Loading...
HomeMy WebLinkAboutPC Agenda Packet 2023-11-29 SPECIAL MEETING AGENDA PLANNING COMMISSION November 29, 2023 6:00 - 8:00 PM Notice is hereby given that the Port Angeles Planning Commission will meet on Wednesday,. November 29, 2023, starting at 6:00 p.m. in the City Council Chambers in City Hall located at 321 E. 5th Street, Port Angeles, WA. This meeting will be conducted as a hybrid meeting. In hybrid meetings, members of the public, Committee members, and City staff have the option to attend the meeting in person at City Hall or remotely through the Webex virtual meeting platform. For those planning to attend remotely, learn how to watch the meeting live and participate during the public comment period by visiting: https://www.cityofpa.us/Live-Virtual-Meetings. For audio only please call: 1-844-992-4726 Use access code: 2552 758 7809 Webinar password: Nov292023 (66829202 from phones and video systems) Once connected press *3 to raise your virtual hand, if you wish to make a comment or public testimony. You will be notified when it is your turn to speak. This access code will work for the November 29, 2023 meeting only. If you are joining the meeting through the Webex link and wish to make a comment or provide public testimony, please use the “raise your hand” feature in Webex. You will be notified when it is your turn to speak. Virtual Webex Meeting Link: https://cityofpa.webex.com/cityofpa/j.php?MTID=m779dd4dd7cb3179084dca763e3c5ca86 The meeting is open to the public. I. CALL TO ORDER II. ROLL CALL III. PUBLIC COMMENT IV. APPROVAL OF MINUTES Minutes of the September 27, 2023 Regular Meeting V. DISCUSSION ITEMS 1. Innovative Housing Solutions Open discussion led by the Chair concerning submitted information from Planning Commissioners related to innovative housing construction and financing techniques. VI. STAFF UPDATES November 29, 2023 Planning Commission Agenda Packet Page 1 of 21 VII. REPORTS OF COMMISSION MEMBERS VIII. ADJOURNMENT November 29, 2023 Planning Commission Agenda Packet Page 2 of 21 Minutes of the September 27, 2023 Regular Meeting November 29, 2023 Planning Commission Agenda Packet Page 3 of 21 MINUTES PLANNING COMMISSION Hybrid Meeting – In Person and Virtual City Council Chambers: 321 E 5th Street, Port Angeles, Washington 98362 September 27, 2023, at 6:00 P.M. REGULAR MEETING CALL TO ORDER Acting Chair Schwab opened the regular meeting at 6:04 P.M. ROLL CALL Commissioners Present: Andrew Schwab (Acting Chair) Richie Ahuja Tammy Dziadek Marolee Smith James Taylor Colin Young Commissioners Absent: Benjamin Stanley (Chair) – excused City Staff Present: Ben Braudrick (Planning Supervisor) Shannen Cartmel (Deputy Director of Community Services) Zach Trevino (Associate Planner) Ethan Walker (Housing Administrator) Public Present: Laurel Cripe, Skip Hutchinson, Kate Jacobs, Jake Purvis, Steve Workman, additional unidentified members of the public PUBLIC COMMENT Acting Chair Schwab opened the meeting to general public comment. The following individuals provided comment: • Kate Jacobs explained that she and her family are residents of Port Angeles and have experienced short-term rentals (STRs) in their neighborhood. She noted that STRs are prohibited in her zone but that there are more than one dozen operating in her neighborhood. She has reported these to the Code Enforcement Division, but no action has been taken. She is concerned that the vetting process for occupants of STRs is not thorough enough to ensure safety. She knows the zones in which STRs are prohibited but does not know of any enforcement actions that have been taken in response to STRs operating in those zones. She advocated for a requirement that STRs be commercially zoned. She distributed written comments to staff following her verbal comments. • Laurel Cripe distributed written comments to staff and the Planning Commission. She asked to table the discussion of STRs so staff can focus on enforcing existing regulations. She explained that in 2017 she was told that Code Enforcement capacity November 29, 2023 Planning Commission Agenda Packet Page 4 of 21 Planning Commission Minutes September 27, 2023 Page 2 did not exist. She explained that data must be gathered before new regulations are formulated. She asked why the Planning Commission is talking about regulations without data from GovOS. She noted that the City does not ban STRs altogether, but that current regulations must be enforced. Requiring platform compliance should be added to the code as a process modification. She noted that the City needs to address this before conducting an outreach process. • Steve Workman expressed a desire to reiterate what Laurel Cripe stated. He claimed that lack of enforcement is the reason for the proliferation of STRs. He encouraged the Commission to talk with City Council to make an effort at enforcing existing City policy. • Jake Purvis operates an STR in the City. He volunteered for participating in the subcommittee that is scheduled to be created. He explained that limiting STRs to high density neighborhoods is counterproductive because it incentivizes the creation of single-household dwelling units in high density neighborhoods. • Stephen Pelayo wants to educate the community about STRs. He noted that there has been a net decrease in overall hotel capacity and that STRs are integral to the tourism industry. The City lacks sufficient capacity for lodging. He claimed that the largest share of lodging tax revenues comes from STRs. An STR is a product that is in demand. • Steve Workman spoke again with permission of Acting Chair Schwab. He explained in response to Stephen Pelayo’s comments that metrics do not exist regarding STRs. Acting Chair Schwab closed the meeting to general public comment. APPROVAL OF MINUTES MOTION: Commissioner Smith moved to approve the minutes from the August 9, 2023 regular meeting of the