Feb 02, 2021 City Council on 2021-02-02 2:00 PM

Good afternoon and welcome to this meeting of the Denton City Council this is a regularly scheduled meeting and we do have a quorum today's date is Tuesday February 2nd the time is 2 2 0 1 p.m. and we will call a meeting order the first thing on the agenda is before the work session is or kind of in the work session portion is questions about the consent agenda I don't think we have any comments on the consent agenda so that takes us to questions uh Councilmember Meltzer yes I'd like to pull E and G for a presentation okay anything in particular you're looking for in that presentation um no just I need a better understanding an opportunity for discussion okay okay anyone else questions on the consent agenda seeing none okay well we will move on to the first work session item which is uh section three work session reports item a id 281844 uh receive report and hold discussion and give staff direction regarding an affordable housing assessment report for the city of Denton providing provided by uh reinvestment fund inc afternoon mayor and council Danny Shaw community services mayor before we started just wanted to check in with you we have a pretty lengthy presentation so I was thinking that we might pull it down between the uh the needs assessment and the MVA and then after the MVA before staff to allow council members for discussion that's all right with you certainly yeah and we'll kind of I'll take your lead on that and then we'll compartmentalize compartmentalize those questions to what you've presented and then overview discussion afterwards all present presented sounds great thank you I'm going to share my screen and then just let you know that I'll be turning it over to your consultants in the middle of the slides okay all right and before we jump into the full presentation I did want to because we do have new council members wanted to give a quick overview of some of the programs that we have in the community already so that they're aware as we're having this discussion about what's already available so within community services we have a few functions a lot of our work is around the affordable housing space already where our goals are to acquire create or preserve affordable housing the community currently we do that through a couple different ways we do partner with our non-profit developers like the didn't affordable housing corp and habitat for humanity through our federal funding programs we allocate dollars for their projects in order to either create or preserve affordable housing now us council has approved enough housing tax credit policy and program that you'll see later on in another work session but that gives you the the information that you need to help make decisions on whether or not to support housing tax credits and you have also approved a development fee grant program that assist our non-profits and non-profit developers with affordable housing and non-profit facilities we also have internal programs that the city runs one of those is our homebuyers assistance program so we help for some home buyers with down payment assistance and repair on home for the purchase as well as our home repair programs and we do that in a couple different ways mine repair programs that help families with up to a ten thousand dollars in assistance major systems where we can help the household with a major system to repair like hvac system or electrical system up to 25,000 and we can also renovate and reconstruct which is what ivy is today on your agenda as well we also partner with our non-profits in the community to make sure that there's funding available in support of social services those projects range in a variety of different areas from health care to child care and on down our different community needs and then much of our work is also around around improving neighborhoods so some of the funding that we use for federal federal dollars goes towards improvements to public facilities like parks non-profits can also apply for improvements to their facilities as they benefit the community or public infrastructure projects and then code enforcement we also do a lot of work around making sure the community has access to resources and some of that is just communication so on our website we provide an affordable housing rental list it's a gis map that helps folks locate different rental units that are available that are considered affordable we also help folks navigate fair housing where they feel like they're discriminated against we can help them file a complaint with hud and then we've provided a map in collaboration with easy ta that helps folks find different social services using a map that also co-locates them with a suitable bus route to get to that location so with that we're going to dive into the affordable housing needs and market value analysis i'm going to introduce our consultants who are on the call with us today emily dowdol is with the reinvestment fund we selected them as our partner in this particular project the reinvestment front is a national driven financial institution that uses capital analytics and expertise to help build strong and healthy and equitable communities one of the things that they're that the market value analysis does especially helpful to the city is that it helps support strategic investment so it looks at the different market strengths and helps us understand how to best allocate resources efficiently and effectively they partnered with atria on this project and atria is a woman on business that's with offices in philadelphia and san diego and rebecca welkenberg is representing atria today they were brought in because of the housing needs assessment component and their familiarity with the data that we also use for consolidated planning that helps us understand what the needs are in the community so i'm going to turn it over to them as we go through the process thank you hi good afternoon everybody um my name is emily dowdol um and i'm happy to be here today um good afternoon mr mayor and council members thank you for having us good afternoon and there's my video hello everybody um so we'll go do a quick overview of the project um we'll go through some of the key findings of our analysis well then we'll go into greater depth on the affordable housing needs assessment and then the market value analysis and finally we'll bring those all together and talk about how you might use all of our findings to select and apply affordable housing tools to meet the needs of dentin going forward so phase one of the project was information gathering and that included demographic and economic data analysis from a range of sources we also conducted stakeholder meetings and interviewer interviews um with key folks throughout on the housing and community development industry and dentin private public sector non-profit sector from the universities as well and finally we conducted a market value analysis then we took those findings and developed a data report that i believe was shared with all of you before this meeting that includes the analysis qualitative and quantitative data and what we found in terms of unmet needs and projected demand going forward the affordable housing supply workforce housing needs and a housing opportunity index the third phase has not been finalized defined yet but would include refining the recommendations that were discussed in the data report and implementation strategies um and for uh key findings i'm going to turn this over to rebecca hello everyone um so we're going to give a quick overview of what the key findings are and we'll delve into more detail within the respective sections um for the existing housing challenges we can start by saying that there is a limited supply of affordable homeownership and this is largely around the two hundred thousand dollar mark or less than 80 percent of area median income and a shortage of more deeply affordable rental units for what we can say workforce housing or workers in denton largely in the service industry or some of their lower wage earners and hospitals or city functions and that line is roughly nine hundred dollars per month so there's a limited supply of rental units below nine hundred dollars per month in particular any new construction it you're finding less at that price point um we're also seeing a shortage or we may see some challenges in housing for seniors or soon-to-be seniors whether that's homeownership affording repairs and taxes or low-income renters and what we're finding in particular is that this isn't just an equity issue but an economic development issue in that there are young professionals who are unable to purchase a home and necessary workers who are having challenges in finding affordable rental housing that may cause challenges with transportation and i think we can go to the next slide we're also seeing a very significant demand for new housing over the next five years based on several population projections very high growth predicted and based on that high growth there's going to be more demand for all types of housing we'll talk about this a little bit later a lot of the demand will be met by private market activity but some of the the lower end housing prices you're going to find that the private market is not as willing or as able to meet that need without some type of strategies and it's not all necessarily government subsidy it may be introduction introduction of more diverse types of housing through zoning and even city encouragement and also working with developers that can work outside of the box a little bit for rental housing most rental housing is built using the low-income housing tax credit but what we're finding in denton is that a lot of the workers earn less than what is affordable even with that program so a lot of the service industry workers may find that to be challenging so a lot of the solutions would be in more diverse housing stock and more creative financing strategies emily will talk quite a bit more about the market value analysis but as a summary the reinvestment funds work found seven distinct markets ranging in price between 140 000 to 400 000 and that there are opportunities for intervention or taking advantage of of what these markets have to offer and that one particular area in southeast denton is illustrating some signs of risk of displacement and we'll talk a bit at the end on what some of the available tools or strategies are and we'll also talk a bit about what the city's role is because as i mentioned previously you have private market you have non-profit developers you have the housing authority and then you have state and federal resources and so where does the city fit in that in terms of encouraging relationships and using its existing programs and zoning and so we can separate it through affordable rental and homeownership but i think there are some common threads here and that's financing being a little bit creative with financing strategies also we can call it working outside of the box but a lot of the innovative housing strategies are going back to traditions so smaller units backyard cottages potentially duplexes town homes some of these things that more historic communities have that offer a range of affordability without necessarily having subsidy and then working with partners so whether that's major employers or your housing authority or larger national or state non-profit developers that can that you can partner with for something a bit more more innovative are all possibilities and then here's a a snapshot again of the roles that we that each group plays and where the city can fit in that so the city does administer federal funding through hud and also has its own texas housing trust funds which i think danny will get into a bit more at the end and then we also have the the housing authority that can function as implementing policy but also as a potential developer and then you have non-profits and for-profits who can work in lending partnerships and development so there's a lot of different organizations and groups that the city can can partner with for public private development that can address housing needs and also improve the quality of life through development programs and with that we can jump into what were key findings for the housing needs assessment so a quick summary of the process there was a lot of data collection both public sources and private and then we refer to existing studies from the state and region and of course the consolidated plan that was recently completed we incorporated community feedback through open houses and stakeholder interviews we hosted online open houses two of them over the course of the the data collection process and then we developed a housing demand model using existing forecasts for population growth and historic income distribution and we we really tried to focus on affordability challenges around workers needs and this was influenced a lot by our stakeholder interviews and wanting to understand you know what are the prices that are needed what are the gaps based on what workers are earning and so we looked at the incomes at the 25th percentile for a variety of occupations and we found that there are a lot of service industry workers and lower wage earners in important sectors of the economy like health care like education like city government that are having challenges affording a typical one-bedroom apartment and so we're finding the generally the needs are below nine hundred dollars we were tracking the changes in home prices and they were pretty volatile post-covid so they've been ranging between nine hundred and fifty and eleven hundred dollars over this period of time and then for homeownership we're also the average price is around 250 000 I think that 200 there are enough supply at between 200 and 250 000 that that need can be met with existing stock but we're seeing the real gap at roughly less than two hundred thousand dollars and that's impacting not just what you would call you know workforce housing or low wage workers but there are a lot of entry level and professional jobs that would have a challenge affording homes at that price and we understand that the home prices have gone up significantly in the past decade particularly the past five years but a lot of that need can be addressed with diverse housing stock particularly because there are a lot of households that are smaller a lot of single person households that would be challenged before the single-family home and but still want to enter homeownership so you can address that need also with diverse housing stuff like the condo in the town home or even a duplex where you live in one unit and rent out the other additional source of income this is a snapshot on the current housing inventory what's key to note here is a pretty significant shortage in homes for sale we like to see roughly 1.5 percent in vacancy rate for homeownership so there's a severe shortage of available homes for sale and we also see it it's roughly a 50/50 split between homeownership and rental units a lot of that has to do with it being a college town and what we're seeing based on the forecast is there's going to be an increased growth in demand for homeownership units because not necessarily an expansion of university students but an expansion of people moving into dentin permanently next slide so we looked at the projected housing demand for renters and owners at different price points and again most of the demand is going to be at the market rate level and this is something that the private market generally takes care of so the areas that would be more concerned would be the demand for very low and workforce housing and this is an area where the city can play a key role in partnering with the non-profit and private markets to address that need and then we also looked at long-term demand in the next slide but that it's we didn't break it down by income because it's pretty hard to project that far out but based on statewide projections of population growth the city of dentin is slated to continue pretty significant growth over the next you know 15 years or 20 years so with that I don't know Dan if you want to stop for questions or move on to the nba portion of the study yeah we'll bring it down and let council members ask questions related to the needs assessment first and then we'll go into the nba if that's all right great thank you yes so questions about the the needs housing stock needs rental needs portion of the presentation any questions councilmembrometer yeah so you mentioned that that deeper subsidies are needed beyond you know the current lihtc can you elaborate more on that what our options would be for those for those deeper subsidies and where those those additional where the sources for that would come from I can speak a little bit to it and I think Danny will speak more a bit to it towards the end as well but they can be through lowering the the cost of the unit so if we're talking about permanent supportive housing or homeless housing there are alternative types of development that lower the cost of the unit itself including small homes or tiny home communities as one example accessory dwelling units and I know that Austin has a program where homeowners can place accessory dwelling units on their property at a much lower cost per unit than traditional stick built that would be one option they're also financing strategies in terms of additional subsidy through the housing trust fund through cdbg programs home programs using project-based vouchers and permanent supportive vouchers there are also vouchers through veterans affairs for extremely low-income veterans that are administered by the housing authority so that would be additional subsidy on top of construction costs where the the voucher would pay for market rent so the holder of the voucher would pay what they could afford and then the voucher would pay the difference those are just some of the examples I'm sure there there are more that are in use in Texas but I think those are some of the the common sources okay any other questions for staff okay I I did not uh note the page but I did want to start just with for those watching and for future reference could you kind of go over your analysis of the affordable housing kind of matrix so you touch on a percentage of income but then you say that holistically is not to be applied across because you touch on you know someone makes higher than 100 000 or 200 000 I forget the reference but then that skews that that so it's not a loan kind of that 30% of income going to housing but can you just at least touch on that the frame what we're talking about when we're talking when you did this analysis so that people are aware um I think I think I understand your question um so the idea that someone um what is affordable housing and that's uh generally uh we use hud's definition that's uh industry accepted where a household doesn't pay more than 30% of their uh pre-tax income on housing expenses so that's called a cost burden and extreme cost burden is paying more than 50% of your income we find that in some areas um someone who earns say a hundred thousand dollars would have a challenge in affording housing um with that salary because of the high cost of housing in denton it's more affordable than a market say san francisco or new york and so we're trying to find where that line is where people would have a challenge affording housing on the open market and we find that that line in denton is roughly 80% of ami for home ownership and 50% of ami for rental housing and so typically someone who earns at that amount or more um can afford or will find housing on the open market because the private market will be able to address that need or chooses to address that need because they are generating enough revenue to incentivize developers to build that um but at below that um we need some other solutions whether that's subsidy um to offset that cost or a different type of development um that costs less to meet that need okay i think that answers your question it does and sorry it was a bit convoluted but thank you very much so um counselor melzer you're muted sorry yep i was thank you uh so you projected a need i forget over what period of time for about 9400 uh affordable units uh but some of that will be met organically by the market you have a a forecast point of view on how much that will be met organically and sort of what's the what's the remaining delta to solve for yeah i i believe that projection was for for all units and then i believe the projection from recalling over that five years is i want to say roughly 2000 that's correct it'd be about 46 of the rental units that need to be generated would need to be affordable and then 20 of the homes would need to be considered affordable that the private market may or may not so so 9400 is the total number of units needed affordable or not correct from value and and and roughly half of those need to be affordable so let's call it uh 4,700 um and then of the 4,700 what do you forecast the the market will organically meet if we didn't change anything and what's left that you know we would need to solve for with a a policy you know or a set of policies i did the math for again it would be about 412 units a year that would be required for rental and about 200 units and housing that would need to be developed to be affordable the rest of it we didn't do projections on how the market might might not or might address the market rate units but the expectation yeah i'm just talking about the affordable part so you're saying again about 412 units on average a year for five years for units for housing that would need to be developed in total or just beyond what the market on its own would meet in your phone in other words in addition no 4,600 units over five years uh yeah 46 of those 2,000 of those would need to be affordable out of that 40 would need to be affordable and then and then are you saying the market itself will organically not create any affordable units or some of that will be met by the market and some would need to be addressed by policy changes it would be potential but in reality without some sort of subsidy or some way to bring the cost down for development it would be difficult for the private market to create that market it's not going to create affordable units it'd be difficult for them to do so it's not cost effective currently with development costs the way they are okay now i know we're trying to solve for thank you all right actually if i may um uh there's another question that occurred to me is it all right by all means thank you um we uh i hear from a