MODERATE-INCOME HOUSING BIENNIAL REPORT

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Sybil Terry
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1 MODERATE-INCOME HOUSING BIENNIAL REPORT Utah Code Section 10-9a-408 requires the legislative body of a municipality to perform a biennial report on moderate-income housing in its community. The following sections address the requirements as set forth in state code. Review the existing Moderate-Income Housing Plan a-408(1) Mapleton City adopted the Housing Element of the General Plan on January 20, 2016 in accordance with Utah Code. The Housing Element included a discussion of constraints and opportunities as well as goals and policies designed to provide guidance on housing related issues. This report includes those constraints, opportunities, goals and polices followed by a brief response. V. COMMUNITY CONSTRAINTS AND OPPORTUNITIES A. Constraints. Below is a summary of some of the constraints the City faces in encouraging moderate income housing: 1. Land Values: A number of factors contribute to Mapleton City s land values including its desirable scenic location, rural atmosphere, high median family income, etc. As stated in section III, the median sales price for homes in Mapleton is approximately 32% higher than the county median Response: With the increased strength of the housing market since 2016, land values continue to be a significant constraint to moderate income housing. However, according to the US Census, the disparity between the median sales price for homes in Mapleton compared to the county median has dropped slightly from 32% to 31%. 2. Transportation and Jobs: Mapleton City does not have direct access to I-15 and does not currently have any mass transit options. The City is also primarily a bedroom community where residents commute outside of the City limits for work and for their shopping needs. More vehicle miles traveled increases living expenses. Moderate income households are more likely to benefit from housing near mass transit opportunities, shopping areas and job centers Response: Transportation and jobs continue to be a constraint for moderate income housing in Mapleton. However, the City is actively involved with the Mountainland Association of Government (MAG) to fund transportation projects in the City and throughout the county. The City s long-range transportation plan includes more direct connections to I-15 at 1600 South and at Maple Street. While the City is likely to remain predominately a bedroom community, these transportation improvements will help lessen the constraints on affordable housing.

2 3. Large lot zoning: Mapleton City has made a conscious effort to retain its rural character. One tool the City has used to protect this rural character has been the requirement for large residential lots. While the City has zones that do allow for a range of lot sizes, including sizes that may be more appealing to moderate income households, the average residential lot size in Mapleton is still approximately one acre Response: While the City will continue to protect its rural character, the City has made efforts to allow for smaller lot sizes. Of the 376 lots that have been approved since 2016, only 34 have been one acre or larger. As discussed in more detail below, the City has also amended its zoning code to allow for densities as high as 12 units per acre in certain areas of the City. 4. Housing Costs: Mapleton City has on average slightly higher property taxes and utility fees than the county averages. This is due to several factors including the lack of a diversified commercial tax base and to the rural nature of the City, which requires infrastructure costs to be spread over fewer rate payers Response: As the City s population increases, it is likely that more commercial development will occur. This may result in slightly lower taxes over time. In 2018, the City also reduced sewer rates, which will help lower overall housing costs. B. Opportunities. Below is a summary of some of the opportunities that exist for the City to encourage moderate income housing. 1. Accessory Apartments: Mapleton City allows accessory apartments as a permitted use in all residential zones within the City. This provides opportunities for the provision of moderate income housing in at least two ways: 1) the accessory apartments themselves allow for moderate income housing options, and 2) the income generated from accessory apartments can supplement the housing cost of the primary dwellings they are associated with, making them more affordable. It should be noted that there is a one-time fee associated with the approval on an accessory apartment that may discourage some property owners from applying Response: The City continues to allow accessory apartments. 18 new accessory apartments have been approved since It is likely that the rental rates for these units would be within the suggested range for low to moderate housing expenses. 2. Family use only (mother-in-law) units: The City allows accessory living units in all residential zones without the fee that is required for an accessory apartment, provided the unit is for family use only. This allows property owners to provide low cost housing options to family members that may not be able to otherwise afford housing in the community Response: The City continues to allow mother-in-law apartments. Prior to this report, the City did not maintain a formal database to track the number of mother-in-law apartments that

3 have been approved. However, the City has begun to track these approvals and will include the information for the next reporting year of Staff anticipates that approximately 5-10% of all new homes have included mother-in-law apartments. If this assumption is true, the City has added approximately 22 to 44 mother-in-law apartments since Mixed use zoning: The City has approximately 179 acres of land currently zoned General Commercial (GC-1). This zone allows for mixed use development with commercial on the ground floor and residential uses on the upper floor(s). As the City s population and commercial demands increase, the possibility for mixed use affordable housing will likely also increase Response: The amount of mixed use zoning remains unchanged. There is currently one mixed use building with four apartment units under construction and one project going through the permitting process that would include 18 apartments. Staff anticipates that mixed-use developments in the GC-1 zone will provide significant opportunities for moderate income housing in the future. 4. R-2 zoning: The City has approximately 122 acres of land zoned Residential (R-2). This zone allows as permitted uses, twin homes and duplexes. This provides opportunities for moderate income housing as the need and demand increases Response: In addition to the R-2 zone, in 2018 the City adopted one new zone (R-2-B) and amended another zone (R-3) to allow for more attached housing and densities of up to 12 units per acre. This is 6 units per acre higher than previously allowed. The goal of these zones is to provide more opportunities for housing for all income levels. 5. Approved Concept Plans: The City has conceptually approved two developments at the southern end of the City that are proposing a wide range of lot and home sizes including approximately 400 attached units, many of which would likely fall into the moderate-income price range Response: Approvals since 2016 include 79 town home units in Harvest Park, 104 town homes units and 64 attached senior housing units in Sunrise Ranch, 68 senior attached units in Dignity Care, and 65 town home and condominium units in Cottonwood Cove. These projects will help diversify the City s housing options. 6. Annexations: The City has over 200 acres of property within its future annexation boundaries that has a general plan designation of high density residential. As these properties are annexed and developed over time they will likely contribute to the availability of moderate income housing Response: In 2018 the City annexed 67 acres of property and approved a development agreement for 540 units, many of which are attached (see Sunrise Ranch above).

