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HomeMy WebLinkAboutAgenda_HAB_07.16.2014Notice of Meeting for the Housing Advisory Board of the City of Georgetown July 16, 2014 at 3:30 PM at 103 W. 7th Street, Georgetown, TX 78626, Convention & Visitors Bureau The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require assistance in participating at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please contact the City at least four (4) days prior to the scheduled meeting date, at (512) 930-3652 or City Hall at 113 East 8th Street for additional information; TTY users route through Relay Texas at 711. Regular Session (This Regular Session may, at any time, be recessed to convene an Executive Session for any purpose authorized by the Open Meetings Act, Texas Government Code 551.) A Consideration and possible action to approve minutes from the June 18, 2014 meeting. B Discussion on the role of the Housing Advisory Board and City policy on adding items to board and commission agendas. --Jennifer C. Bills, Housing Coordinator C Discussion and possible action on creating a return on investment model for affordable unit development.--Jennifer C. Bills, Housing Coordinator D Discussion and possible action on the draft presentation at the City Council Workshop on August 26, 2014.--Jennifer C. Bills, Housing Coordinator. E Reminder of the next regular meeting date of August 20, 2014. Adjournment CERTIFICATE OF POSTING I, Jessica Brettle, City Secretary for the City of Georgetown, Texas, do hereby certify that this Notice of Meeting was posted at City Hall, 113 E. 8th Street, a place readily accessible to the general public at all times, on the ______ day of __________________, 2014, at __________, and remained so posted for at least 72 continuous hours preceding the scheduled time of said meeting. ____________________________________ Jessica Brettle, City Secretary City of Georgetown, Texas SUBJECT: Consideration and possible action to approve minutes from the June 18, 2014 meeting. ITEM SUMMARY: FINANCIAL IMPACT: None. SUBMITTED BY: ATTACHMENTS: Description Type Draft Housing Advisory Board Minutes_June 18, 2014 Cover Memo Housing Advisory Board Minutes, June 18, 2014 1 City of Georgetown Housing Advisory Board Minutes June 18, 2014 at 3:30 p.m. Convention & Visitors Bureau 103 W. 7th Street, Georgetown, Texas 78626 Members present: Brenda Baxter, Brad Curlee, Walt Doering, Lawrence Gambone, John Gavurnik, Harry Nelson, Monica Williamson, Members absent: Woodard and Ruiz Staff present: Jennifer C. Bills, Housing Coordinator, Laurie Brewer, Assistant City Manager, Tammy Glanville, Recording Secretary This is a regular meeting of the Housing Advisory Board of the City of Georgetown. The Board, appointed by the Mayor and the City Council, makes recommendations to the City Council on affordable housing matters. Regular Session - To begin no earlier than 3:30 p.m. The meeting was called to order at 3:36 by Board member Curlee. Agenda A. Consideration and possible action to approve minutes from the June 11, 2014 meeting. Motion by Board member Gavurnik to approve the minutes from the June 11, 2014 Housing Advisory Board meeting. Second by Board member Baxter. Approved. (7-0). (Woodard and Ruiz absent at the time of vote). B. Discussion and possible action to approve home repairs for 211 W. 11th Street. –Jennifer C. Bills, Housing Coordinator Item B was tabled from the May 21, 2014 Housing Advisory Board meeting. Bills had no additional information at this time. Item B will defer to future meeting. C. Discussion and possible action of multifamily site development standards, review process and possible incentives for affordable units.--Jennifer C. Bills, Housing Coordinator Board and staff discussed various development standard incentives and will present a more formal write up to City Council. D. Discussion and possible action to offer fee waivers to incentivize workforce housing development.--Jennifer C. Bills, Housing Coordinator Housing Advisory Board Minutes, June 18, 2014 2 Bills suggested a set fee waiver of $2,500 per affordable unit up to $100,000.00 per development. Both staff and board agreed to this approach. E. Discussion and possible action to create a format and outline for the August 26, 2014 presentation at City Council Workshop.