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HomeMy WebLinkAbout01-11-2017 CAHAB MinutesCommunity Affordable Housing Advisory Board Wednesday, January 11, 2017, 8:00am, Madison Room 121 N. Rouse Ave. A. Call meeting to order. Brian LaMeres called the meeting to order. Present were: Brian LaMeres, Chair Brian Guyer Hattie Baker-Graham Kevin Thane Anders Lewendal Sharon Southhard Sean Maloney Marty Matsen, Community Development Director Mayana Rice, Community Development B. Changes to the Agenda. No changes were made to the agenda. C. Public Comment – No comment was received under this agenda item. D. 08:08:40 AM (00:00:27) Minutes – December 14, 2016. It was moved by Kevin Thane, seconded by Anders Lewendal, that the minutes of the meeting of December 14, 2016, be approved as submitted. The motion carried. F. Action Items 1. 08:09:06 AM (00:00:53) Letter of Support for Tiny Houses. Brian LaMeres reported that the City Attorney has determined letters of support must be submitted to the board for action. As a result, this item has been placed on the agenda for formal action. 08:09:30 AM (00:01:17) Kevin Thane noted that the need to bring this letter back to the board for consideration has resulted in holding up the MSU students for a month. He suggested that in the future, letters of support be submitted for consideration with the agenda item, recognizing that the letter can be modified based on the presentation at the meeting prior to action if necessary. He noted that is the process followed at other boards. 08:10:39 AM (00:02:26) Brian LaMeres stated that for a basic letter of support that might be an appropriate process; however, he noted this letter includes background information garnered from the presentation. 08:11:12 AM (00:02:59) Kevin Thane acknowledged his frustration is a result of how slowly the wheels churn. 08:11:59 AM (00:03:46) Sharon Southhard voiced concern that having the letter of support prepared prior to the initial presentation creates the appearance of pre-approval. 08:12:45 AM (00:04:32) Mayana Rice stated she will prepare a form letter of support with places available to be filled out. 08:13:07 AM (00:04:54) Anders Lewendal suggested the Commission would be more inclined to give the detailed, well thought out letter more credibility than a form letter. 08:13:31 AM (00:05:18) Kevin Thane suggested that the tiny house people could have brought in the letter of support they would like the board to consider, and the board could have acted on it. 08:13:55 AM (00:05:42) Sharon Southhard voiced her support for that suggestion, noting it could be included in the packet information for the meeting. 08:14:31 AM (00:06:18) It was moved by Kevin Thane, seconded by Anders Lewendal, that the board approve the letter of support for tiny houses as presented. The motion carried. 08:15:07 AM (00:06:54) Anders Lewendal identified one typo in the letter to be corrected prior to sending it. E. 08:15:50 AM (00:07:37) Special Presentation – Question and Answer with Marty Matsen, Community Development Director. Marty Matsen stated a willingness to respond to questions, noting that his office has a lot on its plate right now, including a comprehensive revision to the unified development code. It is his hope that once the draft is complete, a couple of work sessions will be held. He cautioned that the revision process may identify additional issues to be considered. It is his hope to include a laundry list of items to be addressed once the revisions have been adopted, and he envisions the affordable housing components will be a part of that list. He sees that component being at the top of the list for staff to address although several other issues have already been identified, including vacation rentals, food trucks, edge conditions and transitions between zoning districts. He noted a planner has been recently hired; and there is an open planner position yet to be filled as well as a historic preservation position. He then opened the floor to questions. 08:22:31 AM (00:14:18) Responding to questions from Anders Lewendal, Marty Matsen stated he has not had any conversation with Commission members regarding affordable housing. At this time, he is trying to determine what the City is trying to accomplish. He noted there are pros and cons with mandatory affordable housing requirements; however, he recognized the current carrot approach does not appear to be successful in Bozeman right now. He stated the community is suffering from the inevitable price fluctuations that come with success; and the smaller lots do not seem to be generating the lower priced housing that is desired. 08:27:16 AM (00:19:03) Marty Matsen noted it is important to recognize Bozeman is doing better than most western communities in allowing for and encouraging multi-family and rental opportunities. He recognized that the buildings must look nice, function appropriately and be in good neighborhoods, creating an area that people want to live in. He recognized it will be difficult to provide affordable housing while meeting what the community expects in design and function. He has seen the burden for providing work force housing placed on the development community but noted that the infrastructure had been built out in those areas. In Bozeman, however, the developers are being asked to put in streets, sewer, address intersections and provide affordable housing. Responding to additional questions from Anders Lewendal, Marty Matsen stated that getting internal ordinances on the Commission agenda is sometimes difficult as they compete with the processing of external applications in a timely manner. He stressed that staff is taking a serious look at affordable housing. He believes the current stance is to allow and facilitate affordable development when it is proposed. He recognized that the current regulations are pushing the bounds of what the community is willing to accept. He stressed that his office must consider the desires of this board for creating affordable housing as well as the community feedback and strategic plans and to balance those competing interests as much as possible. 