Planning Commission. The motion was seconded by Commissioner Taylor and passed unanimously (6-0) through a consent vote. DISCUSSION ITEMS 1. Short-Term Rentals – Public Engagement Plan Planner Braudrick introduced the item by noting that the City Council directed staff to move forward with STR data collection and review, reviewing potential regulation updates, and identifying a way to permit/license STRs. One purpose of the work being conducted by GovOS is to help with creating a regulatory framework. The proposed Public Outreach Plan is a part of the larger public engagement plan. Staff is working to develop a standardized engagement plan that can be used for this and other City initiatives. Staff wants to solicit constructive feedback on the draft vision, goals, and objectives provided to the Planning Commission. Planner Braudrick read the vision statement and noted that the goal is to create a conversation. He proceeded to read the draft goals and objectives, obtaining feedback from the Planning Commission one goal at a time. Commissioner Ahuja noted that zoning for STRs already exists, but the existing policy is just not enforced correctly. He asked why the City should pursue engagement when the existing regulations are not enforced. Code Enforcement in the City is based on voluntary compliance. November 29, 2023 Planning Commission Agenda Packet Page 5 of 21 Planning Commission Minutes September 27, 2023 Page 3 He explained that the most important thing that GovOS is doing is a comprehensive inventory and analysis process, stating that the public process should occur after the analysis. Commissioner Ahuja noted that compliance through the STR platform is more efficient than pursuing compliance by household. Deputy Director Cartmel responded by noting that here was not a robust public engagement process when the original STR regulations were adopted. Commissioner Smith noted that the Pursuing Housing for All process did incorporate engagement related to STRs. An enforcement officer now exists. She noted that the existing regulations need to be enforced before additional steps are taken. She explained that companies like Airbnb and VRBO will take down STRs immediately if the City requests that they do so. Business licenses do not presently provide an opportunity to monitor STRs. The City needs data from GovOS before a public engagement conversation occurs. The existing law on the books is a “dead-letter law” and is more important than new regulations at this point. Planner Braudrick noted that data is being collected now. Staff is going through a process to build a plan for public engagement in anticipation of receiving this data. The City is concurrently conducting an inventory and analysis in preparation for a public process that can be implemented at any point. Commissioner Dziadek noted that the City needs to work on enforcement of the current code before moving forward with engagement. Commissioner Taylor explained that the issue is the lack of housing. The City needs to start building housing and it is preferable for the City to form a committee that focuses on getting units built. A lack of hotel space is one problem. The housing shortage will get fixed by squabbling over STRs. Commissioner Young explained that objectives need to be included in the purview addressing the lack of hotel space in the community. STRs are often owned by local residents, employing local housecleaners and other labor. STRs affect the entire community and the business side of things is an important aspect of this matter. Increasing hotel space should be another objective in the process to regulate STRs. Vice Chair Schwab noted that staff has merely devised an introduction to the issue of outreach and the Commission must focus on feedback. The public engagement plan must be data driven. He noted that the initial goals and objectives are aimed at figuring out how we should proceed, which addresses the concerns of other Commissioners. Budgeting and restrictions on Code Enforcement capacity has led to a lack of enforcement historically. Working with the public to develop a self-sustaining approach does not prescribe answers. He supports the idea of enforcing current codes while also asking th e public how the City should proceed. The point of this effort is to reach people who have yet to voice their opinion. He concluded by noting that all of the Commissioner comments made at the meeting so far fit within the process outlined in the draft goals and objectives. After initial remarks by each Planning Commissioner, further discussion of the draft vision, goals, and objectives ensued. MOTION: Commissioner Ahuja moved to recommend that the City Council table the STR public engagement plan development process to give the City time to further analyze the matter until it is clear whether the current zoning-based STR policies need to be changed and to ask staff to prioritize platform based enforcement of the existing code November 29, 2023 Planning Commission Agenda Packet Page 6 of 21 Planning Commission Minutes September 27, 2023 Page 4 requirements. The Planning Commission discussed this motion, and it was noted that data collection must be accounted for before further steps are taken to conduct public engagement. This discussion resulted in an amended motion. AMENDED MOTION: Commissioner Ahuja moved to recommend that the City Council: 1. Table the short-term rental public engagement plan development process to give the City time to collect more data and further analyze the matter until it is clear whether the current zoning-based short-term rental policies need to be changed; and 2. Ask staff to prioritize platform-based enforcement of the existing Port Angeles Municipal Code requirements. The motion was seconded by Commissioner Smith and passed (4 -2) through a roll call vote. Acting Chair Schwab and Commissioner Young voted no. 2. 