>> GOOD MORNING, EVERYONE. THE
TIME IS 9:30 IN THE JUNE 12 THE
MEETING OF THE HOUSING AND
HUMAN SERVICES WILL NOW COME TO
ORDER. I'M CHAIR OF THE
COMMITTEE PAIRED WITH A CLERK
PLEASE CALL THE ROLE. WHOA.
THERE WE GO. THANK YOU.
>> [ ROLL BEING CALLED ]
>> PRESENT AND I BELIEVE VICE
CHAIR MORALE US IS ATTENDING
REMOTELY. OKAY. WHY ARE WE
HEARING -- SURE.
>> APOLOGIES. LET'S SEE IF WE
FIXED THAT.
>> MOVED TO APPROVAL OF THE
AGENDA. IF THERE'S NO
OBJECTION, TODAY'S PROPOSED
AGENDA WILL BE ABDUCTED --
ADOPTED. HEARING NO OBJECTION
THE AGENDA IS ADOPTED. THE
FIRST THING WE'RE GOING TO DO
THIS MORNING IS AN AWARD
PRESENTATION. SO, THANK YOU,
EVERYONE, FOR BEING HERE TODAY
FOR THE JUNE 12th MEETING FOR
THE HOUSING AND HUMAN SERVICES
COMMITTEE. TODAY WE'RE GOING
TO KICK OFF OUR COMMITTEE WITH
AN AWARD PRESENTATION BEFORE
CONTINUING INTO OUR REGULAR
AGENDA. SO, I'M HONORED THAT
THE HOUSING AND HUMAN SERVICES
COMMITTEE GETS TO HOST THE
AWARD PRESENTATION FOR THE
PUGET SOUND REGIONAL COUNCIL
2050 AWARD. TODAY WE WILL BE
HEARING FROM THE DIRECTOR OF
THE PUGET SOUND REGIONAL
COUNCIL. AND THEN AT GROUP
PHOTO FROM CAME TODAY TO
CELEBRATE. AND THEN WE WILL
HEAR FROM THE AWARD RECIPIENTS
SUSAN BOYD, BELLWETHER HOUSING.
BEFORE WE TURN TO OUR NORMAL
AGENDA. SO, IF THERE ARE NO
QUESTIONS FROM THE COMMITTEE, I
WILL INVITE JUDGE BROWN TO
PLEASE GET US STARTED.
>> EXCELLENT. THANK YOU. THANK
YOU FOR HAVING ME HERE TODAY.
FOR THE RECORD, I'M JOSH
BROWN, EXECUTIVE DIRECTOR OF
THE PUGET SOUND REGIONAL
COUNCIL. IF YOU'RE NOT
FAMILIAR WITH THE PUGET SOUND
REGIONAL COUNCIL, WE ARE THE
REGIONS LONG-RANGE, LONG-TERM
REGIONAL PLANNING AGENCY. WE
FOCUS ON LAND USE,
TRANSPORTATION, ECONOMIC
DEVELOPMENT, AND WE REALLY TRY
TO LOOK AT THE FUTURE OUT TO
2050 RIGHT NOW, HOW WE CAN
CONTINUE TO HAVE THRIVING
CENTRAL PUGET SOUND REGION.
I'M HERE TODAY TO RECOGNIZE
THE AREAS AT BITTER LAKE
PROJECT WITH A VISION 2050
AWARD AND THE VISION 2050
AWARDS ARE OUR WAY OF
RECOGNIZING GREAT WORK THAT'S
HELPING TO IMPLEMENT OUR
LONG-RANGE PLAN. SO, WHILE MY
AGENCY IS HELPING TO DEVELOP
THE LONG-RANGE PLANS IT IS
REALLY OUR PARTNERS, OUR
MEMBERSHIP, OUR CITIES,
COUNTIES, BOARDS, TRANSIT
AGENCIES, OTHER PARTNERS THAT
COME TOGETHER TO IMPLEMENT
THOSE PLANS. IN THIS
DEVELOPMENT SPECIFICALLY IS
BEING RECOGNIZED IN OUR ON THE
GROUND CATEGORY FOR AN
OUTSTANDING EXAMPLE OF CREATING
COMMUNITY THROUGH THE BUILT
ENVIRONMENT. THIS PROJECT
CREATED 200 AFFORDABLE HOMES
INTO BEAUTIFUL DEVELOPMENT THAT
TRULY EMPHASIZES COMMUNITY
BUILDING AND SUSTAINABILITY AND
WE ALSO LOVE TO SEE HOW IT
EFFECTIVELY AS PART OF THIS
DEVELOPMENT WAS ABLE TO TAKE
ADVANTAGE OF RECENT PROGRAMS TO
BRING AFFORDABLE HOUSING TO
FRUITION. THE FIRST DEVELOPMENT
FROM THE NEW EVERGREEN IMPACT
HOUSING FUND AND IT ALSO USES
THE CITY OF SEATTLE INCENTIVES
FOR AFFORDABLE HOUSING AND FOR
WASHINGTON STATES EVERGREEN
SUSTAINABLE STANDARDS TO LIFE.
AGAIN, WE KNOW HOUSING,
AFFORDABILITY IS A CONCERN OF
OTHER REGIONS PUBLIC . WE ARE
BUILDING MORE HOUSING THAT WE
BUILT IN 20 YEARS BUT IT'S NOT
ENOUGH. THERE'S MORE WORK TO
DO. SO, CONGRATULATIONS TO THE
CITY OF SEATTLE.
CONGRATULATIONS TO BELLWETHER
HOUSING AND FOR THE SMR FOR
MAKING THIS AMAZING PROJECT
COME TOGETHER.
>> THANK YOU SO MUCH. SO, I
WOULD LIKE TO WELCOME SUSAN
BOYD OF BELLWETHER HOUSING TO
THE PODIUM TO MAKE A FEW
REMARKS. THANK YOU. MR. BROWN?
IS THAT MY MICROPHONE?
>> THANK YOU, COUNCILMEMBER
MOORE AND TO THE PUGET SOUND
REGIONAL COUNCIL FOR THIS
AWARD. WE ARE HONORED. WE ARE
CONSTANTLY LOOKING FOR WAYS TO
LIVE OUT OUR MISSION OF
CREATING AFFORDABLE HOUSING AND
EQUITABLE COMMUNITY AND
INNOVATIVE WAYS AND WAYS THAT
SUPPORT THE LONG-TERM
SUSTAINABILITY OF OUR
COMMUNITY. THE BUILDING , VERY
COOL. FIRST -- OUR FIRST ALL
ELECTRIC BUILDING. IT HAS GOT
SOME -- A LOT OF SUSTAINABLE
FEATURES. IT REPRESENTS A
PARTNERSHIP WITH THE FIRST
PROJECT TO BE FUNDED WITH THE
EVERGREEN FUND THAT IS FUNDED
BY THE PRIMARILY MICROSOFT FUND
AND SOME CREDIT UNIONS COME
TOGETHER TO CREATE LOW INTEREST
LOANS TO HELP US GET THIS DONE.
WE -- I ALSO JUST WANT TO TALK
ABOUT THE PEOPLE THAT LIVE IN
THE HOUSING . OVER HALF OF THE
UNITS ARE TWO AND THREE BEDROOM
UNITS. SO, FAMILIES. LOTS OF
FAMILIES THERE. IT IS HOME TO A
MOM AND DAD WHO HAD BEEN
RAISING THEIR THREE KIDS IN
EMERGENCY SHELTER FOR THE LAST
TWO YEARS. IT IS HOME TO
INDIVIDUALS WHO HAD BEEN
WORKING AND LIVING IN THEIR CAR
FOR MONTHS TO TRY TO FIND
AFFORDABLE HOUSING AND FINALLY
FOUND A HOME HERE. HOME TO A
YOUNG FAMILY WHO HAD BEEN
LIVING IN GRANDMA AND
GRANDPA'S BASEMENT AND NOW
HAVE AN OPPORTUNITY TO LIVE ON
THEIR OWN . TO A RETIRED
TEACHER WHO HAD BEEN PRICED OUT
OF THE COMMUNITY THAT SHE WANTS
SERVED . TO A UKRAINIAN FAMILY
ESCAPING THE RAVAGES OF WAR ,
TO A MAN RECOVERING FROM
HOMELESSNESS AND ADDICTION AND
FINDING RESPITE . JUST A FEW
EXAMPLES OF THE WAY WE CREATE
COMMUNITY AND THE PEOPLE WHO
FIND COMMUNITY IN OUR BUILDINGS
. REALLY HONORED BY THE AWARD .
I WANT TO SHOUT OUT TO MINDY
BLACK WHO IS OUR PROJECT
MANAGER ON THE BUILDING AND
REALLY WAS THE VISIONARY BEHIND
DOING -- BEHIND THE
SUSTAINABILITY MEASURES THERE
AND ARE ARCHITECTS, SMR
ARCHITECTS, THANK YOU VERY
MUCH.
>> WONDERFUL. THANK YOU SO MUCH
FOR THAT.
>> [ APPLAUSE ]
>> I GUESS THIS IS OUR
OPPORTUNITY FOR A PHOTO. ONTO
THE AWARD PRESENTATION.
EVERYONE'S -- [ SILENCE ]
>> OKAY. [ INAUDIBLE ]
>> YOU'RE WELCOME,
COUNCILMEMBER.
