HomeMy WebLinkAboutR23-047 Approval of the 2023 Eagle County Affordable Housing Guidelines DocuSign Envelope ID:ECC1AlD3-2493-4557-A9F6-13F46B4413E1
Commissioner Scherr moved adoption
of the following resolution:
BOARD OF COUNTY COMMISSIONERS
COUNTY OF EAGLE, STATE OF COLORADO
RESOLUTION NO. 2023-047
RESOLUTION APPROVING THE 2023 EAGLE COUNTY
AFFORDABLE HOUSING GUIDELINES
WHEREAS, over 35%of all households in Eagle County are cost burdened and pay more
than 30% of their income towards housing, making it difficult for those households to pay for
other necessities, like food,utilities,transportation, and health care; and
WHEREAS,Eagle County desires to increase the supply of housing that is affordable to
those who live and work in Eagle County; and
WHEREAS, an Eagle County Housing Needs Assessment Update was completed in
2018,which indicated that 7,970 affordable housing units will be needed to keep up with the
demand for affordable housing units in Eagle County by the year 2030; and
WHEREAS,the Board of County Commissioners ("Board") of Eagle County, Colorado
adopted the Eagle County Affordable Housing Guidelines (the"Guidelines") on May 13, 2014,by
Resolution No. 2014-037; and updated the Housing Guidelines on October 6, 2020 by Resolution
No. 2020-079; and
WHEREAS,the purpose of the Guidelines is to promote sustainable communities in
Eagle County through the creation of permanently affordable housing stock. The Guidelines
assist in implementing specific strategies of the Eagle County Comprehensive Plan calling for
private development to share in the responsibility for keeping up with the demand for workforce
housing and are to be used for discussion and negotiation of applicable affordable housing criteria
as part of the development approval process; and
WHEREAS,the Board desires to amend and restate said Guidelines to clarify its language,
reflect current policies and in order to continue to promote the creation of permanently affordable
housing stock in Eagle County.
NOW,THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF THE COUNTY OF EAGLE, STATE OF COLORADO:
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THAT,the"Eagle County Affordable Housing Guidelines,August 1,2023",a copy of which
is attached hereto as Exhibit "A" and incorporated herein by reference, are hereby adopted and
approved; and
THAT, said 2023 Eagle County Affordable Housing Guidelines replace and supersede all
previous Eagle County local resident affordable housing guidelines; and
THAT,the Board hereby finds, determines and declares that this Resolution is necessary
for the health, safety and welfare of the citizens of Eagle County.
MOVED,READ AND ADOPTED by the Board of County Commissioners of the County
of Eagle, State of Colorado, at its regular meeting held this 1 stth day of August, 2023.
DocuSigned by:
1Q COUNTY OF EAGLE, STATE OF
COLORADO, By and Through Its
°L°^^°° BOARD OF COUNTY COMMISSIONERS
ATTEST: DocuSigned by: DocuSigned by:
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Clerk to the Board of KathyChandler-Henry
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County Commissioners Chair
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Jeanne McQueeney
Commissioner
DocuSigned by:
By: Ault Sacu r
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Matt Scherr
Commissioner
Commissioner McQueeney seconded adoption of the foregoing resolution. The roll having
been called,the vote was as follows:
Commissioner Chandler-Henry Aye
Commissioner McQueeney Aye
Commissioner Scherr Aye
This Resolution passed by 3/0 vote of the Board of County Commissioner of the County of
Eagle, State of Colorado.
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EXHIBIT A
Eagle County Affordable Housing Guidelines
August 1, 2023
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Eagle County Affordable Housing Guidelines
August 1, 2023
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Table of Contents
Chapter 1 - Need and Purpose of These Guidelines 3
1.01 Eagle County's Need for Housing 3
1.02 Purpose of the Guidelines 5
1.03 Applicability 5
1.04 Eagle County Affordable Housing Guidelines: Administrative Procedures 5
Chapter 2 - Definitions 6
Chapter 3 - Requirements for Affordable Housing 8
3.01 Mitigation for Residential Developments (Inclusionary Housing) 8
3.02 Mitigation for Commercial Developments (Commercial Mitigation) 8
3.03 Mixed Use Developments 9
3.04 Small Residential Developments 9
3.05 Residential Lots 9
Chapter 4-Acceptable Methods of Affordable Housing Mitigation 9
4.01 Price Capped For Sale Housing 10
4.02 Affordable Rental Housing 10
4.03 Resident Occupied For Sale Housing 10
4.04 Land Donation 11
4.05 Off Site Development 11
4.06 Payment in Lieu 11
4.07 Affordable Housing Credits 11
4.08 Other Public Benefits 12
4.09 Price Gap Funding for Habitat For Humanity 12
4.10 Other Public Benefits 12
Chapter 5 - Housing Plan 13
Chapter 6 - Miscellaneous Provisions 14
6.01 Deed Restrictions 14
6.02 Unit Quality and Design 14
6.03 Affordable Housing Bedroom Mix and Size 14
6.04 Initial Sales and Marketing of Affordable Housing Units 14
6.05 Timing of Affordable Housing 14
6.06 Replacement Housing 14
6.07 Incentives for Exceeding the Guidelines 15
6.08 Liberal Construction 15
6.09 Severability 16
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6.10 Modification 16
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Chapter 1 - Need and Purpose of These Guidelines
1.01 Eagle County's Need for Housing
Eagle County faces a gap in the availability of ownership and rental housing that is
affordable for local residents. Residents are burdened by high housing payments.
