HomeMy WebLinkAbout032122ra03JEFFERSON COUNTY
BOARD OF COUNTY COMMISSIONERS
REGULAR AGENDA REQUEST
TO: Board of County Commissioners
FROM: Mark McCauley, Interim County Administrator
DATE: March 21, 2022
SUBJECT: Consideration by the Board of Commissioners of a Request by Habitat for
Humanity for $500,000 in American Rescue Plan Act Funding for an
Affordable Housing Project
STATEMENT OF ISSUE:
Habitat for Humanity of East Jefferson County (Habitat), in partnership with the Jefferson
Community Foundation, is exploring the feasibility of purchasing a 17-acre parcel of land in Port
Hadlock to develop into 100-120 units of permanently affordable, workforce housing. Potential
partners include local employers whose workers cannot afford housing in the community.
Approximately one -quarter of the homes would be targeted to households making less than 80%
of Area Median Income (AMI). The remainder would serve households earning 80-120% (or
possibly 150%) percent of AMI. A combination of homeownership and rental housing would be
built, with single family homes as well as small, multi -family units such as duplexes and
townhouses. This partnership model is new for our community and holds promise to significantly
increase the supply of available, affordable housing locally.
Habitat's vision is a neighborhood that fits well into the surrounding community, with greenspaces,
community gardens, gathering spaces, and childcare. Families in the development would be able
to walk to Chimacum Creek Primary School and Jefferson County Library. In addition to their
vision for this project, Habitat brings a solid track record of developing workforce housing in East
Jefferson County as well as access to models and tools available more broadly via Habitat for
Humanity. For this Mason Street project, Habitat will maintain ownership of the land in perpetuity;
residents will own their homes and pay a small ground lease fee. In exchange for affordable
housing costs, owners must agree to limit the amount of appreciation they can realize in the future,
thus keeping homes affordable to future owners.
The land, which Habitat has under contract for $1.24M, is at the southwest corner of Mason and
Cedar Streets, behind the library and primary school. (231 Mason St, tax parcel number
901023007) It currently is the site of a private airstrip. A growing number of visionary
community members have committed funds toward purchase and infrastructure development
(initial rough cost estimate of $5M), but a gap remains. $500k in ARPA funds would help to
bridge the gap and demonstrate further county support for addressing the lack of workforce
housing in Jefferson County. Should Habitat's board of directors determine the project is not
feasible and elect not to proceed with the purchase in May, the BOCC could re -allocate the funds
committed to the project.
ANALYSIS:
The Board of County Commissioners have a demonstrated record of supporting affordable housing
in Jefferson County. For example, OlyCAP's 7th & Hendricks project is the most significant
affordable housing project in the county currently with more than 40 units becoming available
when construction is complete and for which the county has committed close to $1,000,000.
Habitat's Mason Street project will provide two or three times as many affordable housing units
justifying a significant contribution from Jefferson County.
FISCAL IMPACT:
This request, if approved, will commit $500,000 in ARPA funding from the Grant Management
Fund, Fund 123.
RECOMMENDATION:
That the Board consider the request from Habitat for Humanity for $500,000 in ARPA funding
for their Mason Street affordable housing project and, if approved, direct staff to prepare a grant
agreement for the same.
REVIEW BY:
Mark McCauley nterim County Admi str r Date