2025 Periodic Update of the Comprehensive Plan Planner Braudrick introduced the item, explaining that staff is interested in soliciting input from the Planning Commission in anticipation of the public outreach effort associated with the periodic update of the Comprehensive Plan. The Planning Commission asked questions of staff and provided the following comments in response to the proposed engagement strategies: • Surveys in multiple formats need to be incorporated as part of the interactive website content because surveys can be difficult to receive by paper. • The difference between a storefront studio and a public workshop was clarified. • The subcommittee should be more explicitly mentioned in the engagement process. The subcommittee will be the ambassador during the process for the outreach, so the outreach plan should specify how specifically the subcommittee will be involved. The Planning Commission did not make a motion following its review of the anticipated engagement strategies. ACTION ITEM 1. Short-Term Rentals – Subcommittee Creation Vice Chair Schwab noted that this item should be tabled in light of the motion made earlier in the meeting. MOTION: Commissioner Taylor moved not to form a short-term rental subcommittee at this time and to table the item of forming a short-term rental subcommittee until the Planning Commission feels a subcommittee is necessary, at which time the item will be revisited. The motion was seconded by Commissioner Smith and passed unanimously (6-0) through a roll call vote. November 29, 2023 Planning Commission Agenda Packet Page 7 of 21 Planning Commission Minutes September 27, 2023 Page 5 STAFF UPDATES City staff provided the following updates to the Commission: • Planner Braudrick announced that Callam County is developing a Strategic Marketing Plan for the entire North Olympic Peninsula. The planning process has included over 1,300 people providing feedback. The team has conducted outreach at various places. A high volume of feedback is being received about how the plan is being developed. The engagement process went well, and plan development continues. REPORTS FROM COMMISSION MEMBERS • Commissioner Taylor would like to see an interactive joint meeting between the Planning Commission and the Utility Advisory Committee. • Commissioner Taylor stated that there is a contradiction regarding who can serve on Planning Commission subcommittees, noting that Chair Stanley serves on the Climate Resiliency Subcommittee. ADJOURNMENT Vice Chair Schwab adjourned the meeting at 7:58 P.M. Zach Trevino, Secretary Andrew Schwab, Acting Chair MINUTES PREPARED BY: Zach Trevino, Secretary November 29, 2023 Planning Commission Agenda Packet Page 8 of 21 Discussion Item Innovative Housing Solutions November 29, 2023 Planning Commission Agenda Packet Page 9 of 21 Housing Innovation Ideas by Tammy Dziadek, 11/14/2023 - Pre-approved building plans for various housing types, aligned with the vision for the City of Port Angeles, including city-sponsored development workshops, with high-quality architectural plans consistent with corresponding neighborhoods. Please refer to Edward Erfurt’s 10/27/23 Strong Towns article titled Say Yes to New Housing—Before Anyone Even Asks To Build It at the following link: https://www.strongtowns.org/journal/2023/10/27/pre-approved-building-plans -Key insights on affordable housing, from Strong Towns, including the recognition that tax policy and land use policy at the federal and local levels keep housing prices high; renters and poor people, unfortunately, lack political power. In light of widespread housing unaffordability, allow incremental development everywhere and buffer neighborhoods against displacement from cataclysmic money influxes. For more information, please see the following link: https://actionlab.strongtowns.org/hc/en-us/articles/5408172901140-Affordable-Housing-Core-Insights - Alternative housing ideas through an internet search include the following: https://www.homedit.com/unique-alternative-housing/ Creative ideas in this post include cob houses, earth berms, straw bale homes, hobbit homes, pallet homes, tree houses, floating homes, yurts, geodesic domes, hemp concrete homes, and discarded glass bottle homes. ---------- - ProPublica article (idea?), 11/4/2023: Los Angeles Mayor orders residential hotels to be used for temporary homeless housing. A 2008 city law intended hotels used as primary residencies to be preserved as safety-net housing, but with little enforcement, some landlords had turned their buildings into tourist hotels. For more information, please go to the following link: https://www.propublica.org/article/los-angeles-mayor-orders-residential-hotels-to-be-temporary- homeless-housing - Another ProPublica article (food for thought), 11/14/2023, with follow up regarding temporary housing in Los Angeles hotels, landlord violations, and contracts awarded despite violations. The article is titled “Residential Hotels Got Contracts Under the Los Angeles Mayor’s Homelessness Program Despite Violations: A city law sought to prevent low-cost housing from turning into hotels, but some landlords rented to tourists anyway. That didn’t stop them from receiving city funds for a new temporary shelter program.” For more information, please visit the following link: https://www.propublica.org/article/los-angeles-residential-hotels-got-inside-safe-contracts-despite- violations ---------------------------- - Seth Zeren of Strong Towns, a recovering city planner turned neighborhood developer, advocate, and educator paraphrases Aldo Leopold, the grandfather of land ecology, regarding land ethics as follows: “When we narrowly focus on economic self interest, we neglect, and thus eventually eliminate, many elements from the community that lack commercial value. We assume, falsely, that the economic parts will function without