Loading...
HomeMy WebLinkAbout2006-09-28 Board of Selectmen PacketAgenda Housing Forum September 28, 2006 - 7:30 PM Reading Senior Center - 49 Pleasant Street 1 Introduction of Participants • Poard of Selectmen • CPDC • ZBA • Reading Housing Authority • Reading School Committee • Reading North Reading Chamber of Commerce • Economic Development Committee 2 Purpose • Understand the framework of smart growth, 40R, and 40S • Understand the provisions of the Master Plan with respect to Affordable housing • Review (briefly) Affordable Housing Strategies proposed in Housing Plan draft. • Define potential approaches for using 40R/40S as part of Reading's Affordable Housing Strategy 3 Presentation on Smart Growth, 40R, and 40S by Eleanor White, President of Housing Partners Inc. 4 Affordable Housing Review a. Rcview 2005 Master Plan Affordable Housing Goals - Chris Reilly & CPDC b. Review Proposed Affordable Housing Strategies in Draft Housing Plan - Cbris Reilly & CPDC 5 Develop strategies and tactics for using 4011/40S to support Reading's Affordable Housing Goals - All 6 Next Steps • Master Plan Implementation Subcommittee - Housing Plan Public. Forums (Oct 2006) • Presentation of Housing Strategies to Board of Selectmen (October 26, 2006) • Interim Report to Town Meeting - November 13,2006 • BOS Approval of Planned Productions Plan (January 2006) • CPDC Preparation of initial Housing Plan Zoning changes - November-January • Special Town Meeting January/February 2007 to present final plan and adopt measures (zoning changes), • Submission of Plan to DHCD - March 2007 7 Adjourn -10pm f HOUSING PARTNERS, INC. 142 Galen Street - Suite B • Watertown, MA 02472 ° (617) 924-7240 *Fax (617) 924-7168 Marvin N1. 5iflinger, Chairman msifling@housingpartnersinc.com Eleanor G. White, President ewhite@housingpartnersinc.com BRIEF BIO: ELEANOR G. WHITE President, Housing Partners, Inc. Eleanor White has worked in the fields of affordable housing development, property asset management and public administration since 1967, including (from 1983-1995) as Deputy Director and Chief of Operations of the Massachusetts Housing Finance Agency (now MassHousing), directing all activities of this $4.2 billion quasi-public lending institution. Before MHFA, Ms. White held a variety of positions at the U.S. Department of Housing and Urban Development in Washington and Boston from 1967-1983. Currently, Ms. White is President of Housing Partners, Inc., a Boston area-based national housing consulting and asset management firm she formed in 1995 with Marvin Siflinger. Housing Partners is working with a wide range of public and private-sector clients on topics relating to new housing development, multifamily housing policy and strategic planning, property and asset management, assisted living, organizational development, and most recently 40R Smart Growth Zoning. Ms. White holds an A.B. cum laude from Harvard/Radcliffe College, `67 (where she remains a very active alumna), a Master of Public Administration from Northeastern University, `75, and was a Loeb Fellow at the Harvard University Graduate School of Design, '78-`79. Ms. White has served and is serving on numerous boards of directors, including the Massachusetts Housing Investment Corporation, the Real Estate Finance Association, the CenterPoint Foundation, the Harvard Alumni Association, and MassALFA (the assisted living association). Ms. White has served as President of the Mass. Association for Mental Health, and Treasurer of the Greater Boston Real Estate Board (and Chaired its Diversity Task Force). She is immediate past President of the Board of Citizens Housing and Planning Association, Co Chair of both the CHAPA/MassALFA Statewide Task Force on Affordability in Assisted Living and the Commonwealth Housing Task Force (the most diverse coalition of interests in Massachusetts history to advocate for increased housing production), is Co-President of the B'nai B'rith Realty Unit in Boston, Senior Vice President of the American Jewish Committee Boston Chapter, and is Vice-Chair of the Affordable Housing Committee of the Rental Housing Association. She has won many awards for excellence in programs of affordable housing and related services, as well as for her far-reaching contributions to the community, and has lectured extensively at the NET Center for Real Estate, the MIT Dept. of Urban Studies and Planning, the Tufts Dept. of Urban and Environmental Policy, and the Harvard J.F. Kennedy School of Government. She was appointed by Mayor Thomas Menino to membership on the Mayor's Housing Advisory Group, is Chair of the Boston Foundation's Housing and Economic Development Policy Committee, serves on the American Institute of Architects Housing Committee Advisory Circle, and is a Member of the Urban Land Institute. In 2000, Ms. White received a National Diversity Award from Fannie Mae and Working Mother magazine in recognition of her extensive work