Employees are forced to commute long distances. Overcrowding and substandard living
conditions are common. The short term rental and second home owner markets are
increasingly popular, so put additional pressures on the primary resident housing
inventory. According to the annual workforce survey, employers believe that the availability
of workforce housing is a critical or major problem in Eagle County. The most recent
survey, conducted in 2020, shows two thirds of employers believe that finding housing is
difficult for their employees. These findings have been consistent over the last 10 years.
Housing problems have long been recognized in Eagle County. Eagle County commissioned
housing needs assessment studies, which were completed in 1990, 1999, 2007, 2012 and
2018, which demonstrate these housing needs for primary residents.As detailed more fully
in Eagle River Valley Housing Needs and Solutions 2018 report, the current state of Eagle
County's housing need is as follows:
• 2019 estimates show Eagle County has 34,091 housing units. Of these, 19,632 are
considered primary residents';
• The 43% of units not occupied as primary residences are typically owned by second
homeowners for seasonal and recreational uses;
• Approximately 6,150 primary households (35%) pay more than 30% of their income
for housing, 48% of renters and 29% of owners, making it difficult for those
Households to pay for other necessities, like food, utilities, transportation, and
health care;
• Since 2007, median household income has increased 6%while home prices increase
20% and rental rates have increased 48%;
• 9% of the workforce commutes from outside the valley;
• In 2019, unemployment in Eagle County was 2.4%.
• Eagle River Valley employees have a weekly wage $220 lower than employees in
Colorado overall.
The following bullets highlight the need for additional housing units based upon the Eagle
River Valley Housing Needs and Solutions 2018 report:
• In 2020, the total housing need is projected at 4,030 homes. The gap not served by
the market(requiring a subsidy) is estimated around 2,450;
• By 2030, the total housing need is projected to reach 7,970 homes.
• Growth in the number of retirees staying in place generates the demand for 110
housing units annually; and
• The fastest growing occupations will continue to be in the accommodations, food
Primary Secondary Residential Housing Analysis June 2019
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service, and retail sectors. These jobs typically pay wages below $31,000/year or
about 50%AMI for a single person.
• Many municipalities throughout the valley have their own housing programs, which
work to increase the supply of housing units for employees through various
methods.
Approximately 17% of Eagle County's population resides in the Roaring Fork Valley, mainly
in the Town of Basalt and the El Jebel area. The Roaring Fork Valley faces similar challenges
to the Eagle River Valley in providing housing for its residents. The following bullets
highlight the need for additional housing units in the Carbondale and Basalt areas, which
include Eagle County communities in the Roaring Fork Valley, based upon the Greater
Roaring Fork Regional Housing Study 2019 report:
• In 2017, the Basalt area had a need of 956 units priced for incomes 80% AMI and
below. By 2027, the need is estimated to grow to 1,614 units priced for incomes
120%AMI and below.
• In 2017, the Carbondale area had a need of 591 units priced for incomes 60% AMI
and below. By 2027, the need is estimated to grow to 615 units at 60% AMI, 128
units between 60-80%AMI, 52 units between 101-120%AMI and 264 units 121-140%
AMI.
Despite the documented demand for workforce housing units, private developers have
little incentive to provide housing for Households with incomes of 100% or less of the Area
Median Income because responding to demand for high end and second homes is more
profitable. The exceptional quality of life, natural beauty and abundance of recreation
opportunities in Eagle County, coupled with limited land resources, means that demand for
and availability of housing will continue to keep prices beyond the reach of median income
Households.
The Eagle County Comprehensive Plan2 (the "Comprehensive Plan"), adopted December 7,
2005, acknowledged the many negative implications of an imbalance between the amount
of housing needed to sustain Eagle County's workforce and the supply of housing that
employees can afford. Eagle County's labor shortages and forced commuting to homes
outside of Eagle County materially degrade quality of service, the economy, the natural
environment, traffic, and the character of local communities.
The Comprehensive Plan delineates two primary goals regarding housing:
1. Housing is available and affordable for no less than 70% of Eagle County's
workforce.
