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  Email: Sally J. Clark Phone: (206) 684-8802 Fax: (206) 684-8587
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Workforce Housing Incentive Program

Late in 2007 Mayor Greg Nickels forwarded to Council a resolution setting out guidelines for applying what's called "incentive zoning" to neighborhoods beyond Downtown Seattle where the program is already in place. Throughout this year the Planning, Land Use & Neighborhoods Committee has been analyzing the idea of spreading incentive zoning out to Seattle's neighborhoods.  In September Council began vetting a revised version of the Mayor's original proposal, this time in the form of a binding ordinance.

The concept is fairly simple.  When an area of town is considered for residential upzoning, like Downtown was in 2006, incentive zoning presents a developer with two options: either develop to an existing basic height or go higher in return for setting aside a percentage of the new space at a fixed lower rent.

The Workforce Housing Incentive Program has become one of many tools that encourage a wide spectrum of affordable housing in the city. While most City programs target assistance to very low-income people, the part of our population in greatest housing crisis, this program works on the "workforce" part of the housing spectrum.

In 2006, the City Council and Mayor decided that buildings Downtown could go higher than their height limits if developers set aside 11 percent of the “bonused” density for rental housing affordable to people earning up to 80 percent of the area median income (AMI)--roughly $43,000 for a single person–or condos affordable to people making 100 percent of the AMI--approximately $54,000 for a single person. Instead of building the units into the project, developers could opt to pay an average of $18.94 for every square foot of what would have been the affordable housing. This payment is then used to create new affordable housing off-site.

 

Links:

The Mayor sent a proposal to Council in September, suggesting that the elements of the Downtown program be applied city-wide.  I considered the draft, and after reviewing economic analysis and listening to many community advocates, came to the conclusion that 20% of the new development area should be set aside for workforce housing. 

One major difference between the current proposal and the 2006 Downtown rezone is that this legislation would not change the zoning in any neighborhoods.  Instead it would serve as a framework in case any zoning changes are proposed in the future.   

When rezone proposals that increase development capacity come before the Council, my goal is to secure affordable housing, along with other benefits, in exchange for that increased height or density. Other cities have traded additional building height or density where it makes sense for some amount of affordable, lower-middle-class housing, and I don't think Seattle should miss out on the opportunity.

After months of analysis by the Planning, Land Use & Neighborhoods Committee (PLUNC) and conversations with neighborhood activists, developers and affordable housing advocates, many questions about the impacts and opportunities of incentive zoning on affordable housing and neighborhoods have come to light and led to great suggestions for how to improve the Mayor's original proposal.  I’ve appreciated the feedback.

Between now and the end of 2008, PLUNC and Council will further debate the elements of a successful Workforce Housing Incentive Program.  It is likely we'll take a final vote on a program before the end of the year. I'd greatly appreciate hearing your comments, through email, a letter, a phone call or through public comment at one of the meetings listed below.

The Mayor's version of the proposed ordinance to establish Workforce Housing Incentive Program rules for beyond downtown is viewable here.

You can review my version of the ordinance here.

And a comparison of both versions of the legislation here.

The Planning, Land Use & Neighborhoods Committee will consider the legislation at committee meetings on December 4th at 2 p.m. and December 10th at 9:00 a.m. All meetings will be in Council Chambers at City Hall.

To view previous Planning, Land Use & Neighborhood Committee meetings where the Workforce Housing Incentive Program was a discussion item, click any of the below links to view the Seattle Channel video:

2/13/08 PLUNC

3/12/08 PLUNC

6/25/08 PLUNC

7/23/08 PLUNC

7/31/08 PLUNC

9/10/08 PLUNC

9/24/08 PLUNC

10/7/08 PUBILC HEARING

10/8/08 PLUNC

11/19/08 PLUNC

All PLUNC meetings are open to the public and the first part of every meeting is dedicated to hearing comments from the public about the issues at hand. If you'd like to be kept in the loop for upcoming meetings about the incentive program, you can sign up here to receive meeting agendas.

For more information, contact David Yeaworth, my legislative aide, at (206) 684-8802 or david.yeaworth@seattle.gov.

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