--Jennifer C. Bills, Housing Coordinator Bills suggested board read through the presentation and make any suggestions. Board suggested sending Bills their suggestions on the benefits affordable housing brings to the City of Georgetown. Bills will then determine which benefits would be more effective to present to City Council. Board and staff agreed on clarifying the scope of study for presentation. Board suggested building models justifying the need for affordable housing by showing the tax and utility revenue generated by multifamily projects. Bills informed board Chris Foster is still compiling figure’s regarding the city’s financial return on multifamily duplexes. Board member Doering passed out information regarding things to think about in crafting a presentation. F. Reminder of the next regular meeting date of July 16, 2014. G. Adjournment. Meeting adjourned at 5:02 p.m. __________________________________ _______________________________________ Approved, Clay Woodard, Chair Attest, Lawrence Gambone, Secretary City of Georgetown, Texas SUBJECT: Discussion on the role of the Housing Advisory Board and City policy on adding items to board and commission agendas. --Jennifer C. Bills, Housing Coordinator ITEM SUMMARY: All City boards and commissions serve at City Council direction. The general purpose of the Housing Advisory Board as stated in the Bylaws is "established for the purpose of advising City Council on ensuring the City has Housing affordable for residents at all income levels." To this end, the City Council has directed three specific areas for the board review and provide input and recommendations: 1. Adopt, update and implement the Housing Element. 2. Provide recommendations on Housing Tax Credit and HOME resolution requests. 3. Review and approve Home Repair applications over $10,000. Staff's role with the board is to provide interpretation of Council direction, keep work items moving forward and handling applications and staff reports, both to the board and City Council. Outside of these three directives, any new studies or programs would have to be directed by City Council. The Bylaws state: Section 4.2 Agenda. Items may be placed on the agenda by the Chairman, the City Manage or designee, or at the request of a Member. The party (or individual) requesting the agenda item will be responsible for preparing and agenda item cover sheet and for the initial presentation at the meeting. Items included on the agenda must be submitted to the Staff Liaison no later than one week before the Board meeting at which the agenda item will be considered. Agenda packets for regular meetings will be provided to the Members in advance of the scheduled Board meeting. Agenda packets will contain the posted agenda, agenda item cover sheets, and written minutes of the last meeting. The board and commission policy for the subject matter of agenda items created by board member is that the items need to be about board housing keeping items, clarification of previous agenda items, or announcements on upcoming seminars, educational information or publications that pertain to the board's mission. If a board member wishes to expand the Housing Advisory Board direction with new programs and studies beyond the current direction from City Council, the member needs to request that new direction at the regular City Council meeting during the Public Wishing to Address Council opportunity at the beginning of the agenda. The form to request time to speak it attached. For items submitted by staff, board members are not allowed to include their own information or analysis. Per the Assistant City Secretary, this is the policy for all boards and commissions. For circulating information on upcoming events or publications to read, please forward them to either the Housing Coordinator or the Recording Secretary for forwarding to the email list. This avoids any potential Open Meetings violations. FINANCIAL IMPACT: None. SUBMITTED BY: Jennifer Bills, Housing Coordinator ATTACHMENTS: Description Type Request to address City Council Backup Material Request To Address Council For items not previously posted on the City Council Agenda Due to the City Secretary’s Office by noon on the Wednesday prior to the Council Meeting Submit to: City Secretary Email: Jessica.Brettle@georgetown.org Fax: 512.930.3659 Location: City Hall - 113 E. 8th Street Phone: 512.930.3652             Name: _________________________________________________________________ Residence Address: ______________________________________________________ Subject of item to be discussed: ____________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ Council Meeting Date at which you wish to speak: ___________________________ Signature: ______________________________________________________________ Date Form Submitted: ____________________________________________________ Time Form Submitted: ___________________________________________________ Disclaimer: By submitting this request to address City Council, I agree that I will keep my comments to the subject listed. I will refrain from the use of any obscene, vulgar, or profane language. I understand that if I do not follow this procedure, my speaking time may be terminated and I may be requested to sit down or be removed from the building. I understand that the City Council meeting is broadcast live and my comments will become part of the official record. City Council Procedure for Citizen Comment on an Agenda Item: 1. Fill out form completely and turn in to the City Secretary prior to discussion of the item 2. Wait for the Mayor to call your name to approach the podium 3. State your name and address clearly into the podium microphone 4. You will have three minutes to address Council; six minutes if another citizen has signed over their time To Be Completed by City Secretary’s Office Date Form Received: ________________________ Time Form Received: ________________________ City of Georgetown, Texas SUBJECT: Discussion and possible action on creating a return on investment model for affordable unit development.