2. Housing needs are clearly identified, and housing types are appropriately balanced
to meet all community needs, appropriately located to reduce long distance
commutes, and appropriately managed to assure long term affordability for Eagle
County's workforce.
2 www.eaglecounty.us/planning
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The Comprehensive Plan contains 16 policies for housing with 88 specific strategies
recommended to implement them. The strategies seek to divide the responsibility for
housing calling upon Eagle County's municipalities, private developers, non-profit
organizations, financial institutions, and employers to work with Eagle County Government
to achieve the housing goals. For example, Policy N of the Comprehensive Plan provides
that development should share responsibility for fulfilling Eagle County's workforce housing
needs. Associated strategies include:
• Mandate that attainable workforce housing be considered part of the required
infrastructure for all new development applications.
• Continue to utilize inclusionary housing and commercial mitigation as defined in the
housing guidelines in the review of development applications.
1.02 Purpose of the Guidelines
The Eagle County Affordable Housing Guidelines(the"Guidelines") are intended to promote
sustainable communities in Eagle County through the creation of permanently affordable
housing stock. The Guidelines recommend the provision of For Sale Housing for
Households earning between 100%-140% of the area median income ("AMI"), which are
households that have little or no opportunity to purchase market rate housing without
significant subsidy. The Guidelines encourage the building of rental units that are
affordable to Households earning 100% or less of AMI. The Guidelines also offer options for
providing housing priced for local residents with incomes greater than 140% AMI since
market rate housing opportunities for these Households are also limited in terms of unit
type and location.
The Guidelines' will assist in implementing specific strategies of the Comprehensive Plan
that call for private development to share in the responsibility for keeping up with future
demand for workforce housing by including such housing in all new residential and
commercial growth. The Guidelines are one part of Eagle County's broader solution of
making housing available and affordable to Eagle County's growing workforce, retirees, and
special needs populations.
Through the Guidelines, Eagle County seeks to reduce the number of Cost Burdened
Households (as defined below) in the county, maintain the relationship between Primary
Residences (as defined below) and vacation homes, preserve community character and
vitality, and keep the negative impacts associated with a commuting workforce from
worsening. It is Eagle County's belief that jobs and housing should be located in close
proximity whenever possible.
3 Terms that are capitalized in Chapter 1 are defined in Chapter II, below.
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1.03 Applicability
The Guidelines set forth the minimum recommendations for housing mitigation for
Development Permits (as defined below) for all Commercial Development that creates
more than three jobs and all Residential Development which would result in the creation of
more than three residential units or lots which are located in unincorporated Eagle County.
Governmental and nonprofit entities must also meet these Guidelines when seeking
approval for Development Permits. Provision of a Housing Plan (see Chapter 5)that meets
the minimum recommendations of these Guidelines does not ensure that an application
for a Development Permit will be approved by the County.
1.04 Eagle County Affordable Housing Guidelines:Administrative Procedures
The Eagle County Affordable Housing Guidelines: Administrative Procedures (the
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"Administrative Procedures") is the document that provides the technical procedures for
developing, purchasing, owning, selling, and renting Affordable Housing(as defined below).
The Administrative Procedures includes specific eligibility criteria, AMI levels, purchase
prices and rents, sale and leasing procedures, payment in lieu calculations, employment
generation rates and other information relevant to the development and operation of
Affordable Housing. The Administrative Procedures are to be read in conjunction with the
Eagle County Affordable Housing Guidelines, and are updated annually.
Chapter 2- Definitions
The terms, phrases, words, and clauses in the Guidelines shall have the meaning assigned
below. Any terms, phrases, words, or clauses not defined herein will have the meanings as
defined in the Eagle County Land Use Regulations or the Eagle County Affordable Housing
Guidelines:Administrative Procedures.
Affordable Housing: All deed restricted housing units regardless of price. Units may
include Price Capped For Sale Housing, Price Capped Rental Housing, Resident
Occupied For Sale Housing, and Resident Occupied Rental.
Affordable Housing Credits: Credits that exist and may be awarded in the BoCC's sole
discretion for Projects that exceed the requirements standards set forth in the
Guidelines and which may be bought, sold and accepted as a mitigation method
pursuant to the Guidelines.
Affordability Gap: The difference between the median home price in each Eagle County
community (as defined by zip code) and the average buying power of a typical
household in that community, as provided for in the Administrative Procedures.
Area Median Income ("AMI"): The estimates of median household income compiled and
released annually by the United States Department of Housing and Urban
Development.
Board of County Commissioners ("BoCC"): The Board of County Commissioners for Eagle
County, Colorado.
Commercial Development: Any development that is not a Residential Development that
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would result in the creation of more than three jobs and for which a Development
Permit is required. Institutional uses such as government buildings, schools,
hospitals, churches and other religious institutions, and facilities operated by
non-profit service agencies are considered Commercial Development for purposes
of these Guidelines.