the uneconomic parts. We then try to pawn all the responsibilities for community life onto government. But collectively all those non-economic things are too large, too complex, or too dispersed to be run from a downtown office building.” See the following link for more detail: November 29, 2023 Planning Commission Agenda Packet Page 10 of 21 Commissioner Tammy Dziadek https://www.strongtowns.org/journal/2023/10/30/landlords-are-the-localest-branch-of-local- government?apcid=00633bcd758ddefdb3931800&utm_source=incrementalhousing - More thoughts from Seth Zeren, a Strong Towns founder, and Aldo Leopold, the grandfather of land ecology: “If land is mere property, our relationship to it “strictly economic, entailing privileges, but not obligations,” then if it is profitable for a human to clear-cut a plot or farm it into dust, what can we say against it? But if we have ethical obligations to be members and citizens of the land-community, we can forge what we would now call a “sustainable” relationship, maintaining the fertility of the land, the health of the ecosystem, and the prosperity of the humans living within the land community.” See the following link for more detail: https://buildthenextrightthing.substack.com/p/a-sand-county-almanac Also from above article, again paraphrasing Leopold, “decent land use is not solely an economic problem… A thing is right when it tends to preserve and enhance the prosperity, resilience, and beauty of the urban community. By maximizing delight per square foot, I also maximize investor and community returns over the long term.” ------------------- Compact development, with everything needed for life accessible on foot within a reasonable amount of time, typically delights the senses. For more information, please see the Strong Towns article at the following link: https://www.strongtowns.org/journal/2021/7/20/delight-per-acre The article has some terrific ideas for compact development, which have, prior to the automobile, been done out of necessity. Here’s a quote from the article, “A universal feature of the traditional development pattern across cultures is the often-brilliant use of very small spaces.” ------------------------ - According to Daniel Herriges, Editor-in-Chief for Strong Towns, “the only ultimate long-term source of housing affordability is to have housing be in abundant supply. This can be achieved through the private or public sector or both. Subsidy can be involved.” Furthermore, Mr. Herriges states, “as far as rent control is concerned, it’s best viewed as a short-term protection against being priced out of one’s own home, not a scalable affordability policy or any kind of substitute for housing abundance.” For details and explanation, please refer directly to the article at the following link: https://www.strongtowns.org/journal/2023/11/1/rent-control-is-an-anti-displacement-policy-not-an- affordability-policy?apcid=00633bcd758ddefdb3931800&utm_campaign=231107- digest&utm_content=231107-digest&utm_medium=email&utm_source=ortto - Strong Towns Editor-in-Chief Daniel Herriges recommends “unleashing the swarm” of semi-amateur developers 10-100 times larger than its current state, allowing the “potential for 10 to 100 times more small projects that are neighborhood-enriching and fill gaps: the vacant lot infill project, the historic building renovation, the duplex or fourplex conversion, the corner store or ACU, and so on.” For more details, please review the following article: https://www.strongtowns.org/journal/2021/2/3/unleash-the-swarm *** As an aside, I have a copy of the 53-page, 3,643 kilobyte 2021 electronic book about this topic by Herriges titled Unleash the Swarm, which I can share with you as an attachment, at your request. *** - Research from the Seattle University School of Law advocates permanent supportive housing (PSH) offering, but not mandating, supportive services. According the the research, “Once housed, people November 29, 2023 Planning Commission Agenda Packet Page 11 of 21 Commissioner Tammy Dziadek formerly experiencing chronic homelessness can then improve their physical and mental health, address substance use, and seek education or employment. Research shows that PSH results in better housing stability than housing interventions that require sobriety or treatment compliance. Further, PSH is associated with better outcomes related to quality of life, emergency services, physical and psychiatric hospitalizations, and substance use.” For details and more information, please read the full report at the following link: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3419187 November 29, 2023 Planning Commission Agenda Packet Page 12 of 21 Commissioner Tammy Dziadek 11/17/23, 11:40 AM Innovative housing - Zach Trevino - Outlook about:blank 1/6 Innovative housing Marolee Smith <MDsmith@cityofpa.us> Tue 11/14/2023 1:55 PM To: Ben Braudrick <Bbraudri@cityofpa.us> Cc: Zach Trevino <Ztrevino@cityofpa.us>; Shannen Cartmel <Scartmel@cityofpa.us>; Ethan Walker <Ewalker@cityofpa.us> Innovave Housing... some comments: Clearly, Innovave Housing needs to begin with zoning – to allow development of housing projects. I think we’ve really addressed many of the obvious things, so far. Goals: Increase housing supply – a variety, not just low-income. Promote affordability – smaller and more diverse home sizes, and mixes of incomes. Promote high-quality design. Flexible site and design standards compable with exisng housing Support of innovave housing in all zoning areas. Streamline perming processes. Reduce, or eliminate perming fees. Create an ombudsman to help builders navigate funding, zoning, perming, etc. Reduce impact fees Storm water/ulity fees should be based on the actual ancipated usage, or on a per unit basis, whichever is less. Allow a limited number of innovave housing projects – unl zoning changes are made Evaluate how well