particularly engaged uh uh member of the public that but i haven't independently verified this and i want to ask you that uh the demand for in the market is greater for smaller less expensive homes that their prices have been rising faster as evidence that demand but that but that the market isn't producing them the market isn't preferring to build big big expensive houses is was that a fair statement do you concur with that generalization so i'm not sure who you're asking but from my understanding yeah my understanding of the market that that is true that developers um like to do what they know how to do and in dentin that has been single family homes um but bigger expensive bigger yeah bigger more expensive um and it's a model that has worked um and there is a a growing understanding that um there is a greater need for smaller units that are priced more per square foot but are actually more for the change in demographics um and which particularly among um the millennial buyer for the what you would want to call the young professional um they're waiting longer to have children if they do have children they're having fewer children they appreciate walkability and the more neighborhood feel and and there's a strong demand um nationally and within urban urban / suburban areas for um that unit type okay yeah all right i'll be quiet no no i'm sorry you can go ahead i share an additional comment that uh this i'm going back two years ago i met with uh representatives of uh forget exactly which builder organization but they were they were saying their view of the market was that both the millennials uh you know kind of the starter home uh market and the other big market segment which is kind of the baby boomer retirees want the smaller uh you know the smaller unit uh but that you know they they kind of felt that zoning pushes them away from what actually what the market would prefer just a comment we can carry on okay uh mayor pro tem davis and then um we'll see if anyone else has a first comment before we circle back to uh councilmembers mayor pro tem thanks mayor i'm wondering and we've found in the past and the mayor kind of asked at this quote kind of in the area this question as well we've found in the past the term affordable housing to be uh imprecise and problematic you know it just begs the question yeah which you've tried to answer for us so far uh well affordable to who who sets the standard is there a better shorthand for us if we're talking about this property is unaffordable to people who earn less than 80 percent or this property is unaffordable to people who earn less than 50 percent is there a better set of terminology than just to say didn't need more affordable housing i mean anybody who pays rent or is buying a house would say well didn't need more affordable housing for me um is there a better and more precise way to talk about this and say exactly what what we mean i don't think that there is a a better way just yet um because i think it differs in the market i think in denton um we can use the term uh housing that is affordable to current and future households and right now that is at the 200 000 mark for home ownership and the 900 per month for rental housing so if we want to be explicit about numbers and pricing like that is the area where the private market is struggling to to meet the demand there's a follow-up by all means yes sir so you mentioned uh demand and some market forces there i'm trying to jive up or marry up what you uh were just telling us in response to council member melzer about unit size house house size how that relates to price and then also it seems like a lot of the projects just anecdotally that we see come through council are r4 r6 r7 kind of projects it seems like we've got that strong trend already in denton towards smaller homes smaller units uh sro apartments are always a big conversation in denton so is that what i'm seeing anecdotally as projects come through council is that in fact the trend that we have towards those smaller units or or do we need even more smaller units according to what you're telling council member melzer so my understanding is it is something that is um a growing trend in denton but that you would still need need more um and and danny or emily maybe you have more information on the exact types of units that are getting permitted um but i do see that that the master plan community has has zoning for condos and town homes um but i think based on the change in demographics there's still more demand than what um is slated for supply and i think you addressed it in your question councilman or sorry mayor pro tem the the it is about where the zoning is as well that makes that possible or not and so looking at how that's framed will help that have a better understanding of where we can put that type of housing excellent thank you um and just for reference uh real quick before we go to more questions so defining affordable housing i found it it's in the full presentation for those following along and it's page 36 and i think that's really well done you know because to council to mayor pro tem uh davis's point it is uh just a difficult term to define so that visual aspect and the kind of term marrying those together helps kind of process through that is from a policy perspective any anyone have questions uh first before we circle back to uh council member armature for for follow-up questions seeing none council member armature and then council member melzer yeah and actually my question ends up touching on what the some of the issues that you were you were just addressing um and that is regarding uh zoning and barriers uh what zoning barriers what or what kind of barriers in general in zoning and permitting costs and fees etc uh do you see in the city that we could remove um that might not solve the problem altogether but it would work well with subsidies and also help to uh diverse further diversify our neighborhoods both in terms of more diverse housing and more diverse uh people um if you could if you could speak to that is that is that in this section danny well we don't we won't go into full detail about those types of solutions but it is in the report about the different options that you might have for a zoning and some of the council has already seen for instance development services put in a an item in the friday report around adus and where those could be zoned or opportunity you also have opportunities to look at incentive programs that would work within our existing zoning you also have the flexibility now and the updates to the development code that have planned developments and overlays as an option so those are already baked in and could provide opportunities for our existing zoning to to work within any type of solution that's being looked at okay and i'm thinking kind of specifically in terms of in our residential neighborhoods for instance it's it's not the case uh that you you that you can build a a duplex triplex um no certainly yeah certainly those things would need to be looked at if those were direction from council and that's where we would work on types of solutions to changes to the development code that might might be proactive in that way okay i was wondering if the consultants would speak to that if they if you noticed um either in any particular geographical area or a kind of or a particular category of residential or mixed use zoning well i think we get into that in the next phases am i wrong danny and then also there's the third component of the the consultants identifying the report that the next step would be to bring forward their suggestions on policy changes and opportunities to affect those very things you're talking about but i i'll defer to you danny and did i read that wrong no actually we'll get when we get into the final section of the report we'll sort of talk about next steps and where we where we could go to to get to that conversation thank you councilmember armature any other questions okay thank you councilmember melzer yeah just a narrow one i i really love the the impetus to try to get more precise about our language that mayor portem introduced so i got the 200 000 or less house 900 or less rental unit uh what kind of rental unit are we talking about is that a house for 900 one bedroom apartment so so we're looking at one bedroom apartments at that 900 mark and based on the demand we're not saying necessarily that if you build all of the units at 850 you're meeting the need we're talking about a range from say 400 to 900 and the bulk of that is within the you know 600 700 range would be a really large need for a lot of the service industry workers and then you have a smaller percentage who you know have additional needs maybe they aren't able to work very low income seniors where the need is even lower than that and that's where a lot of the vouchers come in but in terms of um but as a handle you know as a way to talk about as a handle we're talking about a one bedroom unit okay that's that's super helpful thank you and the report does break that out a little bit more though so if you're interested to look at what the breakdown might look like for family size for rental and housing that's on the same page that Councilmember Hadsworth referenced on yeah I'm looking for something that takes about as long to say as affordable housing okay well okay within any other questions if not we're good to move to the next section all right seeing none we're all set okay apologies my computer is frozen all right all right so I'll tell you a little bit about the MVA process um we've been conducting these market value analyses for over 15 years I think 2021 is actually our 20th year doing these we've done them in over 40 cities counties plus the state of Delaware um and the MVA process has evolved along the way and the process is really important to getting to what we see as very accurate and actionable results uh we use local administrative data which means things like building permits um code violations foreclosures sale prices things you wouldn't necessarily pick up in the census and things that are more contemporary um so there's not a two-year lag like there is with some Bureau of Labor Statistics data or um census data on incomes um and we also uh bring it down to the block group which is a census designated geography that is smaller than a census tract it's usually about four or five blocks um so we want this to be a fine-grained analysis so that we can actually identify the sub markets um that are within neighborhoods and we know that even a block group is sometimes too large to capture the variation um within a neighborhood and sometimes we actually do need to split those block groups if one block group is evidencing um characteristics of two distinct market types um and I will talk a little bit about that later um we validate each data indicator sorry uh we validate each data indicator we usually like to drive around and look at what things look like on the street to make sure that you know a building permit looks like something was built there we couldn't fly down because of covid um Danny's team very kindly and helpfully went out and spot checked a bunch of data places for us to make sure that everything was accurate then we take all the data and we sort all of the block groups in Denton into seven categories um that's how many we identified through this analysis um so every block group in Denton is then assigned to one of those categories and the idea is that every block group um in a category is as similar as possible to the others in that group and is different from other categories um then we again we inspect the model again Danny's team helped us um and we we also consult with the stakeholder group to ensure that we have local expertise in forming our analysis and our interpretation of the data um finally we summarize and describe the characteristics um which I can now show you so you'll see uh the columns that are highlighted here are are all indicators of investment so market strength and you'll see that we have seven categories going from a to g from the strongest markets down to the the more stressed markets at g and you see the median sales rise price goes from 400 about 400,000 down to 138,000 um but you'll see that even though two block groups might have similar sales price they'll differ with other characteristics and that's why they end up in different market categories so for example you take a look at b and c almost identical median sale prices but then when you look at the new construction permits you'll see that the new construction is overwhelmingly concentrated in c and there's not a lot being built in b uh next slide please um then we also look at indicators of market stress so these are violations they can see foreclosure um and you can see that um if it doesn't perfectly move from top to bottom again because these sort of um uh market characteristics make for different types of markets and and they don't follow necessarily a straight path from strongest to weakest um you'll see that for example the foreclosures are concentrated in e and that's often the case that we don't see the most foreclosures in the most stressed markets the lowest priced markets because there often aren't that many homeowners um so foreclosure is not as much of a factor we instead see the foreclosures in the weaker middle markets um and i know this is a lot of data um and of course you'll be able to pour over this um at your leisure and ask questions um but i do want to keep it moving so i'll show you the next set um and then general housing characteristics so these are things like home ownership rate um the presence of subsidized renters and then the residential parcel area um so you'll see um again so if you look at e and f um somewhat similar sales prices um but very different shares of those areas are residential areas f is much more heavily residential than e um you'll see that subsidized renters are very concentrated in dentin in those e markets that's one thing that made those distinct um although um so we did have some conversations on the stakeholder group that um f seemed like that maybe e and f groups should be swapped because in some ways f seemed um more troubled because it had more um uh i'm sorry f seemed less troubled because it had lower vacancy lower foreclosures than e but it also had lower sales prices so we ended up leaving it at that slight at that lower level but in fact um there are um they are in a somewhat similar um sales price um but we are differentiating them by other characteristics all right um next slide thank you and so this is what it looks like on the map so you'll see on those strong markets um around the southern eastern sides of the city and you see that around um uh around the universities you see a lot of um the yellows and the d um so the middle and slightly weaker markets um and then you see the um the e markets are sort of focused around southeast dentin and you also see some of the g's that are around the university and that a lot of that has to do with rentals and cheaper student rentals um i'll also say that you know we do these studies um in philadelphia and baltimore and places that have much more distressed markets um in dallas where there might be a higher high but also a lower low than dentin um so there's always going to be a most distressed market wherever we go but but it doesn't mean that it's it's you know in freefall that it's um something that's really falling apart or seeing a lot of disinvestment it's just relative to the entire dentin market it's a bit weaker um exceeds lower prices um and then this is taking a look at the population in these markets just to understand how that's distributed um so that first column is the total number of households that lives in each of the market areas and you'll see the largest um group of households lives in those d markets which are a classic middle market is what we call those um very steady but offer a really reasonably good quality of life for a relatively affordable price for middle income folks um and um it really it makes it it creates an effect of dentin having been historically a sort of middle market town um and having those attainable markets um but we know that's also where we might see some price pressure um making it hard for those to be um entered for some of the workforce members um and you can see over in the final column um we also have racial distribution here um and um the median income for each of these uh market groupings right um and this map helps us sort of understand what types of which parts of the city that people of a certain income have access to and so 80 percent of area median income is something that the affordable housing industry often uses as a metric of um of of people who might need um subsidy or some other help affording um their rent um this is uh what a lot of federal programs are aimed at and whether that and producing um including the lie check um developments are often um directed at people earning from 68 to 80 percent of ami and so that includes um a lot of the surrounding counties um and so the ami for a family for dentin was 86 000 um and that was uh that would require a sales price of about 200 000 that 200 000 that we talked about um and the areas that are crossed out are places that um someone that where the median sale price is higher than 200 000 so that means that the that household who earns 86 000 could not afford the median sale price in those green markets and those blue markets and those purple markets um they could afford um the median sale price and in almost all of the yellow or orange markets um but we know that ami is an imperfect measure because often central cities have lower incomes than their surrounding areas and that is true for dentin as well um so next slide um we wanted to see what affordability looked like for people making the median income so half of the residents of dentin earn 56 000 dollars or less um and for those households they will end up um the sale prices will be more than um three times their income in all of these neighborhoods the median sale price and now this doesn't mean there are no opportunities all available to people that are affordable um but it does mean the median sale price is not affordable so more than half the homes half the homes will be out of their reach um it's possible that they may stretch for them and then have a little bit of trouble paying other bills or they might just be stuck renting um they might not be able to make that step into ownership uh we also created um a measure of displacement risk and what this does is it includes change um it includes sale price over time to median income at a fixed point and so we took 2010 as our baseline year and what this allows you to see is whether over time the neighbor uh the typical household in a neighborhood at that start year would still be able to afford to live there at a later year or households of a similar economic profile and so this is the kind of thing where um a person might say i've lived in the city my whole life and my parents lived here in this neighborhood too but my kids won't be able to live in this neighborhood because the prices are going up and this might be associated with what people call gentrification um in a neighborhood becoming hip and um you know attractive to new uh to new arrivals who make a lot of money or it could be that in a in the case like denton where prices are just rising across the board and investors are getting involved it might be that um this neighborhood is not necessarily changing demographically but that the housing prices are going up and may lead to crowding they may lead to again a decline in the home ownership rate and a rise in renting um and uh they might need to disrepair for folks who don't have enough money to then reinvest in their homes next slide um so the displacement risk in denton has been rising um you can see that um back in 2010 um it was it was a bit higher in dallas than it was in denton um but then around 2014 and 15 it really took off um and so comparing again um and the dallas displacement ratio is based on dallas incomes as well which are a bit higher so it does take that into account um but now longer term um households in denton are going to have more trouble um affording a new place to live affording buying a house compared to people in dallas it's more of an issue now for denton um this is what it looks like on the map and i'd ask you so the darker the darker areas are places with higher prices rising with races prices rising rapidly in comparison to historic incomes and you see that the pressure is really concentrated in southeast denton um in that darkest brown color and you can see it a little bit in some other areas i would say you know the area to the east uh you wouldn't worry about because that's a strong market and and when you see rising pressure in a strong market like that it often means that the houses are just um getting sort of very valuable getting bigger maybe and people in those areas are able to tap wealth that's separate from their income that we wouldn't see show up in the in the census um so uh we would focus on that area of southeast denton that's seeing the the greatest displacement risk and had the lower incomes um we also uh took a look at defining opportunity markets and generally um what you want to do to give people access to opportunity is not concentrate all low-income households in one area um then their access to um different types of resources um and upward mobility is going to be more limited um so we also know that lower income folks are not going to be able to get into those a markets because they're so expensive and it would be too expensive also to try and subsidize development in those highest end markets um so you really would want to focus on the b's the c's the d's and the f's those four sort of more middle markets um where there isn't already a lot of um where there aren't already a lot of subsidized households so we took e out because there's already a lot of subsidy there um but these are the areas you'd want to think about increasing um maybe some of those smaller units or adus or any of those the many intervention options you can um all consider next slide all right so now we will talk about oh yes questions okay thank you very much uh council member melzer the the one chart where you mapped where housing would be affordable for the median income you know it was pretty eye-opening but that was just for purchase uh have you done a similar geographic look for renting because you know not everybody not everybody's gonna ever buy a house that's right not everybody wants to not everybody