--Jennifer C. Bills, Housing Coordinator ITEM SUMMARY: The Housing Advisory Board has discussed creating a model to show that incentives will provide a return to the city. Attached are some calculations on existing apartment complexes, taking into account property tax, sales tax and utility revenue, versus the per capita cost of residents to the General Fund. There are several financial assumptions that finance uses for this analysis: The City gains $348 per $30,000 of income per year. City property tax is $0.43 per $100 of valuation. Utility revenues are 7% of utility payments. Population per unit is 2.42 people. The per capita cost of a individual to the General Fund is $877 per year. The three apartments modeled are Oaks of Georgetown, Cypress Creek and Two Rivers. The Oaks at Georgetown is an older Tax Credit complex, completed in 1997, and is not property tax exempt. Cypress Creek is a new Tax Credit complex, completed in 2007, and is 100% property tax exempt. Two Rivers is a market rate complex, completed in 2013. The income assumptions were based on the ranges that are set for the Tax Credit program for the income restricted complexes, and for the market rate assuming that the rent is 30% of the household's gross income. In the attached sheets, all examples produced a net loss to the City. This is very simple model, as it is difficult in a hypothetical situation to determine all of the variables. Other City revenues that could factor into an actual scenario include parks, library, and municipal court revenues. For a better analysis, we would have to consider the revenues expected against the marginal costs expected from an individual project proposal with specifics on the streets needed, marginal cost of police and fire, and revenue generated from the initial construction materials and labor. FINANCIAL IMPACT: None. SUBMITTED BY: Jennifer Bills, Housing Coordinator ATTACHMENTS: Description Type Oaks at Georgetown example Backup Material Cypress Creek Example Backup Material Two Rivers Example Backup Material Oaks at Georgetown Built 1996 2014 WCAD Land NHS 550 W. 22nd Street 2014 WCAD Improvement NHS: Units Bed/bath sf Average Rent Units at  50% Minimum HH  Income Maximum HH  Income Units at  60% Minimum  HH Income Maximum HH  Income 48 1/1 644 sf  $                   575 24 23,000$           30,200$            24 23,000$      31,680$         64 2/2 880 sf 675$                  32 27,000$           33,950$            32 27,000$      36,240$         80 3/2 1060 sf 775$                  40 31,000$           37,700$            40 31,000$      45,240$         Min Max 61,619.20$     81,766.08$       105,422.17$   125,569.05$    Population (2.42 per unit) 464.64 Gfund Per capita 877$                  Total expense 407,489.28$    Min Max Net to City and Utility (302,067.11)$  (281,920.23)$   Total Revenue $1,321,269 $5,371,694 $28,779.74 $15,023.23 2% Sales Tax Property Tax Utility ROI Cypress Creek Apartments 2014 Land NHS 1,152,080$        120 Riverbend Drive 2014 Improvement NHS: 13,987,550$      Built  2006 Newer Tax Credit Floor  plans Units Bed/Bath sf Average Rent Units at 50% Minimum  HH Income Maximum HH  Income Units at  60% Minimum HH  Income Maximum HH  Income Brazos 36 1/1 708 sf 680$                  18 27,200$     30,200$            18 27,200$        31,680$          Trinity 72 2/2 1031 sf 785$                  36 31,400$     33,950$            36 31,400$        36,240$          Colorado 64 3/2 1215 sf 895$                  32 35,800$     37,700$            32 35,800$        45,240$          Nueces 8 4/2 1366 sf 1,075$              4 40,000$     43,750$            4 40,000$        52,500$          Min Max $67,873.92 $77,485.22 $81,958.20 $91,569.50 435.6 $877 $392,021.20 Net to City and Utility ($310,063.00) ($300,451.70) Total Expense $0.00 $14,084.28 2% sales Tax Property Tax  (100% exempt) Utility ROI Total Revenue Population (2.42 per unit) Gfund Per capita Costs Two Rivers Built 2013 2014 WCAD Land NHS 1,720,642$           105 Austin Avenue 2014 WCAD Improvement NHS: 18,177,808$         Floor  plans Units bed/bath sf Average  Rent HH Income if  rent is 30% A1 