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HomeMy WebLinkAbout1995-09-30 TranscriptionSeptember 30, 1995 Council Work Session 8:00 AM Housing Issues Council: Horow, Baker, Kubby, Lehman, Nov, Pigott, Throg. staff: Atkins, Helling, Woito, Karr, Ogren, Boothroy, Franklin, Milkman, Severson, Nasby, Long. Tapes: 95-116, all; 95-117, all; 95-118, Side 1. Tim Shields/ (Can't hear) In a way that, perhaps you're not able to do around the specific issue or policy area. At the same time, I'm going to be very, very time conscious and I apologize in advance because unquestioningly through various points throughout the morning, I will be rude and you're talking along, you're about to say the most profound you've ever said about this issue or about city government in general, or about anything. Boy, that's yours. It's not mine. As I warn folks, it better be profound. The point here is, we're going to try and get through this and use this time in the most valuable way possible for you. I think it's real challenging. Now, I'm expected to have a new deadline. If we reach a point where people have to stretch, let me know because otherwise I'll probably just be charging ahead. Typically I would use breaks, but if you think you need some, you let me know. Let me lay out for you just a little bit about what I- here's my sense of it and then I'm going to ask you what you want to do and change my sense of (can't hear). But let's kind of stay on (can't hear) with each other a little bit. As I understand where we're at, what I want to do today is talk about, obviously, housing, specifically housing policy. I think what we're really after before we're done here today is to get to the issue of helping the council be most effective in the housing policy arena. I don't think we're here to do lengthy educational program on the issues. You know the issues. I don't think we need to be talking about a whole lot of related things. We want to ultimately get to where the council is at, where this issues is coming to your table and how you can deal with it. *** Chart One *** Lay ground work Implementation Issues - subsidized Agreements What I hope to be able to do then with you is lay some ground work around that, there's at least two pieces of that and if Thisrepresents only areasonably accuratetranscription ofthelowaCltycouncll meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 2 you're asking me for a couple, I think, very pertinent questions around the issue of housing policy° Staff is prepared to do a brief history to kind of bring us all up to date. In brief, I hope that to the point I'll say give an opportunity for the council to question around that. Then we want to talk about implementation issues. That makes an assumption that we have some understanding of the policy and some agreement on that. And hopefully we will get to some agreements on the part of the council about how to improve or be more objective, or if you need to shift some direction in regard to implementation policy. That's what I think we're about here. One area- This area's fascinating to me, as most of you know, I work all over the state, 40 or 50 cities a year. This started showing up about 6-7 years ago. It was a really small town I was working with when it first showed up on a worksheet identified by a council member as an issue in their community. And then as I was making my rounds around the state about 6-7 more cities showed up. By the next year it was on everybody's list of issues. It is a state wide issue. There's no question about that. My experience also is that it's very complex and although it's state wide, It remains situational. There are specific elements of this issue in each community. There are specific ways that cities are trying to respond to it. I have not identified one solution that you can carry around in a bag and take it city to city because of that situational nature. To just kind of give you a short summary of just the last few months, I facilitated this session that the league and ISAC had back in August that was created by the legislation last year that was leading some testimony with the interim committee and presumably leading to some state legislation in the next session. And it was fascinating to hear that. We opened that program to talking about what is the issue of housing and four hours later, we begin to talk about what we supposedly there to talk about which was what does the legislature need to do. I worked with the City of Ames for the last couple of years. And one of the things that has been a major issue there has been housing and they've taken a number of strategic attacks on that. And not that we're the same as them or they're the same as you. It has been very interesting to watch their experience. One element that I had never really thought of until working with the city of Ames, that there's another element of this whole, and that is people's expectations, the consumer's expectations. Maybe we'll talk about that a little bit later at some point. It was fascinating how that (can't hear). In the last few days, I was up in Orange City. (Can't hear) Orange City? A fine little Dutch community a long ways from here. It's 353 miles from my Thisrepresents only areasonably accuratetranscription oftheloweCitycouncil meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 3 door and still in Iowa. They took on this issue last year. I ran with them. And right now they're willing, in their town. They have a city owned subdivision. Five houses build. Simultaneously they worked with a contractor and developer who just started a golf course development to build some very high income houses. Orange City. If you think small towns are not dealing with this issue. Well, they are. And Thursday night I was in Muscatine working with a group called the Muscatine Center For Strategic Action, a newly formed Private non-profit, who as of this week, has identified their major focus as housing. And they are doing everything from rehab to moving houses out of the flood plain. And I could go on and on because it's all over the state of Iowa. A couple of real quick assumptions that I want to share with you and then I'm going to be done. *** Chart Two *** 1. Multiple 2. Market Driven 3. Partners 4. City Clarity 5. Political 6. Interrelatedness One is, and I think this is going to be real important to keep this in mind and I'm sure you already know this, there are multiple levels of meanings that I've run into and I'm sure you do too when you talk about housing policy or affordable housing. It ranges from subsidized housing perhaps to, as I said, in Orange City one of their major issues was getting high end housing. So when we talk about this issue it is multifaceted. I think slippery in that way because people are talking to each other as I watch them debate these issues and discuss them and they're really talking about different things. And it creates some problems. I think the issue, and this is an opinion, a professional opinion, is primarily market driven. This is too simple and too simplistic but primarily, if you look, you stand up and look at it, projected income in Iowa generally has gone down. And I think in a city like this you don't see that anywhere near as much as they do in say this other two tier of counties, while the cost of housing has gone up. Now that is a very simplistic way of looking at it. But none the less, primarily we're talking about market driven. My point is that it's not then a result of city policy, the problem of housing policies or affordable housing, not primarily as a result. Just to share this with Thisrepresents onlyareasonebly accuratetranscription ofthelowaCltycouncll meetingofSeptembar30,1995. WS093095 September 30, 1995 Council Work Session Page 4 you again I think you know this already, but one of the other assumptions I've picked up as I worked with cities around the state is that, no where do I know of in Iowa that the solutions and those that are most successful have relied solely and exclusively on city government. It has always been in the places that I know have really moved ahead on this, there's been some type of partnership involved. Again multifaceted in terms of all the players, city, developers, builders, banks, the financial community, etc. Baker/ Tim. Shields/ Yeah. Baker/ Either now or some time later, could you be more specific when you use the term most successful? Shields/ Yeah. Baker/ Be more specific. Shields/ I'd be glad to at some point, yeah. But does this point make sense to you, then I'm sure. And again my point here is that city government rarely has all the cards or all the tools to deal with an issue that is primarily market driven. You have some important ones, but you don't have all of them, based on my view. These are my assumptions and assessments. I want again to state the obvious. Again in those places where folks have been moving ahead on this, it's been most helpful when the city has a clear role definition and has a clarity of outcomes that they are trying to achieve in goals. Now that is a lot easier said then done, but I'll share that observation with you. And I think that they're able to come to agreement about some specific strategies and tools that they're going to use in addressing this issue. Again to state the obvious to you, the other assumption is that this issue as it has emerged around the state of Iowa, can be, has been, and most typically is highly politically charged. It has created controversy at times. It has certainly always created debate. And quite frankly it is not as bad as open burning policy in terms of the impact on city councils. But it is nearly in that category where, I guess I'll just share this with you and the perspective I see of other city councils, is there is no way any council that I've worked with has moved ahead on this area and made everybody happy. As far as I can tell it's not going to happen anywhere, because any time you move ahead on this, there's someone with either a vested interest or an equity This represents only a reasonably accurate transcription WS093095 of the Iowa City council meeting of September 30, 1995. September 30, 1995 Council Work Session Page 5 position who sees themselves as being affected by what you do. Therefore if indeed we decide this in an important issue in our community, it obviously requires political leadership as well as good technical solutions. This is the last assumption is the interrelatedness. It has been fascinating to me because I think it is, not for highly schooled city councils and city council members such as yourself, but I think sometimes for at least the general public, the tremendous interrelatedness of the issues of housing sometimes gets lost in the general public, but there's a relationship in Orange City between the city having a role in helping folks, helping a developer bring about a development that's going to have $250,000 houses on it, that's there's a relationship between that and freeing up houses in the $60,000-$80,000 range for example. One layer of interrelatedness. The interrelatedness with city comprehensive planning, this interrelatedness with the city revenue streams. Some policies have either adverse or long term impact on this. Horow/ Tim, have you also done this sort of thing within communities in a region so there's a view of interrelatedness from smaller communities to larger communities and vice versa? Shields/ Not directly. Most of the cities that I work with, well many of the cities that I work with, are sort of regional leaders by the nature of being a larger city in that area. Most places are started picking on 4-5 years ago about that relationship that they have to the communities surrounding them. Probably the earliest one to hit me on these issues, said that, was Mt. Pleasant. It was about six years ago, working down there. And in fact Mt. Pleasant was clearly aware that their economic development plans, their policies were going to have an impact on those very small towns around them. And for example, to be more specific, the mobile home policies of Crawfordsville are related to what they're trying to do in Mt. Pleasant and that's related. The folks come regionally together and sit down, I haven't seen that happen around this issue. I'm not saying it hasn't happened. I think Greater Des Moines area there's some movement in that way. Horow/ Thank you. Shields/ That's it. Those are some assumptions. I mean I say all that Just to kind of give you an idea, number one, if I'm really off target from your perceptions and your perspectives this gives us a chance to clarify that. Also try to see if there's any way during this discussion I might be of help, just sharing what other folks are doing. I don't think what This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 6 other folks are doing, like I said, there's no bandaid to take from Fairfield to put here or from Orange City to here or from any where or from Ames. But these are some of those assumptions I think that drives this issue. Kubby/ Tim, I think I have two comments about these assumptions. One is that I guess I want to expand your assumption about the market driven part. But it's not just supply and demand of housing but the market of financing. Shields/ Yes. Absolutely. Kubby/ Is part of that. And on number six, on interrelatedness, I think be true about Mt. Pleasant in terms of Mt. Pleasant or Orange City with those $250,000 homes freeing up $60-80,000 homes may or may not be true. I really think, I agree with the generalized value but the specific examples that we might come up with may or may not work in a community that has influx of people all the time. Shields/ Absolutely. And all of these places, and I guess my whole point about the complexity of this thing is some of the cities I've worked with, the problem has been that they don't have enough builders any more. that somewhere in the '70's three or four builders went out of business and just pull one out of the air fictitiously like Carroll, Iowa. And then all of a sudden you've only got two builders in town so they've got a lot of trouble. And that becomes an affordable housing problem. In other places, we've got so much competition that the price of land has been driven up so much that it has an impact. So when we talk about affordable housing as a state wide issue, my (can't hear) six years later, seven years later, since I started seeing it show up, is that we have Iowa City's problems with affordable housing. We have Ames problems with affordable housing. This is only part of everybody's problem, but it still plays out very specifically and very differently in various situations. Let me do you this with you and before we ask the staff to do this history or part of it. Number one, is I want to find out the outcomes you want to get out of this forum. If this is consistent with what you wanted to do, let me know. And if there is a more specific way of saying it, let me know. Throg/ Agreements, the word itself implies that we would come to firm agreements that somehow would then be imposed on the rest of the community. I guess that's a bit bothersome to me if that's what you mean. The idea that there are multiple Th~srepmsen1s~n~yare~s~nab~yaccuratetranscript~fthe~wac~tyc~unc~meet~ng~fSeptember3~1995~ WS093095 September 30, 1995 Council Work Session Page 7 definitions and that there should be a partnership and it's highly politically charged implies that there's a lot more that has to take place after this. Shields/ I agree with that. I don't mean to imply that you'd come to a finite agreement on specific element of a policy, but I think that my perception of looking a little- of course I know a little bit more about you and what has happened here then what I might know about some cities. There's few cities that I probably know more about then here. But my point would be that I'm talking about agreements about how the council is going to work on this issue. Is that- Throg/ Sure. Shields/ Okay. Baker/ I want to go back to something I said earlier in other meetings. I visualize this meeting as an expression of subsidized housing. Now it's expanded beyond that and I understand the interrelatedness of affordable housing and subsidized housing but it seems to me we could reach some agreements, maybe not necessarily today, but it would be easier to reach agreements about subsidized housing goals and policies then it would about affordable housing goals and policies, because even though they're connected, I'm wondering if in this community we had no subsidized housing program at all and that was not debated, we would still have an affordable housing issue that people would still be talking about a cost of living, primarily housing, in Iowa City. And that's the issue that I don't see us being able to do at this level at this meeting or even among ourselves getting clearer directions on and I sort of visualize things, other groups working together in them, whether it's task force or something else, taking that preliminary memo we got about barriers to affordable housing and sort of coming through a process like the Vision statement process with recommendations from groups of people about affordable housing issues. I mean when I first talked about this back in September, I was visualizing a discussion of subsidized housing to avoid the confrontations when specific projects get to us after going through a long process. So I don't know what we can agree on by the end of the day, but I mean I would hope that we can get some focus on specifically subsidized housing. Shields/ How do the rest of you feel about that? Thlsrepresents onlyareasonablyeccuretetranscrlptlon ofthelowaCitycouncl] meeting ofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 8 Horow/ I tend to think to it's impossible to focus on that because it's only one element of the larger picture. Pigott/ I agree. Nov/ However though, it's only one element. It's the element on which the city council has control. Baker/ More so than anything else. Kubby/ Well it matters what you mean by subsidized housing and if that's true or not. If you're talking about Section 8 Housing Certificate Program, we have limited control of that because we have federal guidelines and it's part of the market that's government and market controlled. If you're talking about us giving grant monies to non-profits or other organizations, we do have more control over that. Nov/ We have more control period over subsidized housing. Audience/ It's hard for some folks to hear. I don't know if your amplifier's not on. Horow/ We are amplified but we'll talk louder. Shields/ I want to lay a ground rule that's very interesting to me and very pertinent as a resident of Iowa City to see you folks are interested enough to spend some of your Saturday morning here. My understanding of this is of course it's an open meeting as is any meeting of the council. But mind you this is for the purpose of the council to speak with each other. This is not for the purpose of public interaction. This is not a public hearing. This is for you to be able to speak with each other. Otherwise, we need to- Throg/ Agreed that these points clearly concern lots of people. We want to hear the conversation and if we don't speak loudly enough, it's not possible to hear. Shields/ Project when you're talking to each other. Horow/ Tim, I wonder if the agreement issue might not be raised again half way through. Shields/ Sure. Horow/ Let's get the history from the staff. Th~srepr~sents~n~y~reas~n~b~yaccuratetrans~pt~n~fthe~w~c~tyc~unc~meeting~fseptember3~1995~ WS093095 September 30, 1995 Council Work Session Page 9 Shields/ We can do that. Horow/ Which might remind us all in terms of where we are, how much we got, and what we've done. Shields/ Can I suggest too that by way of trying to, what Larry's suggesting by the way makes things a lot clearer, a little bit easier in some ways, that we might take this in terms of what do we take on first. And the interrelatedness is never going to get away from us I'm afraid. Throg/ I understand. Shields/ But if we take that on first because of the recent experiences you've had here. Kubby/ I don't know that I want to agree to that right away. I'd rather- Steve had said that we were going to go through a process of brainstorming. And we might- and prioritization and if that comes up to be in the top then maybe we focus on some top issues or something. But I'd rather not focus on one spectrum of the facets. Throg/ I'd like to say also that I don't think we ought to focus narrowly on subsidized housing at this point, partly because several council members at the table have already submitted to one another memos that raise particular topics that are not necessarily directly related to subsidized housing. And that those topics should be on the table. Baker/ And I just want to say, I don't consider subsidized housing issue being subsidized housing a narrow issue. If we can get some agreement on- Throg/ Narrower. Baker/ Narrower. Shields/ What I'm learning already is the definitional work is part of what we need to do. Throg/ Absolutely. Shields/ So those comments being listened to, then we can agree with this or there's some other outcomes that you're after that I'm not aware of. We have said that part of this is doing some brainstorming and I certainly- It's certainly what I Thisrepresents ~n~y areas~nab~yaccuratetransc~pt~n~fthe~w~cityc~unci~meet~ng~fseptember3~1995~ WS093095 September 30, 1995 Council Work Session Page 10 would expect to do around these issues, those opportunities, those things. In essence what I want to brainstorm on is what do you need to talk about? What do you need to get before this council to be able to really discuss. Kubby/ I guess I'd like us to spend most of our time on the implementation part of it and some of that focus will come some things. Horow/ I don't agree with that. I think that's what we're going to have to. Shields/ Okay. Well let's try to move. Let me ask you now. This is serious. This is a serious question and I think maybe a beginning, maybe will help hopefully. I had a question for you, and that is, why is this an issue? Kubby/ Because we disagree on very basic issues. Shields/ Why is housing, however we define it, affordable housing, housing and issue and does the city have an obligation in this area? And I'd like to hear from all of you. I want to start with the why. Horow/ We do this before we get to staff's history? Shields/ Yes. Pigott/ You know, I think council may agree that affordable housing, housing for people under the median income in some way, is important. How you get to do that is really a big question. Shields/ We're going to talk about the how, but I want to know, I want to start with this question why. Pigott/ And we've faced a number of issues over the last couple of years at least and had different votes on it and disagreements on it in a couple of different areas, Greenview and the northside of town as well. And part of that process I think from my perspective was a sense of frustration over so what projects do we do you know and where. Let's discuss, let's back up from it and that's where it stems from in my own opinion. Baker/ I want to go further back than that which is why we are on city council. I think one of the expectations of people of Thisrepresents onlyareesonably accuratetranscription ofthelowaCitycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 11 here and if the extent that they comfortably they whether it is in whatever. So that their government of whatever level it is that the government is acts as-There is more roles here. But one of their roles is a buffer or a control against the market. There are forces out there that controls people's lives and one of the things that you do as a government is