projects achieve the goals set out. Codify this into the Comprehensive Plan. Lack of Choices I am amazed by the opons other countries have with advanced modular homes – pre-fab, etc. Sweden and Germany have. There are large, offsite manufacturing close to resources (such as mber) that (for Sweden) supplies over 80% of the country’s overall housing market. These are not “modular ” designs” like we think of (double wide, single wide) but actual detached homes, with prefabricated elements, and large apartment projects customizable and designed for maximum efficiency. The largest modular home manufacturer, Lindbäcks Bygg, has revoluonized the slow moving construcon industry , with potenal to have success abroad. They can produce more than 25,000 square feet of turnkey housing PER WEEK. That is 28 average-sized New York City apartments every week., 1,500 apartments a year – from a single plant. (hps://archizer.com/blog/inspiraon/industry/swedish-modular-housing /) We have the mber; we have the labor force. This would be phenomenal for Clallam County, if we could only think bigger. Germany has several building factories and the house are exceponal. They don’t like prefab. They are customizable. hps://www.hanse-haus.de/en/ hps://www.huf-haus.com/en-uk/ hps://villeninhaus.de/en/ hps://www.karmod.eu/blog /german-prefabricated-houses/ hps://housepeak.de/ November 29, 2023 Planning Commission Agenda Packet Page 13 of 21 Commissioner Marolee Smith 11/17/23, 11:40 AM Innovative housing - Zach Trevino - Outlook about:blank 2/6 Container Homes Winthrop WA has Joel Egan and Cargotecture (hps://cargotecture.com/) Which is something that we could embrace. He uses steel intermodal shipping containers. Very Trendy. Very cool. Quick. We need to change zoning to allow an ISC building as an ADU or as a building/apartment/retail establishment. The waterfront property that is currently vacant (Adian Shores?) would be an exceponal locaon to create a Cargo Container showplace. Cargo containers are lying around harbors all over the world, rusng away. A good arcle on the structural aspects: hps://www.structuremag.org/?p=22699 And, another: hps://theconstructor.org/construcon/project/ibc-2021-for-shipping-container-building- construcon/562129/ They make aracve buildings. hps://www.housebeauful.com/lifestyle/g30272790/shipping-containers/ hps://www.dezeen.com/2021/12/03/shipping-container-architecture-buildings/ hps://blog.boxxport.com/shipping-container-home/ hps://discoverdesign.org/challenges/design-container-house-0 hps://www.structuremag.org /?p=16263 Port Angeles could be a leader on the West Coast of intermodal building components. What do we need to do as a city to encourage this? Funding No discussion of INNOVATIVE housing would be complete without a discussion of financing opons. Port Angeles has an opportunity to create housing bonds. Municipal bonds are bonds issued by cies, counes, states and other government enes, usually to finance specific projects — such as building a bridge, refurbishing a school, upgrading a sewer system, etc. Municipal bonds are considered less risky than corporate bonds, but carry a lile more risk than bonds issued by the federal government. Basic definion: hps://www.investopedia.com/terms/h/housing-authority-bonds.asp Municipal bonds also typically receive favorable tax treatment, which can be a key reason to use them. Interest earned on municipal bonds is oen (though not always) free of federal income tax and may also be free from state or city income taxes for residents of those municipalies. If offered to the people of Port Angeles, then Clallam County, (and THEN opened to the general market for bonds - - usually the ultra-wealthy and/or large corporate investors) we would allow local people to invest in our community, in a tax-exempt investment (something rarely available to the common man). It would encourage construcon of housing for lower-income, first-me home buyers, or finance apartment buildings with affordable rents. Historically bonds have been used to fund government projects by individuals. (The Civil War was financed by bonds.) There is some government oversight, of course, as always. “Each state’s annual issuance of Housing Bonds is capped based on populaon, with a minimum authority amount for small states. MRB mortgages are restricted to first-me homebuyers who earn no more than the area median income (AMI). Larger families can earn up to 115 percent of AMI. In 2022, state HFAsNovember 29, 2023 Planning Commission Agenda Packet Page 14 of 21 Commissioner Marolee Smith 11/17/23, 11:40 AM Innovative housing - Zach Trevino - Outlook about:blank 3/6 provided MRB mortgages to families with an average income of $59,465, just 80 percent of the naonal median income. The price of a home purchased with an MRB mortgage is limited to 90 percent of the average area purchase price. MRB loans can also be used to help working families finance crical home repairs or energy efficiency upgrades. HFAs also use their MRB authority to issue Mortgage Credit Cerficates (MCCs), which provide a nonrefundable federal income tax credit for part of the mortgage interest qualified homebuyers pay each year. State HFAs have used MCCs to provide crical tax relief to 398,000 families. Mulfamily housing bond developments must set aside at least 40 percent of their apartments for families with incomes of 60 percent of AMI or less, or 20 percent for families with incomes of 50 percent of AMI or less. In 2022 alone, HFAs financed the development of more than 59,000 affordable apartments through bonds.” (source: hps://www.ncsha.org /advocacy-issues/housing-bonds/) Washington State’s Department of Commerce Bond Cap Allocaon Program The program authorizes the issuance of bonds under the federal bond volume cap but does not directly fund or finance projects. Funds used for projects receiving permission to issue