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R22-032I RESOLUTION NO. R22- 2 3 A RESOLUTION OF THE CITY OF BOYNTON BEACH, FLORIDA, 4 ADOPTING THE 2021 AFFORDABLE HOUSING ADVISORY 5 COMMITTEE HOUSING INCENTIVES REPORT, AND PROVIDING 6 AN EFFECTIVE DATE. 7 8 WHEREAS, Florida State Statute 420.9076 requires that each jurisdiction in Florida 9 receiving State Housing Initiatives Partnership (SHIP) funds shall appoint an eight to eleven - 10 member Affordable Housing Advisory Committee (AHAQ and 11 WHEREAS, the statute requires the AHAC to meet annually, to produce and submit a 12 report of recommendations to the City Commission and to the Florida Housing Finance 13 Corporation; and 14 WHEREAS, the recommendations are used to amend the Local Housing Assistance 15 Plan, the local Comprehensive Plan, land development regulations, and other policies affecting 16 affordable housing; and 17 WHEREAS, The City Commission must review and discuss the AHAC`s 18 recommendations and vote to adopt those recommendations they plan to implement by 19 March 31, 2022. 20 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF 21 BOYNTON BEACH, FLORIDA THAT: 22 Section 1. The "WHEREAS" clauses above are hereby ratified and confirmed as being 23 true and correct and incorporated herein by reference. 24 Section 2. The City Commission of the City of Boynton Beach, Florida, hereby adopts 25 the 2021 Affordable Housing Advisory Committee Housing Incentives Report, a copy of which 26 is attached hereto as Exhibit "A". 27 S:1CA\RESO\Appointments\Adopting AHAC Incentives Report - Reso.Docx 28 Section 3. That this Resolution shall become effective immediately upon passage. 29 PASSED AND ADOPTED this 15th day of February, 2022 30 CITY OF BOYNTON BEACH, FLORIDA 31 YES NO 32 33 Mayor — Steven B. Grant 34 35 Vice -Mayor — Woodrow L. Hay ✓ 36 37 Commissioner —Justin Katz 38 39 Commissioner —Christina L. Romelus� 40 41 Commissioner — Ty Penserga 42 43 VOTE 44 ATTEST: 45 46 47 G'L 48 C stal Gibson, MMC 49 City Clerk 50 51 52 (Corporate Seal) S:\CA\RESO\Appointments\Adopting AHAC Incentives Report - Reso.Docx E,41,61,+ L L , STATE HOUSING INITIATIVE PARTNERSHIP AFFORDABLE HOUSING ADVISORY COMMITTEE HOUSING INCENTIVES 2021 REPORT BACKGROUND As a recipient of State Housing Initiative Partnership (SHIP) funds, the City of Boynton Beach (City) established an Affordable Housing Advisory Committee (AHAC) on August 3, 2021 as required by the Florida Statutes, Sec. 420.9076 (SHIP Statute). The AHAC is responsible for reviewing and evaluating local plans, policies, procedures, land development regulations, the Comprehensive Plan, and other aspects of the City's housing activities that impact the production of affordable housing. Further, the AHAC is specifically directed by the SHIP Statute to consider and evaluate the implementation of the incentives set out at Florida Statues, Sec. 420.9076 (4)(a) -(k). Based on the AHAC evaluation, it may recommend to local government that it make modifications of, exceptions to, or creation of new plans, policies, procedures, and other governing vehicles which would encourage production of affordable housing. As approved by the City Commission, the recommendations are used to amend the Local Housing Assistance Plan, the local Comprehensive Plan, land development regulations, and other policies affecting affordable housing. COMMITTEE COMPOSITION The City Commission appointed members to the Committee (see table 1). The SHIP Statute lists the categories from which committee members must be selected. Each AHAC must have a locally elected official from the county or municipality participating in the SHIP program. The locally elected official must be a City Commissioner. The elected official will count as a member of the AHAC for purposes of meeting the number of members requirements. There must be at least eight committee members, but not more than eleven, with representation from at least six of the following categories: (a) A citizen who is actively engaged in the residential home building industry in connection with affordable housing. (b) A citizen who is actively engaged in the banking or mortgage banking industry in connection with affordable housing. (c) A citizen who is a representative of those areas of labor actively engaged in home building in connection with affordable housing. (d) A citizen who is actively engaged as an advocate for low-income persons in connection with affordable housing. (e) A citizen who is actively engaged as a for-profit provider of affordable housing. (f) A citizen who is actively engaged as a not-for-profit provider of affordable housing. (g) A citizen who is actively engaged as a real estate professional in connection with affordable housing. (h) A citizen who actively serves on the local planning agency pursuant to s. 163.3174. If the local planning agency is comprised of the governing board of the county or municipality, the governing board may appoint a designee who is knowledgeable in the local planning process. (i) A citizen who resides within the jurisdiction of the local governing body making the appointments. (j) A citizen who represents employers within the jurisdiction. (k) A citizen who represents essential services personnel, as defined in the local housing assistance plan. Table 1 AHAC Members Name Category Represented I Date Appointed 1 — Christina Romelus Commissioner District 111 108/03/2021 (Elected Official) 2 — Woodrow Hay Vice Mayor (Alternate - Elected 08/03/2021 Official) 3 — London Nelson Citizen engaged as Real Estate 08/17/2021 Professional in connection with affordable housing 4 — Dr. Stephanie Hyaden- Citizen who represents essential 09/08/2021 Adeyemo services personnel, as defined in the local housing assistance plan Citizen who is actively engaged 09/08/2021 5 — Sari Vatske as an advocate for low-income person in connection with affordable housing Citizen who actively serves on 09/08/2021 6 — Kevin Fischer the local planning agency 7 — Keturah Joseph Citizen who is actively engaged 09/21/2021 as a not-for-profit provider of affordable housing 8 — Davey Morris Citizen who is actively engaged 10/08/2021 in residential home building 10/19/2021 9 — Cheryl Banks Citizen who is actively engaged in residential home building in connection with affordable housing 10 — Ronnie Hogging Citizen who is actively engaged 10/19/2021 as a for-profit provider of affordable housing 11 — Kerry Clinton Citizen who represents those 11/17/2021 areas of labor actively engaged in home building in connection with affordable housing 11/17/2021 12 — Michael Corbit Citizen who represents employers within the jurisdiction AFFORDABLE HOUSING RECOMMENDATIONS The AHAC has specifically reviewed, considered and evaluated the strategies set out at Florida Statues, Sec. 420.9076 (4)(a) -(k). Based on this review and evaluation, the AHAC has formulated recommendations to the City Commission that it incorporate into its housing strategy certain changes designed to encourage and facilitate the production of affordable housing. The AHAC, from its review, consideration, evaluation, and recommendations, drafts and submits this report to the City Commission, to the Florida Housing Finance Corporation, and the Florida Housing Coalition, as the entity providing statewide training and technical assistance for the Affordable Housing Catalyst Program, which details the scope of its work and the resulting recommendations. The AHAC has reviewed, considered, and evaluated the following the strategies provided in the SHIP Statute at Florida Statutes, Sec. 420.9076 (4): (a) The processing of approvals of development orders or permits for affordable housing projects is expedited to a greater degree than other projects, as provided in s. 163.3177(6)(03. (b) All allowable fee waivers provided for the development or construction of affordable housing. (c) The allowance of flexibility in densities for affordable housing. (d) The reservation of infrastructure capacity for housing for very -low-income persons, low-income persons, and moderate -income persons. (e) Affordable accessory residential units. (f) The reduction of parking and setback requirements for affordable housing. (g) The allowance of flexible lot configurations, including zero -lot -line configurations for affordable housing. (h) The modification of street requirements for affordable housing. (i) The establishment of a process by which a local government considers, before adoption, policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing. Q) The preparation of a printed inventory of locally owned public lands suitable for affordable housing. (k) The support of development near transportation hubs and major employment centers and mixed-use developments. EXPEDITED PERMITTING A. Incentive Consideration Required: Yes 1. The processing of approvals of development orders or permits, as defined in S. 163.3164(7) and (8), for affordable housing projects is expedited to a greater degree than other projects. B. Original Purpose of Incentive: 1. Statutorily required. 2. Reduces wait times and costs for developers. C. Current Process: 1. The Department of Development is responsible for processing and facilitating affordable housing projects (i.e. site plan review, permitting, inspections, etc.) and expedites such reviews involving workforce and affordable housing units pursuant to the City's Expedited Development Review Program. In part, the Program requires assignment of a single staff liaison to ensure quick communications with staff, sets a maximum review period of 7 business days, defines/requires a quick 4 conflict/problem resolution process, and allows consideration of a flexible or tailored fee schedule program (City Code of Ordinances, Part III, Chapter 2, Article I, Section 4). This benefit also applies to individual building permits for SHIP or CDBG rehabilitation projects. D. AHAC Proposed Recommendations: 1. The Affordable Housing Advisory Committee recommends for the City to continue implementing the current incentive. E. AHAC Comments: 1. Department of Development staff involved with the permitting process should continue to educate developers about the new available electronic permitting system. 2. Department of Development staff should set trigger points or flags on new electronic permitting system to make them aware of deadlines on the process of permitting. 3. Department of Development staff should have a grading system to measure performance in the permitting process. F. City Staff Comments: 1. The Department of Development will include relevant department personnel to ensure that the expedited permitting review for affordable/workforce housing projects are accurately addressed. 