over the years on behalf of people of color and women, in 2004 she received the Boston Foundation Civic Achievement Award, and in 2006 she received an achievement award from HomeStart. She and her husband received the Community Service Award from the American Jewish Committee in 2005 Ms. White lives in, Newton, Massachusetts, with her husband Barry, an attorney, they have been married since 1967 and are the parents of three sons. D Building on our Heritage A Housing Strategy for Smart Growth and Economic Development Chapter 40R and 40S The Commonwealth Housing Task Force and the Resulting Legislation ' The Center for Urban and Regional Policy Northeastern University Eleanor White: 617-924-7240 or ewhite@housingpartnersinc.com Barry Bluestone: 617-373-8595 or b.bluestone@neu.edu Ted Carman: 617-482-1997 or carman@concordsgdey.com February, 2006 The Current Situation ❑ Corporations, educational institutions, medical centers and non-profits have increasing difficulty attracting workers to Massachusetts. O Many of the state's best young minds are leaving for areas with more affordable housing. e In 2004 Massachusetts was only state In the U.S. to lose population and in 2005 the only state to lose population 2 years in a row. r Between 1990 and 2000, the number of 20-34 year olds in the Commonwealth declined by 16 percent ❑ Future economic growth depends on housing at reasonable prices. ❑ The unique quality of life in New England is threatened by accelerating sprawl. 2 1 0 The Commonwealth Housing Task Force ❑ Members of the Commonwealth Housing Task Force (CHTF) include business leaders, private and public housing developers, labor leaders, housing advocates, foundations, the academic community, the environmental movement and the leaders of many of the state's cities and towns. ❑ CHTF represents an historic coalition of diverse interests dedicated to coordinated advocacy for new ways to . increase production for housing across all income levels. The Commonwealth Housing Task Force ❑ Retained the Center for Urban and Regional Policy at Northeastern University, Barry Bluestone, Director, to build upon the ideas presented by Ted Carman for smart growth zoning. CURP retained Ted Carman, President of .Concord Square Development, Inc. and Eleanor White, President of Housing Partners, Inc. to develop and refine these ideas into a Task Force report. ❑ The CHTF Report was released on October 30, 2003. The Massachusetts Senate President released outside sections of the FY2005 Budget (that would become Ch. 40R) on May 11, 2004. Ch. 40R was passed by the Legislature and signed by the Governor in June of 2004. Ch. 40S was passed and signed in November of 2005. DY The Problem and its Resolution ❑ The shortfall in housing production results from insufficient land zoned for the development of apartments and single family homes on smaller lots. ❑ Enough land needs to be zoned so that the private sector can efficientiv increase oroduction to meet the demand for new housing - when and where it is needed. ❑ The zoned land should conform to Smart Growth principles. It should encourage the provision of more open space and enhance historic preservation efforts. ❑ More housing affordability is essential. Massachusetts has been named the least affordable state for housing in the U.S. ([NAPA Press Release 9/3/03) 5 Mate Perspective on Ch 40R ❑ Planning tool to promote lower cost housing, to stem sprawl and create vibrant communities. ❑ Encourages mixed use, directs growth to areas near transit, optimizes existing infrastructure, and protects open space. ❑ Appropriate for suburban, rural and urban communities. 0 Smart Growth ❑ "A principle of land development that emphasizes mixing land uses, increases the availability of affordable housing by creating a range of housing opportunities in neighborhoods, takes advantage of compact design, fosters distinctive and attractive communities, preserves open space, farmland, natural beauty and critical environmental areas, strengthens existing communities, provides a variety of transportation choices, makes development decisions predictable, fair and cost effective and encourages community and stakeholder collaboration in development decisions." [M.G.L.. ch. 40R, §1] The Basics of Chapter 40R ❑ Allows local option to adopt Overlay Districts near transit, areas of concentrated development commercial districts, rural village districts, and other suitable locations ❑ Allows "as of HOW residential development at minimum allowable densities ❑ Provides that 20% of the units be affordable ❑ Allows Mixed Use and Infill ❑ Provides two types of payments to municipality ❑ Encourages open space and protects historic districts Smart Growth Locations 0 Smart Growth (overlay) Zoning Districts in three locations are eligible for incentives: 1. Within. 1/2 mile of rapid transit or commuter rail station, bus, or ferry terminal; or very near .a sheltered bus stop connecting to one. 2. Town centers and other areas of concentrated development. 