Commercial Mitigation: The provision of Affordable Housing to house employee growth
created by Commercial Development.
Comprehensive Plan: The plan officially adopted by Eagle County that sets forth the
recommendations and policies for guiding future growth and development, while
providing for the public's health, safety, and general welfare. The Comprehensive
Plan also incorporates community sub area plans adopted for particular areas of the
county and functional plans, such as those addressing particular issues of concern
to the county(trails, open space, housing, etc.)
Cost Burdened Household: A Household that is paying more than 30% of its income for
housing costs.
Development Permit: Any preliminary or final approval of an application for rezoning,
planned unit development, amendment of an existing planned unit development,
special use permit, subdivision, or similar application for new construction.
Applications for a building permit where no previous approval included Affordable
Housing mitigation shall not be considered a Development Permit for the purpose
of these Guidelines.
Eagle County Housing and Development Authority ("ECHDA"): A body corporate and
politic whose primary purpose is to increase the supply of Affordable Housing in
Eagle County.
Eligible Household: A Household that meets the criteria set forth in the Administrative
Procedures.
Household: All individuals who will occupy a unit regardless of legal status or relation to
the owner or lessee.
Housing Plan: A written plan submitted to Eagle County describing how the applicant will
satisfy the minimum recommendations of the Guidelines.
Inclusionary Housing:The provision of Affordable Housing in Residential Developments to
ensure adequate housing stock for local residents and to maintain or increase the
current ratio of primary to secondary home ownership.
Initial Sales Price:The maximum price for which a Price Capped For Sale Housing unit may
be initially sold, as provided for in the Administrative Procedures.
Land Use Regulations: The regulations officially adopted by Eagle County, which govern
land use in unincorporated areas of Eagle County.
Maximum Rental Rate: The maximum monthly rent payment for an Price Capped Rental
Housing unit, as provided for in the Administrative Procedures. All ongoing fees
required to be paid by the resident (including but not limited to utilities and
mandatory parking fees) must be included within the Maximum Rental Rate.
Off Site Development: The development of Affordable Housing units in a location outside
of the Project boundaries.
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Other Public Benefits: Items that may, in the BoCC's sole discretion, offset a portion of a
Project's recommended Affordable Housing mitigation.
Payment in Lieu: A payment made to the ECHDA to satisfy a Project's recommended
Affordable Housing mitigation.
Price Capped For Sale Housing: Housing subject to a deed restriction requiring that the
Housing meet Initial Sales Prices, resale price appreciation limits, quality, and other
criteria set forth in the Guidelines and Administrative Procedures.
Price Capped Rental Housing: Rental housing subject to a deed restriction requiring that
the Housing meet Rental Rate Restrictions, quality, annual compliance and other
criteria set forth in the Guidelines and Administrative Procedures.
Primary Residence: The residence in which an owner or renter lives for at least 9 out of
any 12 months.
Program Administrator: The administrator of the Eagle County Affordable Housing
Guidelines and Administrative Procedures. The Program Administrator shall be the
Eagle County Housing Director unless the BoCC appoints another person.
Project: A Commercial or Residential Development for which a Development Permit is
required.
Rental Rate Restrictions: The maximum rental rate for which a Price Capped Rental
Housing unit may be leased, as provided for in the Administrative Procedures.
Resident Occupied For Sale Housing: Housing subject to a deed restriction requiring that
the Housing be owned and occupied by an Eligible Household as its Primary
Residence as set forth in the Guidelines and Administrative Procedures.
Resident Occupied Rental Housing: Rental housing subject to a deed restriction requiring
that the Housing be occupied by an Eligible Household as its Primary Residence as
set forth in the Guidelines and Administrative Procedures.
Residential Development: Any Project that would result in the creation of more than
three residential units or lots and for which a Development Permit is required.
Subdivided land resulting in parcels of at least 35 acres in size on which residential
development is proposed consistent with applicable zoning is excluded from the
definition of Residential Development.
Small Residential Development: A Residential Development comprising 4-10 residential
units.
Sustainable Communities Index: A regulatory points-based finding for all new
subdivisions, zone changes, and special uses that encourages compact, efficient,
mixed use, pedestrian friendly design integrated with surrounding uses and which
minimizes environmental impacts.
Square Footage: A calculation of size including all habitable interior space, excluding
garages and mechanical spaces, measured from the exterior of the wall.
Chapter 3 -Recommendations for Affordable Housing Mitigation
3.01 Mitigation for Residential Developments (Inclusionary Housing)
In order to address the issue of Cost Burdened Households and slow the shift from primary
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to secondary home ownership, Eagle County has set the minimum recommended
mitigation rate for Inclusionary Housing in Residential Developments at the higher of 1)
25% of the total residential units in a Project or 2) 15% of the total residential Square
Footage of a Project. The mitigation calculation should be made using the total number of
units or lots proposed in the Project.
