July 22, 2020
12:00 – 1:30 P.M.
Office of the Governor Executive Order No. 20-16 requires that the governing body of a public body (as defined by ORS 192.610(3) and (4)) shall hold public meetings and hearings by telephone, video or through some other electronic or virtual means whenever possible. To attend virtually, click HERE.
10. Roll Call
The special meeting of the Housing Advisory Commission (HAC) was called to order at 12:05 P.M. virtually on the above date with the following members and staff in attendance:
20. Public Comments
|Randell Embertson, Chair
Jason Elzy, Vice Chair
Matthew Stranahan- arrived at 12:08 P.M.
Bud Amundsen, Executive Director – Youth 71Five
Matt Sweeney, Youth 71Five - Director
|Clay Bearnson, City Council Liaison
Angela Durant, Staff Liaison
Aleia Fletcher, Staff Liaison
Kyle Kearns, Staff Liaison
Eric Mitton, Legal Staff Liaison
Harry Weiss, Staff Liaison – arrived at 12:16 P.M., left at 12:36 P.M.
Matt Brinkley, Staff Liaison
Carla Paladino, Staff Liaison
Principal Planner Angela Durant welcomed and introduced guests from Youth 71Five Ministries, who agreed to participate in today’s discussion regarding the housing development training/”home build” program.
30. Approval of Minutes
To approve minutes of 4/29/2020 and 5/13/2020.
Debra Lee Seconded by:
John Michaels and Randell Embertson
Motion passed, 5-0
40. Housing Development Training Program
Principal Planner Angela Durant discussed the objectives of this discussion, which were to: brainstorm ideas for a “home build” pilot program, explore the opportunity to implement the “home build” pilot program through the Accessory Dwelling Unit (ADU) Development Program, identify potential partners, explore funding sources, and attain staff direction from the Commission. The “home build” program would assist with creating opportunity for participants to develop vocational skills, helping to contribute to increasing individual sustainability and also allowing for the potential for participants to live in the ADU that they help to build.
Mrs. Durant provided an overview of the City ADU Development Program, which (pending City Council approval) would utilize $150,000 in funding from the Housing Opportunity Fund (HOF) to generate pre-approved ADU designs that would be available to the public, helping to decrease ADU development cost. In addition, this proposal seeks to reduce System Development Charges by 50%, an estimated decrease in cost of $3,000. With this proposed program, there will be an 18-month deadline to expend the funds, a 10-year deed restriction placed on ADUs to prohibit the use as a short-term rental, and a goal to increase production of ADUs to 30-40 per year,
Potential partners discussed included: Youth 71Five, Housing Authority of Jackson County, ColumbiaCare, Habitat for Humanity, Medford Builders Exchange, U.S. Department of Veterans Affairs, and 549C/Medford School District. The “home build” pilot program may seek to engage multiple prospective partner. One potential partner Youth 71Five Ministries assists youth of ages 19-24 with vocational training; as such, they also have potential development/constructions partnerships that may help assist with the “home build” pilot program.
In addition to prospective partnerships discussed above, Mrs. Durant and the Commission explored the possibility of creative, nontraditional financing to assist with funding this project, due to the unique concept of this project. Possible potential lenders who may be interested included: People’s Bank, Rogue Credit Union, First Interstate Bank, and Evergreen Bank. In addition, other funding sources/opportunities to explore include from YouthBuild, the Oregon Community Foundation, and Meyer Memorial Trust.
The HAC discussed prospective program in-depth and provided direction to staff to gather more information for follow up, including providing a draft proposal of the City ADU Development Program along with partnerships, potential incentives (such as overall cost savings for ADU development), and overall plan for the “home build” pilot program.
50. Construction Excise Tax (CET) Update
Mrs. Durant provided an update on the revenue from the Construction Excise Tax (CET), which funds the Housing Opportunity Fund (HOF). Since its inception, from starting 2018 to the present (July 2020), the CET has garnered a total of $524,254.16, 15% of which is provided to Oregon Housing and Community Services (OHCS) for homeownership opportunities in the community and up to 4% for administration. Exemptions from the CET include churches, schools, hospitals, etc.
She also reviewed the 10 year revenue forecast from ECONorthwest, which has been trending on the lower end of projections, potentially due to a possible recession; in addition, multiple projects were recently exempt from paying CET. The CET has also remained limited by how much revenue it can collect, as the CET is 1/3 of 1% (versus 1% for other cities) and has a limit of $50,000 in revenue.
Although trending on the lower end of projections, with assistance from the $1 million loan from the Building Department, this helps allow the CET/HOF the ability to proceed while revenue is generating.
60. Future Agenda Items (D)
Mrs. Durant reviewed that for next month’s meeting, Principal Planner Carla Paladino will provide an update regarding the housing needs analysis along with the work being conducted on the housing production strategies with consultant ECONorthwest and support from the Department of Land Conservation and Development (DLCD). Planner II Kyle Kearns will also discuss a proposed amendment to enable broader use of pad lots and create more flexible development standards for residential development.
70. Remarks from Council Liaison
80. Remarks from Commission Chair
90. Remarks from MURA Executive Director
100. Remarks from Commissioners
110. Remarks from Staff Liaisons
Staff thanked Commissioners for their willingness to explore prospective opportunities through potentially partnering the “home build” program with the Accessory Dwelling Unit (ADU) Development Program.
Meeting adjourned at 1:17 P.M.