>> ALL RIGHT. WELL, I THINK,
GREAT. WELL, ALL RIGHT. THAT
WAS FUN. [ LAUGHTER ] OKAY,
THANK YOU, EVERYONE, FOR
PARTICIPATING. THEY HAVE ALL
LEFT THE PRESENTATION THIS
MORNING. SO, AS THE CHAIR OF
THE HOUSING COMMITTEE AND THE
DISTRICT REPRESENTATIVE I'M
CERTAINLY HONORED TO SEE THE
WORK THAT BELLWETHER HOUSING
HAS DONE IN THE COMMUNITY
PROVIDING 200 AFFORDABLE
HOUSING UNITS IN THE
SUSTAINABLE AND TRANSIT
ORIENTED DEVELOPMENT. SO, THANK
YOU, AND THANK YOU TO MY
COLLEAGUES FOR BEING HERE TO
SUPPORT THIS AS WELL. MOVING ON
TO THE REPORT. TODAY, LET'S
SEE. OUR FIRST ITEM OF BUSINESS
WE HAVE THE OFFICE OF HOUSING
TO PRESENT HOUSING FINANCING
PRESENTATION. THIS IS A
CONDENSED VERSION FROM WHAT WAS
ON OUR MAY 22nd COMMITTEE
AGENDA. THE SECOND ITEM ON THE
AGENDA IS THE FIRST DISCUSSION
OF THE 2023 HOUSING LEVY
ADMINISTRATIVE AND FINANCIAL
PLAN AND THE HOUSING FUNDING
POLICIES. SO, WE DO HAVE WITH
US THE OFFICE OF HOUSING TO
PROVIDE US AN OVERVIEW AND THEN
WE WILL COME BACK TO A LATER
COMMITTEE FOR A VOTE. AND THEN,
FINALLY, WE HAVE AN UPDATE ON
THE IMPLEMENTATION OF THE
RECOMMENDATIONS FROM THE RENTAL
REGISTRATION AND INSPECTION
ORDINANCE FROM THE OFFICE OF
THE CITY AUDITOR AND THE
SEATTLE DEPARTMENT OF
CONSTRUCTION AND INSPECTIONS.
SO, WE DO HAVE A COMMITTEE
AGENDA TODAY. I ANTICIPATE WILL
GO RIGHT UP TO NOON. SO, I
WOULD ASK COMMITTEE MEMBERS TO
SAVE YOUR QUESTIONS TO THE END
UNLESS IT SEEMS APPROPRIATE TO
ASK IT AT THAT VERY MOMENT. SO,
THANK YOU. OKAY, SO, CLERK, CAN
WE MOVE TO PUBLIC COMMENT
PERIOD. TO HAVE ANY SPEAKER
SIGNED UP?
>> CURRENTLY WE HAVE THREE IN
PERSON SPEAKERS AND ONE REMOTE
SPEAKER.
>> OKAY. SO, EACH SPEAKER 12
INMAN -- MINUTES. WE'LL START
WITH THE IN PERSON SPEAKERS
FIRST. CLERK, WILL YOU READ THE
PUBLIC COMMENT INSTRUCTIONS.
GET OUR TECHNOLOGY SORTED OUT.
>> JUST ONE MOMENT. THANK YOU
FOR YOUR PATIENCE. THE PUBLIC
COMMENT PERIOD IS UP TO 20
MINUTES. SPEAKERS WILL BE
CALLED IN THE ORDER IN WHICH
THEY REGISTERED. SPEAKERS WILL
HEAR A CHIME WHEN 10 SECONDS
ARE LEFT ON THEIR TIME.
SPEAKERS MICS WILL BE MUTED IF
THEY DON'T AND THEIR COMMENTS
WITHIN THE ALLOTTED TIME TO
ALLOW US TO CALL ON THE NEXT
SPEAKER. ARE WE READY TO CALL?
THE FIRST IN PERSON SPEAKER IS
RYAN DONAHUE FOLLOWED BY DANIEL
BANNON.
>> HELLO. I WILL TRY TO JUST
THAT. SORRY. HELLO. CHAIR
MOORE, COUNCILMEMBERS, AS YOU
KNOW MY NAME IS RYAN DONAHUE.
I'M THE CHIEF ADVOCACY OFFICER
. WE ARE HERE TODAY TO EXPRESS
HABITATS STRONG SUPPORT FOR THE
UPDATES FOR THE HOUSING LEVY
ADMINISTRATIVE AND FINANCIAL
PLAN AS WELL IS THE ADDITIONAL
PART OF THE UPDATED FUNDING
POLICIES THAT YOU'RE GOING TO
BE HEARING ABOUT HERE SHORTLY.
A FEW THINGS PARTICULARLY IN
THIS THAT I DO WANT TO
HIGHLIGHT INCLUDE THE INCREASE
IN PER-UNIT CAPS FOR BOTH
DEVELOPMENT AND DOWN PAYMENT
ASSISTANCE WHICH IS GOING TO
INCENTIVIZE THE CREATION OF
MUCH-NEEDED FAMILY SIZED UNITS.
SUCH AS WHAT WE ARE BUILDING AT
OUR COTTAGE PROJECTS. OVER IN
SOUTH PARK. THERE ARE FOUR
FAMILIES THAT ARE GOING TO BE
GETTING THEIR HOMES DEDICATED
ON SATURDAY THAT ARE BECAUSE OF
THESE TYPES OF PROJECTS,
INCENTIVIZING FAMILY-STYLE
PROJECTS. THESE TYPES OF
PROJECTS AND PROGRAMS LIKE THIS
, LIKE MHA, LIKE GEMSTAR, LIKE
THE SEATTLE HOUSING LEVY HELP
TO MAKE THESE TYPES OF THINGS
POSSIBLE. THE INCREASE CAP
MAKES THAT POSSIBLE AND THE
WORK THAT OH DOES MAKES THAT
ALSO VERY POSSIBLE. WE ALSO
APPRECIATE THE FLEXIBILITY OF
THE FIRST-TIME HOMEBUYER
DEFINITION TO ALLOW FOR MORE
MOBILITY FOR FIRST-TIME
HOMEBUYERS DEPENDING ON HOW
FAMILY SITUATIONS CHANGE.
ANOTHER POSITIVE THING TO
HIGHLIGHT IS THE CREATION OF
THE SHORT-TERM LOAN PROGRAM FOR
CONSTRUCTION FINANCING ADDING
ONTO THE ALREADY EXISTING
ACQUISITION PROGRAM. THESE
LOANS ARE CRITICAL TOOL THAT
WILL SUPPORT THE DEVELOPMENT OF
QUALITY, LOW COST, AFFORDABLE
HOMES. THE PROJECT THAT I JUST
MENTIONED, THAT IS THE FIRST
FOUR OUT OF 26 UNITS THAT ARE
GOING TO BE BUILT ON THAT SITE
THANKS TO AN ACQUISITION AND
PRESERVATION LOAN THAT OH WAS
ABLE TO PROVIDE FOR US THANKS
TO HAVING THAT PROGRAM ALREADY
EXISTING. WE APPRECIATE THE
WORK AND COMMITMENT THAT THE
CITY STAFF AND LEADERSHIP HAVE
DEDICATED. AND LOOK FORWARD TO
WORKING WITH THE CITY OF
SEATTLE AND THE OFFICE OF
HOUSING TO CONTINUE TO DELIVER
ON THE VISION OF HABITAT, TO
BUILD ON A WORLD WHERE EVERYONE
HAS A SAFE, DECENT, AND
AFFORDABLE PLACE TO CALL HOME.
>> THANK YOU VERY MUCH. NEXT
SPEAKER.
>> NEXT IS DANIEL BANNON
FOLLOWED BY ANGIE GERALD.
>> HELLO, MEMBERS OF THE
COMMITTEE, MY NAME IS DANIEL
BANNON AND I AM SPEAKING TODAY
ON BEHALF OF THE RENTAL HOUSING
ASSOCIATION OF WASHINGTON AND
NEARLY 6000 SMALL HOUSING
PROVIDERS FROM ACROSS THE STATE
MANY OF WHOM ARE IN SEATTLE.
I'M SPEAKING TO THE AUDIT
REPORT TODAY. THIS REPORT
CONFIRMS THE DECLINE IN SMALLER
RENTAL HOUSING PROVIDERS IN THE
CITY OF SEATTLE. THIS IS
SOMETHING THAT WE HAD WARNED
THE PREVIOUS CITY COUNCIL ABOUT
MANY TIMES BEFORE AND
RESTRICTIVE RENTAL HOUSING
POLICY IN THE CITY OF SEATTLE
IS REDUCING SUPPLY AND HARMING
BOTH HOUSING PROVIDERS AND
TENANTS. SMALL HOUSING
PROVIDERS ARE THE CANARY IN THE
COAL MINE. THE SYSTEM IS BROKEN
AND IT IS ONLY A MATTER OF TIME
BEFORE LARGER HOUSING PROVIDERS
BEGIN TO FAIL AS WELL. PREVIOUS
CITY COUNCIL'S BROKER RENTAL
HOUSING POLICY AND YOU GUYS
HAVE THE OPPORTUNITY TO FIX IT.
THANK YOU.
>> THANK YOU. NEXT SPEAKER.