This Inclusionary Housing mitigation rate is below the 57% of residential units in Eagle
County that are currently occupied by local residents. Eagle County believes the lower
mitigation rate is reasonable because not all local residents desire to live in Affordable
Housing.
3.02 Mitigation for Commercial Developments(Commercial Mitigation)
To support persons employed by businesses located in new Commercial Development in
locating affordable housing near their jobs, a new Commercial Development should
mitigate the impact on Eagle County's housing stock by providing Affordable Housing for at
least 45% of the new employees generated by the Project that will earn less than 140% of
AMI. The Affordable Housing demand generated by a Commercial Development shall be
determined by job creation. When the Commercial Development's building type and size is
known, the job creation. rate will be calculated with adjustments for multiple job holding,
multiple employees per Household, and the average size of all deed restricted housing
units throughout Eagle County, as provided for in the Administrative Procedures. When the
Commercial Development does not include a building or applicable type, Commercial
Developments will be required to provide a job generation analysis. No mitigation is
required for existing jobs at the site to be developed. The Affordable Housing mitigation
will be calculated in total Square Footage proposed in the Project. The applicant can choose
to provide the total Square Footage in any combination of size and number of units subject
to section 6.03 of the Guidelines.
This 45% mitigation rate is less than the percentage of cost burdened renters in Eagle
County.
3.03 Mixed Use Developments
Eagle County typically encourages mixed-use developments. If both Commercial Mitigation
and Inclusionary Housing apply because the application for a Development Permit contains
a mix of Commercial Development and Residential Development, then the calculation
(Commercial Mitigation or Inclusionary Housing) that yields the higher amount of
Affordable Housing units will apply.
3.04 Small Residential Developments
Small Residential Developments may be exempt from Inclusionary Housing requirements if
the Square Footage of the residential units in those developments is equal to or smaller
than the average size of a deed restricted housing unit in Eagle County. The Inclusionary
Housing mitigation will apply to the amount of Square Footage in excess of the average size
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of a deed restricted housing unit in Eagle County, as provided for in the Administrative
Procedures. Accessory dwelling unit Square Footage will count in a unit's total Square
Footage calculation, but will not be considered an additional unit, this is consistent with
policies included in the Land Use Regulations.
3.05 Residential Lots
When an applicant for a Development Permit seeks only to create residential lots, the
Inclusionary Housing mitigation should be based on the number of such lots, each of which
will count as one unit.
Chapter 4-Acceptable Methods of Affordable Housing Mitigation
In an effort to provide the flexibility necessary for the development industry, an applicant
for a Development Permit may choose to meet the Guidelines in the following ways, all of
which are subject to approval by the BoCC in its sole discretion.
1. Price Capped For Sale Housing with a maximum Initial Sales Price set at or below
100% - 140% AMI affordability level, subject to a deed restriction. Initial Sales Prices
must vary within the range.
o Price Capped For Sale units will be valued double (2x)when analyzing if/how
Housing Plans meet recommended minimum mitigation rates.
2. Price Capped Rental Housing subject to a deed restriction requiring rents to be set
at or below 80%-100% AMI affordability level. Rental rates must vary within the
range.
o Price Capped Rental units will be valued double (2x) when analyzing if/how
Housing Plans meet recommended minimum mitigation rates.
3. Resident Occupied For Sale Housing, subject to a deed restriction limiting
occupancy and resale without regard to AMI.
o Resident Occupied For Sale units will be valued as one unit (1.0x) when
analyzing if/how Housing Plans meet recommended mitigation rates.
4. Resident Occupied Rental Housing, subject to a deed restriction requiring
occupancy only by eligible households.
o Resident Occupied Rental units will be valued one-half(0.5x) when analyzing
if/how Housing Plans meet recommended minimum mitigation rate
5. Land Donation as a donation of developable land to ECHDA within a reasonable
vicinity of the applicant's project.
o Land donation will be valued singularly (1.0x)when analyzing if/how Housing
Plans meet recommended mitigation rates..
6. Off Site Development will be valued singularly (1.0x) when analyzing if/how
Housing Plans meet recommended mitigation rates.
o Off site location may not have a higher Affordability Gap than the
development site.
7. Payment in Lieu may be made to ECHDA.
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8. Affordable Housing Credits, if available.
9. Price Gap Funding, as a provision of gap funding for Habitat for Humanity Vail
Valley or Habitat for Humanity Roaring Fork Valley.
10. Other Public Benefits may be provided to offset some portion of Affordable
Housing.
The BoCC, in its sole discretion, may approve additional methods of mitigation which the
BoCC determines meet the purpose and intent of these Guidelines, including but not
limited to a Project's provision of an on-going funding source to the Eagle County Housing
and Development Authority.