3. Highly suitable location, especially with underutilized industrial, commercial or institutional properties. 9 Size of District ® Proposed districts can't exceed 15% of total land area of the community. Aggregate land area of all districts can't exceed 25% of total land area. ® In a district of less than 50 acres, up to 10% of developable-land may be included as open space; or 20% in districts with more than 50 acres of developable land (not counting land for the open space). 10 5 Allowable Density (zoning mustaiiow): ❑ Up to 8 units per acre for single family homes ❑ Up to 12 units per acre for 2-3 family homes ❑ Up to 20 units per acre for multifamily housing 11 Affordability ❑ The Smart Growth Zoning bylaw must include mechanisms to insure that 20% of the total residential units constructed in the district are affordable to households-at 80% of median income. ❑ 20% of the units in projects having more than 12 units must be affordable. ❑ Not less that 25% of the units in a project exclusively. serving the elderly, the disabled or for assisted living must be affordable. 12 0 Chapter 40R Incentive Payments O A new Smart Growth Housing Trust Fund is established under Ch. 40R to make payments for new units allowed in the district. ■ From it the State will pay a one-time "zoning incentive payment" within 10 days of DHCD confirmation of approval of a Smart Growth Zoning District: up to 20 new units-$ 10,000 201-500 units $350,000 21-100 units $ 75,000 over 500 units $600,000 101-200 $200,000 ■ In addition a one-time "Density Bonus Payment" of $3,000 will be paid by the state for each new or rehabbed housing unit built within a smart growth zoning district, to be paid within 10 days of issuance of building permit. 13 Example 11111111 ❑ District would allow an additional 250 units to be built. Incentive payment = $350,000 ❑ 128 Permits are issued for 3 developments .36 units x $3000 = $108,000 12 units x $3000 = $36,000 80 units x $3000 = $240,000 Density Bonus Payment = $384,000 TOTAL PAYMENTS TO MUNICIPALITY= $734,000 14 (9 Proposed Chapter 40R State Incentives O Special priority for State discretionary funds from Executive Offices of Environmental Affairs, Transportation, DHCD and A&F (schools, transportation, water, sewer, etc.). ❑ CHTF proposed that the State hold communities harmless from additional school costs attributable to children in new units in the Districts. Such a plan was devised by CURP Staff, led by Ted Carman, and was passed by the Legislature and signed by the Governor as Chapter 40S in November, 2005. 15 School Aid Proposal ❑ Chapter 40S provides that Chapter 70 includes a Smart Growth Education Supplement. ® The structure tracks the structure of Chapter 70 Funding. ■ The Supplement encourages communities to enact Chapter 40 R Smart Growth Districts by minimizing the financial impact of new homes on the education budget for each community. ® The formula for the Supplement is also designed to minimize the long term costs to the State. 16 Chapter 40 S ❑ Ch. 40S, passed'in November, 2005 is a companion to Ch. 40 R. It provides incentives for higher density development in Smart Growth Locations. ❑ Ch. 40S provides "'insurance" that the State will pay for net school costs (if any) for students in new housing in Ch. 40 R Districts. ❑ V there are no net costs, there is no payment. ❑ By taking the school cost issue off the table, it will allow private real estate markets the opportunity to produce needed housing. 17 The 40S Formula ❑ Annually count the number of students who live in new housing in the 40 R District. ❑ Multiply the number of students times the community's average cost of education Education Costs). ❑ Determine the property tax and excise revenues for new growth in the 40R district. ❑ Multiply the Property Tax and Excise Revenues times the average education percent (about 52%) in the Commonwealth. Revenues for Education). ❑ If Education Costs exceed the Revenues for Education, the State makes up the difference. ❑ Payments will be made annually, and indefinitely. 18 I1 Link to 40B Reform ❑ Construction of housing within the new Smart Growth Zoning Districts will count in the normal way toward the Ch. 40B 10 percent goal. ❑ Ch. 40R represents a way for communities to channel and direct new development where they want to see it and with local design requirements. Adequate production within the districts may forestall consideration of Ch. 40B outside the districts. 19 Implementation Assistance ❑ Through MassHousing, $3 million has been made available for technical assistance to cities and towns interested in smart-growth development, and is available for the work required to plan and zone for Smart-Growth Zoning Districts. (Priority Development Fund) ❑ DHCD administers these funds, is currently accepting applications, and has made awards. 