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Pg 1 City of Missoula, Montana Item to be Referred to City Council Committee Committee: Plat, Annexation and Zoning Item: Proposed text amendments to Title 20, Missoula City Zoning Ordinance, Section 20.05.040 Development Options and Table 20.05-3 Date: July 29, 2010 Prepared by: Jen Gress, Planner I, OPG Initiated by: City Council Action Required at August 9, 2010 City Council Meeting: Set a public hearing on 2010 to consider proposed text amendments to Chapter 20.05.040 Development Options and Table 20.05-3 of the Missoula City Zoning Ordinance, Title 20 as shown in attachment 1. Recommended Motion at August 9, 2010 City Council Meeting: That the City Council set a public hearing for proposed amendments to consider changes to Chapter 20.05.040 Development Options of Title 20 and Table 20.05-3 as recommended by the Missoula Consolidated Planning Board as shown in Attachment 1. Action Required at City Council Meeting – Date to be Determined: Consideration of Planning Board recommendation to approve the proposed amendments to Chapter 20.05.040 Development Options and Table 20.05-3 of the Missoula City Zoning Ordinance, Title 20 as shown in Attachment 1. Recommended Motion at City Council Meeting – Date to be Determined: That the City Council approve the changes to Chapter 20.05.040 Development Options and Table 20.05-3 of Title 20 as recommended by the Missoula Consolidated Planning Board and shown in Attachment 1. Timeline: Referral to committee to set a public hearing: July 29, 2010 Committee discussion on setting public hearing: August 4, 2010 Council acts to set a hearing: August 9, 2010 Pre-public hearing information at committee: To Be Determined City Council public hearing: To Be Determined Background: In May 2010, the City Council initiated a potential change to Chapter 20.05.040 Development Options and forwarded it to the Planning Board for review. The proposed amendment creates a subsidized development option in multi-family zoned districts. The option allows modified building standards, and up to a 20% increase in density while requiring the development to contain up to 50% subsidized housing for residents meeting income guidelines established by either HUD (Housing and Urban Development) or MBOH (Montana Board of Housing). This option has the benefit of adding to the stock of affordable dwelling units in Missoula. ---PAGE BREAK--- Pg 2 After OPG staff solicited comments from agencies, community housing organizations, and interested parties the draft was revised and presented to Planning Board for their consideration. On August 20th the Planning Board held a public hearing on the amended ordinance and considered additional public comment. Planning Board expressed support for the effort to provide an incentive for affordable housing. Public comment focused on an MBIA proposal discussing two different options: the first allowing the development option to apply to single detached units, townhouse, and multi-dwelling units; the second extending only to single detached units and townhouse building types (see attachment The MBIA emphasized option two as the desirable option at this time and expressed interest in applying this to multi-dwelling (rental) units in the future. There was also discussion regarding the need and ability to create permanently affordable units. Planning Board recommended amending the proposal to include a requirement that the subsidized portion of the development be permanently affordable. That amendment is incorporated in this document as Attachments 1 (Draft ordinance) and 2 (Proposed Planning Board language). Financial Implications: None anticipated. Attachments: 1. Draft ordinance 2. Proposed Planning Board language 3. Staff report including attachments A through D 4. Planning Board minutes from July 20,2010 5. Comments presented at Planning Board from MBIA (pLand) July 20, 2010