sort of step in and help mitigate those consequences whether it is with regulation or whatever. And so, what people expect us to do is help them live in Iowa City within their means. I mean they want us to help them live cost alters people's behavior to such an can't live here or they can't live here want some relief from their government the form of a subsidy or regulation or is why it is an issue. If the market had solved all of these problems we wouldn't we talking about it. Kubby/ I agree with Larry very strongly in that what I am seeing is a trend where it is harder and harder for people living on moderate and lower incomes to live here. People who work here, many people can't afford to live here and because the market is not doing it on its own that is the role of government. I really like your statement a great deal, a lot. Baker/ I am always use to hearing this figure, 30% figure. If you spend more than 30% of your income on housing there is something out of whack here and when Ginger and I sit down and to the bills every month we are spending more than 30% on housing. Shields/ I want to get each one of you to respond to this question and you are doing it. It is why do we, and both of you implied there is an obligation obviously, and I am looking for the why. Why or why is this issue? Horow/ For me, the obligation as a council member also extends to the rest of the city who has made an investment in the city and in their home and the tensions that then come from a public bodies such as council assisting citizens to live in what is seen as an expensive city. That tension then for me has made me step back and say wait a minute, it is more than just helping someone living in this city. It is looking also to assist those people who are living here to maintain their neighborhoods. That they maintain some sort of equity in their investment and then the other angle of this which has made, just actually baffle me and I am happy to see the Director of Iowa Economic Development says Iowa City is on the cutting edge and that is that it is more than just providing shelter to those folks who are for low income. It is a total support Thisrepresents only areason'ably accuratetranscription ofthelowa Citycouncil meeting of Septembsr30,1995. WS093095 September 30, 1995 Council Work Session Page 12 to human infrastructure of helping them learn to live in that house, maintain it so that their investment in it continues to grow and that helping them learn how to live in a neighborhood which strengthens the neighborhood and the schools. In other words, we are seeing what a transient society at least this is becoming more and more obvious to me. That it isn't just providing a shelter for someone. It is the accoutrements that goes along with it and that is expensive. And if we have scarce resources right now and we see looming scarcer resources then for me this issue really needs to have us step back and be a little bit more realistic in terms of how much we can actually provide to help citizens live in Iowa City. Shields/ Jim, how about for you, the why on this. Throg/ Well, the main point would be that if people cannot afford to live in the city then they won't. And taken to extreme that would mean that no one would live here if it was truly unaffordable housing problem that is pretty deep. So, I think that there would likely be the affect that in effect creating an upper income ghetto in this particular area of this particular city. That lower income people would be driven out of this city. This is hypothetical is that lower income people would be driven out of the city and it would be primarily a place for upper income people and as a result the city council would end up representing primarily upper income people. I am kind of pushing to its extreme. Shields/ This is the imperfect way of capturing what you are saying, that part of that is to be able to maintain the diversity in this community and not get it to a narrowly focused community. Throg/ ¥eah. Shields/ Ernie, the why of this issue? Lehman/ I guess I don't agree that the city has an obligation. I think we choose to help with housing because we think it is a good idea. I don't think we have an obligation. I do think it is a good idea. We have chosen that and I think that working within that pretext we do what we can. I also think and this is a tough thing to say but I do believe that not everybody can afford to live in Iowa City and I think we have to accept that. I think we need to make it as affordable as we can but I think we have to realize that we can't make it affordable for everybody. Can't do it. You know, and I think that is part This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 13 of the market you were talking about before. You know, this is a community where the cost of living is probably the highest in the State of Iowa. We could do what we can for low and very low income people to try to make it possible for them to live here but we have to recognize and accept the fact that we cannot make it affordable for everybody. I think we need to do that up front other wise we are going to be frustrated forever. Shields/ Ernie, you say without an obligation in your point of view. But you have agreed that it is a good idea to move ahead- Lehman/ I think we all agree this is a good- Shields/ Why? Lehman/ Why? Shields/ What is the purpose? Lehman/ I think-Jim's points, diversity. We need a good mix of people in this community and I think we all agree to that. I think we all agree that we need to help those who are less fortunate. We help folks- We have seen people grow, they have a tough time, they get better and better. Pretty soon, you know, they can do it on their own. I think that it is very important that we do that. But we choose to do that. Shields/ Naomi. Nov/ I do agree that there is some sort of obligation. If there are people who have no place to live. If there are people truly homeless, there is a definite government obligation. So, to some extent, I don't agree that we are not obligated. And if there are people who have vouchers and need some assistance in finding a place to use those vouchers, I feel there should be somebody in the city who has some way to help them to use those vouchers. I have a firm belief that we are not in any way obligated to subsidize homeownership. I think ownership is something that people can or cannot do entirely on their own without city government help. My analogy is I feel an obligation to provide an efficient transit system. I do not feel an obligation to help you pay for your automobile. Shields/ I want to check with you. What I am hearing you say right now is in regards to homeless, there is an obligation and Thisrepresents only areasonably accuratetranscription ofthelowaCitycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 14 indeed then there is a why for you because those folks need some assistance from their local government. Beyond that issue of homeless though and these other subsidized housing and the affordable housing area-Do you still support that the city move ahead in that or those areas? Nov/ Yes, I support subsidized housing. I think there is a need to help people find shelter and I will support Susan's theory that we don't need to necessarily do this within Iowa City. I agree that these vouchers and certificates should be usable beyond Iowa City and they are. Shields/ Larry, go ahead. Baker/ Something already said just keeps bringing me back to my frustration with this particular meeting which is definitional. That when you talk about affordable housing in this city I think you get residents in the community that they agree that they support that. When you talk about subsidized housing I think people would be less-I am speaking, sort of generalizing about what I see in the community. There is less support for subsidized housing than affordable housing and it seems like there is more consensus on this council to do something in the area of subsidized housing than there is in the community. But affordable housing to me is like the balanced budget amendment. Sounds good but when you tell people to get it you have to do X, Y, and Z, then you get a real disagreement about the value of the balanced budget or the affordable housing. So, right now, this initial frustration about definitions and where we are going with this because I want us to accomplis1% something. I am not sure where we are going today. Throg/ I need to respond briefly to just get a point on the table without elaborating on it. Larry has made a strong point about focusing on subsidized housing and I think what we need to also recognize is that s.f. homes are all subsidized. They are subsidized through federal, state income tax deductions and there are massive subsidies associated with that. So to point out 1,000 housing units under the Section 8 Program or Iowa City's Public Housing Program as being subsidized while not recognizing that all of those other houses are subsidized I think is to confuse, to obfuscate and to kind of complicate our task significantly. Baker/ And I think the distinction is absolutely valid but not helpful in this discussion. Thisrepresents ~n~y areas~n~b~yaccur~tetranscr~pt~~n~fthe~~w~Cityc~unc~~meetin9~fSeptember3~~199~. WS093095 September 30, 1995 Council Work Session Page 15 Kubby/ I think it is incredibly helpful because for me it is how do we take further advantage of that tax code. Shields/ Let me just finish this first round. Bruno- Pigott/ I would say that part of the reason is to help citizens who do work in the community who may not be able to afford because their income is below, you know, the median income, whether it is 60% or 50% or 30% to live in Iowa City. We have got a work force of people who are working at or just above minimum wages and are finding it difficult to rent much less own a home. Horow/ That comes to my question in terms of why would they need to live in Iowa City, not work here. In BDI- Pigott/ I think some of them do. Some of them find it very hard to, once rents go up, to stay in Iowa City. And what you are saying is that if their income doesn't increase the same rate that their housing prices increases, it is to bad you have got to move. I don't agree. I think that if you were working in the city and your rents go up, you shouldn't just be forced out because your job salary doesn't increase at the same rate. Horow/ That gets over into the whole business of economic development and higher wages. Pigott/ They are the connections. Horow/ That slides us into a whole other arena. That the percentage of people who do work int his city and happily live somewhere else (can't hear). Not only at the University but in the whole area of BDI. Pigott/ Maybe those people whose to live elsewhere. But some people don't have that choice or are forced into not having that choice. Horow/ My concern then is how many people we will be subsidizing to live here who we will then put in this cycle and they won't be able to escape. They can't keep it up. In other words, they will just have to constantly be subsidized in order to afford to stay here. That concerns me as well. Shields/ It kinds of gets us a little ahead when we talked about that presents a solution (can't hear). Throg/ I am just recognizing that you are pointing out the Thisrepresents only areasonablyaccuratetranscrlptlon ofthelowaCItycouncll meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 16 interrelationship among issues between definitions, between livable wage and affordable housing. They are interrelated. They define one another. But the other thing I am thinking about has to do with transportation costs. If we compel people to move out of the city because housing is not affordable in the city then all we are doing is forcing them, we are not forcing them, but they are being compelled to pay more in transportation costs to compensate for having top live somewhere else and that has real affects on housing because if you spent $5,000 a year on a car, that means you are not able to spend get $50,000 on a mortgage payment. I don't know if I am saying that quite correctly but you can finance a $50,000 mortgage with $5,000 per year. Kubby/ Also there are transportation issue within neighborhoods in the city that those individuals are going through to get to the work place. Horow/ Tim, I am tempted to get into specifics here I think as all of us are. But I really would like, if possible, do you feel we are at the point that we need to- Shields/ Yeah, I just want to point out something real quickly. I think this definition thing, I anticipated this. I mean, obviously, I introduce is as a complex subject and it is. I think for you to be successful and I don't necessarily follow Larry's lead on this but I think we have got to be clear about which element of this we are talking about in spite of their interrelatedness or else it gets very slippery because then you will not really be talking to each other. And it is limiting intellectually as that can be. I mean, I ask you as we move ahead a little bit later here this morning that we really talk about these basic elements. Lehman/ Bruno, you made a point and I don't know if you intended it that way but I guess it interested me and I think you did too Sue. You mentioned people who work in Iowa City. How important is it that folks who live in subsidized housing or Section 8 work in Iowa city. Is that an important factor? Pigott/ You mean whether they are employed? If they are not employed does that mean they shouldn't be under subsidized housing? Lehman/ You made it a point of talking about people who work in Iowa City. Is that a factor? Th~$repres~nts~n~y~reas~nab~ya~curatetransc~~pt~~n~fthe~~waC~tyc~unc~~me8t~ng~fSeptember3~~1995~ WS093095 September 30, 1995 Council Work Session Page 17 Pigott/ That is important to me that they work in Iowa City but if they are not employed, if they have lost their job I don't think that means that you say we shouldn't subsidize their housing anymore. Shields/ What I get here is not perfect agreement. But there is a consensus in the group that there is an answer to the why. I heard no one say I am indelibly opposed to the city having any role in this broader issue of housing. There is agreement there. It would appear that there is a fair amount of agreement on some level of subsidized housing. There is probably-And I think if you look at this as moving up and I don't know if it is up or down or sideways but as you move on into these other definitional areas, almost picking up on what Larry is saying, that there appears that there is less consensus. Certainly there is a why, there is an answer. I mean, I am going to presume that all of these comments mean that we are going to be in better shape if the city assumes some obligation on this role. Right? We all agree with that. I want to get the staff's present on the brief history. It might help us get focused on these specifics because, again, what I want to move back to is what are the barriers before this council to be as most effective as you can possibly be in dealing with this issue and we will get to that yet. Nov/ Before we get to staff comments, this is not a unique issue in any other college community. You will find people sitting in Ann Arbor, Bloomington, or anywhere else talking about the fact that it is so much more expensive to live here. They are not necessarily solving that but we are all discussing this issue. Shields/ You know, it goes beyond the University. I mean I worked in Urbandale for two weeks, It is an issue in Urbandale. It is an issue in West Des Moines. Kubby/ Big issue. Shields/ It is an issue in Clive. It is an issue in Orange City. Again, they are different but the university towns, I agree, have some special hold on this in terms of some ways but I don't think the fact that you are a university town is why this issue exists in Iowa City. Nov/ No, but we are talking about this as if this is something unique to Iowa City and it is not. Thisrepresents onlyareasonablyaccuratetranscrlption ofthelowaCitycouncll meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 18 Shields/ No, it is not. Let me have staff give the brief history and then we will see where we go from there. *** Chart Three Why -Ameliorate market forces -Help citizens live in Iowa City -More difficult for low/moderate income -Role in maintaining neighborhoods -Maintain diversity -Assist homeless -Help those below medium income Karin Franklin/ This is kind of a history. What we wanted to do is talk about policies that you have in place right now and then what we do as the result of those policies. First of all let me break it down into three different areas of housing that we deal with in terms of defining the housing problem as we view it. First of all it is the ability of moderate income people, and there are some definitions for that, moderate income people to access the housing market. There we are talking about owner occupied housing and it is those people accessing the market and getting out of the rental market and some of the interrelationships that Tim was talking about. The second is the lack of rental units that are affordable to people of low to moderate income and then third is the lack of adequate basic shelter for the homeless. We focus most of our efforts on the second one, the lack of affordable rental housing for low to moderate income. Why we do that? Well, let's look at the policies. We have essentially three policy documents-well, two actually. The Comprehensive Plan and the Visions Statement. The Comp Plan was adopted back in '93 and talks about considering the diversities of renters and owners. With a plan or policy statement it is going to be a very broad statement that allows you then to move within that. There are some more specific statement in these policies but I am just going to give a broad brush approach. I don't know that you need to get into that. If you want to get into it in more detail we can. The Comprehensive Plan also talks about accommodating the needs of low and moderate income people and special populations. The Vision Statement which you know is newer and is going to be the base of our updated Comprehensive Plan takes a slightly different tack in that it starts talking about diversity in the community, as Jim was talking about,that we have appropriate supply of adequate, accessible, financially and physically, and affordable housing for all Thisrepresents only areasonably accuratetranscription oftheloweCitycouncll meetlngofSeptember30.1995. WS093095 September 30, 1995 Council Work Session Page 19 residents. Again, we are talking about a very broad spectrum here, renter and owner occupied. That there will be a diversity of housing types and households in all neighborhoods that we create and that is again, very broad goals. City Steps then is the other document that comes into play here in terms of policy. City Steps because it is the guideline for how you make decisions on location of CDBG, HOME and Emergency Shelter grants. It is focused on low to moderate income, that 0% to 80% of median income and the high priority within City Steps is provision of affordable rental housing for low income households. Low income is 50% of the median or less. So that is the framework within which the Department of Planning and Community Development and Department of Housing and Inspection Services. the Public Housing Authority-what we work within. The tools that we have as a government to deal with these broad issues are the regulatory tools, zoning and any kinds of laws which you choose to pass, namely zoning. And then funding programs. The funding programs are largely federal dollars. We spend some local money but it is largely federal dollars. So that, too, Karen you pointed out, is going to direct somewhat what we focus on. Most of our efforts in the housing area have been focused in the funding part of it. What kind of projects we are going to fund, what we are going to do in terms of Public Housing and Section 8. This is then looking at rental housing for low incomes persons consistent with City Steps. It views the expenditure of public funds as appropriate in meeting the needs of the neediest. I think that is where all of that comes from, not just at the local level but also at the federal level. I want to kind of describe the sort-not the sort, bad word, the income levels of people that we are dealing with when we are talking about low to moderate income. This table of income guidelines shows you what the different income levels are. Median income, 80% of median down to 30% of median. We are going to focus on a family of four. The median income in Iowa City is $47,000, that is for a family of four. Now that changes, HUD reviews these annually and revises the median income and the percentages obviously follow. 80% of median is $37,600. Then I am going to go to 50 because that is the category we deal with most. A family four, 50% of median, $23,500. 30% of median which we would consider very low income is $14,100 or less. CHANGE TAPE TO REEL 95-116 SIDE 2 Franklin/ Now what I want to look at just to point out what we dealing with. I know this is very hard for people to see. Do you have copies? Marian has some copies that she will pass This ~presents only ereasonably accuratetranscription ofthelowa Citycouncil meefingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 20 around. Okay, a family of four you have 30% of median, 50% of median, and 80% of median as I just outlined for you. The 30% of their income which is the figure that Larry was talking about uses a bench mark for looking at where they fit in and how much is being spent for housing, whether it is an interim amount. For monthly housing costs and this can cover rent or it can cover mortgage and all the things that go with buying a home. For someone who is at 30% of median and a family of four, they can spend $353 a month. 50% of median where they are making $23,500 they can spend $588 a month. 80% of median they can spend $940 a month. Now that is just saying that you spend 30% of your income and does not take into consideration what some of the other costs of living may be in a particular community. Average Iowa City market rent for a two bedroom and three bedroom apartment, $599 and $781. Now that is average rent which of course means there are apartments available that are lower than that. But look at those figures. We have just eliminated the 30% and 50% of median. Kubby/ Do these figures include utilities? Franklin/ These figures do not include utilities, no. Kubby/ Does the 30% of income figure income utilities? Franklin/ It could. That is what you have to work with to pay your rent which may or may not include your utilities. To pay your mortgage payment your utilities, your insurance, your taxes. Nov/ Some rents do include utilities. Franklin/ Yes. Pigott/ Some do, yeah. Milkman/ These figures, the 30% for rent does include utilities. You are not suppose to pay more than 30% of your rent for shelter costs plus utilities. Franklin/ These are all for shelter costs. Baker/ Karin, again for clarification, annual gross income is not take home pay. Is that right? Franklin/ That is right. Baker/ The housing costs is gross housing costs. The figure there Thisrepresents onlysrsasonably accuratetranscription ofthelowe Citycouncil msetlngofSeptembsr30,1995. WS093095 September 30, 1995 Council Work Session Page 21 is a little bit misleading. Franklin/ That is what I say that when you look at these numbers which $940 sounds high. When you think of what it includes but then also what other expenses you have and what your take home is. Baker/ The 30% figure is a little bit misleading because it is not 30% of your gross, it is 30% of your net. Okay. Nov/ Oh, no- Milkman/ The way HUD calculates it is to say that you should not spend more than 30% of your gross annual income. Baker/ I understand that but I am just saying that that is a misleading- Throg/ I don't understand what you are- Baker/ You are not taking home $37,600. But you are really spending a lot more than 30%- Throg/ Of your net, yeah, sure. Franklin/ It is a guideline that we use to make an evaluation so it doesn't have to be precise. But the idea is that we have some comparison here to see what it is that we are working with. Kubby/ It makes the situation seem worse. Pigott/ It actually does. It doesn't help it. Kubby/ This is being conservative. Franklin/ In terms of homeownership opportunities, this is a very important part of this. We figure that given what one can spend on monthly housing costs as conservatively as this is, that in 30% of median income, forget homeownership, it is just not a reality unless it is highly subsidized. Now we are talking now here without subsidized market. 