20 D__~ Steps to Create a District - I 1. Municipality schedules an initial meeting with DHCD to discuss the location and then holds a public hearing locally on whether Smart Growth Zoning should be adopted. 2. The Municipality submits a formal application to DHCD prior to adoption of the zoning. 3. DHCD makes a preliminary determination whether the application satisfies the requirements and issues a Letter of Eligibility. 21 Steps to Create a District - II 4. The Municipality may proceed to adopt the zoning subject to any modifications required by the Department. 5. Upon adoption of the Smart Growth Zoning, the Municipality submits evidence of passage. 6. DHCD issues a Letter of Approval which states the number of Incentive Units and the amount of the payment from the Smart Growth Trust Fund. 22 Benefits ❑ Expands local planning efforts ❑ Allows communities to address housing needs ❑ Allows communities to direct growth ❑ Can help meet 10% threshold under Ch 40B ❑ Can be part of a planned production plan that achieves the 10% 40B goal on a gradual basis ❑ Can be used to identify preferred locations for 40B developments o 23 Funding Strategy Components for Affordability included in the CHTF Report ❑ Maintain or increase the allocation for housing under the Private Activity Bond Cap at the current level. . ❑ Gradually increase the housing portion of the State Annual Bond Cap from its current level of 9.1% to 15%. ❑ Gradually increase annual state outlays for housing by $120 million. In the next decade this would add nearly $675 million for housing affordability. The FY05 budget directed an additional $2 million into the Affordable Housing Trust Fund. ❑ Sell surplus State property and use a portion of the funds for increasing State assistance for housing affordability. The FY05 budget required that after the first $25 million in proceeds from surplus land sales, the next $25 million will be deposited into the Smart Growth Housing Trust Fund to fund Ch. 40R incentives to communities. New legislation is now pending. 24 ~Y Summary of New Units Estimated Future Affordable Affordable Total Units Production Not Units Units in Districts minus Transferred to equals New and Mthln Outside Districts (d1 Districts Production mciudee Districts $50,0001 unit 2004 1 0 0 0 0 200 2005 2 U 0 0 0 270 2006 3 1,600 700 900 320 440 2007 4 2,700 1,200 1,500 540 720 2008 5 4,200 1,800 2,400 840 970 2009 6 4,400 1,900 2,500 880 1,150 2010 7 4,600 2,000 2,600 930 1,320 2011 8 4,900 2,100 2,800 970 1,500 2012 9 5,100 2,200 2,900 1,020 1,680 2013 10 5,400 2,300 3,100 1A70 1,850 32,900 14,200 18,700 6,570 1 10,100 Total New Housing Produced 28,800 (Net new units, t,wwdms affordable outside district.) 25 Estimated Program Costs Smart Growth Zoning Districts ❑ Incentive and Density Bonus Payments for Smart Growth Zoning Districts allowing 50,000 housing units are projected to cost approximately $15 million per year over ten years. ❑ After 10 years in operation, the cumulative new state school costs for 33,000 new housing units in Smart Growth Zoning Districts at a "hold harmless" level would be approximately $35 million per year. ❑ The current Chapter 70 school reimbursement budget is $3.0 billion. The cumulative costs after ten vears would equal only 0.7% of the projected Chapter 70 budget. It will be significantly less in earlier years. 26 0 10 Year Program Costs Before Revenue Offsets i0ko Incentive and Impia- FundIq.p for Fundlnp for i Total Density Increased < mena8on Affordabliity Affordability . Fstlmatod F.Y. Bonus ;State Educatlon; Funds Within Outside Program Payments Payments j Districts Districts Costs 2005 1 0 0 . 5,000 - 0 10,000 . . . 15,OOD 2006 2 5,300 0 5,000 0 . 13,600 23,900 2007 3 10,200 2,000 5,000 8,200 21800 47 200 2008. .4 16,000. 6,000.. _4,000...... 14,200 35,600 , ..........._.76,000.. . 2,099 5 18,000 11,000 4,000 22,700 . 47,300 103,000 2010 6 18,800 16,300 4,000 24,400 55,600 119,100 " 2011 7 19,800 22,100 4,000 26,300 63,700 ` - 135,90D - 2012 8 20,800 , 28,200 4,000 28,300 ~ 71,700 ~ " ~ 153,OOD 2013 4 21,800 32,500 4,000 168,30D 2014 . 10 i 22,400 I 34,500 4,000 32,700 87,300 . 180,900 } $153,100 152,600 $43,000 $187,2DD $486,400 $1,022,360 . Etlucatbn and Alfor dability CosR have been inhaled al: 2.5% t Tolat prog,=m 2sts are beforF revenues _d offsets _ ; 27 School Aid Formula Projected Single Family Costs Total Annual Cumulative F.Y. Years Homes Cost with Inflation @ 3.0% 2005 1 0 0 0 2006 2 0 0 0 2007 3 0 0 0 2008 4 600 1,715,360 1,874,420 2009 5 1200 3,430,719 5,735,724 2010 6 1358 3,882,431 10,236,525 2011 7 1426 4,076,838 15,104,483 2012 8 1497 4,279,822 20,368,125 2013 9 1572 4,494,242 26,061,296 2014 10 1650 4,717,239 32,216,223. 