Medinger, Shavey and Richardson met with Russ Dale regarding his project that is scheduled for review at the December Planning Commission meeting that has a component of ten affordable houses. Dale was unable to be at this meeting today. Molnar said this project is a little different than the Kaufman Crossing zone change. In Dale’s project, it is five acres adjacent to Chautauqua Trace. He is requesting annexation. There is no zone change. The annexation standards for affordability are fairly objective. You either have to provide 25 percent of units to households that do not exceed 100 percent of the area median income or 15 percent of the units to households that do not exceed 80 percent of the area median. Dale is proposing to do ten units not to exceed 100 percent of area median and work out something with the Land Trust. There is so little discretion involved, Molnar was not certain about bringing it to the Housing Commission for review because he did not know what kind of recommendation they could forward to the Planning Commission. They could not recommend a change in the affordability standard because that is already contained in the annexation criteria. Medinger thought this needed further discussion.

Seidman would like an update on Commission vacancies and an update on the Lower Pines trailer park. Hartzell said the Mayor will be making a recommendation for next Tuesday’s meeting for filling McKeever’s position.

Medinger recognized Mayor DeBoer who said he was at today’s meeting just to listen in.

Shavey suggested in the future, an item is needed at the end standing agenda to include Unfinished Business or Other Items.

Molnar reported this update has been rescheduled for December 18, 2001, at the 7:00 p.m. meeting. A presentation from the Community Outreach and Education subcommittee could be made. Items of interest include why we would do employer assisted housing, putting a face on poverty, summary report on land use work, interest in having serious feedback into CDBG process next year, list of the Commission’s accomplishments, and the Strategic Plan. Hartzell, Shavey, Seidman, Vaughn, and Medinger will meet at Geppetto’s on Tuesday, December 4th at 4:30 p.m. to work on the details of the presentation.

Shavey and Molnar came up with a simplified recommendation that incorporated a lot of the issues they had been discussing and would apply to anyone doing a re-zone or annexation or asking the city for a change in current land use involving any housing on the land.

The recommendation is as follows:

For all residential annexations of four units or greater:

1. A minimum of 15 percent of the proposed units shall be affordable for no less than thirty (30) years and available to qualifying buyers or renters with incomes at or below 80 percent of median income.

2. An additional 10 percent of the proposed units (for a total of 25 percent of all units) shall be affordable and available to qualifying buyers or renters with incomes at or below 100 percent of median income; or

the total number of affordable units required by this section shall be determined by rounding up fractional answers, determined above, to the nearest whole unit.

3. Properties providing affordable units as part of the annexation process shall also qualify for a density bonus for development under the Performance Standards Option for subdivisions.

Shavey continued with the suggested ordinance amendments concerning awarding density bonus.

Affordable Housing to include moderate income housing (100% of median), low income housing (80% of median), Federal Tax Credit Housing (60% of median), Community Land Trust Option (would give developers density equivelant to the next zoning density.

Shavey will add 30 years to item 2.

Hartzell said if we give 30 years, there has to be enforcement. Shavey suggested deed restrictions.

Hartzell wondered if we want to tie this to how long someone has lived in the community. Shavey said that will depend somewhat on the source of funds. Under fair housing, can residents of Ashland be a protected class? You can probably give first priority to people who reside or are employed in Ashland. Molnar said there are similar restrictions on the current rental housing loan program as well as first -time home buyer loan program.

Benjamin likes the idea of a land bank for affordable housing as it could have the greatest potential.

Mayor DeBoer left the meeting.

Hartzell asked for further explanation of the Federal Tax Credit Housing. Shavey said this item means it is tax credit eligible. There is a tax credit program making it possible for developers to apply for Federal income tax credits that can be sold and used to generate capital for equity purposes. The capital is used to increase the equity and decrease the debt. They are normally used in conjunction with non-profits developing housing and using the tax credits to buy down the cost of the housing. If they donated the land to the Land Trust, the developer is also eligible for the tax credit.

Molnar said it has been four years since anyone has used the volunteer density bonus. Annexation requires affordable housing.

Shavey moved to adopt the recommendations as a working document to be reviewed further by groups for ultimate presentation to the City Council for adoption. Vaughn seconded the motion.

Bill Barchet spoke. He is concerned that with this ordinance, down the road in ten or 20 years it becomes something that is non-workable. Instead of having developers have a certain time for affordability, he would rather see the Commission take an equity position with affordability being done on a sliding scale.

Medinger left the meeting. Vice Chair Vaughn finished chairing the meeting.

At 5:30, Hartzell and Legg left the meeting.

(Back to the motion) The motion is not to adopt the recommendations as they are, but to send out to other groups to review and then bring it back to the Housing Commission. At that point, it would probably go to a Planning Commission Study Session. Seidman, Richardson, Vaughn, Benjamin, and Shavey approved.