File #: ID-72-25    Version: 1 Name:
Type: Informational Report Status: Agenda Ready
File created: 3/27/2025 In control: City Council
On agenda: 4/8/2025 Final action:
Title: Affordable Housing Definition and Matrix Update
Attachments: 1. Affordable Housing Fee and Ded Reduction Table DRAFT 3-24-25, 2. Affordable Housing Definition Presentation-DRAFT-CC SS 4-8-25.pdf
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Department of Community Development

Reference: Affordable Housing Definition and Matrix Update

To: Mayor Gregory Mills and Members of the City Council

Through: Michael P. Martinez, City Manager

Prepared By: Shawn Weiman, Affordable Housing Coordinator

Date Prepared: March 25, 2025

PURPOSE
Provide for discussion and seek direction regarding revisions to portions of the Brighton Municipal Code (Code) that define affordable housing and outline the process by which fee reductions are applied for, reviewed, and considered.

BACKGROUND
The basis for revising the Code definition of affordable housing was presented to the City Council during a January 28, 2025 study session. At that time, revised area median income levels, source of income limits, fee reductions, and strategies identified in the Housing Needs Assessment (HNA) were introduced. Additional points within ? 3-5-10 Definitions and ? 3-5-50 Application for Reduction or Subsidy are presented for consideration.

1. Minimum Duration of Restriction. Housing tax credits are used to finance many affordable housing developments and are locally allocated and monitored by the Colorado Housing and Finance Authority (CHFA), which requires a minimum fifteen-year restriction. The restriction period can be longer than fifteen years and is typically for thirty years. The current definition of affordable housing does not require a minimum restriction duration. The impact fee reduction application asks whether the development will include a restriction duration of at least ten years for rental housing or five years for owner-occupied housing.

2. Affordability Mechanism. The draft revised definition of affordable housing presented to the City Council on January 28, 2025, includes the requirement that a deed restriction be placed on the affordable units. The Brighton Housing Authority has requested that the land use restriction agreements they enter into with CHFA satisfy this requirement. The Colorado De...

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