evaluate opportunities to participate in a land trust. Preserve existing of low- and moderate-income affordable housing. This initiative seeks to increase the housing options for households earning less than 120% of MFI (less than $87,700). Maintain quality and support development of a new manufactured home park Preserve and improve existing low-cost, unregulated, rental housing Identify additional funds to support the Affordable Housing Trust Fund ECONorthwest Ashland Housing Production Strategy 33 0 g d e g n ni n m i s a t o u - s c i o w x n ih o e- l ee f l e t o v b a r r a y e l e d s p r d e p o o r f u f P m s a g d f n i e o t s t c e u i n r g o t e a h s s r t i m e e u r l pn - o b o u e c l a n e m d v E r o e o c f d f n i e a m a N r p o i e f v h i se s t l er e a i b i s e t t ia ia n nd ne w I r r u o c o t f r e n f I o a m p o p h o f e og tmn i o n s c e u n o i m - h p e l t o l a a t e r Secondary Focus of the initiative vn e e e orthwest Ashland Housing Production Strategy d r d o e e l m g b d a a r n d u r a o -o f c f w n s and the Potential Actions a o l E H.Increase development capacity of MFR dwellings dwellings in commercial and employment zones G.Maintain quality and support development of a Evaluate participating in or establishing a land C.Host educational events with the Housing and K.Work with partners to support development of F.Evaluate increasing allowances for residential B.Evaluate opportunities to participate in a land Exemption (MUPTE) to support multifamily or efficiency and reduce GHG emissions during additional permanent supportive housing L.Evaluate opportunities to improve energy I.Implement the Multiple Unit Property Tax J.Preserve and improve existing low-cost, E.Disallow SFD in High Density R-3 Zone Human Services Advisory Committee D.Develop an equitable housing plan new manufactured home park Primary Focus of the initiative e unregulated, rental housing m a Exhibit 12. Housing Initiative N nhousing development o i t affordable housing c A s e c r u o S trust. bank. g s n i n d o i n t ECON cA. u AF 1 g d e g n ni n m i s a t o u - s c i o w x n ih o e- l ee f l e t o v b a r r a y e l e d s p r d e p o o r f u f P m s a g d f n i e o t s t c e u i n r g o t e a h s s r t i m e e u r l pn - o b o u e c l a n e m d v E r o e o c f d f n i e a m a N r p o i e f v h i se s t l er e a i b i s e t t ia ia n nd ne w I r r u o c o t f r e n f I o a m p o p h o f e og tmn i o n s c e u n o i m - h p e l t o l a a t e r vn e e e orthwest Ashland Housing Production Strategy d r d o e e l m g b d a a r n d u r a o -o f c f w n a o l E to support the Affordable Establish a Construction Excise Tax N.Evaluate using Urban Renewal e m a O.Identify additional funds N n o i Housing Trust Fund t c A ECON M. Funding the Actions One of the key limitations to implementing the actions in the HPS is the availability of funding. Funding is needed not only to build units, preserve affordable housing, and provide access to equitable housing, but also for staff time to implement the Plan. Identifying a set of realistic funding sources is necessary for achieving the vision of affordable housing in Ashland. A robust set of housing preservation and development programs requires funding sources that are dedicated toward these activities and that are stable and flexible. In addition to existing available funding options, the City will need to pursue new funding sources that can help fund its programs. Urban Renewal District. Freezes property tax accumulation in a designated Urban Renewal District until the Urban Renewal District expires or pays off bonds.The City could use Urban Renewal to support development of infrastructure necessary to support housing development. Construction Excise Tax (CET) Revenues. The allowed uses for CET funding, as defined by state statute, include: at least 50 percent must be used for developer incentives, up to four percent may be used to cover administrative costs, 15 percent goes to the Oregon Housing and Community Services for homeowner programs and up to 35 percent may be used flexibly for affordable housing programs, as defined by the jurisdiction. As part of establishing a CET in Ashland, the City will need to develop a plan for use of CET funds to support affordable housing development. Affordable Housing Trust Fund (AHTF). The AHTF provides direct financial resources to the development of affordable housing for low-income households. The HPS describes several potential avenues the City could pursue to identify additional funding sources for the AHTF, including a general obligation bond, construction excise tax, transfer of development density fees, transient occupancy tax, continuing the use of Marijuana tax funds, or providing one time contributions to the fund through bequests or the sale of surplus city property. ECONorthwest Ashland Housing Production Strategy 2 Other Funding Sources Considered The City has a variety of other options for locally controlled funding sources that could support affordable housing. While this project did not include a robust funding analysis component, the project team discussed these funding sources with the Task Force. Exhibit 13. provides an overview of which funding sources advanced to the HPS. Exhibit 13. Funding Sources Evaluated Recommendation Revenue Source Rationale for Inclusion/Exclusion? for Inclusion in the HPS as an Action? Yes New Urban Renewal Could provide a stable, dedicated revenue source in an Area, if established area with limited existing infrastructure. Yes Use of CET funding, if Provides a funding source to support developer incentives, established affordable homeownership and affordable housing programs. No but staff will continue to Grants and State Funding Not included as an action but considered as a source of pursue funding for other housing strategies. No but the City will accept Private donations and Pursue as the City has staff capacity, without dedicated these gifts staff this is not likely to be a substantial source of funding Consider as a source of General Obligation Bond Requires voter approval and may be difficult to pass funding for the AHTF No New local option levy Requires voter approval, unlikely to pass No Increased lodging tax Only 30% increased revenue could go to housing; 70% dedicated to tourism promotion No Marijuana tax A portion of the proceeds from the City's portion of the State Marijuana Tax is already a long-term revenue source to fund the AHTF. No Increase Systems Does not provide a source of funding for development or Development Charges preservation of housing. No Increased utility fee Does not provide a source of funding for development or preservation of housing. No Increased building and Does not provide a source of funding for development or planning permit fees preservation of housing. No New business license fee May hinder local business development No New food and beverage The city passed this, but revenue was not allocated for tax housing. No New sales tax May not be politically feasible No New payroll/business May not be politically feasible income tax No New ticket tax May not be politically feasible No New real estate transfer Not legal in Oregon tax No New vacant/second Untested and possibly not legal in Oregon home tax ECONorthwest Ashland Housing Production Strategy 3 action, which provides some context for whether 4 or otherwise) are required to implement the best support housing affordable to households who y t Small to Moderate High Moderate More More i In developing the HPS, we evaluated each of the actions considered for inclusion in the HPS based on the following. Appendix B l i , assesses the political and community acceptability of the action for stakeholders, as well as potential need to b i x e l F Moderate to Less Depends on having a nonprofit partner y t i l i b i s a e F whether the action can be flexibly used to achieve multiple outcomes y t i Small to Moderate High x n i e l how much staff time and resources (financial m p d m in the housing market. costly to administer once it is in place. A o C considers the potential scale of impact of the criteria, beyond the summary below. , focusing on incomes below 120% of MFI is a way to t n r e o f m t p c o a l p e v m Ie D actions for inclusion in the HPS. or a lot of change orthwest Ashland Housing Production Strategy - %I y % F are most likely to have difficulty affording housing. t 0 i 0 l 2 i M 8 1 b a d d e r s - o I s f %X X % fF e 0 r A0 action and whether the action is difficult or M d 8 f 5 d o A l the policy tool generally results in a little e v I % X X considers eF 0 coordinate with other organizations. provides more details about these evaluation L 5 M Impact for housing development, < A.Evaluate participating in or establishing B.Evaluate opportunities to participate in Administrative complexity, This section presents the proposed Exhibit 14. Summary of Actions describes Income level served e m a Summary of Actions N n Flexibility, o i Feasibility t c a land bank. a land trust. A Actions s n o i t ECON c A 5 w Moderate Moderate X Small to Moderate Low Moderate Moderate Moderate Medium Moderate Moderate X Small Low More Moderate X Small Low More Moderate More More y t X Small Low More More More i Less Less X Small Medium Moderate Less l i b i x e l F Moderate to Less Moderate to Less Moderate to Less Depends on fundingDepends on fundingDepends on funding Moderate Moderate Less to Less to y t i l i b i s a e F Moderate to large Medium y Small to Moderate Medium Small to Moderate Medium X Moderate High t i x Small to Moderate Low n i e l m pX Small to Moderate Lo d m A o C t n r e o f m t p c o a l p e v m Ie D orthwest Ashland Housing Production Strategy - %I y % F t 0 i 0 l 2 i M 8 1 b a d d e r s - o I s f X X X X %X X X X X X X % fF e 0 r A0 M d 8 f 5 d o A l e v I % X X X X X X X X X X X eF 0 L 5 M < residential dwellings in commercial and J.Preserve and improve existing low-cost, emissions during housing development N.Evaluate using Urban Renewal or other H.Increase development capacity of MFR Housing and Human Services Advisory E.Disallow SFD in High Density R-3 Zone development of additional permanent development of a new manufactured I.Implement the Multiple Unit Property M.Establish a Construction Excise Tax D.Develop an equitable housing plan F.Evaluate increasing allowances for Tax Exemption (MUPTE) to support energy efficiency and reduce GHG L.Evaluate opportunities to improve multifamily or affordable housing C.Host educational events with the K.Work with partners to support G.Maintain quality and support unregulated, rental housing e m a supportive housing employment zones N s n e o i c financing tools t r c u A o Committee home park S dwellings g n i d n u F ECON 6 Moderate to large High Less More y t i l i on, b i x Coordinate with ovide input Provide input Coordinate with each of the partners would play a role in different actions. e l Implementing the actions in this strategy will require participation of key partners who have roles essential to the constructi F HHSAC HHSAC r e Develop housing Develop housing Manage Land Trust h t O y t i l i outreach and plan Partner to identify b needs, develop i materials, do s s a t i events e lf F o a r c p o n L o N y t i x n i e l m p d d m e A n s t o r a a C e e R p l t o b l e a e k d v r r e a Provide input Pr o t f D n f r M e o A f m t p c o a l p e t v n m Ie s e e D r i m e c n delivery, and preservation of housing units. Exhibit 15 shows how h n r t e e O g v orthwest Ashland Housing Production Strategy A o - G %I y % F t 0 i 0 l 2 i M 8 1 b development code development code Contribute land or Contribute land or Partner to identify plan/host events a implementation, d needs, develop d Develop plan, e outreach and materials, do r s - o adoption, I s f funding funding X % % Revise Revise fF e 0 r A0 M y d 8 f 5 t i d o A C l e v I % X eF 0 L 5 M < B.Evaluate opportunities to participate in Housing and Human Services Advisory E.Disallow SFD in High Density R-3 Zone O.Identify additional funds to support the residential dwellings in commercial D.Develop an equitable housing plan F.Evaluate increasing allowances for C.Host educational events with the Exhibit 15. City and Partner Roles Affordable Housing Trust Fund A.Evaluate participating in or establishing a land bank. and employment zones e m s a n N o i Potential Partners t n o c i t A ca land trust. Committee A ECON 7 Policy Commission: Residents: provide Provide input Major employers, and the business Provide input Ashland Climate Property owners Property owners manufactured provide input provide input provide input home parks: community: Owners of input Provide input Provide input identify and utilize Service providers: provide input & Partnership on opportunities. development preservation Partnership; funding and assistance materials; outreach efforts OHCS: partnership input & materials; Authority: provide Building Division: Ashland Housing develop regional Division, Electric Jackson County: on preservation Taxing Districts: implement the partnership to Conservation provide input Department, URA: Select exemption approach. outreach approval consider projects; Ashland efforts Plan orthwest Ashland Housing Production Strategy sources of funding, development code; development code Outreach, develop Develop program; funding; outreach steps and identify and development eligibility criteria, implement plans partner w/Urban implementation, property owners Renewal Agency implementation implement plan Provide funding and nonprofits opportunities; Establish and Evaluate new opportunities develop, and Develop and & promotion outreach to assistance promotion determine adoption, Evaluate partners Revise Revise emissions during housing development N.Evaluate using Urban Renewal or other funds to support the H.Increase development capacity of MFR development of additional permanent development of a new manufactured I.Implement the Multiple Unit Property M.Establish a Construction Excise Tax Tax Exemption (MUPTE) to support J.Preserve and improve existing low- energy efficiency and reduce GHG L.Evaluate opportunities to improve multifamily or affordable housing cost, unregulated, rental housing Affordable Housing Trust Fund K.Work with partners to support G.Maintain quality and support supportive housing O.Identify additional financing tools s e home park c dwellings r u o S g n i d n ECON u F 8 of ment prior to adoption, which may range from simple to adopt an action (or uses another official m) to complicated coordination between multiple internal and below. º¯³«Ɏ¶«¸¯µªɎº®«Ɏº§¨²«ȌɎ3®«Ɏ"¯º¿ȟ¹Ɏª«§ª²¯´«Ɏ¬µ¸Ɏ§ªµ¶º¯µ´ɎȘµ¸Ɏ¬µ¸ This occurs when the City officially allows the strategic action to be used, represented by a tan color in the gic action) or gives staff official direction on implementation The table below presents a draft schedule for implementation of the Housing Production Strategy. The table shows each of the 10 riod of development where staff works with decision makers to ement). The refinement period will occur before adoption. The activities for each of these are described This occurs when the City takes official action on, then potential adoption and implementation. The actions will require some level of further refine day of the year shown in Exhibit 16. an action. The table shows the expected time of adoption in the acknowledgement that the City is going to execute on the strate logistics (such as developing materials about an existing progra external stakeholders (such as implementation of a tax abat policies with the actions below. Each action will go through a pe orthwest Ashland Housing Production Strategy Adoption or City Council direction: other official city action) is the last Implementation Schedule for Actions develop the specifics of the acti Further refinement: Implementation: table. ECON 9 2031 requirements is likely to 2030 2029 and Equitable Communities (CFEC) Rules. Implementation of CFEC 2028 2027 2026 affect the timeline for some of the strategies in the HPS including Actions E, G, K, and M. 2025 orthwest Ashland Housing Production Strategy 2024 The City of Ashland expects to comply with the Climate Friendly July 1 2023 December through 2023 development of a new manufactured I.Implement the Multiple Unit Property 14 Evaluate opportunities to participate residential dwellings in commercial F.Evaluate increasing allowances for Tax Exemption (MUPTE) to support Exhibit 16. Implementation Schedule H.Increase development capacity of Develop an equitable housing plan multifamily or affordable housing Host educational events with the Disallow SFD in High Density R-3 Housing and Human Services Maintain quality and support Evaluate participating in or establishing a land bank. and employment zones Actions Advisory Committee MFR dwellings in a land trust. home park Zone ECON D.G. B. C.E. A. 14 10 2031 2030 2029 2028 2027 2026 2025 orthwest Ashland Housing Production Strategy 2024 July 1 2023 December through 2023 M.Establish a Construction Excise Tax funds to support the Affordable Housing Trust Fund J.Preserve and improve existing low- energy efficiency and reduce GHG L.Evaluate opportunities to improve N.Evaluate using Urban Renewal or cost, unregulated, rental housing permanent supportive housing K.Work with partners to support development of additional emissions during housing other financing tools Actions O.Identify additional development ECON The following actions are under consideration for inclusion in the HPS. This section presents some information about each action. If selected for inclusion in the HPS additional information will be included for each action. In Action A, we show all of the information that will be included in the HPS, with placeholders for information we will fill in later. A.Participate in or establish a land bank Rationale Land control is critical because costs make affordable housing development difficult or financially infeasible. Land banks support low- and moderate-income affordable housing development by reducing or eliminating land cost from development, increasing a nonprofitsÔ capacity to build affordable housing Description Through land banking, the City can provide a pipeline of land for future development and control the type of development that may occur on that land. The City could pursue land banking in five ways: Designate city-owned land as surplus and contribute that land to the land bank, eventually conveying that land to affordable housing developers for development of housing at agreed- on level of affordability, such as housing affordable below 60% of MFI. Purchase properties for the purpose of building affordable housing and convey that land to affordable housing developers for development of housing at agreed-on level of affordability. Accept land which is dedicated to the City to satisfy affordable housing requirements associated with annexations, zone changes, or other inclusionary housing standards. Accept properties which are either donated to the City for the express purpose of providing for the development of affordable housing. Provide funds to support land banking done by another organization, with the purpose of building affordable housing in the future. Land banking could be used as a strategy to increase housing for renters or homeownership. If used for rental housing, land banking would likely be used for income-restricted affordable housing. If used as a strategy to increase homeownership opportunities, then land banking would be used in conjunction with a community land trust. City Role The City could have multiple roles for land banking, including: Partner-led project with a nonprofit developer or land trust in which City contributes funds or land to the project. City can contribute land to support the affordable housing development. City-led affordable housing development project with city-owned land banking. City can provide funds or land and help with parcel assembly. The City may participate in multiple projects over time that involve different types of land banking strategy. The CityÔs role may vary on different projects, such as contributing city-owned surplus land for development, assisting with land purchase and assembly, providing funding to support land purchase, or partnering in an affordable housing development project that includes land banking as well as other strategies. Partners and their Role Lead Partner. City of Ashland Planning Division ECONorthwest Ashland Housing Production Strategy 11 Partners. Nonprofit agencies, including faith-based organizations, other governmental agencies, and representatives from the private sector. Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low- and middle-income Up to 80% of Median Family Income Renter or Owner Low to moderate households Potential Risks If public land is used for affordable housing, it cannot be used for other city functions. However, the land would have been identified as surplus and not needed for city functions. Funds spent on affordable housing will be unavailable for other city services. If the City does not ensure that housing will be affordable at below 80% of MFI for the foreseeable future, the housing costs may increase, making the housing less affordable. Implementation Steps Get policy direction from City Council on the role the City should take in land banking. Inventory publicly and privately-owned properties (including properties owned by faith-based organizations) in areas well-suited for a land bank purpose. Partner with and contribute funds or land to an existing non-profit land bank or participate in the formation of a new non-profit land bank if one does not exist with sufficient capacity to serve Ashland. Incorporate publicly owned land into a bank or acquire new land to incorporate to the land bank. Partner with and contribute land to a community land trust that is led by an existing entity, often a nonprofit organization. Acquire land or maintain existing land until it can be made available to developers through a Request for Proposals to develop as affordable housing. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption Get policy direction from Council - 2026 2027; on-going On-going; as land is identified Funding or Revenue Implications Partnering is the most administratively efficient and cost-efficient approach to implementing this strategy. If the City is contributing land to the land bank at low- or no-cost, then the City is forgoing realizing the value of the land if it was sold on the open market. If the City contributes funds to a land bank or land trust, the City will need to identify a source of funding for the contributions. ECONorthwest Ashland Housing Production Strategy 12 B.Participate in a land trust Rationale Land trusts support affordable housing development by reducing or eliminating land cost from development. Land trusts hold land in perpetuity and sell or lease the housing on the land at below- market rate prices. Land trusts most frequently provide opportunities for homeownership that remain affordable over the long-term. There are currently 49 units within Ashland that are operated under the land trust model. Beginning in 2000 the Ashland Community Land Trust developed 18 land trusted affordable housing units, which are currently administered by ACCESS Inc. Ashland Community Land Trust has since dissolved. Rogue Valley Community Development Corporation developed 31 units under the land trust model which were transferred to NeighborWorks Umpqua for administration. Description The City may participate in a community land trust that is operated by an existing entity, often a nonprofit organization. The CityÔs role in a community land trust could be as a partner, possibly assisting the trust with land acquisition through land banking (Action A) or through providing funding to support housing development. A land trust is typically managed by a nonprofit organization that owns land and sells/leases the housing on the land to income-qualified buyers. Because the land is not included in the housing price for tenants/buyers, land trusts can achieve below-market pricing. Land trusts are most commonly used as a method for supporting affordable home ownership goals. The CityÔs role would be one of supporting and partnering with the nonprofit that runs the land trust. City Role Partner with and contribute funds or land to an existing non-profit land trust or participate in the formation of a new non-profit land trust if one does not exist with sufficient capacity to serve Ashland. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. ACCESS Inc, Neighborworks UMPQUA, other nonprofits involved in the creation of affordable housing. Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low- and middle-income Up to 80% of Median Family Income Renter or Owner Low to moderate households Potential Risks If public land is used for affordable housing, it cannot be used for other city functions. However, the land would have been identified as surplus and not needed for city functions. Funds spent on affordable housing will be unavailable for other city services. If the City does not ensure that housing will be affordable at below 80% of MFI for the foreseeable future, the housing costs may increase, making the housing less affordable. ECONorthwest Ashland Housing Production Strategy 13 Implementation Steps Get policy direction on implementing this action from City Council. Identify a community land trust that is interested in operating in Ashland. Partner with and contribute land to a community land trust that is led by an existing entity, often a nonprofit organization. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption Get policy direction from Council - 2025 2026; on-going On-going; as opportunity arises Funding or Revenue Implications Partnering is the most administratively efficient and cost-efficient approach to implementing this strategy. If the City is contributing land to the land trust at low- or no-cost, then the City is forgoing realizing the value of the land if it was sold on the open market. If the City contributes funds to a land trust, the City will need to identify a source of funding for the contributions. ECONorthwest Ashland Housing Production Strategy 14 C.Host educational events with the Housing and Human Services Advisory Committee or other organizations. Rationale Education around housing issues is important to preventing and addressing housing discrimination, ensuring rights are protected, and connecting residents with housing resources. Description The City can work with the Housing and Human Services Advisory Committee or other organizations to host educational events. Trainings could focus on topics such as fair housing and housing discrimination, foreclosure, eviction, tenant and landlord rights, trainings to serve vulnerable populations, or other information needs as they arise. Fair Housing education events could be held for residents, property owners, property managers, realtors, lenders and others involved with real estate transactions. City Role The City can work with the Housing and Human Services Advisory Committee or organizations to identify information needs and training ideas.Regular meetings or coordination with the City and partners could occur to discuss needs and opportunities. The City could also contract with trainers or area experts to provide trainings and host educational events. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Housing and Human Services Advisory Committee, Fair Housing Council Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low- and middle-income All levels of income, primarily households; others households with incomes of less than Renter None involved with real estate 80% of Median Family Income (MFI). Potential Risks Impacts are likely to be minor or have no negative impact. Implementation Steps Work with partners to identify education needs and target populations. Develop presentation materials Identify city-led presentation calendar for each year Work with partners to plan, advertise, and convene educational events. Participate in city-led presentations Work with partners to execute on outreach on topics that are not city-led, such as Fair Housing outreach. ECONorthwest Ashland Housing Production Strategy 15 Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption Begin in 2024 On-going On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. D.Develop an equitable housing plan Rationale 3®«Ɏ"¯º¿ȟ¹Ɏ 2020-2024 Fair Housing Analysis of Impediments to Fair Housing Choice Update for the City of Ashland identified impediments to fair housing such as: limited community awareness about fair housing protections and resources, instances of discrimination in housing transactions, and a lack of affordable housing.An equitable housing plan could address the issues identified in this report by outlining initial steps, action plans with goals and methods to measure progress to achieve more equitable housing and continuously examine ways to make improvements to the housing system to achieve equity. Description An equitable housing plan could implement strategies from the Fair Housing Analysis of Impediments Report, including: Offering education and training to City Staff, Elected and Appointed Officials, and the community. Reviewing City policies for disparate impact and biased language. The adoption of a tool to ensure inclusivity in decision making process regarding City grant funding. The action described in the third bullet above, adoption of a tool to ensure inclusivity in decision making, could be tied to a broader City effort to adopt a Social and Environmental Equity matrix. 15 For housing, this matrix could help guide City decisions around grants, funding for housing, and other city policies focusing on developing and preserving housing. The City could also include questions in the matrix to help assess potential impacts from other City decisions around housing and displacement risk, and to promote Universal Design policies and address equity for people with disabilities. 15 The Housing and Human Services Advisory Committee has considered developing a social and environmental equity matrix, similar to EugeneÔs triple bottom line, to help evaluate grant funding decisions. EugeneÔs Triple Bottom line is a framework in that helps the City assess the environmental, equity and economic impacts, benefits and trade-offs of decisions. ECONorthwest Ashland Housing Production Strategy 16 City Role Develop and adopt an equitable housing plan and implement projects. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Housing and Human Services Advisory Committee, Fair Housing Council of Oregon, La Clinica Ï Learning Well, affordable housing providers, Social Equity and Racial Justice Commission, Rogue Valley Council of Governments Lifelong Housing Division Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low-income people, seniors, people with All levels of income, primarily disabilities, People of households with incomes of less than Renter and Owner None Color, other vulnerable or 80% of Median Family Income (MFI). historically marginalized populations Potential Risks If the adoption of a Social and Environmental Equity matrix requires an additional review for certain planning and development procedures, it could create a development barrier by adding review time. Additionally, depending on how the Social and Environmental Equity matrix is applied, it could potentially create additional costs. For example, if an affordable housing development received funding from the City, and the matrix requires developments receiving city funding to include accessibility improvements, it could add to development costs. Implementation Steps Work with the Housing and Human Services Advisory Committee to develop the Equitable Housing Plan. Work with AshlandÔs Work with AshlandÔs Planning Commission and City Council to adopt the plan. Implement actions identified in the Plan. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2024 2025 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. Third party consultant services may be required to prepare plan and carrying out implementation steps (such as hosting staff trainings). ECONorthwest Ashland Housing Production Strategy 17 E.Disallow SFD in High Density R-3 Zone Rationale Efficient use of AshlandÔs residential land is key to ensuring that Ashland has adequate opportunities to grow from 2021 to 2041 and beyond. The CityÔs Housing Capacity Analysis shows that Ashland has sufficient land within the UGB to accommodate growth over the 2021-2041 period but has very limited capacity (and nearly a deficit of land) for housing in the High-Density Residential zone. Disallowing single-family detached housing in the High Density Residential Plan Designation (R-3 zone) would preserve this zone for higher-density housing. Description The City can evaluate changes to AshlandÔs zoning code to disallow single-family detached housing in the High Density Residential Plan Designation (R-3 zone). Such a change may not include very small existing lots, where single-family detached housing is all that is buildable. The City should also consider compatibility in historic districts within R3 zones that are largely developed as single-family. The changes could be written such that they do not apply to properties within a historic district. City Role The City would amend the zoning code to remove single-family detached housing from the allowed uses in the R-3 zone. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. None Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced All residents All levels of income Owner and Renter Indirect, low Potential Risks Disallowing single-family detached housing in existing residential neighborhoods may cause concern for existing residents. Additionally, residents could be concerned if this amendment has the potential to impact historic districts. Implementation Steps Draft code amendment, including identifying opportunities to increase clarity of this section of the code. Work with AshlandÔs Planning Commission and City Council to get public input on and adopt the code revisions. ECONorthwest Ashland Housing Production Strategy 18 Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2027 2028 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. F.Evaluate increasing allowances for residential dwellings in commercial and employment zones Rationale Lowering or eliminating barriers to residential development in commercial or mixed-use zones can help encourage the development of more dense multifamily housing in these zones, helping to meet the CityÔs projected housing needs. This action is intended to increase the supply of needed housing by promoting the development of mixed-use buildings, utilizing vacant commercial floor areas as regulated affordable rental housing, maintaining an inventory of employment parcels to attract new business development, and jumpstarting redevelopment in areas near public transit and daily services. The goal of this activity would be to allow the City to be responsive to changes in the economy and housing demand by providing more opportunities to develop housing in commercial areas. Description The City could evaluate increasing allowances for residential dwellings in commercial and employment zones, such as removing residential density caps and allowing an increased amount of residential uses in ground floor commercial spaces. Ashland City Council recently considered, but did not approve, an ordinance that included these types of amendments. Instead, Council directed 16 City staff to evaluate this action after the next Economic Opportunities Analysis (EOA)which will calculate the CityÔs employment and commercial land needs and projected employment growth. The next Economic Opportunities Analysis is scheduled for 2024. 16 In 2023, Ashland City Council considered but did not approve Ordinance 3205, which presented land use code amendments to the residential standards for mixed-use development in the Commercial (C-1) and Employment (E-1) zones. The proposed ordinance included a series of amendments to AMC Title 18 Land Use relating to the residential standards for mixed-use development located in the Commercial (C-1) and Employment (E-1) zones. Specifically, the proposed code amendments would increase the allowance for residential uses from 35 to 65 percent of the ground floor in multi-story, mixed-use buildings and developments located in the C-1 and E-1 zones and outside of the Downtown Design Standards overlay. Additionally, the development of flexible Commercial Ready Residential Space would allow residential uses within the 35% commercially designated floor area provided an agreement is executed with the City, or deed restriction is recorded on the property, demonstrating that the residential use will be in conformance with the Ashland Affordable Housing Program as affordable rental housing for households earning 80% AMI or less. ECONorthwest Ashland Housing Production Strategy 19 City Role The City would evaluate potential amendments to commercial and employment zones that would encourage more housing development in these zones. The City would amend the zoning code to increase residential allowances and remove multifamily barriers in these zones. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. None Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced All residents All levels of income Owner and Renter Moderate Potential Risks If this action resulted in removal of requirements for commercial or retail ground floor uses in areas intended for mixed use development; it could reduce the amount of available commercial or retail space available to meet the cityÔs economic needs. Additionally, the removal of mixed-use requirements could result in more uniformly residential development in these areas, potentially reducing the amount of nearby services or amenities and impacting the walkability of the area. Implementation Steps Draft code amendment including identifying opportunities to increase clarity of this section of the code. Work with AshlandÔs Planning Commission and City Council to get public input on and adopt the code revisions. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2025 2026 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. ECONorthwest Ashland Housing Production Strategy 20 G.Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks Rationale Preserve and support development of new manufacturing housing parks because they play a significant role in providing naturally occurring affordable housing. Description Ashland has four manufactured home parks, as of November 2020, with a total of 255 spaces. Manufactured home parks provide opportunities for affordable housing for homeowners of a type that is not otherwise present in the housing market. Closure of manufactured home parks was common in Oregon during the mid-2000Ôs and new manufactured home parks have not been developed in Oregon cities in the last decade or more. Oregon regulates closure of manufactured home parks (in ORS 90.645). The State requires owners of manufactured home parks to give notice of closure or conversion of a manufactured home park. Manufactured home park owners are required to pay households a fee (of between about $6,000 and $10,000) when closing manufactured home parks. In the face of closure or sale of a manufactured home park, preservation of manufactured home parks can be accomplished through a range of approaches, such as resident owned cooperatives or non-profit ownership. Since 2007, 30 manufactured home parks have been preserved statewide. In 2019, the Legislature funded a manufactured dwelling park loan program through OHCS specifically preserve manufactured home parks. Oregon Housing and Community Services (OHCS) works with Community Development Financial Institutions (CDFI) to preserve manufactured home parks through this loan fund. Organizations that provide support for preservation of manufactured home parks includes: OHCS, Network for Oregon Affordable Housing, Banner Bank, and CDFIs. Nonprofits like CASA of Oregon and St. Vincent de Paul of Lane County have assisted with preservation of many of the 30 manufactured home parks. Between 2019 and September 2021, OHCSÔ manufactured dwelling 17 park loan program supported preservation of a manufactured home park in Newport Another approach is adopting a zone that allows manufactured home parks as a permitted use and prohibits other types of single-family detached or multifamily housing. Cities such as Cornelius and Portland have taken this approach. 18 The City can also support repair and rehabilitation of manufactured home parks as part of Action I. Ashland could work with owners of manufactured home parks, especially those where redevelopment is being considered, to identify opportunities to preserve manufactured home parks through these approaches. The City could support development of new manufactured home parks by changing zoning to allow their development more easily, such as: Based on information from the report 6§¹®¯´­ºµ´Ɏ"µ»´º¿ȟ¹Ɏ,§´»¬§©º»¸«ªɎ'µ»¹¯´­Ɏ"µ³³»´¯º¯«¹ȎɎ%§©º¹ȍɎ1¯¹±¹ȍɎ§´ªɎ 17 Resource, Final Report, April 2022. 6§¹®¯´­ºµ´Ɏ"µ»´º¿ȟ¹Ɏ,§´»¬§©º»¸«ªɎ'µ»¹¯´­Ɏ"µ³³»´¯º¯«¹ȎɎ%§©º¹ȍɎ1¯¹±¹ȍɎ§´ªɎ1«¹µ»¸©«, Final Report, April 2022. 18 ECONorthwest Ashland Housing Production Strategy 21 Allow Manufactured Housing Developments in residential zones where it is not currently allowed such R1, CM, and NN. Allow Manufactured Housing Developments without requiring a subdivision. The City could also review the Land Use Ordinance for barriers to resident land ownership in manufactured home parks. The Cottage Housing Ordinance may work for this purpose, but the City would need to evaluate the code for any adjustments necessary to allow small lots for manufactured homes. Zoning changes should be carefully designed to avoid Measure 49 claims, which allow some property owners to file a claim for compensation if regulations reduce their property value. City Role Working with owners and nonprofit organizations to support preservation efforts. Changing the zoning code to more easily allow new manufactured home park development. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Oregon Housing and Community Services (OHCS), owners of manufactured home parks Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Extremely-low, very-low, low-income households; Households with incomes below 80% of existing residents of Renter or Owner Low to Moderate MFI manufactured home parks Potential Risks Impacts are likely to be minor or have no negative impact. If zoning changes were implemented in such a way that property owners can demonstrate the land use regulations reduce the fair market value of their property, the property owner could file a Measure 49 claim and the city could be required to compensate the property owner based on the reduction in the fair market value of the property resulting from the land use regulation. Implementation Steps To support development of new manufactured home parks: Draft code amendment to: Allow Manufactured Housing Developments in residential zones where it is not currently o allowed such R1, CM, and NN. Allow Manufactured Housing Developments without requiring a subdivision. o Identifying opportunities to increase clarity of this section of the code. o Work with AshlandÔs Planning Commission and City Council to get public input on and adopt the code revisions. To support preservation of existing manufactured home parks: ECONorthwest Ashland Housing Production Strategy 22 Partner with nonprofits, the housing authority, and manufactured home park owners to support preservation efforts. Offer financial support where possible. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2024 2025 On-going Funding or Revenue Implications If no specific funding or revenue source is identified at this time, staff time and available Planning Division tools and resources will be relied on to provide support in the form of letters of support, research on preservation options, and acting as a convener of stakeholders. Providing monetary resources to encourage development of new manufactured home parks or to help preserve existing parks could result in a higher-cost strategy. ECONorthwest Ashland Housing Production Strategy 23 H.Increase development capacity of MFR dwellings through changes to the Land Use Ordinance Rationale Amending the Land Use Ordinance to allow for a wider range of development will help ensure there are development opportunities for needed housing types. Zoning changes that could remove barriers to the development of multifamily housing include increased density, increased allowable height, and reduced parking requirements. Prior analysis shows that two to three times as many units per acre as allowed under the current density standards can potentially fit on a typical site with limited changes to other development standards. Higher densities are especially important for small infill 19 sites where efficiency is at a premium. Allowing more housing on a given infill site helps the City meet its housing needs with less land. Description The City could evaluate several amendments to the land use ordinance: Increasing the maximum allowed densities in the Multi-Family Residential (R-2), High Density Residential (R-3), and parts of the Normal Neighborhood and Croman Mill District designations. Increasing allowed height in the R-2 and R-3 multi-family residential zones, outside of , and up to 50 feet. Increasing lot coverage allowances slightly in the R-2 and R-3 zones to support the other code amendments Evaluating the code to identify and remove unintentional barriers to density, such as the certain elements of the solar ordinance, parking or driveway requirements. City Role Draft amendments to the land use ordinance and work with AshlandÔs Planning Commission and City Council to adopt the revised standards. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Area developers and stakeholders Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced All residents All levels of income Owner and Renter Indirect, low Potential Risks Allowing greater density in existing residential neighborhoods may cause disruption and concern for existing residents. ECONorthwest, Ashland Housing Strategy Implementation Plan, June 2019. 19 ECONorthwest Ashland Housing Production Strategy 24 Implementation Steps Review development code to identify potential amendments that could allow greater density and remove barriers to density in the Ashland's high-density zones. Draft code amendments, including identifying opportunities to increase clarity of this section of the code. Work with AshlandÔs Planning Commission and City Council to get public input on and adopt the revised definitions. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2027 2028 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. ECONorthwest Ashland Housing Production Strategy 25 I.Implement the Multiple Unit Property Tax Exemption (MUPTE) to support multifamily or affordable housing Rationale The Multiple Unit Property Tax Exemption (MUPTE) program is flexible and eligibility criteria can be set locally, allowing the City to target the program to meet its needs. It offers an incentive for preservation and development of housing for low- to moderate-income households. It can offer an incentive for mixed-income housing, providing a way to leverage private, market-rate development to expand affordable housing. Description MUPTE allows cities to offer a partial property tax exemption (limited to the value of the housing, not the land) for multifamily development that meets specific locally established criteria, such as having an affordability agreement with a public agency. The terms of the affordability agreement can be set by the CityÐthere are no specific income / affordability requirements in the state statute that enables the program. The City could explore using MUPTE in two possible ways: To incentivize mixed income development through inclusion of below-market units (units affordable below 80% of MFI) in otherwise market-rate developments. To incentivize owners of existing low-cost market rate housing to rehabilitate properties without displacing existing tenants or escalating rents. What does the exemption apply to? It applies to rental housing that is affordable at incomes at or below 120 percent, often in a mixed-income multifamily building. The exemption applies only to improvement value of the housing. How long does it apply? The property tax exemption can be granted for up to 10 years, except that for low-income housing, exemption can be extended for as long as the housing is subject to the public assistance contract. What taxing districts would participate? The property tax exemption only applies to city property taxes (which account for about 27% of property taxes in Ashland) unless the City gets affirmative support from at least 51% of overlapping taxing districts for the exemption to apply to their tax collections. City Role Implement the exemption and execute on annual reporting and administration procedures. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Ashland Finance Department, School Districts, Jackson County and other overlapping Taxing Districts Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Middle-income renter 60 Ï 80% of Median Family Income Renter Moderate households ECONorthwest Ashland Housing Production Strategy 26 Potential Risks The City and participating taxing districts will lose property tax income for the duration of the exemption, reducing revenue for city services and revenue for participating taxing districts. Implementation Steps To implement the exemption, the City would take the following steps: Determine desired eligibility criteria (percentage of affordable or workforce housing or other public benefits, where the program applies, etc.). Seek agreement from taxing districts representing 51% or more of the combined levying authority on the property to include all the taxing jurisdictions in the abatement. If the City is unable to get agreement from other taxing districts, the abatement will only apply to the CityÔs portion of property taxes. Establish annual reporting and administration procedures. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption The property tax exemption can be 2028 2029 used after adoption for as long as the City offers the tax exemption. Funding or Revenue Implications MUPTE reduces general fund revenues for all overlapping taxing districts. The City of Ashland must weigh the loss of tax revenue against value of the rent discounts offered by qualifying development. ECONorthwest Ashland Housing Production Strategy 27 J.Preserve and improve existing low-cost, unregulated, rental housing Rationale Keeping low-cost unregulated housing both habitable and affordable reduces the need for subsidized new construction. Rental housing that is affordable to low- and moderate-income households and not subject to affordability restrictions is typically older, privately-owned housing. This type of housing may have deferred maintenance issues due to a lack of resources to make improvements and pay for repairs (and, in some cases, owner neglect). Description The City can work with property owners of low-cost unregulated rental housing to support needed repairs without displacing tenants. This could include: Offer low-interest loans and/or grants to property owners for repairs and major rehabilitation, providing they do not displace residents. Evaluate reducing regulatory requirements and permitting challenges for owners seeking to improve older, rental housing. Provide information/technical assistance to smaller property owners regarding state and local resources to support weatherization and healthy housing. Use the Multiple Unit Property Tax Exemption to support rehabilitation. Provide information, resources, and grants to support accessibility upgrades to allow residents to age in place. The City should consider funding sources available from the state and federal governments to support rehabilitation and weatherization. For instance, the City could consider pursuing grant funding through the Oregon Healthy Homes Program, which provides financial assistance to eligible homeowners and landlords to repair and rehabilitate dwellings. The City could pursue funding from 20 other programs that fund rehabilitation or weatherization, such as the federal Weatherization Assistance Program. City Role The City could evaluate programs, technical assistance opportunities, regulatory changes, and other options to support property improvements. The City could provide grant funding in support of rehabilitation, weatherization or accessibility upgrades (e.g., through Community Development Block Grant (CDBG) funding, the Oregon Healthy Homes Program, or other programs). Partners and their Role Lead Partner. City of Ashland Planning Division Partners. ACCESS, Ashland Housing Authority, Habitat for Humanity, Rebuilding Together, property owners of low-cost, unregulated, rental housing 20 HB 2842 recently directed the Oregon Health Authority (OHA) to provide grants to third-party organizations to "provide financial assistance to eligible homeowners and landlords to repair and rehabilitate dwellings to address climate and other environmental hazards, ensure accessible homes for disabled residents, and make general repairs needed to maintain a safe and healthy home." Rulemaking is currently underway to allow funding for this program in the fall of this 2023. Cities and other eligible organizations can then apply for grants to fund these types of rehabilitation and repair programs. ECONorthwest Ashland Housing Production Strategy 28 Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low and middle-income Households with incomes below 80% of Renter Low renters MFI Potential Risks If the City does not ensure that housing will be affordable at below 80% of MFI for the foreseeable future, the rent may increase, making the housing less affordable. Funds spent on this program would be unavailable for other city services. Implementation Steps Get policy direction from City Council on implementing this action. Develop a list of lower-cost, unregulated, rental housing, including property locations, number of units per development, and property owner contact information. Evaluate programs, technical assistance opportunities, regulatory changes, and other options to support property improvements. This step can include multiple approaches, as noted in the description of this action. Reach out to property owners (identified in Step 1). Gauge their interest in improving the safety, health, and stability of their property. Determine what kinds of improvements their properties might need and what resources would be most useful to them. Refine and implement programs, technical assistance opportunities, regulatory changes, and other options (identified in Step 2) based on feedback from property owners. Develop requirements for maintaining lower cost rent as a condition of receiving financial assistance from this program. Connect interested property owners to established programs and opportunities. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption Get policy direction from Council - 2026 2027 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. Providing low-interest loans or grants will require a funding source to backfill program dollars awarded/loaned. Beyond CDBG funding, no specific funding or revenue sources are identified or secured at this time.Implementation of a Multiple Unit Property Tax Exemption program (described in Strategy H.) would be required before MUPTE could be used to support rehabilitation. ECONorthwest Ashland Housing Production Strategy 29 K.Work with partners to support development of additional permanent supportive housing Rationale Permanent supportive housing is income-restricted housing that includes services with a goal of ending chronic homelessness. This type of housing is typically built with state funding, with a nonprofit or housing authority taking lead on such development. The CityÔs role is as a partner to support its development. Working with nonprofits is key to meeting AshlandÔs need for housing and supportive services for people who need ongoing services over the long term. Description The City can work with partners, such as the housing authority or nonprofit developers, to support development of housing for households with very low incomes (or no income) that includes services necessary to help a person transition from homelessness into housing. This type of housing is typically multifamily and often funded through state and federal sources. The city can support these types of housing through facilitating the planning process, contributions of land (connected to the land banking action), direct project funding support, grant assistance, reduced fees for affordable housing (such as system development charges), funding off-site infrastructure, or other types of resources or support development for these housing types. City Role The City would work with service providers to identify and utilize funding and development assistance opportunities. The City could collaborate with Jackson County and neighboring jurisdictions to develop a regional approach to this strategy. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Jackson County, Jackson County Continuum of Care, Housing Authority of Jackson County, Columbia Care, Maslow Project, ACCESS, Rogue Community Health, Asante, Jackson Care Connect, faith-based partners, neighboring jurisdictions Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Homeless community; Extremely low-income to low-income households, 0-30% of Median Family Income Renter Low as well as underserved communities. Potential Risks The largest risk is that more permanent supporting housing is not built. Implementation Steps The City should work with nonprofit agencies and developers in conjunction with the Continuum of Care to identify additional resources that the City may be able to provide support for, such as supportive housing and services to people experiencing homelessness in Ashland. ECONorthwest Ashland Housing Production Strategy 30 Building more permanent supportive housing is likely to be dependent on completion of other actions, such as use of land from a land bank (Action A), increase density allowed in multifamily buildings (Action G), and community education about need for income-restricted housing (Action C). In addition, funding from a potential CET (Action L) and potential Urban Renewal District (Action M) maybe crucial to developing this housing. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption 2024 On-going On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be relied on to accomplish this strategy. If the City is contributing land, then the City is forgoing realizing the value of the land if it was sold on the open market. If the City is contributing funding directly to project or funding off-site infrastructure, the City will need to identify sources of funding. If the City offers reduced fees for affordable housing, the City must weigh the loss of revenue against the value offered by qualifying development. ECONorthwest Ashland Housing Production Strategy 31 L.Evaluate opportunities to improve energy efficiency and reduce greenhouse gas emissions during housing development Rationale The City of Ashland adopted its Climate and Energy Action Plan (CEAP) in March of 2017 Ñto reduce its emissions and improve its resilience to future impacts of climate change on its environment, infrastructure, and people. Housing that is developed with energy-efficient processes, uses energy- efficient materials, and operates in an energy efficient way over time can help the City meet its CEAP goals and can lower long term household energy costs. Description The City can incorporate elements of the CEAP into housing developments, including increased energy efficiency, solar access, electrical vehicle parking and charging opportunities, reduction of fossil fuels dependency, and increased resilience to natural hazards resulting from a changing climate (such as the risk of wildfire). The City could offer or facilitate energy efficiency incentives for new buildings, whether for sale or rental. City Role The City can evaluate opportunities to incorporate elements of the CEAP into housing developments. The City could also facilitate access to energy efficiency incentives available from the federal and state government, particularly for development of affordable housing. The City could also partner with the Conservation Division, which offers energy efficiency audits and a variety of incentives to homeowners. The City expects to comply with the Climate Friendly and Equitable Communities Rules. The implementation of these rules may dovetail with and refine this strategy. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Ashland Climate Policy Commission, Ashland Conservation Division, Ashland Electric Department, Ashland Building Division, local developers Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced All residents All levels of income Renter or Owner Low Potential Risks Impacts are likely to be minor or have no negative impact. Implementation Steps Evaluate opportunities and approach. Get policy direction from City Council on implementing this action. ECONorthwest Ashland Housing Production Strategy 32 Implementation steps would depend on the specific incentives or requirements identified through the evaluation. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption Get policy direction from Council - 2029 2030 On-going Funding or Revenue Implications Staff time and available Planning Division tools and resources will be required to evaluate opportunities to improve energy efficiency and reduce greenhouse gas emissions during housing development. If incentives are provided in exchange for certain green building practices or certifications, this could require funding or reduce revenue. ECONorthwest Ashland Housing Production Strategy 33 Funding Sources M. Establish a Construction Excise Tax Rationale Construction Excise Tax (CET) is one of few options to generate additional locally-controlled funding for affordable housing. A CET is intended to provide funding to support development of affordable housing. The funds from the CET are required by State law to be spent on developer incentives, supporting affordable housing programs, and homeownership programs. Ashland does not collect a Construction Excise Tax for affordable housing as allowed by SB 1533. Description CET is a tax assessed on construction permits issued by local cities and counties. The tax is assessed as a percent of the value of the improvements for which a permit is sought unless the project is exempted from the tax. The City could use CET revenue funds to support the development or re-development of affordable housing. Affordable housing itself is typically exempt from a CET, and as such this tax on new construction does not impact regulated affordable housing development. In 2016, the Oregon Legislature passed Senate Bill 1533 which permits cities to adopt a construction excise tax (CET) on the value of new construction projects to raise funds for affordable housing projects. CETs may be residential only, commercial only, or residential and commercial. If the City were to adopt a CET, the tax would be up to 1% of the permit value on residential construction and an uncapped rate on commercial and industrial construction. The allowed uses for CET funding are defined by the state statute. The City may retain 4% of funds to cover administrative costs. The funds remaining must be allocated as follows, if the City uses a residential CET: 50% must be used for developer incentives (e.g. fee and SDC waivers, tax abatements, etc.) 35% may be used flexibly for affordable housing programs, as defined by the jurisdiction. 15% flows to Oregon Housing and Community Services for homeowner programs. If the City implements a CET on commercial or industrial uses, 50% of the funds must be used for allowed developer incentives and the remaining 50% are unrestricted. The rate may exceed 1% if levied on commercial or industrial uses. City Role Develop and implement the plans for using CET funds for affordable housing development. Partners and their Role Lead Partner. City of Ashland Planning Division Partners. Local developers, Chamber of Commerce, major employers, and the Ashland business community ECONorthwest Ashland Housing Production Strategy 34 Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Depends on how revenue is used, but Depends on how revenue most likely directed toward 0-60% of is used, but would be for Median Family Income, however, could extremely low, very low, be used to meet other income groups, Renter or Owner Moderate to high and low-income and such as contribution to homeownership underserved for households at 61-80% of Median communities. Family Income. Potential Risks Homebuyers and businesses that pay the CET will have slightly higher costs for their homes and for commercial or industrial development. The increase in home prices will not exceed 1% because of the CET and may be smaller if the City establishes a CET below 1%. Implementation Steps Evaluate potential approach. Include projections on potential revenue and what programmatic goals could be accomplished with revenue. Include SWOT analysis for both residential and commercial/industrial. Engage with developers, major employers, and the business community in Ashland to evaluate tolerance for a CET on commercial and industrial development and where there are shared interests in supporting local housing production. Seek direction on whether to proceed with adoption from City Council at work sessions. Ashland City Council could impose the CET by adoption of an ordinance or resolution that conforms to the requirements of ORS 320.192ÏORS 320.195. If directed, create a plan for the use of CET funds. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption If a CET is implemented, it may take several years for funds to 2025 2026 accumulate to an amount that could be used to support development of housing. Funding or Revenue Implications Adopting a CET would provide funding for other strategies. Because a percentage (4%) of the revenue can be applied to the CityÔs costs for administering the program, there should be minimal additional cost for the City. ECONorthwest Ashland Housing Production Strategy 35 N.Evaluate using Urban Renewal Rationale Urban renewal provides a flexible funding tool that can support many of the key strategies identified in the Housing Production Strategy. Urban renewal funds can be used to support development of off- site infrastructure necessary to support new housing development. In addition, urban renewal funds could be used to support rehabilitation of existing housing in poor condition, possibly with future requirements that it remain affordable at an income level like 80% or less of MFI. Description Ashland does not have an Urban Renewal District for Tax Increment Financing. Urban renewal can be used to support to support development of affordable housing, most likely in commercial areas. The City could use Urban Renewal to support development of infrastructure necessary to support housing development. The City could coordinate Capital Improvements Program and Transportation System Plan infrastructure investments in areas identified for multi-family, mixed-use and transit- oriented housing developments. The City will need to decide how to use the funding. The best use of funding may be in coordination with other actions in the HPS, such as with land banking and support of development of income- restricted housing. City Role Evaluate the potential to use Urban Renewal to support infrastructure and affordable housing, including developing a set aside share of Tax Increment Financing (TIF) revenue to support infrastructure development necessary for new housing.The City would need to develop and implement an Urban Renewal Plan, establish an Urban Renewal Agency, and select projects to fund through Urban Renewal. Partners and their Role Lead Partner. Ashland Planning Division Partners. Ashland Finance Department, Ashland Public Works Department, and property owners within the Urban Renewal Area. Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Low- and middle-income All levels of income Renter or Owner Moderate householders Potential Risks The City and participating taxing districts will forgo revenue increases from increasing property value for the duration of the Urban Renewal district(s), decreasing property tax revenues in the district(s). ECONorthwest Ashland Housing Production Strategy 36 Implementation Steps As part of Urban Renewal planning for a potential new district, evaluate whether a housing set-aside is an appropriate expenditure for the district and how much can be allocated while balancing the need for infrastructure investments. Should a new Urban Renewal district be deemed appropriate, proceed with creating and adopting an Urban Renewal Plan. Establish priorities for the area, identify a project list, consult with taxing districts, prepare a feasibility study, prepare required plan documents, and hold adoption hearings. Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption After implementation, it would likely be several years before there is sufficient revenue in the Urban Evaluate approach Ï 2026 2029 Renewal District to have enough Develop plans Ï 2027 funds to make significant Adopt Ï 2028 investment in housing. Funding or Revenue Implications TIF results in foregone tax revenue for the City and other overlapping taxing districts for several decades, though it can (and should) grow the tax base in the long-term by supporting development that would not otherwise have occurred. ECONorthwest Ashland Housing Production Strategy 37 O.Identify additional funds to support the Affordable Housing Trust Fund Rationale Identifying additional funding sources for AshlandÔs Affordable Housing Trust Fund would support the development of affordable housing. Affordable housing trust funds are public sector tools used to provide direct financial resources to the development of affordable housing for low income households. Description The Ashland Affordable Housing Trust Fund was formed in 2008 with the goal of encouraging the creation of housing for homeownership or rent at a cost that will enable low and moderate income families to afford quality housing while paying no more than thirty per cent of gross household income on housing. To be successful in this goal a dedicated and sustainable source of revenue is needed for the AHTF. One option is a General Obligation (GO) Bond, which could provide a stable, dedicated revenue source to fund infrastructure to support affordable housing, land acquisition, property acquisition, and direct project subsidies through increased property tax rates. GO bonds are issued for a specific dollar amount and paid for over the period of the bond through increased property taxes. Because they are legally limited to use for capital investments and require a public vote to enact, these bonds are typically used for major infrastructure investments (such as roadway improvements that benefit all, or nearly all, of a cityÔs residents). However, GO bonds can be used for land acquisition or affordable housing development if the cityÔs residents agree to fund them. Bonds cannot be used for supportive services or for operations. GO bonds are not subject to Measure 5 and 50 rate limits. They can be structured to provide revenue in increments over time, rather than in one large up-front amount. Other funding sources could also be considered such as transfer of development density fees, transient occupancy tax, continuing the use of Marijuana tax funds, or providing one time contributions to the fund through bequests or the sale of surplus city property. The City does not currently have a mechanism for accepting funding through bequests and private donations, and would need to work with their legal and accounting departments to set this mechanism up. The City may want to lobby the Legislature to allow for other mechanisms for funding affordable housing, such as allowing a Real Estate Transfer Tax. City Role The City would develop a funding plan, conduct polling/engagement, develop ballot initiative, implement projects (if successful). The City could also evaluate opportunity for use of other funding sources. Partners and their Role Lead Partner. City of Ashland Planning Division Partner 2. City of Ashland Finance Department, Legal Department, Ashland City Council, Ashland residents ECONorthwest Ashland Housing Production Strategy 38 Anticipated Impacts Magnitude of New Income Housing Tenure Populations Served Units Produced Extremely and very-low-Households up to 60% of the Median Renter or Owner Moderate to High income households Family Income Potential Risks Funds spent on affordable housing will be unavailable for other city services and may require additional resources to sustain the ongoing operations of new projects. Community support for some of these options, such as a GO bond, may be weak, resulting in no action on issuing a bond. Implementation Steps Identify and evaluate new sources of funding for income-restricted affordable housing. Get policy direction from City Council on implementing this action. Implement suitable funding sources. This step will vary by funding source (an example is provided below). General Obligation Bond Implementation Steps: The City of Ashland will need to evaluate the types of projects they wish to include on the ballot (and their costs) to determine a bond rate. The bond funds may only be used to pay for capital costs related to construction; acquisition or rehabilitation of residential buildings for affordable housing; other capital construction costs; predevelopment costs; and administrative costs. The City should vet projects with the general public to gauge acceptability. They should also educate the public about the proposed projectsÔ value. General obligation bonds are issued with long-term, fixed rates. The City of Ashland should evaluate the type of bond it will pursue (20-year or 30-year). measure. General obligation bonds must be approved by a simple majority through a ballot Implementation Timeline Timeframe of Impact Implementation to Commence Timeline for Adoption It may take several years before there is sufficient revenue to have Get policy direction from Council - 2025 2026 enough funds to make significant investment in housing. Funding or Revenue Implications Depends on funding source implemented; it is recommended that the City consider using general obligation bond revenue to leverage additional funds (from potential partners or grantors) to support development of affordable housing. This action will generate new funding, likely for capital costs, but will require additional staff time to administer the new revenue. The GO Bond funds could cover administrative costs related to the capital costs funded by the bond. ECONorthwest Ashland Housing Production Strategy 39 Recommendations for Future Actions The following actions, while important and useful, will not be included as strategies in the HPS. Instead, the HPS will include them as recommendations that the City may want to consider in the future or as part of another process. The City will not have to report on progress towards these actions. Develop pre-approved plan sets for Middle Housing Typologies and Accessory Dwelling Units. As a follow-up to HB 2001 implementation, the City should develop pre-approved plans for middle housing typologies, such as cottage clusters, townhomes, and other middle-income housing types as well as accessory dwelling units. The plans should be highly efficient, designed for constrained lots and low-cost solutions, and would allow for streamlined permitting. The city could consider adopting pre-approved plans developed by other cities or working with other cities to develop pre-approved plans. For pre-approved plan sets, the Building Department may decrease the charges (plan check fee) by as much as 50% and decrease the approval time (possibly as short as three days). Consider staff capacity for implementation of the HPS. Staff has the capacity and expertise to implement some, but not all, of the strategies included in the HPS. For instance, the City may need to hire consultant services for grant writing, zoning amendments, or strategies that require specific technical expertise, such as implementation of a TIF district. The City should review the HPS to consider staff capacity and assess where additional assistance would be needed in order to implement the HPS. The City should also do an assessment of staff capacity on a case-by-case basis at the beginning of each strategy ECONorthwest Ashland Housing Production Strategy 40 4.Evaluation: Achieving Fair and Equitable Housing Outcomes This chapter presents an evaluation of the goals and strategic actions for achieving fair and equitable housing outcomes. It also includes a discussion of monitoring the outcomes of ¹®²§´ªȟ¹Ɏ'/2ȌɎ Evaluation of the Policiesand Strategic Actions OAR 660-008 requires an evaluation of all the HPS for achieving the following types of outcomes. The discussion below provides a brief evaluation of each of the expected outcomes for the policies and actions of the HPS, with a focus on housing opportunities for federal and state protected classes. This is not intended to be an exhaustive evaluation of how each action 21 addresses these outcomes but a high-level overview of the HPS as a whole. Affordable Homeownership. This criteria focuses on actions that support production of housing affordable for homeownership and includes actions to support development of housing affordable at less than 120% of MFI. Many of the actions in the HPS support development of affordable housing for homeownership through supporting development of lower-cost ownership housing, removing regulatory barriers to development of affordable ownership housing, supporting Fair Housing, and making capital improvements necessary to support affordable ownership housing. Some of the actions within the HPS that support affordable homeownership include: Existing actions and programs Zoning amendments to allow a broader array of more affordable unit types in a wider variety of zones including middle housing, live-work, tiny homes, small lots, cottage housing, garden apartments, and higher residential density development. Ashland scales SDCs so that smaller units pay lower SDCs, potentially increasing affordability. Ashland provides a density bonus for development of for energy-efficient housing. Actions in the HPS Ɏ%«ª«¸§²Ɏ¶¸µº«©º«ªɎ©²§¹¹«¹Ɏ§¸«ȎɎ¸§©«ȍɎ©µ²µ¸ȍɎ´§º¯µ´§²Ɏµ¸¯­¯´ȍɎ­«´ª«¸ȍɎ¬§³¯²¯§²Ɏ¹º§º»¹ȍɎ§´ªɎª¯¹§¨¯²¯º¿ȌɎ.¸«­µ´ȟ¹Ɏ§ªª¯º¯µ´§²Ɏ 21 protected classes are: marital status, source of income, sexual orientation, and status as a domestic violence survivor. Under Fair Housing laws, it is illegal to deny access to housing in based on the characteristics of people within these protected classes. ECONorthwest Ashland Housing Production Strategy 41 Participate in or establish a land bank Participate in a land trust Disallow SFD in High Density R-3 Zone Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks Increase development capacity of MFR dwellings through changes to the Land Use Ordinance Establish a Construction Excise Tax Evaluate using Urban Renewal Identify additional funds to support the Affordable Housing Trust Fund Affordable Rental Housing. Supporting affordable rental housing includes actions to support production of both income-restricted affordable housing (affordable to households with incomes below 60% of MFI) and privately developed affordable housing (affordable for households with incomes between 61% and 80% of MFI). Actions within the HPS that support affordable rental housing development include: Existing actions and programs Zoning amendments to allow a broader array of more affordable unit types in a wider variety of zones including middle housing, live-work, tiny homes, small lots, cottage housing, garden apartments, and higher residential density development. Ashland scales SDCs so that smaller units pay lower SDCs, potentially increasing affordability. Ashland provides density bonuses for development of affordable housing at higher densities and for energy-efficiency. Affordable Housing Standards Ordinance and removal of other regulatory barriers to encourage development of new smaller units and multifamily units. Financial incentives to encourage development of affordable housing. Affordable Housing Trust Fund Inclusionary zoning as part of new residential annexations. Actions in the HPS Participate in or establish a land bank Participate in a land trust Disallow SFD in High Density R-3 Zone Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks ECONorthwest Ashland Housing Production Strategy 42 Increase development capacity of MFR dwellings through changes to the Land Use Ordinance Implement the Multiple Unit Property Tax Exemption (MUPTE) to support multifamily or affordable housing Establish a Construction Excise Tax Evaluate using Urban Renewal Identify additional funds to support the Affordable Housing Trust Fund Housing Stability. Increasing housing stability includes actions that increase the stability of existing households and prevent displacement, mitigating gentrification resulting from public investments or redevelopment. Actions within the HPS that address housing stability include: Existing actions and programs Tenants Rights Ordinance Ordinances to preserve existing housing supply Ashland regulates conversion of rental housing to condominiums. Actions in the HPS Host educational events with the Housing and Human Services Advisory Committee or other organizations. Develop an equitable housing plan Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks Preserve and improve existing low-cost, unregulated, rental housing Housing Options for People Experiencing Homelessness. Increasing options for people experiencing homelessness includes working with partners and identifying ways to address homelessness and actions that reduce the risk of households becoming homeless (especially for households with income below 30% of MFI). The HPS includes the following options for people experiencing homelessness: Existing actions and programs Community Development Block Grant funding towards affordable housing and shelter and funding to service providers benefiting extremely low-income individuals. Affordable Housing Trust Fund contributions to affordable housing development and safety net housing. Actions in the HPS ECONorthwest Ashland Housing Production Strategy 43 Work with partners to support development of additional permanent supportive housing Identify additional funds to support the Affordable Housing Trust Fund Housing Choice. Increasing housing choice involves increasing access to housing for communities of color, low-income communities, people with disabilities, and other state and federal protected classes. Increasing housing choice also means increasing access to existing or new housing that is located in neighborhoods with healthy and safe environments and high-quality community amenities, schooling, and employment and business opportunities. Actions within the HPS that increase housing choice include: Existing actions and programs Zoning amendments to allow middle housing, live-work, tiny homes, small lots, higher residential density and clustered residential development. Actions in the HPS Participate in or establish a land bank Participate in a land trust Disallow SFD in High Density R-3 Zone Maintain quality and support preservation of existing manufactured home parks and support development of new manufactured home parks Increase development capacity of MFR dwellings through changes to the Land Use Ordinance Implement the Multiple Unit Property Tax Exemption (MUPTE) to support multifamily or affordable housing Preserve and improve existing low-cost, unregulated, rental housing Identify additional funds to support the Affordable Housing Trust Fund Location of Housing. Diversifying the location of housing requires increasing options for residential development that is compact, in mixed-use neighborhoods, and available to people within state and federal protected classes. This measure is intended, in part, to meet statewide greenhouse gas emission reduction goals. Actions within the HPS that support development of compact, mixed-use neighborhoods include: Existing actions and programs Zoning amendments to allow a broader array of more affordable unit types in a wider variety of zones including middle housing, live-work, tiny homes, small lots, cottage housing, garden apartments, and higher residential density development. Transit Triangle Overlay allowed more housing development in this transit- supportive area. ECONorthwest Ashland Housing Production Strategy 44 Ashland gives parking credits in areas with transit facilities. Ashland established a Vertical Housing Development Zone. Actions in the HPS Disallow SFD in High Density R-3 Zone Increase development capacity of MFR dwellings through changes to the Land Use Ordinance Evaluate using Urban Renewal Fair Housing. Supporting Fair Housing is accomplished by increasing access to housing for people in state and federal protected classes, Affirmatively Furthering Fair Housing, addressing disparities on access to housing opportunity for underserved communities, and decreasing patterns of segregations or concentrations of poverty. Actions within the HPS that further Fair Housing policies include: Existing actions and programs Education, outreach, and compliance enforcement through partnership with the Fair Housing Council of Oregon, Educational events with elected and appointed officials and for the public. Past support for the Center for Non-Profit Legal Services for fair housing assistance through the City's Social Service Grant fund. Actions in the HPS Production of affordable rental and homeownership housing, increasing housing stability, identifying housing options for people experiencing homelessness, and increasing housing choice are all part of supporting Fair Housing. These issues are addressed above. Host educational events with the Housing and Human Services Advisory Committee or other organizations. Develop an Equitable Housing Plan Taken together, the policies and actions included ¯´Ɏ ¹®²§´ªȟ¹Ɏ'µ»¹¯´­Ɏ/¸µª»©º¯µ´Ɏ2º¸§º«­¿Ɏ§¸«Ɏ intended to work together to achieve equitable outcomes for all residents of Ashland, with an emphasis on improving outcomes for underserved communities, lower-income households, and people in state and federal protected classes. ECONorthwest Ashland Housing Production Strategy 45 Monitoring Outcomes of the HPS 3®¯¹Ɏ¯¹Ɏ ¹®²§´ªȟ¹Ɏ¬¯¸¹ºɎ'/2ȌɎ ¹Ɏ§Ɏ¸«¹»²ºȍɎº®«Ɏ"¯º¿Ɏ¯¹Ɏ¸«·»¯¸«ªɎºµɎª«¹©¸¯¨«Ɏ®µ½Ɏ¯ºɎ½¯²²Ɏ³«§¹»¸«Ɏº®«Ɏ implementation and progress of the HPS. This section focuses on these issues. Ashland is required to report progress on implementation of the HPS to DLCD every four years. This report must include: 22 A summary of the actions taken to implement the HPS. If there are actions that the City has not implemented on the schedule for the first four years of the HPS (i.e., actions expected to be adopted by December 31, 2024), the City needs to provide an explanation of the barriers to implementation and a plan for addressing the need that the action was intended to address. That plan could include identification of other actions in the HPS that will meet the identified need or it could include development of a new action to meet the need. A reflection of the efficacy of the actions the City has implemented. This reflection should discuss the outcomes the City is observing from the actions they