>> THE NEXT SPEAKER IS ANGIE
GERARD.
>> HI. MY NAME IS ANGIE GERALD.
I'M A SMALL LANDLORD IN
BALLARD AND A MEMBER OF SEATTLE
GRASSROOTS LANDLORDS. THE
RENTAL REGISTRY YOU WILL BE
HEARING ABOUT TODAY CONFIRMS
THAT SEATTLE HAS LOST A
TREMENDOUS AMOUNT OF SMALL
RENTAL HOUSING. WE HAVE THAT
YOU PROVIDE GOOD GOVERNANCE,
CRITICAL SCRUTINY FOR WHAT THE
AUDITOR'S REPORT IS SAYING AND
ACCOUNTABILITY FOR IMPORTANT
ASPECTS THAT WERE NOT INCLUDED.
WE HEARTILY AGREE WITH THE
NUMBER ONE RECOMMENDATION.
SEATTLE SHOULD ENACT POLICIES
THAT SUPPORT SINGLE-FAMILY AND
SMALL MULTIFAMILY RENTAL
HOUSING AND INVOLVE IMPACT AND
STAKEHOLDERS. COUNCIL NEEDS TO
OPENLY ACKNOWLEDGE THAT IT IS
ILLOGICAL IN THE SAME REPORTS
TO DOWNPLAY AND DISTRACT FROM
THE RESOUNDINGLY CLEAR SURVEY
DATA THAT SERIOUSLY FLAWED CITY
REGULATIONS ARE FAR AND AWAY
THE CORE ISSUE .
RECOMMENDATIONS THAT FOCUS
SOLELY ON ADMINISTRATIVE AND
INFORMATIONAL IMPROVEMENTS ARE
BASED ON SKEWED, MISMATCHED
OBJECTIVES SET IN MOTION BY
PREVIOUS COUNCILMEMBERS. WHILE
SOME IMPROVEMENTS ARE WELL
NEEDED, THE REPORT MAKES A
SLIPPERY TRANSITION FROM
ACKNOWLEDGING THAT HOUSING
PROVIDERS CONTINUE TO IDENTIFY
REGULATIONS AS THE MOST
CRITICAL PROBLEM BUT THEN IT
PIVOTS TO FALSELY ASSUMING
FIXES ARE THE CURE-ALL. AS ONE
EXAMPLE OF AN EYEBROW RAISING
STATISTIC MISSING FROM TODAY'S
SIDESHOW, 41% OF PEOPLE WHO
REMOVED RENTAL SAID THEY
REINVESTED OUTSIDE THE CITY
ONLY 1% REINVESTED WITH IN
SEATTLE. IT IS NOT BECAUSE OF
OUR FLAWED REGISTRY, IT IS
BECAUSE OF OUR FLAWED LAWS.
THAT IS A TERRIBLE METRIC AND
IT IS ONE OF MANY THAT COULD BE
TRACKED AND IMPROVED UPON BUT
IT REQUIRES A BALANCE CHANGE IN
POLICY MAKING. PLEASE CONSIDER
THE BUDGETARY COST-BENEFIT
IMPLICATIONS OF GETTING MIRED
IN THIS CONSTRAINT SCOPE.
SEATTLE CANNOT AFFORD
DIMINISHED MISSING MIDDLE
RENTAL HOUSING. WE NEED REVISED
LAWS THAT ADEQUATELY AND
HOLISTICALLY SERVE THE NEED.
THANK YOU.
>> THANK YOU. NEXT SPEAKER?
>> THE NEXT SPEAKER IS OUR
REMOTE SPEAKER, IAN RANDALL.
YEP. IAN, PRESS STAR SIX TO
SPEAK.
>> OKAY. CAN YOU HEAR ME OKAY?
>> YES. GO AHEAD.
>> OKAY. THANK YOU. HI, MY NAME
IS IAN RANDALL. I'M A BUSINESS
OWNER, SMALL LANDLORD AND
HEALTH ECONOMIST. --
>> I'M SO SORRY. CAN YOU SPEAK
UP A LITTLE BIT. WE ARE HAVING
A HARD TIME HEARING YOU.
>> OF COURSE. MY NAME IS IAN
RANDALL. I'M A BUSINESS OWNER,
SMALL LANDLORD AND HEALTH
ECONOMIST BUT I'M HERE TODAY
TO EMPHASIZE POINTS THAT I MADE
TO COUNCILMEMBERS IN PERSON AS
WELL AS SHARED WITH STATE
LAWMAKERS. THE CITY DATA MAKES
IT CLEAR THAT SEATTLE IS LOSING
SINGLE-FAMILY MULTIVENDOR HOMES
AND IS ONLY ADDING SMALL UNITS.
ADDING SMALL UNITS IS A RECIPE
FOR LOSING HOUSING STOCK. THE
NUMBER OF REGISTERED PROPERTIES
DECREASED BASED ON THE CITY'S
OWN DATA AND IN THAT SAME TIME
SPAN THE NUMBER OF UNITS
INCREASED BY MORE THAN 4000 AND
WHAT'S CLEAR IN THE DATA AND
ODDLY REMAINS UNEXPLORED IN
REPORTS IS WHAT IS HAPPENING
BECAUSE OF THIS. SMALL
LANDLORDS IN SEATTLE HAVE SAID
TIME AND AGAIN THAT THE
REGULATORY ENVIRONMENT IS
PUNITIVE AND THEY ARE TAKING
THEIR UNITS OFF THE RENTAL
MARKET. SEATTLE IS BUILDING
LARGE DEVELOPMENTS FOR NOW BUT
THAT WILL SLOW INTEREST RATES
OVER THE NEXT COUPLE OF YEARS.
MY OWN ESTIMATE IN THE SWITCH
FROM SMALL TO LARGE PROPERTIES
WITH SMALLER UNITS OR LESS
BEDROOMS HAS COST SEATTLE MORE
THAN 1000 BEDROOMS OVER THE
LAST FIVE YEARS AND THAT'S
DURING A PERIOD OF RAPID
POPULATION GROWTH. HOUSING
PROVIDERS ARE APPRECIATIVE OF
THIS COUNCILS GOOD WORK BUT
MORE MUST BE DONE TO ROLL BLACK
THE HARMFUL ANTI-HOUSING
POLICIES THAT THE BREATHING --
PUNITIVE LAWS PASSED BY
LAWMAKERS. THANK YOU.
>> THANK YOU.
>> CHAIR, THAT CONCLUDES OUR
LIST OF SPEAKERS.
>> ALL RIGHT. SO, THANK YOU,
THERE BEING NO ADDITIONAL
SPEAKERS WE WILL NOW PROCEED
FOR ITEMS OF BUSINESS. MEMBERS
OF THE PUBLIC ARE ENCOURAGED TO
EITHER SUBMIT WRITTEN PUBLIC
COMMENT ON THE SIGN OF CARDS
AVAILABLE ON THE PODIUM OR
EMAIL US AT COUNCIL AT
SEATTLE.GOV. WE WILL NOW MOVE
TO THE FIRST ITEM TWO ON OUR
AGENDA.
>> AGENDA ITEM NUMBER ONE,
SEATTLE OFFICE OF HOUSING ,
HOUSING FINANCING OVERVIEW FOR
BRIEFING AND DISCUSSION.
>> ALL RIGHT. SO, THANK YOU.
SO, TODAY WE HAVE WITH US A
DIRECTOR MAIKO WINKLER-CHIN WHO
IS APPEARING REMOTELY AND WE
HAVE KELLI LARSEN FROM THE
OFFICE OF HOUSING AS WELL AS
TRACI RATZLIF FROM THE COUNCIL
CENTRAL STAFF TO WALK US
THROUGH THE HOUSING FINANCING
PRESENTATION. THIS PRESENTATION
IS TO HELP SET THE STAGE FOR
OUR NEXT AGENDA ITEM REGARDING
THE HOUSING LEVY A AND F AND
HOUSING FUNDING POLICIES. WITH
THAT I WILL TURN IT OVER TO THE
HOUSING OF -- OFFICE OF
HOUSING. AND DO WE HAVE
DIRECTOR CHAIN -- MAIKO
WINKLER-CHIN?
>> WHY IS IT NOT WORKING? [
LAUGHTER ]
>> ARE WE HAVING PROBLEMS
ACCESSING THE --
>> OAK. THERE WE GO.
>> DIRECTOR, ARE YOU THERE? I
THINK WE HAVE LOST DIRECTOR
MAIKO WINKLER-CHIN.
>> TRY IT FROM HERE. SHE WENT
UP ON YOURS.
>> HAVE YOU REJOINED US,
DIRECTOR WINKLER-CHIN?
>> IT'S SHARING, IT'S JUST
NOT IN PRESENTATION MODE. NO
PROBLEM. THERE SHE IS. OH, HER
NAME IS NOT WORKING.
>> THERE WE GO. WE CAN SEE YOU.
WE CANNOT HEAR YOU.
>> WE CAN SEE YOU. NO, WE ARE
HAVING TECHNICAL DIFFICULTIES.
WE'RE JUST GOING TO DO THE
POWERPOINT THIS WAY. SO SORRY.
WE CAN'T HEAR YOU, DIRECTOR
WINKLER-CHIN. MAYBE YOU CAN
FIGURE THAT OUT?