08:34:52 AM (00:26:39) Kevin Thane stated when the unified development ordinance rewrite was undertaken, it was noted that affordable housing provisions would not be addressed. He sat through another extremely frustrating meeting of the UDC advisory council yesterday, where the focus of the meeting was block frontage and how to make things look pretty rather than looking at how to get people into houses. He stated the Commission recently adopted the affordable housing ordinance and the cottage housing ordinance. Those two actions in addition to the stated goals of Bozeman Community Plan regarding affordable housing and meeting the wide range of needs of Bozeman residents reflect the importance of addressing this issue, and he finds that putting it on the back burner to block frontage is a travesty. 08:38:45 AM (00:30:32) Marty Matsen stated the focus of yesterday’s meeting was block frontage, but he noted the UDC website includes a wide range of issues. He stated the block frontage provides the framework for setbacks and other issues. He stressed that a lot of other issues have been processed and considered by the Commission, and the block frontage is the issue under current consideration. He read through the stated goals of the community plan; however, he has not sat with the Commissioners to discuss affordable housing and what their tolerance is for more strict provisions for affordable housing. He stated Bozeman is very flexible in lot sizes and design and the mix of housing types allowed in the various zones, reflecting more of an urban ideal than a western mountain community. He understands the frustration but acknowledges that the code creates circumstances not available in other places. He suggested that addressing infrastructure improvements for those projects in a different manner is one way to address the affordable housing issue. 08:44:02 AM (00:35:49) Kevin Thane stated he has been involved in the entire process from its inception; and block frontage was the focus throughout the process, including the first charette. He noted that a 5,000-square-foot lot is required for a single-family house and, without going through the planned unit development process, it is not possible to create smaller lots for smaller homes. 08:46:09 AM (00:37:56) Marty Matsen noted that a lot of communities don’t even have the possibility of smaller lots and homes. He stressed that Bozeman’s code is more flexible than those found in many other communities, allowing for a variety of options. He recognized that moving forward, more options need to be provided. He noted that when viewing the small homes created by MSU students, he and Building Department employees talked about how to make them work in Bozeman, identifying several challenges that need to be overcome in doing so. 08:48:21 AM (00:40:08) Kevin Thane noted that the initial thrust of cottage housing was to allow smaller housing units and that ordinance refers to the UDC for limitations on size. The manual for cottage housing, however, requires a minimum of 800 square feet and several other limitations that raise the costs. He feels the City is trying to legislate too much, including architectural features, open space and common space, instead of letting the building community build what the community wants. 08:51:40 AM (00:43:27) Marty Matsen stated the Planning Department’s responsibility is to create a livable attractive place for the entire community. He also noted that the department must operate within the parameters of the code that has been adopted by the Commission. He encouraged the board to identify its goals and recognize that those goals must be balanced with political realities and community desires. 08:54:58 AM (00:46:45) Responding to Sharon Southhard, Marty Matsen stated the desired outcome needs to be defined. He noted the community must identify and understand a realistic set of goals so that everyone recognizes what is trying to be accomplished. Once that is done, best practices can be identified. He feels Bozeman has done a good job of providing for smaller lots and smaller units, but noted a determination must be made of whether the effort is to create cheaper housing, create apartments or other options. In light of his previous work experiences, he recognizes it is possible to create requirements that allow people to get into cheaper housing but cautioned that those regulations may impede the opportunities for people to better themselves in their housing situations. He stated this group has a responsibility to set out what it is trying to accomplish and then work backwards to identify the best way to accomplish them. 09:05:26 AM (00:57:13) Anders Lewendal observed appreciation caps and down payment assistance programs on their face aren’t necessarily negative programs; it’s a matter of getting the right formula to allow homeowners using those programs to gain enough equity to put a down payment on the next home. He then asked if the City is no longer using the affordable housing action plan created in 2012 as a guiding document. 09:06:52 AM (00:58:39) Marty Matsen stated he has not delved into the local planning program to that level yet. He has talked to several people about affordable housing since he has been in Bozeman; and no two people have given him the same answer. As a result, it is his impression it is a widely held value. He noted some people in the community are interested in protecting mobile homes parks as available affordable housing, which is significantly different from the desire to provide new opportunities. He suggested that if the 2012 plan is to be used in the future, there should be some effort to put it back into the focus. 09:08:47 AM (01:00:34) Anders Lewendal noted that the 2012 plan is viewed as an HRDC document and, when it is not actually the guiding document, it makes providing affordable housing very difficult. He then stressed that consistency is very critical. 09:09:19 AM (01:01:06) Marty Matsen noted that the issue of housing prices is a community-wide issue. He stated that, while wages in Bozeman seem to be on par with the region, the City is having difficulty filling some positions because people are unable to find housing. 