have implemented to date and could include expectations for future outcomes. A reflection of the efficacy of the actions in the context of the outcomes described above. This section evaluates the goals and actions in the HPS for expected outcomes such as increasing housing options for affordable homeownership, affordable rental housing, housing stability, housing options for people experiencing homelessness, housing choice, location of housing, and Fair Housing. The report should describe whether the goals and actions implemented have resulted in the outcomes described above. In addition, Ashland is required to report about actions that will not be adopted on the schedule presented in Exhibit 16. The City must notify DLCD that it will be unable to adopt the action within 90 days of the end of the timeline to implement the action. This notice must identify the actions or combinations of actions that the City will take to address the need that the action was intended to address. This could include identification of other actions in the HPS that will meet the identified need or it could include development of a new action to meet the need. The City will review its progress toward the plan on an annual basis, coinciding with Council work planning. During the review, the City will report on the implementation actions taken over the previous year for the strategies in progress or scheduled to begin that year, along with the housing development activity that has occurred. Every four years, these annual updates will be combined into a report. Key questions that Council can consider in its assessment include: Are additional actions needed to address new or changing conditions? This report is due to DLCD no later than December 31 four years after Ashland adopts its HPS. 22 ECONorthwest Ashland Housing Production Strategy 46 Is staff capacity sufficient to meaningfully advance the strategies? What benefits has the City seen from its effo¸º¹ɎºµɎª§º«ȒɎ ¸«Ɏº®«Ɏ"¯º¿ȟ¹Ɏ¸«¹¯ª«´º¹ȍɎ§´ªɎ especially its lower-income residents and communities of color, seeing a return on the investments that the City has made? In addition, the City can track indicators of plan progress in Exhibit 17. Exhibit 17. Monitoring by Strategy Annual monitoring Strategies Overall Monitoring Number of affordable units developed by income range Number of affordable projects developed Evaluate participating in or establishing a land bank. Number of acres acquired for land banking Number of dwelling units developed on land from land banking Amount of funding contributed to land bank Evaluate opportunities to participate in a land trust. Number of partnerships with land trusts Number of acres contributed to land trusts Amount of funding contributed to land trust Number of dwelling units developed in land trusts Host educational events with the Housing and Human Number of events hosted Services Advisory Committee Number of attendees at events Demographics of attendees Topics of events, such as affordable housing or Fair Housing Develop an equitable housing plan Equitable housing plan developed and adopted. Disallow SFD in High Density R-3 Zone Ordinance developed and approved. Comparison of newly developed housing in R-3 with historical densities Maintain quality and support development of a new Ordinance developed and approved. manufactured home park Number of partnerships established to support preservation efforts. Amount of funding contributed to support preservation. Changes in manufactured park ownership Increase development capacity of MFR dwellings Ordinance developed and approved. Comparison of newly developed multifamily housing with historical densities Implement the Multiple Unit Property Tax Exemption Exemption developed and implemented (MUPTE) to support multifamily or affordable housing Number of inquiries about tax exemption Number of projects (and units) granted tax exemption Preserve and improve existing low-cost, unregulated, Amount of funding used for rehabilitation or preservation rental housing Number of units where funding was given for rehabilitation or preservation New partnerships established or expanded for preservation Work with partners to support development of New partnerships established or expanded additional permanent supportive housing Number of permanently supportive housing projects (and units) developed Evaluate opportunities to improve energy efficiency Number of new ordinances or policies that encourage energy and reduce GHG emissions during housing efficiency development Number of new housing units developed under those policies. Establish a Construction Excise Tax Ordinance adopted Plan developed for the use of CET funds. Use of CET funds Number and types of units developed supported by CET; affordability levels Evaluate using Urban Renewal Urban Renewal Plan developed and adopted Amount of funding investments made with urban renewal dollars to support affordable housing Number of all units and of affordable units built using urban renewal dollars ECONorthwest Ashland Housing Production Strategy 47 Identify additional funds to support the Affordable Additional funding sources identified. Housing Trust Fund Amount of additional funding directed to the Affordable Housing Trust Fund. Use of AHTF funds Number and types of units developed supported by AHTF; affordability levels In addition, the City could monitor current market conditions to help the Council understand the context in which the overall Housing Production Strategy is operating: Number and type of new homes produced and total within the city over time - tenure, size, sales price/asking rent, and unit type Share of rent-burdened residents Sales prices and rents for existing homes Number, location, and expiration date of regulated affordable units with change in units provided over time When Ashland produces its next HPS in eight years, the City will be required to summarize the efficacy of each action included in this HPS. The information resulting from these measures will help Ashland to summarize the outcomes and efficacy of the actions in this HPS. ECONorthwest Ashland Housing Production Strategy 48 Appendix A: Contextualizing Ashland’s Housing Needs This chapter provides information to contextual¯À«Ɏ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹ȌɎ(ºɎ¶¸µ¼¯ª«¹Ɏ§´Ɏ understanding of the issues, before solutions are proposed. This appendix draws its information and findings from other planning efforts, described in the main report. Where appropriate, this appendix also draws on informat¯µ´Ɏ­§º®«¸«ªɎº®¸µ»­®Ɏº®«Ɏ"¯º¿Ɏµ¬Ɏ ¹®²§´ªȟ¹Ɏ¶§¹ºɎ«´­§­«³«´ºɎ efforts with housing producers and consumers, including underrepresented communities. ¹Ɏ§Ɏ¶§¸ºɎµ¬Ɏ¶¸µ¼¯ª¯´­Ɏ©µ´º«¾ºɎºµɎ¨«ºº«¸Ɏ»´ª«¸¹º§´ªɎ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹ȍɎº®¯¹Ɏ§¶¶«´ª¯¾Ɏ presents information about housing in Ashland for race, ethnicity, age, disability status, and other characteristics of the community to understand disproportionate housing impacts on different groups. Demographic and Socio-Economic Characteristics Affecting Ashland’s Housing Needs This section describes unmet housing needs for people in Ashland by age, race and ethnicity, disability, household size and composition, and household income. Data Used in this Analysis Throughout this analysis data is used from multiple well-recognized and reliable data sources. One of the key sources for housing and household data is the U.S. Census. This report primarily uses data from two Census sources: 23 The Decennial Census, which is completed every ten years and is a survey of all households in the U.S. The Decennial Census is considered the best available data for information such as demographics (e.g., number of people, age distribution, or ethnic or racial composition), household characteristics (e.g., household size and composition), and housing occupancy characteristics. As of 2020, the Decennial Census does not collect It is worth commenting on the methods used for the American Community Survey. The American Community 23 Survey (ACS) is a national survey that uses continuous measurement methods. It uses a sample of about 3.54 million households to produce annually updated estimates for the same small areas (census tracts and block groups) formerly surveyed via the decennial census long-form sample. It is also important to keep in mind that all ACS data §¸«Ɏ«¹º¯³§º«¹Ɏº®§ºɎ§¸«Ɏ¹»¨°«©ºɎºµɎ¹§³¶²«Ɏ¼§¸¯§¨¯²¯º¿ȌɎ3®¯¹Ɏ¼§¸¯§¨¯²¯º¿Ɏ¯¹Ɏ¸«¬«¸¸«ªɎºµɎ§¹ɎȠ¹§³¶²¯´­Ɏ«¸¸µ¸ȡɎ§´ªɎ¯¹Ɏ«¾¶¸«¹¹«ªɎ §¹Ɏ§Ɏ¨§´ªɎµ¸ɎȠ³§¸­¯´Ɏµ¬Ɏ«¸¸µ¸ȡɎȘ,.$șɎ§¸µ»´ªɎº®«Ɏ«¹º¯³§º«ȌɎ This report uses Census and ACS data because, despite the inherent methodological limits, they represent the most thorough and accurate data available to assess housing needs. We consider these limitations in making interpretations of the data and have strived not to draw conclusions beyond the quality of the data. ECONorthwest Ashland Housing Production Strategy 49 more detailed household information, such as income, housing costs, housing characteristics, and other important household information. The American Community Survey (ACS), which is completed every year and is a sample of households in the U.S. The ACS collects detailed information about households, including demographics (e.g., number of people, age distribution, ethnic or racial composition, country of origin, language spoken at home, and educational attainment), household characteristics (e.g., household size and composition), housing characteristics (e.g., type of housing unit, year unit built, or number of bedrooms), housing costs (e.g., rent, mortgage, utility, and insurance), housing value, income, and other characteristics. This report primarily uses data from the 2014-2018 and 2015-2019 ACS for Ashland and comparison areas. Where information is available and relevant, we report information from 24 the 2000 and 2010 Decennial Census. Among other data points noted throughout this analysis, 25 º®¯¹Ɏ¸«¶µ¸ºɎ§²¹µɎ¯´©²»ª«¹Ɏª§º§Ɏ¬¸µ³Ɏ.¸«­µ´ȟ¹Ɏ'µ»¹¯´­Ɏ§´ªɎ"µ³³»´¯º¿Ɏ2«¸¼¯©«¹Ɏ#«¶§¸º³«´ºȍɎº®«Ɏ United States Department of Housing and Urban Development, Costar, and other sources. Age of People in Ashland Population growth is the primary driver of growth in housing. Between 2000 and 2021, ¹®²§´ªȟ¹Ɏ¶µ¶»²§º¯µ´Ɏ­¸«½Ɏ¨¿ɎŵȍųŶŵɎ¶«µ¶²«ɎȘŴųƳ) with most of the growth occurring between ŵųŴųɎ§´ªɎŵųŵŴɎ½®«¸«Ɏ ¹®²§´ªȟ¹Ɏ¶µ¶»²§º¯µ´Ɏ­¸«½Ɏ¨¿ɎŴȍŷźŹɎ´«½Ɏ¸«¹¯ª«´º¹ȌɎ!«º½««´ɎŵųųųɎ§´ªɎ 2021, Ashland grew at a slower rate than Jackson County. 26 &¸µ½º®Ɏ¯´Ɏ ¹®²§´ªȟ¹Ɏ¹«´¯µ¸Ɏ¶µ¶»²§º¯µ´ȍɎ§¹Ɏ½«²²Ɏ§¹ other age cohorts, will continue to shape the ©¯º¿ȟ¹Ɏ®µ»¹¯´­Ɏ´««ª¹ȌɎ2«´¯µ¸¹Ɏ§©©µ»´ºɎ¬µ¸ɎŶŴƳɎµ¬Ɏ ¹®²§´ªȟ¹Ɏ«¾¯¹º¯´­Ɏ¶µ¶»²§º¯µ´Ɏ§´ªɎ)§©±¹µ´Ɏ County expects to have more than 18,458 more people over 60 years old by 2040 than in 2020. 27 Growth in the number of seniors will result in demand for housing types specific to seniors, such as small and easy-to-maintain dwellings, assisted living facilities, or age-restricted developments. Senior households will make a variety of housing choices, including remaining in their homes as long as they are able, downsizing to smaller single-family homes (detached Five-year 2020 ACS data was not available when this report was compiled. 24 The 2020 Census was completed at the end of 2020. However, extenuating circumstances brought on by the 25 COVID-19 pandemic has led to some challenges with the data. The Census Bureau is undergoing a post-enumeration survey to understand the accuracy of the 2020 Census which was not complete as of February 2022. The 2020 Decennial Census data is more limited than usual as a result of the COVID-19 pandemic. Certified Population Estimates July 1, 2021, prepared by the Population Research Center at Portland State 26 University. Final Population Forecast for Jackson County, prepared by the Population Research Center at Portland State 27 University, June 20, 2017. ECONorthwest Ashland Housing Production Strategy 50 and attached) or multifamily units, moving in with family, or moving into group housing (such as assisted living facilities or nursing homes), as their health declines. 50% of AshlandÔs Exhibit 18. Population Distribution by Age, Ashland, Jackson County, residents were between and Oregon, 2014-2018 the ages of 20 and 59 Source: U.S. Census Bureau, 2014-2018 ACS, Table B01001. years. Ashland had a larger share of people over the age of 60 than the county and state and a smaller share of residents under the age of 20. About 55% of AshlandÔs Exhibit 19. Population by Age and Sex, Ashland, 2015Ï2019 Source: U.S. Census Bureau, 2014Ï2018 ACS, Table B01001. population is female and 45% is male. Females account for a larger share of population among each age group, with the largest different for people 60 years and older. ECONorthwest Ashland Housing Production Strategy 51 There are more females Exhibit 20. Population Distribution by Sex for in every age group than Each Age Group, Ashland, 2015-2019 males. Source: U.S. Census Bureau, 2015-2019 ACS, Table B01001. Between 2000 and Exhibit 21. Population Growth by Age, Ashland, 2000, 2014Ï2018 2018, the population Source: U.S. Census Bureau, 2000 Decennial Census Table P012 and 2014Ï2018 ACS, Table B01001. aged 60 and older grew B01001. the most. In this time, those aged 60 years and older grew by 2,909 people (from 3,509 people in 2000 to 6,499 people in 2018). ECONorthwest Ashland Housing Production Strategy 52 Race and Ethnicity Understanding the race and ethnicity characteristics in Ashland is important for 28 understanding housing needs because people of color often face discrimination when looking for housing. Exhibit 22. Population by Race/Ethnicity, Ashland, 2015-2019 About 3,000 people identify as a raceor Source: U.S. Census Bureau, 2015-2019 ACS, Table B03002. ethnicity other than White, non-Hispanic in Ashland. Nearly 1,500 people identify as Latino. Not shown in the exhibit are the 18,065 people identifying as White, non- Hispanic in Ashland. Residents who identify as Exhibit 23. Population Distribution by Race and Ethnicity, Ashland, Latino (of any race) 2015-2019 account for 7% of Source: 2015-2019 ACS, Table B03002. AshlandÔs population. The largest racial group in Ashland besides White, non-Hispanic are Two or More Races accounting for 3% of AshlandÔs population. Not shown in the exhibit, is about 86% of AshlandÔs population and 81% of the Jackson CountyÔs population identifying as White, non-Hispanic. The U.S. Census Bureau considers race and ethnicity as two distinct concepts. Latino is an ethnicity and not a race, 28 meaning individuals who identify as Latino may be of any race. ECONorthwest Ashland Housing Production Strategy 53 The share of AshlandÔs Exhibit 24. Change in Population by Race and Ethnicity as a Percent households that identified of the Total Population, Ashland, 2010 and 2015Ï2019 as Latino (of any race) Source: U.S. Census Bureau, 2010 Decennial Census Table P005001, 2015Ï2019 ACS Table B03002. increased from 1,028 people in 2010 to 1,494 people in 2018, consistent with regional trends. ECONorthwest Ashland Housing Production Strategy 54 People with a Disability People with one or more disabilities have special housing needs because they may need housing that is physically accessible, housing that meets the needs of people with cognitive disability, or housing with specialized services. ¨µ»ºɎŴųƳɎµ¬Ɏ ¹®²§´ªȟ¹Ɏ¶µ¶»²§º¯µ´Ɏ®§¹Ɏµ´«Ɏµ¸Ɏ³µ¸«Ɏª¯¹§¨¯²¯º¯«¹ɎȘ§¨µ»ºɎŵȍŴųųɎ¶«µ¶²«șȌɎ Exhibit 25. Persons Living with a Disability by Type and as a Percent of Total Population, Ashland, Jackson County, Oregon, 2014-2018 Source: U.S. Census Bureau 2014-2018 ACS, Table S1810. ECONorthwest Ashland Housing Production Strategy 55 Household Size and Composition Housing need varies by household size and composition. The housing needs of a single-person household are different than those of a multi-­«´«¸§º¯µ´§²Ɏ¬§³¯²¿ȌɎ.´Ɏ§¼«¸§­«ȍɎ ¹®²§´ªȟ¹Ɏ ®µ»¹«®µ²ª¹Ɏ§¸«Ɏ¹³§²²«¸Ɏº®§´Ɏ)§©±¹µ´Ɏ"µ»´º¿ȟ¹Ɏ§´ªɎ.¸«­µ´ȟ¹ȌɎɎ AshlandÔs average Exhibit 26. Average Household Size, Ashland, Jackson County, household size was smaller Oregon, 2014-2018 than Jackson CountyÔs and Source: U.S. Census Bureau, 2014-2018 ACS 5-year estimate, Table B25010. 2.06 Persons 2.41 Persons 2.51 Persons OregonÔs. Ashland Jackson CountyOregon Ashland had a larger share Exhibit 27. Household Size, Ashland, Jackson County, and Oregon, of one-person households 2014-2018 compared to the County and Source: U.S. Census Bureau, 2014-2018 ACS 5-year estimate, Table B25010. State. ECONorthwest Ashland Housing Production Strategy 56 Ashland has a larger share Exhibit 28. Household Composition, Ashland, JacksonCounty, and of households with adults Oregon, 2015-2019 only that live alone or with Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table DP02. others (non-couples) than Jackson County and Oregon. About 19% of AshlandÔs households have children, compared with 25% of Jackson County households and 25% of Oregon households. ECONorthwest Ashland Housing Production Strategy 57 Overcrowding Overcrowding occurs when the relatively high cost of housing either forces a household to double-up with another household or live in a smaller housing unit to afford food and other basic needs. An overcrowded household is defined by the Census as one with more than one person per room, excluding bathrooms, kitchens, hallways, and porches. Severely overcrowded households are households with more than 1.5 persons per room. Overcrowding can indicate that community does not have adequate supply of affordable housing, especially for larger families. Approximately 2.6% of all Exhibit 29. Overcrowding by Tenure, City of Ashland, 2015-2019 renter households (118 Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B25014. households) in Ashland are overcrowded. No owner households are overcrowded. ECONorthwest Ashland Housing Production Strategy 58 Household Income Income is one of the key dete¸³¯´§´º¹Ɏ¯´Ɏ®µ»¹¯´­Ɏ©®µ¯©«Ɏ§´ªɎ®µ»¹«®µ²ª¹ȟɎ§¨¯²¯º¿ɎºµɎ§¬¬µ¸ªɎ housing. Income for residents living in Ashland was slightly lower than the Jackson County ³«ª¯§´Ɏ®µ»¹«®µ²ªɎ¯´©µ³«Ɏ§´ªɎº®«Ɏ¹º§º«ȟ¹Ɏ³«ª¯§´Ɏ®µ»¹«®µ²ªɎ¯´©µ³«ȌɎɎ Median household income or median earning data is available for many groups of people, as shown in the exhibits below, but is not available by sex at the city level. Median earnings is available by sex for the U.S. as a whole. On average, median earnings for males is $52,989, ©µ³¶§¸«ªɎ½¯º®ɎǻŷŶȍŵŴŸɎ¬µ¸Ɏ¬«³§¯²¹ȍɎǻżȍźźŷɎ²«¹¹Ɏº®§´Ɏ³§²«¹ȟɎ¯´©µ³«¹Ɏµ´Ɏ§¼«¸§­«Ȍ 29 AshlandÔs median Exhibit 30. Median Household Income, Ashland, Jackson County, household income Oregon, Comparison Cities, 2015-2019 ($56,315) was similar to Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B25119. the countyÔs, but about $6,500 less than the stateÔs median household income (MHI). U.S. Census Bureau, 2019 ACS 1-year estimate, Table S2002. 29 ECONorthwest Ashland Housing Production Strategy 59 45%of all households in Exhibit 31. Household Income Distribution, Ashland, JacksonCounty, Ashland earned less than Oregon, 2015-2019 $50,000, compared to Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B19001. 