30% of median income, no home ownership. 50% of median income you can afford $47,000 house. 80%-$87,000. Again, with all the qualifiers we have put on this. Last year from January to June 1995 there were four houses that were under $47,000 sold in Iowa City. There were 56 houses in the $47,000 to $87,000 range. So we had 60 houses that might be accessible to these folks here. My This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 22 point being that to talk about home ownership and the 0% to 80% median income is probably very unrealistic unless you are talking about an extremely large subsidy. Throg/ Karin, what percent of households in Iowa City are at or below 80% of median income? I assume it is greater than 18% or greater than about 20% because you got 20% of the houses that are being sold are at or below 80% of median income. Franklin/ Yes. Kubby/ Look at our census figures-more than 20% of our population at or below 80%. Nov/ If you are using the census figures, you are also counting all of the people who have no intention of staying in Iowa City. You are counting all of the students who will be here for a couple of years and will then have a better job and buy a house somewhere else. So it is very difficult to compare census figures on income. Kubby/ We still have to provide housing of some sort for the people who are here as well-And many students, for example, I went to school here and I have been here 20 years. I stayed here. Nov/ But not everyone who is a student is necessarily interested in ownership or is necessarily interested in being part of this particular statistic. So it is difficult to say we are going to compare the total of residents under this income level to the total availability of housing ownership. Kubby/ I am saying housing available to people at or below 80% no matter what form it takes or whether it is ownership by the bank or by- Nov/ Karen, the better comparison is people who are in the housing market, what interest in buying houses, and then the availability of houses that they can afford rather than the total population of that income level. Kubby/ If we are talking about homeownership, looking at those figures- Shields/ Let's move on, could we? Franklin/ Point being that what we have done in terms of the staff is focused very much on the rental aspect. Not that we haven't Thlsrepresents only 8reasonably 8ccuratetranscrlptlonofthe]owaCltycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 23 looked at the owner occupied at all, we will get into that. The first program to really take a look at risk rentals is the federally funded programs of Public Housing and Section 8 and I want Doug to just quickly run through those two programs and how they work. One of our efforts is to try to get us all on a kind of level field as to what we know. Doug Boothroy/ One thing I want to mention is that one of the reasons that you are here is to talk about affordable housing. The why that was brought up before is that the Iowa City Housing Authority it is your charge to be involved with providing subsidized housing in a major way within a community, not just within Iowa City but also in our service area which has got the same problem you have in Johnson County, Iowa County, and Washington County. I want to talk about three things, actually five things today with regard to the Iowa City Housing Authority. I want to talk a little bit about funding. I want to compare Public Housing to Section 8. I want to talk a little bit about the difference between vouchers and certificates and I also want to talk a little bit about the future. The point I want to make about funding is that the Iowa city Housing Authority not only provides subsidizes housing to a large number of people. We have 977 certificates and vouchers that are out in the market plus we will have, as a result of the construction. At the end of construction of Whispering Meadow, approximate 125 Public Housing units. So when we talk about money coming into the community, we are talking about only Section 8 and the fact sheet that I handed out to you earlier. That is this year going to be $3.8 million, over $3.8 million. Two things are happening with that money that you need to understand. First of all none of the money is paid to the tenants. It goes directly into the economy. It goes directly to the landlords an that money then is circulated as a result of goods and services that are expended that way. I think there is often times a misunderstanding that the money that we receive somehow is welfare, somehow goes directly to the tenant for them to choose how they are going to spend that money. They don't have a choice on that. They have a choice of where they want to live in the Section 8 Program. They can live wherever they want and you get to that other point that was raised earlier in terms of what people are interested in. One thing the Section 8 Program does is it levels the playing field with regard to housing location. Somebody that is able to find housing with the certificate or voucher can choose to live anywhere they want in Johnson County. They can live in North Liberty, they can live in Iowa City. Actually they don't even Thlsrepresents onlyareasonably accuratetranscription ofthalowa Ci~ council meeting of September30,1895. WS093095 September 30, 1995 Council Work Session Page 24 have to live in Johnson County. We have people living in Williamsburg. So if you happen to get a complaint or anything see a city car out in Williamsburg it is not that they are at the discount mall, they are out there doing an inspection. I just want you to understand the breadth of what is happening. The statistics I showed you, of course, indicate that most people when they have the right to choose where they want to live and also given the fact that Iowa City has high rents, choose to live in Iowa City. Over 70%, close to 80% as I recall, I don't have those numbers in front of me are choosing to live where the services are, are choosing to live within this community. So $3.8 million this year. It was $3.5 last you. It was over $3 million the year before. It is all coming back into the (can't hear). It is circulating, it is buying goods and services, it is providing jobs in some fashion. This year we have even more. As the Iowa City Housing Authority, we are spending even more. We are spending $3.2 million in building houses down in Whispering Meadows. That is hiring contractors, that bought land, it did a number of things. It is the major s.f. detached going on in this community. have built in a vicinity of Authority has contributed close to being out and we and attached development that is I think of today, I think Ron, we 120 houses. The Iowa City Housing 33 of those. The year is getting have provided a lot of jobs as a result of that particular construction project. In a year, as it turns out it is very appropriate, in a year where s.f. construction is at its low. So it is a very positive spin on that. We are getting funds this year as a Housing Authority. All those moneys, all of those moneys are buying goods and services. We are buying refrigerators, we are buying roofs, we are buying windows and we are buying all of that locally and that supports the local economy. We have also spent another $1 million in the last year to buy ten houses which we paid 6% in Realtor fees and we also gave people opportunities to move and all those ten houses almost everybody chose to relocate within this area in Johnson County and bought other houses. So we are looking at, in this year alone since the 1st of January and by the time we get through January of next year we will spent as the Iowa City Housing Authority directly into this economic market over $8 million and that is a lot of positives that are happening as a result of providing housing opportunities for low income people. So you got to look at it as there is a flip side. A lot of times people are talking about the negative and where are these people coming from. Well, as it turns out, they are actually coming from Iowa. They are mostly coming from Johnson County or they are coming from our service area. They are not coming Thlsrepresentsonlyareasonablyaccuratetranscrlptlon ofthelowaCltycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 25 from Chicago or Minneapolis and so we are providing not only housing but we are also providing an economic engine for goods and services within the community. Kubby/ And the landlords get the full rent. They are not asked to have below market rents. They ask what they want and the tenant pays 30% of their income and the feds pay the rest up to the fair market rent and then the tenants pay anything extra if they choose to live there. Boothroy/ I am going to hand out a chart to show the difference between vouchers and certificates that you can take with you that will help explain that in more detail. I want to distinguish next a little bit between the two programs because there is a difference between the Section 8 Program and Public Housing Programs and maybe some misunderstanding. The Public Housing Program is owned by the City of Iowa City. It is owned debt free. Section 8 is, we have no ownership. It is a subsidy that comes from the federal government that we process each month. We issue 100's of checks that go directly into private sector for the apartments that are privately owned. Public Housing by HUD's definition and my definition, too, is really an Iowa City scattered site. Largest project, 20 units, Shamrock. You can visualize Shamrock. Obviously with the Section 8 Program it is scattered site. You can live anywhere you want. You can live, as I said, up to three counties which is our service are presently. Public Housing, it is expected to stand on its own. The rents we receive are suppose to pay the overhead with little or no subsidy. That is a difficult thing to achieve but that is the goal of Public Housing. Section 8 we are not involved in that° The subsidy goes to the landlord to pay for their rent structure. Public Housing Iowa City only. We don't have Public Housing anywhere else except Iowa City. Section 8 regional or three county I should say. Public Housing has doubled since 1990. As I indicated earlier, Section 8 has grown 22%. But even if we went back 10 years, the Iowa City Housing Authority kind of ShUCk up on you. Over those last few years it is 2 1/2 to 3 times the growth compared to the Section 8 Program since 1980 and so we have been growing rather rapidly in that area. One last thing about Section 8 and Public Housing. Public Housing we select the tenants. Okay. We try to find people we feel will be able to pay the rent and maintain the property. In Section 8 we don't select the tenants. The private sector selects the tenants. Sometimes I hear people criticize about what those people are doing and why we don't do a better job selecting. We don't select people. We qualify people for Section 8 but we don't Thisrepresents only ereasonablyaccuratetranscrlptlon oftholowaCltycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 26 select where they live and who they rent with. Utilization, another point I want to talk about a little bit. 100% utilization last year. Sometimes there is a lot of discussion at least in my experiences that people can't use the Section 8 Certificates and Vouchers. They can't find housing. Well, we issue a lot of Section 8 Certificates and Vouchers every year and everybody-We serve 100% of the allocation that is given to us. There are some people that we issue certificates and vouchers to that can't find housing and sometimes the circumstances why they can't find housing are that they have some characteristics in terms of rental patterns and other things that make them unattractive for the landlords to rent to. They may have to find other support systems like Transitional Housing or something of that nature in order to get them back into the mainstream of being able to rent. But as far as your program is concerned, the Section 8 Program, we are using it and there are 100% of the families or 100% of the vouchers and certificates being used. Horow/ Doug, question, what happens to the vouchers of the person who cannot find? They have to turn them back in? Boothroy/ Yes, right. They initially get 60 days in which to seek housing. If they are having difficulty then they can get another 60 days. So they could have up to four months. One of the things about this Housing Authority that is unique and doesn't occur any place else in the state is that we have 25% turnover rate. We are able to have a lot of people look for housing at any one time. We have a margin to adjust so that we may have, for example, 100 families out looking for housing at any one point or in any one month and we only really have in terms of our actual allocation, we may only have 30. This is a hypothetical. We may only really have 30 vouchers. We are not worried because we know that turnover rate is so high that even if we over issue in any one month, the next month we can make that up if in fact that 100 becomes true. I have never had that happen where if we were out 100, actually 100 people came through. Horow/ By turnover rate you mean the people get in the home, get established and move onto to something else? Boothroy/ They leave the program for some reason. Horow/ Right, okay. Boothroy/ In comparison to places-That is why our waiting list is Thisrepresents onlyareasonably eccuratstranscriptlon oftheloweCItycouncll meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 27 so short. I think you will notice that it may seem long but in the State of Iowa, we have the shortest waiting list for assistance. You go to Waterloo it is two years, Cedar Rapids it is more than a year. I don't know what it is. But other communities, because they don't have a turnover rate because they don't move through, their waiting list is- I think Des Moines talked about recently disposing their waiting list because they couldn't get to the people that had applied. We don't have that problem here because we have such a dynamic flow of individuals through the market that we are able to continue to move people in and people move out for whatever reason. Maybe they just leave the community and go some place else. Baker/ The turnover rate, when you say it is state, I am assuming you are saying that you don't have- the highest in the is a good thing but Boothroy/ Well, it is a lot of work. It is a plus and a minus. Baker/ You can't relate it back to anything we do as a city or as a? Boothroy/ No. I think it ha's something to do with ~the University. I think it has something to do with just the dynamics of this community. Kubby/ It may be that because people have such horrible rental history, problems with landlords or just because of mental illness they become homeless. It could be they become self sufficient but it could go the other way, too, what they are not- Baker/ I can see that in every community. Those are the factors. Why this one in this community because of the nature of the population. Boothroy/ The high numbers reflect-Last month in the month of August we had 51 families simply leave the program and I don't have an explanation for it. Baker/ Is there follow up? Boothroy/ The landlords of course are obligated to let us know so they don't continue to get the check. No, we don't have any follow up on that and I don't know the answer to that. Maybe they found a job some place else. Maybe-You certainly can take Thisrepresents ~n~y~re~s~neb~yaccuratetr~nscr~ptI~n~fthe~~wa~~tyc~unci~meeting~fSeptember3~~1995~ WS093095 September 30, 1995 Council Work Session Page 28 your vouchers and certificate and transfer it to another community. So obviously they just went off the program for some reason. Let's talk a little bit about the Section 8-the difference between Section 8 Certificates and Vouchers. I will pass both directions here. I have a few extras. I don't want to spend a lot of time going through this. This is more informational like the other stuff I sent out to you. We talked a little bit about it. There is a difference between the Certificate Program and the Voucher Program. The Certificate Program guarantees the tenant pays no more than 30% of their monthly adjusted income for rent. Whereas the Voucher Program that guarantee isn't there. They may, in fact, pay more depending on what the actual rent is. Go ahead. Lehman/ What is the adjusted income? Boothroy/ There are provide us with that HUD allows that number. some-When we look at when they come in and what their income is there are some things to subtract out of that in order to sum up Lehman/ So it is not gross, it is adjusted? Boothroy/ It is adjusted, right. I'll go quickly through here. Under the Certificate Program the unit rent cannot be more than the FMR. Whereas under the Voucher Program it is not tied to the FMR. That leads to the Voucher Program where you have high rents being more attractive to apartment complexes that have a little higher rents because the FMR's are tied to an average rent within a community and they are set at 40% now, I believe. So that means that 40% or it is the 40% level, percentlie of rents in the community. So 40% of the stock may be eligible for the Certificate Program. Rent increases under the Certificate Program there is some limitations. There is allowable amounts. There are adjustment factors, usually 1-2%. Not quite the case with the vouchers. Shopping incentive, basically what I am trying to say there is from the tenants point of view they are locked in to looking for units that are at the FMR or less. Whereas with the vouchers if they want to pay more than the 30% they can. Ownership, stays with the family in both cases. Once you are in the program, unless you become self sufficient, you are eligible for that certificate until you do go off the program. Horow/ What is the longest that people keep these for? Do we have- how many years do they keep these if it stays with the family? Thisrepresents onlyareasonably accuratetrsnscription ofthelowa Citycouncil meefingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 29 Boothroy/ I don't have an answer for that. I know that we have some families that have been in the program as long as I have been director and that has been since '82. Horow/ Because that means from a budget point of view then we have a certain amount of carry over each year of families that we need to project will we or will we not receive those federal funds. I guess the question then becomes if the federal funds leave than what do we do? Do we have to be ready then to have this kitty sitting around to- Boothroy/ I can't envision- First of all if we are going to talk about the future, I don't see those federal funds drying up at all with regard to Section 8 Program. I do see a difference with Public Housing. I don't see it with Section 8. Even if the worse case scenario came true, I can't imagine that you as a City Council or the Iowa City Housing Authority would budget $4 million annually for- I can't envision that. I don't even know what percent of the city budget that is but it would be a rather significant amount. Lehman/ With a 25% turnover that would certainly make it easier for us if things started to dry up. Boothroy/ You mean through- Kubby/ Attrition. Boothroy/ Yeah, you could do it that way. It wouldn't take long. Affordability, generally speaking certificates can be used anywhere within the State of Iowa and Iowa City Housing Authority cannot stop people from moving. And the same thing with vouchers. They can go anywhere within the continental- anywhere within the United States I guess. And there is some limitations on the total number of vouchers that we have to allow to go out in that area. Finally I will talk briefly about future direction and I am just going to make three points with this. #1 Public Housing in the future-And these are just projections. These are things I hear HUD saying and I want you to understand that you have to put it in the framework that with all of this stuff you have to tune in tomorrow because it could all change. So what I say right now about the future may not really have any bearing on the future at all. But the best reading I have at this point in time and I believe that this is probably going to happen. I believe Public Housing in the future will become publicly owned housing that may not be public housing. What I mean by that is This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 30 that what I hear that is been happening in Congress and I think with HUD as well that they are supporting is that certainly in rural areas like Iowa and in other places like this they say any support for Public Housing in the future is going to fry up and basically if we have 125 Public Housing units they will issue us 125 vouchers and tell these people they can go wherever they want and then as far as the Housing Authority is concerned then we have a choice do we continue to rent to low income people or do we try to make our overhead? Do we rent at FMR, etc.? So, I see the future for our Public Housing to be just city owned property that we are renting out and we may have some policies and things to talk about with regard to that. But we will try to always put vouchers and certificates in them. If they are not desirable like in some of the parts of the country there is some real concern if your Public Housing isn't desirable that they end it. Kubby/ Although we are pretty much in a different situation. Boothroy/ We are in a very much different situation. In fact, I think we may be in a-Because most of our housing stock is s.f. and duplex, we have a very good market advantage. #2-The Section 8 Program is going to become one. I don't think we will see vouchers and certificates. I think everybody seems to want to be heading towards the idea of maybe just a Voucher Program. That may have some negative impacts on the tenants but that is another whole thing to talk about. And finally I think we will continue to see tightening up with the administrative fees in the Section 8 Program and what that is going to do is it is going to require the Housing Authority to become even more efficient. What I think it means for us or for the State of Iowa is that small housing authority where they only have 10-20 units. They are going to go out of existence and larger housing authorities like this housing authority or Des Moines or some place is going to be asked whether they are willing to absorb and become even more regional than we are at this point. Kubby/ Thanks. Baker/ Karin, before Doug sits down, can I ask you specific questions about this sheet here, this informational sheet. I mean just factual questions. I just want to get some things cleared up. Going down the list starting on the left hand column. We are the third largest in