will um that's right so we did not look at that um for the rents um but that's something that we could possibly do but it does show a somewhat similar pattern not quite as extreme um but a somewhat similar pattern based on the interesting decision okay so questions about the market value analysis uh council member armature so i'm i'm not sure is this the part of the presentation where i can ask about my question about zoning next part okay because i see zoning everywhere but i'll wait till then okay questions about the market okay okay council member johnson what about those smaller homes that we have in those areas that we want to protect and keep that people have had there for years where do they fit into this demographic chart right and so preservation is always a really important part of um of reducing displacement you don't want to just focus on building new you want to keep people in their homes um and there's that again i think we'll we'll get to the tools portion but there's a range of different you know repair programs repair grant programs um or um other types of things you can do to help people maintain those small homes which is really where the strength of the city programs is in preservation our our home repair programs are significantly dedicated towards that effort of preserving and even our rental rehab which is assisting other nonprofits in helping them preserve their rental units for that are affordable excellent okay any other questions for staff i i have one question around market value have you just similarly to the definition of affordable in this component i really would like to understand the definition of uh or kind of the the deal point where it makes sense to tear down an existing home and rebuild right you've seen it in dallas a lot where they're going in and repurposing you have a traditional neighborhood and the the builder says this particular particular part of town it's worth it for me to simply buy this property take it down and go back up and so those conversations didn't is not there but my question is is there a similar formula or analysis out there that says here's the because as we approach that we could kind of be aware and say here's some warning signs that were the market is getting high enough to where we're we should have that concern that's great the displacement risk ratio can actually be really helpful to determine to determine where that might be likely to happen and i would say you want to pair that with the market value analysis and you look at the places that are not the not the highest value right now but are those middle markets that are seeing high pressure and those are going to be and the places that are adjacent to stronger markets so looking at where the markets meet can be really instructive there because you often see development pressure sort of build up at the the edge of a neighborhood and then just spill over and once you have that huge shift in the nature of a market that's when developers are going to start doing teardowns and building up new houses okay so could you could you give that to me one more time i'm sorry is it so where the where the where the i understand you're saying where they're the kind of where those two worlds meet but i just want to understand it better if you'd be so kind yeah yeah where you see the strongest markets but much weaker markets that's where you might see that that pressure spill over and where you see those the increasing high pressure that where the prices are rising rapidly in weaker markets especially where they're adjacent to strong markets perfect thank you very much great analysis any other questions on the market okay great we're ready for the next section now i'm going to take us through the next section but as emily and rebecca have insights i'll have them jump in so this is really taking us through what our next steps are and where we want to want we want to talk about in discussion where we'd like to go with this conversation just to build on what rebecca had shared earlier understanding that there are different partners in different sectors that have a role in this affordable housing space just understanding how we all can work together build collaboration or partnerships in order to address this housing solutions together this is sort of a way to look at the different programs that are available now that potentially could be impactful or are impactful already in the community so we have the federal and state sources of funding that already exists through the light tech program or through the section 811 and 202s which help build housing for the elderly and for people with disabilities the housing trust fund that goes into the light tech programs and other funding that's available with the city we of course have the ability to address policy whether it's aligning it with federal and state or advocating for those federal and state programs or doing it locally through zoning or permitting or incentives or how we allocate our own federal sources of funding as we do now we also have a partner in the community with the dent in housing authority who does run the housing choice voucher program and they are a developer operating in that way in this community so how we work in conjunction with them and other agencies to build and to ensure that properties are being built that are affordable for those folks who are a little moderate income then of course we have our non-profit organizations in the community that are already developing affordable housing or running affordable housing programs through rental including our habitat for humanity our dent affordable housing corp catholic charities operates and a couple of other organizations that are running emergency programs as well for people who need permanent supportive housing and then one of the one of the sectors that we should look at and really learned a lot about during this assessment are how our universities are doing housing but also our health care professionals and our our institutions within health care is the opportunity for housing because housing is health care and there may be opportunities to collaborate with them with either funding or land or financing in the future then of course it's a natural with the public the private sector with our real estate developers and banks who are responsible for lending those who are landowners and major employers all who can be involved in the financing construction of housing and sponsoring housing initiatives so as a part of our conversation this would be the first step in sort of understanding who our partners are but then using the market value analysis and Emily and Rebecca these guys put together a great way in which we can utilize the MVA to start asking ourselves some key questions and then what types of strategies may fall into those so asking ourselves how can the weak markets be strengthened and some of those we look at public private investment and then how you increase the income and diversity of residents in different areas a question about how we can take transitional or declining markets and stabilize them and those solutions look like improvement of housing stock increasing home ownership opportunities making sure the housing options are available for mixed incomes on just one income level or how can low-income families not get displaced in those transitional or improving markets like the mayor asked so things like land banking or tax abatements for low-income homeowners reverse mortgages for seniors different opportunities there where we can make sure folks are able to stay in the homes that they're in and then make sure those homes are safe and stable and then finally a question to ask about how affordable housing can be located in strong markets to enhance the quality of life and increase the economic development opportunities so this is in popular phrasing this mixed use walkable developments with an addition of an affordable housing component so that we have those mixed income opportunities or the opportunity for diversified housing types that would allow for smaller units for people looking for a different type of housing option they also put together a nice tool to bring us through the process and you'll see more of this in the actual assessment report where they were kind enough to take all of the different types of solutions the staff has looked at as opportunities and identify so once we identify what role each entity can play where they would be best applied in the different markets that we have so this is just a sample of what that might look like so taking an infill program and saying is that best for a strong middle market a middle or transitional market and then what the considerations might be for what that would look like and so we did sample of what that would look like in the assessment for what staff is divided up into what we are calling kind of four areas for solutions and the first is around policy so how do we look at our policies to ensure that we have the the most opportunity for this these type of developments and also look at funding sources what are the funding sources that we need in order to create these solutions what are the different programs that we can apply in the area and then how can we advocate in the community to ensure that everyone is involved in this in the solutions here so this again is a tool that we could use to break us down and help us identify specific solutions in the future this again is a part of the process so once we've looked at the different solutions then who would be a part of that solution so we took a sample here our current programs and just to show the different sectors that are involved so for example in our city home repair programs this is a city program and it is government funding so the funding comes from the federal government supports that program through our cdbg and home dollars but it's also very dependent on the private market whether it's a contractor who's helping us renovate or reconstruct a home or those private vendors like the plumbing companies and the electricians who come out and help with those repair programs so different sectors involved here on down through the different solutions that we have again housing choice vouchers with dha that's funding that comes through the federal government and dha works as a non-profit in that but also private the private market is here where private landlords are making units available to people who have vouchers for what we want to have the discussion today at the end of this assessment is to talk through what are some of the incremental next steps and then some of the other next steps that we could take so when we look at the report we certainly have the opportunity to develop recommendations or budget supplementals for additional investment in the existing programs that we have ways to shore those up ways to make those targeted or more effective in different sectors of the city based on the assessments that we've seen for market strength looking at our development fee program as an example and making sure it's being targeted and used in an effective way but also looking at our housing tax credit policy and applications as you'll see in the next section or the next presentation we do have a housing tax credit application but what is there an opportunity to create priorities that would ensure investments in other areas of the city as an example we also feel like it's important to initiate those discussions with the dent housing authority to understand what their goals and plans are and see what opportunities there are for us to collaborate and then as councilmember armature has been asking a review of the development code to see if there are opportunities for things like adus or the potential for incentive programs where we might be able to offer different incentives in exchange for what we would call set aside so in exchange for a certain number of units made available then providing some incentive like reductions in parking requirements or height limitations or things like that as an example what we would want to talk about as well today with council is the opportunity to go ahead and engage in the phase three to develop that comprehensive toolbox they've given us an estimate of what that might cost but really that to really dive into these solutions to take the five or six or eight different options and really examine what are the best tools to meet those goals and policy funding and program and advocacy and determine what the real budget would be for that with the staff resources and what other resources would be needed to implement that strategy and then to further work with our partners to develop policies and programs and potentially a roadmap for how we address these needs in the next five years for sure and then just as a quick reminder as we finish up the presentation this is this tool is really helpful in other ways especially for our our division in working through our future consolidated plan for housing community development and our action plans it will certainly help us be more targeted in those solutions that we're offering with the existing funding we have and to make sure we're giving those strong priorities to our committees as they're addressing different as they're addressing different projects to be funded but it's also going to be useful in our comprehensive plan update that's coming up it's already been referenced in our economic development plan and how we can support some of the economic development priorities through housing it's also useful working with the parks master plan when we're looking at areas of opportunity and where parks plans to grow it's also an opportunity to look at those walkable neighborhoods and places where development would be useful and then also in the mobility plan for how it would impact future development transportation needs and with capital projects so where development is coming in or where growth is being planned forth by the city helping incentivize projects there as well so with that i will bring it back down and then open it up for final discussion thank you dani council member melcer then we'll come to council member armater for her question to follow up yeah i would say that there's uh uh kind of a missing middle step before you get to staffing and so on uh which is to look is which is to solve for the number you know and then i'm still not 100 clear what the number is at one point it seemed like we were saying was the number was 4,700 units but then dani you mentioned something like 600 a year which only gets you to 3,000 so we need to figure out which number it is we're solving for it's a 3,000 or 4,700 and then to take all these things that are good but that have different pluses and minuses and take a stab at assigning uh you know forecast value how much of the number do they solve for uh and then you know and then we could end up with a sort of a rank ordered list uh to say all right you know uh which working from uh most preferred to least preferred tactic you know how far down the list you have to go to solve for the number so i would at least be interested in that as a sort of a next level of analysis okay council member armature yeah i guess i'll i'll i'll ask this the question this question in a different way this time um what do you fit in i'm asking there are consultants either one um what positive difference would it make if if we were to allow duplexes triplexes etc uh town homes you know every different kind of smaller housing simply in every neighborhood where single-family homes are allowed that is you know just putting my cards on the table that is something that that i think is needed um but i want to know um what the consultants think about that and kind of coupled with that as far as removing barriers uh that uh the city that that make it harder to have for affordable housing uh to develop in certain parts of of denton uh waving uh imp or at least significantly lowering permitting fees impact fees and other fees from the city for all forms of affordable housing if you could speak to you know either of those um big big uh forms of barrier removal i'll just jump in really quick before they respond that we didn't ask them to do the detail analysis of our development code to look for those types of solutions so that would be a part of what i would consider our phase three conversation but i'll let them jump in and address generally what you're asking well i can address part of it um so understanding how um zoning codes would be implemented generally we wouldn't make a blanket statement um that it's applicable everywhere because everywhere is different and and a community engagement process and and vetting with the community would be critical i could say in general um allowing for my more diverse housing types integrated throughout neighborhoods where it's appropriate has helped with increasing affordable housing stock um or increasing the supply of rental and home ownership that is affordable to those earning less than median income and also increases uh walkability and different types of density throughout neighborhoods so it's been a tool that's been useful for um killing two birds with one stone if you will like increasing the supply of housing that's affordable with limited subsidy and creating a little bit more density where you can support neighborhood retail um and get more people you know walking interacting with one another so it has been a useful tool but again we can't say it's appropriate everywhere because a lot of it depends on both the design um and the appetite from from the public um so community like nothing would work without um some type of uh vetting um but overall i would say that it's a it's a very useful tool okay i don't know if you have anything to add to that um i would just echo that it's it's always helpful to look at the variation of market demand because they're also there might not be demand for those types of units everywhere um so i would just echo rebecca's point on that excellent okay thank you any other questions for staff okay seeing none i think i would uh kind of just start off i guess the conversation and see and we can go work it backwards i i'm i think you've done a great job emily and rebecca in presenting what is a lot of dense information and making it easy to consume and easy to share so i'm grateful for you being bilingual in that way uh and then uh i would like to move forward i think uh mr city manager the the pricing is is well worth it to get into the kind of how we can apply those things and then also dig into the legalities and and that sort of thing that we would have to navigate uh and support it with data uh should that be challenged or should people you know kind of take take shots at it we have the data that that proves that up and and kind of justifies uh our approach to to this to solving this problem so that that's my look at engage so i would advocate engaging uh with the consultants for the next uh phase of what staffs identified but looking to hear from others mayor pro tem davis so i i agree it'll be worthwhile and well worth the price to engage in the next phase i like what danny had to say about some other ways we could use the tool once the data i mean data is good right and data at a good price is even better um i'm a little uh and i think the main reason i'm interested in it is because it gives us a little bit more of that particularity that we're really grasping for and then we need to know i'm very wary of attaching you know moral judgment to things like strong market versus weak market distressed versus pressure um in individual situations certainly there's some of that but you know as broad swaths of the city i'm very i'm very cautious of of that or or efforts to flatten the market you know to say that we've got to have i'm a little worried when i hear things like duplexes in every neighborhood because i don't think that's necessarily appropriate just squishing the market down to the lowest common denominator is not necessarily the solution i think a data tool can give us the resources we need to be able to say here's where we can make a good difference at a good price because we have very very strong market pressures in denton we don't as a city council as a government we don't have all the big levers to change the cost of construction to change the market price of a new 1500 square foot home all that kind of stuff uh but what we can do is help where we can uh a tool like this gives us particular places where we can help it doesn't necessarily give us tools for flattening the market or broad social equity or anything like that okay thank you any other thoughts on next steps council member ryan yeah i would like to see us go ahead and proceed forward on phase three as well one of the things i'd also like for us to look at as a data point is the maps that that were presented were very good and we see that it's mainly within our the core of the city is where we've got the more distressed areas and that's also where we've got more of the mixed use neighborhoods and those are what are starting to to redevelop i'd like to kind of see an overlay of our zoning map with these neighborhoods to kind of be able to see is it something that's on the edge of a certain type of zoning that is more distressed or is it something in the middle of a certain zoning that's that's causing those distresses just to just to be able to have that data to understand that a little better um you know i think is i've i've actually got the development code book here in front of me and the opportunities to do multiple types of uh housing is is very broad per our code and so it's really do we have the um the political uh want to to allow some of these because i've seen so many zoning cases come through that it turned down because i will i want you know i had one complaint from one person that said i shouldn't do this so i'm going to fight against it and the idea of opening it up to all areas um you know we can see kind of the effects of that in some of these areas that we're talking about are distressed are areas that are very old neighborhoods that we have had it where we it was all single family and then somebody tore down a single family and put up a ten unit apartment complex and you know that that creates a it's it works well right now but as that change was coming about many of the neighbors were were very upset about that and you know as to what was required at that time zoning wise to make that change i don't know that was long before you know i was paying attention to what was going on in the city but uh you know the historic nature of these neighborhoods is is very important to