Where a formula indicates that a portion of a unit is to be provided, an applicant may
choose to either round up to the next whole number or make a corresponding payment in
lieu for the portion of the unit required.
4.01 Price Capped For Sale Housing
Price Capped For Sale Housing should have the following characteristics:
• The Initial Sales Price no greater than that which is affordable to Households
earning no more than 100%-140%AMI.
• The units should be a spectrum of types and sizes and should be consistent with
market rate units and market demand, as such need is demonstrated by a recent
market analysis.
• Deed restrictions shall be perpetual, in favor of ECHDA and shall include all material
terms as outlined in the Administrative Procedures.
4.02 Price Capped Rental Housing
Price Capped Rental Housing should have the following characteristics:
• Rents are set at or below rates that are affordable to Households with incomes no
greater than 80%-1 00%AM I.
• Prohibition on Short Term Rentals whose definition can be found in Administrative
Procedures.
• Deed restrictions shall be perpetual, in favor of ECHDA or other acceptable agency
such as the Colorado Housing and Finance Authority or the US Department of
Housing and Urban Development, and shall include all material terms as outlined in
the Administrative Procedures.
4.03 Resident Occupied For Sale Housing
Resident Occupied For Sale Housing should have the following characteristics:
• Sales prices for Resident Occupied For Sale Housing are not limited.
• A spectrum of unit sizes and pricing responsive to market demand is encouraged.
• Deed restrictions shall be perpetual, in favor of ECHDA and shall include all material
terms as outlined in the Administrative Procedures.
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4.04 Resident Occupied Rental
Resident Occupied Rental Housing should have the following characteristics:
• Rental rates for Resident Occupied Rentals are not limited
• Occupants for Resident Occupied Rentals must be Eligible Households
• Prohibition on Short Term Rentals
• Deed restrictions shall be perpetual,in favor of ECHDA or other acceptable agency
such as the Colorado Housing and Finance Authority or the US Department of
Housing and Urban Development, and shall include all material terms as outlined in
the Administrative Procedures.
4.05 Land Donation
An applicant may satisfy its Affordable Housing mitigation through a conveyance of land to
ECHDA. The BoCC, in its sole discretion, will decide whether to accept land offered in lieu
of an applicant's Affordable Housing mitigation.
The land conveyed should have the following characteristics:
• Land shall be free of all liens and encumbrances upon transfer to ECHDA.
• The Land should be capable of supporting the applicable number of Affordable
Housing units.
• Land should be located close to job centers, walkable, and walkable to transit and
reduce environmental impacts.
• Land should be buildable, have suitable soils and drainage, and should not be within
an area that has potential geologic hazards associated with development.
• Land should serve the needs of Affordable Housing residents for reasons including,
but not limited to conformance with comprehensive and master plans, high scoring
on the Sustainable Community Index, site location, and proximity to public transit.
• The BoCC may consider a redevelopment opportunity under the Land Donation
mitigation type.
4.06 Off Site Development
Affordable Housing should generally be provided on site. However, exceptions to this
preference include Project sites in rural locations inconvenient to employment centers and
public transit, or Commercial Development that involves hazardous substances and
impacts not compatible with residential uses and affordable housing partnership
opportunities. The applicant may also propose to locate Affordable Housing off-site if the
off-site location has a higher Affordability Gap than the Project site.The Affordability Gap is
provided in Administrative Procedures.
Applicants are strongly discouraged from proposing off-site Affordable Housing primarily to
reduce costs.
4.07 Payment in Lieu
An applicant may satisfy all or part of its Affordable Housing mitigation by making a
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Payment in Lieu of providing the units. The Payment in Lieu will be calculated as follows:
• The Payment in Lieu represents the difference between prevailing market prices in
Eagle County and the maximum Initial Sales Price at 100% AMI, plus a 15%
administrative fee.
• The Program Administrator should update these requirements annually based on
the prior year's median sales price per square foot, the current maximum Initial
Sales Price for a family of three earning 100% AMI, and the average size of all
existing deed restricted housing units throughout Eagle County.
• The purpose of the administrative fee is to offset the increased cost to ECHDA of
managing the development of Affordable Housing.
The Payment in Lieu amount shall be set at the time of approval of the application and shall
be included in the Housing Plan. All Payment in Lieu amounts shall be paid to ECHDA prior
to the issuance final plat for the Project.
4.08 Affordable Housing Credits
Applicants who build more than the minimum amount of Affordable Housing required by
the Guidelines may be awarded, in the BoCC's sole discretion, Affordable Housing Credits
("Credits")that can be used to offset future Affordable Housing obligations.
• Credits may be awarded in an amount equal to the amount of Affordable Housing
Square Footage supplied in excess of the minimum amount of Affordable Housing
required.
• Credits can only be redeemed in the same sub area master planning area as the
previously built Affordable Housing.
