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Ad Hoc Work Committee
• Tracey Achenbach, Housing Trust Fund of
Johnson County
• Maryann Dennis, Housing Fellowship
• Chad Keune, Homebuilders Association
President, 2014
• Brad Langguth, Hills Bank and Trust
• Scott McDonough, Iowa Valley Habitat for
Humanity Chair, 2015
• Sally Scott, Johnson County Affordable Homes
Coalition
• Glenn Siders, Siders Development
Recommended
Fundamental Principles of
an Inclusionary Housing
Regulation
• PRINCIPLE #1— Provision of inclusionary
housing should be mandatory, not voluntary.
— When the City participates financially (e.g. TIF) in
a development that includes residential units
regardless of zoning designation.
— When property is zoned a Riverfront Crossings
zoning designation.
• PRINCIPLE #2 — A percentage of units in a
development should be set aside for housing
that is affordable for an established period of
time.
— When the City participates financially in a
development, 15% of the residential units must be
affordable for a minimum term of 20 years, or the
life of the TIF, or term of developer's agreement,
whichever is longer.
— When the City is not participating financially in a
development, 10% of the residential units must be
affordable for a minimum term of 10 years.
• PRINCIPLE # 3 — Project size should be
considered and a threshold established for a
set-aside requirement.
— Developments that include 10 or more residential
units are subject to the set-aside requirement.
• PRINCIPLE #4 — Requirements should be
appropriate for the type of development (rental
vs. owner -occupied housing).
— Rental projects are required to provide affordable
units within the development unless the developer
qualifies for a hardship exemption to provide a 'fee -in -
lieu'.
— Owner -occupied projects may choose to pay a 'fee -in -
lieu' for their affordable housing obligation, or may
offer affordable for -sale units to non -profits for
management and re -sale to income -qualifying
owners. Proceeds from the 'fee -in -lieu' fund may be
used for down payment assistance for income -
qualifying households purchasing owner -occupied
units.
• PRINCIPLE #5 — Alternatives to the on-site
affordable housing set-aside should be
provided.
— `Fee -in -lieu' contributions. These contributions
may include money, land or other in-kind
contributions. Rental projects may appeal on site
requirement in exchange for a `fee -in -lieu' option.
This may be provided off-site but only within the
Riverfront Crossings Area.
• PRINCIPLE #6 — Funds created from 'fee -in -
lieu' contributions should be used to create
an Affordable Housing Fund for the sole
purpose of supporting affordable housing in
the Riverfront Crossings area.
— Funds can only be utilized for affordable housing
located within the Riverfront Crossings Area.
— Funds may be used for down payment assistance
for owner -occupied households.
— Funds may be used to provide grants/low interest
and/or forgivable loans to local non-profit
affordable housing agencies (e.g. Fellowship, Trust
Fund, Habitat, other) for affordable housing
development.
• PRINCIPLE #7 — Affordable housing should be
provided to households of a qualifying
income level.
— Renters: Not to exceed 60% of Area Median
Income (AMI). With a TIF project, the City may
negotiate affordability level (i.e. some units at a
lower percentage than 60% AMI).
— Owners: Not to exceed 110% AMI. With a TIF
project, the City may negotiate affordability level
(i.e. some units at a lower percentage than 110%
AMI).
— Elderly/Disabled: Developments designed and
utilized for elderly/disabled are not required to
provide an affordable housing set-aside.
Recommendations
• 1. City Council direct staff to develop an Inclusionary
Housing ordinance for consideration, applicable only to
the Riverfront Crossinas area. and that the ordinance be
based on seven
fundamental
design
principles
recommended
by the ad-hoc
work
committee.
• 2. City Council amend the Affordable Housing Location
Model. This amendment is necessary if the IH regulations
are to be effective in increasing supply of affordable
housing in the Riverfront Crossings area. Attached to this
document is a memo of explanation from Tracy Hightshoe,
Neighborhood Service Coordinator.
• 3. City Council direct staff to provide to Council a periodic
review of the IH requirement's impact in the Riverfront
Crossings area.
The development of a worl<able Inclusionary
Housing requirement in the Riverfront Crossings
area would be a significant achievement, for
which the committee's recommendations are a
ground breal<ing first step.
Thank you to the members of the ad-hoc
inclusionary housing work committee