Title
Affordable Housing Emergency Ordinance Grant Funding Proposal
Recommended Action
Committee Recommendation:
Move to approve the recommended grant funding proposal for the Affordable Housing Emergency Ordinance and forward to the full Council for approval.
City Manager Recommendation:
Move to approve the recommended grant funding proposal for the Affordable Housing Emergency Ordinance and forward to the full Council for approval.
Report
Issue:
Whether to approve the recommended grant funding proposal for the Affordable Housing Emergency Ordinance.
Staff Contact:
Jay Burney, City Manager, (360) 753-8740
Presenter(s):
Jay Burney, City Manager
Jacinda Steltjes, Interim Housing Manager
Background and Analysis:
On December 17, 2024, the Council approved the Affordable Housing Emergency Ordinance, which provides prioritized permitting, dedicated staffing to assist developers, a grant program to provide infrastructure assistance, and a grant program to offset all or some of the plan review and permits and fees for projects that provide housing units that are affordable to households whose income does not exceed 80 percent of the Olympia-Tumwater Metropolitan Statistical Area Median Income. Funding for the infrastructure assistance is provided through money set aside through the utility rates. Funding for the grant program to offset plan review and permit fees was not determined at the time the ordinance was adopted by Council. Staff was directed to return to Council early in 2025 with a proposal to fund that portion of the ordinance.
In order to determine the proper fund balance for the grant program, staff looked at other development past or current projects that fit the ordinance criteria. Staff determined that the average cost per unit in the projects they reviewed to be around $3,700 per unit. A large project like Habitat's 3900 Boulevard Rd project, which is 112 units, would require $414,400 in grant funding to fully cover its plan review and p...
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