>> [ LAUGHTER ] WE SAW THAT.
>> I WILL START US OFF. PERHAPS
TRY AND RESTART.
>> OKAY.
>> THANK YOU, CHAIR MOORE AND
MEMBERS OF THE COMMITTEE. WE
ARE GLAD TO BE HERE TODAY AND
SHARE MORE ABOUT HOWARD CITY'S
FUNDS WORK WITH OTHER FUNDS TO
INVEST IN AN OPEN NEW RENTAL
HOMES THROUGHOUT THE CITY. THIS
IS JUST NOT WORKING PERFECTLY.
WE'RE JUST GOING TO DO THE
BEST WE CAN HEAR.
>> IF YOU COULD SPEAK MORE INTO
THE MICROPHONE, THAT WOULD BE
VERY HELPFUL. THANK YOU. THIS
ONE. BRILLIANT. THAT WORKED.
>> IT IS ONE OF THOSE MORNINGS,
I THINK. [ LAUGHTER ]
>> [ LAUGHTER ] THERE WE GO.
ALL RIGHT. SO, YOU ARE GOING TO
HEAR US USING WORDS THROUGHOUT
THIS PRESENTATION AND BEYOND
AND YOU PROBABLY ALREADY HAVE
AND ALL OF OUR MEETINGS THAT WE
DO NOT USE A NORMAL EVERYDAY
SPEECH. WE WILL BE USING THEM
IN CONTEXT OF HOUSING
INVESTMENT AND PRODUCTION AND
I'M GOING TO WALK THROUGH SOME
OF THESE TERMS. AMI IS AREA
MEDIAN INCOME. INCOME AND
HOUSING COST LIMITS ARE
TYPICALLY EXPRESSED AS
PERCENTAGES OF AMI AND VARY
DEPENDING ON REGULATORY
REQUIREMENTS. THE GEOGRAPHY FOR
CALCULATING AMI IS USUALLY U.S.
DEPARTMENT FAIR MARKET RENT
AREA WHICH FOR THE CITY OF
SEATTLE INCLUDES -- A NOFA A
NOTICE OF FUNDING AVAILABILITY
IS IN ANNOUNCING OF FUNDING FOR
CERTAIN PROJECTS IN PROGRAM. WE
HAVE TWO NOFA EACH YEAR. ONE
FOR RENTAL HOUSING ONE FOR
HOMEOWNERSHIP. WITHIN EACH NOFA
IS AN OUTLINE OF PRIORITIES FOR
CHOOSING DEVELOPMENTS AND HOW
TO PROVIDE FOR FUNDING. FUNDING
EACH YEAR IS DETERMINED BY HOW
MUCH MONEY WE HAVE AVAILABLE
THROUGH OUR SOURCING SOURCES
LIKE THE PAYROLL TAX AND THE
AFFORDABILITY. AN RFP A REQUEST
FOR PROPOSAL SEEKS QUALIFIED
DEVELOPERS AND OPERATORS TO
SUBMIT PROPOSALS THAT MEET
REQUIREMENTS WE HAVE OUTLINED
FOR SITE-SPECIFIC DEVELOPMENTS.
GENERALLY ON THE RENTAL HOUSING
SIDE THIS MEANS DEVELOPMENTS
LIKE LAKE CITY COMMUNITY CENTER
THE MOUNT BAKER REDEVELOPMENT
SITE AND FORT LOUDON. WE
OUTLINE CREATIVITY SUCH AS HOW
MANY HOMES ARE EXPECTED,
AFFORDABILITY STANDARDS AND
SPECIFIC COMMUNITY PRIORITIES.
LIHTC IS A BIG ONE WE TALK
ABOUT A LOT . LOW INCOME
HOUSING TAX CREDITS. IT OFFERS
TAX CREDITS TO DEVELOPERS WHO
SELL CREDITS TO INVESTORS. THE
CREDITS PROVIDE A DOLLAR FOR
DOLLAR REDUCTION FOR EXCHANGE
FOR INVESTING IN AFFORDABLE
HOUSING. RESTRICTIONS FOR 50
YEARS. IT'S A SYSTEM THAT
FACILITATES PRIVATE INVESTMENT
INTO AFFORDABLE HOUSING SO WE
CAN STRETCH OUR PUBLIC DOLLARS
FURTHER. THE LIHTC INVESTMENT
IS A MAJOR COMPONENT OF MOST OF
OUR CITY PROJECTS. EQUITY IS A
TERM WE USE IN MULTIPLE WAYS.
IT IS THE VALUE OF THE PRIVATE
INVESTMENT THAT GOES INTO
AFFORDABLE HOUSING. IT IS THE
VALUE OF THE AFFORDABLE HOUSING
ITSELF AND IT IS CAPITAL FUNDS.
IT'S USED INTERCHANGEABLY AT
VARIOUS POINTS IN THE PROCESS.
LEVERAGE, ANOTHER TERM WE USE A
LOT IS THE AMOUNT OF OTHER
NON-CITY FUNDS SOURCES THAT
COME INTO A PROJECT TO SUPPORT
THE DEVELOPMENT COSTS. WE OFTEN
TALK ABOUT LIHTC, STATE AND
PRIVATE DEBT SERVING AS
LEVERAGE . WE SAY THAT CITY
FUNDS LEVERAGE OTHER INVESTMENT
MEANING ALL FUNDS SOURCES WORK
TOGETHER TO FULLY FUND THE
PROJECT AND ENSURE IT IS BUILT.
THERE ARE TWO TYPES OF LOANS
THAT ARE INVESTEE'S IN TAINE
-- OBTAIN FROM LOANS BUT
PRINCIPALS PAYBACK AT DIFFERENT
TIMES. THE CONSTRUCTION LOAN IS
USED DURING CONSTRUCTION. THEY
CHARGE INTEREST ON THE AMOUNT
THE PROJECT IS USED UP-TO-DATE.
INTEREST PAYMENTS ARE SMALLER
AT THE BEGINNING OF
CONSTRUCTION THEN AT THE END.
CONSTRUCTION LOANS USED WHEN
THE PROJECT REACHES A LEVEL OF
STABILITY, TYPICALLY THREE
MONTHS. THE PRINCIPLE IS THEN
PAID BACK WHEN THE LOAN CLOSES.
THE PERMANENT LOAN IS A LOAN
WHERE PAYMENTS ARE MADE WITH
MONTHLY INTEREST AND PRINCIPAL
PAYMENTS OVER AN EXTENDED TIME
OF 30 YEARS OR MORE. CERTAIN
PROPERTIES DO NOT HAVE THE CASH
FLOW TO OBTAIN PERMANENT LOANS.
PERMANENT SUPPORTIVE HOUSING IS
AN EXAMPLE. FINALLY, OMS IS
OPERATING MAINTENANCE AND
SERVICES. THE TERM WE USE FOR
THE COST OF RUNNING AFFORDABLE
HOUSING AND SUPPORTIVE HOUSING
OMS CAN INCLUDE PERSONNEL LIKE
JANITORS, CASE MANAGERS,
PROPERTY MANAGEMENT AND OTHER
SERVICE PROVIDERS. AND IT CAN
INCLUDE COST FOR MAINTENANCE
AND REPAIRS, UPKEEP OF THE
GROUNDS, UTILITIES, SAFETY
MEASURES AND ANY COSTS
ASSOCIATED WITH KEEPING THE
LIGHTS ON IN THE WATER RUNNING.
THE TOP TWO OMS COSTS FOR
PERMANENT SUPPORTIVE HOUSING
OUR PERSONNEL AND UTILITIES.
SO, WHAT DOES LOW INCOME MEAN?
THIS IS , AGAIN, AMI IS A
MEASURE THAT HUD ESTABLISHES TO
DETERMINE ELIGIBILITY FOR
HOUSING. LOW INCOME HOUSEHOLDS
MAKE LESS THAN 80% OF AREA
MEDIAN INCOME. VERY LOW INCOME
HOUSEHOLDS MAKE LESS THAN 50%
OF ARYAN -- AREA MEDIAN INCOME.
IN SEATTLE, OVER ONE THIRD OF
OUR HOUSEHOLDS ARE CONSIDERED
TO BE LOW INCOME. SO, THESE ARE
KEY PRINCIPLES THAT GUIDE OUR
WORK AND DEFINE OUR ROLE IN
ADDRESSING THE HOUSING NEEDS IN
THE CITY. BY 2044 SEATTLE NEEDS
124,000 MORE HOMES. IT'S
GREATEST FOR THOSE WITH CLOSE
INCOMES. LEVERAGING OTHER FUNDS
SOURCES HELPS US MAXIMIZE THE
CITY FUNDS TO BUILD AS MANY
AFFORDABLE HOMES AS POSSIBLE.
EXISTING HOMES ALSO NEED
SUPPORT. THIS IS IMPORTANT.
IT'S NOT THE EMPHASIS OF THIS
PRESENTATION BUT WE AREN'T
PAYING MUCH MORE TO OUR
EXISTING PORTFOLIO OF
INVESTMENTS AS OLDER BUILDINGS
AND LONG-STANDING ORGANIZATIONS
ARE WRESTLING WITH DIFFICULT
OPERATING CHALLENGES WHICH HAVE
PERSISTED FOR SEVERAL YEARS.