2. The new electronic system has been calibrated to provide electronic notification to guide staff to proper implementation to the review process. FEE WAIVERS FOR AFFORDABLE HOUSING A. Incentive Consideration Required: Yes 1. The modification of impact -fee requirements, including reduction or waiver of fees and alternative methods of fee payment for affordable housing. B. Original Purpose of Incentive: 1. To reduce development costs. C. Current Process: i. The City's only fee exemption is for Art in Public Places for the percent of the project dedicated to affordable housing (City Code of Ordinances Part II, Chapter 2, Article XII, Section 2-163). D. AHAC Proposed Recommendations: 1. The AHAC recommends to have a sliding scale permit fee reduction on affordable housing projects. E. City Staff Comments: 1. Department of Development staff advises that if there is any type of sliding scale fee reduction on permitting fees for affordable housing development projects, the City should budget revenue out of the general fund each year to subsidize the reduction on permit fees, in order to sustain the Building Department. 5 2. The Department of Development is in the process of reviewing building permitting fees to potentially lower rates based on the construction value for affordable units. The review of the fees for a possible reduction based on home size, is contingent upon continued implementation of the City's Complete Streets and Mobility Fee programs. Program implementation requires coordination with, and cooperation from the County. FLEXIBLE DENSITIES A. Incentive Consideration Required: Yes 1. The allowance of flexible lot configurations, including zero -lot -line configurations for affordable housing. B. Original Purpose of Incentive: 1. To allow affordable housing development on smaller parcels. 2. Increasing the maximum units allowable may help make a development more financially feasible. C. Current Process: 1. The City allows for increased floor ratios and densities in selected residential districts to incentivize the provision of affordable dwelling units. 2. The City has a density bonus in place as part of the Workforce Housing Program. A developer may elect to obtain a density bonus and/or a height bonus through the construction of the workforce units on-site or off-site, monetary contribution, donation of land, or purchase of units to be designated as workforce (City Code of Ordinances, Part III, Chapter 1, Article V, Section 2.C). D. AHAC Proposed Recommendations: 1. The AHAC further recommends for this incentive to be continued for both affordable and workforce housing projects located city-wide. E. City Staff Comments: 1. The City has a density bonus in place as part of the Workforce Housing Program. RESERVATION OF INFRASTRUCTURE CAPACITY A. Incentive Consideration Required: Yes 1. The reservation of infrastructure capacity for housing for very -low-income persons, low- income persons, and moderate -income persons. B. Original Purpose of Incentive: 1. To guarantee new developments will meet concurrency requirements by meeting designated levels of service for certain types of infrastructure. C. Current Process: 1. The City has not considered this incentive D. AHAC Proposed Recommendations: 1. No recommendation at this time, but the committee will continue to consider this strategy in its 2022 meetings. E. City Staff Comments: 0 1. The City has not considered this incentive. AFFORDABLE ACCESSORY RESIDENTIAL UNITS A. Incentive Consideration Required: Yes 1. The allowance of affordable accessory residential units in residential zoning districts. B. Original Purpose of Incentive: 1. To increase the supply of affordable/workforce rental units. 2. To decrease the cost of housing (i.e. the primary residence). C. Current Process: 1. The City doesn't have a process in place at this point. D. AHAC Proposed Recommendations: 1. No recommendation at this time, but the committee will continue to consider this strategy in its 2022 meetings. E. AHAC Comments: 1. The City should explore the use and availability of Accessory Dwelling Units (ADU) for affordable housing city-wide as long as the units are built according to code. F. City Staff Comments: 1. The City is working on an ordinance for ADUs to be set as affordable units. PARKING AND SETBACK REQUIREMENTS A. Incentive Consideration Required: Yes 1. The reduction of parking and setback requirements for affordable housing. B. Original Purpose of Incentive: 1. To lower development costs. 2. To ensure that more of the buildable land is available for affordable housing development. C. Current Process: i. Affordable housing units require a minimum of two (2) spaces regardless of the number of bedrooms. All other homes are required to provide a minimum of two (2) spaces plus extra spaces depending on the total bedrooms provided. For construction of a new single-family or two-family structure, a minimum of two (2) spaces are required per unit, or one (1) space per bedroom, whichever is greatest. An exception may be made when the house is constructed for individuals meeting purchase or eligibility requirements that include maximum income thresholds, then a maximum of two (2) parking spaces shall be required per dwelling unit (City Code of Ordinances, Part III, Chapter 4, Article V, Section 2.13). D. AHAC Proposed Recommendations: 1. No recommendation at this time, but the committee will continue to consider this strategy in its 2022 meetings. 