HomeMy WebLinkAbout1991-28 Affordable Housing Levels
RESOLUTION NO. 91-,~<-?
A RESOLUTION OF THE CITY OF ASHLAND, OREGON
REPLACING RESOLUTION NO. 91-04 IN ITS ENTIRETY
AND SETTING AFFORDABLE HOUSING INCOME LEVELS
AND RENTAL AND PURCHASED COST LEVELS
WHEREAS, the City of Ashland desires to provide affordable housing for its
citizens; and
WHEREAS, the City's Land Use Ordinance has been amended to provide density
bonuses for providing affordable housing; and
WHEREAS, the City's Land Use Ordinance requires the City Council to adopt a
resolution to establish afford ability standards to implement the affordable housing density
bonuses.
NOW, THEREFORE, BE IT RESOLVED by the Mayor and City Council of the City
of Ashland, Oregon as follows:
SECTION 1.
RENTAL HOUSING
In order to qualify for the density bonuses allowed in the City's Land Use
Ordinance, designated affordable units must be rented to individuals or families
whose annual income does not exceed the following:
# of People
Annual
Income Level (80% of Median Income)
1
2
3
4
5
6
7
8
$18,050
$20,600
$23,200
$25,750
$27,800
$29,900
$31,950
$34,000
Rents for the affordable units shall not exceed the following (28% of monthly
income):
Apt. Type
Maximum
Rent Level
Studio
1 Bedroom
2 Bedroom
3 Bedroom
4 Bedroom
$421/month
$481/month
$541/month
$600/month
$648/month
The applicant shall sign a 20-year rental agreement which guarantees these rent levels will
be maintained (with inflation factors) and agree to rent only to families that meet the
income guidelines. This rental agreement will travel with the property deed to bind future
owners who purchase the property during this 20 year period. The agreement will also
require the owner to rent to HUD Section 8 qualified applicants and agree to accept rent
vouchers for all of the affordable rental units where applicable.
SECTION 2. PURCHASED HOUSING
A. INCOME
In order to qualify for the density bonuses allowed in the City's Land Use
Ordinance, designated affordable units must be sold to individua.ls or families
whose annual income does not exceed the following:
# of People
1
2
3
4
5
6
7
8
Annual
Income Level (1.3 x Median Income)
$29,331
$33,475
$37,700
$41 ,843
$45,175
$48,875
$51,918
$55,250
B. ASSETS
Excluding the down payment (to a maximum of 20 percent of the purchase price)
and closing costs, net assets (not including pension plans and IRA's) shall not
exceed $20,000 for a family or $130,000 if one family member is 65 Yl3ars or older.
C. PURCHASE PRICE
To qualify for the density bonus, the purchase price of designated affordable units
shall not exceed the following amounts:
Type of Unit
Studio
1 Bedroom
2 Bedroom
3 Bedroom
4 Bedroom
Purchase Price
Estimated
Monthly
Payment
$69,711
$79,558
$89,601
$99,446
$107,365
$622
$710
$800
$888
$959
"
D. GUARANTEEING AFFORDABILlTY
1. FARMERS HOME ADMINISTRATION - For housing financed by the
Farmer's Home Administration, affordability will be assured by the
recapture provisions required by FmHA which requires sellers to
repay FmHA for all the subsidies accrued during the pE~riod that they
resided in the housing.
In addition, it will be required that there be a provision in the CC&R's
that for the first five years after the initial purchase, resale can only
be to individuals from the same income category as the original
purchasers.
ALL OTHER DEVELOPMENTS - For all other developments,
affordability will be guaranteed by requiring that "sleeping second"
mortgages be recorded on the deeds of all units used to qualify for
the affordable housing density bonus if the appraised value of the
units exceeds the selling price by 10% or more.
This Resolution replaces previously adopted Resolution No. 91-04 in
its entirety.
The foregoing resolution was READ and DULY ADOPTED at the re!~ular meeting
of the Ashland City Council on the . ',j --:rcday of ,~-"_~,({ I , 1991.
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2.
SECTION 3.
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Nan Franklin
City Recorder
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SIGNED and APPROVED this il- day of c- 7/1-/1.,. fJ
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Catherine Golden
Mayor
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