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Home My WebLink AboutCAP 2016-06-27 Item 2C - Discussion - 2016-2018 Work Plan: HousingCity of Tukwila INFORMATIONAL MEMORANDUM TO: Community Affairs and Parks CC: Mayor Ekberg FROM: Jack Pace, DCD Director BY: Laura Benjamin, Assistant Planner DATE: June 27, 2016 SUBJECT: Housing Work Plan Allan Ekberg, Mayor ISSUE Briefing on the Housing in Tukwila — Current & Potential Efforts matrix and review of the 2016, 2017, and 2018 housing work plans. BACKGROUND Tukwila's Comprehensive Plan includes a Housing Element which provides policy direction for housing efforts over the next 20 years. This element was updated in 2015 as part of the larger Comprehensive Plan update. The Housing Element includes policies ranging from affordability to housing condition. The Community Affairs and Parks Committee was briefed on the Housing in Tukwila — Current & Potential Efforts matrix at the April 25, 2016 committee meeting. The matrix provides a summary of current and potential housing efforts, including governmental programs and funding at the city, county, state, and federal level, as well as community development and non - profit initiatives. DISCUSSION The Housing in Tukwila — Current and Potential Efforts matrix (Attachment A) has been updated to denote potential work plan items for 2016, 2017, and 2018. Work plan items are noted with a highlighted column on the right. A summary of the proposed work plan items is included below. The attached matrix provides more information on each item. Staff recommends addressing residential lot sizes in 2017 as the 2016 work plan for both DCD and the City as a whole is at capacity with focus on the potential public safety bond. If the committee wishes to take action on small lots sooner, there is the option to change the lot size variance application, which is currently a Type 3 decision made by the Hearing Examiner, to a Type 2 decision made administratively. This would decrease the time and cost associated with the variance and allow more flexibility for property owners wishing to develop smaller lots, while still mitigating the potential negative impacts of small lot development. A Zoning Code update could then take place beginning in 2017. 2016 • Riverton Compact Homes — Row 1 a • Recreation Space — Row 2d • Pest Inspection — Row 2e • Re- evaluate Registration of Vacant Homes in Tukwila— Row 2g • Utility Shutoff Prevention /Utility Re- Enablement — Row 3b • Multi - Family Property Tax Exemption — Row 3c 19 INFORMATIONAL MEMO Page 2 • TIB Multi - Family Redevelopment - Row 3e 2017 • Residential Lot Sizes — Row 1 c • Residential InfiII Standards — Row 1d 2018 • Accessory Dwelling Units (ADUs) — Row 1 i RECOMMENDATION Discuss and provide direction on the potential items for the 2016, 2017, and 2018 work plans. ATTACHMENTS A. Housing in Tukwila — Current & Potential Efforts Matrix 20 CITY OF TUKWILA Housing in Tukwila — Current & Potential Efforts Attachment A Page 1 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item 1. HOUSING TYPE /OPTION Row Focus Area Program Description /Comment Sponsor /Organizer Eligibility /Qualifications Status in City Requires Policy /Code /Budget Change WI 0 N la Housing Type /Options Riverton Compact Homes Proposed development of 34 owner occupied compact single - family homes (900 -1800 sf) with community gardening and recreation space on the Riverton United Methodist Church property. Timing dependent on Homestead's ability to secure financing. City of Tukwila/ Homestead Community Land Trust Home price and income restrictions determined by Homestead Community Land Trust Development agreement in 2016, entitlements in 2017, construction in 2018 Development agreement and /or code update, supported by Comp Plan lb Housing Type /Options Senior Housing Incentivize development of senior housing. Current projects: Tukwila Village, Quail Ridge City of Tukwila Age and income restrictions Ongoing Current code allows higher density for senior housing, up to 60 dwelling units per acre ,-1 N lc Housing Type /Options Residential Lot Sizes Target specific areas for lot size reductions, like in Allentown from 6500 sf to 6000 sf with additional development standards City of Tukwila Further Research Required if Decide to Move Forward Code change ,-1 N 1d Housing Type /Options Residential Infill Standards Tied to residential lot sizes, develop design standards for single - family homes on smaller lots to mitigate the potential negative impacts of smaller lot lek, development City