28 1/1 654 965$          38,600$          1A 27 1/1 785 1,065$       42,600$          1B 20 1/1 878 1,150$       46,000$          1C 20 1/1 918 1,175$       47,000$          1AD 13 1/1 975 1,235$       49,400$          1BD 21 1/1 1091 1,345$       53,800$          2B 26 2/2 1244 1,585$       63,400$          2B3 20 2/2 1286 1,535$       61,400$          2C 4 2/2 1666 2,180$       87,200$          2% Sales Tax $105,423.12 Property Tax $85,563.34 Utility ROI $14,006.03 Total Revenue $204,992.49 Population (2.42 per unit) 433.18 Gfund Per capita Costs $877.00 Total Expense $379,898.86 Net to City and Utility (174,906.37)$  City of Georgetown, Texas SUBJECT: Discussion and possible action on the draft presentation at the City Council Workshop on August 26, 2014.--Jennifer C. Bills, Housing Coordinator. ITEM SUMMARY: Attached is the draft of the presentation that the Housing Advisory Board will make at the August 26, 2014 City Council Workshop meeting. Please review the content on the slides and asking any questions and provide revisions or clarifications of the information and format. The presentation still needs some pictures to give better context of the issue, which I will be working on before the August HAB meeting. Also, Walt raised the idea that the presentation should include suggestions of "Next Steps" for board policy direction. His proposal was to include a new direction to: "Develop a comprehensive plan, in collaboration with stakeholders and public-private partnerships, to make affordable housing affordable, over time, here in Georgetown." We can discuss this idea at the meeting, but I do not think we will be able to suggest this new recommendation without revising the Housing Element, which cannot be done more often than every five years. FINANCIAL IMPACT: None SUBMITTED BY: Jennifer Bills, Housing Coordinator ATTACHMENTS: Description Type draft CC Workshop presentation byHAB Backup Material 7/11/2014 1 Housing Advisory Board Update Update and Feedback August 26, 2014 Presentation Overview • Purpose of the Board and Housing Element • Previous information and feedback • Implementation of the Housing Element 2 7/11/2014 2 Purpose of the Board “The Board is established for the purpose of advising the City Council on ensuring the City has housing affordable for residents at all income levels.” -Housing Advisory Board Bylaws 3 Housing Element of the Comprehensive Plan • Adopted on July 24, 2012 as part of the 2030 Plan. • Identified a need for 2,902 affordable rental units by 2017 if no new units were created. •1,069 of these fall into the Workforce housing range. 4 7/11/2014 3 Affordable Housing • Affordable Housing is defined as spending no more than 30% of gross household income on housing. • The housing research indicated that there is a deficiency of housing for households that make less than 80% of Area Median Income. City of Georgetown 5 Affordable Housing • The deficit was determined by identifying the gap between existing demand in 2010 and new demand projected from 2010 to 2017, and the supply of new affordable units created from 2010 to 2017. • Source for the data were the 2010 American Community Survey, Multiple Listing Service sales data and affordable rental units under development. City of Georgetown 6 7/11/2014 4 Workforce Housing • Workforce Housing is for those that make between 30% and 80% of AMI. City of Georgetown 7 % of  AMI Gross  Wages 1 2 3 4 80% Yearly 42,250$       48,250$       54,300$       60,300$        Hourly 20.31$          23.20$          26.11$          28.99$           30% Yearly 15,850$       18,100$       20,350$       22,600$        Hourly 7.62$            8.70$            9.78$            10.87$           Yearly 11,670$       15,730$       19,790$       23,850$        Hourly 5.61$            7.56$            9.51$            11.47$           Household Size Poverty  Level City of Georgetown 8 7/11/2014 5 Multifamily Workforce Locations City of Georgetown 9 Locations for Workforce Multifamily Housing • Identified site for Workforce Multifamily development. – Locations based on existing utilities, school zones, and distance from employment and retail areas. – Sites are within the city limits and within Georgetown utility areas. • Staff is looking at ways to incorporate these locations on the Future Land Use Plan. 10 7/11/2014 6 Feedback from Last Presentation • Concerns we heard: – Spread diverse, mixed-use housing through out community and for GISD. – Maintaining quality construction standards and sustainability. – Expanding housing research beyond city limits. – Concern that the deficit is overstated. City of Georgetown 11 Feedback from Last Presentation – Definition of Workforce Housing. – Obtain input from builders and developers of rental housing. – No reduction in parking standards. – Provide housing for retirees as well