the state. Is that per capita, gross units or money? What determines that? Thisrepresents ~n~yar~as~nab~yaccuratetranscr~pt~n~fth~wacityc~unci~me~t~ng~fSe~t~mb~r3~1995. WS093095 September 30, 1995 Council Work Session Page 31 Boothroy/ Number of units. Baker/ Number of units. That has nothing to do with per capita? Okay. So per capita does that make us even higher? Boothroy/ I don't know. I would have to- Baker/ Public Housing, paid for by the federal government. We own it though, right? Boothroy/ Right. They gave it to us about 1985-86. They said they got rid of some of their debt by g~ving it to us. Baker/ And we determine all the policies? Boothroy/ They are some ties. For example, when they gave all the public housing to us back at that point we had to sign an agreement that before we sold it off or did something with it we had to consult with them. Essentially that is it. There are some performance funding type of things that we have to report back. So reporting requirements. Baker/ And the total Iowa City Housing Authority is almost all federal money? Boothroy/ I would say 99% federal monies. Baker/ And is there a pattern? Boothroy/ I don't get any money from the Housing Authority for my salary. So there is some local infusion. Baker/ On the Section 8 Program, Vouchers and/or Certificates. Is there a pattern to the complaints or concerns you get back from landlords participating in the program about what makes it counter productive for them to participate? Boothroy/ Paperwork is one of the issues that comes up. There is also a concern about criticisms about the client, about the quality of the clients behavior. Baker/ What about a damage deposit policy? Boothroy/ The damage deposit sometimes becomes a and not always but it has been an issue. Baker/ Is that federal regulation (can't hear). This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 32 Boothroy/ That is correct. Almost everything in the Section 8 Program is federally regulated. Baker/ Administrative costs, administrative costs? is there a percentage-17% Boothroy/ It is over 7%. I think it works out to, I will try to get that number for you, it is over $40 per unit on an average. So when you are looking at-I try to think of it in terms of that number and I can get that exact number for you if you want but I don't have it on the top of my head. But it- Every unit we have on, like being in the school system, every unit in use or every student you got enrolled you get so much back from the federal government. Baker/ And on your wait list, you say it is a short wait list because of the turnover time. Have the numbers changed in the last few years? Boothroy/ Our waiting list of probably a little shorter than it was than five years ago because we have more units. But we have been averaging for the last couple of years anyway about six months. Baker/ Is there any sense of pattern about people trying to get into the program, where they have come from, or how long have they been here or long term residents or do you have any sort of demographic history beyond just they applied? Boothroy/ Well, all we know is when they come in an apply they give us their address and as I indicated on that 71% live in our jurisdiction, our service area. Baker/ There is no waiting period before they can apply or anything like that? Boothroy/ No. There is a waiting period if you want to- For example, Cedar Rapids waiting list is much longer. So it is one or two years. I thinking it was two years to get assistance in Cedar Rapids. But you have to have-in order to do that, let's say if you wanted to live in Cedar Rapids and you are low income, somebody said well, gee, I will come down to Iowa City because they told me six months. The problem with that is they would be six months on our waiting list but then they also have to establish a one year residency within the community before they can move to another jurisdiction. So there is that limitation. Thlsrepresentsonlyareasonablyaccuratetranscrlptlon ofthelowaCltycouncllmeetingofSeptembe~30,1995. WS093095 September 30, 1995 Council Work Session Page 33 Baker/ And on Public Housing you said the city has control over selecting the tenants? Boothroy/ Right. Baker/ Is that just, you know, economic criteria? Boothroy/ No, we would look at family characteristics because we have two bedrooms and three bedrooms and four bedrooms. So we make those kinds of matches. We also look at if there have been-if they have been some place where they have caused a lot of damages in the past. If they have a poor record like that we may not want to move them one of the units that we have because it could create problems for our other tenants that live in that area. Baker/ Are those guidelines somewhere specifies or clear up front? Boothroy/ They're just basically the same guidelines that the private sector use to make sure they have good renters. Baker/ But you're looking at a behavioral record in some sense. Boothroy/ We do references. Baker/ Okay. Franklin/ That's correct. We do references. Kubby/ Do people, if someone gets to the top of a list for the Section 8 program, that they qualify and there's a unit that's appropriate in public housing that they get switched over, or have the opportunity to choose to switch over? Boothroy/ People have the opportunity to choose. They don't automatically get assigned public housing. So we have when we take applications, we offer that opportunity to see if people are interested in (can't hear) public housing. If they're interested in public housing, then they have to provide us with some references as far as their application. If we don't have a pool of people interested in living in public housing, then what the next step is that we go into our applicants for Section 8 and we begin getting a hold of people saying, okay, you're at the top of the waiting list. We're now ready to issue. Would you be interested in (can't hear). But some, as you look at our demographics, 40% or more are elderly, handicapped, disabled, three bedroom homes where you've got Thisrepresents only areasonably accur~etrenscriptlon ofthelowa Citycouncil meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 34 maybe a single person. It just isn't appropriate for those people or (can't hear) HUD regulations over house people. So there are some limitations in that area. Baker/ So if someone's on the list, they could be jumped over by somebody more appropriate for the unit available? Boothroy/ Even though they wouldn't be jumped over, if you're a single person you would probably get a certificate or voucher, and if you're a family of four and you were interested in public housing, you would be able to move into the public housing unit. Both would get assistance. Franklin/ Public housing and Section 8 are one approach that we take and I'm passing out a sheet that shows the rental housing assistance that we provide to low income households and under item B, it's housing provided by other organizations. That's where we work with private non-profit for the most part projects in allocating funds, potentially CDBG and Home Funds, however some if these projects also are the old section 202, which is just a federal block section, projects. Pheasant Ridge, Cedarwood, Ecumenical Housing, Capitol house are all one projects that were done under the 202 program. This is where there are other entities besides the city alone getting into this. That is providing rental housing for low to moderate income individuals. Usually what we're serving in here and Doug's programs serve basically the 50% of median and less. Boothroy/ Only. Franklin/ Only. Boothroy/ I don't want anybody to misunderstand. Franklin/ 50% of median or less. Under item B, primarily what is being served, the people that are being served there are 60- 65% of median or less. However most of the clients here are also 50% of the median or less. And the important point of that is we've got a gap in just this income level we're talking about become 50 and 80% of the median where there are not focused programs for housing for these individuals and remember who they are on terms of their income. Kubby/ There's some discrepancies between numbers, between what Doug told us about vouchers and certificates and what's on here as part of his number. He told us 877 and it's 663 on the ThlsrepresentsonlyareasonablyaccuretetranscriptlonofthelowaCl~ councilmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 35 chart. Milkman/ Only in Iowa City. Kubby/ Okay. Throg/ So there's about 250 units, Section 8 or public housing and they're located outside of Iowa City? Boothroy/ No Public Housing. Throg/ Just Section 8. About 250 that are located outside of Iowa City° Boothroy/ I would have to look at numbers (can't hear). Franklin/ W~en you get into these kind of projects, that's when you get into of the other issues that we deal with. It's not just a matter of allocating funds. It's also a matter of finding a place where these projects can appear. The Greenview Project was one. The Greater Iowa City Project is another one there. The Burns project is one. The Garden Apartments, when we did that project there was some discussion even though the zoning was in place, about the appropriateness in terms of concentration. The concentration issue geographically in projects obviously has been an issue for the council and for the community. With some of these projects, they will inspire in time. One of the questions that comes up is, why don't a lot of private developers get into this kind of thing when there is, what is perceived to be, an enormous subsidy. First of all it is not an enormous subsidy, but that certainly is the perception I think on the street. One of the reasons that a lot of people don't get involved in these kind of projects is that you have to commit yourself to these projects over a period of years. It is the management and maintenance of the project and monitoring the tenants in terms of income levels and making sure that they're still qualified over a period of up to 15-20 years. So that is significant in terms of someone's information to get involved in this type of project, They also have put together with a whole package of funding sources which it takes a certain amount of skill and enormous patience to do. The CDBG and HOME money that we talk about putting into one of these projects is usually seed money. It in terms of the entire project a minuscule amount but it gets things rolling and it's up to the developer to go for low income housing tax credits, state HOME money, private investment, where ever those funds can be derived. Other ThlsrepresentsonlyareasonablyaccuratetranscrlptionofthelowaCItycouncll meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 36 things that you have been involved with in terms of owner occupancy and not rentals are the projects that we have done in terms of house moves. Sycamore View, the subdivision that the city was involved in. Owner occupied rehab, as federal money, we put a lot of money into it but it often- it is all owner occupied now. A lot of the households in the owner occupied rehab are at 50% of median or less. But that's not because those households have entered the housing market, for the most part. It's because they are elderly people who own a house and fall within that income pattern. Horow/ Karen, have we utilized the survey that was taken among the elderly a number of years ago in terms of their desire to be able to move into a congregate location, thereby freeing up some of these houses that we've rehabilitated. Franklin/ My recollection of that survey was that there was not a significant number that did want to make that move~ Doug, you were involved that survey. Boothroy/ About ten years ago. Franklin/ No we haven't. Boothroy/ That was ten years ago. Nov/ Oh no, it wasn't that long ago. It was something done after the Senior Center or the Ecumenical Housing Board-No, it wasn't that long ago. Kubby/ It just kind of fell flat. There wasn't support in the community for that kind of housing at that time. Franklin/ The modular house on Fifth Avenue was another example of a way that we have tried to get people into our occupied housing° The subsidies on these projects are great. now, when I say great I am talking about $30,000 or more for one household and I think that is an issue that has to be part of this conversation. We still are targeting in those projects the 0% to 80% median income but it is not a particularly efficient way to use public funds. Throg/ Karin, help me understand. When you say these types of projects, tell me again what those projects are. Franklin/ Owner occupied where we are trying to place people in s.f. detached housing that they will own and the subsidy is Thlsrepresentsonlyareasonably accuratetranscrlptlon ofthelowaCttycouncllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 37 usually a silent second mortgage and now all the work that goes into actually getting that home and we have tried a number of different ways to do that from house moves to the modular houses. Nov/ And that requires an obligation to keep it for low moderate income for 15 years? Franklin/ Right. Now one of the main points about this other project is the challenge of finding a location for them. Keep that one in mind as we get into the other way in which we can get involved in this stuff and that is the regulatory aspect. We have been talking exclusively about funding all the projects for low to moderate income folks. The regulatory aspect both of creating projects that have this particular income but then also the issue of changing the density on land. This map that tacked up here shows you all of the existing undeveloped land that is zoned multi-family residential. One way that you can increase the affordability of housing obviously is to increase the density of housing. That is something that is directed both in the Comp Plan and in the Vision Statement but we have had difficulty doing that. What we do now is we encourage private developers when they are seeking a higher density, it is usually an RS-8 as opposed to an RS-5 and wanting to do a planned development that where appropriate we will encourage them in their efforts. We encourage a mix of housing in neighborhoods. Again, where it is appropriate. One of the examples of where that has been successful is Windsor Ridge. One of the reasons it was successful was because nobody is out there. We are involved in a barrier study which is looking at for both rental housing and for owner occupied housing what are the barriers to this issue of affordability. The regulatory aspect in terms of what we are doing is much less focused and not programmatic. It is not as programmatic as these funding programs that Doug and Marianne talked about. Kubby/ Karin, can we have a list of things that are in the Comp Plan as policy that were in the Vision Statement that we voted unanimously on that aren't implemented yet so we can kind of see what have we kind of set our course on so we can either reconfirm it. I mean like increasing the land zoned for multi- family. Is there kind of a list of those kinds of things that we have agreed to but haven't acted on yet? Franklin/ I have a list of all the things that are in the Policy Statement and Vision Statement of which I can give you right Thlsrepresentsonlyareasonab{y accuratetranscript{on ofthelowaCitycouncilmeat}ngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 38 now. However, to do what you are talking about that is to look at what it says and what we have done or haven't done, we can evaluate that. Kubby/ It seems like that is kind of the beginning of a list to reconfirm that that is still the direction. It is still- Franklin/ Remember the Policy Statements are usually pretty broad, not down to specifics. As we re-do the Comp Plan in light of having adopted the Vision Statement we are going to be getting much more specific. One of the things that I want to have come out of the Comp Plan process is that we have a broad action plan like the Historic Preservation Plan has and annually we put together an Action Plan so we can evaluate where we are. Kubby/ I think that direction is really positive for us to keep on track and to evaluate how we are doing it. Shields/ How do you feel? Do you need to take a real quick stretch? Horow/ Yes. Shields/ Keep it short though please. *** BREAK 9~45-9~50 PM *** CHANGE TAPE TO REEL 95-117 SIDE 1 Shields/ Some of the time has slipped away from us to be able to capitalize our brief time here together. Kubby/ Let's get going. Shield/ But on the other side of it what I thought-what I think I heard was that you are still hungary for information that the staff has or can provide. Not now but I mean during that interaction. They is still stuff to learn. So, I guess we will clean this up. (Can't hear). I am going to ask you to be very thoughtful and very focused about this. Let's try to develop in essence an inventory. I don't care how you describe it particularly. I am going to call it issues, questions, barriers and what I am trying to get to here is what does this group need to work on, discuss, come to agreement on, resolve, get more information on or whatever. We used the perspective here to deal with what we are going to clearly read on this very complex issue housing in this community. I want to get a This represents only o reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 39 list of all of your thinking about this and we may end up having to prioritize in order to have any time today to discuss them. But I am not willing to concede. I think it was Jim's point that we are initiating a process, we are not going to close it. Now, what I want you to do is a brainstorming exercise. (Can't hear). I am going to ask you not to soapbox a lot on your- But where you need to define it, do so. Throg/ One of the issues that we have experienced and that Karin pointed to has to do with location. So what I would like to bring up the notion of neighborhood fair share allocation of low to moderate income housing. Lehman/ One of the issues I guess that is important to me is mixed income. In other words not all one type of income because I think we have seen all over the country and even in Iowa City that concentrations don't work. Throg/ I agree completely, Ernie. Shields/ Okay, Naomi. Nov/ I don't think there is accumulation. I think all of the issues have been mentioned. Baker/ I don't know whether density if separate from location. Shield/ I don't think so. I mean I think it is rather. Baker/ (Can't hear). Council/ (All talking). Pigott/ Zoning minimum affordable units in a development as an issue. Inclusionary zoning. Horow/ Human infrastructure. A support system. I don't know what the word is but- Throg/ Child care as an example. Horow/ No, no, no. Life skills. Kubby/ Like what HACAP. Shields/ Karen- Thisrepresents only ereasonably accuratetranscrlptionofthelowa CltycouncilmeefingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 40 Kubby/ Public private partnerships to be able to tap into the tax credit advantage, one of the largest subsidies. We are probably missing some opportunities. Throg/ What about trust (can't hear). Shields/ Jim, another one? Throg/ I had three items on my list. They are all included. *** Chart Four *** Issues - Effectively 1. Location 7 -Neighborhood Fair Share 2. Mixed income housing 3. Density 4. Inclusionary zoning 5. Human infrastructure 1 6. Public private partnerships 5 Lehman/ One that Karen brought up. I don't know what the barriers are to more private participation. But there are barriers. I really think we need to address the things that prevent the private sector from becoming involved in subsidized housing. Horow/ Subsidized or mixed. Lehman/ No, well, both. The private sector does not seem to be interested and I would like to know why and if there is something we can do to encourage them to be involved. Shields/ Can I define to make sure- Part of what we are saying here and I think it is not just out of curiosity-Why isn't the market place working on this? On one hand we have proved fairly sound, I mean more than fairly sound. I mean demonstrative proof that there is demand, right? On the other hand the market is not responding to that demand. What are the barriers? Nov/ There is one barrier. There is an expectation of s.f. detached stick built housing and the expectation of the purchaser is partly what makes this less affordable. Throg/ Expectation by whom, Naomi? Nov/ The purchaser. The buyer. Thlsrepresentsonlyareasonablyaccuratetranscrlptlon ofthelowaCItycouncilmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 41 Shields/ Jim another one for discussion here. Nov/ Encourage modular housing or factory built housing or something like that. Shields/ Alternative housing? Kubby/ That means something very different to me the term alternative housing because it may be housing types or it could include coops, housing coops as well as modular homes. A whole bunch of lists under alternative housing. Nov/ We still should do something in the way of alternative housing. We could encourage more condominiums or row houses are- Shields/ Any others we should have on this list? Baker/ I think the one I had in mind is cost factors and all of these things have had cost factors. Shields/ Cost of the city's role? Baker/ And the consumer. Funding as far as the city role. Shields/ Bruno, another one. Pigott/ Trust fund ideas that are out communities like Bloomington, Indiana. public private partnerships. there in different Maybe that fits under Shields/ I don't think it does. Horow/ Or regional-cooperation is such a trite word but regional aspect. They don't all have to be built in Iowa City. Kubby/ Cost of land. Shields/ Any other major issues here, Jim- Throg/ Boy, I feel like a real dullard. It seems to me that we have raised particular proposals, ideas, suggestions that covered most of this ground, most of the territory. Shields/ Strikes me I think we probably have every Saturday morning between now and Christmas to cover right here. Thlsrepresentsonlyareasonablyaccuratetranscrlpfi~nofthe[owaCltycouncl] meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Kubby/ I don't think the list is done. Page 42 Shields/ Any others anybody has? Horow/ Economic development. If you have the houses we are in better position to encourage economic development and vice versus. Kubby/ Or even view how the housing issues alter the economic develop issues because it is part of economic development. Horow/ But I am talking about the longer term than just construction. Point is well taken. Kubby/ Businesses won't want to be here if there is not housing but- Horow/ Right. *** Chart Five *** 7. Private sector response Barriers 8. Alternative housing 2 Coops Modular Manufactured SROs 9. Cost 1 City Consumer 10. Trust funds 11. Regional 0 12. Cost of land 13. Econ Dev 1 Kubby/ Community attitude is an issue. Shields/ It has been real clear in the last year that you guys have not had an opportunity to learn about that, haven't you? Horow/ We have. Shields/ Any others? Lehman/ I think we also need to take a look at the economics of public ownership. We are looking at approximately 125 units of Thlsrepresentsonlyareasonably accuratetranscription ofthelowa CltycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session city owned housing and what the costs are. Horow/ And what property taxes are not being gained are. Page 43 from that or Shields/ Economics include the cost imposed directly and indirectly. Any others? Kubby/ I think infrastructure standards. Horow/ What do you mean, Karen? Kubby/ Street widths changes, public private partnership in terms of paying for it and we have talked about some of the street width issues. There might be other ones. Shields/ I might be broadening this too