Creating the Vancouver Affordable Housing Fund Peggy Sheehan, Community Development Programs Manager peggy.sheehan@cityofvancouver.us (360) 487-7952 www.cityofvancouver.us/cdbg DESIGN NOTES: Do not move text, logo or transparent black boxes any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. To change the background photo on this slide, follow these simple instructions: Right click on the photo Select “Change Picture” from the menu Navigate to the photo you want to use instead and select Open It will automatically place your photo in the same space at the same size (unless it’s a vertically aligned photo). You may need to resize it to fit the space. Avoid using vertical/portrait aligned images, as they will not fit this space well.

$42 million over 7 years for affordable housing in Vancouver, Washington Background and housing needs Development of proposed housing fund Community-led campaign to pass ballot measure Implementation of new funding source Vancouver Affordable Housing Fund - 2

6,855 spend more than half of their income on housing Vancouver’s affordable housing crisis Vacancy rate 2-3% Rapidly increasing rents (among fastest cities for rent growth in the nation) Increase in homelessness 6,855 spend more than half of their income on housing Vancouver Affordable Housing Fund - 3

Affordable Housing Task Force 21 members from public, nonprofit and private sectors Convened in April 2015 and met for 9 months Tasked with recommending policies to protect vulnerable renters and increase supply of affordable housing in Vancouver DESIGN NOTES: Do not move text, logo or transparent black boxes any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. To change the background photo on this slide, follow these simple instructions: Right click on the photo Select “Change Picture” from the menu Navigate to the photo you want to use instead and select Open It will automatically place your photo in the same space at the same size (unless it’s a vertically aligned photo). You may need to resize it to fit the space. Avoid using vertical/portrait aligned images, as they will not fit this space well. Vancouver Affordable Housing Fund - 4

#1 priority to move forward in 2016 Task force priority recommendation Creating a locally controlled fund for affordable housing was identified as the most direct way to impact Vancouver’s most vulnerable families #1 priority to move forward in 2016 Property tax levy selected over sales tax and B&O tax as best opportunity for local funds DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 5

Policy development – key components State enabling legislation for property tax levy for affordable housing (RCW 84.52.105) Declaration of housing emergency Spending plan for levy funds (“Administrative & Finance Plan”) Ballot measure approved by voters Must serve households earning up to 50% AMI Vancouver Affordable Housing Fund - 6

Vancouver Affordable Housing Fund details $6 million annually for 7 years ($42 million total) At current values, approximately $0.36 per $1,000 of assessed value Applies to all taxable property in the city, not just single-family Included as ballot measure in November 8, 2016 election Vancouver Affordable Housing Fund - 7

How the fund works $90* average annual single family taxpayer investment generates $42 million over 7 years (*for a home valued at $250,000) Partnerships harness the private market and community nonprofits Create safe, affordable housing for over 2,300 (34%) of the families in need DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV.

Spending plan – three program areas Increase Housing Supply: 40% Acquisition and construction of new affordable housing Preserve Existing Housing: 27% Rehabilitation of single- and multi-family housing Prevent and Address Homelessness: 30% Rent vouchers and self-sufficiency services Rent buy downs for market-rate properties Homeless shelter Implementation: 3% Development of contracts, program management, monitoring DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 9

Distribution of levy funds City of Vancouver collects & distributes funds through public process Non-Profit Developers For-Profit Developers Housing & Service Providers Property Owners Increase Supply Preserve & Support DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 10

Anticipated outcomes Program area Estimated units/households Housing production 336 units – 20 year affordability Housing preservation 454 units – 20 year affordability Rent vouchers and services 1,500 households Shelter # beds TBD DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 11

City public outreach process Housing data “snapshots” Four informational meetings on proposed levy 2-page levy fact sheet Council workshop and public hearing Vancouver Affordable Housing Fund - 12

Yes No Campaign by Bring Vancouver Home to pass ballot measure 57.6% Election results: 57.6% Yes 42.4% No Vancouver Affordable Housing Fund - 13

From proposed idea to policy April-December 2015 Affordable Housing Task Force convened April 2016 Declaration of citywide housing emergency April-June 2016 Public outreach and development of spending plan June 2016 City Council decision to pursue housing levy ballot measure November 2016 Voter approval of housing levy (Prop. 1) January 2017 Levy in effect (7 years) City of Vancouver staff and elected officials: June-November 2016: Campaign led by Bring Vancouver Home (a Political Action Committee) DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 14

Implementation Spring of 2017 – first request for applications for construction, acquisition and rehab projects Funding provided as half grant, half loan Required affordability period up to 20 years Separate from CDBG/HOME process this year but some projects overlap; may combine application processes in the future Vancouver Affordable Housing Fund - 15

Engineering & environmental Flexible funding uses Appraisals Architectural costs Permit fees Engineering & environmental Closing costs Gap financing …and more Property purchase Construction DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 16

Eligible households – up to 50% AMI 1-Person Household 2-Person Household 4-Person Household Annual income Max. affordable rent $26,150 $654 $29,900 $748 $37,350 $934 Prioritizing seniors, people who are homeless, families with children, veterans and people with disabilities DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 17

Funding decision criteria Organizational Capacity Financial Feasibility Investment Priorities Readiness Collaboration Cost Benefit/ Leveraging DESIGN NOTES: Add the presentation title to the little footer in the lower right corner on all pages. Do not move the text blocks or logo any further out towards the edges of the slide. The current layout is within the “safe area” for broadcast on CVTV. Vancouver Affordable Housing Fund - 18

Lessons learned – getting the levy approved Chose general election to capture votes from larger share of population Importance of messaging – “the only option that provides housing for Vancouver’s lowest income and most vulnerable residents” Support from nonprofit and faith based organizations Voters wanted to see: That City was also pursuing other tools such as multifamily tax exemption That tax levy did was shared by all property owners not just single- family homeowners Vancouver Affordable Housing Fund - 19

Lessons learned – implementation Adherence to Administrative and Finance Plan ???? Vancouver Affordable Housing Fund - 20

Additional information and resources www.cityofvancouver.us/affordablehousingfund Vancouver Affordable Housing Fund - 21