Friday, February 24, 2006

County wants to collect fees to fund affordable housing

Fees would be collected on large, new dwellings


By STEVE BENSON
Express Staff Writer

Efforts to increase affordable housing in unincorporated Blaine County continued Thursday with the county commissioners hosting a public hearing on a proposed workforce housing ordinance that would establish fees on new residential dwellings over 2,500 feet.

The fees would be collected through the building permit application with the funds deposited into the community housing trust account. That account will be used for planning, subsidizing or developing affordable housing for people in categories 1, 2, and 3—the lowest household-income categories in Blaine County.

The fee amount would fluctuate according to the size of the house and the region where it's located. For example, a 3,000 to 3,999 square foot house in Region 1 (north valley) would require a fee of $6,956. The same size house in Region 2 (mid-valley) would include a fee of $6,395. The fees drop dramatically in Region 3 (south valley), where a 3,000-3,900 square foot house would be charged $3,927.

Virginia Egger, city administrator of Sun Valley, where a similar ordinance has already passed, recommended that the fees be assessed on an annual basis. Egger, who relocated to Sun Valley from Telluride, Colo., where she was the city manager for eight years, said she was shocked to find such a shortage of affordable housing in the Wood River Valley.

"This community is woefully behind," she said, adding that a workforce housing ordinance is "the price of living in an extraordinary community."

Earlier this month the Blaine County Planning and Zoning Commission reviewed an inclusionary housing ordinance that would require all future subdivisions in unincorporated Blaine County to include 20 percent affordable housing. If approved, that ordinance would apply to income categories 4, 5 and 6. The commissioners reviewed that ordinance again Thursday night, when they were expected to make a recommendation to the county commissioners.

On Thursday, County Commissioners Sarah Michael, Tom Bowman and Dennis Wright all stated that Blaine County's affordable housing supply is way behind the curve when compared to other counties that are home to mountain resorts. About 60 percent of full-time residents in Aspen, Colo., which has 2,500 affordable housing units, live in affordable housing.

Michael and Bowman both reiterated that Blaine County's service workers can no loner afford to live in the Wood River Valley, and if the trend continues it could lead to enormous problems in the future.

"The board believes this is a major problem and this ordinance is an initial attempt to try to address it," Wright told the crowd of about 25 Blaine County residents at the hearing. "If what is presented today is not a good idea...we want to hear ideas on how it can be improved.

"If you were sitting where we're sitting, what would you try to do?"

Concerns from the public included the fact that fees would be applied to housing additions and remodels over 120 square feet in size that would push the total square footage of the house over 2,500 feet.

Two Carey residents were also opposed to the ordinance, claiming a large fraction of the county's service workers live in Carey and commute to the Wood River Valley for work. If their children wanted to build a house near Carey but outside the city limits, it would be unfair to force them to pay a fee, they said.

Ed McDonough, a building contractor, expressed anger over the proposal, calling it "a complete joke" and "just ludicrous."

McDonough claims the ordinance will push out local workers who already own homes with large mortgages and favor other workers who will accept less pay because they live in affordable housing. He acknowledged there is a problem with a lack of affordable housing, but advised the commissioners to look for alternative solutions.

Bowman stressed that several other alternatives, like a local-option sales tax, real estate transfer tax, or bonds to fund affordable housing have been explored. Rep. Wendy Jaquet, D-Ketchum, has introduced several bills to the state Legislature during the current session and all have been killed. Since Idaho is not a "home rule" state, the county is running out of options, Bowman concluded. He did encourage the public to share any other ideas they may have.

Bryan Dilworth, of Bellevue, recommended that the commissioners take a look at imposing a similar ordinance on commercial property in the county. While there is currently little commercial property in unincorporated Blaine County, that likely will change, especially with the potential construction of a new airport.

"I think that is a good point that the county will review," Michael said.

The commissioners will review the ordinance again in a public hearing in the coming weeks. A date has yet to be set.




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