far. I would typically respond to that as subdivision requirements. Is that- Horow/ We include the financial community is this discussion? Kubby/ That would be under public private partnerships. Shields/ I think so. Horow/ Mortgages, low interest. CRA. Kubby/ Just so it is on the table under #8, I would like to add another for single room occupancy, SROs. Shields/ These are the key issues, questions, this group is going to need to talk about to be able- Horow/ Emergency housing. Lehman/ This one I think may be more of a question than suggestion but along with the certificates and vouchers and whatever, are there any regulations or requirements that we have of folks that we give (can't hear). Horow/ That is criteria. I was wondering about that too whether criteria selection would be an issue. Shields/ Criteria for selection of what? Horow/ Of people to whom we give vouchers, certificates or public housing. Thisrepresents onlyareasoneblyeccuratetranscrlptlon ofthelowa Citycouncil meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 44 Nov/ You may not select them. Horow/ In other words, we cannot be more selective than the federal guidelines? Pigott/ A landlord doesn't have to choose. Boothroy/ In terms of who qualifies for Section 8 projects, there are some local preferences that can be applied but they are only adult local preferences that are allowed by HUD. So they define some flexibility for local authorities in terms of what you can use for criteria. Keep in mind because our high turnover rate it all kind of falls out anyway. But even if you established, for example, occupancy preference or residency preference. By the time you go through the waiting list as quickly as we do we would end up serving everybody anyway. What I am saying is you can put those preferences on there but we are going to do it anyway. It is almost an exercise in making me feel good. Lehman/ Performance standards (can't hear). As far as maintenance of property of whatever. Boothroy/ That is the landlord's responsibility to select their client. Lehman/ How about with Public Housing? Boothroy/ We have a very specific list. Kubby/ But what it brings up is another issue of who is it that we want to serve when the city is involved, when local funds or local energy. We asked that question when we talked about Greenview and we didn't have a really-We talked about it for a long time before we came to a conclusion. Maybe we need to talk more about it. Who is it that we want to serve? Horow/ This to me, this performance standard also addresses the community attitudes in terms of how this community walk with these people these choices. How does the community walk with lower income or the recipients of public housing to bring them into the standards of the neighborhood in which they are located? I don't know how you say that. Throg/ I am not sure what you mean by- Horow/ It means that rather than paying forever and ever Life Thlsrepresentsonlyareasonably accuratetranscription ofthelowa Citycouncil meetlngofSeptembar30,1995. WS093095 September 30, 1995 Council Work Session Page 45 Skills type organizations, how does this community walk with the people who are the recipients of public housing, especially in s.f. units in neighborhoods? Kubby/ And it is not that every individual household needs those skills. I think that is very important for us to acknowledge. We start perpetuating- Horow/ How do you say this? Shields/ We are not talking about- I was just telling Jim on break I am going to be working with the Des Moines Public Housing Authority. One of the big issues there is this huge pressure from the neighborhood associations which are gaining a great deal of power or strength in the last 6-7 years in Des Moines. A great deal of pressure coming from them to deal with the problem of tenant behavior. Pigott/ That is what I hear people say. Shields/ That is part of what I am hearing you talk about. Horow/ That is exactly what I am talking about. Kubby/ We hear about that no matter what the income of tenants. We do, we hear it from all sections of town. So I think- Pigott/ Sure, whether they are participating in this or not. Shields/ Well, how many- We have a whole bunch of folks between 18 and 22 in age. Pigott/ Who are not in the Section 8 Vouchers and Certificates Program. Kubby/ There are responsible people who own, who rent in every generation. Horow/ I am just concerned about the Public Housing right now. I don't disagree with you on your point. But we are talking about tenants of Public Housing. *** Ohart Six 14. Community attitude 7 15. Economics of public ownership 2 16. Subdivision regs 3 17. Financial institutions Thisrepresents only areesonably accuratetranscription ofthelowa City councllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session 18. Emergency housing 0 19. Targeted population 1 20. Tenant behavior Page 46 Throg/ I would like to bring up another point that I felt was kind of imbedded in all of the others and that is if we do some of these other activities that implies a need for a good open space and parks shared and accessible through good design. Kubby/ Especially if you are talking about increased density. One of the tradeoffs for neighborhoods is places for people to gather and spread out. Throg/ And it has to do with the cost of housing as well because we have been repeatedly told that, you know, if we do neighborhood open space and if we do sensitive natural areas stuff, then that will drive the cost of housing up. That i snot necessarily true if you have good design. Shield/ What we are talking about here is a relationship in the Comp Plan in essence of the Comp Plan's relationship in support of this. But open space- Lehman/ Does that basically (can't hear) human infrastructure? Shields/ I think that was implying something else. Throg/ It points to something else. Shields/ Am I incorrect in assuming that is connected to Comp Plan? Horow/ ¥eah. Baker/ And time, I am trying to find a phrase what I am going to say here. One of these issues that keeps coming back in the last year on discussions of various projects sort of neighborhoods and community expectations that they live with and then a project comes to them and their expectations of what their neighborhood is are changed by what they perceive as the city changing the rules and allowing something in there or trying to get something in there. Again, I don't know if that is the right phrase for it but that is a problem. Throg/ And that is related to the community attitude also. Shields/ It is. Another way to talk about it and many of these Thisrepresents only areasonablyaccuratetranscriptionofthelowaCitycounclimeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 47 would could pull together. Part of what I hearing is neighborhood expectations and their perceptions in the city policy one would argue. And I think this is a bit of an abstract argument based on other cities' experience. That if you were really able to articulate clearly what your policy is, neighborhood fair share and we are going to pursue this, I want to argue then that at least when you come to my neighborhood I say well, yeah, I knew they were going to come. Right? Is that part of where you are at? Baker/ This has been our policy and very often people buy and get into a neighborhood and you don't know of everything that is going to go around you. But at least having the perception that we are changing the rules to fit the project. Kubby/ I have one last comment on this concept of linkages that either non-residential or very high end residential be asked to link their projects to affordability. Nov/ What do you mean by link? Kubby/ Well, it is done in many different ways. Sometimes there is an impact fee. Sometimes there is land that is set aside. There are several ways- Throg/ Impact fee or inclusionary zoning are the two main ways that that is accomplished. Kubby/ That might be a combination of a couple of things that are out there. Horow/ Companion with that for me thought then is the realistic aspect that people will just not develop higher income places in Iowa City. That we will continue to see leakage of residential development to other cities that do not have so many regulations. Kubby/ That may be a pro or con of that. Council/ (All talking). Kubby/ We are not buying into everything. Pigott/ This is a brainstorming list. Shields/ What I am asking for and I think I am hearing it is this is the kinds of things you need to be able to think through, Thisrepresents onlyareasonably accuratetranscription ofthelowa Citycouncil meeting of September30,1995. WS093095 September 30, 1995 Council Work Session Page 48 talk through, understand together as a group whether you totally agree on anyone of them in order to be the most effective council possible in terms of implementing your housing policy. We are on the implementation level. My assumption folks and I guess it is something I should have raised in the beginning is you got a policy, right? Everybody buys that? Horow/ No. Shields/ You don't? Horow/ No, I don't. Personally I feel that the majority of people in this community have not actually had input no matter how many times we publicize it, no matter how much we encourage them to come and get involved in this. I don't think we had a representative sample of the community in those hearings. Kubby/ I think it is true. People in greatest needs about issues like housing, jobs, and services for low income residents who came here and I think that is a legitimate process. We could say that about every p.h. we have and I buy into the document. I think our process was great and-I mean, it was a 7-0 vote. Horow/ Of course it was. Shields/ Folks, these folks are behaving- Pigott/ You said you don't support it. Horow/ I am saying it is my own opinion. Shields/ This is important. These folks are behaving as if you do have a policy, are they not? Council/ (All talking). Horow/ Of course they have to. It was a majority vote. I am saying I didn't buy into it. Nov/ All right, I have one more thing that is rather unique to Iowa City and affects affordability. We do not have run down houses. There are very few opportunities to buy fixer uppers or houses that have been abandoned that you could buy just by paying the back taxes. And many communities have this kind of thing. Thlsrepresentsoniyareasonably accuratetranscrlptlonofthelowaCItycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 49 Throg/ We are lucky. Nov/ Well, we are lucky. We have good quality upkeep. But it does therefore make housing less, how shall I say it, less affordable to some people who may have been able to afford this kind of thing in some other community. Shields/ It is true that in a number of places as part of the overall housing issue is to rehab substandard housing, you know, considerable number so fit in order to open that housing up. That is true. Kubby/ It just shows the success of our H.I.S. Program and our Housing Rehab. We have been so successful. Shields/ And folks, I think it goes beyond that, city policy and your regulatory function. Nov/ We really regulate a great deal. We don't allow housing to become that run down. In Baltimore years ago they had some older houses that were run down and the city purchased them and then sold them to the general public for $1.00 and a commitment to rehab and you have to have $20,000-$30,000 worth of mortgagability in order to rehab that house. It was that run down. *** Chart Seven *** 21. Open space amenities (Comp Plan) 0 22. Neighborhood expectations Perceptions of city policy 23. Project linkages 1 Set aside impact fees 24. Limited housing market 0 high upkeep of housing stock Shields/ Now, in this listing of these various issues obviously we have less than two hours time to talk about all of these. Hopefully we have given some input in some instances to staff. Some of this could be information driven but I don't think very many of them can be. I think most of this has to do with this council sitting around this table and talking about it. Have we got to some of the things you have been sharing with each other, criteria questions, issues of-because of your recent experiences you had on implementation? This represents only a reasonably eccurate transcription of the Iowa City council meeting of September 30. 1995. WS093095 September 30, 1995 Council Work Session Page 50 Horow/ I think so. council/ (All talking). Shields/ There is no other way that I can proceed on this in terms of limited amount of time we have today without doing some prioritizing and I don't know that that is a tool. Does it make sense to prioritize this list? There are some layering here. There is some interrelatedness. Let's try that first and see what happens. When we talk about public private partnerships is this totally different than public sector response barriers to the public sectors response? Kubby/ I think they are related. Shields/ Interrelated? Pigott/ Sure. Nov/ Barriers however as perceived by a developer could be neighborhood open space and sewer and water impact fees and you know, barriers to them are monetary. Shields/ I am just saying can we fold that into (can't hear). Kubby/ Because in maintaining those barriers or removing them we should talk about it in partnership terms. We may have clear lines about we set the rules and you obey them but that discussion can be seen as a partnership. Pigott/ Trust funds could go int there, that is #10. Nov/ We could also put land trusts in there. Kubby/ That is #25 actually- Nov/ I don't know. It could be a public private partnership. Pigott/ I think that is similar to trust funds. Shields/ Probably there are some other interrelationships here, community attitude and a number of these other- Pigott/ Tenant behavior, there is some relationship. Kubby/ Seems like there is a whole category of issues under regulation. Could be incentives, regulations like density Thlsrepresent$only areasonably accuratetranscription ofthelowa Citycouncil meetingofSeptember30,1995. W$093095 September 30, 1995 Council Work Session Page 51 issues including in the zoning, open space, linkages. Throg/ Karen, I see those as more location issues than the way you just said it. Kubby/ I guess maybe the incentive regulation is how we would implement. So, I would agree. Horow/ Where are you seeing these things? Shields/ I am looking for- Larry, where was the one you were talking about, neighborhood expectation- Lehman/ Attitudes. Pigott/ I think it does. Shields/ So is neighborhood expectation going on- Okay. Any others? You are saying regulatory. Kubby/ I agree with Jim's shift on label of location. Baker/ What about financial institution with public and private? Shields/ Yeah. Good. Pigott/ What about project linkages with public private as well or part of that set aside. Shields/ It is in the regulatory realm (can't hear) carrot and a stick. Tell me what you agreed to about how you deal-package the regulatory realm. To me there are a number of these that are subdivisions regs in one way or another. The open space isn't and the requirements would be an amendment in essence to those kind of regs. Correct? Kubby/ We have that. That is done. Nov/ There are a lot of things that could go under location: mixed income housing and density, inclusionary zoning are all locatiohal kinds of things. Kubby/ I think for now I like the idea of doing location and one way to do that is through regulations. Shields/ With the time we have left right now we have eliminated some (can't hear) by pulling them together. We still have a Thlsrepresentsonlyareasonablyaccuratetranscrlption ofthelowa CitycouncilmeetlngofSeptember30,1995. WS093095 September 30, 1995 . Council Work Session Page 52 number of them. I really want to a fair shot in terms again not necessarily their relative importance to each other but their relative importance to this council being effective. In other words, what do you need to talk about most for this council to move ahead. Make a quick note of this, take a look at this, right down for yourself four you consider to be the ones that really need the most attention by this council. By the number, what I need from you is the number. We are choosing 4 out of 19, very tight. What I need to be able to respond to are numbers. Given me numbers. When you finish you can go ahead and put your head on the table. Horow/ Where did the human infrastructure one go. #5, oh, I see. Kubb¥/ We didn't meld a bunch of the locational issues. Throg/ I find myself doing that trying to respond. Shields/ Real quick, we need a consensus, which ones fall together. Baker/ #1 & 3. Kubby/ #1 & 2. Throg/ #3,4- and 14. council/ (All talking). Shields/ #14 is separate. Horow/ #12 cost of land. Pigott/ Cost of land goes under what? Horow/ Location. Pigott/ Okay, yes it does. Shields/ Any others that go back under location? Horow/ Mixed income. What else? Shields/ Mixed income, density, inclusionary zoning. Lehman/ I don't know that mixed income really requires location. I mean that is a philosophy. Why would you- Thlsrepresentsonly areasonablyaccuratetranscrlption ofthelowaCltycouncilmeettngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 53 Throg/ Wouldn't you think it is mixing the size and types of housing in neighborhoods that is a locational question? And it is also a community attitudes kind of question. Shields/ All Of this can go under community attitudes, folks. This is important. Make this connection here because I thin when you are talking about mixed income you are talking about in any location. Lehman/ In any location. Shields/ Yeah. Kubby/ But issues of spreading them out is locational in and of itself. I mean I think we have already behaved in a way that says we agree with that concept when we rezoned Windsor Ridge and- Shields/ If we miss something that is important to you we will come back to it. All right now, re-do your lists real quickly. Now we have put these three under #1. Please give me those four again, quickly. Some of you may have to make changes. Karen, thank you for that point on location issues. Is everybody ready? [Council writes down their four priorities] Shields/ Everybody ready? We are going to go pretty quickly. You got to stay with me. Dale, will you help me on this to make sure we get a good hand count on this so I can go real quick. [Hand count by Shields to prioritize list-see numbers added to Charts] Shields/ I will state the obvious to you. There are differences within this group around this issue of housing policy. This of course comes as an absolutely remarkable surprise. Look at the consensus on key issues (#1 & 14). Now some of you had a few- there are a few 1 responses there. Look at the consensus around a couple of these areas. The rest of the time we have together, if there is more time fine, but let's focus on these two areas and again, what we are looking for is not to necessarily resolve all of the possible ways and issues, the actual finite policies. But it is to get to how can this council be more effective. What are the ways we need to move- Kubby/ I want to add #6. This repmeents only 8 reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 council Work Session Page 54 Shields/ Well it is, it would be the next level. I am going to be on the consensus issue right now. But that certainly the next one. There is no question about it. Kubby/ I think when we talk about effectiveness we have to get to #6 at some point. Shields/ I don't disagree with you, Karen. We have two consensus. We have got that as a major response. And most of the rest of this spread across and I think the reason is some of these would fit into these others. Let's start with location, all that we put into that package. The question before you what does this group need to do on this issue? What are the questions that before you that are going to allow you to move head in the implementation of your policies? Kubby/ I think the easiest route is in newly developed neighborhoods to have the zoning there ahead of when people build and move in. That is the first. Throg/ What do you mean the zoning there? How do you mean it? Kubby/ To have zoning in place ahead of when surrounding areas develop. Throg/ I guess what I am trying to get at is I can interpret that as meaning that all the surrounding part of the city should be zoned. All the newly developed part of the city should be zoned RS-5 and then there is no locational-there is no problem. There is no conflict there. Horow/ RS-5? Throg/ Sure, then there wouldn't be any conflict because a conflict comes up when you mix income, sizes and- Kubby/ Having varied kinds of densities zoned within newly developed areas. To set the template before they are developed. Baker/ Does newly developed the same thing as undeveloped? Kubby/ Like we did with Windsor Ridge but maybe more extensively. Even more diversely zoned or maybe even a new kind of zoning category that allows even more flexibility so there aren't these demarcations. I don't know. But the point I am trying to make is in areas that aren't already developed that that is- Thlsrepresents only areasonablyaccuratetranscrlptlonoftheloweCltycouncilmeetingofSeptember30.1995. WS093095 September 30, 1995 Council Work Session Page 55 Baker/ I agree absolutely. But my question is we have got pockets of undeveloped land within the city as well but they are surrounded by established neighborhoods. Pigott/ So what do we do in those cases? Baker/ More undeveloped land on the fringes and the same sort of process of- Kubby/ At least levels 1 in the land that is not developed that is not surrounded by development. It is either in or not in the city. 2 is infill development and 3 is redevelopment areas. Baker/ Is it possible to visualize the same zoning or criteria for each one of those or do we take them separately? I kind of think we have to take them separately. Kubby/ There might be different strategies in this. Pigott/ That's what I'd say, yeah. Kubby/ I think the value, for me the value is still there in all of those categories. And it may be different in different in different neighborhoods, too actually. It's hard to make generalizations. Especially about the infill development. Baker/ What's the goal here? Throg/ I guess I'd like to try to try to respond to that. It seems to me the goal is to allocate fairly new lower to moderate income housing within the city. I take that to be 50-80% of median income. So then how to do that. One would be to allocate it fairly among the neighborhoods and the other would be to through inclusionary zone and there are probably other ways. Baker/ I understand it and I tend agree with it. But that's why I get back to my original premise which I'd like to throw out the word affordable and talk about low to moderate income as a goal. Throg/ That's why I'd say 50 to 80, yeah. Baker/ Because if we do that in this sort of inevitable consequence which is if you had that goal when set up the regulations then you put the city in a position of monitoring the development even after it's put into place, to maintain that mix. I just Th~srepres~nts~n~~ar~a$~nab~~accur~tetranscr~pti~n~fth~~~waCityc~unci~m~~t~ng~fS~pt~mber3~~1995~ WS093095 September 30, 1995 Council Work Session Page 56 want to make sure that is an acceptable consequence of where we're going. Horow/ See, I feel that's unfair, that if a neighbor- if a person buys in neighborhood in a low income or moderate home, that they should have the ability to sustain their increasing equity that they have and then that home becomes not low income forever. And so for us to say that the city would have to monitor this to maintain it at that level, is that somebody would continually be moved out. Kubby/ Let's not how those programs work, but most programs are that when you enter that market for that house that you