9,303 26,596,650 28 School Aid Formula Projected Multifamily Costs Total Annual Cumulative F.Y. Years Units Cost with Inflation @ 3.0% 2005 1 0 0 0 2006 2 0 0 0 2007 3 0 0 0 2008 4 1000 109,923 120,115 2009 5 1500 164,884 305,693 2010 6 2851 313,389 668,997 2011 7 2994 329,108' 1,061,969 2012 8 3143 345,486 1,486,874 2013 9 3301 362,854 1,946,527 2014 10 3466 380,991 2,443,634 18,255 2,006,635 29 Total Projected Additional State Spending on School Aid 10th Year - FY 2014 Single Family: 32,216,223 Multifamily: 2,443,634 Total $34,659,857 _._.._....._..__._....._.._..i Inflation Adj. Ch. 70 Budget @ 4% 4,768,094,572 . Education Supplement, as f 0.7% 30 Proposed Revenue Sources lll~ ❑ Increased state revenues from income and sales taxes on construction related wages and the purchase of materials from 56% of the new units built are estimated to average $32 million per year after the fifth year. ❑ Increased state revenues from economic expansion due to increased housing availability are estimated to grow to $34 million by the tenth year. ❑ Revenue from the sale of state land. ❑ New state appropriations. 31 Revenues and Revenue Offsets Net Program Costs (000'6) Revenues Revenues Revenues from i from Total ; Total Net As % i from Economic From Estimated- Estimated Program of Slate F.Y. Canstrriction Growth Sate of Land Revenues Program ! . Costs Budget Costs 2005 1 15,000_ 15. ..,.000.. .........._5,0_._._00s 1 _0 O,aO% 2006 2 23,400 28,4bb . 23,900 9_ o.ao% 2007 3 9,700 1,400: 35,000 46,100 - _ 47,200 1,100 0.00% 2008 4 18,000 4,000 40,000 62,000 76,000 14,000 O.o6% 2009 5 i .28,,.. 000 8,000.. . . 42600.` . ---J • 76,600 ; 27,000 I o.1t% I 2010 i 6 ; 28,300 12,300 ; 44,100 84,700: 119,100 V 34,400 1 0.14% 1 2011 7 1 30,700 17;000 46,300 94,000! - - 135,900 41,900 ( 0.1T% 2012 8 33,400 22,200 i 48,600 104,200. _ 153~,000 T 48,800 o2o% 2013 9 36,300 27,700 ; _ 51,100 _ - 115,100 16B,300 53,200 y _ 0.23% - 2014 16 39,500 . 33,800 ; _ . 53,600 . 126,900. 180,900 54,000 0.26% 221,900 126,400 399,100 747,400 $274,900 -$1.,02,2,.3D0.. Net Cost - First A a 4.Y ears of Program (2004 _ 2007) 3 t 515.6_.. mlillon I - _ anu l te-Budgei,-200 ,-esiimaled;-X24- Bi if^^ 524. 0 -1 -151100^ { t { Revsnues from c onst. and econ omic growth, I nflated et: 3.5%~ , 32 T1 J Anticipated Results Q Substantial amounts of land zoned, as-of-right, for single family and apartment development, in Smart Growth locations ❑ 33,000 new housing units in Smart Growth Zoning Districts ❑ Additional State funds for affordability will significantly improve basic housing conditions and moderate housing price increases in the Commonwealth. 33 ~'+URREET U V .O ®o Census ~rdable ~,0 Alto of. Goal _ 10 2006 E%lsting a/o Oorc - lable 6ef JECTED PR~- u + t4evv j 00/0 20®0 p~ardable ,~.~lstrng Deficit #14U~ v7-- g83 675 0 7.55 0 2.. .raw Hou LIP d use r ~ 1 De`~el®p. M~Xe ed R.esrdentra t'lann pia,tments Accessory eline - eG ed P g~x ~p~easant St• ~~A t Na'~ita pSP) Current 406 k -Phase 2 dohuson woods 91274 010 675 (7.2 ) 252 100 400 80 400 36 VS. 60 60 Master Plan Advisory Committee 2005 Master Plan-CHAPTER I 1 IMPLEMENTATION 1/1/2006 Page 125 of 199 CPDC conduct hearings relative to Scenic Road applications and prepare zoning articles for Town Meeting consideration. For Historic District designation, initiate dialogue with residents within the potential area and review petitions for Historic District designation (December, 2006) Objective 21): Promote the design of new construction to seamlessly connect with their receiving surroundings. 1. Develop Mansionization Zoning • CPDC to prepare "Mansionization" or other appropriate zoning article to address "tear-down-rebuild" and environmental issues. • Town Meeting to consider zoning article. (May, 2008) 2. Inventory Undeveloped Land • CPDC/Town Planner to inventory remaining undeveloped land within residential districts for consideration by Town for acquisition based on criteria set forth in the Town Open Space Plan. • Failing acquisition of such land by the Town, CPDC to consider PUD-R Overlay zone on undeveloped sites within residential districts. Prepare zoning article for Town Meeting consideration. (Initial Review, November, 2006) Housing Action StrateLyies Objective 113. Pursue an Increase in Town Involvement and Investigate Additional Funding Vehicles to Achieve Housing Goals. Communicate Housing Goals to Residents. Create New Housing Partnership (HP) with the Objective to Coordinate Housing Related Action Strategies under the Master Plan. • Town Manager to recommend Charter for HP • Board of Selectmen appoints HP members (June 2006) 2. Pursue Additional Funding for Housing Using the Community Preservation Act (CPA) • Board of Selectmen appoints new CPA Committee to not only prepare the recommendation for implementing the CPA but also to identify the programs to be funded by it (March, 2006) • Town Meeting considers CPA warrant article (November 2006) • If Town Meeting approves, ballot question to create and fund CPA is placed on the ballot for Town election (March 2007) • Submit CPA funding request to State (September, 2007) 3. Communicate Housing Goals Master Plan Advisory Committee 2005 Master Plan-CHAPTER i 1 IMPLEMENTATION 1/1/2006 Page 126 of 199 • HP continues to make Town residents aware of housing goals and initiatives (Ongoing, beginning November, 2006) Objectives 2A and 2B. Encourage New Developments and the Rehabilitation and Reconstruction of Existing Buildings Consistent with the Town's Character and Identity and Meeting State Mandated Affordable Housing Goals. 