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MINUTES OF THE HOUSING COMMITTEE November 11, 2019 East Conference Room Present: Councilmembers Anderson, O’Malley & Rader Also Present: CouncilmemberBullock, Planning Director BryceSylvester&Clerk Bachtaking minutes Call to Order: 6:37 p.m. th The minutes of the October 14Housing Committee were approved by a unanimous vote of the Committee. RESOLUTION 2019-08-A RESOLUTION to take effect immediately provided it receives the affirmative vote of at least two thirds of the members of Council,or otherwise to take effect and be in force after the earliest period allowed by law, amending Ordinance No. 58-04, adopted July 6, 2004, for the purpose of fostering the investment and development of affordable housing in new multi-family and mixed-use construction projects in Community Reinvestment Area (CRA) #1, which is the citywide CRA. Director Sylvester walked the Committee through the legislation and provided background on the Department’s affordable housing strategy. In April 2019, the Departmentpresented a seven- step affordable housing strategy to the Housing Committee. This proposal represents an eighth step in the strategy and proposes to modify the City’s existing Community Reinvestment Area (CRA) to create new affordable housing units for individuals and families earning 80%-120% of the Area Median Income (AMI). Director Sylvester explained that this particular strategy is intended to target theincome bracket, commonly referred to as the “missing middle.” Steps one through seven of the strategy, as well as many federal programs,are intended to support individuals and families earning below 80% AMI. The middle class is a group that lacks resources, and the City sees this as a way to support the middle class. Using the CRA as the structure, the strategy proposes to provide a 15-year property tax abatement to developers of new residential development projects of 100 or more units in exchange for 20% of their units being affordable. The abatement would be for the improved value of the property only. In exchange, 10% of the units would have to be rented to households earning up to 80% AMI and another 10% would have to be rented to households earning 80%- 120% AMI. Director Sylvester explained the history of the existing citywide CRA created in 1978and later edited in 1984 and again in thelate 1990s for introduction of condos. 1