4 While it is likely that median home values and rental rates in Mapleton will continue to exceed state and county medians, the City has provided, and will continue to provide opportunities for the development of housing for all income levels. VII. GOALS AND POLICIES The following goals and policies are designed to assist the City in meeting the state code s requirements to facilitate a reasonable opportunity for a variety of housing, including moderate income housing, to meet the needs of people desiring to here, and to allow persons with moderate incomes to benefit from and fully participate in all aspects of neighborhood and community life. Goal #1: Preserve the existing housing stock. Policy A: Provide information to Mapleton City residents regarding housing rehabilitation and weatherization programs. Policy B: Allow residents to request a home inspection from the City s Building Official for a nominal fee to assist in identifying potential safety hazards and code compliance issues. Policy C: Enforce the building code, zoning code and nuisance code for violations that have the potential to impact the safety of residential units and their occupants. Policy D: Educate the public regarding building permit and building inspection requirements for additions, alterations and new construction Response: This goal and these policies are still valid and will continue to guide the City s efforts to preserve the existing housing stock. Goal #2: Provide opportunities for a wide range of housing options at all income levels while protecting the rural, country atmosphere of the City. zones. Policy A: Continue to allow accessory apartments as a permitted uses in all residential Policy B: Consider reducing the accessory apartment permit fee to incentivize the provision of more accessory apartments. Policy C: Continue to allow family use only (mother-in-law) apartments in all residential zones. Policy D: Continue to allow mixed use developments in the GC-1 zone and other planned development zones. Policy E: Provide some opportunities for multi-family housing primarily in areas designated for higher density development along Highway 89, west of Highway 89 and at the southern end of the City.

5 2018 Response: The City will continue to allow accessory apartments and family use only apartments in all residential zones. As mentioned previously, the adoption of two new higher density zones will allow for the development of an increased number of attached units west of Highway 89. Goal #3: Make reasonable accommodations for residents with disabilities consistent with the Federal Fair Housing Amendments Act of Policy A: Consider adopting a Reasonable Accommodations Policy that would outline the process for individuals with disabilities to apply for flexibility in the application of land use, zoning and building regulations when necessary to afford them equal opportunity and access to housing. Policy B: Continue to allow residential facilities for elderly persons and persons with a disability in all residential zones Response: This goal and these policies are still valid and will continue to guide the City s efforts to provide reasonable accommodations as needed. 10-9a-408(2)(a)(b) Efforts made to reduce, mitigate, or eliminate local regulatory barriers to moderate income housing. As mentioned previously, in 2018 the City adopted two new higher density zones (R-2-B and R- 3), which double the maximum allowed density within the City. These zones are meant to provide opportunities for attached and multi-family units that can be available for individuals and families in the moderate- income range. These zones are available to approximately 750 acres of land within the City. 10-9a-408(2)(c) - Progress Made within the municipality to provide moderate income housing. Tables I-IV summarize income and housing data from the U.S. Census for Mapleton City. When comparing this information with similar information from 2016, it demonstrates that fewer properties in Mapleton are available to moderate and low-income families. However, as described previously, the City has approved over 700 attached units. As these projects begin to be constructed, the City will have more opportunities for housing for moderate and low-income households.

6 Table I Income Categories % of Mapleton Households Moderate Income (51% - 80%) 13.6% Low Income (31% - 50%) 7.1% Very Low Income (30% or less) 3.4% Total 24.1% Income Level 80% of County Median (moderate) 50% of County Median (low) 30% or less (very low) Table II Annual Housing Monthly Housing Mortgage Amount Cost Cost $15,437 $1,286 $240,000 $9,648 $804 $150,000 $5,789 $482 $90,000 Table III Home Values Number of Housing Units % of total housing units $151,000 $240, % (moderate) $91, ,999 (low) 16.7% Less than $91,000 (very low) 10.4% Table IV Income Category % of Population % of Housing Units Moderate 13.6% 10% Low 7.1%.7% Very Low 3.4%.4% 10-9a-408(2)(d) All efforts made by the city to coordinate moderate income housing plans and actions with neighboring municipalities or associations of government. The City partners with the Mountainland Association of Government at both the technical and policy levels. These efforts include regional transportation planning, CDBG program implementation and economic development. The City also periodically reviews the moderateincome housing plans of neighboring cities to determine best practices. 10-9a-408(2)(e) All efforts made by the municipality to utilize a moderate-income housing set-aside from a government agency

7 The City has not applied for any housing set-aside from a government agency. It is the City s position that at this time this money is much better utilized within communities with more access to jobs and mass transit. 10-9a-408(2)(f) Money expended by the municipality to pay or waive construction-related fees required by the municipality. The City has not had any formal requests to waive fees for a moderate-income housing project. 10-9a-408(2)(g) Programs of the Utah Housing Corporation that were utilized by the Municipality. The City has not utilized any Utah Housing Corporation programs.

CHAPTER 4: MODERATE INCOME HOUSING ELEMENT

CHAPTER 4: MODERATE INCOME HOUSING ELEMENT The Utah Municipal Code, -9a-()(a)(iii) requires that all cities adopt a Plan for Moderate Income Housing as part of their General Plan. Section -9a-() of the Utah Municipal Code, outlines that this Plan