SO, WE WALK THROUGH JUST A FEW
SLIDES HEAR ABOUT MORE OF THE
DATA THAT DRIVES OUR WORK. THIS
IS ABOUT SEVERE HOUSING COST
BURDEN. THAT MEANS SOMEONE IS
SPENDING MORE THAN 50% OF THEIR
INCOME TOWARDS HOUSING COSTS.
THAT LEAVES LESS MONEY FOR
OTHER NECESSITIES LIKE FOOD,
HEALTHCARE AND DEBT PAYMENTS
WHICH MEANS THAT THE HOUSING
COSTS ARE BURDENING THEIR
BUDGETS. THIS GRAPHIC SHOWS
SEVERE COST BURDEN FOR RENTERS
AND YOU CAN SEE THE LOWEST
INCOME RENTERS HAVE THE HIGHEST
RATES OF SEVERE HOUSING COST
BURDEN. THIS ONE DATA POINT
EXPLAINS IN PART WHY OH
PROVIDES -- IT IS GENERALLY
BELIEVED THAT RENTERS
EXPERIENCING ARE MOST AT RISK
OF DISPLACEMENT AND
HOMELESSNESS. HERE YOU CAN SEE
SEATTLE GROWTH TARGETS
ESTABLISHED BY THE MANAGEMENT
COUNCIL. SEATTLE NEEDS 120,000
NEW HOMES BY 2044 WITH THE
MORTY -- MAJORITY OF NEED IN
THE AFFORDABLE HOUSING
CATEGORY. 70,000 ARE NEEDED.
THE GREATEST NEED FOR
AFFORDABLE HOUSING EXISTS AT
THE ZERO TO 30 LEVEL. FOR THOSE
WITH THE LOWEST INCOMES. WE
NEED OVER 43,000 HOMES ARE
EXTREMELY LOW INCOME
HOUSEHOLDS. THIS CHART DISPLAYS
AFFORDABLE HOUSING NEED OVER
THE SAME PERIOD OF THE SEATTLE
HOUSING LEVY AND WHAT OH IS
ABLE TO ACCOUNTS -- THE TEAL
BAR SHOWS THE NUMBER OF HOUSES
THAT HAVE BEEN OR ARE PROJECTED
TO PRODUCE CITY INVESTMENTS
INCLUDING OUR 2023 SEATTLE
HOUSING LEVY WHICH IS A $970
MILLION FROM THAT SOURCE.
JUMPSTART PAYROLL EXPENSE TAX ,
MANDATORY HOUSING
AFFORDABILITY. THIS IS OVER THE
SEVEN-YEAR PERIOD OF THE
HOUSING LEVY. THE ORANGE BAR
SHOWS HOW MANY HOMES WE STILL
NEED TO COME IN LINE AND
ACHIEVE THE HOUSING GOALS THAT
HAVE BEEN SET. OH ADMINISTERED
SEVERAL FUNDS SOURCES. YOU CAN
SEE THE SEVERAL FUNDS HERE.
MANDATORY HOUSING
AFFORDABILITY. EACH FUND SOURCE
CARRIES DIFFERENT RESTRICTIONS
WITH THE FUNDING THE FULL RANGE
OF INTERVENTIONS FROM
HOMELESSNESS PREVENTION TO
PERMANENTLY AFFORDABLE
HOMEOWNERSHIP, RENTAL
PRODUCTION AND PRESERVATION AS
WELL AS ASSOCIATED OPERATING
MAINTENANCE AND SERVICE
EXPENSES. RENTERS MAKE UP OVER
50% OF THE RESIDENCE IN
SEATTLE. WE UNDERSTAND HOW
IMPORTANT IT IS TO INVEST IN
RENTAL AFFORDABLE HOMES AND THE
RENTAL HOUSING PROGRAM IS THE
MAJORITY OF OUR FUNDS FOR THE
SEATTLE HOUSING LEVY, PAYROLL
EXPENSE TAX AND MHA. WE
RECENTLY ANNOUNCED THE 2023
FUNDING AWARDS TO BUILD 443
HOMES. NOW WE WILL WALK THROUGH
THIS VERY COMPLICATED PROCESS.
THIS IS THE PROCESS FOR TYPICAL
AFFORDABLE HOUSING DEVELOPMENT.
THE DOLLAR AMOUNTS YOU SEE HERE
REPRESENT ESTIMATED COSTS FOR
THE ENTIRE PROJECT, NOT ONLY
THE CITY INVESTMENT. THE
TIMELINES HERE ARE GENERAL
AVERAGES FOR THE VELTMAN CYCLE.
PHASE ONE --
>> I'M SORRY, I'M JUST GOING
TO STOP YOU FOR ONE MINUTE. IT
DOESN'T APPEAR THAT EVERYONE
HAS THE SLIDE DECK THAT YOU ARE
REFERENCING. SO, I JUST WANT TO
ASK, WE ARE GOING TO MAKE A
COPY FOR COUNCIL PRESIDENT. YOU
HAVE THE SLIDE DECK THAT IS
BEING REFERENCED?
>> THANK YOU, MADAM CHAIR. I'M
LOOKING AT THE COPY THAT
SLINKED ON THE AGENDA RIGHT
NOW.
>> BUT WOULD YOU LIKE A HARD
COPY OF THE ONE THAT IS LINKED?
>> THAT WOULD BE PREFERRED.
>> COUNCILMEMBER WOO, WOULD YOU
LIKE A HARD COPY? OKAY. CAN WE
GET THREE. ALL RIGHT. SORRY
ABOUT THAT.
>> THANK YOU.
>> YES. JUST TAKE A BRIEF
MOMENT .
>> I'M GOING TO HAVE SOME
WATER.
>> OKAY.
>> WE DON'T WANT ANY OF YOUR
HARD WORK TO GO UNNOTICED AND
REFERRED TO. YES, AND ALSO,
THIS WOULD BE A GOOD TIME FOR
US TO DO AN AUDIO CHECK FOR
DIRECTOR WINKLER-CHIN. DO WE
HAVE CONTACT, HOUSTON?
>> HOUSTON IS HERE. CAN YOU
HEAR ME?
>> EXCELLENT.
>> LIKE THE VERIZON AD. CAN YOU
HEAR ME NOW? AM I THERE? I
THINK I AM BECAUSE YOU ARE
LAUGHING AT ME. I THINK WE ARE
GOOD.
>> [ LAUGHTER ] YES, WE WE ARE.
>> CHAIR MOORE, HAVE A
QUESTION. WE SPOKE BRIEFLY
ABOUT 30% OF SEATTLE'S
POPULATION IS UNDER 80% AM I?
CAN WE GO BACK TO THE EARLIER
SLIDE? I THINK IT WAS IN THE
FIRST --
>> I THINK THAT IS SLIDE THREE.
WHERE YOU ARE TALKING ABOUT
WHAT DOES LOW INCOME MEAN?
>> OH, 36% LOW INCOME WHICH IS
UNDER 80% AMI.
>> THAT IS CORRECT.
>> HOUSEHOLDS, RENTERS, AND
HOMEOWNERS.
>> SO, WHEN WE LOOK AT THE
SUBSEQUENT SLIDES AFTER THAT,
THAT'S WITHIN THE 30%? WHEN WE
TALK ABOUT LOW INCOME HOUSING?
OR THE SLIDE HERE?
>> AND THOSE STATS, THE 30 --
I'M SORRY, 36? OR WAS A 38%?
WAS I FROM HUD OR WHERE TO THAT
DATA COME FROM?
>> YES, THAT IS HUD DATA.
>> CENSUS BUREAU, ACTUALLY.
>> TO EVER BREAK DOWN? 30% LOW
INCOME. TO EVER BREAK DOWN FOR
A PERCENTAGE THAT IS VERY LOW
AND EXTREMELY LOW?
>> YES. WE CAN GET THAT TO YOU.
WE MAY HAVE HAD THAT IN THE
EARLIER SLIDES.
>> OH. OKAY. [ LAUGHTER ]
>> WE WILL GET BACK TO YOU ON
THAT.
>> GREAT. THANK YOU. APPRECIATE
THAT. WERE THERE ANY OTHER
QUESTIONS ABOUT THE SLIDES WE
HAVE COVERED SO FAR? NO? OKAY.
I WILL TAKE THIS TIME TO ASK. I
DO QUESTION, WHEN YOU WERE
TALKING ABOUT KEY PRINCIPLES
AND YOU WERE SAYING THAT THE
EXISTING HOMES ALSO NEED
SUPPORT , THAT THEY ARE FACING
CHALLENGES, CAN YOU JUST
ELABORATE ON WHAT THOSE
CHALLENGES ARE?