look at as well um you know my biggest concern on you know not only the neighbors being upset about it but when you start allowing triplexes and fourplexes and those types of things it's going to be parking you know our distressed neighborhoods already have issues with parking uh and so you know you would have to account for enough land to create a parking lot where they were doing that and most of those lots are not that big to do those kind of things so i think there's a some excellent data here and i think there's some some additional data that we can kind of mix in with that to even get in a little deeper into the subject okay thank you i'm i'm gonna come back to you council member armature any any other comments first time anyone else thoughts i'll come back to you council member melzer any thoughts okay council member armature and then council member melzer yes so i i appreciated um in the report on page 50 and elsewhere um there was a mention of of the fair housing act uh and and how fair housing um uh you know dictates uh so much of you know the need for or is behind so much of the need for affordable housing in terms of the the goal of desegregating neighborhoods that have historically been segregated and preventing you know future uh segregationary you know just discriminatory policies uh that you know whether they're intentionally discriminatory or not end out uh preventing the desegregation of neighborhoods in denton so can you speak uh to how move as you move as we move forward into the next phase which which i approve of moving forward with this um how do fair housing concerns affect uh the way you would consider say you know questions about um expanding uh housing options in different kinds of neighborhoods and what do you do when i mean i know what what i do but um you know what's your what is your advice um as as consultants uh for when um kind of community input uh turns into a kind of a you know not in my backyard uh situation where you have you know communities who don't want duplexes or triplexes because they say you know it will be crime this not the other thing okay you could speak to that okay do you have thoughts on that rebecca or emily um i have for um the first question i i think that there was um work with displacement and potential recommendations that can address that emily can um speak more to it than i can but from a fair housing perspective and the policy would be uh to encourage mixed uh income development in more distressed areas and encourage subsidized deeply affordable rental housing outside of the areas where it's currently concentrated would be um and um a clear policy recommendation from what we were finding um in terms of nimbyism um it's always a struggle um so the community engagement from my community engagement and the recommendations around it isn't necessarily so much where it shouldn't go but where it can go or where it can go to enhance the vitality of the city and uh improve the quality of life so we're talking about some of the markets that emily identified that were the middle markets where it makes sense to incorporate that type of um development um so just from my experience working with uh communities a lot of a lot of range in communities but um uh moving towards where can we get a yes versus um where do we have to fight the nose has been um in in my practice uh and an easier path forward okay uh so anything to add emily is that about cover it i think that about covers it thanks okay great okay so mr city manager i count councillor melton yeah you're teet me up before yes sir thank you so just keep your track that um so first uh i'm weighing in in support of going to phase three uh and i would just say that uh it's very interesting and engaging that there are so many different types of affordable housing and types of affordable housing funding mechanisms or policy mechanisms and uh you know uh planning is a good thing you know every solution in my opinion isn't exactly right in every situation and i think uh you know a clear-eyed uh sort of planning perspective will help us maximize uh you know maximize the opportunity you know and hit the number but you don't know it doesn't necessarily mean you know you uh that you're going to put a 10-story tower next to single family you know that that's i i don't think we should think in terms of since we're focusing on this issue we'll only solve this issue and forget all other you know uh variables that need to be accounted for including um including you know covering expenses in our budget and all that so uh i think it's great that there's a range of different tactics that can be applied and i look forward as i said to as i said earlier just solving for the number in the most intelligent way we can thanks thank you okay um so is there anyone that is averse to moving forward to a phase three let's put it that way i didn't see any anyone so we're all on board there mr city manager just to summarize i think uh i'll start where paul left off and where he started in that uh if you could note solving for a number and he'll you know he can put a finer point on that as we move forward or in emails leading up to but assigning kind of a forecast value uh rank ordered list and coordinated with different tactics in summary and then um kind of the mixed use neighborhoods council member ryan pointed out kind of paired with the zoning overlay and i think that's really smart and then uh protections you've heard it a couple of times for for neighborhoods uh established neighborhoods historic historic neighborhoods etc um and so that's i see that's kind of a merge between kind of what we'll be talking about and then uh i i love uh rebecca your point that let's let's deep dive into where they can go let's not you know we'll have to run through brick walls let's let's see where there's opportunities uh where things fit and kind of where they could naturally fit i think that's a good good idea and then danny i don't know if this is the consultants are you but i want to point out uh so i'm right in the middle of this i've lived in southeast denton uh um 14 years and so for me one it's because it's the number one district in denton we all know that but also uh because i think it's important to uh look at uh the homeowners there traditionally you you may inherit not traditionally you may inherit a home that is behind in taxes that sort of thing and so if there's mechanisms by which we can help families take over homes take over or solve those kind of delinquency issues i think that would go a long way to keeping houses and families or at least maintaining that value in families and not having it transition to the you know sheriff's auctioning block where we're now we we don't keep that value uh so any any mechanisms when that third phase comes back that helps us protect those that may inherit a home and may have tax burdens to to solve for or mortgage issues to solve for i think would be a good thing um so that's my thought mr city manager danny anything else you need from us i appreciate you uh encapsulating the list so succinctly so it gives us a good direction going forward thank you great okay thank you all very much thank you again uh rebecca emily look forward to working with you further and hopefully you you can travel soon we'd love to get you down slowly thank you so much council members thank you thank you mayor thank you council members okay that'll conclude thank you that'll conclude uh item work session a and section b is pretty i mean item b is pretty straightforward so we're going to move straightforward unless are we am i missing something they are we good perfect okay so i'll call item b it's id 21093 uh receive report hold discussion and give staff direction regarding a request for a resolution of support from a developer applying for nine percent uh housing tax credit with the texas department of housing and community affairs oh thank you mayor danny shaw community services wanted to let council know though i'll bring up the presentation but the developer applicant mr jack trager is on the call as well should you have questions once we conclude the presentation okay thank you just as a background this is an application for the housing tax credit program this program is administered um it's federal funds that go through the state so texas department of housing community affairs administers the light tech program for the state they offer two different types of programs of four percent which is a non-competitive and a nine percent which is a competitive and that's what we're going to be discussing today within the nine percent program tdhca does score these applications submitted by developers they award points if they and they award additional points if they have support from their perspective communities either through a resolution of support or no objection in addition tdhca does require at least a resolution of no objection from a community for an applicant to be considered in the four percent program as a way of background city council did approve a housing tax credit policy an application process through resolution 18 756 that was approved in 2018 and it really just helped establish a procedure for housing tax credit requests to make sure we could filter those in a way that council would be able to have a process to consider those requests in an effective way this particular project is the legacy and dentin apartments the developer on their project is rise residential construction and rise has been around apologies for the typo rise has been around since 1971 and has completed about 7 000 units in texas and new mexico did put in a list in the presentation it's also in your backup of the projects in the last five years that they've completed in the locations where they have been completed to show the developers experience with development in the apartment community and multifamily this project is located near mayhill and mckinney it is on 33 acres it's two different parcels it's proposed to be multifamily right now it's 232 units of mixed income and i say that right now as the developer goes through the process there may be some adjustments to unit mix so currently they're proposing 232 units the area is zone r7 residential seven so an sup will be required for multifamily now the developer here plans for this to be tax exempt in their nine percent application they don't have a partner who would be on the project with them to provide the non-profit status they are in current negotiations and search for a particular partner to provide that tax against status in order to make the financing work on this project this is a schematic view of the current proposed looks to be six two and three story buildings the proposed unit mix would be between 703 and 1100 square feet looking at 84 one bedrooms 116 two bedrooms and 32 three bedroom units within the complex and this is the development and how it would work from an income restrictive perspective they will utilize income averaging which means that the average of all units the income in those the the focus of incomes in those units would be at 60 which means they could have a span of affordable units that you can see below in the chart the projected rents for those units are also in the chart ranging from 780 to 1106 dollars of the 30 232 units are currently proposing a mix between 30 and 80 percent of ami for affordability as you can see the breakdown of those within the one bedrooms so out of those 84 units 16 would be market rate the rest would be between 30 and 60 and then percentages there once they enter into an agreement if it is approved for the nine percent tax credits if they are competitive it would be on the rolls as affordable for 40 years we did add the note again at the top that the project's rents and unit mix may be subject to change and as they go through the development review process again as the project grows and it develops there may be different additional costs that would change their unit mix in order to make the units work out financially so that's a general overview you have additional information in your backup but the options today for council are to approve a resolution of support which we would present on the consent agenda next meeting on february 9th or to not approve the resolution for support okay thank you questions for staff council member armature so are we going to hear next from the developer or would that have to come with questions the developer does not have a presentation if you had questions for him he's available to answer that or he's available to answer those okay i'll wait to see if any of my colleagues have questions for staff and then i'll ask that question well while i have you so that we can keep you know kind of order things go ahead you can if you have a question for the developer please proceed council member armature okay yeah i was just wondering you know if the developer had uh anything to to add to that jack are you there show him on mute so i just want to make sure he's jack are you able to respond he's not unmuting so i'm sorry he's on the phone i'm not sure yeah all right can you hear me this jack treger yes sir if you could give your obviously repeat your name and give us your address and then uh and council member armature if you could restate uh kind of what generally you're looking for so that he'll have uh some idea to of what to speak to yeah just actually i'm not looking for anything in particular just uh genuinely asking if you have anything to add to that staff presentation that you would like to say about your project to to council i'm speaking as someone who don't i don't uh meet with uh developers in in private i prefer talking in public and so as somebody who's a big advocate of affordable housing i'm always eager to hear about what our affordable housing providers have to say um you know about uh what you want to bring to the city okay okay yeah uh okay this jack jack treger i'm with a group called legacy multifamily development i'm the co-developer on this with rise residential and my address is 2625 serenity court carolton texas 75010 that is benton county um as far as the project is concerned yes it is a uh it's it's actually on 16.1 acres um you can see that it's in two tracks we actually have purchased the track it's going to be platted as one as one track we're not going to be building on there's about 2.1 acres that is on the south side which is which is in a flood zone which we're not going to touch we're going to leave that that as is we have a lot of park space we've been working with the city um to uh basically lay out the landscape which which um we really like at this point time it's it's uh we have a lot of landscape we're over the landscape coverage area that we need to be um which which is great we feel like we should be getting a uh sup um shortly all the comments have been favorable talk to the neighbors talk to the uh folks that are in that in that area they all seem very supportive they have about three letters of support from the uh from the neighbors i have one one gentleman that i've spoken with he's he doesn't necessarily have a computer but but i have talked to him in person he's in support of the development as well i've talked to the united way and and they are supportive of of the of this development um as well talked to a group called reach inc which is a local non-profit uh very supportive of our development as well um i've actually talked to the county commissioner and and uh commissioner edmondson she's very very uh she she liked the project as well so i'm getting some good feedback on this we like denton we like the location of this we feel like it's going to serve the community if you go back to some of the slides that um you know we're actually in the presentation beforehand with the mba that was out there you can see that where the property is located uh there is it is a area that that can be unaffordable or it can be defined as unaffordable uh but we like this in the sense that this provides affordability for for um the folks in that area uh we feel like the uh there is a need there uh the fact that denton has uh expressed or has commissioned the report that uh y'all have um shows that you guys are interested in in providing affordability to the to the residents of the community which i think is great um we like denton we think it's a growing community um like i said we we just feel like we've got some good feedback on this we like the layout of the of the community we with our development just to let you know we are long-term holders of these properties as an affordable housing developer we hold on to these for an extended period of time so what we are going to do and what we want to do is put in quality product into the into the development um i'm not sure if you have a list of all the amenities that we have planned here but we're going to have washers dryers in each one of the units uh we want to you know if if uh you know depending upon how the financing works we want to also have secured entrances and gated entrances that the residents are secure we are going to be providing residential services to the residents on a on a regular basis and that's part of the qualification for the tax credit programs that's um not necessarily unique to us but that is something that we've done in the past we're familiar with it we will customize it to the to the residents that are there to to meet their needs um you know i think like i said i think we feel positive about what the impact is that we can make in the community i reached out to dha just to see if they would be interested in partnering up on this on this project with us uh that way we could they they have a need for for residents to place residents and we have a need for residents to to you know have the residents live with us so i'm trying to try and form that partnership i'm i'm still in the phone call phone call uh mode at this point in time uh haven't quite quite uh touch base with with uh the executive director over there but i feel like that's something that i think would be beneficial to us beneficial to them so you know i'm hopeful of that um okay i think i may have gone over my time limit but uh any other questions yeah no uh let's let's see thank you very much great information uh questions for developer or staff uh council member melser so uh i'm not sure who would be best to answer these questions but uh what you might understand that the project doesn't work unless there's a non-profit partner uh and that that dictates the financing terms and what would the role if that's right what would the role of the non-profit be in the partnership well if we had a uh if we have a non-profit what that allows us to do is is uh number one they would they would have part of the ownership of the of the project they would be we would have a ground lease with the uh non-profit uh over the term of the of the uh for the for the 40 years um what that would allow them to the profit so i mean to speak over you yeah i just want to go ahead is so if they're part owner is it that it would be a source of income to them yes okay and is it uh is it um customary to go for the letter of support before you have the ownership structure or you know is that unusual um and i don't believe it is no we uh we you know we we um we we know that this this uh to make it work and make it work effectively um it'll it'll need the uh the property tax exemption that's why we are working with the work or trying to get a hold of at least dha to partner with them where they would have the ground lease and uh like i said it would represent income to them and and uh it would it would also be a value to the to the community where we could offer more services to the residents and then this this is also a follow-up answer there uh because of how tdha structures the timeline on the nine percent request in order for them to ensure they have some of the financing in place they are under a deadline which is why we're also bringing it forward uh on the night to get that application and this letter of support is due by no later than march 1st so that that sort of limits their timeline and how they're discussing financing as well do you mind if i keep going a little bit uh more mayor no go ahead thank you yes um uh and danny you may uh look okay i think this would be more for the applicant um i i must say i didn't i couldn't completely uh comprehend what was intended in the in the chart uh as far as the breakdown of the units and so on maybe you can just tell me what percent of the units would be for say people at 50 percent am i or below 80 am i or below something like that you know what percent is like when you've had a whole session about how it's sometimes difficult to pin down what we mean by affordable and what portion of the population are we serving i get that it's mixed income which i i think is great i think it's i always like uh but but can you can you address that yes sir it's um in in uh in the application we have we're required when when you file the nine percent tax credit with with tbhca you you set out certain requirements as far as the the community that you're going to be serving or the participants that you're going to be serving in this um with with your development and um you know it's based on need and and uh you know so there's there's certain requirements that they're they ask you to commit to what we're committing to is 10 of our units would be at 30 percent of the ami we'd have 20 would be at 50 we would have 50 be at six i'm sorry say that again yeah i'm just now i'm understanding the chart okay and then yeah and then uh 50 at 60 and then the the balance the other 20 would be at uh would be at market grants okay uh i think you know uh uh well let me ask one more just random question i'll make a comment uh uh you know it would be helpful probably for certainly for me and maybe for others listening to understand what does it mean to say that these that these nine percent structures are competitive competitive in what way yeah and i'll address that very specifically on the through tbhca the nine percent funding means that 70 of the property value gets funded through tax credits where four percent only 30 but the way tdha structures the application process is is there's a competitive scoring process so this development will go up against many other developments who are applying for tax credits and they will have to score at a high enough rate in order to receive funding before funding runs so there's this only there's only a certain pool allocated to region three which they're in and once that funding goes every project that scored lower will not be funded then where where it