as workforce. – Ensure credibility of data. City of Georgetown 12 7/11/2014 7 Impact of Location -- GISD • Board representatives met with GISD Superintendent Joe Dan Lee regarding proposed location and reviewed the selection criteria. • He expressed a need for more workforce housing and stated unequivocal support for the locations. City of Georgetown 13 Scope of Study • The Housing Element only looked at city limits, consistent with other comprehensive plan elements for workforce housing supply and demand. • The goal of the study was to examine affordability for those who want to live, work and play in Georgetown. City of Georgetown 14 7/11/2014 8 Scope of study • Previous housing studies with a greater geographic area only showed a greater deficient per capita than for Georgetown only. • Incentives and other programs implemented will only effect the city limits. City of Georgetown 15 Incentivizing New Workforce Housing City of Georgetown 16 7/11/2014 9 Development Incentive Program • The developer must identified the total number of units that must be available for households with incomes between 50% and 80% AMI. • These units will be classified as Workforce units for a minimum 15 years. • The owner/management company will submit yearly reports demonstrating compliance. City of Georgetown 17 Development Incentives • Main tools at the City’s discretion – Development standards that allow for greater density and decreased site development costs. • These involve standards that effect the exterior view and locations within the site. (setbacks, building height, impervious cover, etc.) • No changes to building codes, fire codes, or parking standards are being proposed. 18 7/11/2014 10 Site Development Incentives 19 Lot Size, minimum 2 acre Units  per acre maximum 24 Apartments per Structure, max 24 Increase to 40 for 5% WF units Lot width, minimum feet 50 Front Setback, minimum feet 25 Reduction of 5 feet per 10% workforce units to 15  feet, min. Side Setback, minimum feet 15 Side Setback to Residential, minimum feet 30 Rear Setback, minimum feet 15 Rear Setback to Residential, minimum feet 30 Building Height, maximum feet 45 Accessory building height, max. feet 15 Impervious Cover, max 50% Increase of 10% for 10% WF units, to 70% Imp  (will still require UDC water quality  improvments. Workforce IncentivesMF‐2 Unified Development Standards for Multifamily  Site Development Incentive • Will be forwarded to the Unified Development Code Advisory Board to revise Section 6.07 Special Development Types to include these incentives within the Housing Diversity Development Standards. 20 7/11/2014 11 Fee Waiver Incentives • For each Workforce Housing Unit included in the project, the developer will receive a $2,500 waiver of City review and inspection fees, up to a total of $100,000. • Total incentivized units cannot be more than 50% of total project. 21 Fee Waiver Example • 200 unit apartment complex – Up to 40 units (20%) can receive fee waivers – 40 x $2,500 = $100,000 • 20 unit townhome/apt project – Up to 10 units (50%) can receive fee waivers – 10 x $2,500 = $25,000 City of Georgetown 22 7/11/2014 12 Benefits to Georgetown • Contribute to recruitment of 21st century businesses. • Retain sales and property tax base, plus school district dollars, for Georgetown. • Increase volunteer workers and services for churches, schools, hospital, and activities to support our children and youth. • Enrich Georgetown’s culture of diversity. City of Georgetown 23 Benefits to Georgetown • Recycle monies, from paid workers, back to Georgetown’s businesses both small and Big Box stores. •Housing and utilities. •Food – home and restaurants. •Transportation – gas and oil, parts and service. •Health care, health insurance, pharmacies, and dental service. •Clothing, shoes, work-related tools, hair care and personal products. •Entertainment -TV and phone. •Education. •Banks and credit unions. •Real estate and insurance agencies. •Construction industry including architecture, engineering and related services. City of Georgetown 24 7/11/2014 13 Benefits to Resident Workers • Provide our workers option to live in quality affordable housing. • Give workers choice to enjoy our “quality of life.” • Reduce transportation costs: gasoline, oil, repairs and less frequent purchase of vehicles. • Make more time available to be with families. • Enable workers to serve as volunteers in community, especially to children and youth. City of Georgetown 25 Benefits to Resident Workers • Allow easier access to quality medical/dental services. • Provide more time for parents to attend children’s school functions. • Make it more convenient to shop in Georgetown than buy elsewhere. City of Georgetown 26 7/11/2014 14 Feedback from Council 27 City of Georgetown, Texas SUBJECT: ITEM SUMMARY: FINANCIAL IMPACT: None. SUBMITTED BY: