BI drops fees to encourage affordable housing

The Bainbridge Island City Council plans to reduce land permit fees to encourage more affordable housing projects.

At its Aug. 8 meeting, city planning director Patty Charnas talked about a fee scale based on the number of affordable units in a development. Fees collected would go to a Housing Trust Fund.

If 75% or all of the units in a development are for people with very low incomes, they would get a 75% discount on their land use permit fees based on the sliding scale. If those same units were for low-income, the reduction in fees would be 50%. Charnas gave the example that if a project had 30 multifamily units, 18 for very low-income families, the project would be eligible for a 50% reduction—or $8,765 not $17,530. Charnas said the scale would be available for many types of land-use fees.

“I recognize the need for this at this time,” Councilmember Jon Quitslund said. “We shouldn’t be waiting” on things like the Comprehensive Plan to be updated.

Deputy mayor Kirtsen Hytopoulos said she would like to see as many fees as possible used for the trust fund since that’s where most of the city money will come from to help affordable housing. “Many other fees can be considered,” city manager Blair King said. Hytopoulos added the council needs to “stop dipping into” the trust fund for other projects.

Councilmember Joe Deets showed disappointment that it took so long for this to get done. Five years ago it was called a “quick win” for the city. “Hopefully quick wins will be quicker” in the future.

Also at the meeting, King talked about the city helping to develop affordable housing at the old police station site near the ferry dock. First, the council needs to decide if it wants to be involved at all, “or if we’re just wasting our time.” He explained public agencies sometimes get involved because such projects often don’t make enough money to interest private developers.

Initial financial feasibility anticipates a $47.5 million development, with $3 million coming from the city. The council could decide what type of commercial tenants it would want on the ground floor, such as nonprofits, like child care. The council also would decide what type of housing it would want, then private developers would submit proposals, of which the council would select one. If the council decides on a 100-unit project or larger it could get $19 million from the state’s Low Income Housing Tax Credit.

A 100-unit rental project is financially feasible with 31 studio units, 30 one-bedroom units, 27 two-bedroom units and 12 three-bedroom units. The range of affordability is very low to low (60% and below area median income).

During public comments, Dick Haugan, who is a candidate for City Council, said he did a survey with hundreds of participants that show a large majority of respondents are not in favor of the city getting involved in affordable housing at this site — if at all.

Instead of jumping into this project, he suggested the city do a better job of explaining affordable housing to the community. He said if the city doesn’t involve the community more there could be legal action. He said if he was on the council he would include all stakeholders, not just friends. He said forcing a project that the community doesn’t want would “tear it apart.”

Waste reductions

The council also pulled back some of its regulations for its Disposal Food Service Ware and Waste Reduction law, including removal of the 25-cent cup fee.

Autumn Salamack, the city’s climate manager, said a council subcommittee met with local businesses. It learned there were many issues in the law that weren’t practical. Products were not even available to accomplish some of the things the council wanted. For some products that were available, the cost was too high. Exemptions will be allowed until such items are more attainable and feasible economically.

Also, the city wants to make it easier for people to obtain items that were banned, such as plastic utensils. Customers did have to ask for them. Now, employees are supposed to ask at checkout if such items are needed. They also can be placed in view for easier public access. Businesses can make accommodations for people with disabilities.

Deets said the city wants to reduce waste, but received quite an education from businesses on this issue. He said the city wants to make “real change that needs to happen, but not unduly harm business. We are trying to find a balance. There’s no perfect answer to this issue. We are still learning. But we need an equitable solution to this issue.”

During public comments, Marie Baraldi talked about her husband who found out at age 40 he has ALS and can no longer talk. When he bought food at a store he was unable to find utensils. His wife said read from a letter he wrote that one of the things that keeps him going is his ability to be as independent as possible. They asked for the city to make it easier to obtain such items.

Julia Walle Talbot applauded the city for wanting to curb waste, but the law discriminates against people with disabilities. She said the city wants to be open to all people of all abilities so the waste law needs to change to reduce barriers.

Mary Ann Landry said it doesn’t make sense for customers to have to ask for utensils. The state law that allows self-service makes more sense, she said.