• Credits will only be awarded, if at all, when the Affordable Housing is complete.
The applicant must provide a certificate of occupancy and proof of occupancy by
an Eligible Household prior to issuance of the Affordable Housing Credits by Eagle
County.
• Credits shall have an expiration date 5 years from issuance.
• Credits are transferable.
• Affordable Housing Credits existing at the time of the approval of these Guidelines
can be redeemed in any location within unincorporated Eagle County.
4.09 Price Gap Funding for Habitat For Humanity
Applicants may provide Price Gap Funding to Habitat for Humanity. The price gap is the
difference between the Maximum Initial Sales Price which is affordable to households
earning 100% AMI and Habitat for Humanity's initial price capped sales price.The price gap
will be calculated by Habitat for Humanity and ECHDAwill approve of the methodology and
calculation of the price gap.
• Applicants developing in the Eagle River Valley may only provide price gap funding
to Habitat for Humanity Vail Valley. Applicants developing in the Roaring Fork Valley
may only provide price gap funding to Habitat for Humanity Roaring Fork Valley.
• The Price Gap Funding should provide the funds to develop enough units to meet
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recommended minimum mitigation rates.
• The BoCC, at its sole discretion, may award additional value to Habitat for Humanity
units for achieving a more affordable initial sales price.
• Habitat for Humanity units funded by Price Gap Funding should be constructed as
concurrently as possible with the applicant's project.
4.10 Other Public Benefits
The BoCC, in its sole and exclusive discretion, may consider Other Public Benefit proposals
to offset an applicant's Affordable Housing mitigation.
• No more than 30% of recommended Affordable Housing mitigation may be offset by
Other Public Benefits.
• To be counted as Other Public Benefits, an applicant should show that its proposal
is not solely for the use of the Project's residents or owners. Project amenities
(parks, open space, recreation path, health/fitness centers, pools intended only for
project use)will not be counted as Other Public Benefits.
• Other Public Benefits should be over and above what is otherwise required to
obtain approval of the Project, including but not limited to the Sustainable
Community Index, as may be amended from time to time.
• Other Public Benefits may include but are not limited to public parks and trails that
close an existing gap in connectivity, opportunities for local food production, access
to streams, rivers and public lands in locations with minimal to no access,
rehabilitation and preservation of rivers and public lands and opportunities for
educational programs including those in underserved and underrepresented
communities.
Chapter 5 - Housing Plan
In order for an application for a Development Permit, which triggers the Housing
Guidelines, to be deemed sufficient, an applicant shall submit a clear, concise, and
complete Housing Plan, which has been approved by the Program Administrator.
Compliance with the Housing Plan will be a condition of approval for the Development
Permit.
At a minimum, the Housing Plan should contain the following information, as applicable:
• 1. Total estimated amount of Square Footage in any Residential Development;
2. Total estimated number of market rate units and Affordable Housing units.
3. Details regarding how the Guidelines will be met, including units types, Square
Footage, number of bedrooms per unit, targeted income category, and Initial Sales
Prices;
4. Total estimated Square Footage of any Commercial Development, estimated
number of employees generated from the development, wage information
regarding the jobs being generated;
5. Estimated average lot size of proposed Affordable Housing and average lot size of
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market rate housing units, as applicable;
6. Estimated location of proposed Affordable Housing within the Project, by unit type
and size;
7. Estimated proposed production schedule of Affordable Housing and market rate
units, including issuance of building permits or other acceptable triggers;
8. Concept for marketing to Eligible Households that may be eligible for the Affordable
Housing;
9. Any proposed alternative methods of compliance with these Guidelines; and
10.Any other information deemed to be relevant by the Program Administrator.
The Housing Plan will be recorded against the Project property in the records of the Eagle
County Clerk and Recorder at the time the Development Permit is granted. Any
amendment of the Housing Plan will constitute an amendment to the Development Permit
and would require BoCC approval.
Chapter 6 - Miscellaneous Provisions
6.01 Deed Restrictions
All Affordable Housing units shall be subject to deed restrictions, which shall be recorded in
the records of the Eagle County Clerk and Recorder. All deed restrictions must comply with
these Guidelines and the Administrative Procedures and shall be in a form approved by the
Program Administrator and the Eagle County Attorney's Office.
6.02 Unit Quality and Design
Affordable Housing shall meet the requirements of all Eagle County Land Use Regulations
and local building codes. Affordable Housing units should be architecturally compatible
with surrounding uses. Exterior and interior finishes should not be substantially inferior to
the materials used on market rate units. Provision of adequate storage space is strongly
recommended and encouraged.