1. Prepare zoning article which would allow cluster development (PRD) in all S-15 and S- 20 zoning districts provided one in eight units is affordable and $30,000/market unit is contributed to Housing Trust Fund for market units above/below eight. • CPDC prepares zoning article • Town Meeting considers zoning article (May, 2006) 2. Modify Section 4.3.2.8 (Accessory Apartments) of the Zoning Bylaws to remove the restriction that an accessory apartment must be occupied prior to 1982 in the portions of the residential districts adjacent to the Depot. • CPDC prepares zoning article • Town Meeting considers zoning article (May, 2006) Objective 5A. Introduce Mixed Use Zoning in the Downtown and Around the Depot 1. Prepare a zoning article that would allow residential units on all floors except the street portion of the first floor of properties in the Business B zoning district. • CPDC drafts zoning article • CPDC reviews draft of article with Board of Selectmen • Town Meeting considers zoning article (November, 2005) Economic Development Action Strateizies Objective 2A: Establish an Economic Development Commission 1. Determine structure of the Commission • Town Manager acid Town Planner study the various options available under state law and recommend to the Board of Selectmen the type of Economic Development Commission (EDC) to best meet the Town's development needs and to leverage additional State and Federal developmental grants. (February 2006) 2. Establish the Commission • The Board of Selectmen takes the necessary steps to establish the EDC and appoint qualified and dedicated citizens to the commission. (November; 2006) p Rev. September 19, 2006 NNIN~ SuBGOMMI-~EE pLA i3 Section 2. Affordable Housing Goals and Strategies CONSISTENCY WITH EO 418 COMMUNITY PLAN AND 2005 MASTER PLAN Thu goals and objectives below are consistent with the Town of Reading's adopted EO 416- Community Plan and 2005 Master Plan. Policies & Strategies CuiTent institutions, Town administration and Boards (Selectmen and Planning) have limited resources to fully develop the housing policies that Reading needs, policies ranging from new projects to preservation and from zoning amendments to extended planned programs. Numerous advocacy, technical and consulting roles have to be assigned so that a pro-active position in housing can be manifest within the Town government, the Town administration and among the residents. SHORT TERM (1-2 YEARS) Goal 1 Establish a strong public commitment to housin, and develop proactive housing policies. Objectives: A. Strengthen existing housing non-profits in order to ensure potential programs and funding strategies in Reading. Action Strategies: 1. Create New Housing Partnership (HP) with the Objective to Coordinate Housing Related Action Strategies under the Master Plan. • Town Manager to recommend Charter for HP • Board of Selectmen appoints HP members 2. Pursue Additional Funding for Housing Using the Community Preservation Act (CPA) • Board of Selectmen appoints new CPA Committee to not only prepare the recommendation for implementing the CPA but also to identify the programs to be funded by it e Town Meeting considers CPA warrant article • If Town Meeting approves, ballot question to create and fund CPA is placed on the ballot for Town election • Submit CPA funding request to State 3. Town to negotiate with developers for contributions (funds) toward the Affordable Housing Trust Fund as mitigations for various project impacts 0 2~ B. Pursue an increase in town involvement to improve on communicating the housing goals to residents. Action Strategies: l.. Establish a process between the Housing Partnership, the Board of Selectmen, the CPDC and the Housing Authority that sustains the communication and monitoring of the housing goals of the 2005 Master Plan and the importance of fulfilling them. Affordabilitv Housing Affordability is one of the greatest challenges of the current generation. Housing supply has dwindled while demand has increased, driving prices ever higher. This dyi,amic creates a financial strain on even fully employed individuals, let alone young farailies with only 1 wage earner or the elderly with limited means. In addition to a critical social issue, the lack of affordability hampers recruitment of a skilled workforce for the local and regional economy, given lower costs of living in other competitive wage markets. The Town relies on civil servants to maintain quality of life; a diverse and affordable housing stock is needed to retain these individuals and insulate the elderly