>> SO, WE ARE HEARING A NUMBER
OF CONCERNS FROM OUR PROVIDERS
RIGHT NOW AROUND FINANCIAL
CONCERNS , RENT COLLECTION,
INCREASING OPERATING COSTS,
INCREASING INSURANCE COSTS,
THERE ARE A LOT OF CONCERNS
AROUND WHAT WE HAVE SEEN IN THE
DATA THAT WE HAVE REVIEWED AS
INCREASING AREA MEDIAN INCOME
AS INCREASING IN THE CITY AND
THE COUNTY. THE AREA MEDIAN
INCOME CHART IS BASED ON
EVERYONE'S INCOME THAT LIVES
IN THE REGION. WE HAVE
SIGNIFICANT NUMBER OF HIGHER
INCOME HOUSEHOLDS WHOSE INCOME
HAS INCREASED SIGNIFICANTLY
OVER A FIVE-YEAR PERIOD AND IT
IS PULLED THE ENTIRE AMI CHART
UP BY 38% IN FIVE YEARS. THAT
DOES NOT MEAN THAT EVERYBODY AT
THE LOWEST END OF THE INCOME
CHART IS ALSO GROWING AT THAT
RATE BUT THAT DETERMINES HOW
RENTS ARE SET. THAT IS
TYPICALLY HOW WE HAVE DONE THE
RENT CHARTS WITH AMI. SO, WE
ARE EXAMINING WHAT THAT MEANS.
I THINK ALL OF US ARE LOOKING
AT THIS. WE'VE BEEN HAVING
CONVERSATIONS WITH OUR
COLLEAGUES, THE OF THEIR PUBLIC
FUNDERS AS WELL TO EXAMINING
WHAT'S HAPPENING WITH AMI IN
OUR COMMUNITIES AND WE HOPE TO
BRING MORE OF THAT INFORMATION
BACK SOON PROBABLY AS A PART OF
THE REAUTHORIZATION, --
CONVERSATION. THERE ARE A LOT
OF THINGS. THERE IS A PROBLEM
WITH OUR BEHAVIORAL HEALTH
SAFETY NET. WE HAVE A LACK OF
ACCESS FOR AFFORDABLE HOUSING ,
MEDICAL CARE, BEHAVIORAL
HEALTHCARE AND WE SEE IT
OUTSIDE ALL THE TIME. SO, THERE
ARE A LOT OF THINGS GOING ON
FOR PROVIDERS AND THEY ARE IN
HOMES WITH FOLKS A LOT OF THE
TIME AND THERE IS JUST A LOT OF
CHALLENGES WITH THAT. SO, THE
OFFICE OF HOUSING WE ARE TRYING
TO DO EVERYTHING WE CAN TO
LISTEN, CONSIDER HOW HER
INVESTMENTS CAN COME TO SUPPORT
FOLKS AND ALSO TRYING TO
COLLECT MORE DATA AND SO WE
UNDERSTAND AND CAN USE THE DATA
DRIVEN APPROACH TO BEST ADDRESS
SOME OF THESE CONCERNS.
>> THANK YOU. AND I AM ASSUMING
THAT A LOT OF THOSE CHALLENGES
FALL WITHIN THE OPERATING
MAINTENANCE AND SERVICE AS PART
OF THE BUDGET AND TALKING ABOUT
PEOPLE WITH HIGH ACUITY AND
NEED FOR CASE MANAGEMENT.
>> CERTAINLY THAT IS ONE
COMPONENT AND WE ARE ALSO
LOOKING AT OUR INITIAL CAPITAL
INVESTMENTS AND HOW WE
UNDERWRITE PROJECTS AND THE
INCOME TARGETS THAT WE SET AND
PRIORITIZE FOR NEW INVESTMENTS
COMING IN GIVEN THESE NEW
REALITIES IN THIS CITY.
>> THANK YOU. VERY HELPFUL.
OKAY. WE'RE READY TO GO BACK?
>> YES. I WILL TAKE MY HAND
DOWN.
>> OKAY. YOUR HAND IS DOWN?
OKAY.
>> WHERE DID WE LEAVE OFF THEN?
>> WHERE STARTING OFF IN THE
DEVELOPMENT PROCESS.
>> OKAY. THIS IS SLIDE NUMBER
12.
>> OH, I'M SORRY. I BEG YOUR
PARDON. COUNCILMEMBER MORALES,
YOU HAD A QUESTION.
>> I WILL SAVE THE REST FOR
LATER BUT ON SLIDE -- I DON'T
KNOW IF IT SLIDE SEVEN OR EIGHT
WHERE YOU ARE TALKING ABOUT
NEED VERSUS PRODUCTION. YES.
SO, THE GREEN BAND IS WHAT
OFFICE OF HOUSING IS ABLE TO
PRODUCE WITH THE RESOURCES THAT
ARE AVAILABLE THROUGH DIFFERENT
RESOURCES IN THE CITY AND
FINANCING AND THE ORANGE IS
WHAT WE STILL NEED. SO, CAN YOU
TALK ABOUT HOW WE -- WHAT
OPTIONS WE HAVE FOR ACHIEVING
THOSE GOALS OUTSIDE OF WHAT THE
CITY IS ABLE TO DO? WHAT ELSE
AS A COMMUNITY SHOULD WE BE
LOOKING AT?
>> THAT IS A BIG QUESTION. I
DON'T KNOW, DIRECTOR
WINKLER-CHIN, IF YOU WANT TO
OFFER BUT ONE MAJOR THING WE
ARE INTERESTED IN AND HOPING
FOR AND WE HAVE BEEN ADVOCATING
FOR A LONG TIME IS MORE LOW
INCOME HOUSING, TAX CREDIT AND
REFORM OF THE PROGRAM TO OPEN
UP THE RESOURCE AND BRING MORE
OF THOSE RESOURCES INTO OUR
COMMUNITY. THERE'S A LOT OF
HOPE THAT WE ARE GOING TO
ACHIEVE THAT AND IT MAY STILL
HAPPEN. SO, THAT IS ONE MAJOR
AREA THAT WE HAVE BEEN
ADVOCATING FOR WITH OUR
COMMUNITY PARTNERS. STATE
DOLLARS.
>> I WOULD ALSO ADD, IF YOU CAN
HEAR ME.
>> GO AHEAD.
>> I WAS ALSO GOING TO SAY I
THINK IT IS IMPORTANT TO THINK
ABOUT WHERE WE BUILD HOUSING
AND HOW AND WHY. SO, IT IS SOME
OF THE WORK THAT IS HAPPENING
THROUGH THE CONFERENCE OF PLAN.
I THINK IT IS ALSO
CONSIDERATIONS AT THE FEDERAL
LEVEL OUTSIDE OF JUST THE LOW
INCOME HOUSING TAX CREDIT
REFORM, IT IS HOW DO YOU GET
PRODUCTION UP? BECAUSE THIS IS
NOT A -- THIS IS -- ALTHOUGH
THE CHART MAKES IT LOOK LIKE
THERE MIGHT HAVE BEEN A POINT
RECENTLY WHERE WE WERE ABLE TO
MEET THE NEED, I ACTUALLY THINK
THAT THE NEED HAS EXISTED FOR
20 TO 30 YEARS. WASHINGTON
STATE HAS THE LOWEST NUMBER OF
HOUSING UNITS PER CAPITA THAN
ANYWHERE ELSE IN THE COUNTRY.
SO, HOW DO YOU GET PRODUCTION
UP AS WELL?
>> JUST ONE MORE QUESTION.
>> GO AHEAD.
>> THIS SLIDE IS COMPELLING AND
I NOTE AT THE BOTTOM IT SAYS
AFFORDABLE FOR INCOME 0% 80%
AND I THINK GOING BACK TO THE
SLIDE WITH THE PIE CHART, SLIDE
NUMBER THREE, THE QUESTION WAS
WHAT IS THE BREAKDOWN OF THE
36% OF HOUSEHOLDS IN SEATTLE
THAT ARE LOW INCOME? HOW MUCH
IS VERY LOW INCOME? LET'S SAY
ZERO TO 30 VERSUS 30 TO 60 OR
WHATEVER AND THAT IS REALLY
IMPORTANT INFORMATION BECAUSE
THERE IS NO RENTAL HOUSING
PRODUCTION FOR WORKFORCE OR
BETWEEN 60 AND 80% THAT IS
FUNDED BY THIS HOUSING LEVY AND
THE VAST MAJORITY OF THE
DOLLARS GO TO ZERO TO 30. SO,
THE GRAPHICS DO NOT CORRESPOND
TO THE LEVELS OF INCOME THAT
ARE TARGETED IN THE LEVY. SO,
WHEN YOU DO THAT INFORMATION
FOR THE BREAKDOWN ON SLIDE
THREE THAT WOULD BE HELPFUL FOR
ME TO UNDERSTAND WHAT IS
ACTUALLY THE POPULATION IN
SEATTLE? WHAT IS THE EXPERIENCE
. HOW DOES WHAT WE ARE FUNDING
CORRESPOND TO THE NEED OUT
THERE. THANK YOU.
>> THANK YOU, COUNCIL
PRESIDENT. THERE ALSO WAS
ANOTHER SLIDE THAT CAME OUT OF
THIS VERSION. THE EARLIER
VERSION THAT DID SHOW HOW OUR
FUND SOURCES WORK WITH OTHER
TYPES OF INVESTMENT AND HOUSING
AND HOW OTHER ACTORS IN THE
SECTOR ARE BUILDING OTHER HOMES
FOR DIFFERENT INCOME LEVELS OF
THE CHART. SO, AS YOU SEE THIS
CHART RIGHT HERE, THERE WILL
REALLY BE NO MARKET HOUSING
DEVELOPED FOR THOSE WHO ARE
ZERO TO 30% AMI. THE ONLY WAY
THIS YEAR TO 30% AMI HOMES GET
BUILT IS WITH CITY INVESTMENT
AND OTHER PUBLIC DOLLARS. THERE
ARE OTHER ACTORS IN THE SECTOR
THAT ARE BUILDING HOMES ABOUT
50% AMI, ABOVE 80% AMI, ONE OF
THE WAYS THAT WE HELP TO
INCENTIVIZE THAT TYPE OF
CONSTRUCTION IS THROUGH OUR
PROGRAM AND MHA HELPS TO
SUPPORT THOSE HIGHER INCOME
HOMES AS WELL AS THE PRIVATE
MARKET IS DEVELOPING HOMES
ABOVE 80% OF AREA MEDIAN INCOME
BUT WE WILL SEND THOSE OVER AS
WELL. THANK YOU.
>> OKAY. ANY FURTHER QUESTIONS?
OKAY. SO, WE WILL WALK THROUGH
OUR TYPICAL AFFORDABLE HOUSING
DEVELOPMENT PROCESS. PHASE ONE
STARTS WITH THE VERY EARLY
CONVERSATIONS TO TALK ABOUT
NEED, CONCEPT FOR THE HOUSING,
CONCEPT FOR THE COMMUNITY,
DEVELOPERS WORK WITH THEIR KEY
PARTNERS AND PERHAPS AN
ACQUISITION OCCURS FOR THE
SITE. THEN YOU START WORKING ON
FINANCIAL FEASIBILITY'S, ZONING
ANALYSIS, ENVIRONMENTAL
GEOTECH, THERE IS DEFINING OF
THE DIFFERENT PARTNERS ROLES
AND RESPONSIBILITIES ON THE
DEVELOPMENT TEAM. YOU STRIVE
FOR SITE CONTROL AND PUT IN
PLACE A PROJECT FINANCING PLAN.
THEN BRINGING IN PREDEVELOPMENT
COSTS AND, AGAIN, ACQUISITION,
FINANCING. THIS IS THE PERIOD
OF TIME THAT SPONSORS OF
PROJECTS ARE WORKING REALLY
HARD TO PUT TOGETHER ALL THE
DIFFERENT RESOURCES THAT ARE
NEEDED TO FULLY FUND THE
PROJECT. THIS CAN TAKE SOME
TIME. YOU CAN SEE THE RANGE IS
ONE TO FIVE OR MORE YEARS. IT
REALLY VARIES DEPENDING ON THE
FUND SOURCES THAT COME
TOGETHER, THE TYPE OF PROJECT,
THE TYPE OF SITE CONCERNS THAT
COME UP. IT IS ALWAYS AN
INTERESTING, FUN GAME TO FIGURE
OUT FOR EVERYONE IT'S VERY
COMPLICATED. PHASE TWO, THIS IS
WHEN WE ARE FINALIZING
FINANCING AND MANAGING
CONSTRUCTION. THIS IS WHERE WE
COMPLETE ALL THE FINANCING AND
LEGAL REVIEW, CONSTRUCTION IS
ACHIEVED BY THE END OF THE TWO
YEAR PERIOD, IDEALLY AND THEN
YOU ARE BEGINNING OUTREACH AND
PROMOTION FOR THE LEASE UP OF
YOUR PROJECT TO BRING NEW
RESIDENCE INSIDE. PHASE THREE
IS SOME OF WHAT WE TALKED ABOUT
EARLIER ABOUT SOME OF THE NEEDS
THAT WE ARE SEEING IN OUR
PORTFOLIO. THIS IS A LONG-TERM
FINANCIAL STABILITY AND
OPERATING OF THE BUILDING
ITSELF. WE SUPPORT LONG-TERM
COMPLIANCE AND MONITORING.
THERE IS ONGOING MANAGEMENT OF
THE DEVELOPMENT. ALL SORTS OF
THINGS COME UP AFTER THE GRAND
OPENING OF A BUILDING. YOU SEE
OUT LIVES WITH PEOPLE IN IT AND
NEW CHALLENGES SERVICE EVERY
DAY WHEN YOU'RE OPERATING
AFFORDABLE HOUSING. YOU CAN SEE
FOR OPERATING EVERY YEAR IT IS
BETWEEN ABOUT $500,000-$3
MILLION A YEAR TO OPERATE,
PROVIDE SERVICES AND ENSURE
THESE PROJECTS. THAT'S A RANGE
FROM AFFORDABLE HOUSING TO
PERMANENT SUPPORTIVE HOUSING.
AND MANY OF THE ACTIVITIES THAT
OCCUR ON SITE, SERVICES,
PROPERTY MANAGEMENT,
MAINTENANCE, JANITORIAL REPAIR
AND REPLACEMENT COSTS. THIS
SLIDE SHOWS THE OH SPECIFIC
PART. THEIR MEETING WITH
DEVELOPERS TO DISCUSS THE
CONCEPTS AND DOING EARLY
FEASIBILITY TESTING. YOU GOING
TO THE SECOND SECTION IN GRAY,
WE AS THE PROJECT EVOLVES AND
ENTERS PREDEVELOPMENT STAGE, OH
STAFF CONTINUES DISCUSSING
VISIBILITY, PROVIDE TECHNICAL
ASSISTANCE AND RELEASE FUNDS
FOR COMPETITION. THAT IS OUR
NOFA OR RFP. ONCE PROJECTS ARE
FUNDED AND MOVING TO CLOSING
THE OH TEAM CONDUCTS MORE
BUDGET SCRUTINY, LEGAL REVIEW,
PROJECT UNDERWRITING. WE WORK
WITH OTHER FUNDIES -- FUNDERS
AND NEGOTIATE THE OH CONTRACT
FOR OPERATING AN SERVICES
FUNDING. IN YELLOW THE PROJECT
ENTERS THE PORTFOLIO OR ASSET
MANAGEMENT TEAM WHERE IT BEGINS
MONITORING AND COMPLIANCE PHASE
OF OPERATIONS FOR MANY, MANY
YEARS AND A LOT OF
CONVERSATIONS EVERY YEAR ABOUT
DATA, HOW THINGS ARE GOING, HOW
WE CAN SUPPORT FOLKS, HOW
THINGS ARE DOING, AND ONGOING
REVIEW OF PROJECTS. THESE
CHARTS SHOW EXAMPLE SOURCES AND
USES OF CAPITAL FUNDING FROM A
RECENT PROJECT, OH FUNDED.
THERE ARE SEVERAL KEY FUNDING
PARTNERS CONTRIBUTING TO
PROJECTS ALONGSIDE THE CITY OF
SEATTLE. HERE IN THIS EXAMPLE
YOU CAN SEE PRIVATE EQUITY
COMPRISES APPROXIMATELY 50% OF
THE TOTAL REVENUE SOURCES FOR
THIS DEVELOPMENT. 27% FROM THE
LOW INCOME HOUSING TAX CREDITS,
20% PRIVATE DEBT. THE CITY IS
THE NEXT LARGEST CONTRIBUTOR AT
24%. THE STATE PROVIDED 11%.
KING COUNTY WAS ALSO IN AT 11%
AND THE DEFERRED DEVELOPERS
FEES AT 6% AND THEN WE FLIP TO
THE RIGHT SIDE ON THE
EXPENDITURE SIDE THE MAJORITY
OF FUNDS ARE USED FOR
CONSTRUCTION COSTS. 65%. FEES
TAKE ANOTHER 14% OF THE BUDGET.
THIS INCLUDES ARCHITECTS AND
ENGINEERS TECHNICAL SERVICES.
THE ACQUISITION OF THE LAND
REQUIRED 10% OF THE BUDGET AND
THE REMAINING 11% GOES TOWARDS
DEVELOPMENT COSTS AND FINANCING
FEES. THESE CHARTS SHOW EXAMPLE
SOURCES AND USES OF OMS FUNDING
FROM HER RECENT SUPPORTIVE
HOUSING PROJECT THAT OH FUNDED.
OLE MISS REVENUE CAN VARY
WIDELY. WE HAVE TWO EXAMPLES TO
SHOW DIFFERENT FUNDING PACKAGES
THAT HAVE GONE IN FOR REVENUE.
THIS FIRST ON THE LEFT SHOWS A
PROJECT PRIMARILY FUNDED 50-50
BY FEDERAL COC FUNDS
ADMINISTERED THROUGH THE KING
COUNTY REGIONAL HOMELESSNESS
AUTHORITY AND FROM KING
COUNTY'S HEALTH OR HOUSING OMS
FUNDING. YOU HAVE THE STATE
DEPARTMENT OF COMMERCE ALSO
COMING IN IN THE CITY OF
SEATTLE FILLING SMALL GAPS. THE
SECOND EXAMPLE IN THE MIDDLE
SHOWS A PROJECT THAT RECEIVED A
MAJORITY OF FUNDS FROM THE
STATE DEPARTMENT OF COMMERCE,
SIZABLE 34% FROM THE CITY OF
SEATTLE. PAYROLL EXPENSE TASK
AND KING COUNTY FILLING THE
GAP. ON THE EXPENDITURE SIDE
YOU CAN SEE THE MAJORITY GOES
TOWARDS PERSONNEL AND UTILITIES
WITH SMALLER AMOUNTS FOR
SERVICES AND ASSET MANAGEMENT.