Enhancing the long term affordability of Affordable Housing through designs that reduce
utility costs is strongly encouraged and conversely, amenities that are costly to operate are
strongly discouraged. Units must meet minimum ECO Build Standards or other efficient
building standards as might be amended and as provided for in the Eagle County Land Use
Regulations. Affordable Housing design must address livability, maintenance, health, safety
concerns, climate, lifestyle, and needs of the types of Households the units are intended to
serve. To enhance livability, balconies, decks, small yards, or other onsite outdoor spaces
are also encouraged.
Micro, shared, co-housing units and accessory dwelling units will be considered Affordable
Housing Units under these Guidelines.
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6.03 Affordable Housing Bedroom Mix and Size
While there are no specific bedroom mix or size requirements for Affordable Housing units,
the applicant is expected to analyze market demand and to propose a mix that is
responsive and appropriate to that demand.The bedroom mix and size will be approved by
the Program Administrator as part of the Housing Plan. A market analysis should be
provided to the Program Administrator prior to starting construction on the Affordable
Housing units. Affordable Housing units larger than 3,000 Square Feet will only receive
credit of 3,000 Square Feet when calculating Affordable Housing mitigation.
6.04 Initial Sales and Marketing of Affordable Housing Units
An applicant may be responsible for the initial sales and marketing of the Affordable
Housing units in its Project or it may choose to contract with The Valley Home Store. The
Program Administrator shall have the right to review the terms of each sale for compliance
with the Guidelines.
6.05 Timing of Affordable Housing
All required Affordable Housing units should be provided prior to, or concurrently and
proportionally with, the production of a Residential Development's market rate housing, or
production of Commercial Development as measured by recording of the Final Plat, unless
an approved Housing Plan provides otherwise.
6.06 Replacement Housing
Applicants are prohibited from using units built as replacement of housing affordable to
Households earning less than 100% AMI toward satisfaction of Inclusionary Housing or
Commercial Mitigation requirements. Any such Affordable Housing destroyed in the
development process should be replaced with units of similar affordability and size, in
addition to the applicant's obligations under these Guidelines.
6.07 Incentives for Exceeding the Guidelines
If an applicant provides a combination of mitigation methods that exceed the minimum
recommendations for Inclusionary Housing or Commercial Mitigation, the BoCC, in its sole
discretion, may offer the following incentives:
• Public-private partnerships: Eagle County and/or the ECHDA may participate or
facilitate participation with other governmental entities regarding financing,
granting, tax exemption and/or purchasing of Affordable Housing units or other
participation as agreed to by the parties.
• Public funding assistance: Eagle County and/or the ECHDA may assist with the
application process for applicants who decide to pursue funding assistance from
local, state or federal agencies. Eagle County and/or the ECHDA may also choose to
use funds to match state, federal, or private grants.
• Priority permitting: Eagle County Community Development Department is utilizing
the "Exceeding Housing Guidelines LUR Process Incentive." This policy formalizes
how Eagle County may prioritize review of the Project through various procedures
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such as subdivision, PUD Sketch Plan, PUD Preliminary Plan, Special Use Permit, or
building permit. To qualify for priority permitting, the applicant must submit a
complete land use application and must have made reasonable efforts to anticipate
and address any known concerns with any and all referral agencies that have an
interest in the Project.
Applicants may take advantage of this incentive if their application for a
development permit contains a housing plan that exceeds the recommended
mitigation rates set forth in Chapter 4 by providing priced-capped deed
restricted units equal to or greater than a 50% mitigation rate. Additional
value for price capped units will still be calculated.
• Density bonus: As part of any application for a Development Permit for a
development, Eagle County may offer a density bonus.
• Site design flexibility: Provided that the standard of housing or the purpose and
intent of the Guidelines are not compromised and the Eagle County Land Use
Regulation provide appropriate authority for variations, and provided the design of
the Project achieves other Eagle County strategic sustainability policy goals, Eagle
County may consider flexible application of design standards including, but not
limited to minimum lot size, building height, floor area ratio (FAR), lot coverage, set
backs, parking, and landscaping.
• Road impact fee waivers: The BoCC may waive Eagle County imposed road impact
fees for Affordable Housing units in accordance with the provisions of the Eagle
County Land Use Regulations and state statute.
• Other fee waivers: The BoCC, in its sole and absolute discretion, may waive any
other fee required by the Eagle County Land Use Regulations for Affordable Housing
units.
6.08 Liberal Construction
These Guidelines shall be liberally construed so as to further their intent and purpose.
6.09 Severability
If any provision, clause, sentence, or paragraph of the Guidelines or the application thereof
to any person or circumstances shall be held invalid, such invalidity shall not affect the
other provisions of the Guidelines that can be given effect without the invalid provision or
application, and to this end the provisions of the Guidelines are declared to be severable.
6.10 Modification
These Guidelines may only be modified by the BoCC in a public hearing on the record. The
Administrative Procedures may be amended by the Program Administrator in a manner
consistent with the terms and intent of the Guidelines without BoCC approval.
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