09:11:03 AM (01:02:50) Responding to Anders Lewendal, Marty Matsen acknowledged it is important to review the documents on the website to determine their value. He noted that he is still learning about the various documents and how they interact and, as a result, recognizes how confusing the planning process is for developers and for the average citizen just wanting to put a shed in the back yard. He also noted it is important to identify the differences between the guiding documents and the regulatory documents; and it is his desire to better tie the documents together in the future. 09:14:34 AM (01:06:21) Brian LaMeres stated Commissioner Krauss views the affordable housing money as the work force housing money because that is the name of the ordinance that implemented it. He then asked Marty Matsen to address the differences between work force housing and affordable housing. 09:15:38 AM (01:07:25) Marty Matsen stated in one of the cities he worked in, work force housing was for those making 80 percent of AMI and moderately priced housing was for those making 60 percent of AMI. He noted that the work force housing was offered first to employees of the City and it was awarded on a lottery system. 09:17:24 AM (01:09:11) Anders Lewendal recognized there is no easy solution. He asked how the Commissioners can give the Planning Director more control if a project is reasonable so that the approval process can move forward faster. 09:18:38 AM (01:10:25) Marty Matsen stated he needs to gain the Commission’s trust before seeking that authority; and there needs to be an easy process in place for them to take back review and decision making authority on a specific project. He noted that with flexibility comes uncertainty and the reaction is often to start developing policy documents that limit that flexibility, not taking into consideration differences that may result from changes in circumstances. He acknowledged that, since Bozeman is a progressive community, there will be trial and error in addressing certain issues. 09:23:20 AM (01:15:07) Kevin Thane voiced support for Anders Lewendal’s comments and suggested the UDC rewrite should be an opportunity to correct things and make them simpler. He feels that the affordable housing section should be included in the rewrite, noting that another such opportunity will not come forward for ten or twelve years. 09:24:42 AM (01:16:29) Marty Matsen noted the UDC rewrite is to be completed in two months, so it is important to get the consultant to finish the rewrite. He acknowledged several sections have not been tackled in the rewrite, and it will be his responsibility to ask the Commission for more money or more staff to address those issues. 09:25:40 AM (01:17:27) Responding to comments from Kevin Thane, Marty Matsen stated the deadline is a very real one for both staff and the Commission. He stressed that extending beyond that deadline will trigger the need for more money or more staff and he does not view that as a possibility. He feels the staff needs to identify the issues that have been tackled and those that are outstanding as the draft is submitted to the Commission. F. Action Items 2. 09:28:38 AM (01:20:25) UDC Code Changes from CAHAB. Brian LaMeres asked if it is too late for this Board to make any recommendations for changes to the UDC. 09:28:59 AM (01:20:46) Marty Matsen stated staff would need to evaluate the recommendations and determine if they are addressed in the revisions and how they are, or if they cannot be addressed at this time. 09:29:35 AM (01:21:22) Responding to Brian LaMeres, Kevin Thane stated he is discouraged with the discussion under the previous agenda item. He noted that he has written a document outlining issues he had hoped to talk about to improve affordable housing provisions, but it appears those issues cannot be addressed in this UDC rewrite. 09:31:12 AM (01:22:59) Marty Matsen stated it would be helpful to have the document and to ask staff and the consultant to review the issues and determine if they have been addressed, if they conflict with other sections or if they cannot be addressed in this rewrite. 09:32:07 AM (01:23:54) Mayana Rice stated the affordable housing plan expired in 2016 and that needs to be addressed. Also, the deadline for discretionary compliance with the affordable housing mandatory plan expires in 2017, and that issue should also be addressed. As a result, she suggested that the end of 2017 is the time for the affordable housing issues to be addressed. 09:33:12 AM (01:24:59) Marty Matsen stated one thing for this board to address before the end of the year is whether it wants to see the mandatory provisions of the ordinance take effect or if it wants to recommend some revisions to that ordinance. He suggested an agenda item for the next meeting to give him an opportunity to respond to the issues paper that Kevin Thane has prepared. 09:34:58 AM (01:26:45) It was moved by Anders Lewendal, seconded by Brian Guyer, that action on this item be tabled until the next meeting. The motion carried. G. FYI/Discussion 1. 09:35:51 AM (01:27:38) HRDC Monthly update. Brian Guyer stated HRDC submitted a text amendment to allow affordable townhomes to average the lot area. He noted it is allowed in market rate projects but was not included in the affordable housing ordinance. 2. 09:37:15 AM (01:29:02) CAHAB Member updates and future agenda items. Anders Lewendal asked if this board is missing members, noting there are some members who are not attending meetings. 09:37:43 AM (01:29:30) Brian LaMeres stated he has talked to one of the members who has not been present for quite some time, and her response was that she wanted to take an extended hiatus. He noted that there provisions for addressing a number of unexcused absences. 09:38:31 AM (01:30:18) Anders Lewendal stated the more input this board can receive from those in the low or moderate income levels, the better. 09:40:50 AM (01:32:37) Kevin Thane stated the Cemetery Board hasn’t met since this board’s last meeting. He noted that the agenda for their next meeting will include an item regarding the use of a portion of the cemetery land for affordable housing. He noted the City of Seattle is considering use of City-owned land for housing for the homeless, which is similar to what this board is considering. H. 09:41:58 AM (01:33:45) Adjournment. There being no further business to come before the board, Brian LaMeres adjourned the meeting.