ends up and so if we if we say yes it doesn't necessarily mean it's happening it means they still have to go through that process and they and just to be clear and hopefully it's clearing the presentation they still have to get through the development process with us as well all you're doing is providing an opportunity for them to to go for tax credit to help finance the project there are many that have to go in place before it would be approved can i add on to that go ahead jack i was going to add on to that so so a uh within the scoring process a letter of support has more value than say a letter of decline or if you don't want it and also it has more value than than just a no objection so the idea is if we want to produce or if we want to develop affordable housing we're we're seeking to have number one we want to have it overall but number one for the uh for the competition we want to have that letter of support uh from from your group and also then then uh what we we need to apply for is the uh state representative try to get their letter of support as well um the the county commissioner and we we try to get the uh the support from various government officials now uh your your vote is obviously you know you guys are closest to the to the project so um you know your vote i would think weighs weighs uh very heavily in that situation and it's again at 17 points in an application where applications are decided by one point so it's a significant significant in the competitive process for this scoring okay i'll just close my uh remarks by saying i'm i'm i'm favorably inclined i expect someone will ask so i might as well ask what's the foregone tax revenue for how many units right that's ultimately you know a sort of reality that we should look at with the open eyes to that in your backup what they've estimated would be that the tax revenue loss um but also the uh revenue to the to dme for the electrical and then what the savings is for the the clients who would be served by this unit so in your backup you can kind of see a general analysis of that too if you're interested all right uh any other questions for staff before we circle back to round two any anyone else have questions okay councilmember armature yeah so you know i was going to give my direction if we're ready to give give direction uh i i uh give my support to this um i will will never say no to you know quality safe affordable housing and debt and we need more of it um and i would encourage you to you know reach out obviously that you're going to have to do this but you know in reaching out to a non-profit to work with to try again you know contacting debt and housing authority uh maybe an email i'm not sure you know if you had done a phone call but i know that under covet um uh you know debt and housing authority you know like so many other non-profits or just there's not as much on-site uh activity as before covet so i would encourage an email if you hadn't emailed them and look forward to seeing who you end up partnering with but i i do i give my support to this and hope that other council members do as well well i appreciate that i i actually have uh i have emailed um ms mcdade and and you know i i and also you know we're we plan on um you know we we want to have fun stay in the in the community um and that's why i think that they would be a great partner for us i think that uh it just makes sense like i said they they have a need we have a need and it uh it certainly would uh be something which which would be beneficial um both to dentin and to uh and to us okay and and um any other thoughts for staff or the uh developer okay and so uh and and i i want to i want to spotlight that so jack your your company is a as a development company right that is correct yes and and you're and you're working to bring affordable housing to our area and i just i just spotlight that because there's there there's a deeper reason but i just want to spotlight that uh for my own selfish purposes uh but then i also want to ask you um if you could going forward so i do support where we are at this phase right i think that's important but i want to tip my hand early and say uh the the tax analysis is is something we're going to look at we're going to look at the uh the the fact that we would cut that off at 40 years to say that it's not going to be renewed or or pressed further i think that's important to kind of have that conversation that we're locked that in um and then i i do as we get into the other phases we'll talk about the isd and and because you're right across the street they're adding on and so there's some some kind of logistics there that that i'd like to talk about uh if if we're successful and move forward but but i do value uh what you're bringing to the area um and the one question i have for you before i uh hear from others so on the map you show this baylor university uh and i say map on the the layout uh if that's a proper term what is that let's see that is just past it's just well we just bought the property from baylor baylor i had apparently donated the property to um to the seller or we actually bought it from um i think it was mr erwin uh and craig erwin had donated the property to baylor and we ended up buying the property from baylor got it okay there you go i it's tracking with that and then do you have so you you you made some references to other developments so obviously there's some components that you have to provide but can you give just kind of an overview uh amenities or services provided uh you know we've seen everything from food pantries obviously it's pretty regular to have after school care that sort of thing but can you spotlight some of those for us yes sir let me uh find these because we actually uh so so it's broken down and like i said just give me a minute here let me find my uh my notes on this so it's actually broken down we have to have there's there's a certain points for providing resident services and those can be say shuttle services three times a week for monthly child-supported services adult-supported services such as uh annual income tax preparation contracted career training weekly substance abuse meetings health uh there's you know food pantry that kind of thing weekly exercise class class or community supported services you know where you have arts and crafts notary services weekly home chores you know some other other services and there's about a laundry list and i'm about to be happy to provide that to danie and she can forward over to you a list about um i think there's about 15 to 20 uh services we could provide also there there are certain standards that are required for unit and development features those are you know um you know nine foot ceilings microwave covered entries self-cleaning ovens and you and you and you pick you want to have energy efficiencies in your utilities basically to help the help the residents um you know with the with their utility bills um okay you know yeah the the qualifications there and then you have development entities and what we've chosen is safety control gate access um we would also have a furnished fitness center we would have a uh some horseshoe pit swimming pool we'd have a sports court we'd have perimeter fencing dog park area uh initial and these are all preliminary at this point time gazebo covered pavilion barbecue business center uh furnished community room we've got wi-fi throughout bicycle parking um and and you know those are some of the developed those are some of the services that we would provide on on site now just let you know the this is within walking distance of the of the school which is great and it also um is is you know right across street from a from above shuttle service so that that gives us a little bit of an allowance on the on the parking where we have a you know we have the ratios but we don't necessarily need to uh hit those at 100 we have a little bit of an allowance there so that was addressed by one of the other council members earlier as far as the number of parking um just to let you know and one of the things i did want to mention is that within that report that was uh presented prior to mine they they identified what those rents are for um you know for the one bedroom i think it'd be a 900 if you look at the rent schedule that we've provided i think we hit that number we're right there we're at i think 915 dollars for for a rental uh for the uh 60 rent so yeah we're right where that report seemed to match yeah you sequenced your presentation well well i do have to and i'll i'll put this on the record danny has done a great job uh with uh helping to uh coordinate this with me yes outstanding okay so any uh need some direction from those that i've not heard from or better said is there anyone that's against uh providing a letter let's just do it that way anyone that does not want to move forward with the letter of recommendation our support okay well danny um then you have everything you need for to move forward yes we'll put it on uh next week's council agenda on consent for great okay thank you very much uh jack appreciate your time thank you to all you guys been great i appreciate it yes sir okay um so that concludes our work session session items uh a and b i'll call the closed session and then we'll go we'll take a 10 minute break uh so uh i will convene the close well let me see let me call it first so going into closed session we're going to call um uh item a a id 21 121 deliberations regarding real property under the texas government code section 551.072 and we'll con i will con um convene the closed session at uh 359 p.m we'll consider the following items consultation with attorneys under the um texas government code section 551.0071 deliberations regarding real property under tax code under texas government code section 551.07 and i think i did that in reverse so let me fix that by saying um i'll call uh well we'll take a break and then i'll call it in closed session that'll make it easier to to track with so we'll we're we'll come back in closed session it's 359 let's come back at 10 minutes after four thank you uh good evening we are back for our regularly scheduled city council meeting it is february the second 2021 uh we do have a quorum and it is 6 39 p.m i'll call this meeting to order sorry about the slight delay but we were hard at work the entire time and got a lot done so feel good about that but um running a little behind but so we will start with the first item on our agenda for tonight which is the pledge of allegiance to the united states and texas flag please join me in standing if you're able pledge allegiance to the flag of the united states of america and to the republic for which it stands one nation under god indivisible with liberty and justice for all honor the texas flag i pledge allegiance to the texas one state under god one and indivisible all right that takes us to uh our um next item which is 1b reports from members of the public uh shall be received through following uh two methods and we have obviously now we have callers and so the first person is uh item a under this section id 21134 ashley chapman regarding a non-annex annexation agreement in the city of denton permitting process okay and um miss chapman if you can unmute yourself at star six is how to do that if you okay and then if you could give us your name and address and then you can you can start miss uh chapman are you there are you there sorry mr mayor i don't believe that she is here uh i'm covering the phones give me one second i'll try to get in the line my apologies thank you sir so all right thank you all for bearing with us it's important uh and i'll take this i guess i'll take this opportunity to to look forward for those watching uh from the consent agenda items e and g have been pulled so we'll have presentations on those so if you're tracking along with your agenda and um we'll have separate presentations on e and g uh so the public will be anticipating that okay thinking out loud kill dead dead air um i wonder about the what how the weather person that works in weather feels on a day like today where the groundhog circumvents all your data and schooling one of you like well wait a minute just seems wrong mayor while they're uh i'm just getting a note from billy while they're uh trying to reach out to miss chapman do you want to go ahead and go through the consent agenda and give them a little more time that sounds great and then you can just have her queued up then so that she doesn't pop in so okay so we'll we'll put a place over there in item a uh we'll move to the consent agenda if um i'll take a motion again the consent agenda is a through g but items e and g have been pulled i'll take a motion council member ryan with approval the consent agenda excuse me agenda except for items e and g to be taken up individually afterwards thank you sir it's a mayor pro tem davis second thank you um we have a motion and a second discussion okay seeing none uh council member ryan how say you all right mayor pro tem all right okay uh council member baker uh council member melzer aye council member johnson aye council member armature yes okay and mayor haspeth as i as well the the consent agenda but for e and g pass unanimously and then we'll proceed take up item e separately uh so let me call that that is sorry i should okay that's item id 211-117 consider adoption of an ordinance of the city of denton texas homeroom municipal corporation approving uh proposals from a to z gc inc dba a star general contracting co good evening mayor and council danny shaw community services this item is a product of our home home improvement program so with the brief presentation that we put together for you for this evening's project and i want to let you know that alma espino our housing programs manager is also on the call should you have any additional questions so in our home improvement program is a part of our overall three-year goals in our 2020 to 2022 consolidated plan around the preservation of affordable housing our home repair programs we estimate to complete about 40 projects a year the majority of those are in our minor repair program but we are anticipating about six programs that six projects a year in our home improvement program as well the home improvement program there are two things that we can do within that program and that's either to rehabilitate a home or fully reconstruct it when necessary in order to be eligible for our home improvement program an individual our household has to currently live in the home it has to be their principal residence for the last two consecutive years the home of course must be in denton the household must meet the yearly household income limits it does require a loan however i'll show a slide in a minute about how that loan is structured it's a part payable a part forgivable or 100 percent forgivable loan there is a lien on the property from five to ten years depending on the type of the renovation or reconstruction and the costs associated with that and then one of the other things we do is check on the back end and make sure the household once the construction is complete would be able to maintain and have the ability to afford the new home with the increase in taxes and homeowners insurance that would come with that did want to point out we do have on the dtb channel a project that we completed in the home improvement program miss meyers that you might be interested in viewing later just to see how the program impacts in a household for the home improvement program as i mentioned earlier it is structured based on affordability so for a household that makes less than 30 percent of area median income it is 100 percent forgivable and then all the way up to household qualifies at 65 to 80 percent could be a 20 percent payable and 80 percent forgivable in addition to that or there's a payable portion there is a two percent interest on that payable portion that interest goes back into the program to assist other households and then for elderly households 62 years or older all of those are eligible for 100 percent forgivable in order to determine whether or not the lien and the affordability on that home will be five years or 10 years anything that's less than 60 000 is a five-year commitment to affordability anything greater than 60 000 is a 10-year commitment to affordability and again there's a lien on the home so should the homeowner decide to sell at some point or the owner passes away and it passes to the heirs there's opportunities for any income that is achieved from the sale of that home based on the lien it also goes back into the program as program income this particular project the family is a family of four they did income qualify at just over 60 percent of ami it is a multi-generational household there are two adults one adult child and one adult grandparent in the household their home that we are reconstructing was previously a hundred a 1940s home just over a thousand square feet it was selected for reconstruction due to some extensive repair issues and the need for accessibility for the multi-generational household what will be replaced in that reconstruction is a 1239 square foot home three bedroom two bath accessibility and with energy star rating and just as a reminder this project did go through the bid process was bid out between 12 1 and 12 17 and we received three bids which is pretty good for us typically we don't get a lot of contractors a bit on these projects so i'm pretty lucky the last few bids where we're receiving more input from contractors and interests so with that i will stop and entertain any questions from the council members thank you questions for staff council member melzer and then count council member armature can you remind us of the source of funding and uh you know just this is a lot of money to spend one property but does it inhibit our ability to do other qualifying projects well it is a it is a project that does have a higher cost to it the funds that are used for our home improvement program come either from the home investment partnership from fund or cddg so these are all federal funds there are no local funds in our home repair projects currently and does it and does it diminish our ability to to do other projects but certainly when we look at um the the impact for the funding we do consider if we're looking at high number of people we can serve or the impact to this particular household but as you heard in our earlier presentations preservation is important part of what we're doing community so this household which would otherwise be displaced because they were unable to stay in a safe stable home is able to stay in a safe table home that is affordable to them for the duration of their interest in living there thank you all right council member armature uh two related questions what what's the the the timetable uh for these these federal grants the the cycle of these grants so they this family applied in in december of last year uh you know that is i'm just curious to know you know how often the federal funding that's funding this grants and comes up for this city to apply to apply for and then secondly you know in connection with that was wondering if there were any other homeowners who applied for this grant either for complete uh reconstruction or for partial uh repair in december uh or say between september and december of last year so the federal entitlement funds are allocated annually these particular projects do you have prior year funds as well as new year allocated funds to them the home improvement programs minor repair programs all apply just like any other entity that's interested in and then the committees make recommendations for funding to the project so again the funding is available annually as it's allocated through our entitlement process when you approve the action plan those funds are released in august of each year to us the projects that are funded currently we have seven projects in various states of progress which means an applicant a household will reply and then however long it takes us to qualify them based on when they were able to return the appropriate documentation to us uh two other factors that may control how long it takes to get them approved and then it goes through the bid process as you will know that what that process takes and then once the contractor is available and can start the construction so any project the project could be anywhere from 90 days to a year depending on how that you know takes how much time it takes in each individual project but like I said we have seven projects in action right now for the home improvement program and then on average we usually have about 14 or 15 projects on any given day for a minor repair program we end up doing about 40 to 60 projects a year in that program as well okay thank you council member uh johnson and mayor pro tem davis i'm sure this information is on the website but is it any distributed any other kind of way that it may be uh more people might get this information yeah we do like through our community improvement services officers when they're doing and their enforcement in the community they're able to promote our programs to any households that they may be working with on any kind of code or violation and then we do promote it through the website and through our constant contact email list we talk about it when we have opportunities to have public forums we do public hearings every year so there is opportunity we certainly would taking suggestions of how to promote this project and program across the community with uh i'm sorry yeah all means okay we have a minister alliance here in the dent area as well as uh other churches and things that might be able to get more information out is it any way we can partner or just absolutely we can go out and do a presentation to those groups which we do as well or we can provide you know any of our flyers or documentation to a group that would like to pass it out as they find households that may be interested in the program so absolutely thank you okay and then mayor pro tem davis any thank you for bringing this forward and uh thank you especially for providing the examples that you did in your presentation of properties that have been rehabbed with this money um and it's one little suggestion there's a house on pearl street that was recently part of the historic dentin home tour just a few years ago that was rehabbed back in the 90s using this program or the the predecessor program it also happens to be the house that i grew up in so thanks very much for this program and i'll move approval that that house is disqualified you're biased no thank you