47% of Jackson County households, and 40% of Oregon households. Ashland has more households earning $75,000+ compared to Jackson County. Exhibit 32. Median Household Income by Household Size, Ashland, Median household income in Ashland tends to Jackson County, 2015-2019 increase with household Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B19019 Note: Exhibit 32 displays median household income for households in Ashland, with size and peaks with 5- Jackson County information providing additional context. Data for 6- and 7-person person households. households was not available at the City level. ECONorthwest Ashland Housing Production Strategy 60 In Ashland, households Exhibit 33. Median Household Income by Age with a householder under Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B19049. the age of 45 make less than the city median income. Household income peaks between ages 45 and 65 and declines after age 65. Forty-four percent of Exhibit 34. Household Income Distribution for Householders Aged 65 households with a head of Years and Older, Ashland, 2015-2019 householder aged 65 or Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B19037. older earned less than $50,000 per year. ECONorthwest Ashland Housing Production Strategy 61 Latino and some other Exhibit 35. Median Household Income by Raceand Ethnicityforthe race alone households had Head of Household, Ashland, 2015-2019 incomes below the CityÔs Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table S1901. Note: Black/African American, American Indian/Alaska Native, Asian, and two or median. more races were not included for Ashland due to high margins of error. Black bars denote the potential upper and lower bound of the estimate using the margin of error reported by the Census. ECONorthwest Ashland Housing Production Strategy 62 Exhibit 36 to Exhibit 38 compare household income for POC households with White non- Hispanic households to show disparities in come levels. The income levels shown in these graphs are the same used throughout this report: Extremely Low Income: Less than 30% MFI Very-Low Income: 30% to 50% of MFI Low Income: 50% to 80% of MFI Middle Income: 80% to 120% of MFI High Income: 120% of MFI or more Households headed by a Exhibit 36. Household Income by Income Grouping POC, White non- person of color were more Hispanic, and All Households, Ashland, 2014-2018 likely to be low income Source: CHAS, Table 2. Note: POC category includes Hispanic. than the average household in Ashland. About 48% of households headed by a person of color had an income below 80% median family income compared to 37% of households with a head of household who identifies as White. ECONorthwest Ashland Housing Production Strategy 63 Over 50% of all renter Exhibit 37. Renter Income by Income Grouping for POC, White non- households make below Hispanic, and All Households, Ashland, 2014-2018 80% MFI (have low, very Source: CHAS, Table 2. Note: POC category includes Hispanic. low, or extremely low income). Sixty-two percent of POC renter households are low income compared to 54% of White households. Nearly 70% of POC Exhibit 38. Comparison by Tenure and Income POC, White non- households are renters Hispanic, and All Households, Ashland, 2014-2018 compared to 44% of White Source: CHAS, Table 2. Note: POC category includes Hispanic. households. Over 40% of POC households that rent are low income. ECONorthwest Ashland Housing Production Strategy 64 Housing Market Conditions and Trends An analysis of housing market conditions and trends in Ashland provides insight into the functioning of the local housing market. The housing types used in this analysis are consistent with needed housing types as defined in ORS 197.303: Single-family detached includes single-family detached units, manufactured homes on lots and in mobile home parks, and accessory dwelling units. Single-family attached is all structures with a common wall where each dwelling unit occupies a separate lot, such as row houses or townhouses. Multifamily is all attached structures (e.g., duplexes, tri-plexes, quad-plexes, and structures with five or more units) other than single-family detached units, manufactured units, or single-family attached units. This analysis groups multifamily units into two sub-categories: (1) duplexes, triplexes, and quadplexes and (2) multifamily units in buildings with five or more units per structure. Existing Housing Stock According to the 2014-2018 American Community Survey (ACS) from the U.S. Census, Ashland had 10,705 dwelling units, an increase of 1,634 dwelling units from 2000. Most new units built were single-family units. About 66% of AshlandÔs Exhibit 39. Housing Mix, Ashland, Jackson County, and Oregon, housing stock was single-2014-2018 family detached housing. Source: U.S. Census Bureau, 2014-2018 ACS Table B25024. Ashland had a larger share of multifamily housing than Jackson County. Exhibit 40 shows the types of dwelling units by race and ethnicity in Ashland. It shows that households that identified as Asian Alone were most likely to live in single-family detached housing (78%). Households that identified as Black/African American Alone or Some other Race ECONorthwest Ashland Housing Production Strategy 65 Alone were most likely to live in multifamily housing. Of any race, about 41% of the households that identified as Latino lived in single-family detached housing. Exhibit 40 includes an indication of margin of «¸¸µ¸ɎȘº®«ɎȠ½®¯¹±«¸ȡɎ²¯´«¹Ɏ¹®µ½´Ɏ¯´Ɏº®«Ɏ­¸§¶®șȌɎ The number of people of color in Ashland is relatively small. Exhibit 22 shows that groups like Black or American Indian include a small number of people living in Ashland. Exhibit 40 shows a high margin of error in the data for these grµ»¶¹ȍɎ½¯º®Ɏ«¯º®«¸Ɏ§Ɏ²µ´­ɎȠ½®¯¹±«¸ȡɎ²¯´«Ɏµ¸Ɏ§´Ɏ asterisk (*) to indicate that the margin of error exceeds 50% (indicating high uncertainty about the data). The take-away point from Exhibit 40 is that some people of color (not including Asians) are more likely to live in multifamily housing than the Ashland average in Exhibit 39, which shows that 14% of households live in multifamily housing. Exhibit 40. Occupied Housing Structure by Race and Ethnicity, Ashland, 2014-2018 Source: U.S. Census Bureau, 2014-2018 ACS Table B25032 A-I. Note: Margin of errors marked with an asterisk (*) indicate the value exceeds 50%. ECONorthwest Ashland Housing Production Strategy 66 Housing Tenure Housing tenure describes whether a dwelling is owner- or renter-occupied. In the 2014-2018 ¶«¸¯µªȍɎ§¨µ»ºɎŸŷƳɎµ¬Ɏ ¹®²§´ªȟ¹Ɏ®µ»¹¯´­Ɏ¹ºµ©±Ɏ½§¹Ɏµ½´«¸Ɏµ©©»¶¯«ªɎ§´ªɎŷŹƳɎ½§¹Ɏ¸«´º«¸Ɏ µ©©»¶¯«ªȌɎ ¹®²§´ªȟ¹Ɏ®µ³«µ½´«¸¹®¯¶Ɏ¸§º«Ɏ¯´©¸eased by two percentage points since 2000. Ashland had a lower Exhibit 41. Tenure, Occupied Units, Ashland, Jackson County, and homeownership rate than Oregon, 2014-2018 Jackson County and Source: U.S. Census Bureau, 2014-2018 ACS 5-Year Estimates, Table B24003. Oregon. The majority of Exhibit 42. Housing Units by Type and Tenure, Ashland, 2014-2018 homeowners (88%) lived in Source: U.S. Census Bureau, 2014-2018 ACS Table B25032. single-family detached housing. In comparison, less than half of AshlandÔs renters (40%) lived in single-family detached housing; over half lived in some form of multifamily housing (51%). ECONorthwest Ashland Housing Production Strategy 67 AshlandÔshomeownership Exhibit 43. Housing Tenure by Age of the Head of Household, rate increased with the age Ashland, 2015-2019 of the household. Source: U.S. Census Bureau, 2015-2019 ACS Table B25007. In Ashland, about 75% of householders sixty years of age or older owned their homes. Households of color are Exhibit 44. Tenure by Race and by Ethnicity, Ashland, 2014-2018 more likely to rent their Source: U.S. Census Bureau, 2014-2018 ACS Table B25003A-I. Black bars denote the potential upper and lower bound of the estimate using the margin of error housing than White reported by the Census. Margin of errors marked with an asterisk (*) indicate the households. value exceeds 50%. ECONorthwest Ashland Housing Production Strategy 68 Rent-Restrictedand Emergency Housing There are 10 government-assisted housing developments in Ashland with a total of 267 dwelling units. Over three quarters of the 267 dwelling units (79%) are units with one- or two- ¨«ª¸µµ³¹ȌɎ ¨µ»ºɎŵŹɎµ¬Ɏ ¹®²§´ªȟ¹Ɏ¸«´ºɉ¸«¹º¸¯©º«ªɎª½«²²¯´­Ɏ»´¯º¹ɎȘŴųƳșɎ½«¸«Ɏ²§¸­«¸Ɏ»´¯º¹Ɏ½¯º®Ɏ three- or four-bedrooms. Ashland had approximately 10,705 dwelling units in the 2014-2018 period. Rent-restricted units §©©µ»´º«ªɎ¬µ¸Ɏ§¨µ»ºɎŵȌŸƳɎµ¬Ɏ ¹®²§´ªȟ¹Ɏºµº§²Ɏ®µ»¹¯´­Ɏ¹ºµ©±ȌɎ In addition, the following government-assisted housing developments are under development or recently completed in Ashland: Snowberry Brook 2, which has 60 units of affordable housing Rogue Ridge, which has 30 units of affordable housing These new developments increase the affordable housing in Ashland by 90 units, bringing the total to 357 units of affordable housing in Ashland. Exhibit 45. Government-Assisted Housing, Ashland, 2019 Source: Oregon Health and Human Services, Affordable Housing Inventory in Oregon. People experiencing homelessness in Ashland have access to 198 emergency shelter beds (84 of which are voucher/seasonal/overflow beds), 272 transitional shelter beds, and 538 permanently supportive housing beds. ECONorthwest Ashland Housing Production Strategy 69 Exhibit 46. Facilities and Housing Targeted to Households Experiencing Homelessness in Ashland, 2020 Source: AshlandÔs 2020-2024 Consolidated Plan. Manufactured Homes Manufactured homes provide a source of affordable housing in Ashland. They provide a form of homeownership that can be made available to low- and moderate-income households. Cities are required to plan for manufactured home¹Ɍ¨µº®Ɏµ´Ɏ²µº¹Ɏ§´ªɎ¯´Ɏ¶§¸±¹ɎȘ.12ɎŴżźȌŷźŸɉŷżŵșȌɎ Ashland has five manufactured home parks within its UGB. Within these parks, there are a total of 255 spaces (of which 21 spaces were vacant as of November 2020). Exhibit 11. Inventory of Mobile/Manufactured Home Parks, Ashland UGB, 2020 Source: Oregon Manufactured Dwelling Park Directory. ECONorthwest Ashland Housing Production Strategy 70 PeopleExperiencing Homelessness ©©µ¸ª¯´­ɎºµɎ'4#ȟ¹ɎŵųŵŴɎ ´´»§²Ɏ'µ³«²«¹¹Ɏ ssessment Report (AHAR), across the United States, the number of people experiencing sheltered homelessness has been decreasing since 2015, but the drop between 2020 and 2021 was steeper than in recent years. It is likely that 30 some of this decline is due to COVID-related precautions that resulted in fewer beds available (due to the need to have more space between beds). Other factors include people being unwilling to use shelter beds due to health risks as well as eviction moratoria and stimulus payments which may have prevented people from needing emergency shelter. Pandemic-related disruptions to unsheltered homelessness counts made it difficult to determine if this population is increasing or decreasing in communities. Many communities chose not to conduct unsheltered PIT counts due to the risk of increasing COVID-19 transmission. While the communities that conducted unsheltered counts seem to indicate that this population did not increase, trends on unsheltered homelessness are known for only half of communities. The Oregon Statewide Homelessness Estimates 2021 report from the Oregon Housing and "µ³³»´¯º¿Ɏ2«¸¼¯©«¹Ɏ¶¸«¹«´º«ªɎº½µɎ©µ»´º¹Ɏ¯´Ɏº®«¯¸Ɏ¸«¶µ¸ºɎɋɎ«¹º¯³§º«ªɎ§´ªɎ¸«¶µ¸º«ªɎ©µ»´º¹ȌɎ3®«Ɏ estimated counts were developed to address concerns that data limitations imposed by the COVID-19 pandemic resulted in an undercount. This report uses the estimated count. 31 3®«Ɏ¬µ²²µ½¯´­Ɏ«¾®¯¨¯º¹Ɏ¶¸µ¼¯ª«Ɏ³µ¸«Ɏ²µ©§²¯À«ªɎ«¹º¯³§º«¹Ɏµ¬Ɏ®µ³«²«¹¹´«¹¹Ɏ¯´Ɏ ¹®²§´ªȟ¹Ɏ¸«­¯µ´ȌɎ Jackson CountyÔs Point-in-Exhibit 47. Number of Persons Homeless, Jackson County, Point- Time Homeless count in-Time Count, 2015, 2019, and 2020 increased by 31% from Source: Oregon Housing and Community Services and Annual Homeless Assessment Report (AHAR) data. 2017 to 2021. Note: OHCS reported two counts in 2021 Ï estimated and reported counts. This report uses the estimated counts. 633 Persons 712 Persons 831 Persons 201720192021 The U.S. Department of Housing and Urban Development (2021). The 2021 Annual Homeless Assessment Report 30 (AHAR) to Congress. Office of Community Planning and Development. The reported count for sheltered homelessness is what was collected/reported while the estimated count is the largest 31 sheltered count reported during 2019-2021 in Jackson County. For unsheltered, the 2021 PIT count is not available for all counties, so the report modeled it by adding the predicted 2019-2021 change, determined through analysis of past trends and other homelessness data, to the 2019 PIT count. ECONorthwest Ashland Housing Production Strategy 71 In 2021, an estimated 831 Exhibit 48. Point-in-Time Homelessness Estimates, Ashland, people experienced Jackson County CoC, 2017-2021 homelessness in Jackson Source: Oregon Housing and Community Services and Annual Homeless Assessment Report (AHAR) data. County, the majority of Note: OHCS reported two counts in 2021 Ï estimated and reported counts. This report uses which were unsheltered. the estimated counts. Oregon Housing and Community Services presented two counts in 2021 Ï estimated and reported counts. The estimated counts were developed to address concerns that data limitations imposed by the COVID-19 pandemic resulted in an undercount. This report uses the estimated count. About 10% of people experiencing homelessness in Jackson County are in Ashland. From the 2018-19 school Exhibit 49. Students Homeless by Living Situation, Ashland School year to the 2019-20 school District, 2018-2019 and 2019-2020 year, student homelessness Source: McKinney Vento, Homeless Student Data. decreased from 135 students to 125 students, a decrease of 10 students. Of the 125 students in 2019-20 experiencing homelessness, 24 were unaccompanied. ECONorthwest Ashland Housing Production Strategy 72 Based on the OregonÔs Exhibit 50. Estimate of Future Housing Need for People Regional Housing Capacity Experiencing Homelessness, Ashland, 2020 to 2040 Analysis, Ashland will need Source: From the Report Implementing a Regional Housing Capacity Analysis Methodology in Oregon: Approach, Results, and Initial Recommendations by ECONorthwest, August 2020. about 310 housing units to 310 Dwelling Units16Dwelling Units accommodate people experiencing homelessness in the 2020-2040 period. New Units Needed for People Annual Average Experiencing Homelessness (2020- 2040) Housing Affordability Considerations This section describes changes in sales prices, rents, and housing affordability in Ashland and a comparison of geographies. Both housing sale prices and rents have increased steadily in Ashland and the greater region over the last several years. Housing Sale Prices AshlandÔs median home Exhibit 51. Median Home Sale Price, Ashland and Comparison sales price was higher than Cities, November 2021 Ï January 2022 most other Southern Oregon Source: Southern Oregon Multiple Listing Service. submarkets. ECONorthwest Ashland Housing Production Strategy 73 Themedian price of a home Exhibit 52. Median Sales Price, Ashland, and Comparison Cities, in Ashland increased 33% 2018 through 2022 from $415,000 in the Source: Southern Oregon Multiple Listing Service. November 2018 to $550,000 in November 2021. Increases in other comparable cities over the same period ranged from $80,000 (Northwest Medford) to $146,000 (Phoenix). ECONorthwest Ashland Housing Production Strategy 74 Rental Costs The median gross rent in Ashland was $1,085 in the 2015-2019 period, up from $582 in 2000. However, additional research shows that asking rents for currently available rental properties in Ashland in December 2020 were $1,145 to $1,560 for a 2-bedroom unit and $1,595 to $1,995 for a 3-bedroom unit. 32 Exhibit 53. Median Gross Rent, Ashland, Jackson County, Oregon, According to the 2015-2019 ACS, the median rent in and Comparison Cities, 2015-2019 Ashland was similar to the Source: U.S. Census Bureau, 2015-2019 ACS 5-year estimate, Table B25064. median rent in Jackson County as a whole. CMP Real Estate Services, Inc., December 2020. 32 ECONorthwest Ashland Housing Production Strategy 75 Housing Cost Burden Financially attainable housing costs for households across the income spectrum in Jackson County are identified in In Ashland, a household would need to earn $137,000 to $157,000 (187% to 215% of MFI for a family of four) to afford the median sales price of a home in Ashland. A household would need to earn about $62,000 (85% of MFI for a family of four) to afford the median gross rent ($1,550). Exhibit 54. For example, a household earning median family income in Jackson County (about $73,100 per year) can afford a monthly rent of about $1,830 or a home roughly valued between 33 $256,000 and $292,000 without cost burdening themselves. In Ashland, a household would need to earn $137,000 to $157,000 (187% to 215% of MFI for a family of four) to afford the median sales price of a home in Ashland. A household would need to earn about $62,000 (85% of MFI for a family of four) to afford the median gross rent ($1,550). Note that Median Family Income for the region is different than Median Household Income (MHI) for Ashland (see 33 Exhibit 27). MFI is determined by HUD for each metropolitan area and non-metropolitan county. It is adjusted by ¬§³¯²¿Ɏ¹¯À«ɎɋɎ¯´Ɏº®§ºȍɎŴųųƳɎ,%(Ɏ¯¹Ɏ§ª°»¹º«ªɎ¬µ¸Ɏ§Ɏ¬§³¯²¿Ɏµ¬ four. MHI is a more general term. MHI includes the income of the householder and all other individuals 15 years old and over in the household, whether they are related to the householder or not. ECONorthwest Ashland Housing Production Strategy 76 Exhibit 54. Financially Attainable Housing, by Median Family Income (MFI) for Jackson County ($73,100), Ashland, 2021 Source: U.S. Department of Housing and Urban Development, Jackson County, 2021. Oregon Employment Department. Because the local housing market cannot produce income-restricted, subsidized affordable ®µ»¹¯´­Ɏ§ºɎ¹»¬¬¯©¯«´ºɎ²«¼«²¹ɎɋɎ§´ªɎ¨«©§»¹«Ɏ¯ºɎ©§´´µºɎµ¬º«´Ɏ¶¸µª»©«Ɏ³¯ªª²«Ɏ¯´©µ³«Ƀ½µ¸±¬µ¸©«Ɏ housing without subsidy, many households in Ashland are cost burdened (as Exhibit 55 through Exhibit 60 show). A household is defined as cost burdened if their housing costs exceed 30% of their gross income. A household that spends 50% or more of their gross income on housing costs is said to be severely cost burdened. ECONorthwest Ashland Housing Production Strategy 77 Overall, about 46% of all Exhibit 55. Housing Cost Burden, Ashland, JacksonCounty, Oregon households in Ashland were and Other Comparison Cities, 2014-2018 cost burdened. Source: U.S. Census Bureau, 2014-2018 ACS Tables B25091 and B25070. Ashland had a higher share of cost burdened households compared to Jackson County and the state. Exhibit 56. Change in Housing Cost Burden, Ashland, 2000 to From 2000 to the 2014- 2018 period, the number of 2014- 2018 cost-burdened and severely Source: U.S. Census Bureau, 2000 Decennial Census, Tables H069 and H094 and 2014-2018 ACS Tables B25091 and B25070. cost-burdened households increased slightly. ECONorthwest Ashland Housing Production Strategy 78 Renters were much more Exhibit 57. Housing Cost Burden by Tenure, Ashland, 2014-2018 likely to be cost burdened Source: U.S. Census Bureau, 2014-2018 ACS Tables B25091 and B25070. than homeowners in Ashland. About 63% of AshlandÔs renters were cost burdened or severely cost burdened, compared to 31% of homeowners. About 35% of AshlandÔs renters were severely cost burdened, meaning they paid 50% or more of their gross income on housing costs. Most households earning Exhibit 58. Cost Burdened Renter Households, by Household less than $50k are cost Income, Ashland, 2015-2019 burdened. Source: U.S. Census Bureau, 2015-2019 ACS Table B25074. ECONorthwest Ashland Housing Production Strategy 79 The difference in rates of Exhibit 59. Cost Burdened for POC, White non-Hispanic, and All cost burden for POC is Households, Ashland, 2014-2018 smaller than in many of Source: CHAS Table 9. OregonÔs communities. Part of the reason for this may be the small population of POC in Ashland. The difference in rates of Exhibit 60. Cost Burdened by Tenure for POC, White non-Hispanic, cost burden for POC, both and All Households, Ashland, 2014-2018 as renters and owners, is Source: CHAS Table 9. smaller than in many of OregonÔs communities. Part of the reason for this may be the small population of POC in Ashland. ECONorthwest Ashland Housing Production Strategy 80 Exhibit 61 to Exhibit 62 show cost burden in Oregon for renter households for seniors, people of color, and people with disabilities. This information is not readily available for a city with a 34 population as small as Ashland, which is why we present statewide information. These exhibits show that these groups experience cost burden at higher rates than the overall statewide average. Renters 65 years of age and Exhibit 61. Cost Burdened Renter Households, for People 65 Years older were of Age and Older, Oregon, 2018 disproportionately rent Source: S. Census, 2018 ACS 1-year PUMS Estimates. From the Report Implementing a Regional Housing Needs Analysis Methodology in Oregon: Approach, Results, and Initial burdened compared to the Recommendations by ECONorthwest, August 2020. state average. About 60% of renters aged 65 years and older were rent burdened, compared with the statewide average of 48% of renters. From the report Implementing a Regional Housing Needs Analysis Methodology in Oregon, prepared for Oregon 34 Housing and Community Services by ECONorthwest, March 2021. ECONorthwest Ashland Housing Production Strategy 81 Renters with a disability in Exhibit 62. Cost Burdened Renter Households,for People with Oregon were Disabilities, Oregon, 2018 disproportionately cost Source: S. Census, 2018 ACS 1-year PUMS Estimates. From the Report Implementing a Regional Housing Needs Analysis Methodology in Oregon: Approach, Results, and Initial burdened. Recommendations by ECONorthwest, August 2020. ECONorthwest Ashland Housing Production Strategy 82 Findings from Outreach and Engagement The City has conducted extensive engagement on housing related issues, including targeted outreach to students and low-income households. The full summary of recent engagement and community feedback is included as Appendix D. Based on the comments provided, it appears that off-campus housing in Ashland for SOU students is generally expensive and difficult to find. Many students are struggling to afford housing and are forced to take on multiple jobs or rely on financial aid in order to pay for rent. Some students have resorted to living in hotels or with roommates in order to save money. There is a lack of affordable apartment options in the area, and the high cost of rent often forces students to choose between affording housing or transportation. Some students have also reported being evicted or scammed while searching for housing on websites like Craigslist. Additionally, the feedback received indicates there are a number of unhoused college students in the area who are couch surfing or living in hotels due to the high cost of rent. It is suggested that increasing the supply of housing options in Ashland could potentially lower prices and make housing more affordable for students. Similarly, respondents to community questionnaires administered through an online format, through tabling events, and at the Annual Rent Burden forum, also identified housing price as the most pressing housing issue in Ashland. ECONorthwest Ashland Housing Production Strategy 83 Key Terms in the HPS This appendix presents applicable key terms us«ªɎ¯´Ɏ ¹®²§´ªȟ¹Ɏ"µ´º«¾º»§²¯À¯´­Ɏ'µ»¹¯´­Ɏ-««ª¹Ɏ report. Per the Department of Land Conservation and Development, the following key terms will be incorporated into the Definitions section of OAR 660-008 (if they are not already): Consumers of Needed Housing: any person who inhabits or is anticipated to inhabit -««ª«ªɎ'µ»¹¯´­ȍɎ§¹Ɏª«¹©¸¯¨«ªɎ¯´Ɏº®«Ɏª«¬¯´¯º¯µ´Ɏµ¬ɎȠ-««ª«ªɎ'µ»¹¯´­ȡɎ¯´Ɏ.12ɎŴżźȌŶųŶȌɎ Housing Production Strategy Report: the report cities must adopt within one year of their deadline to complete an updated Housing Capacity Analysis, pursuant to OAR 660-008-0050. Housing Production Strategy: a specific tool, action, policy, or measure a city will implement to meet the housing needs described in an adopted Housing Capacity Analysis. A Housing Production Strategy is one component of a Housing Production Strategy Report. Needed Housing: housing types determined to meet the need shown for housing within an urban growth boundary at particular price ranges and rent levels, including (but not limited to) renter and owner-occupied attached and detached single-family housing, multifamily housing, and manufactured homes. Producers of Needed Housing: developers, builders, service providers, or other persons or entities providing materials and funding needed to build housing. Producers of Needed Housing may include non-profit organizations or public entities. Unmet Housing Needed: occurs when housing need determined pursuant to subsection(3)(b) is greater than the housing capacity (i.e., buildable, residential land is insufficient to accommodate demand for housing). ECONorthwest Ashland Housing Production Strategy 84 Appendix B: Trends in Gentrification and Displacement Risk This appendix presents an analysis of trends in gentrification and displacement risk developed for Ashland as part of the HPS. DATE: July 18, 2022 TO: Brandon Goldman and Linda Reid FROM: Beth Goodman, Emmanuel Lopez, and Justin Sherrill SUBJECT: Trends in Gentrification and Displacement Risk in Ashland As the City of Ashland sets the stage for its Housing Production Strategy, staff are interested in understanding current trends in gentrification and displacement risk in Ashland. The Housing Production Strategy Project Team will use this information to inform potential actions that the "¯º¿Ɏ©µ»²ªɎº§±«ɎºµɎ³¯º¯­§º«Ɏº®«Ɏ¸¯¹±Ɏº®§ºɎº®«Ɏ©¯º¿ȟ¹Ɏ³µ¹ºɎ¼»²´«¸§¨²«Ɏ¶µ¶»²§º¯µ´¹Ɏ½µ»²ªɎ¨«Ɏ displaced from their housing. The initial, high-level results of our analysis reveal that: Highway 99 is a dividing line when it comes to socioeconomic vulnerability. In general, more vulnerable and gentrifying areas are to the north of the highway, and more stable or very late-stage gentrified areas to the south. Most Ashland residents live in neighborhoods that are not currently at risk of gentrification. Approximately 90% of households live in tracts that are either already gentrified or have remained demographically and economically unchanged since 2010. Ashland has a substantial number of households that are at-risk of displacement and vulnerable, especially in the northern parts of the city. 39% of Ashland households live in tracts that display high rates of socioeconomically vulnerability and risk of displacement should gentrification start occurring, such as people with less than a !§©®«²µ¸ȟ¹Ɏª«­¸««ȍɎ'¯¹¶§´¯©Ɏ¶µ¶»lation, and People of Color. In the following sections, we will examine results and trends in further detail. An overview of the methodologies used in this analysis are within this memorandum. ECONorthwest Ashland Housing Production Strategy 85 Analysis Methodology ECONorthwest conducted this analysis by combining two parallel models that look at 1) where º®«Ɏ©¯º¿ȟ¹Ɏ³µ¹ºɎ socioeconomically vulnerable populations are currently clustered and (2) where gentrification has been most rapidly advancing within Ashland since 2010. Within the socioeconomic model, we designed a model that identified the Southwestern .¸«­µ´Ɏ¸«­¯µ´ȟ¹Ɏ³µ¹ºɎª¯¹¶¸µ¶µ¸º¯µ´§º«²¿Ɏcost-burdened demographic groups (such as households with children present or households with people of color, or households with people with a disability) using 2016-2020 ACS PUMS data, then compiled Census tract-level estimates of these demographic groups. Within the gentrification model ȍɎ½«Ɏ»¹«ªɎ#¸ȌɎ+¯¹§Ɏ!§º«¹ȟɎŵųŴŻɎ­«´º¸¯¬¯©§º¯µ´Ɏ§´ªɎª¯¹¶²§©«³«´ºɎ methodology that the Portland Bureau of Planning and Sustainability (BPS) used for the city of Portland, which identifies areas in different stages of gentrification, from stable (low risk of gentrification) to early-stage gentrification to late-stage gentrification. The data we used was similar to the data Dr. Bates used but shifted over a few years for ease of accessibility, for example: rather than using decennial census, we used American Communities Surveys for the years of 2006-2010, 2011-2015, and 2016-2020. For housing market conditions, we utilized Property Radar data to capture median sale prices within a census tract for the years of 2010 and 2020. Exhibit 63. Bivariate Analysis Outline ECONorthwest Ashland Housing Production Strategy 86 Socioeconomic Vulnerability Methodology In this part of the analysis, ECONorthwest an¹½«¸¹Ɏº®«Ɏ·»«¹º¯µ´ȍɎȠ6®µɎ¯¹Ɏ³µ¹ºɎ²¯±«²¿ɎºµɎ¨«Ɏ displaced if housing market conditions were to ¬»¸º®«¸Ɏ§¶¶¸«©¯§º«Ɏ¯´Ɏ¶¸¯©«Ɏµ¸Ɏ¹º§¿Ɏº®«Ɏ¹§³«ȒȡɎ We began with identifying groups that are inequitably burdened by housing costs, meaning that these groups have higher rates of cost burden compared to all households. First, we ª«¼«²µ¶«ªɎ§Ɏ½«¯­®º«ªɎ¼»²´«¸§¨¯²¯º¿Ɏ¯´ª«¾¯´­Ɏ§´§²¿¹¯¹ȍɎ¨§¹«ªɎµ´Ɏ.¸«­µ´ȟ¹ɎŵųŴżɎ/»¨²¯©ɉ4¹«Ɏ Microdata Survey (PUMS) data at the state level to identify demographic groups that are unequally burdened by housing costs. This means º®§ºɎ§Ɏ­¯¼«´Ɏ­¸µ»¶ȟ¹Ɏ¹®§¸«Ɏµ¬Ɏº®«Ɏ¹º§º«ȟ¹Ɏ©µ¹ºɉ burdened households is greater than its total share of all state households. For example, households with a Hispanic/Latino head compri¹«ɎŻȌŹƳɎµ¬Ɏº®«Ɏ¹º§º«ȟ¹Ɏ®µ»¹«®µ²ª¹ȍɎ¨»ºɎŴŶȌŷƳɎµ¬Ɏ º®«Ɏ¹º§º«ȟ¹Ɏ©µ¹ºɉ¨»¸ª«´«ªɎ®µ»¹«®µ²ª¹ɎɋɎ§Ɏª¯¬¬«¸«´©«Ɏµ¬ɎŷȌŻƳɎ¶µ¯´º¹ȌɎɎ Our analysis identified six demographic groups that were most disproportionately burdened: Households with children present People of Color (neither White non-Hispanic, nor Hispanic/Latino people are included in this group) People of Hispanic/Latino origin, any race People five years and older with limited English proficiency (LEP) People with one or more disabilities /«µ¶²«ɎŵŸɎ¿«§¸¹Ɏ§´ªɎµ²ª«¸Ɏ½®µɎ®§¼«Ɏ§´Ɏ«ª»©§º¯µ´§²Ɏ§ºº§¯´³«´ºɎµ¬Ɏ²«¹¹Ɏº®§´Ɏ§Ɏ!§©®«²µ¸ȟ¹Ɏ degree Disproportionate cost burdening varies across the state. To capture this variation, ECONorthwest compared disproportionate cost burdening among these groups for six geographic areas of the state and compared levels of disproportionate cost burden among the demographic groups for Census tracts in Ashland with state and regional results. 35 The result of this analysis is identification of Census tracts with lower and higher percentages of people in vulnerable groups. Census tracts with higher vulnerability levels would indicate places where it is more likely that not only current, but where future housing cost burdening and possible displacement are more likely to occur. ECONorthwest rank-ordered vulnerable demographic groups by six geographic areas of the state. We used the 35 rank (1 through 6) as a weighting factor. Based on this rank-ordered list, we next used tract-level 2019 ACS estimates µ¬Ɏ§²²Ɏ¹¯¾Ɏª«³µ­¸§¶®¯©Ɏ­¸µ»¶¹ɎºµɎ©§²©»²§º«Ɏ«§©®Ɏº¸§©ºȟ¹Ɏ¶«¸©«´º§­«Ɏµ¬Ɏ¯º¹Ɏ¸«­¯µ´ȟ¹Ɏºµº§²Ɏ´»³¨«¸Ɏµ¬Ɏ¼»²´«¸§¨²«Ɏ­¸µ»¶¹ȌɎ This share was then converted to decile ranks, and each decile rank was multiplied by the rank-ordered weighting ¬§©ºµ¸ȌɎ3®«¹«ɎȠ¹©µ¸«¹ȡɎ½«¸«Ɏº®«´Ɏ¹»³³«ªɎ¬µ¸Ɏ«§©®Ɏº¸§©ºȍɎ½¯º®Ɏºµº§²Ɏ¹©µ¸«¹Ɏ¸§´­¯´­Ɏ¨«º½««´ɎŵŴɎºµɎŵŴųȌɎ+§¹º²¿ȍɎº®¯¹Ɏ¹©µ¸«Ɏ ½§¹Ɏº®«´Ɏª¯¼¯ª«ªɎ¨¿Ɏº®«Ɏ³§¾¯³»³Ɏ¶µ¹¹¯¨²«Ɏ¼§²»«ɎºµɎ©µ³¶»º«Ɏ§Ɏ³µ¸«Ɏ¯´º»¯º¯¼«Ɏ¶«¸©«´º§­«Ɏ¼§²»«ȍɎ½¯º®ɎȠŴųųƳȡɎ indicating tracts with the highest levels of all vulnerable demographic groups. ECONorthwest Ashland Housing Production Strategy 87 ECONorthwest Ashland Housing Production Strategy 88 Gentrification & Displacement Methodology Gentrification has many definitions such as Ƞ§Ɏ¶¸µ©«¹¹Ɏµ¬Ɏ´«¯­®¨µ¸®µµªɎ©®§´­«Ɏº®§ºɎ¯´©²»ª«¹Ɏ economic change in a historically disinvested neighbµ¸®µµªɎɌ¨¿Ɏ³«§´¹Ɏµ¬Ɏ¸«§²Ɏ«¹º§º«Ɏ¯´¼«¹º³«´ºɎ§´ªɎ´«½Ɏ ®¯­®«¸ɉ¯´©µ³«Ɏ¸«¹¯ª«´º¹Ɏ³µ¼¯´­Ɏ¯´ɎɋɎ§¹Ɏ½«²²Ɏ§¹Ɏª«³µ­¸§¶®¯©Ɏ©®§´­«ɎɋɎ´µºɎµ´²¿Ɏ¯´Ɏº«¸³¹Ɏµ¬Ɏ¯´©µ³«Ɏ²«¼«²ȍɎ but also in terms of changes in the educat¯µ´Ɏ²«¼«²Ɏµ¸Ɏ¸§©¯§²Ɏ³§±«ɉ»¶Ɏµ¬Ɏ¸«¹¯ª«´º¹Ȍȡ This analysis uses 36 the methodology developed by Dr. Lisa Bates at Portland State University in tandem with the 2018 Gentrification And "¯º¿Ɏµ¬Ɏ/µ¸º²§´ªȟ¹Ɏ!»¸«§»Ɏµ¬Ɏ/²§´´¯´­Ɏ§´ªɎ2»¹º§¯´§¨¯²¯º¿ɎȘ!/2șɎ¯´Ɏº®«¯¸ɎȠ Displacement Neighborhood Typology Assessment.ȡ 37 The analysis identifies Census tracts in Ashland where gentrification is taking place or may take place in the future. These tracts where place-specific ordinances and location-specific research can serve to protect vulnerable populations and determine how much the data matches the lived experience of residents on the ground. The Gentrification and Displacement Risk Analysis methodology used in this analysis mirrors closely to what BPS and Dr. Lisa Bates utilized in 2018 with an additional typology, explained below. The analysis considers the following characteristics: 3839 Vulnerable populations are ones with: High rates of renting households relative to the region Large shares of communities of color relative to the region Large shares of adults (25 years and older) without a four-year degree relative to the region 36 Chapple, K., & Thomas, T., and Zuk, M. (2021). Urban Displacement Project website. Berkeley, CA: Urban Displacement Project. ȵȵɎ3®«Ɏ2º§¨²«ɎɋɎ+µ½Ɏ5»²´«¸§¨¯²¯º¿Ɏº¿¶µ²µ­¿Ɏ½§¹Ɏª«¼«²µ¶«ªɎºµɎshow tracts that have historically not had a vulnerable population (between 2010 and 2020) while also experiencing low amounts to no demographic change. In previous anti-displacement in gentrification analysis, Dr. Lisa Bates of Portland State University and BPS used a 37 large sample of 168 census tracts (as of 2019 Census Tract estimates) to measure and compare statistics. In this analysis ECONorthwest sought to maintain consistency with the previous methodology. Given that the City of Ashland has just 9 tracts, we used regional level data to calculate the baseline statistics for each of the indicators of gentrification and social vulnerability analysis. We compared Ashland against the regional analysis. The intention behind this was to provide a more robust picture for what the City of Ashland should compare itself to. It would not have been effective to compare the city of Ashland to the city of Medford or Grants Pass, but instead to compare it to the entire region to provide a more accurate depiction of housing market conditions, socioeconomic vulnerability, and other considerations in the analysis. The methods used by ECONorthwest draw from the work of Dr. Lisa Bates and BPS, but used the observation 38 years of 2010, 2015, and 2020 for both Census and American Communities Surveys years. Ɏ,µ¸«Ɏ¯´¬µ¸³§º¯µ´Ɏ§¨µ»ºɎº®«Ɏª«¬¯´¯º¯µ´¹Ɏ¬µ¸Ɏº®«ɎȠ5»²´«¸§¨²«Ɏ/µ¶»²§º¯µ´ȡȍɎȠ#«³µ­¸§¶®¯©Ɏ"®§´­«ȡȍɎ§´ªɎȠ'µ»¹¯´­Ɏ 39 ,§¸±«ºɎ"µ´ª¯º¯µ´ȡɎ©§´Ɏ§²²Ɏ¨«Ɏ¬µ»´ªɎ¯´Ɏº®«Ɏ2018 report here. ECONorthwest Ashland Housing Production Strategy 89 Large shares of low-income households (below 80% Median Family Income) relative to the region Demographic changes (over the last decade or so) require three of the following four conditions being true or the two bolded were true: Share of homeowners increased or decreased slower than the regional average Share of white population increased or decreased slower than the regional average The share of adults with a four-year degree increased faster than the regional average Median household income increased faster than the regional average Housing market conditions are Census tracts with the following conditions: Adjacent tracts: Had low or moderate 2010 home values/rents Experienced low or moderate 2010-2020 appreciation (or 2015-2020 rental appreciation) Touched the boundary of at least one tract with high 2020 values and/or high 2010 appreciation (or 2010-2020 rental appreciation) Accelerating tracts: Had low or moderate 2020 home values/rents Experienced high 2010-2020 appreciation (or 2010-2020 rental appreciation) Appreciated tracts: Had low or moderate 2010 home values/rents Had high 2020 home values/rents Experienced high 2010-2020 appreciation This analysis of change (in populations, demographics, and housing markets) over time is completed at the regional and Census-tract levels, rather than at the household level. A basic limitation of census and ACS data is that they cannot provide longitudinal data on individual households between surveys (e.g., over +10 year spans of time). Whether or not low-income families in Ashland have been displaced from other neighborhoods in that time (tracts labeled Late: Type 1 or Dynamic) requires a much deeper level of analysis and qualitative analysis done by either academics or the City. Exhibit 64 shows a summary of the typologies used in this analysis. They are: Early-Stage Gentrification. These tracts have not started to gentrify or show early signs that they could be gentrifying. ECONorthwest Ashland Housing Production Strategy 90 Susceptible. These tracts have higher shares of vulnerable populations but have not yet experienced demographic changes. Their housing market sales and rents were low or moderate in costs, but they are adjacent to tracts whose housing costs are already high or are increasing rapidly. Early: Type 1. These tracts have higher shares of vulnerable populations but have not yet experienced demographic changes. Their housing market is still low or moderate in cost but has experienced high appreciation since 2010. Early: Type 2. These tracts have higher shares of vulnerable populations but have experienced demographic changes showing the loss of vulnerable populations. Their housing market is low or moderate in costs, but they are adjacent to tracts whose housing costs are already high or are increasing rapidly. Mid-Stage Gentrification. Dynamic. These tracts are currently undergoing gentrification. They have higher shares of vulnerable populations and have experienced demographic changes by losing vulnerable populations. Their housing market is still low or moderate in costs but has experienced high appreciation since 2010. Late-Stage Gentrification. These tracts have mostly gentrified but vulnerable populations may still reside in there. The housing market has completely shifted from low or moderate to high housing costs. Late: Type 1. These tracts have higher shares of vulnerable populations but have experienced demographic changes by losing vulnerable populations proportionally. Their housing market used to be low or moderate in 2010 but has appreciated rapidly since, and now values are high. Late: Type 2. These tracts no longer have high shares of vulnerable populations like they used to in 2010. They have experienced demographic changes by losing their once-high share of vulnerable populations. Their housing market is still low or moderate but has experienced high appreciation since 2010. Continued loss . These tracts no longer have high shares of vulnerable populations like they used to in 2010 or in 2015. The share of white people is growing and/or the share of people with a four-year degree is growing. Their housing market used to be low or moderate in 2010 but has appreciated rapidly since, and now values are high. Stable Low-Vulnerability Communities. These tracts are ones that have had historically low levels of vulnerable populations relative to the region (from 2010-2020). ECONorthwest Ashland Housing Production Strategy 91 Exhibit 64. Gentrification/Displacement Methodology What neighborhoods are at most risk of gentrification and displacement? The most at-risk neighborhoods are in the central east areas of Ashland, while the more stable, low-risk neighborhoods makeup the rest. The majority of households (~90%) live in Census tracts that are stable and not showing recent signs of gentrification, while around 10% are in susceptible areas (see Exhibit 66). Only one tract in Ashland can be considered Susceptible (see Exhibit 65). Central Ashland (along the junction of Highway 99 and West of the Highway 66) have a census tract that is considered Susceptible to gentrification, meaning that it has a high share of economically vulnerable households while also being around census tracts that have had high rates of home sale appreciation or rent appreciation. $¾®¯¨¯ºɎŹŸɎ¹®µ½¹Ɏ ¹®²§´ªȟ¹Ɏ­«´º¸¯¬¯©§º¯µ´Ɏº¿¶µ²µ­¿Ɏ¨¿Ɏ©«´¹»¹Ɏº¸§©ºȌɎ ECONorthwest Ashland Housing Production Strategy 92 Exhibit 65. Gentrification Typology by Tract Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest, Bates/BPS About 10% in Ashland live in one tract that is classified as in the Susceptible stages of gentrification, as shown in Exhibit 66. While this does not necessarily indicate that 10% of all households are at risk of gentrification, it indicates that the majority of Ashland shows signs of ®µ»¹¯´­Ɏ¹º§¨¯²¯º¿Ɏ¸«²§º¯¼«ɎºµɎ¯º¹Ɏ¹»¸¸µ»´ª¯´­Ɏ¸«­¯µ´ȌɎ3®«Ɏº¸§©ºɎ¯´Ɏ ¹®²§´ªȟ¹Ɏ´µ¸º®½«¹ºɎ©µ¸´«¸Ɏ does contain a few dozen houses close to Highway 99, but the majority of this tract is within Talent and has therefore been omitted from our summary tables. ECONorthwest Ashland Housing Production Strategy 93 Exhibit 66. Total Ashland Households by Tract Gentrification Typology Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest Neighborhood-Level Observations Results Gentrification can be quite a nuanced topic. While the data presents one story about an entire ©«´¹»¹Ɏº¸§©ºȍɎ ¹®²§´ªȟ¹Ɏ´«¯­®¨µ¸®µµª¹Ɏº®§ºɎ§¸«Ɏ¯´ the process of being gentrified may be a much smaller portion of that Census tract. For Ashland, one tract falls under the definition of Susceptible. This typology is characterized by having high levels of economic vulnerability, low rates of demographic change, and having ´«§¸¨¿Ɏº¸§©º¹ɎȘ©§²²«ªɎȠ§ª°§©«´ºȡɎº¸§©º¹șɎ¨«©µ³¯´­Ɏ³µ¸«Ɏ¼§²»§¨²« (rents and/or sale prices appreciating quickly) between 2010 and 2020. This tract is one where the City may want to focus active monitoring to make sure that residents who are already cost-burdened are not forced to leave due to gentrification. Given that a portion of this tract is taken up by Southern Oregon University, this area is likely to have a high student concentration, both in dorms and student housing, as well as other households in Ashland. ECONorthwest Ashland Housing Production Strategy 94 Most tracts in and around Ashland are classified as 2º§¨²«ɎɋɎ+µ½Ɏ5»²´«¸§¨¯²¯º¿. This typology is characterized by low levels of economic vulnerability, little to no recent demographic change, and a housing market that has already appreciated or has stayed relatively flat in the last 10 years. Where do Ashland’s most vulnerable residentslive? While the previous section provides information on how tracts in Ashland have or have not gentrified, based in part on the Dr. Bates/BPS methodology, this does not answer the question of which neighborhoods and demographic groups are most disproportionately burdened by housing costs. To address this issue, ECONorthwest developed a separate model (described on page 87) using ACS/census datasets to determine which tracts in Ashland are most acutely and »´«·»§²²¿Ɏ¨»¸ª«´«ªɎ¨¿Ɏ®µ»¹¯´­Ɏ¶¸¯©«¹ɎɋɎº®«Ɏ¯³plication being that, should trends hold, the most burdened households today will likely be the first to be displaced tomorrow. Tracts showing the highest levels of vulnerability are mainly clustered around Ashland’s northern boundary. $¾®¯¨¯ºɎŹźɎ¹®µ½¹Ɏº®«Ɏ¸«¹»²º¹Ɏµ¬Ɏº®«Ɏ2µ©¯µ«©µ´µ³¯©Ɏ5»²´«¸§¨¯²¯º¿Ɏ³µª«²ȌɎ3®«¹«ɎȠ®¯­®ɉ ¼»²´«¸¨¯²¯º¿ȡɎº¸§©º¹Ɏ©µ´º§¯´Ɏº®«Ɏ©µ³¨¯´«ªɎ²§¸­«¹ºɎ¹®§¸«¹Ɏµ¬Ɏº®«Ɏ¸«­¯µ´ȟ¹Ɏ³µ¹ºɎª¯¹¶¸µ¶µ¸º¯µ´§º«²¿Ɏ cost burdened demographic groups, such as peµ¶²«Ɏ½¯º®µ»ºɎ§Ɏ¨§©®«²µ¸ȟ¹Ɏª«­¸««Ɏµ¸Ɏ®¯­®«¸ȍɎ people of color, and people living with one or more disabilities. Low-vulnerability tracts in Ashland are mostly found in the south and centra²Ɏ§¸«§¹Ɏµ¬Ɏº®«Ɏ©¯º¿ȌɎ ¹®²§´ªȟ¹Ɏ³µ¹ºɎ¼»²´«¸§¨²«Ɏ tract is one that spans along the north side of Highway 99, but the demographic groups that could be impacted by rising housing prices can be found across Ashland. Exhibit 67. Overall Socioeconomic Vulnerability by Tract Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest ECONorthwest Ashland Housing Production Strategy 95 Who is most likely to be displaced if housing market conditions housing market conditions continue to appreciate or stay the same? Some interesting trends include a noticeable clustering of all demographic groups along ¹®²§´ªȟ¹Ɏ´µ¸º®«§¹º«¸´Ɏ¨µ»´ª§¸¿ȍɎ§²µ´­Ɏ½¯º®Ɏa higher POC, LEP, and Hispanic household ¹®§¸«¹Ɏ¯´Ɏ ¹®²§´ªȟ¹Ɏ©«´º¸§²Ɏ«§¹ºɎ´«¯­®¨µ¸®µµªɎ§¸«§ȌɎ$¾®¯¨¯ºɎŹŻɎ¹®µ½¹Ɏº®«Ɏ¸«¹»²º¹Ɏµ¬Ɏµ»¸Ɏ Socioeconomic Vulnerability analysis, broken out by each demographic group examined. ©¸µ¹¹Ɏº®«Ɏ¹º§º«Ɏµ¬Ɏ.¸«­µ´ȍɎ®§¼¯´­Ɏ²«¹¹Ɏº®§´Ɏ§Ɏ!§©®«²µ¸ȟ¹Ɏª«­¸««Ɏ½§¹Ɏº®«Ɏ¹º¸µ´­«¹ºɎª«º«¸³¯´§´ºɎ µ¬Ɏ©µ¹ºɉ¨»¸ª«´«ªɎ®µ»¹«®µ²ª¹ȌɎ ¹®²§´ªȟ¹Ɏ²§¸­«¹ºɎ¼»²´«¸§¨²«Ɏ­¸µ»¶Ɏ¯¹Ɏ+«¹¹Ɏº®§´Ɏ§Ɏ!§©®«²µ¸ȟ¹Ɏ degree as well, though this group can also include relatively more financially secure elder or retired residents. ECONorthwest Ashland Housing Production Strategy 96 Exhibit 68. Vulnerable Group Concentration by Tract Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest ECONorthwest Ashland Housing Production Strategy 97 Exhibit 69 depicts the combined Socioeconomic Vulnerability model results in terms of number of households that reside in tracts with intersecting gentrification typologies and socioeconomic vulnerability groupings. For instance, we find that the most common intersection of our model §¸«Ɏº®«ɎŸȍŹŸŴɎ¶«µ¶²«Ɏ²¯¼¯´­Ɏ¯´Ɏ2º§¨²«ɎɋɎ+µ½Ɏ5»lnerability tracts and having an educational §ºº§¯´³«´ºɎµ¬Ɏ²«¹¹Ɏº®§´Ɏ§Ɏ¨§©®«²µ¸ȟ¹Ɏª«­¸««. These demographic groups are not mutually exclusive, so many households would be counted in multiple groups (i.e., a POC individual with a disability would be counted twice). Exhibit 69. Estimated Households or Population by Vulnerability Group and Gentrification Typology Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest Most socioeconomically vulnerable residents inɎ ¹®²§´ªɎ§¸«Ɏ¯´Ɏº®«ɎȠ+«¹¹Ɏº®§´Ɏ!§©®«²µ¸ȟ¹Ɏ #«­¸««ȡɎ­¸µ»¶ȍɎ½®¯©®Ɏ¬§²²¹Ɏ¯´Ɏ²¯´«Ɏ½¯º®Ɏ®¯­®Ɏª«grees of housing cost-burdening across the state µ¬Ɏ.¸«­µ´ȌɎ3®¯¹Ɏ¹»¨ɉ­¸µ»¶Ɏ¯¹Ɏº®«Ɏ³µ¹ºɎ©µ³³µ´Ɏ½¯º®¯´Ɏ ¹®²§´ªȟ¹Ɏ Susceptible tract, followed 40 ¨¿Ɏ'¯¹¶§´¯©Ɏ§´ªɎ/."Ɏ¸«¹¯ª«´º¹ȌɎ(´Ɏ ¹®²§´ªȟ¹Ɏ 2º§¨²«ɎɋɎ+µ½Ɏ5»²´«¸§¨¯²¯º¿ tracts, residents with ²«¹¹Ɏº®§´Ɏ§Ɏ!§©®«²µ¸ȟ¹Ɏª«­¸««Ɏ§¸«Ɏ§­§¯´Ɏº®«Ɏ³µ¹ºɎcommon, followed by households with children present and people living with one or more disabilities. This tract contains Southern Oregon University and a high concentration of college students in university housing. 40 ECONorthwest Ashland Housing Production Strategy 98 Where do areas with higher gentrification risk and vulnerable populations intersect? Highway 99is a dividing line when it comes to gentrification and vulnerability. ¹®²§´ªȍɎ§²µ´­Ɏ½¯º®Ɏ¶µ¸º¯µ´¹Ɏµ¬Ɏ´«§¸¨¿Ɏ3§²«´ºȍɎ©µ´º§¯´Ɏ¹¯­´¯¬¯©§´ºɎ§³µ»´º¹Ɏµ¬Ɏº®«Ɏ¸«­¯µ´ȟ¹Ɏ³µ¹ºɎ vulnerable tracts when considering displacement risk, but only one tract in Ashland has been classified as Susceptible to gentrification. Interestingly, our model does not show an intersection between gentrifying and more socioeconomically vulnerable tracts in Ashland. Exhibit 70 shows areas with higher gentrification risk and areas with higher social vulnerability. ECONorthwest Ashland Housing Production Strategy 99 Exhibit 70. Composite Gentrification & Socioeconomic Vulnerability Risk, by Tract Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest Indicators of higher gentrification risk include: high shares of low-income households, changing socioeconomic demographics as compared to the region rising prices of housing for sales and rent Indicators of higher social vulnerability include: higher shares of the regionÔs POC or Hispanic population higher shares of the regionÔs population without a bachelorÔs degree or higher Exhibit 71 provides more context about the risk for gentrification and the level of social vulnerability in Exhibit 70. The following describes the gentrification risk and social vulnerability at each corner of the matrix in Exhibit 71. 3µ¶Ɏ¸µ½ȍɎ²«¬ºɎ¹¯ª«ɎɋɎ¯´Ɏ¨²»«Ȍ These areas are at risk of displacing existing populations but the populations in these areas are generally less vulnerable as compared to the region. This may also indicate that neighborhoods nearby are experiencing appreciations in home sales and rents. 3µ¶Ɏ¸µ½ȍɎ²«¬ºɎ¹¯ª«ɎɋɎ¯´Ɏª§¸±Ɏ­¸«¿Ȍ These areas are the highest risk of displacement of existing vulnerable population, such as lower-income households, people of color, Latino households, or other vulnerable populations. ECONorthwest Ashland Housing Production Strategy 100 !µººµ³Ɏ¸µ½ȍɎ²«¬ºɎ¹¯ª«ɎɋɎ¯´Ɏ²¯­®ºɎ­¸«¿Ȍ These are areas with little risk of displacement and few vulnerable populations. !µººµ³Ɏ¸µ½ȍɎ¸¯­®ºɎ¹¯ª«ɎɋɎ¯´Ɏ¶¯´±Ȍ These areas have little existing risk of displacement but are home to vulnerable populations. Exhibit 71. Gentrification & Socioeconomic Vulnerability Risk Matrix Most Ashlandresidents live in neighborhoods that are not currently atrisk of gentrification Just over half (51%) of Ashland residents live in Census tracts that combine a low gentrification risk and a low socioeconomic vulnerability level. Exhibit 72 shows a more simplified version of the percentage of population in Ashland in each of the groupings shown in Exhibit 70 and Exhibit 71. 10% of Ashland households reside within a tract identified as at high risk of gentrification (either in early or susceptible stages), but this same tract does not display high rates of socioeconomic vulnerability according to our model. ECONorthwest Ashland Housing Production Strategy 101 39% of households reside in tracts identified as at high socioeconomic risk of housing displacement, but low risk of gentrification. Exhibit 72. Ashland Households Within Composite Gentrification & Socioeconomic Vulnerability Tracts Source: ACS 2010, 2015, 2019 (5-year), RLIS, ECONorthwest 10% 39% Implications and Next Steps for the Housing Production Strategy This analysis shows that one central area of Ashland is in early stages of gentrification or at-risk of gentrification. As neighborhoods that were once low-income begin to appear as appealing to new residents, it is important to recognize that the people living in those neighborhoods may not have the same economic opportunities as the people moving in. For the City of Ashland to validate what is happening on the ground, it is important to consider neighborhood characteristics and design community charettes to accurately represent what change looks like to the residents there now. Ashland may want to take steps to further understand potential for gentrification and potential displacement of vulnerable population, such as conducting additional research about areas at risk for gentrification to better understand the demographic characteristics of people who may be displaced. ECONorthwest Ashland Housing Production Strategy 102 The HPS may include actions to preserve existing affordable housing, stabilize households, and prevent future displacement and gentrification. ECONorthwest Ashland Housing Production Strategy 103 Appendix C. Housing Developer Interview Summaries This appendix summarizes the interviews conducted as part of the Housing Production Strategy with stakeholders in the Ashland development community. DATE: September 12, 2022 th TO: Brandon Goldman, Linda Reid, City of Ashland FROM: Kaitlin La Bonte, Mackenzie Visser, ECONorthwest SUBJECT: Summary of Developer Interviews Purpose of Interviews ECONorthwest collected input from stakeholders in Ashland, including developers, builders, planners, and architects. The goal of these meetings was to collect feedback on potential strategies and get insight into development barriers in Ashland. Five interviews were conducted over the course of August, 2022. Interview Structure Interviews were conducted in a semi-structured interview style, where conversations included the following topics and questions: Barriers to development: What are the biggest challenges to development in Ashland? ¸«Ɏº®«¸«Ɏ¹¶«©¯¬¯©Ɏ¨§¸¸¯«¸¹ɎºµɎ®µ»¹¯´­Ɏª«¼«²µ¶³«´ºɎ¿µ»ȟ¼«Ɏ«´©µ»´º«¸«ªɎ¯´Ɏº®«Ɏ development code? Are there specific barriers to housing deve²µ¶³«´ºɎ¿µ»ȟ¼«Ɏ«´©µ»´º«¸«ªɎ¯´Ɏº®«Ɏ¸«¼¯«½Ɏ process? Initiatives proposed in the HPS, including: Encourage development of low- and moderate-income affordable rental housing. Increase opportunities for affordable homeownership. Encourage development of income-restricted affordable housing units. Preserve existing of low- and moderate-income affordable housing. ECONorthwest Ashland Housing Production Strategy 104 Potential strategies, including: Increasing development capacity of MFR dwellings through changes to the Land Use Ordinance. Disallowing SFD in High Density R-3 Zone. Implementing the Multiple Unit Property Tax Exemption (MUPTE) to support multifamily or affordable housing. Exploring the potential of Inclusionary Zoning. Establishing a Construction Excise Tax. Evaluating using Urban Renewal. Stakeholder Interviews Summary Key feedback and themes from the stakeholder interviews are summarized in the table below: ThemesStakeholder Feedback Barriers to Development Stakeholders agreed There is a shortage of available land to develop on in that the cost of land Ashland, pushing up land prices. in Ashland was a The price of land is a major barrier to development in the major driver of City, leading to increased housing costs. development costs. Existing land can be difficult to build on due to slope, solar ordinances, wetlands, and other factors. Some administrative The pre-application waiting period can be a barrier to processes create development. An expedited permitting process for barriers to experienced developers could shorten the development development. process by several months. Increased communications between City departments (such as engineering, permitting, etc.) could facilitate the application process. Planning Commission procedures, such as reviewing planning decisions only once a month and delaying adoption of findings until a second hearing, add substantial time to review procedures. Additional City staff could facilitate development by expediting review times, helping developers navigate the code, and providing other supports. ECONorthwest Ashland Housing Production Strategy 105 ThemesStakeholder Feedback Decreasing SDCs Stakeholders felt that SDCs were a barrier to providing could incentivize affordable, workforce, and multifamily housing. development in Respondents believed that SDC fees and permit fees are more Ashland. expensive than neighboring jurisdictions, which may deter development in Ashland. Parking requirements Parking minimums add to development costs. Certain code Two stakeholders cited the Solar Ordinance as a requirement requirements create that limits buildable area on a site. de facto density One stakeholder mentioned that driveway spacing limitations. requirements as a barrier to density. Other limitations on density that stakeholders cited included tree preservation requirements, stormwater retention facility requirements, requirements for gravel barriers around houses, and the lot coverage limitations in woodland zones. Certain code Stakeholders cited the annexation process, the solar requirements create ordinance, the modified flood zone, and street standard confusing and ¸«·»¯¸«³«´º¹Ɏ§¹Ɏ©®§²²«´­«¹ɎºµɎ´§¼¯­§º¯´­Ɏ ¹®²§´ªȟ¹Ɏ unpredictable review development code. processes. Feedback on Initiatives Stakeholders agreed Stakeholders generally agreed that building more affordable that housing costs and workforce housing is an important priority for the City. were too high for Stakeholders generally supported increasing density and many Ashland vertical development in Ashland, but recognized the households. difficulties associated with doing so. Stakeholders gave Two stakeholders expressed they would like the City to use mixed feedback on more of the zoning and urban planning tools at its disposal. º®«Ɏ"¯º¿ȟ¹Ɏ Two stakeholders expressed that they were satisfied with the performance. work the City is doing, especially compared to neighboring jurisdictions. Feedback on Strategies Urban Renewal Two stakeholders were engaged with Urban Renewal efforts in other jurisdictions and reported that it was helpful in facilitating development. ECONorthwest Ashland Housing Production Strategy 106 ThemesStakeholder Feedback Another stakeholder was not confident that Urban Renewal would be successful in Ashland and felt the City should focus more on other strategies. ADUs Under current conditions, ADUs are generally not feasible to develop as rental units, as high development and materials costs require higher revenues to pencil. Requirements for separate water meters, sewer, power, and storm systems for ADUs drive up costs. Reducing SDCs based on size could encourage ADU development. Annexation Two stakeholders mentioned the Grant Terrace project and felt it was a positive development for Ashland, though noted the challenges involved in the annexation process. Multiple stakeholders felt easing the annexation process could increase the amount of buildable land in Ashland, lowering costs. Some stakeholders felt the City should annex additional land to increase development, rather than increasing density. Increasing Two stakeholders felt increasing lot coverage allowances development capacity would support development. of MFR dwellings Two stakeholders doubted whether this strategy would have through changes to much of an impact because there is not sufficient demand for the Land Use higher density MF developments Ordinance Land banking One builder expressed interest in building more workforce housing if they could do so feasibly and would be interested in partnering with the City if the city had land available. Stakeholder Recommendations To promote housing Evaluate opportunities to streamline development review. development Increase Cottage Housing SF allowances to 850 feet. The 800 SF maximum limits flexibility for an amenity such as a ½ bath or powder room, and limits tenant type to single users and not families or single adult and one child. Allow temporary residential use of future commercial spaces to provide affordable housing while the market adjusts. It ECONorthwest Ashland Housing Production Strategy 107 ThemesStakeholder Feedback can be difficult to get financing for commercial spaces, limiting overall mixed-use development. To encourage density Push for Vertical Housing Tax Credits in all R-3 and Mixed- Use Zones, including the Downtown, by eliminating unnecessary regulation and providing staff assistance with the application materials; Review the code for unintended barriers to density. To increase ³«´ªɎ©µª«ɎºµɎ¯´©¸«§¹«ɎȠ²µºɎ©µ¼«¸§­«ȡɎ§²²µ©§º¯µ´¹Ɏ½¯º®Ɏ #4Ɏ feasibility of ADU proposals. For instance, allow an extra 15% of lot coverage development ¬µ¸Ɏ 14ȟ¹Ɏ²«¹¹Ɏº®§´ɎŶŸųɎ¹·ȌɎ¬ºȌɎ Reduce or eliminate current building separation requirements for structures on the same lot, specifically main house and ARU units ECONorthwest Ashland Housing Production Strategy 108 e pre-approved plans such as other Discussion and information regarding State requirements and changes. https://www.ashland.or.us/Agendas.asp?AMID=7599&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7656&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7698&Display=Minuteshttps://ww w.ashland.or.us/Agendas.asp?AMID=7738&Display=Minutes table to learn about HB2001, and to review and discuss proposed code lopers attended a developer round als including planners, design 109 recommended approval of the ordinance. ast Engagement and Community Recommendation for the City to provid cities have done. Parking concerns. Thirty-five development profession professionals, contractors and deve Planning Commission Planning Commission Purpose Who participated Summary of Input Feedback on Housing Related issues. professionals: developers, professionals, contractors Appendix D. HPS Summary of P 3 members of the public orthwest Ashland Housing Production Strategy 1 professional planner Planning Commission planners, design 35 development obtain comments Middle Housing information and middle housing Public input on discussion of on proposed establishing Review and Ordinance ORD 3199- 4/21/2021 Provide policies policies 10/13/2020 12/22/2020 2/23/2021 4/27/2021 5/11/2021 Meeting Date ECON (ORD 3199) (ORD 3199) Developmen Meeting Housing Housing Meeting Hearing Meeting t Round Middle Middle Public Public Name Table https://www.ashland.or.us/SIB/files/Ashland_Housing_Strategy_Draft_02_ https://www.ashland.or.us/SIB/files/Ashland_HCA_PAC_%231_Meeting_ les/Ashland_HCA_AC_%232_Meeting_N of Accessory Residential Units and https://www.ashland.or.us/Agendas.asp?AMID=7737&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7744&Display=Minutes Supported recommendations for duplex and ARU code Changes. 110 The Housing and Human Services Commission has since changed its name to the Housing and Human Services Advisory Committee. changes to support the development https://www.ashland.or.us/SIB/fi Duplexes within Ashland. Historic Commission No recommendations Notes.pdf 19_21.pdf otes.pdf Planning, housing, climate members, Ashland School orthwest Ashland Housing Production Strategy private and affordable 41 Housing and Human Services Commission Board member, and housing developers action commission recommendation recommendation Middle Housing Middle Housing policies/actions, discussion, and discussion, and assumptions, discussion of amendments of ORD 3199-of ORD 3199- review and Review of 4/22/2021 Review, Review, policies policies code 01/11/2021 03/01/2021 04/26/2021 12/07/2020 5/5/2021 ECON (ORD 3199) (ORD 3199) 41 Advisory meetings Housing Housing Meeting Meeting Middle Middle Group Public Public HCA the virtual meeting and they received https://www.ashland.or.us/SIB/files/HCA_openhouse_Survey_Results_202 that seemed more suited for retirees and not families. She was interested s.asp?AMID=7832&Display=Minutess.asp?AMID=7714&Display=Minutes https://www.ashland.or.us/Agendas.asp?AMID=7530&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7760&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7820&Display=Minuteshttps://ww w.ashland.or.us/Agendas.asp?AMID=7803&Display=Minutes Commissioner Thompson shared her concern on building smaller units in strategies for larger units that were affordable. Chair Norton was 111 encouraged that 400 people attended https://www.ashland.or.us/Agendahttps://www.ashland.or.us/Agenda City Council Approved HCA as presented. 300 surveys. 10416.pdf 394 community members orthwest Ashland Housing Production Strategy Planning Commission attended information and understand and ns for the HCA ns for the HCA RecommendatioRecommendatio housing needs. assumptions, obtain public communities comments to policies, and Review and Review and address the Provide actions better data, 05/19/2020 05/17/2021 08/17/2021 08/03/2021 07/13/2021 03/23/2021 4/16/2021 4/1- Open House ECON Hearings Hearings Capacity Capacity Capacity Housing Analysis Housing Analysis Housing Analysis Virtual Public Public ties were high or low priorities for the limited CDBG resources. Affordable housing was the highest priority https://www.ashland.or.us/Agendas.asp?AMID=7715&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7519&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7522&Display=Minutes rategic Plan for the use of CDBG rategic Plan for the use of CDBG https://www.ashland.or.us/SIB/files/2021_6_24_draft_minutes.pdf 112 Commission discussed aging population and urban renewal. Commission voted to accept and support the HCA. Citizens identified which types of activi Recommended approval of 5- year st Approved adoption of the 5-year st identified. funding. funding. 134 community members orthwest Ashland Housing Production Strategy Planning Commission Housing and Human Housing and Human Services Commission Services Commission Joint Housing and and DHS staff City Council recommendation recommendation priorities for the of the 2020-2024 of the 2020-2024 CDBG program discussion, and discussion, and ns for the HCA Recommendatio between 2020- Evaluation of Consolidated Consolidated over the five- Review and year period spending Review, Review, 2024 Plan Plan 03/25/2021 06/24/2021 3/26/2020 4/21/2020 3/1/2020 2/1- ECON questionnair ConsolidateConsolidateConsolidate 2020-2024 2020-2024 2020-2024 Hearings priorities Capacity Housing Analysis Hearing Hearing d Plan-d Plan d Plan Public Public Public e support of more goals/policies that support affordable housing, support of vernacular language (not technical) tables and references and assumptions retention and development of rental housing. Suggested that a definition Suggested an additional policy under proposed Goal 1 to encourage the s.asp?AMID=7306&Display=Minutes https://www.ashland.or.us/Agendas.asp?AMID=7119&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7124&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7293&Display=Minutes gn, suggested wording and policy in place. Comments about using ervation measures, concerns and 113 ment with some alterations: https://www.ashland.or.us/SIB/files/adopted-housing-policy- are dated and some are no longer accurate. Recommended approval with no changes. City Council Concerns about density and parking. universal design/accessibility/aging for universal housing/universal desi Recommended approval of the docu Support of environmental and cons https://www.ashland.or.us/Agenda HE approved as presented. changes to improve clarity. questionnaire-2017-all.pdf members/developers/servi 357 visits, 144 responses 553 visits, 221 responses orthwest Ashland Housing Production Strategy Planning Commission Housing and Human Services Commission 20 community ce providers recommendation recommendation recommendation discussion, and discussion, and discussion, and , and approval priorities and Feedback on policies and 3/8/2017 Discussion narrative priorities policies, Review, Review, Review, 11/15/2018 11/27/2018 06/04/2019 06/18/2019 1/2017 9/2018 ECON Questionnai Housing Housing Housing Housing Housing Housing Element Element Element Element Element Hearing Hearing Hearing Forum Public Public Public re https://www.ashland.or.us/Agendas.asp?AMID=7382&Display=Minuteshttps://www.ashland.or.us/Agendas.asp?AMID=7650&Display=Minutes https://www.ashland.or.us/Agendas.asp?Display=Agenda&AMID=8134 114 https://www.ashland.or.us/CCBIndex.asp?CCBID=239 continuum of housing and human services needs of volunteer members and orthwest Ashland Housing Production Strategy Services Commission is their regular monthly Housing and Human Housing and Human Housing and Human Housing and Human Services Commission Services Commission Services Commission meetings are public meetings where the the community are comprised of nine discussed. burden and HPS regarding policy the City Council public comment Rent Burden 9/26/2019 Public Forum to Rent Burden 12/10/2020 Public Forum to Public Forum to human services, recommendation and Affordable information to Development Block Grants, housing and and funding Community discuss rent discuss rent discuss rent To provide relating to strategies strategies burden burden s and and Rent Burden 08/25/2022 Thursday month of the th 4 Housing and ECON commission Monthly Meeting Services Regular Human that the people she knows who have the most money to live on are dealers. flexibility for allowing domes or other alternative housing structures in the city, encourage more innovative/unconventional housing types that would to make it harder for staff/faculty to Additional way some people raise rent money: dealing drugs. S. reported part of their compensation. Jason noted that the only way he could afford maintenance/repairs/materials as well as a staff shortage. These students agreements on the number of persons employees get SOU apartments as all report a monthly income 1000-2000/mo. Very low income. Students 2.4Ɏ%§³¯²¿Ɏ'µ»¹¯´­Ɏ¯¹Ɏª«§²¯´­Ɏ½¯º®Ɏ©µ³¶«º¯º¯µ´Ɏ¬µ¸Ɏ¹¶§©«Ɍ¹º»ª«´º¹ȍɎ Suggestions for what City policy could do to help: N. suggested more get units, putting higher priority on veterans, students with families. annual income was around $35K annually, in addition to the campus to take this job was that it came with living quarters. Both said their e/tax on vacant/unoccupied houses. 115 ng with increasing costs for some staff/faculty. Policy is changing SOU workforce housing issues some report running into caps in rental be affordable. Adding a City fe Housing staff are also contendi who can share bedrooms. supplied housing. 3 students participated in orthwest Ashland Housing Production Strategy 46 students completed a focus group surveys Fund allocations. 5/23/2022 Obtain targeted Housing Trust housing needs and strategic community regarding priorities feedback SOU tabling ECON meeting to issues and and focus strategies housing discuss group HPS sp?NavID=13461&pd_url=https%3A%2F %2Fwww.opentownhall.com%2Fportals%2F89%2FIssue_12081#peak_dem 116 https://www.ashland.or.us/Page.a ocracy 7 attendees orthwest Ashland Housing Production Strategy 236 responses 339 attendees housing needs housing needs and strategic and strategic community community regarding regarding priorities priorities feedback feedback 10/19/2020 Obtain Obtain 10/14/2022 8/24/22- Open House ECON Hall online Open City Virtual survey