from substandard housing. As of early 2003, only a 9% of cities and towns in the Commonwealth met the 10% affordability criterion of M.G.L. Chapter 40B. Reading, belonging to the vast majority of non-conforming communities, needs to take steps to increase its affordable units and avoid the likelihood of having of its zoning regulations and Master Plan recommendations bypassed by developers. The impact that comprehensive permit developments have into the Town life, can be illustrated in several layers: abrupt increases of density, alienated housing enclaves disconnected from the surrounding fabric, localized spikes in the Town's traffic flow, sudden changes in school population, unbalanced loads in resources and infrastructure. INTERMEDIATE TERM (1-5 YEARS) Goal 2 Increase affordable units Objectives: A. Encourage rehabilitation and reconstruction of existing buildings for low and moderate-income multi-family housing. 9), B. Encourage new developments consistent with Reading's character and identity and meeting state mandated affordable housing goals. Action Strategies: 1. Monitor the state-level Building Code changes 2. Review existing residential Zoning By-Laws to determine opportunities for encouraging reuse of multifamily housing for affordable units 3. Prepare zoning article which would allow cluster development (PRD) in all S-15 and S-20 zoning districts provided one in eight units is affordable and $30,000/market unit is contributed to Housing Trust Fund for market units above/below eight • CPDC prepares zoning article • Town Meeting considers zoning article PLANNED PRODUCTION I # of Affordable Units/yr Total #of Units /yr Annual Units 14 32 4. Modify Section 4.3.2.8 (Accessory Apartments) of the Zoning Bylaws to remove the restriction that an accessory apartment must be occupied prior to. 1982 in all districts that allow residential use. • CPDC prepares zoning article • Town Meeting considers zoning article PLANNED PRODUCTION # of Affordable Units/yr ( Total #of Units /yr Annual Units 125 ( 25 5. Identify locations appropriate for BOS Sponsored LIP projects. (Refer to EO 418 MAP 4) PLANNED PRODUCTION ( # of Affordable Units/yr I Total #of Units /yr Annual Units 125 1100 6. Housing Authority creates affordable units using funds from the Affordable Housing Trust Fund PLANNED PRODUCTION I # of Affordable Units/yr ( Total #of Units /yr Annual Units 12 12 i i D?:) Downtown Mixed-use developments in downtown can maximize the use of valuable space by allowing for compact developments. These developments of increased density are easier to mstain themselves by providing for various options of marketable units, from low rent to high end. In addition, the downtown itself can be revitalized after business hours, with downtown residents in less need of a second car due to the proximity of the Depot. Goal 3 Address mixed-use zonine in Town (Refer to Mixed-Use Opportunities Map) Objectives: A. Introduce mixed-use zoning in the Downtown and around the Depot Action Strategies: 1. Prepare a zoning article that would allow residential units on all floors except the street portion of the first floor of properties in the Business B zoning district. • CPDC drafts zoning article • CPDC reviews draft of article with Board of Selectmen • Town Meeting considers zoning article (ADOPTED November 2005) 2. Collect recommendations from the Ad hoc Downtown Parking Task Force in an effort to alleviate obstacles in the development of housing units in downtown. C13) PLANNED PRODUCTION 1 # of Affordable Units/yr I Total #of Units 1W Annual Units 1 10 15.0 z~ Prime Downtown Locations for Mixed-Use Redevelopment B. Review 40R/40S for consideration of additional zoning changes Action Strategies: 1. Review current Mixed Use Overlay Zoning against 40R/40S requirements 2. Make recommendations for changes to Zoning By-Laws to adopt 40R/40S districts TOTAL INTERMEDIATE PLANNED PRODUCTION PLANNED PRODUCTION I I # of Affordable Units/yr I I Total #of Units /yr Annual Units 1166 . I 1 209 Dig ersity Ina context larger than affordability, housing diversity is essential to building a strong community. The demographic changes occurring in the Region impose a wide range of housing needs and Reading will need to address these needs with Town-wide strategies. Though we may not cope with all the elements of social diversity at the same time, the least we can expect is for our parents and children to have a realistic option of staying in Town. In the early stages of Reading's development to a New England Township, diversity was evident in the size of households, housing types and in the mixing of uses within the neighborhoods. Today, diversity - a core element of Reading's character and identity - is being lost, a loss which deeply affects the future of the community, not only as built environment, but also as people. LONG TERM (5-10 YEARS) Goal 4 Promote a common understandine of the affordability issue Objectives: A. Establish a comprehensive permit policy or guidelines adopted jointly by the Board of Selectmen, CPDC and Housing Partnership. B. Align town boards, committees and commissions to the goals set forth by the Housing Partnership. 