have to meet eligibility but you're not kicked out when you go beyond that. When you choose to move on, the new person also has to meet the criteria. Horow/ But you're talking about moving on and what I'm saying is- Kubby/ They don't have to move on. I said if they choose to move on the replacement household has to make those payments. Those programs do not keep poor people out. Baker/ Okay, but back on the distinction between rental and owner occupied, because once you move away (can't hear) low to moderate income housing, then do you have the right to control what they do with that property when they advance. Rental property is different when they move out of a rental situation and if you're controlling the rental property, I mean you have a control there. Kubby/ Communities have inclusionary zoning that are either mandatory or provided for incentives, but there are ways to control that they maintain their affordability whether it's rental or whether it's owner occupied so, I mean it's not up to us today to figure out how to make that happen but if we are interested in that concept of that. Baker/ I'm certainly interested in the concept but it's the clarity right now that I just- Kubby/ There's a way to do that to maintain affordability because for me I wouldn't want to do it if there's no sense in doing it if we're not. Baker/ One of my sort of parallel universes here is that, I knew Jim would like that- Th~srepresents~n~yareas~nab~yaccuratetranscr~pti~n~fthe~waC~tyc~unc~Imee~n~f$eptember3~1995. WS093095 September 30, 1995 Council Work Session Page 57 Throg/ Well you're in your own virtual world. Baker/ It's the X-Files, see. Is that we're trying to do things to put into place programs or goals or whatever and then, I'm trying to figure out the balance between the city directly shaping things or just setting up programs and goals that can then individuals will take over. That's what I haven't got clear about all the consequences here. I know what the goals are, but I haven't figured. Throg/ And we may not know enough sitting around the table to sort it out. Shields/ Is the (can't hear) or the key word the inclusionary zoning? Shields/ So what we would agree to is that we need to further explore inclusionary zoning? Nov/ We need to define inclusionary zoning. Pigott/ Maybe we need to explore what the consequences are. Shields/ I'm not suggesting you all are agreeing to inclusionary zoning. You have all the information or you have heard degrees of it. I'm trying to get a sense if there's enough interest here to this be one of the things that you look at that we pursue that (can't hear). Kubby/ We talked about it about three different times. Pigott/ And it's. Horow/ Excuse me. What did you say, Karin. Franklin/ (can't hear) Horow/ Yeah. Throg/ That's for new housing, right? Inclusionary zoning. Franklin/ It can be for new housing. It can be for rental units (can't hear). Throg/ And the way I understand it, Naomi, is that some percentage of the number of units built in an area on a development would be required to be low to moderate income housing. That's part Thlsrepresentsonlyareasonably accuratetranscHptlon ofthelowa City council meetlngofSeptember30,1995, W$093095 September 30, 1995 Council Work Session Page 58 of general conclusion. Nov/ So let's say we accept the fact that these units are affordable and you've may purchase it and now you've been there for 20 years and you're going to sell it. And you're going to sell it with this policy. How are we going to say the next person who buys this is going to be of moderate income also? This is the point- Kubby/ There are mechanisms to do that and sometimes there's a time frame after which those mechanisms that that house is no longer in the programs so to speak. council/ (All speaking.) Kubby/ The thing is not how do we do it, but if we think that's an important value, is there a fair way to make it happen? Nov/ I'm not sure that there is a fair way to make it happen. Pigott/ The question is, are we willing to investigate whether or not it's a good way to do it. And is it worth one those of those brainstorming ways to think about going ahead and maybe it's not the real mind work you've been thinking about. Lehman/ It seems to me we require a certain percentage in that inclusionary zoning. As long as we're not providing incentives and the city is not financially contributing to the subdivision or we got to say about the affordibility. I mean we require a certain number of units be affordable. Beyond that, it falls to the owner who bought it when he sells it for what ever he sells it for. I understand up front that we require a certain percentage. Beyond that I think the city has no business. Throg/ Well, Ernie, there's a consequence associated with not doing something like inclusionary zoning, I think. And the consequence would be to spatially segregate the community by income. Lehman/ No. I'm saying I don't disagree with that zoning concept initially. But beyond the first owner, I don't think the city has any business- Shields/ Let's leave that issue as part of your investigation. I know something about cities experiments. Ames has used this with some success. Thisrepresents only areasonebly accuratetranscription ofthelowa Citycouncil meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 59 Nov/ How many people have used it for 20 years with some success? That's specificity of question. Shields/ Well, I could tell you that this phase did not occur until, frankly, in Ames. That's only one place. I'm sure there are other places where there are other things have had. Kubby/ There have been tons of them. Shields/ But after a three year requirement- Lehman/ It's a market value. Pigott/ So that may be an acceptable path to follow. Shields/ And I'm not suggesting that's what you do. Pigott/ Right. Shields/ I'm just saying there is that way of dealing with it as well besides other mechanisms, but you're way up at the end line of the process. We're right now trying to be at the beginning and if we do have an agreement to look at this as a technique to get, in that sense the mixed income neighborhood. One question, I don't want to muddy the waters more. I didn't want to muddy the waters ever. We're back to this issue or we talked about. We're talking about owner occupied when we talk about home owner and subsidized and rental under this concept of inclusionary zoning, potentially. Does that make sense? Throg/ Yeah. Shields/ Okay. Horow/ As far as we recognize that this inclusionary zoning is as a tool that we're looking at. It's something that has not been determined. Shields/ Yeah. Word will not go forward that the city council of Iowa City has decided to use inclusionary (can't hear). Horow/ I wouldn't say it that way. Throg/ So Tim, inclusionary zoning is one approach to this locatiohal thing, right? Another has to do with allocating low to moderate income housing developments fairly among neighborhoods. This inclusionary zoning has to do with Thlsrepresentsonlyareasonably accuratetranscription ofthelowaCItycouncllmaetlngofSaptembar30,1995. WS093095 September 30, 1995 Council Work Session Page 60 developments, individuals developments. Shields/ Right. It doesn't necessarily geographically bifurcate the community. Throg/ Right. So what I'm trying to suggest is that you could have inclusionary zoning policy that still results in kind of an unfair allocation of low to moderate income housing. So maybe if we could ask staff to eventually to divide the community up into neighborhoods and then find a way to allocate the low to moderate income housing clearly among those neighborhoods and do that in advance so that each neighborhood can be brought into the idea of sharing. Shields/ This comes out I think as neighborhood fair share and let's throw this one on the table to see where you folks are at with it. Horow/ I got on council simply because of the fear of the multifamily units being placed down at Donohue Lensing Funeral Home. And knowing what the moderate to lower income families that were going to be living close to that. The fear, the distress, the disturbance, the concept of not wanting to have a multifamily unit near, single family units was so strong. And that was not even in the upper income end of the neighborhood. That I think this whole inclusionary zoning is so tied in with the community attitude that, boy, I, this is like (can't hear). Lehman/ To restate, there's nothing on this list that isn't ultimately community activated. Throg/ That's right. Shields/ If the community didn't care about all this, it's be pretty easy to figure out. Pigott/ Maybe that's part of the CHANGE TAPE TO REEL 95-117 SIDE 2 Pigott/ We expected things to be one way. We came here and we expected our neighborhood wouldn't have this. The Fair Share program, maybe we talk about it and investigate it because maybe it builds, it alerts people that maybe that sort of, that low and moderate income housing will come into and they'll know a certain area. Thisrepresents only areasonebly accuratetranscription ofthelowa Citycouncil meetlngofSeptember30.1995. WS093095 September 30, 1995 Council Work Session Page 61 Kubby/ And it doesn't dictate a style of housing. The Fair share and the style of housing may be connected, but they can also be separate. It may be that certain neighborhoods already have a lot of shared rental housing of various types and so their fair share may be done in a different way. Pigott/ Single family or- Shields/ I don't know how the rest of you feel about the concept of the fair share concept. Nov/ That's a difficult concept. Baker/ I think we ought to study it closely and then we ought to take it into the neighborhood associations and be prepared to be flexible. Horow/ I'd agree with that. Nov/ We would have to sell that to the community. We would have to really force it. Shields/ You guys study it and staff goes out and sells it. Pigott/ Well, not even sell it. Maybe discuss it. It's not just an issue of selling. Nov/ If this council agreed that every neighborhood should some apartment buildings or the shared zoning, the concept, we would have a difficult time selling it. And we would have to truly believe it and go out and market it. Pigott/ What I'm suggesting isn't that we're marketing, that we're just discussing the whole concept. It's more than just setting forth a plan, but going out to neighborhoods with the is idea and saying, what do you think of the idea? What are the problems from your perspective? Before selling it. Then we come back and adjust it. Horow/ If I were to buy a house in a neighborhood like, I want to know more than whether the council's just looking at a maybe. I really do. Kubby/ It may be you had interactions more than once. One where- Pigott/ Right. Exactly. That's what I'm saying here. Thisrepresents only areasonably accurate ~enscrlptton ofthelowaCItycouncll meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 62 Kubby/ We come back. We digest everything that we've gotten and we make some decisions. And then we go out and explain what we've concluded. Pigott/ We don't start with us with separate communities. Throg/ Interesting. There've been two instances over the last two years where neighborhoods, people in neighborhoods have demanded that we allocate low to moderate income housing more fairly. That was what Greenview in part was all about. And it's what the Mormon Trek Village debate was all about. They have had asked us to allocate housing more fairly. Council/ (All talk) Throg/ But the point is allocate fairly. Either do it on the spur of the moment with regard to the particular issue or try to do it in advance. Kubby/ It's one that pits people against people or you look at the whole community and have a (can't hear). It matters what attitude you bring to the discussion when you present the discussion. Horow/ When I am buying a house I am not looking at the attitudes of fair share. I want to know that my investment in that land and house are going to increase in value. Kubby/ There is no data that says low to moderate income of different styles and types decrease property values. Baker/ Absolutely. Kubby/ (Can't hear). Council/ (All talking). Baker/ Getting back to the goal here of exclusionary zoning to accomplish diversity of income levels throughout the city so it is not concentrated in one area and then you get into the question of well, specific types we can talk about later and then it is the density. Do we-are we clearly headed towards the goal that we do not want to have X number of units as a concentration even within a neighborhood. The percentage for the whole neighborhood is legitimate but is that density at that location too much. 42 units at Saratoga Springs, for example versus four units here and four units there. The goal This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 63 is to break down the density as well as the location. Is that clearly a goal here? Nov/ Mixed density is at least part of this discussion. Shields/ Larry asked really a leading question and I think we are on the-We are saying we want to study this fair share concept. I mean, obviously there is some apprehensions, not apprehensions, some questions. Lehman/ We ought to look at it. Shields/ When you really said fnclusionary zoning assuming this side thing. I think I hear you are assuming some fair share distribution community. you are really are saying you throughout the Kubby/ I think to make that successful that both things have to be discussed. Shields/ That would be one of the outcomes of inclusionary zoning policy. Question on density seems to me real important. What you are assuming too Larry or what you are asking the group is is our goal to reduce density? Baker/ Types and community attitude. The attitude resistance increases with visibility of the result. Kubby/ It is so related to affordability because one of the ways you increase affordability per unit is slightly increase density and attached construction that shares walls. That is one way to do it and we can be getting in conflict here and become a catch-22 pretty quickly and I don't know that I could say this number is right all over town, the max that we would allow. I don't feel capable of having that kind of rule. Baker/ Not now but eventually it has got to be something we discussed because if we are talking about breaking it down by neighborhood or section. I mean neighborhood is much more hard to hold up than sections. If you could (can't hear) to say all right we need 100 units in this section, we put 50 here and 50 there and that doesn't help the community or the people I think in the units themselves. Kubby/ I guess I would add a possible way of discussing this. What are the things that we would like at in order to determine clustered the density should. I mean looking at the current This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 64 neighborhood, looking at the needs, looking at the what else is in the surrounding area, looking at the housing needs, the land available, the open space that's there or how do we get it. It may be a different way of getting at the questions, instead of having a number, saying what is it we could look at to determine that number for that area. Baker/ I agree. Pigott/ That's right. That's right. Baker/ I'm just projecting that the conflict is not going to be on the council or the staff or the Iowa City housing authority and like that. I project that what starts over spring was a good project. Aesthetically open space, the way it was set up, the design buildings. But it wasn't that those were the real articulated issues. The implicit issue was the density, that number of units in one spot, regardless of open space and how they will look, the driveways. I don't know how we get around it now, but certainly we need to confront it eventually. Horow/ Well, I think what you're talking about are the variables we placed under this location: the cost of land, density and inclusionary zoning, mixed income. All of those are the variables that go toward inclusionary zoning. Shields/ It just would seem to me is that could you say, you're going to sat through the next three days. Can we with here and develop a policy and density that will allow and anticipate all of the particular situations of any? Pigott/ No. There's no way we're going to do that. Baker/ But we also, I mean, I think that the council will have to take a leadership role in this one or any other one. But they have to believe that this a positive goal and value for the community. Be prepared because I don't think if you put this on the ballot, I'm not sure this community would get 51% to agree with the on this. I think you're right, as far as we'll eventually have to figure out some balance of how far can we go to make the attitude more conducive to this, but at some point we just simply have to say, this is right and we're right. We think we're right and we just have to assume that we disagree. I won't say you're wrong, but we disagree. Kubby/ When we talk about community, I think we just can do to bring the council and the community all working together. Thlsrepresentsonlyareasonably accuratetranscrlptlonofthelowaCitycouncil meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 65 Lehman/ I really think that that concept, that there's some fashion that we can make it attractive by incentives or whatever where a developer chooses this one because we are doing things for them. That it would be fairly palatable to the public. If we force that sort of thing on them, we're going to have everyone screaming their heads off. I think it could be packaged in such a way that it would work. Kubby/ In other communities that have incentives for developers to choose inclusionary zoning, I prefer mandatory one. Some benefits to the developer as well. We can, if you want the fair share program to work, it can't be, it makes it more difficult. Lehman/ Yeah but it makes it far more palatable. It might work for you. Nov/ I think you can do this kind of thing, you know, zoning by density, incentives. You can do this only if you do it in fringe areas. I think when you're dealing with an established neighborhood, you will be asked, we will be asked, to keep the zoning as possible to what is already there. And we asked to do more conservation zones, for instance the near northside. I don't think we're going to avoid these kinds of discussions or these kinds of issues simply by saying, we're going to institute fair share zoning. Kubby/ But we have been asked to change zoning from RS-5 to RS-8, from the lowest possible density to the second lowest is still met with opposition. Nov/ This is what I said. I know it's going to be there. No matter how you are doing this, there will always be people who don't want the zoning changed in their neighborhood, or if they want it changed, they want it changed such as the conservation zone to prevent further apartments. Kubby/ That's why there is Larr¥'s part about having us, if we do this, that at least six of us truly buy into these things so that when there are objections, things could happen. Shields/ It's bottom line folks, isn't it. Council/ (All talk) Shields/ (Can't hear) up there is that you have six votes. Thisrepresents onlyareasonablyaccuratetranscrlptlonofthelowa CltycouncilmeetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 66 Pigott/ Consensus. Throg/ I think it also points to the merit of another suggestion that Larry made and that having to do with working with and through neighborhood associations. I think that's important. Shields/ Okay, then I want to see one of the of the words here, we're talking about developing criteria, guidelines, and density if it's possible. Your zoning now has to have some ideas around that whole issue of density now, do they not? Pigott/ Sure. Nov/ I don't know if. Baker/ But we have a clear guidelines on density, there's a, whether it's zoning density or comp plaD density, and we cover with that. But when you do an OPDH, the flexibility of how you put that density together is the real issue. Kubby/ And it's only the formula that's disputed. Pigott/ That's right. Shields/ Ask the question, Karin. That way you make sure that this makes sense to you. Franklin/ Well, density is determined by the zone and what I am hearing you saying is that what you will will find acceptable in terms of density low to moderate income housing. Shields/ Yeah. Franklin/ Which is a different question then some of these guidelines on density. Throg/ No. I hear you making a different point. I hear you asking what kind of guidelines can we provide in advance so we know when to rezone land from RS-5 to RS-8 or whatever in spite of potential objections from surrounding residents. Baker/ So when the development process starts occurring, they're working under a set of expectations that with inn these density limitations, here's what we can or cannot do. Here's what.we want to do and want to change the density limitations on this project because it makes the project go better. If they either have these up front density limitations that are Thisrepresents only areasonably accuratetranscription ofthelowa Citycouncil meeting of September30,1995. WS093095 September 30, 1995 Council Work Session Page 67 clear and we adhere to as a council and if they can work it out, fine. If they can't they have to go somewhere else, some other problem. Franklin/ (Can't hear). Baker/ Right but we came up with an example where we had a project coming to us that exceeded the established guideline. Franklin/ I think that that is all (can't hear). Baker/ Now it is resolved. Franklin/ Yes. I think you have to have (can't hear). But even with those guidelines there is opposition. Pigott/ There is opposition. Kubby/ So with the point that was unclear about RS-8, when we do the update it will be clear? It will be in black and white. Shields/ So we are going to review criteria guidelines on density rather than develop. What else do we need to do in this area. Let's go ahead and stretch for about 3-4 minutes. Go ahead. This is our last stretch. We have got an hour- [Break] Shields/ I will state the obvious case. It was stated earlier. The issue on density was (can't hear) cost doesn't m~tter and I think that is good news. I think the current traditional and historical ways to deal with density of to deal with costs of density, on the other side of that is I suppose (can't hear) is subsidization. But again, we talk about owner occupied. The earlier discussion we talked about huge percentage amounts of (can't hear). So that is a real tough one to wrestle with and it is going to continue to be there. On this issue, right now (can't hear) this location issue area. Are there any other key things that we need to talk about. Lehman/ High priority programs. Council/ (All talking). Horow/ -land you can get into the mixed income aspect of this. Nov/ But isn't that this (can't hear) concept. Isn't that what it This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 68 is suppose to do? Create a mixed income? Horow/ I don't think automatically, Naomi. I think it would have to be a set aspect of it, fair share because to me if I were the first here to speak to fair share, coming from council, wrongly or rightly I would assume that it was low income who I was going to be seeing in the neighborhood. Nov/ Yeah and it is mixed income because you are already there and you are not low income. Horow/ I just keeping thinking of behind me, it is mixed income- Council/ (All talking). Horow/ I mean mixed income in terms of low to moderate and not way at the end of the staff. Lehman/ I am thinking of mixed income more as a matter of concentration more than anything else. That is be spread out. Kubby/ Although some of it-There have been plans that have come before us (can't