of Tukwila Further Research Required if Decide to Move Forward Code change, supported by Comp Plan le Housing Type /Options Incentivize Redevelopment Allow redevelopment at higher density; Enable tear down of older non - conforming multifamily properties in target areas such as TIB District /near LINK station City of Further Research Required if Decide to Move Forward Code change, supported by Comp Plan if Housing Type /Options Modular Homes PODs — Prefabricated assessor dwelling units pre- approved by Tukwila DCD for placement on residential property City of Tukwila Further Research Required if Decide to Move Forward Code change to allow in residential areas 1g Housing Type /Options Demolition Tax - Exemption No tax charge for demolition of low -grade properties City of T ila Further Research Required if Decide to Move Forward c ni Housing Type /Options Accessory Dwelling Units (ADUs) The City currently permits attached ADUs (granny flats). Detached (backyard cottages, guest homes) are are gaining popularity and provide an option for residents to downsize and rent the primary home for additional income. Develop an amnesty program for existing illegal /non- conforming detached ADUs. City of Tukwila Attached ADUs must meet minimum lot size of 7200 sf and other development criteria — TMC 18.10.030(2) Further Research Required for Detached ADUs if Decide to Move Forward Attached ADUs allowed, Code change for detached ADUs, supported by Comp Plan 1i Housing Type /Options Rezone Rezone undeveloped /underused parcels adjacent to existing multi - family developments City of Tukwila Further Research Required if Decide to Move Forward Code change and Comp Plan amendment Page 1 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item CITY OF TUKWILA Housing in Tukwila — Current & Potential Efforts Page 2 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item W 2. HOUSING CONDITION Row Focus Area Program Description /Comment Sponsor /Organizer Eligibility /Qualifications Status in City Requires Policy /Code /Budget Change 2a Housing Condition Rental Housing Licensing and Inspection Program All rental units (multi - family and single - family) annual license and inspection every four years; Focus on life safety City of Tukwila Ongoing 2b Housing Condition National Healthy Housing Standard Code to ensure homes are healthy and safe for residents; First city to adopt the NHHS City of Tukwila Ongoing 2c Housing Condition Minor Home Repair Financial assistance for low- income home owners to make life safety improvements City of Tukwila/ King County HUD CDBG funds passed through King County Ongoing to c ni 2d Housing Condition Recreation Space Outdoor recreation spaces at multifamily properties City of Tukwila Researching Issue and Options Code requires recreation space for new developments, does not apply to existing developments including those constructed prior to annexation 0 N 2e Housing Condition Pest Inspection Annual pest inspection and certification for multi- family properties Required for multifamily properties with 4+ units Further Research Required if Decide to Move Forward 1 year pilot or phase in over time. 2f Housing Condition Neighbor To Neighbor Program Citizens helping others clean up their housin :; ', rf with Habitat for low housing materials • itat for . / City of Tu Low - income home owners and renters — to be determined if program moves forward Further Research Required if Decide to Move Forward Policy and budget — grants, supported by Comp Plan CV ko o 2g Housing Condition Vacant Home Registry Require registration of vacant homes in Tukwila. 1 City of Tu Further Research Required if Decide to Move Forward If move forward, code and budget — general fund, or potentially revenue neutral depending on inspection fees and staffing costs 2h Housing Condition Habitat for Humanity . Provided land for one low- income owner occupied home in Allentown/ Owner occupied home repairs and assistance Habitat for Humanity /City of Tukwila Low - income home owners Completed/ Preliminary Discussion/ Further Research Required if Decide to Move Forward 2i Housing Condition Home Repair Assistance JA Nonprofit provides assistance for minor home repair in a specific neighborhood Rebuilding Together Seattle/ City of Tukwila Low- income home owners Fall 2016 in the Allentown neighborhood 2j Housing Condition Community Development Funding May be used for City projects, e.g., sidewalks; HUD CDBG funds passed through King County King County Competitive application annually Available 2k Housing Condition 501(C)3 — Federal Tax Credit Used to renovate older multi - family dwelling units by non- profits Federal Government Available to Developers 21 Housing Condition Green Building Codes Green /sustainable building standards; All affordable housing projects receiving King County funds must meet higher green standards(Built Green) City of Tukwila I -Codes to be adopted in 2016 Code change, supported by Comp Plan 2m Housing Condition Parking Lot and street design to accommodate more vehicles, focus on increased density near transit (TOD) City of Tukwila Further Research Required if Decide to Move Forward Code change Page 2 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item W N) CITY OF TUKWILA Housing in Tukwila — Current & Potential Efforts Page 3 of 5 Version 4— 6/22/2016 = City currently engaged in program IN = Potential work plan item 01 3. AFFORDABILTY Row Focus Area Program Description /Comment Sponsor /Organizer Eligibility /Qualifications Status in City Requires Policy /Code /Budget Change 3a Affordability Utility Tax Relief Annual rebate program for Tukwila Surface Water, Tukwila Sewer, Tukwila Water City of Tukwila Low Income, Seniors, Disabled Ongoing, Administration Reviewing Current Policy c3b eq Affordability Utility Shutoff Prevention Utility Re- Enablement Prevent utility shut off for low- income residents City of Tukwila Low Income, Screened by Human Services. Current budget at $3,000 Ongoing, Looking into other models and funding sources Research Summer 2016. Potential to include revision in Fee Resolution adoption slated for Fall 2016. tip c n' 3c Affordability Multi - Family Property Tax Exemption Pilot program in TUC -TOD area, Washington Place is utilizing the program, however, units are not affordable for low- income residents. City of Tukwila Property tax exemption for specified time period for multi - family developments meeting affordability thresholds Ongoing, Further Research Required if Decide to Expand Program Program re- evaluation in 2016. If decide to expand program, code change to expand geographic area or income thresholds to make units affordable to !ow- income residents. 3d Affordability Inclusionary Zoning Require a specified percentage of units in a development are affordable to low- income residents. Potential options for redevelopment of mobile home parks City of Tukwila RCW 36.70A.540 Further Research Required if Decide to Move Forward Policy and code change, supported by Comp Plan tz c N 3e Affordability TIB Multifamily Redevelopment Small scale redevelopment and density increase for 3- 4 multifamily properties in the TIB District Timing dependent on DASH's ability to secure financing. DASH — Downtown Action to Sav Housing DASH's current properties rent to nts at 40 -50% AMI Preliminary Discussion May require development agreement or code change, supported by Comp Plan 3f Affordability Tax Payer Assistance Reduction /deferral of property taxes King County Assessor Low Income, Seniors, Disabled, Veterans Available to Property Owners 3 g Affordability Acquisition of property for long- term affordability Boulevard at South Station, mix of market rate and Section 8 voucher eligible units King County Housing Authority Market rate and Section 8 eligible units Ongoing 3h Affordability Section 8 Vouchers 258 units serving 1222 individuals King County Housing Authority At or below 80% AMI for family size, by lottery, waiting list of 2500 Ongoing 3i Affordability Low Income Housing Tax Credit (LIHTC) Offers a financing option for developers State of Washington Competitive application based on point system Available to Developers 3j Affordability King County Housing Finance Funding for affordable housing from a variety of sources. New focus on affordable housing in TOD areas, New option to bond against King County lodging tax, does not affect City lodging taxes King County Competitive application Available to Developers Page 3 of 5 Version 4— 6/22/2016 = City currently engaged in program IN = Potential work plan item 01 r CITY OF TUKWILA Housing in Tukwila — Current & Potential Efforts Page 4 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item Row Focus Area Program Description /Comment Sponsor /Organizer Eligibility /Qualifications Status in City Requires Policy /Code /Budget Change 3k Affordability Regional Equitable TOD Fund (REDI) Revolving loan fund for affordable housing, focused on transit- oriented development (TOD) King County Competitive application Funding not yet available 31 Affordability Source of Income Discrimination Landlords cannot discriminate based on source of income, i.e., Section 8 vouchers, public assistance, etc. City of Tukwila i Could apply to all rental housing in the city Further Research Required if Decide to Move Forward Policy and code change. May require general fund budget change to support staff to enforce. 3m Affordability Surplus Land Policy to prioritize the use of surplus land for affordable housing development; May include income thresholds and design criteria for potential developments, Fire Station property in Allentown City o ila Further Research Required if Decide to Move Forward Policy change, supported by Comp Plan 3n Affordability Sub - Regional Programs Work with housing groups to refocus advocacy efforts in the South King County sub - region; Also see SKHHP, Row 4a King County House ,,• ' hority Preliminary Discussions, °=per Research 'd if Decide to Mo■ rward 3o Affordability Collaborate with Non - Profits Encourage more non - profits to focus on Tukwila — Tukwila Pantry, Low - Income Housing Institute (LIHI) City of Tukwila /Non- 'PPI-ofits Demonstrate need and 'ty support for services "ded Further Research Required if Decide to Move Forward 3p Affordability Regional Minimum Wage Increase Higher minimum wage is a regional issue as many resident do not work in Tukwila City of Tukwila /Other Local Jurisdictions Further Research Required if Decide to Move Forward 3 q Affordability NeighborhoodLlFT $2500 -$7500 in down payment assistance for King County residents, $5000 - $75000 in down payment assistance for active military, veterans, and surviving spouses Wells Fargo Income restrictions and must have approval for financing Available to Residents 3r Affordability Homebuyer Opportunities Down payment assistance, foreclosure settlement, and fi ounseling Homesight Income restrictions Available to Residents 3s Affordability Just Cause Eviction Ordinance Landlords must follow enhanced ,col to evict tenants, such as providing written longer notice timelines, and citing the reason for e City of Tukwila Could apply to all rental housing in the city Further Research Required if Decide to Move Forward Policy and code change. May require general fund budget change to support staff to enforce. 3t Affordability Land Banking -ntify publically -owned land for afforda sing .pment illik City of Tukwila /Other Public Institutions Further Research Required if Decide to Move Forward Page 4 of 5 Version 4— 6/22/2016 = City currently engaged in program N = Potential work plan item r CITY OF TUKWILA Housing in Tukwila — Current & Potential Efforts Page 5 of 5 Version 4— 6/22/2016 = City currently engaged in program IV = Potential work plan item CD 4. HOMELESSNESS Row Focus Area Program Description /Comment Sponsor /Organizer Eligibility /Qualifications Status in City Requires Policy /Code /Budget Change 4a Homelessness South King County Housing and Homelessness Partnership (SKHHP) Works on regional solutions to housing and homelessness; 3 year funded SKC housing planner hosted at Renton City Hall SKC cities, other funders Ongoing 4b Homelessness Tent City Minimal permitting to allow Tent City on private property in Tukwila if basic health and safety standards met Tent City/ City of Tukwila Annually, last at Riverton United Methodist Church in Q1 2016 4c Homelessness Way Back Inn Provides short term (90 day) transitional housing Non - Profit via three City owned houses Human Services provides operating support via competitive application Ongoing 4d Homelessness Human Services Advisory Board Provides funding to service providers, including: • South Mental Health PATH Program • Auburn Youth Resources • Hospitality House • DAWN Shelter • Multi- Service Center Shelter and Transitional Housing • Tukwila School District • Riverton Park United Methodist Church • Tukwila Information and Referral Statistics • REACH Center of Hope — Day Shelter • Tukwila Community Center and City Parks • King County Mobile Medical and Dental Vans • Way Back Inn (see 4c) City of Tukwila 12 nonprofits and programs, ranging from domestic abuse to youth services, are funded for 2 years Ongoing 4e Homelessness Enterprise Community Partners Develop greater understanding of Tukwila students' needs via data collection. Jonathan Houston (TSD), Keri Williams (Enterprise), Mary Fertakis (consultant). Focus on McKinney Vento — students experiencing homelessness Tu chool Dist Report expected in Summer 2016 Page 5 of 5 Version 4— 6/22/2016 = City currently engaged in program IV = Potential work plan item CD