councillor melzer despite the questionable after effects okay we have a a motion and a second and then i will say just ask to piggyback on councilmember johnson's question danny what's the so for her to pass along an email address for them to reach out and request that one pager or whatever you have what's the best email address so we'll have a record of that and they can reach out directly to me danielle.shaw city of dentin.com perfect okay thank you um okay so we have a motion to second any other discussion okay so mayor pro tem davis how say you? aye. councilmember melzer? aye. councilmember baker? aye. thank you councilmember ryan? aye. thank you and then councilmember johnson? aye. councilmember armater? yes. okay and mayor hudspeth says yes that passes seven zero we will pause there and we'll come back to g but i'm gonna we do have the caller back on the line so i'm gonna go back to uh citizens comment so this is section a and to recall that that's a id 21134 and we will get uh ashley chapman back on the line and she's speaking regarding a non-anxiation annexation agreement in the city of dentin's permitting process what's the best email address so we'll have a record of that miss chapman if you're there if you can turn down the volume there's a little bit of a delay there certainly certainly thank you very much and if you could give me again your name and address and then you can start you'll have four minutes thank you for the opportunity my name is ashley chapman and my husband and i own the property at 4765 south bonnie bray in the etj in an effort to provide full transparency there have been some development since i originally requested the opportunity to speak yesterday we were able to come to an agreement with the city in regards to our building permit however i have decided to still speak in the hopes that what happened to us does not happen to another family next slide please as a past student athlete at unt my husband and i were thrilled to find land that closely neighbored our beloved city of dentin where we could raise our family and start a small farm unfortunately that excitement quickly turned to frustration and disappointment due to the significant challenges we have faced dealing with the city next slide please from september to the end of december we were told by city agents that we spoke with that permits would go through the county this permitting information was reiterated by county staff up until the city contacted the county in late december and put a stop on our permit we were not notified of this until one six almost a month after the county received our permits and confirmed payment at this point we were told we needed to release from the city as a note no one has been able to provide me with a single example of this release that has ever been provided by another property owner as a requirement for county permits i specifically requested it in my open records request with the county and no such release existed next slide please as you will see in this illustration these are permits that have been filed with denton county for james sever properties the most recently approved permits released to mr were released to mr hector luna in september 2020 next slide please in contrast these are the permits that have been submitted to the city for a single family home for james sever property next slide please there has not been a single permit that has ever been filed with the city of denton for a single family home from a property with an naa next slide please to speak more specifically about recent permits approved by denton county that were not overseen by the city our next door neighbor who clues 30 days before us and purchased from the same seller with the same naa which he himself signed at closing is halfway through building his home on september 23rd the county issued mr hector luna approved permits with zero contingencies as you can see the city was aware that mr luna was building a home with county permits and the city took no action the treatment we received was not an equal nor equitable application of policies and procedures picking and choosing when to imply or enforce oversight creates confusion and uncertainty for the property owners who have been burdened by these naa next slide please after submitting our permits again on 12 14 the city held a meeting on 12 15 to establish a clear policy on this matter this was after we had already submitted our permits multiple times and been given information by the city and the county to permit through the county it is very clear that the city changed its policy after the fact next slide please three of the core values of the city and of denton are integrity transparency and outstanding customer service through our dealings with city officials starting back in the beginning of september what we have experienced is contrary to these ideals in an effort to gather facts since we are unable to rely on city officials to provide them i submitted an open record request with the city of denton on 110 the city quoted me over 20 000 for 908 hours of work which i could expect to receive in six months the county on the other hand fulfilled my request for information at the cost of zero dollars please move forward to the last slide our detrimental alliance on the city of denton has caused our family an extensive amount of grief loss of time and a significant financial hardship we've had to completely start over on our financing and lost the eight hundred dollars we paid for an appraisal our entire build has to be rebid with consequences in the form of increased supply costs we've had to go back to our architect to make alterations and preparations for future changes in city of denton building codes resulting in thousands of dollars in design fees we have had to take delivery of custom windows doors and appliances and will be paying exorbitant monthly charges to store these items we also have attorney fees to account for in total this will cost our family upwards of fifteen thousand dollars without even factoring in the increased cost of building supplies in these already uncertain and turbulent times please seek future direction on a process and policy that will ensure property owners with a naa do not have to go through what we did thank you for your time okay thank you very much for your presentation uh and if we could put yeah so uh questions for the caller counselor armature thank you so much uh ashley and i'm i'm sorry uh for all the the the stress and confusion uh to your family um i'm thrilled to hear uh that you were able to work something out with staff so that is very good to know um and i i just wanted to uh to say um that uh you know you have my my sympathy and my thanks to you my thanks to staff for working something out um and i hope that moving forward you know we can have just consistent policy to apply across the board and i look i look forward to that i hope that there are not future situations like this thank you okay any thank you any other questions okay well thank you very much uh miss chapman for your your presentation and and and for the call thank you very much yes okay so that concludes the that item that'll take us back to the um items pulled from consent agenda we have item g remaining which is and i'll call that now g i d 21071 consider adoption of an ordinance of the city of denton uh city of denton a texas home rule municipal corporation renaming highland park road to parvin street between its intersections with with bonnie bray street to the future extension of parvin street providing for servability and an effective date good evening mayor and council richard canoni deputy director development services and planning director i just wanted to outline some of the existing conditions that are currently out there and better orient the the segment of highland park road that that we're seeking the name change as it stands today this is highland park road the area here that is dashed in red while it it still continues as highland park road it essentially as you can see appears in functions both as an alley and then highland park road does continue it does then jog westward to bonnie bray and so this segment between bonnie bray and what would be parvin road which you can see here to the to the east that is the segment that we're that we we are that's under consideration for the name change to give you a better idea of as to why this is why this is needed and why it's necessary this is the mobility plan that was adopted in in 2015 as you can see it called for highland park road to continue all the way south to rose lawn as or as a residential collector and then for parvin to continue all the way west to bonnie bray also as a residential collector so the the key was really to improve the connectivity as these as the site here develops and as you know we we we had some applied approvals for the site it is a by right development and they have gone through the the planning process for their initial phases which includes this area that you can see here and so the intent really is to have this continue as an alley have highland park road continue to the all the way to the south improve parvin so you have that east west connection and so really the name change again is is that area in in red i'm sorry in in blue and as as i've indicated here the the subdivision currently has three alleys i think at least three the area here and dashed again would just continue to function as an as an alley laurel street would continue there would be a connection through to to highland park and then again the that segment of parvin one of the things we did look at given that this was already platted as as a street we looked at the significance of whether or not if if there there would need to be a mobility plan change to provide highland park road further west and it really did just the functionality of it just did not work given that this is supposed to function as a collector so there is no direct access typically on on residential collectors but also would it would take a huge chunk of the current buffer trees that that included as part of their tree preservation plan in their plat if you can see on here this lot 1x is an hoa lot that they're including as part of their tree tree preservation plan so there is that that buffer that will be maintained as opposed to having to dedicate an additional 30 i think was 32 33 feet i believe that's 30 feet that's already dedicated so this will and this will maintain uh and and function as an alley and the the request is to again rename this portion of parvin i'm sorry this portion of highland park road to parvin street and with that i'll be happy to um answer any questions okay thank you questions for staff councillor melzer we don't give streets away very often uh is there some uh functionality when it becomes an alley becomes private correct no it would still maintain it would still be a public public alley so the alleys that currently are within that subdivision um are our existing alleys that that that's where they access the vehicle uh their parking as well as serviced um in in the past um given the the roadway with their they were allowed to have a narrow roadway narrower roadway um provided that the parking uh in service was collected in the rear we've since changed those some of those engineering standards but those that alley would still be um a public a public alley so is there any uh by changing the designation does it change any of the uses that are available to the general public it it would still it would still it would function as whatever whatever functions it does have i mean correct it as it as it functions today it'll function in the future okay i appreciate that and um you know that that sort of extension of of uh you know the road that would sort of be parallel but diagonal to the east uh that's not there yet right i mean so would it not do the name change until until that's there correct so so they're under they're in review for their construction engineering plans and so they are are gearing in fact i believe they've actually started some of the some of the groundwork some of the grading out there already and so it's just a matter of time before they they finalize and and we've put up public improvements but in terms of you know when you switch the signs and in order to not confuse drivers for parvin as well would make sense to kind of do it once the you know the continuity is there correct once that roadway is open to the public yeah okay thank you i appreciate all this clarification thanks good questions any other questions for staff okay i'll take a motion yeah okay uh councilman melzer i'll move approval council member armature i second it thank you uh so we have a motion and a second any other discussion okay councilman melzer how say you all right uh council member armature yes okay thank you council member baker uh thank you council member ryan aye council member johnson aye mayor pro tem davis aye mayor hudspeth's eye that passes seven zero thank you uh richard then that takes us to our items for individual consideration first items item a id 21090 consider adoption of an ordinance of the city of denton a texas homeroom home rule municipal corporation authorizes the city manager or his designee to execute a contract with reliable paving inc here we go good evening my name is dustin draper i'm with the capital projects uh program manager with capital projects and i'll be bringing you the the word constraints to reliable piping okay good evening good afternoon good evening again like i said this is dustin draper capital projects i'll be presenting you the denton street rehabilitation project for request for a contract award our project scope is a street reconstruction project consisting of 47 segments of residential roadway that were named in the 2012 and 2014 bond program that had an oci reading of less than 30 these are the strength seats you'll notice real quick and i do apologize uh it doesn't look like there's 47 on this list but in the backup information that you sent due to presentation these all 40 segments lie within these segments for instance angelina's bend has five segments within the one segment that is shown here this was the invitation for bid solicitation using the methodology of the lowest responsible bid we had four bidders the lowest being reliable paving the next bidder being jago public after that it was paycom public works and then sun mount paper as you can see reliable had the lowest base bid at 10.4 million with a five percent contingency of 520 657 55 to bring the total of 10.9 million pending y'all's deal tonight uh we would hold a pre-construction meeting tuesday february 10th no seat on the 15th i do apologize about this construction this is myer winter of 2021 to winter 2022 is quite confusing uh we'll go to construction school because we can we will finish in december of 2022 staff recommends adoption of the ordinance to for the denton street rehabilitation program to reliable paving uh in the amount of 10.9 million dollars any questions okay give me just one second we'll pull down the presentation thank you questions for staff council member melter then council member armature first let me say eventually people will be very grateful for all this they will hate us for a while because uh you know the abundance of orange cones but really are this answers the question of what do you get into my street these are really getting to you know some of the streets that are are most crying for attention uh now you know what i'm about to say will seem a bit obnoxious and i ask you to understand that i'm asking this to build public confidence we've uh we've had within the time i've been on council uh recent resurfacings and reconstructions where there was early failure and there was a lot of study done with what would you know why did that happen and then you know i've been asking in mobility committee about a section of west oak street which is recently redone uh that you know as you get west of bradley becomes like a roller coaster and it just erodes confidence that we're really doing it correctly and of course this all the other miles that are done beautifully and you don't hear comment on but uh my question is what are the things that we are now going to be doing differently with this contract uh so that we so that we have high confidence that we won't have the early failures we've had recently yeah so that's a very easy question so all these streets that were on the list all 47 segments have already had a sole report done on soil testing done proof for optimal moisture for compaction for the lime uh administration everything uh we start out ahead of the game there as well as now every as we go forward every 250 foot we pull a sample of every road of 47 segments on that list to ensure that the quality of the testing is done for compaction things before we ever lay the surface down the contractor does the testing it's administered and our public works inspectors are on site to verify the integrity of the test we also spot check behind these tests as well to make sure on top of that before any surface material of asphalt is laid we do a proof roll and you're now not allowed to lay any asphalt that day if one of your areas inside of your proof roll fails and when i say proof roll for people that don't know a lot about construction basically drive a roller or a loaded water truck down the dirt subgrade if one area cracks one area even pumps a little bit then we don't pave that day as far as the asphalt material itself all those are pre-approved through submittal process your vendor reliable payment submitter they're going to use for the asphalt material it has to be on our approved list and then the engineer on record also approves that to make sure it is the optimal material to be used at that per location thank you very much for that explanation okay thank you great questions paul um uh councilmember armater uh yes i was just wondering have we has the city worked with uh reliable before and uh if so you know have there been any any issues and in quality in working with them no man this will be the first time that reliable paving is used here in the city of denton we did go through a strenuous process that took a little time by checking the references uh it's in the backup information as well that we can get to you showing that we pulled three references of similar work uh we contacted all three of those all of them came highly recommended currently at this time uh they're doing a project the designer of this project half that designed these segments of roadway they're doing this same project in the colony as we speak and have had no trouble at all they come highly recommended okay well that that's good to hear i always you know when we go with the lowest bidder um it's it always it seems like a great deal and i and uh you know i can hear my grandmother saying you get what you pay for you know but uh so hopefully um this this really is great and uh anyway i hope there are no problems i'm not i don't foresee any i just wanted to know thank you okay any other questions for staff okay seeing none i'll take a motion council member ryan knowing some of these roadways the way that i do and how rough some of them are certain segments of this you can drive throughout the entire city with about five gallon bottle of water in the back of your car and when you hit this area it will tip over i move approval is there a second councilman baker i'll second it thank you uh we have a motion to second any discussion okay uh councilman ryan how say you i councilman for baker uh okay um council member melzer aye council member johnson aye mayor protem davis aye council member armature yes mayor husbeth is aye as well that passes seven zero uh and and for the record there were no callers for that item and no comments uh let's see that takes us to item b uh i'll call that it's item b id 21177 consider nominations appointments to the city boards commissions and committees um so i don't think there is a presentation but i'll wait for staff no sir there are no presentation okay thank you very much for that confirmation so we've reviewed them in the the nominations either in our backup or an email format uh any any questions for staff okay i'll take a motion mayor protem davis i'll move approval of the nominees uh appointment of the nominees to their respective boards as presented in exhibit two thank you our agenda thank you councilmember baker i'll second it thank you we have a motion and a second discussion seeing none uh mayor protem how say you aye thank you councilmember baker aye councilmember ryan aye councilmember melzer aye councilmember johnson aye councilmember armature yes thank you mayor husbeth's eyes well that passes seven zero thank you that takes us to our public hearing section five of our agenda and i'll call the first item item a pd 20-0008a hold a public hearing and consider adoption of an ordinance of the city of denton texas regarding a rezoning uh from residential four r four district to plan development pd district on an uh approximately 8.3 8.23 acre property generally located on the west side of duncan street and the east side of hill street approximately 240 feet north of of smith street good evening mayor members of the council um just one second i will have the presentation loaded there we go good evening so this is case pd 28 uh habitat for humanity so the request before you is a rezoning from residential four or r4 district to a plan development district the property which you can see outlined in yellow is just over eight acres in size and it is located with frontage on both duncan street and hill street as you can see here on the map with the dcta rail line to the north this is just a look at our current zoning map you can see uh the r4 zoning on the area there on the left side of the screen and then the proposed plan development zoning and what that map would look like on the right side so i want to start off showing you the proposed development plan for the subdivision as i mentioned it is just over eight acres in size they are proposing a total of 35 single-family lots it would be split in two phases so phase one is the the blue shaded area on the screen that would feature 16 lots as well as this common area lot for detention phase two would then follow and that's what's shown in the red and that would be another 19 lots within that phase currently they are projecting that each phase would take about four years for total build out when i walk you through the proposed standards for the plan development it first in terms of uses this proposed pd is proposing to only allow single-family