hear). You have got more mixed income. Some tenants would be on Section 8, some would be open market. But we didn't really recognize that and so I like the idea. We have been given proposals that have mixed income. So I think (can't hear). Horow/ It is mostly density because in that particular example that you used, to me the density was also a difficult one for me. Lehman/ Rohret Road is definitely mixed income. Pigott/ Yes it was. Lehman/ (Can't hear). Shields/ Are these things that we have up here fair share inclusionary imply mixed income? Pigott/ I think they do. Council/ (All talking). Shields/ Anything else on location here that we need to talk about? (Can't hear). Thisrepresents only areasonebly eccurotetrenscriptionofthelowe Citycouncil meeting of September30,1995. WS093095 September 30, 1995 Council Work Session Page 69 Kubby/ All long as the intent of (can't hear) is providing incentives as a way to get to that point is not the only way to look at it. Because that word is up there doesn't mean it is exclusively how we would- Shields/ The other side of that is requirement. Throg/ As a matter of process, involving neighborhood associations. Baker/ One of the discussions we are going to have to have eventually is whether we want to set up policies that achieve something but this achievement mandates maintenance of the goals. Pigott/ That is a question. Shields/ You all can respond to that. I think that is a really key issue. Kubb¥/ So we do this thing that is really hard for the community so that it lasts three years? Baker/ That is a question we have to really talk about. What sort of continuing presence, what sort of continuing role do you want for local government to maintain something that you sought? Pigott/ What do you do? Kubby/ (Can't hear). Horow/ But we keep saying we cannot burden future successive councils with decisions. Kubby/ You cannot say that. We really can't make any decisions that were long term. That we wouldn't do a water plant with 20 year bonding. We always make decisions that way. Horow/ But that is bigger- Shields/ Your point is interesting but how do you deal with it? Baker/ I don't know. Almost a philosophical consensus on the council,this council. But how does that bind future councils? I don't know but I think it is a legitimate question that once you set up a goal and tentatively pursue that you almost set up a continuing administrative obligation. Thlsrepresentsonlyareasonably accuratetranscription oftheloweCitycouncil msetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 70 Kubby/ Isn't that implicit about the discussion about the #1 & 2. I mean for example if inclusionary zoning did not include that some people might vote for it and some people might not. Baker/ Maybe it is one of those irresolvable questions. I don't know. Throg/ Larry, you are identifying certain-identify certain agreements that we would like to have staff investigate and I see that as clearly an important topic for staff to investigate. How to maintain the kind of long term durability. Baker/ What is the obligation that we are setting up for staff? Where are we going? Kubby/ What are the consequences of the major issues of affordability. Nov/ The affordability kind of questions (can't hear). You can't say if we are giving you this kind of incentives or regulations or whatever, you will have 10% of your rental units set aside for certificates and vouchers. Your rental permit will continue to increase, your income will in crease because the federal government will pay their market rent each year which in Iowa City anyway has continued to increase. But how do you do this if somebody has purchased a house where you have allocated a neighbor development whatever 10% low moderate income purchase affordability. Kubby/ Isn't the process really kind of the same that for the rental unit you have created an incentive. You have created some availability of capital or infrastructure. For the homeownership issue so have created the availability. The fact that that has to stay (can't hear). Nov/ How can you govern that house to remain affordable. If you are going to talk about the incentives and say okay, we are giving them incentives this year and return for that incentive you must sell this to the next person who is low to moderate income. I don't see how you can do that without- Council/ (All talking). Shields/ Again, where we were on that same discussion is that factor that you couldn't do that doesn't rule out your interest in still looking at inclusionary zoning. WS093095 September 30, 1995 Council Work Session Page 71 Pigott/ Let's look at it. Nov/ No, she is saying if it doesn't go beyond three years she doesn't want to look at it and I am saying- Kubby/ (Can't hear). So what we need to agree to is that this issue of is it possible to maintain the affordability of that (can't hear). That is the issue we are agreeing to. Shields/ I got an. owner occupied-Clearly you can see this would be real difficult if not impossible and we don't know on owner occupied. On rental- Throg/ Why don't we ask Karin what she understands we are asking and talking about. Baker/ What are we talking about Franklin/ Your concerned about is the longevity of (can't hear) in the realm of possibilities (can't hear) resale agreements (can't hear). Nov/ But that is a city owned house, you are sell'ing it. Franklin/ (can't hear) regulatory mechanisms or incentives or inclusionary zoning and what I am hearing is that at least for some of you this should go beyond just the short period of time or it doesn't make much sense (can't hear). Shields/ You are going to look at those options- Nov/ Let's add land trusts under that because I think that is probably the way in which it can be locked in. Kubby/ I am glad you continue to bring that issue up, Naomi. Shields/ Anything else under locations issues that would be helpful to talk about today? This is a lot here. Kubby/ It is an incredibly (can't hear). *** Chart Eight *** Location Zoning for future development -Fringe -Internal This represents only e reasonably accurate transcription of the Iowa City council meeting of September 30, 1995. WS093095 September 30, 1995 Council Work Session Page 72 *** Chart Nine *** Agreements 1. Explore inclusionary zoning -land trusts -incentives -mixed income -requirements 2. Study for share concept 3. Review criteria guidelines on density 4. Analyze long term maintenance of programs/goals. 14. Community attitudes Shields/ I am glad your work is (can't hear). Sometime but not necessarily next time talk about this second issue (can't hear). Community attitudes and I have been pulling you back again because it is just such an inherent part of all of the rest of this. So let's throw that one out. What do you need to talk about to allow you to be more effective in regard to the broad issue of community attitudes and people's perceptions, attitudes towards your programs and ideas, your goals, attitudes, political attitudes. Let me play one real quick role for you as an outside- I mean I know that obviously I live here but you can forget about that for a moment. As an outside person looking into your program. None of the rest means anything to you if you don't have the political will to act on it. That is part community attitudes as well. Do you agree with me on that? Kubby/ Absolutely. Pigott/ That is the key. Shields/ Part of this sensitivity when you talk about community attitude has to be about that relationship you have as leaders in the community plus some of the other things that you have listed up here under community attitude. I cut Larry off, I am sorry. I interrupted him a few minutes ago with my comment. Baker/ No, I was going to pick up on what you just said. I forgot what I was going to say. Thinking back to something that Sue said about her personal concerns about the City Steps Program and my earlier statement about the whole concept about city hall and subsidized-helping certain kinds of housing development and I don't see a clear community attitude yet. I Thlsrepresentsonlyareasonably accuratetranscfiptlonofthelowaCItycound! meetingofSe~ember30,1995. WS093095 September 30, 1995 Council Work Session Page 73 see vocal attitude in opposition and support. I don't ha~e a sense of the community attitude yet and this gets back to the question of leadership. Are we going to impose on this community what we feel is right for the community when even though we might eventually get a sense of the community that is not in agreement with us? We have to bring them along is we believe in it. I am just raising this question about community attitude and how we measure it and whether we are speaking from our perspective in looking at it and what we think it is right. A community may indeed disagree with us. Nov/ I think we need to put an s on community attitude. There is more than one. Pigott/ Yeah, communities. Nov/ There are ways to go about assessing that kind of thing. We can impose something on the community. We can engage the community in discussion and visioning about it because I think most of the different communities in Iowa City agree in philosophy about this and what we need to talk about is how do we make it happen and how are all of us going to take some responsibility about these issues and we can I guess I am thinking more about an up type of engagement to build constituency for these issues knowing ultimately we make the decisions. But I think by starting that way somehow it saves us bunches of time. I think we learned from the water plant issues and from Melrose Avenue that engaging people in the front end saves a lot of time and grief and end up with a better product. Horow/ Karen, I guess I would challenge us, maybe challenge is too strong of word. I tend to think that what I have seen when we engage from the grassroots up is that those people who are buying into this show up in force on television. Those who do not agree with it are either in-they are almost afraid to show up or they spend the time at home watching on television and grouse about what is going on. In other words there is a lack of input. That is why I thought that City Steps was not representative of the city because of the vast majority of people who weren't there. I noticed that the majority of people who there were the service providers and/or the people for whom this would be most profitable. Pigott/ So, another way of saying is maybe the people who have a stake in these issues come down to council often times. I am thinking, for instance, let's talk about specifics like Mormon Thisrepresents onlyareasonablyaccuratetranscriptionofthelowa CltycouncllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 74 Trek Village. People who live in that area felt they had a stake in the issue. They were against it, they came down. It is not just those potential people who would support a program but also those who may feel in someway they have a stake in an issue. They may be against the issue. They may be against it. They would say look and I can see if we were exploring these zoning issues, inclusionary zoning, that perhaps some of the development community who probably have a stake in this issue would come down and say we don't like the idea. If we included them as well as neighborhoods they might say yes, they think it is a great idea and they might say no. So I think it is not necessarily those who are against it or for it but those who have a stake in the issue. Horow/ To see the stake as I see it is not so much the developer. It is the owner of the land who asks the developer to make as much profit from that parcel of land as possible and you do not see the owners of the land. Heck, I could even say you are not going to see me if we decide to divide our three parcels and develop our one parcel. I will probably certainly never show up to say that no, I don't want a modular home on my parcels. That is not nice to say. Kubby/ The model that you are familiar with (can't hear). Where- Kubby/ Same thing happens. Kubby/ I have seen examples for helping people that was very inclusive of all kinds of people especially when you are not talking about a specific development. That we engage the community in a different way to get all kinds of people and maybe we even target diverse people to offer them to be involved in some process to talk about this. Shields/ I think there is a difference of opinion here and ultimately you have to work that out but I don't want to spend all of the time only talking about this part of it. Okay, I am sorry. It flows from where Larry is at. One way to talk about what Larry is asking is is there a constituency out there for the city to have a major role in housing. I mean that is part of your earlier statement. Baker/ Again, I am going to use what is considered more honest language, low income moderate income housing. Shields/ That is what we have been talking about. Thisrepresents only areasonably accuratetranscription ofthelowaClw council meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 75 Baker/ That is a consensus on affordable housing. Everybody says I love it. But is there a consensus on low to moderate income housing and an active role for the city, regulatory role, which I think will be easier to do politically and then a financial role which if we ever do have to start spending money on this then the debate (can't hear). Shields/ All right, on this whole issue of community attitudes. Maybe this is the core issue. Go ahead. Throg/ I think part of the difficulty is that many people think that the city council and staff do in fact try to impose policy or decisions on neighborhoods, on people, and those people feel like they- You know, it is like throwing grenades out into the neighborhoods. They don't know where the grenades are going to land and all of a sudden one lands. They are upset. They don't know why is landed there. So, I think a way to kind of deal with it is to work through neighborhood associations and to draw them into the process as looking at the affordability of housing in their neighborhoods, in between neighborhoods. And then talking about the fairness of dispersal of low to moderate income housing within their neighborhoods and between neighborhoods. Kubby/ I think the other thing that is missing from this conversation so far is that I think one of the big barriers in terms of community attitudes is the attitudes people have about different housing styles and about low to moderate income people. That when you talk about individual households that the Great Iowa City Housing Fellowship helps out you cannot say they disrespect property, they need substance abuse help, they need financial help. Some people in this area think this but people of all income levels need those things and I think we kind of buy into some of that ourselves and as a council, we need to talk about that. That what are the facts about low income families. I believe a stereotype is dangerous and unfair and (can't hear). Throg/ Hey, I bet you there is some low to moderate income families, households, right here in this room. Kubby/ This table, right around this table, yeah. Horow/ I am feeling like it is not polite and nice and courteous and judeo-christian to even respond, Karen, that my experiences, 57 years, have brought me to this point where I do have very definite reactions and witnessed them in this Thisrepresents onlyareasonablyaccuratetranscr]ption ofthelowa Citycouncil meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 76 city about behavior aspects of low to moderate income. I mean, we have these expectations or these profiles based on experiences. It is your choice to make a decision that you don't want to-no, don't want to see them. But you choose to look for the better aspects of it. Kubby/ I am saying that there is a spectrum of behaviors at every income level. Horow/ That is very true but it is hurt more if it is low to moderate income because of the lack of everyday-you are working hard just to keep ahead every single day and so the accoutrements that go along with someone who is at an upper income level you don't have. Kubby/ I guess I was just talking about that these undesirable behaviors are not just seen in certain income levels. Council/ (All talking). Baker/ Clearly the majority of this council doesn't share the stereotype. I think that is-I hope that is true. But we talk about it in terms of because the public talks about it. I mean there is some confusion. We are trying to deal with community attitudes and that is an attitude and to talk about it we have to acknowledge the attitude whether we think it is justified or not. Shields/ (Can't hear). Horow/ Yes it is. Nov/ And it is certainly due to the fact the majority of the rental units are rented by students and it is not just low moderate income. It is an age level stereotype that we are doing. Lehman/ Sue, I think it is also a matter of concentration here. Without it-I think we have high concentration we tend to have more problems than when you have dispersal. We have already said diversity of types is very important- Kubby/ Maybe it gets into definition, 40 units or 80 units. Horow/ I have experiences that would refute that in my own neighborhood, right across the street and there they are definitely dispersed. So, I really agree that it is probably primarily density but I don't, again, you know if Karen is Thisrepresents only areasonably accuratetranscription ofthelowa Citycouncil meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 77 right in terms of all income levels, some of these behaviors are exhibited but we all come to this table with our own educationally experiential background and I don't disagree with the problems that the public perceives and talks about in terms of getting your own problem (can't hear). Baker/ I think the low income is the can't hear) for what creates low income which is education and family background. Those are the factors that create the behavior, income is a consequence not the cause. Pigott/ People may mistake that as a cause. Kubby/ I don't know if I agree with all that or not. But the other part of this attitude is about housing types and I mean there are some neighborhoods who have mixed housing types that do it successfully and people are good neighbors and involved and could we go to those neighborhoods and say to them why does this work? What is it about the density, the layout, the open space in a neighborhood, the level of organization of the neighborhood association that makes this work in this neighborhood and see if we can gleam anything from that. That there is a positive example and how can we take the goodness and replicate it if possible. Horow/ It might be one way of getting it but I think you would also then have to look at individual situations where the people who are living there and their income level as to how they maintain their house. It gets back to the long terms maintenance of our programs and goals. How do we maintain the houses, certainly in public housing, so that they do not bring down the value of the surrounding neighborhoods, surrounding houses. Kubby/ That is not a true statement. I get frustrated about that that scattered site public housing. That let's say it is not in the best of shape and the lawn is not mowed. That does not decrease the value. That is not- Or maybe if I determine the assessment of the house and one of the biggest one is what do houses around there sell for. Not one individual house or a couple of them need to be maintained so I think we need to be careful about how we say this because we perpetuate things that- Horow/ For me, it is not just housing. It is families, the influence of families on other families. That all is a neighborhood. The threads that go into making a neighborhood Thlsrepresen~sonlyarea$onablyaccuratetranscrtptlon ofthelowaCltycouncil meetlngofSeptember30,199§. W$093095 September 30, 1995 Council Work Session Page 78 are more than just assessed value of a house, Karen. Pigott/ Can you explain that a little more? Horow/ Yes. If I have an adolescent son and the next door neighbor is a family whose values are not the same as mine, whose attitudes towards disciplining are not the same, whose watchfulness, never mind the word discipline. Watchfulness on the behavior of that attitude or that (can't hear). I am going to look to move from that neighborhood because I am concerned about how my son is going to be influenced. Now, grant it, in the school that h is going to there will be other influences. But right now I am concerned about the multiple number of cars parked next door, the behavior of the adolescent child. In other words it is a host of issues that are either real or imaginative. But at some point it gets to me that I want to get out of here. Pigott/ You are saying this is the public perception, not yours? Horow/ Yes it is. Kubby/ It could be very high income or very low income or anything in between who illicit those behaviors or that degree of (can't hear). Horow/ This is possible. However it is in my experience more probably in a lower to moderate income situation. Going out in front of my own front yard and seeing the fellow across the street twirling the shotgun while twirling the pistol or using the front yard as a dirt road race. It can be very very difficult to watch this and still- Council/ (All talking). Shields/ Jim, you had a comment here. Throg/ Well, I guess I want to say I don't agree with what Sue has said but I think it is real- I do think that her view does represent the views of a large number of people in the city and I am really glad that Sue expressed them so we have them kind of clearly stated on the table. And I am trying to connect them with the kind of issues that we have encountered with regard to Greenview, Saratoga Springs, Mormon Trek Village and other issues issues that have come to us. And the three words or four words that come to, maybe it is five-I don't know, are crime, fears about crime and I think it would Th~srepresents~n~y~reas~n~b~y~ccumtetr~nscr~pti~n~fthe~w8C~tyc~unci~meet~ng~fSeptember3~1995. WS093095 September 30, 1995 Council Work Session Page 79 be helpful for us to have some information from the Police Department about spacial distribution of criminal activity just so we have some sense of what that is all about. And secondly you always hear stories about traffic and safety for children. I don't know what to do about that. And thirdly just kind of general point about behavior, you know, disreputable behavior. Council/ (All talking). Shields/ Property maintenance is part of this as well. Horow/ Why do we feel we need neighborhood centers to help families learn how to maintain? Shields/ I was just curious on that list that you used the word property maintenance-one of the things that is added to that. Kubby/ I think we have heard that about a couple of houses (can't hear). Shields/ Let's move this ahead, not necessarily away from where you are at but ahead to- I like to see (can't hear) some strategies, some ideas similar to what we did on location. We need to get on the table. We have talked about how what will help this council move and be an effective council (can't hear). We got some suggestions and strategies. We almost had one out on the table a few minutes ago but- Lehman/ I think Karen started it and you are right. If we try and sell a philosophy on public housing to the public. We believe that we would like to have a certain percentage of each neighborhood (can't hear) and not identify any particular project anywhere. Just generically this is what we fell ~s in the best interest of Iowa City and talk to the neighborhoods. I think a lot of them might very well buy into it. Then it becomes situational. You folks said this is what you wanted. This is where it needs to go in this neighborhood. But I think it is critical to get the consensus for the neighborhood not based on individual projects but conceptually, is this a good idea? Is this something the City of Iowa City should be involved in. Then you would get a positive reaction. From that point on, I think, the council may have to do some battles but it is going to be a lot easier. Pigott/ I can just refine in general terms what you said. Instead of saying sell, build, let's build with neighborhoods a policy Thlsrepresentsonlyareasonably accuratetranscrlptlonofthelowa Cl~ councllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 80 because what I hear you saying is exactly what I intend which let's all get together. Let's get the neighborhood together and say what is it that we-here is the goal that we all share and here is an idea that is on the table. What is your reaction to it and I think that is the same intent you have, Ernie, and my only feeling is instead of trying to sell it, it sounds like you are jamming it down someone's throat and I don't want to do that. What we want to do is build together with that. And it may sound rhetorical but it may mean that we involve ourselves in a longer process of dealing with this issue in terms of- Throg/ More important, partnerships. Nov/ But the ability to convince a neighborhood that the object of the city is diversity and mixed income all over is not difficult. What is difficult is to say it is going to be right here. It is the exact location that becomes difficult because people will say yes the concept is a great idea. However, my neighborhood has enough of this already. Pigott/ I agree, that is going to be tough. Baker/ We have a goal, a value, that we believe in and certain steps that we think we need to do to implement the goal of that. Take it to the neighborhoods. What do you think, come along with us on this. It is when you get to the most established neighborhood and they say I like the goal but you know, does this mean that we are going to have to bring in more apartments into our vicinity. That is when you get into a real political question and I think we are right but there is a point where you say this is not what the public will come along with this on. Horow/ One thing that we didn't ask before when we were doing this list is what does the market place-Right now we seem to have a glutton of rentals or houses are not moving. How does this goal we are looking at, how is it affected by any variations in the market? Kubby/ I don't think that the market is not moving. It may not be moving as a rush like it usually is. I think it is a step below that and different types of housing may be rushing more slowly than others than they were three years ago. (Can't hear). Shields/ For all that you all have been talking about whether it be Thisrepresents only areasonablyeccuratetranscrlptlon ofthelowaCltycouncllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 81 subsidized or up to affordable. That is not going to create a change in the housing market, $60,000-80,000 or $50,000-80,000 range. (Can't hear). Council/ (All talking). Baker/ I want to ask Doug a question. We as a council certainly get a community reaction when we talk about projects to be built. That is only part of the low income housing program. From Doug's experience from Section 8, you get a sort of feedback from the public, the surrounding people that are in Section 8 apartments. You get complaints from the neighbors in buildings where the neighborhoods- Is Section 8 a public perception problem? Boothroy/ It is difficult to know where Section 8 people live (can't hear). So you don't have the (can't hear). The complaints that we would get would be primarily from landlords where you have an apartment what may be damaged and they are concerned about an individual (can't hear). I just don't recall ever receiving a complaint for the neighborhood based on Section 8. People are constantly moving (can't hear). They are numbered at Lakeside, for example- CHANGE TAPE TO REEL 95-118 SIDE Kubby/ The city owned units. Shields/ Has to do with disability. Baker/ Disability, yeah. Because I was looking at this map we have in front of us about Public Housing units broken down by section of town. It is extremely interesting map because it is obviously what we always thought. Southeast Iowa City has got the overwhelming amount. But I am wondering if you ever been able to, it changes every year, if you had a sectional map like that just where is the concentration of Section 8 housing? How does it move around? Boothroy/ Well, you know, we don't have that data so we can actually computerize in such a way that we can actually provide that. But I can tell you that they move around within the apartment complexes. So, where you have multi-family you are going to have Section 8 people. We tend not to have any families, in a traditional sense of a family, living in the d.t. You may have more individuals that are either elderly, handicapped, or disabled living closer to the d.t. But those Thisrepresents ~~~yar~~s~nab~y~cc~rat~transc~Ipti~n~fthe~~~~~~ty~~unc~~m~8ting~fSeptember3~~1995~ WS093095 September 30, 1995 Council Work Session Page 82 who are seeking with children that are seeking that other kind of arrangement look more to the outside of the d.t. area. Baker/ I guess my point is public perception and public acceptance of an idea, the key factor is concentration of density and people are much more willing to accept particulars of a goal if we some how fairly disperse the individual units, not the blocks of units, individually and that has got to be a key discussion. Kubby/ But it then flies in the face of affordability and doability because we are talking about a $30,000 subsidy for the house on Fifth and I and we can do a few here and a few there. Habitat for Humanity, third largest homebuilder in the country right now but we have got- Council/ (All talking). Kubby/ But that is why we need multiple solutions and not just one or two where we have got all these different strategies working together. Throg/ I would like to suggest a strategy up here and the strategy is to establish a city-neighborhood partnership, neighborhood association partnership. Baker/ I thought we already had one. Throg/ Well, it wasn't written down. to wrote it down. So I am just trying to get him Shields/ I want to see- I mean this is what I think you were getting to here. Establish a process- Kubby/ A community process. Baker/ Using the established neighborhood associations or are you guys thinking of something different? Throg/ Not just- Kubby/ Right because that would be exclusionary if it was just the neighborhood associations. We have many neighborhoods that don't have organized associations. Neighborhood associations plus. So maybe we should say neighborhoods instead of neighborhood associations. Thisrepresents only areasonably accuratetranscriptlonofthelowaCltycouncil meetlngofSeptember30,1995, WS093095 September 30, 1995 Council Work Session Page 83 Throg/ Yeah, I only said that because we have 20 some odd that have already been established. Many of them are too small I think. But they could be clustered together. Shields/ Establish community process to develop housing policy-to further develop housing policy and by that we are implying that we are going to involve neighborhood associations and others. Does that at least capture- Throg/ Yeah, I guess I think is really important to a enable those associations to themselves, not to say associations, maybe groups of associations to study the housing situation within their neighborhoods and in between neighborhoods so they learn for the process and then have ideas that come up that affect policy. Horow/ You know this is an interesting strategy because I can envision the media and/or others who are interested in councils meandering, saying that here we are. We are deflecting making a decision process right now and yet, I think this is one of those long range, to achieve something long range you really do have to get the process of neighborhoods talking with each other, understanding what the problems are throughout the whole city in order to come up with some sort of suggestions. So I guess, you know, this is one of those cases where-We are being charged with not making decisions because we are going to establish a community process to develop housing policy. I don't think that is fair because I think it really is going to affect and needs to be affected by the neighborhoods and the people who live there. I think it is important for us to anticipate this. Nov/ And if we are going to start this kind of community process we should probably include realtors, landowners, developers, not just neighborhoods. Pigott/ Housing fellowships. Nov/ Yes. Baker/ I see this process is working with infill and redevelopment very clearly but maybe a parallel track for fringe and new development having sort of neighborhood input that is pronounced. Clearly landowners and staff and council have to come together on something on new development. Thisrepresents ~n~y~rees~nab~y~ccuratetr~nscr~pt~n~fthe]~waC~tyc~un~m~et~ng~fseptember3~1995. WS093095 September 30, 1995 Council Work Session Page 84 Shields/ Other key players (can't hear). Kubby/ Include people who own property on the edges that are in the county as well as county policy members, because it's all connected in with fringe area issues and density and urban sprawl and transportation. Shields/ I think, Jim, this is (can't hear) most of your conversation really was heading focus on this when we talk about community attitudes, there's a lot of other stuff inside of that that's interesting. Is there anything else in here though that we need- Is there anything further that this council could agrees on or needs to agree on? Kubby/ I think Larry's point just about leadership, that one of the ways that we can put messages out there is to be thoughtful about our language and how we present issues when we're talking about things that we can control. And that just bringing attention to things is one way of providing leadership. So I think that word leadership is really important. That we as a group need to provide leadership about these issues. Whether or not we're engaged directly on funding or regulation, there's lots of things we can do to provide leadership. Horow/ Under this particular item, we also had tenant behavior and neighborhood expectations. Do we see that those two sub-issues fall under this generic community process to develop housing policy? Pigott/ Yeah. Shields/ Is there- I don't want to load your guns, so just you tell me. What else is there here potentially? Horow/ What, what? Shields/ What else is there potentially? This is due to policy development process, building that partnership, working with those neighborhood groups, getting them to understand the bigger picture as well as their own neighborhood and the housing, the various dimensions of the housing issue and problem that the council has identified in working with them they will- and I think Jim's saying it's an open book. You may learn from them as well. Is there another side to this in terms of the behaviors. Thlsrepresents only ereasonablyaccuratetranscrlptlon ofthelowaCItycouncll meetlngofSeptember 30,1995. W$093095 September 30, 1995 Council Work Session Page 85 Pigott/ Well, you know one of the things Jim mentioned was the fear of crime, of traffic behavior. Maybe there's some benefit to having, as Jim mentioned our staff come forward with some facts about these things so that there's an education process as well about what does this perception out there mean as well. So that at the same time that we're building policy, we're working on maybe destroying myths or figuring out what really is the existence in terms of perception. Shield/ Does the barrier study that's currently under way going to deal with some of that, what you're talking about? Horow/ How could you possible get staff to work on perceptions?. Baker/ Part of the barrier study, 3c.1 & 2. (can't hear). Franklin/ (Can't hear). Shields/ I don't think you are going to tell your staff to go do a study to prove that higher density results in less traffic. Nov/ Yes, let's do that one. Franklin/ (Can't hear) community attitudes are a barrier. (can't hear). Baker/ I guess all that we can do is we can know as many facts as possible about consequences (can't hear). And basically I have come down to is just simply saying our best judgement based on the facts that we know these are not the real problems here. I mean this is not-we are not doing any of this because we are trying to shake out heads and saying to ignore problems. We just don't believe that those problems exist to the degree that you are concerned i.e. the public is concerned about. I don't know if you are ever going to change the public perception along the way so much as having to confront it and deal with it. I mean that is- Horow/ I would say within that established community process if we don't look at the different elementary schools in terms of the amount of money or programs that they have needed to counteract the negative aspects of behavior problems whether they come out of different levels of income or whatever. But it seems to me that you can't just look at the neighborhood associations. You re honestly going to have to look at what programs have been established, that had to be established in various elementary schools and you can then look at the Thisrepresents onlyareasonably accuratetranscrlption ofthelowa Citycouncil meetlngofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 86 density and/or the income level of those areas and see whether there is any correlation. Baker/ That is a good point because I would like to know, for example, what is the difference between Southeast Junior High and Northwest? What are their perceived locational-What are they doing with in their locations? Horow/ Look at the difference between Twain and Lincoln. I mean that is quite obvious. Shields/ Part of this process-Let's meld this into this process and part of the larger leadership process. The city has a role and you, as a council, have a role in collecting pertinent information so that you can make it available and indeed the property value argument is in that. Pigott/ Let's destroy it. Shields/ And you have the ability to disprove that. Nov/ That is a difficult one to disprove. Shield/ I am not suggesting you can. I am using that as an example. Nov/ We can say in the past the property values have increased 10% a year or any other number. Now that we have a mixed income neighborhood property values went up only 5% this year. But you never know what caused that. I mean it could have been some other market. Shields/ I was just pulling that one. That should be part, if indeed-I think what you are talking about is also some of the other perceptions where it is possible. Can we gather some information? We need to try to get that available. Kubby/ I have a couple of other community attitude things but it is in a slightly different vein than that. It is looking at certain kinds of communities like the development community, the financial community, and some of the attitudes, finding out why aren't they using the advantage of tax credits more. We know some of that. But what would it take for them to get involved which is kind of segueing into this other issue? How can we get local financial institutions which tend to do a lot of community things but they tend to like take one project on and then one financial institution do this one project. They don't tend to work together in a consortium. What are the ThlsrepresentsonlyareasonablyaccuratetranscrlptionofthelowaCitycounc[] meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 87 barriers for that? What are the attitudes within that community that we could deal with or not deal with to make them work together? Shields/ Is that again part of the study? When we look at barriers are we willing to look at other key players? Milkman/ The financial communities have been working-I mean, the lenders basically have been working together somewhat on affordable housing projects. They have not-Well, it varies with location. But that have shown willingness to work together. Kubby/ That is kind of a shift from- I guess I need to know that. Milkman/ I think CRA is being effective. Kubby/ I mean one of the things that I haven't taken the time to do and I know everyone has portfolios that are acceptable. We have got them. Steve has them in his office. We haven't really looked at them. I don't know if any of us have taken the time to go in and look where the weak points are and to ask those weak points to strengthen. Horow/ I have and it is (can't hear)° Shields/ That in part answers some of your question. What we are really saying is there is another issue here and looking at the time being where it is now, can I suggest that another agreement you have to potentially consider is that you talked about public private partnerships and in an in depth manner together as a group and what that means for this overall housing policy and the implementation of housing policy. I would certainly would suggest that I think you would benefit by a follow up session or some type like this and I know that is a commitment of time but at least whether you do that or not, at least agree here that you will have this kind of full in depth discussion of the public private partnership issue that the group has focused on here as one of the top three. Does that make sense to you folks for you to do that? *** Chart Ten *** 5. Establish a community process to further develop housing policy -neighborhood assoc -study/share information -collect pertinent info Thlsrepresentsonlyareasonablyaccuratetra~criptlon ofthelowaCltycouncllmeetlngofSeptembsr30,1995. WS093095 September 30, 1995 Council Work Session Page 88 6. Discuss public private partnerships in depth. Kubby Kubby/ Yeah, I guess I want us to be a little more specific because all of us have time crunches and that we have been a little more directed with ourselves having a goal that within the next certain time frame we will meet again to focus on that issue and then it is the challenge of Sue to get calendars together. But I would like us to have some kind of time frame under which we are working. I think it worked well to make this happen and it is important- Horow/ Simply because we all know that there are issues that are hanging there only waiting for us to come out with some clear directives. The only trouble is if you look at what we agreed to, most of what we agreed to are studies and those don't lend themselves to immediate decisions. How can P/Z Commission, for instance, take what we have come up with today and how can P/Z Commission deal with specific projects based on what we did? Lehman/ I am not sure they can but I think it is really important that we discuss this other one soon because I think there may be more studies or whatever that will result from that meeting and we need to get that moving along. Kubby/ We have been waiting on this barriers to affordable housing. It has been on the work program for years of the Planning Dept. and that we have allowed immediate issues or longer term issue to bump it further down on the list and it has come to the top pretty soon. I think it is a natural evolution of this kind of agreement. I don't think it was a realistic expectation to think that we were going to have a clear message for the development community to say we will accept these kind of developments and we won't accept these kinds. Throg/ And things don't happen over night. What I think we have done here today is lay the groundwork for some pretty interesting and important shifts in our housing policy and the idea of drawing neighborhoods directly and explicitly into the process in terms of how to allocate low to moderate income housing fairly is an important move and we couldn't decide that today. That is just too much. Horow/ Okay, do you want to set this. We have a council week the week of the 16th, 17th of October. I am assuming that you want to move on this quickly. Thlsrepresentsonlyareasonably accuratetranscrlptlonoftheloweCItycouncll meetingofSeptember30,1995. WS093095 September 30, 1995 Council Work Session Page 89 Nov/ We are doing this with a calendar, okay. Pigott/ I don't know. I am a little uncomfortable going so soon for a number of reasons. Baker/ I think we should do it after that election. Pigott/ We have a new council coming in. You know, it could be- Karr/ Quorum night for council. Horow/ Okay, that takes care of that. Pigott/ I know this is an urgent issue. Kubby/ 16th? What is the 16th? Karr/ League of Women Voters just called me to reserve the Chambers (can't hear). Kubby/ I thought it was the 18th. Okay. Throg/ Sometime after the election and inviting the elected council. Horow/ All right, is it your focus on this particular issue of public private partnerships in which you would like to invite them or do you anticipate getting back into another discussion of all the issues that we have looked at here. Baker/ If a new council member has another perspective or something they want to add to it, certainly we can incorporate that but let's focus on public private. Horow/ Okay. Shields/ The agenda that you have before you right now. Kubby/ The 27th and 28th is open of November. Throg/ I think it would be a shorter meeting as well, wouldn't it? Shields/ One subject left in terms of moving this ahead. Might I also suggest that if you are going to be able to do that kind of time frame there might be some time within that period of time staff can respond to some of the things you have up here and not the full blown- Thlsrepresentsonlyareasonably accuratetranscription ofthelowaCitycouncllmeetlngofSeptember30,1995. WS093095 September 30, 1995 Horow/ We have a Council Work Session Nov/ Page 90 JCCOG meeting on the 15th of November. Is it possible to get something to eat and stay that evening? That is a Wednesday evening. Larry, what is your- Let me give you another idea. If we are talking about a shorter time frame, we are talking about maybe 40-45 minutes, can we put this in on a work session? Another Monday? Horow/ Start earlier? Pigott/ We have a very light Monday? Baker/ I was thinking about a couple of hours. Pigott/ I do too. Nov/ On public private partnerships? Council/ (All talking). Shields/ Are we talking about November, folks? Pigott/ Yeah, that is okay. Does that make sense? Horow/ I think you are going to have to move it to- Yes, is going to have to be longer than 45 minutes. can't- Council/ (All talking). Horow/ 27th - 28th folks is about- Shields/ Some of your speeches about moving been longer than 45 minutes. Nov/ Right, only when you are here. Horow/ 27 or 28, what does your calendars look like? Throg/ My birthday is on the 28th. Council/ (All talking). Horow/ It is after Thanksgiving. Nov/ It is Monday after Thanksgiving. I think it This crew to adjournment have This represents only a reasonably accurate transcription of the Iowa City council meeting of September 30, 1995, WS093095 September 30, 1995 Council Work Session Council/ (All talking). Horow/ It is the Monday the 27th. Karr/ 7:00 or 6:30? Horow/ 6:30. Karr/ 6:30, Monday the 27th. Baker/ The 28th might be better. Pigott/ It is not for Jim. Throg/ Maybe I just won't be here. Council/ (All talking). Arkins/ Members elect are invited to be here? Nov/ Yes. Pigott/ Yes, I would hope so. Nov/ When is the National League of Cities? Horow/ That is the 29th you have to leave for Phoenix. Council/ (All talking). Horow/ 27th at 6:30 PM. Shields/ Thank you (can't hear). Adjourned: 11:50 PM Page 91 Thisrepresents oniy areasonably accuratetranscription ofthelowa Citycouncil meeting of September30,1995. WS093095