tax-exempt private acvity bonds come from private investors who purchase the bonds, not from governmental enes. A private or government enty submits a request for bond financing to a bond issuing authority. The issuing authority assesses the financing opons. If the project qualifies for tax-exempt private acvity bonds, the issuing authority submits an applicaon to the Bond Cap Program. Generally, the issuer will only submit the request aer all other financing is in place, the project is at an advanced stage of readiness, and they are confident the bonds will be sold. The Bond Cap Program reviews the applicaon and, if it approves the project, awards a Cerficate of Allocaon to the issuing authority. The cerficate allows the issuing authority to issue the tax-exempt bonds. The bonds must be issued by the deadline stated in the cerficate, generally no later than December 15 of the same year. (source: hps://www.commerce.wa.gov/about-us/research-services/bond-cap-allocaon-program/) Mortgage Revenue Bonds. Proceeds from MRBs finance below-market rate mortgages to support the purchase of single-family homes. By lowering mortgage interest rates, MRBs make homeownership affordable for families who would not be able to qualify for market rate loans. HFAs oen combine MRBs with down payment assistance that allows home purchases by families and individuals who would not otherwise be able to buy homes. Congress limits MRB mortgages to first me homebuyers who earn no more than the greater of area or statewide median income in most areas, and up to 140% of the applicable median income in targeted areas. Families of three or more in non- targeted areas can earn up to 115% of the greater of area or statewide median income. (source: hps://nlihc.org/sites/default/files/AG-2018/Ch05-S06_Housing-Bonds_2018.pdf) The Naonal Council of State Housing Agencies offer guidance and a toolkit. (hps://www.ncsha.org/about- us/about-hfas/hfa1-affordable-homeownership-lender-toolkit/) Washington Department of Commerce has a HOME Rental Development Program – which is a HUD housing block grant. (I do not think we ARE a HOME parcipang jurisdicon, are we? We should be.) (source: hps://www.commerce.wa.gov/building-infrastructure/housing/housing-trust-fund/home- program/ ) THE PROBLEM with all the restricons is that we need to BUILD some “non-profit organizaons/housing authories/local government” enes which can access these funds. The current housing assistance groups in Clallam County are not focused on building housing for first me home buyers. (With the excepon of Habitat). It would be nice if we could get a coalion of local builders to create a non-profit organizaon/housing authority. This is an educaonal need: how to manage to maneuver through all the requirements, and paperwork is the frustrang part. These things will not create themselves – unless there is a financial incenve (building homes?) which there is, and educaon/knowledge. The trial-and-error of creang an enty that would keyhole into the crazy needs of November 29, 2023 Planning Commission Agenda Packet Page 15 of 21 Commissioner Marolee Smith 11/17/23, 11:40 AM Innovative housing - Zach Trevino - Outlook about:blank 4/6 government agencies is really the daunng issue here. While there MAY BE a coalion of builders who would like to join forces and create a non-profit/housing authority, and to have help to apply to these vary funds. Local governments cannot rely on interested groups to figure out the ridiculous rules and “gotchas” involved in applying for funds, and/or how to parcipate. Local government needs to give more direcon to the exisng housing authority. We need to HELP the local builders and people who want to purchase homes. There has been a split between what the government knows and requires, and what any business owner knows. It ’s nearly impossible to figure out what to do. If Port Angeles could translate, and simplify the processes – every aspect, and put instrucons into plain language (not the stuff that I keep reading – such as the very difficult to understand email in October from Ethan Walker -- which I read several mes, and sll couldn’t explain it to anyone). It’s a perfect case of “government lingo” that y ’all understand, but it is spy code for anyone else. We need more plain language EVERYTHING at the city level. It ’s difficult to ascertain what is meant, and what steps come first… or even intent. We need an ombudsman for housing. (It would be very nice to have all this stuff translated into plain English.) For a wanna-be homeowner…. there are enrely too many different agencies that have “the answer ” while none are the full answer. Some, like the Washington State Housing Finance Commission, have two first-me homebuyer mortgage programs (Home Advantage and House Key Opportunity) but, there is a required 5-hour home buyer educaon course, and other requirements. There is supposedly downpayment assistance – but few qualify, and the amount averages $10k, which is not going to go far enough towards any home purchase at today ’s prices. There are various veteran’s programs, which are all confusing as hell. There are ZERO home building loans to individuals. I wouldn’t want to try and buy a house, much less build one. hps://www.commerce.wa.gov/building-infrastructure/housing/housing-trust-fund/applying-to-the- housing-trust-fund/ hps://www.hudexchange.info/resource/2333/24-cfr-part-92-home-investment-partnerships-program- final-rule/ hps://www.wshfc.org /buyers/index.htm hps://www.habitatclallam.org /programs/new-construcon/ hps://www.a.com/a-grants?state=WA hps://www.hud.gov/states/washington/homeownership/buyingprgms Summary Right now – housing costs are one huge $$ item, but funding is the real issue, especially so with interest rates at 8+% . Unless we can find novel approaches to funding (not just government money, not just grants) we’re not going to be