detached dwellings again the the applicant being habitat for humanity that is their primary product is single-family homes that would be designed to be more affordable and then as in terms of accessory uses they're proposing to allow home occupation so that people could run a small business out of their home if they chose to do so and this is just a comparison of what's currently permitted under the r4 district so some of the more intensive uses that are permitted by right and with an sup and r4 would be excluded as part of this pd then looking at the dimensional standards that are proposed you can see in the middle column here the the current r4 district standards so they are proposing slightly smaller lots with a 6,000 square foot minimum as opposed to 7,000 they would reduce the lot width by 10 feet to allow for some of the lots to be as narrow as 40 feet the same lot depth and the front yard set back they're proposing 10 feet as opposed to 20 most of the other standards are very similar the the building coverage because these are smaller lots they're proposing that be 60 as opposed to 50 are their street tree standards would say the same they are proposing increased landscape standards so we'd have one additional tree per lot than we would normally have with the ddc and then the other major change they're proposing with this is with respect to parking habitat homes typically do not have a garage so the parking is provided in the driveway so they're proposing in lieu of the standard four spaces per dwelling unit that we require for single family which is typically two in a garage and two in a driveway that they would have two on on-site spaces or off-street spaces and then one space allowed on the front edge of each lot to provide a total of three per dwelling unit tree preservation standards would apply as they would to any subdivision with the 2019 standards there are several general criteria for approval for planned developments those are outlined in detail in your backup we did find that this request meets all of those general criteria what they're proposing is consistent with the development in the area it's consistent with our ddc and our comprehensive plan standards as we'll look at in a little more detail in a second their phasing is a rational proposal and we didn't find any significant environmental or fiscal impacts that we would face with this development we will go through each of these six criteria specific to plan developments in a little more detail the first is consistency with the comprehensive plan so the first component of that i want to point out is the future land use map which you all are familiar with this area as you can see on the map is primarily low residential and designation but it is in a start transitional zone where we have industrial commerce designation to the east and the south of the property so given that transitional area and this being on the edge of the neighborhood whereas we would normally look for less than four dwelling units per acre it did seem reasonable with their smaller lots that that they come in slightly over four units per acre because you are in an area where residential uses are quickly transitioning to more intensive uses so that seemed reasonable and something that we would typically see in a transitional area for the density to start getting higher on the periphery other components of the comprehensive plan that are important to look at with this proposal are some of its priorities in terms of infill development and affordable housing the the comprehensive plan does speak to a need for infill areas of the city to be designed to facilitate affordable housing with a diversity of housing options so not not just multifamily but also including single family and some other residential uses as you all discussed earlier in the work session this pd again being a habitat for humanity project is intended to facilitate affordable housing and some of that affordability comes from their designing these homes with smaller lot sizes that would have less maintenance and land cost as well as a lesser cost associated with the lower amount of parking required on site the comprehensive plan also features urban design guidelines some of those that are applicable to residential include providing for architectural variety and quality to ensure visual interest in our neighborhoods this pd is proposing to have some some slightly more unique architectural standards the ddc does provide minimums that they are proposing to follow but they also wanted to provide a consistent theme throughout the neighborhood using traditional craftsman architecture and some mid-century elements in the designs of the homes as you can see with some of these examples the second criterion is compliance with the ddc so again other than those changes that you see proposed here in this table they are proposing to comply with everything else within the dentin development code the third criterion is whether the proposal would provide for greater building design amenities and connectivity as we looked at they are proposing enhanced landscaping with those additional yard trees on each lot they're proposing that architectural theming to provide for more of a community character and ensure visual interest in the neighborhood and they are providing greater connectivity with the two streets as you saw boardwalk lane would be continued to connect all the way to duncan street now which is a collector in the area the fourth criterion is specific to pd's proposing residential uses so this is applicable and it's whether they would have compatible buildings uses and consistency with the character of the established area that by limiting the risk or the uses to single-family residential detached homes they are ensuring that this property would develop consistent with the surrounding neighborhood which is almost entirely single-family homes primarily single-story as these would be and then based on those elevations you can see they would be providing a high quality product that would be compatible in form with the architecture that's in the area the fifth criterion is not applicable since they are not proposing non-residential uses and then finally criterion six is whether they would have adequate public facilities to support the development so we'll look at these in a little more detail first with respect to schools we did reach out to denton isd they confirmed the expected student generation for the 35 homes would be fairly minimal less than 10 elementary students and four to six middle school and high school students each and currently all of the schools that this site is zoned for would have capacity for those additional students with respect to fire and law enforcement you can see the nearest fire station is the the downtown central fire station which they are within the eight minute response time boundary that is a goal for our fire department and given the consistency and continuation of the existing use and street pattern in the area there were no significant concerns with respect to law enforcement in terms of water and wastewater infrastructure you can see on the map here the blue lines being water and the red being sewer that there are services adjacent to the site that they could tie into and continue throughout their site for this development and then with respect to streets they did provide trip generation calculations for 35 homes we could expect under 400 daily trips and 30 additional peak hour trips from this site so they didn't come even close to the thresholds of requiring a tia they will have perimeter street improvements such as sidewalks on hill street and duncan street that they will provide and then internally the two streets being the extension of boardwalk across here and then the street they they showed as carrying way would be extended and also feature sidewalks and then finally with respect to parks they are within the the 10-minute walk to a park goal that our parks department has fred moore park is just under a half mile to the north and could be accessed along duncan and lakey streets and then of course our park dedication and development fees would apply at the time of permitting and platting and then finally i'll conclude with speaking to the public outreach that's been done ads were placed in the newspaper and mailed to surrounding property owners we received no written responses with respect to this request the developer did host two neighborhood meetings virtually using zoom the first in december and the second in january each of those had about 20 people in attendance and then finally the planning and zoning commission is or has recommended approval of this request and staff is also recommending approval as we found it to meet the criteria outlined in the ddc and with that i will pull down the screen i'm happy to answer any questions thank you great presentation questions well let me do this let me open the public hearing uh so don't forget that questions for staff mayor pro tem davis it's a couple quick questions um looking at the i guess it's labeled development plan i guess it's labeled development plan um on our in our backup i see some sidewalk a proposed sidewalk along duncan did you say they're also going to do some sidewalk along hill the existing portion of hill yes that is something that our engineering staff has indicated they'd like to work with the developer on to increase the sidewalk connectivity along hill street currently it's a little spotty in the area um but but they are looking to um to assist in getting some greater connectivity in this area so that particularly with any students go to the school that's just to the north of there that that they would have better connectivity so that's something we will be looking at um during their civil engineering plan specifically to see how we can coordinate and get better connectivity in that on that street and do we know are they going to be contributing to any off-site improvement of the railroad crossing on duncan no i'm not aware of any any improvements associated with the railroad crossing at this time okay i don't want to go off posting so i'll submit a separate email but just so staff has a heads up i have some questions about the railroad crossing and some improvements we're making other places whether those are happening at duncan as well great great point there i'm tracking with you other questions for staff council member armator sorry yes thank you for asking about the railroad crossing safety council member davis or mayor pro tem davis or rather mentioning that you're going to be bringing that up later i i too um uh you know am uh concerned about that uh i was wondering if the if there's any plan for these homes to be to have some sort of sign that says this is habitat for humanity housing i hope the answer is no um because i know that you know habitat homes are uh such such beautiful quality and they blend in so well to existing neighborhoods um they don't stand out necessarily as that's where the affordable housing is you know um and they're really top quality uh so i'm just wondering if there's going to be a name for this this uh community um and then just my third question was um and again i'm hoping the answer is no that there'll just be a bunch of homes there um and uh my my third question for now um is in the the backup um exhibit eight it says the posting and responses but if you click on it there's just there's a photograph of the sign and there are no responses were there no written responses received yes so um so i guess backing up to the the first question um i'm not aware of any intent for signage on the property that would you know call it out visually as being a uh you know habitat for humanity homes but the developer is on the line and could address that more specifically for you um the subdivision itself would have a name all subdivisions do that's established at the time of platting but again i'm not aware that that they have any intent to post you know neighborhood entry signs or monumentation or anything of that sort there's nothing of that sort shown on the plans at this time um and then with respect to the the name of the exhibit my apologies if that was misleading that's kind of our standard name for for that exhibit there were no responses provided um to this request okay any other questions for staff all right seeing seeing none i'll make one comment that i um i have sent in an email already similar to what mayor pro tem davis touched on to some degree and so staff's aware of that generally but then too um i think this development is a great connectivity opportunity which i've shared with staff you have the township two neighborhood that's uh to the i guess that would be southeast and so i think there's some connectivity and some uh kind of merging of neighborhoods that would be a great opportunity along duncan so i'm hoping um so i submitted that so that's good uh and um one last question haley can can you help me understand the layout for the three car uh three parking spaces what would that have the same how do you how do you how's that going to be i just don't understand how that works right normally it's just a a rectangle how do you how do you how are we specifically targeting three cars yes so two of those are intended to be on site so they would have you know the typical um i guess that's 18 by 18 roughly parking pad um on the site in the form of the driveway the third space would be on street um in front of those lots so adjacent to the driveway there would be um the intent is to have enough lot width there that a car could park along the street um in front of each home okay and then what are what are the um the street widths would have to conform to whatever our policy is that allows for that correct yeah they would they would follow our standard street section for residential streets uh which in recent years has been widened enough to accommodate uh some on-street parking and still have sufficient room for traffic to move through okay great any other questions for staff counselor melzer yeah not not actually a question a comment uh just i concur that habitat homes are quite nice uh and i don't know if everybody knows people you know who live in them help build them habitat families are great neighbors okay thank you uh councilmember johnson i think it's going to be a great community effort and i think it's a good idea and i kind of like to see in the future looking toward maybe that car on the street thing kind of disappears to where there's just parking you know i don't a lot of cars on the street is not impressing me but at the same time i think it's a great idea and i'm looking forward to it it's going to be a great community okay yeah no and i i will echo that i mean these these will be my neighbors i could you know it's one block from my house uh and and i think i've said it before uh all my neighbors for the most part uh our our homes were built by habitat for humanity have a good feel for uh the the quality of people they select and and look forward to working with them on this project to moving forward so uh that being said i know we have one caller that so i think at least one so um staffs queuing them up all right call are you there we'll give them just one moment uh caller you there hello mayor this is rachel we're going to get him back really quickly please okay thank you sure you call are you there college no all right give them just one bit uh i guess hey do you know if we're going to speak of hill street i don't think there's any sidewalk on hill street from google maps uh and i know we don't own the property in the center of this development are we are we playing the exercise of easement on hill street for that one property owner at the top because i would see if we don't then it'd be just we'd be in putting two separate segments of of sidewalk yes i i don't believe that there have been specific plans made for how how we would do that yet but our engineering department did indicate that that they were interested in um in working with this developer to ensure that we had some consistent sidewalks along hill street great thank you checking with staff now on the caller caller you there oh this is steve homer can you hear me yes uh give me just one moment i'll ask you to give me your name again name and address and then you can begin you'll have four minutes yes this is uh steve homer with homer engineering uh this laura atkinson with habitat does have a presentation that she wanted to make i'm not sure if she's been able to log in or not uh we we were communicating during the meeting and she is is online okay can uh staff can you see if she's online or people to pull her up this is laura atkinson i am on the line and i sent my presentation to hayley i just wasn't sure when we were gonna start it okay i don't yes mayor i'm getting that pulled up perfect all right well there you go we we see it now well hi everybody um again my name is laura blakesley atkinson i'm an executive director of habitat for humanity of denton county the other people on the phone is our engineer steve holmeyer and then our marketing and development coordinator annie false is also on the phone with us we have a very short presentation and i just want to thank you all for listening and hearing about our proposal so um if we could go to um slide two please hayley so um we are a non-profit and i just wanted to share our vision is a world where everyone has a decent place to live and in denton county we do that um by providing affordable housing and hayley then if you could um play the video next let's on slide three please yes give me one second i will have that pulled up uh habitat village is an opportunity that habitat has here in denton but we've been wanting to have the right opportunity to build a village where we can have 35 homes built and have the ability to create a community in southeast denton it's going to solve a major problem that we have and that is actually finding lots to build on in the city of denton i've lived here for 40 years and the city is a home for me i loved it and i love to see it grow i think a community that works together and grow together becomes a closer community i think that we learn that it's not just us that is in the struggle but it's all of us that have struggled to get where we are and we learn to appreciate things more i am thrilled by the idea of the habitat village having the home and the stability of a home uh is a huge plus for children of any family i think it leads to health as well physical emotional and mental health was uh homeless for three years in the woods got a job while i was in the woods bought a car after staying in the motel about a year moved into my vehicle and was in that for about a year when i applied for habitat and i don't have to be in the woods anymore or a vehicle the fact that we can build 35 homes in this location we're set there for a number of years in the future the one main thing for a low-income family and and single minds and stuff it'll keep them from having to do what i did and go out onto the streets that's about how it's going to help and as i worked with the youth all of my life i've always been concerned about the survival and the youth growing and being prosperous the fact of having a habitat home that belongs to you that you have given sweat equity to that they will work with you to hold on and to keep knowing that that front yard is going to be your front yard and that when your children are grown and they're gone and you are empty nester they have a place to come back to that is called home that will be their home it provides then a stable environment for their kids to then focus on their education my son is at college station he has just about two years to complete his doctoral and my daughter is at the university of houston so my 12 year old daughter is here with me and there we are habitat has built other homes in this area and after i moved here i was able to help with my experience from my home on the other houses in this area it ends up being a better thing for not just them but the whole community habitat village and the home ownership within the village is going to create multi-generational associations with that neighborhood then it's a loving community and we've always been concerned about our brothers and our sisters and i want the city to continue to invest in these homes because this is good for people to own property it becomes a valuable asset to the community to grow and generations after generation and this habitat village will give us the opportunity to do that i was able to settle down and finish with my school and to accomplish my education and now i'm a nurse i want to see more communities to strive and to grow i want to see more ownership here in the city i want us to have a valuable and great healthy community and i think with habitat that we're going to be able to accomplish that and i think with habitat that we're going to be able to accomplish that thanks so much for watching that video we really appreciate it and hailey when you have a moment would you go to slide four please yes we're on slide four thank you um i just left this shot of the name the development and with the neighborhood because it shows how um the homes around where the land is for this development um will really complement the entire neighborhood there was a question earlier about naming the habitat village and really it's we've been talking about it for a long time and we've been talking about naming the habitat village and really it's we will use it um and this came up in the community meeting as well um oh sorry hailey next slide and um we went to the board of directors and explained that we really wanted a name for marketing um and for fundraising that was really inclusive and equitable and so um at last week's board member meeting we started going through different um people and a couple names came up uh the board brought up um carolyn phillips who was the founder of fedna and then little head spiv who is the community activist hailey would you go to um slide six but we're still working on and again there won't be a sign it will just be used for marketing fundraising purposes um the habitat village site plan that hailey went through i just included it here we're really excited to begin hopefully begin phase one with 16 lots one or two streets and hailey if you go through slide seven and eight quickly because you did such a good job talking about that and then slide nine again hailey showed these but i just wanted to let the city council that we worked with design services and we're able to work with william brown who's a great designer and he took