7 E. City Staff Comments: 1. Staff has no comments. FLEXIBLE LOT CONFIGURATIONS A. Incentive Consideration Required: Yes 1. The allowance of flexible lot configurations, including zero -lot -line configurations for affordable housing. B. Original Purpose of Incentive: i. To allow affordable housing development on smaller parcels. C. Current Process: 1. The City has not considered this incentive D. AHAC Proposed Recommendations: 1. No recommendation at this time, but the committee will continue to consider this strategy in its 2022 meetings. E. AHAC Comments: 1. AHAC members are concerned about changing the character of the community by allowing zero lot line in established neighborhoods. F. City Staff Comments: I. The City has not considered allowing zero lot line standards for affordable housing; however, the City has eliminated the minimum lot size standard for select neighborhoods within the Redevelopment Area. MODIFICATION OF STREET REQUIREMENTS A. Incentive Consideration Required: Yes 1. The modification of street requirements for affordable housing. B. Original Purpose of Incentive: 1. To lower development costs. 2. To ensure that more of the buildable land is available for affordable housing development. C. Current Process: 1. The City has not considered this incentive. D. AHAC Proposed Recommendations: 1. No recommendation at this time, but the committee will continue to consider this strategy in its 2022 meetings. E. City Staff Comments: 1. The City has not considered this incentive. 8 PROCESS OF ONGOING REVIEW A. Incentive Consideration Required: Yes 1. The establishment of a process by which a local government considers, before adoption, policies, procedures, ordinances, regulations, or plan provisions that increase the cost of housing. B. Original Purpose of Incentive: 1. Statutorily required. 2. To provide insight and recommendation to City Commissioners when a proposed City Ordinance could impact the cost of affordable/workforce housing. C. Current Process: 1. The Department of Development and the Community Improvement Division, will continue to review all policies, procedures, ordinances, regulations and plan provisions to determine what effects if any they may have on the cost of producing affordable units prior to their passage. Proposed ordinances will be reviewed in sufficient time needed to evaluate and comment on any potential impact on the provision of affordable housing. D. AHAC Proposed Recommendations: 1. The AHAC recommends being part of the review process on any City proposed ordinance related to affordable housing. E. City Staff Comments: 1. City staff agrees with the proposed recommendation. PUBLIC LAND INVENTORY A. Incentive Consideration Required: Yes 1. The preparation of a printed or electronic inventory of locally owned public lands suitable for affordable housing. B. Original Purpose of Incentive: 1. The inventory of locally owned public lands appropriate for use as affordable housing is required to be prepared every three years. 2. Reduce the cost of the development of affordable housing. 3. Increase the availability of land for the development of affordable housing. C. Current Process: 1. The Department of Development maintains maps on the City's Web Page that includes an inventory of vacant land including, properties owned by the City and Palm Beach County within the target area. D. AHAC Proposed Recommendations: The AHAC recommends having a list of all available land and a list of vacant land suitable for affordable housing in the City, as a link on the City's website for easy access for developers. E. City Staff Comments: 1. The City will continue to comply with the requirements of Florida Statute 166.0451 which requires that every three years a municipality must prepare an electronic 0 inventory list of all real property owned and designated as "appropriate for use as affordable housing." 2. City staff agrees with the proposed recommendation. SUPPORT OF DEVELOPMENT NEAR TRANSPORTATION HUBS A. Incentive Consideration Required: Yes 1. The support of development near transportation hubs and major employment centers and mixed-use developments. B. Original Purpose of Incentive: 1. To reduce transportation costs for low- and moderate -income residents. 2. The income generated from the retail space can help subsidize the cost of the housing units. 3. To reduce transportation for residents while at the same time reducing dependence on fossil fuels. C. Current Process: i. As part of the Workforce Housing Program developers may be entitled to request higher density land use and zoning category if providing workforce housing units for projects located within the Downtown Transit Oriented Development District (City Code of Ordinances, Part III, Chapter 1, Article V, Section 2.C). D. AHAC Proposed Recommendations: 1. The AHAC recommends for the City to have a requirement for affordable housing units in the Downtown Transit Oriented Development District. E. City Staff Comments: 1. The City has established its first Transit Oriented Development District (TOD) with corresponding density and height incentives for workforce and affordable housing, and is currently coordinating with the Regional Planning Council in reviewing the possibility of a TOD at the City's Tri Rail Station. OTHER TOPICS FOR FUTURE CONSIDERATION A. Inclusionary Housing B. Generational Housing 1. The AHAC recommends the implementation of mandatory inclusionary housing to include workforce affordable housing units on any housing development project consisting of 10 or more units. 10 Affordable Housing Advisory Committee Report to City Commission SHIP Affordable Housing Incentive Strategies SUBMITTED TO: Robert Dearduff, Director of Special Programs Florida Housing Finance Corporation DATE SUBMITTED: 1/21/2022 PREPARED BY: RJ Ramirez, Community Improvement Manager 11