building what needs to be built, even with reduced fee waivers, etc. WE have the Peninsula Housing Authority – which has the last PRESS RELEASE on Mutual Self-Help Home Building nearly 3 years ago (November 22, 2020). It appears they mostly deal with Secon 8 housing, waitlists, and have apartment buildings. They are described as a “special purpose government agency providing long-term RENTAL housing ”. I read lots of prey arcles, but I don’t see that what is promised is what is delivered. Seems that most of these programs ran out of steam a decade ago. November 29, 2023 Planning Commission Agenda Packet Page 16 of 21 Commissioner Marolee Smith 11/17/23, 11:40 AM Innovative housing - Zach Trevino - Outlook about:blank 5/6 (example: hps://www.huduser.gov/portal/pdredge/pdr_edge_inpracce_102113.html) To INNOVATE we must come up with some new, novel soluons. Find ways to connect home builders with bonds, grants, loans Streamline the processes – in plain English, with a flowchart? Help builders to create non-profits, housing authories, etc. Get our local housing authority movated, or create new ones Builders want to build – make this all easier on them. Streamline perming Waive fees (but make it in plain English, and limit the rules Incenvize building on empty lots/encourage partnerships Help builders to find financing. Help buyers to find financing. Support S.1805 Affordable Housing Bond Enhancement Act (hps://www.taxnotes.com/research/federal/legislave-documents/proposed-legislaon/s.-1805- --affordable-housing-bond-enhancement-act/7gvbm) Help H.R. 8184 pass (hps://www.govtrack.us/congress/bills/117/hr8184) Create avenues to apply for the Washington Bond Allocaon program (hps://www.commerce.wa.gov/about-us/research-services/bond-cap-allocaon-program/) From: Ben Braudrick <Bbraudri@cityofpa.us> Sent: Friday, November 3, 2023 8:55 AM Cc: Zach Trevino <Ztrevino@cityofpa.us>; Shannen Cartmel <Scartmel@cityofpa.us>; Ethan Walker <Ewalker@cityofpa.us> Subject: Planning Commission Meeng Cancelaons and Special Meeng   Commissioners: Next week’s regular meeng is cancelled due to a meeng venue conflict. The first City Council meeng in November falls on an elecon night. Per the Port Angeles Municipal Code, the regular City Council meeng will be held on the Wednesday following elecon night, Wednesday, November 8, 2023 starng at 6:00 p.m. This situaon can only happen when the first day of the month is a Wednesday and the first and second Tuesday and Wednesday occur on the same week. It ’s a perfect storm. The following weeks we have employees out of office, and our regular meeng the week aer is the day before Thanksgiving. November can be a hard month due to a number of factors. We are planning to hold a special November meeng on the 29th. This meeng will be a discussion on innovave housing construcon. The Chair and staff have been discussing some different opons and we’d like to invite the Port Angeles Associaon of Realtors and the North Peninsula Builders Associaon to aend and listen to the discussion. Your homework assignment –if you choose to accept it –is to provide staff with any informaon you may have on housing innovaon by November 15th to be placed in the packet prior to the discussion. This informaon can be a website link, brochure, periodical, or peer reviewed literature. Staff will be including some of their own findings as well. There’s a lot out there to explore! Lastly, the Chair has asked me to provide a detailed explanaon as to why staff has canceled meengs this fall. I will prepare to answer that queson in great detail during my staff report on the November 29th agenda. November 29, 2023 Planning Commission Agenda Packet Page 17 of 21 Commissioner Marolee Smith Successful infill is not a spectator sport and infill by osmosis accomplishes nothing. This is a discussion of vision, communication and infill. This vision is one of property, capital, developers, labor and government, all pulling together their efforts to build needed housing. The vision of how this can be accomplished has been lacking conversation. Our city governance needs to work on communication, both speaking and listening. Clallam county is in the middle of a housing crisis. In a county where only 260 building permits were issued in 2022, (BIAW) states a current need of 2935 housing units. Washington State Department of Commerce identifies a need of 5847 units by 2044. City governance’s response to this challenge has been to assault the tourist industry (STRs), raise fees on building permits and to keep land within the urban growth boundary undevelopable. Meanwhile, as per a recent city council meeting, 6 new infill building permits are viewed as a success. Digging through Section 17 of our municipal code, infill is only designated in R7 zoning. The code does mention an infill map, yet I have not been able to find said map. Contributing to the city’s vision of what infill in our community looks like as not being readily available. I can cite several instances where our infill objectives have missed opportunities. The first one that comes to mind is the old Serenity House on 1st Street, caddy corner from Swans. Remodeling of this building sat in permitting for 2 years. The developer had intended on providing 12 Apartments. Yet after 2 years of haggling the developer gave up and fell back to the original eight apartment configuration. One of the big holdups was the configuration of parking, where the city wanted the developer to install a tree in the parking lot. Yes that is correct, this project was impeded by the demand from the city to install a shrubbery. This project could already November 29, 2023 Planning Commission Agenda Packet Page 18 of 21 Commissioner James Taylor have been completed if a true infill model had been acceptable. The one positive I did receive from the developer was, “Port Angeles isn’t the worst jurisdiction