03r_> C. Housing partnership to work with developers from the initial (pre-site approval) meeting through the comprehensive permit process D. Housing partnership to establish a close working relationship with non-profit developers in the NSPC sub-region. E. Analyze the 2010 census as it relates to the MPAC demographic projections for Reading and the housing needs chapter of the 2005 Master Plan and adjust this Plan. Goal 5 Promote Diversitv in housing tvves & households Objectives: A. Avoid exclusionary zoning and mansionization by "spreading" diversity of housing types to all neighborhoods. B. Provide incentives for small scale age-focused housing (over 55, young couples, nursing homes, etc). To make elderly housing development realistic and attractive to a wide-range of incomes, establish communication channels with qualified developers for over-55 housing project developments which offer choices to a diverse group of citizens. C. Provide tax-relief for elderly homeowners who grant the Town a right of first refusal to purchase their home at a reduced price. Neighborhood DesiLyn Historically, the early settlements that developed to urban centers/villages in New England were laid out in a method known today as Traditional Neighborhood Design (TND). TND in suburban communities is the basis for a balanced human experience of the built environment as part of a larger natural environment. On one hand, the size and diversity of buildings within the neighborhood "color" the experience of residency in Reading. On the other hand, the human scale of the neighborhood itself, the comfortable distance to the village center, the variety of land-uses and the uniqueness of the natural resources "color" the experience of the community of Reading. 9 Goal 6 Promote Neighborhood preservation Objectives: A. Establish the fundamental elements of Reading neighborhoods. Engage Town meeting members as weel as the broad public in forums about rading neighborhoods and conduct open-house events that present those elements. B. Associate historic preservation with Reading's character and engage the Realtor's association in the discussion about historic features. C. Establish general planning guidelines for new developments as part of CPDC's proactive planning incentives and in conjunction with Massachusetts Climate Protection Plan. D. Amend the mixed-use zoning article to allow for multi-family developments with an affordability share in those areas of the Downtown where single- family housing exists as a non-conforming use. E. Compete for housing and community development state funds in an effort to develop mechanisms aimed at retaining elderly Reading residents at their homes. Goal 7 Promote Long Term Solutions for Affordability, (Refer to EO 418 Map 4) A. Reduce limitations on the conversion of single-family units to two-family units. PLANNED PRODUCTION # of Affordable Units/yr I Total #of Units /yr Annual Units ( 50 1100 B. Encourage infill development particularly near commuter rail station. C. Simplify and streamline regulations and procedures and review zoning and subdivision bylaws to see if there are measures that add to the cost of housing that could be reasonably amended or eliminated, while allowing restricted development of nonconforming lots subject to linkage contributions for the Affordable Housing Trust Fund. D. Take steps to retain expiring use properties as affordable housing. Establish an open/available to the public affordability tracking web page. E. Offer rehab loans and/or grants to low to moderate income persons with funds from the state CDBG, HOME consortium, or other sources. F. Accept donated or reduced-price property. G. Identify vacant and underutilized properties that may be suitable for housing. Setup a GIS system that does the following on a per precinct basis: evaluates infrastructure and its capacity tracks number of affordable units - tracks potential developments This system can serve as a geographical overview of where the affordable units go and where not. H. Adopt mixed use at the Addison Wesley Site. If the proposed development introduces a number of jobs that impacts local and regional housing, specify appropriate mitigation measures (e.g., linkage, inclusionary zoning, provision of affordable housing). I. Identify municipal facilities that will soon stop meeting state standards and target them as future municipal housing projects. Award those projects to developers that offer the best affordable housing use, rather than the highest purchase price. TOTAL LONG TERM PLANNED PRODUCTION PLANNED PRODUCTION ( I Minimum I M Maximum Annual Units 11100 1 1 200 33 .~G S 06 N SST pEt~-~'~ A,UDV_ 55 (plea 17 ell 0-0 COIN xg 1