our homes and he reinvented them and created more artistic appeal and they just look great and then hailey if you could just go through slides 10 11 and 12 um just so the city council can see the different floor plans these are on our website if you'd like to look at them closer um but again we have new floor plans so the community but still complements the neighborhood um so that we're really being a part of the neighborhood was our goal um one great exciting thing really quickly is our build committee figured out how to include an island in one of our kitchens so we're very excited about that and then hailey if you would just go through slide 13 through 16 i just didn't know if the city council had ever seen the inside of our homes our homes are made with great quality um they're energy efficient they're very modern so i wanted to show some slides that you could see the kitchen a bedroom and then slide 16 the last one is a master bedroom and all our master bedrooms have um their own bathroom their ceiling fans so our homes are just they're they're beautiful and so i wanted to make sure that you saw that and then really quickly we do have um an application process and we do have on slide 17 hailey please we do have qualifications for our family so i wanted you to see what some of those are and then hailey if you would go to slide 18 so this um kind of confirms the how we look at the income so if your family is four you must make between 26,200 and 51,720 and all of our families are really hard-working um individuals and and they're pretty they're pretty amazing um hailey if you'll go to slide 19 i also wanted to reassure um the city council that our home we have a community um habitat homeownership services committee that is made up of volunteers and is led by a volunteer chairperson and so staff does not in any way select um families we help gather information and provide input but really our home selection is by community volunteers and when it comes time to select the family it's done anonymously and it's based on the majority vote and then the committee presents anonymously to our board of directors and again then that's approved um through a majority vote and slide 20 please hailey um i just wanted to reassure the city council that our homes are sold to our families at market value and they are praised by a third party and that is really to protect the value of the neighborhood and so slide 21 hailey is just a couple of homes um that have been appraised by the denton county appraisal district and i just wanted to show you the value of those appraisals in um that part of the neighborhood and um that again that's just the appraised values by denton county appraisal district so if it went to market value more than likely they would sell for more than those values and then just to summarize like kaylee brought up is that um habitat will provide two new streets green space and additional access to the lincoln park neighborhood okay so if there's any questions let me know okay and um any questions for the for what would be the applicant caller any questions okay seeing none thank you very much laura oh I guess one second there's a there's a light oh councilmemorandum um yeah i'll say uh just you know my two cents on the the the naming issue um i i think it's uh as as much as i uh adore um mr hudspeth and value his um contributions to the community hudspeth senior a huge fan of him um but i don't think it's it's it would be a good look to to name something after a you know family member of city council member uh so i i would advise just going just going to the community for the name uh and seeing what the what the community wants i i think that's a great idea that that just came up at our board meeting and we just started initial discussions but i have met with colette johnson who currently chairs suddena and she was the one that actually proposed that okay well thank you very much for that i appreciate it it's an honor for me but i understand uh and so then um uh let's see other questions for staff i mean for the caller sorry seeing none thank you laura okay thank you mayor hudspeth okay yeah and then we'll so eric if you could count council member johnson since i have given my opinion and have been included in the video should i excuse myself from this vote well we're not going to vote yet we have another caller uh fair point so eric are you there i am yes sir so if you give your name and address you'll have four minutes um to to speak sure this is eric prove it 21 11 westwood drive i support habitat's requests but with some reservations this could be so much more they could have requested some r7 zoning for flexible live work floor plans along redel to allow residents to bootstrap a business it could have included some town homes to be even more affordable but habitat doesn't want to do that and that's absolutely their decision to make my concern is not what habitat will build over the next few years my concern is whether the future homeowners who aren't here to speak tonight will be allowed to adapt their homes to their families changing needs so they can thrive habitat has determined they need two zoning modifications to build affordable single-family detached homes reduced parking requirements and narrower lots which by the way means that it's practically impossible to build affordable detached homes on the majority of land in minton supposedly habitat thinks they're more likely to get these concessions if they simultaneously restrict the rights of future homeowners to the bare minimum they need to build these planned homes but people and families are not static their needs change over time imagine anita a single mother who put herself through community college and then saved up enough for a down payment on one of these homes it serves her and her children well for a while until her father's health starts failing and he can no longer live alone now in the sandwich generation she wants to build an accessory dwelling unit adu in her backyard where her father can live privately while building memories with her his grandkids and lend a helping hand that would not be allowed in this proposed pd zoning even though it would be allowed if she lived across the street outside this pd so instead she puts her father in a nursing home expending the cash her father saved until he is eligible for medicaid instead of using that money to improve her property in the neighborhood her neighbor joe sent his children to college with the money he saved by living in a lower priced home his health has deteriorated and he can no longer commute a long distance so he wants to start a low impact business but he doesn't have much money left after paying for his children's college he tried renting some retail space to fulfill his childhood dream of selling organic produce but simply doesn't have the capital for a triple net lease on a large commercial space as there aren't many small commercial spaces available he found out if he lived across the street he could sell produce from his home that was raised on premises but not in this pd and he can't afford the legal fees to seek a full zoning change to allow this which might also require a full pd amendment maybe habitat is right that it is necessary to restrict the property rights of future homeowners to achieve zoning where they can build affordable homes but i certainly hope not please explain to me who does it benefit to prevent future homeowners we cannot hear from tonight from all ready existing land rights that allow ad use selling produce raised on premises child care facilities and community gardens what zoning will allow future homeowners to thrive maybe the first step is as simple as allowing all the same uses already permitted in this neighborhood instead of limiting the allowed uses to only single-family detached dwellings and home occupations then ask yourself what's the next step let's keep taking those small steps to help people thrive thank you for your consideration okay thank you let me see if there's any any questions for the caller any questions seeing none thank you very much eric thank you yes sir okay so let's take a it's eight o'clock let's take a 10-minute break to and we'll come back and vote the so uh we'll go off the record at 8 p.m we'll be back 8 10 to to vote on this item thank you and welcome back to this meeting of the denton city council it is still february 2nd 2021 it's 809 we're back on the record we had the we're on public hearing uh the one public hearing we had item a i'm going to close the public hearings and there's no more there's no other callers and um i will turn it over to councilmember johnson i'm going to recuse myself recuse myself from this vote okay all right thank you very much so let the record reflect that councilmember johnson has recused herself uh then i'm looking for a motion on this item councilmember armature yes i want to move approval of this item uh but with the the change in light of the the caller's comments which i agree with that uh the future homeowners shouldn't be restricted in uses any more than anyone else uh in the neighborhood uh so i i support that um and i want to move approval for it under those those conditions just to remove those uh additional restrictions and zone it like like the rest of the neighborhood except i do agree with the the changes for the lot size and parking i'm i'm fine with with that well now let me phrase that i don't frame that so that i'm clear you you want it zoned as the rest of the neighborhood which would up the the lot sizes the parking lot requirements so i guess i need you to articulate which ones you don't want okay so i'm fine with the the the lot sizes and the park and the the parking solution um but not with limiting the uses so preventing you know community gardens um you know using a daycare i i know that that habitat said and i appreciated that that that homeowners could you know run a business out of their home as long as it's still their home i think that's wonderful but i do want to remove those those other restrictions for a community garden and other uses but i'm fine with the the the lot size and the and the parking because that that makes this doable i will say you know and just to add to that i'm really excited about the the the this project but not but but and i see it as not so much a separate community um but but becoming a part of the existing community so that's what i'm most excited about that these will just be homes that are part of the community okay is there a second for that well councilman melzer i'm i'm interested but i'd like to hear from the applicant if that's possible just you know i don't know that they're still on the line are we can we pull them up but well let's you know i don't even know if it's possible but i i mean i i resonate with the sentiment that is laura yes this is laura actingson okay thank you uh have you heard the question on the proposal i did and i just want to remind um that our homes are between 1300 and a little over 1400 square feet and that includes the front porch and what i was told was if we change it to include other things that 50 of the home has to go towards the business and so that would leave only 600 square feet for the family living space and so that's the reason why we said if somebody wanted to you know work in a home office run their business from their homes that that was understandable but we were a little concerned about shrinking a family home with children down to 600 square feet well hailey if you could please thank you yes so the the question that came up at planning and zoning commission was specific to whether um live work dwellings would be permitted um and and that's what laura was speaking to that a live work dwelling by definition is where 50 or more of the residential or of the structure is committed to a commercial use so that was the use that habitat was was not interested in due to the size restrictions that that would leave for the dwelling portion and that's where they settled on on allowing the home occupations where someone could could run a small business out of their home but they weren't you know fully operating a commercial use that would require associated parking and and square footage within the building okay and so hailey hailey if you could just so we can have a because we need i don't want to i don't want i want to frame the question the right way so that laura can consider it and speak directly to it so that we don't get off on tangents the the the question if you could phrase or kind of capture why the pd versus leaving it as its own so the primary factors um that justified the need for the pd were they reduce lot size um because the size standards that they've proposed are are consistent more with the residential six district as opposed to r4 and then the the reduction in parking because the code as it's written today doesn't offer a means for single-family dwellings to have less than four parking spaces so that those are the two reasons they needed the pd the intent with the limitation of uses was again based on habitat's model where they they provide single-family detached homes that are intended to be primarily used as residential so they voluntarily reduced the other uses to to avoid concerns about things such as you know duplexes or other more intensive uses coming into the neighborhood that would be not necessarily consistent with what is there today okay so councilmember moutzer yeah if i may uh there are a few things that you know uh were raised in uh mr brood's call well one was the work at home and i think that's been addressed uh and i think uh nobody's questioning the pd uh tool as a way to address lot size and parking the one that stands out for me is the uh potential to add ar use in the future is is that in fact prohibited and in the pd and you know is that something that must be or has the applicant considered it mayor if i could i just wanted to point out accessory dwelling units are currently not proposed as a use permitted within the pd if council wanted to propose that addition you certainly could but accessory dwelling units do require additional parking so that that could complicate their site layouts being that they they provide a driveway large enough for only two vehicles and then based on the lot frontage each lot would only have one parking space in in front of the lot on the street um so that's another consideration there that yeah okay councilmember melts or any other questions well i i'd like to know if the applicant has said as an objection to allowing uh accessory dwelling units okay uh laura if you could speak to that please and thank you sure um again i'm just going by um recommendations working with the city and hailey explaining that are that it would require um 50 usage of the living space for the family so in that instance um no no sorry let me clarify what i'm asking about is whether you object to allowing um a homeowner to build like a small apartment in a separate structure in the back so so let me let me frame that again it's we're we're i'm sure we're catching her cold and so and there's a lot of moving parts and so the issue i think to frame that the accessory dwelling unit would then require more parking in a larger lot so the question before you laura is are you okay with a larger lot size and more parking your larger live i didn't hear larger well hey hey lee am i am i wrong i mean you would understand in the lot sizes we're reducing them as is so you would have to make them bigger for the spacing for and for no other reason than the parking am i missing something so the lot size you say with a 6 000 square foot lot if the home was 1400 square feet um they would be the the building coverage that's permitted is up to as it's proposed 60 um so they they could in theory add an accessory building if there were room in the rear yard um my concern with that would be again that the driveways are not sized um based on what i what i've seen from habitat they're they're not sized to allow for that third car that would be needed on site at that point um it would it would kind of be negating the parking reduction that they've asked for because they would then still need four spaces um if they were to have accessory dwelling units but in theory the building itself could fit on the lot um my concern would be primarily with parking okay so paul did your question remain well yeah because you could i mean i don't know maybe this is still impossible and i'm just you know trying to not dismiss a reasonable you know suggestion if it is reasonable you know is it is it impossible to supplement if somebody wanted to 10 years from now you know add the adu and somehow enhance the parking available is that still technically feasible to do uh i think hayley's the best person to answer that question yeah and in the way mr city attorney i know it i'm you know i don't from a legal perspective um and not the planning we don't really have any of those regulations in place i know that in theory we can't it's possible to have an accessory dwelling unit but in practice after you know the the setbacks easements uh for water lines especially if it's a separate separately metered those issues come into play that it's it's not possible for for anyone to tell you at this at this time at this moment in time and without having the regulations as to how this would apply to actually tell you that it's okay to put an adu allowance on on this pd it's just we don't have those regulations that we don't have how they would impact this particular development the 40 by 80 lot is is small even with a 14 1500 square foot home and of course the driveway it still is a small lot and i take i take your point i appreciate it uh is is there uh anything that would prevent if we act exactly as you know the applicant is requested tonight uh is there anything that would prevent them from coming back at some future time to ask for an adjustment yes a pd amendment can be done that's not a problem that can be done if we have the regulations and they later determine during their layout that hey we can't put an adu and make it work um but for now i mean it's we don't know i appreciate that thank you my questions have been answered okay uh council member armature uh yeah just to mention um and i'm not is this a is it a question i want to we have that we have the applicant on the line so i want to i want to release her so it's it's a response to something that was said but i'm curious to know uh what staff's reaction to this would be um but you know my my sense is that uh so i if an adu can't uh be be can't go there because of the parking um then uh as i see it that's because our adu requirements uh as it stands now have a certain parking requirement that's not compatible um with having an adu uh at at on lots of this size with that restriction but in the future our adu requirements might change might loosen up uh and so you know for me it kind of resolves the problem if you can't actually fit something there under the current uh under our current laws um then it's it's not going to go there i'm for opening up a number of our our uh zoning rules uh and but again that's not under discussion but it could actually happen in the future but for now um i wouldn't want to restrict it in the pd if it's already restricted um by the requirements that exist for adus you know adding another layer onto it as i as i but i'm curious what staff thinks because i i might be missing something am i sorry i think the city attorney has been very clear on that uh and so i'm gonna i'm gonna let his answer stand with respect to adus uh council member uh mayor pro tem davis i think we're kind of losing sight of the fact that a pd is for the applicant's benefit for them to come and get what they need from uh you know the different various changes that they need um without having to come back later and you know ask for a variance or something like that the purpose is for them to get the development that they're looking for and still fall within uh all of our applicable development code so i don't think it's very fair to to stick new uses on them to say well can't you fit an adu on this size lot and um or you know to to put it in the colors i mean the color's perspective is valuable and appreciated but to say that we need to be thinking more about future users or future residents 20 years in the future than the folks who propose to build the homes today that that doesn't jive with me i think we the applicant has asked for what they've asked for with guidance from staff uh and this motion is not received a second that that is correct and we're getting to that point very point is there a second for what's been proposed if not we're going it's going to fail for want of a second so what has been proposed is a uh an approval but without the protections the pd provides uh or a variation from the what the pd provides uh and so um is there a second for that one more time seeing none motion dies for for want of a second i'll take a motion mayor pro tem davis i move approval of the item okay uh council member melzer a second discussion if i may uh you know it sounds like all the potential alternative needs that might come up can be addressed and if there are you know things we need to address outside of this um you know that can be done in due time as well thank you any other discussion council memorandum yes i just want to say that i will be happy to vote yes to this anyway changes to the pd could come in later um i'm still excited about about this project all right okay uh any other discussion thank you mayor pro tem davis how say you aye uh councilman melzer aye councilman ryan aye councilman baker uh council member armature yes uh mayor hudspeth is a i as well that passes uh six to zero one accuser being uh council member johnson again that concludes item a and the public hearing that concludes our regular uh agenda but for concluding items so moves us to concluding items anyone have anything councilor armature yeah i just want to say at the last meeting in concluding items i i mentioned um the more community morning of the the passing of roland vela and i realized afterwards that that you know i had not mentioned uh elinor hughes a former mayor and council member who who also passed uh and so you know i i hope that we will be able to uh remember them them both at an upcoming uh council meeting in in some form for both of their contributions to this to this city and the community all right thank you agreed uh any other concluding items anyone seeing none okay i will conclude today's meeting uh at 8 27 p.m again it's february 2nd 2021 thank you very much have a great evening