to deal with.” A second missed opportunity Is across 101 from Harbor Freight where a developer removed low-cost housing and built a Starbucks drive-thru, the exact opposite of our Infill goals. Now I don't blame the city for this loss of housing but perhaps our building codes should be modified to include no loss of housing language. Future lost opportunities are just around the corner. The Red Lion property on North Lincoln Street represents the best location in our downtown for five story development, as it is off the highway with restaurants, the pier and the wharf at the ready. Has anyone approached Red Lion, or are we content with repaving a parking lot? Peninsula Behavioral Health intends to tear down their building at second and Oak Street and build a three-story facility. yet they own the same size parcel behind their 8th Street Property. Building their new facility at their 8th St property would save our community a large waterview building with its immediate access to the ramp. It could be remodeled for apartments or condos or even beleaguered STRs. The new Marine Center planned for Front Street is an absolutely beautiful building, but could it not also include housing that takes advantage of its spectacular Waterfront location? On the communication front, has the city been in conversation with LISA DELGUZZI LV TRUST about possible development of their first street November 29, 2023 Planning Commission Agenda Packet Page 19 of 21 Commissioner James Taylor property? This 31,000 FT Property Is in walking distance to the hospital and would be suitable for a 5-story condo/apartment building. After several city council meetings, Mike Doherty has brought up the topic of Lincoln School as being a perfect infill development location, In fact it could be the centerpiece of C St commercial district. I have since driven past this location on several occasions and feel this is the perfect location where the old Lincoln School could be developed into a commercial property with infill housing on the south side and possibly west side. The north side could be developed into a public park. On the zoning front, we have too many zones, some are almost identical, except for a few feet of setback or a few square feet of open space. R9 is of particular grievance as it is nothing more than R7 but requires larger lot sizes. On the commercial side there are 5 different zoning types. People want to live in houses. Individual houses allow for home ownership. All of these infill ideas place people into rentals or condos with high HOAs. Individual houses allow for people to express themselves with their yards and gardens. Yet our city has raised sub plat costs by a factor of 10. West PA is closer to the industrial jobs and thus less driving to and from work rather than more. Making small lots available, even with requiring ADUs would make home building available for people who want to own their own homes. As it stands, people are building out in the county contributing to sprawl and groundwater pollution. There is continued talk of pre approved housing plans, but I have yet to see them. November 29, 2023 Planning Commission Agenda Packet Page 20 of 21 Commissioner James Taylor 1 Zach Trevino From:Colin Young Sent:Tuesday, November 14, 2023 2:30 PM To:Ben Braudrick Cc:Zach Trevino; Shannen Cartmel; Ethan Walker Subject:Re: Planning Commission Meeting Cancelations and Special Meeting Hi, Incremental construction looks interesting. Especially in lower income communities. https://www.holcimfoundation.org/projects/incremental-construction https://web.mit.edu/incrementalhousing/articlesPhotographs/pdfs/PagesMondayMag.pdf From: Ben Braudrick <Bbraudri@cityofpa.us> Sent: Friday, November 3, 2023 8:55 AM Cc: Zach Trevino <Ztrevino@cityofpa.us>; Shannen Cartmel <Scartmel@cityofpa.us>; Ethan Walker <Ewalker@cityofpa.us> Subject: Planning Commission Meeting Cancelations and Special Meeting Commissioners: Next week’s regular meeting is cancelled due to a meeting venue conflict. The first City Council meeting in November falls on an election night. Per the Port Angeles Municipal Code, the regular City Council meeting will be held on the Wednesday following election night, Wednesday, November 8, 2023 starting at 6:00 p.m. This situation can only happen when the first day of the month is a Wednesday and the first and second Tuesday and Wednesday occur on the same week. It’s a perfect storm. The following weeks we have employees out of office, and our regular meeting the week after is the day before Thanksgiving. November can be a hard month due to a number of factors. We are planning to hold a special November meeting on the 29th. This meeting will be a discussion on innovative housing construction. The Chair and staff have been discussing some different options and we’d like to invite the Port Angeles Association of Realtors and the North Peninsula Builders Association to attend and listen to the discussion. Your homework assignment–if you choose to accept it–is to provide staff with any information you may have on housing innovation by November 15th to be placed in the packet prior to the discussion. This information can be a website link, brochure, periodical, or peer reviewed literature. Staff will be including some of their own findings as well. There’s a lot out there to explore! Lastly, the Chair has asked me to provide a detailed explanation as to why staff has canceled meetings this fall. I will prepare to answer that question in great detail during my staff report on the November 29th agenda. Please provide your contributions to housing innovation by November 15th, and if I don’t see you before, have a great Thanksgiving! Ben Braudrick, AICP Pronouns: he/him Planning Supervisor | City of Port Angeles Community & Economic Development November 29, 2023 Planning Commission Agenda Packet Page 21 of 21 Commissioner Colin Young