HERE WE TALK MORE ABOUT OUR
PRODUCTION, OR RENTAL
PRODUCTION TIMELINE AT THE
OFFICE OF HOUSING AND HOW THIS
WORKS FOR US. IN GREEN, MADE IN
RESPONSE TO THE NOFA OR THE
RFP. THE REVIEW APPLICATIONS
AND RECOMMEND AWARDS. PROJECTS
ARE SELECTED AND THEY RECEIVE
AN AWARD LETTER. IN THE GREEN
TO YELLOW TRANSITION THIS IS
THE LENGTH OF TIME IT TAKES FOR
DEVELOPERS TO ASSEMBLE FUNDING
FROM ALL SOURCES INCLUDING
STATE, FEDERAL, AND PRIVATE
INVESTMENT. DURING THIS PERIOD
OF FUND BALANCE MAY ACCRUE.
MAJORITY OF THESE FUNDS ARE
COMMITTED TO ACTUAL PROJECTS.
COMMITMENTS WILL BECOME CLOSE
LOANS ONCE ALL FINANCING
SOURCES ARE COMMITTED. AS YOU
CAN SEE THERE IS A LAG BETWEEN
WHEN THE CITY'S FUNDING
COMMITMENT IS MADE AND WHEN
CASH ACTUALLY STARTS FLOWING
DURING CONSTRUCTION. ON AVERAGE
THE LAG TIME IS ABOUT THREE
YEARS. IN YELLOW THE CITY
FUNDING SOURCES ARE IDENTIFIED.
THE PROJECT HAS SECURED OTHER
NON-CITY FUNDS NECESSARY TO
MOVE FORWARD. IF THE PROJECT IS
NOT SECURE OTHER REQUIRED FUNDS
THE CITY FUNDS ARE STILL
EARMARKED AND THE PROJECT
CONTINUES WORKING ON OTHER
FINANCING. THE CITY WILL THEN
CLOSE WITH OTHER FUND SOURCES.
WE ESTABLISH A PROJECT
DISBURSEMENT SCHEDULE WITH A
DETAILED SPEND DOWN PLAN OF
CITY FUNDS AND THE FIRST
DRAWDOWN OF FUNDS IS COMPLETED.
THE FIRST SPENDING BEGINS. IN
BLUE, CONSTRUCTION DRAWDOWN OF
FUNDS OCCURS AS THE PROJECT
PROGRESSES IN THE FINAL 10% IS
HELD AS RETAINAGE UNTIL HER
PROJECT IS COMPLETE. THIS FINAL
SLIDE, WE JUST WANT TO CONCLUDE
TO REVISIT THE WORK AHEAD.
IT'S OUR MISSION TO BUILD AS
MANY AFFORDABLE HOMES AS
POSSIBLE AND WE BUILD THESE
HOMES FOR PEOPLE. YOU HEARD
WONDERFUL STORIES FROM SUSAN
BOYD FROM BELLWETHER OF THE
LIVES THAT ARE IMPACTED BY THE
HOMES THAT THEY HAVE BUILT A
BELLWETHER AS WELL AS THE STORY
FROM RYAN DONAHUE AT HABITAT.
WE BUILD HOMES FOR PEOPLE.
THERE ARE GREAT NEEDS IN OUR
CITY. WE PARTNER WITH OUR
ORGANIZATIONS AND OTHER FUNDERS
TO MAXIMIZE THE IMPACT OF OUR
RESOURCES AND DOING EVERYTHING
THAT WE CAN AS WELL TO SUPPORT
THE EXISTING PORTFOLIO OF
INVESTMENTS AS WE HAVE MANY
AGING BUILDINGS AND CAPITAL
NEEDS THROUGHOUT THE CITY.
>> ALL RIGHT. THANK YOU. THAT
WAS A VERY HELPFUL
PRESENTATION. ARE THERE
QUESTIONS?
>> YES.
>> COUNCILMEMBER ?
>> THANK YOU. I FIRST JUST WANT
TO GO BACK TO THE LAST COUPLE
OF SLIDES . 16 AND SLIDE -- I
DON'T KNOW. I THINK IT WAS 11?
JUST REALLY APPRECIATE YOU
WALKING US THROUGH WHAT IT
TAKES TO GET THESE PROJECTS
DONE. TO SPEND SEVERAL YEARS
JUST PULLING THE FINANCING
TOGETHER, GETTING DESIGNS,
GETTING READY TO DO THE THING
CAN TAKE SEVERAL YEARS BY
ITSELF. AND I THINK IT IS
IMPORTANT FOR ALL OF US TO SEE
THE WAY YOU HAVE LAID THAT OUT.
YOU KNOW, WHY TAKE SO LONG. AND
I THINK IT WAS SLIDE 11, THE
TYPICAL DEVELOPMENT PROCESS,
YOU ALSO HAVE DIFFERENT LEVELS
OF RISK FOR THE PROJECTS IN
DIFFERENT PHASES AND I'M
WONDERING IF YOU CAN TALK A
LITTLE BIT ABOUT WHAT THOSE
RISKS ARE AND WHY GOES UP, FOR
EXAMPLE, FROM THE APPLYING FOR
FUNDS PHASE TO THE CONSTRUCTION
PHASE.
>> DIRECTOR WINKLER-CHIN, WOULD
YOU LIKE TO TAKE THAT?
>> I COULD ATTEMPT TO TAKE
THAT. SO, COUNCILMEMBER , YOU
ARE UNDERSTANDING WHY THE
APPLYING FOR THE FUNDS IS
MEDIUM RISK AND THEN YOU SHIFT
INTO A HIGHER LEVEL OF RISK, IF
I UNDERSTOOD YOU CORRECTLY?
HAVING BEEN WORKING ON THE
OTHER SIDE ON DEVELOPING THESE
PROJECTS, IT IS ALWAYS SEEN AS
A MUCH BIGGER RISK ONCE YOU
HAVE COMMITTED TO CERTAIN LOANS
AND OBLIGATIONS AND ONCE YOUR
SHOVELS ARE IN THE GROUND.
BECAUSE IF YOU FAIL TO FINISH
CONSTRUCTION, YOU ARE
FINANCIALLY AT MUCH GREATER
RISK AT THAT MOMENT IN TIME
THEN YOU WERE IN THE PLANNING
PHASE. IN THE PLANNING PHASE,
THE FINANCIAL RISKS TO YOU AND
THE ORGANIZATION ARE MAYBE A
COUPLE MILLION DOLLARS AND THAT
IS NOT TO MAKE ANY LIGHT OF IT
BUT OFTEN TIMES THE DIFFERENT
FUND SOURCES FOR THAT ARE NOT
REQUIRING YOU TO DO SOMETHING
ELSE SUCH AS DELIVER UNITS FOR
TAX CREDITS. WHEN YOU MOVE INTO
THE HIGH RISK PERIOD YOU'VE
BEEN OBLIGATED YOURSELF TO
PROVIDE A TAX BENEFIT FOR THE
EQUITY INVESTORS. YOU HAVE
OBLIGATED YOURSELF TO SO MUCH
MORE AND FOR THE CITY OF
SEATTLE WE HAVE TIED INTO THIS
PROJECT AS WE ARE GOING
FORWARD. I SEE THAT THEY ARE
CHATTING. MAYBE THERE'S
SOMETHING I'M MISSING IN THAT
BUT I THINK THAT THAT IS ONE OF
THE REASONS WHY GOES TO HIGH
RISK AND THEN, IN THE THIRD
COLUMN, THE LONG-TERM OPERATING
, MY EYES ARE NOT GREAT. CAN
YOU TELL ME WHAT'S THAT?
>> MEDIUM TO HIGH RISK AND
GROWING IN RISK.
>> IT'S MEDIUM TO -- YES. SO,
IT IS MEDIUM TO HIGH RISK. WANT
TO DELIVER THE PROJECT YOU'RE
MOVING INTO LEASING PEOPLE UP
WHICH ALLOWS YOU TO TRANSITION.
I THINK WE TALKED ABOUT THAT
CHANGEOVER TO THE PERMANENT
LOAN AND THEN YOU ARE DEALING
WITH THE REGULAR RISKS OF
HOUSING . I DON'T KNOW, 100
150 HOUSEHOLDS IN ONE BUILDING
THAT YOU ARE RESPONSIBLE FOR,
LEGALLY, AND OFTEN TIMES
MORALLY, RIGHT? BECAUSE IT IS
HOW YOU LIVE OUT YOUR MISSION.
I DON'T KNOW IF THAT WAS
HELPFUL.
>> -- DOLLAR AMOUNTS IN EACH OF
THESE PHASES AND FIRST PHASE UP
TO $60 MILLION TO ACQUIRE LAND.
ONCE YOU GOING TO THE BLUE
PHASE, $30-$60 MILLION PROJECT,
IT IS A MUCH LARGER FINANCIAL
OBLIGATION FOR MANY PARTNERS
INVOLVED AND AS DISCUSSING WITH
MY COLLEAGUE, INFLATION,
INTEREST RATES, COST
ESCALATIONS, THESE WILL HAVE
MAJOR IMPACTS ON PROJECTS THAT
ARE IN PROCESS. IT IS A HIGH
RISK TIME. WE WANT TO MAKE SURE
THAT CRANES COMPLETE THEIR WORK
AND THAT THEY DON'T SIT ON
WORKING ON PROJECTS AROUND THE
CITY. THIS IS A REALLY HIGH
ATTENTION TIME. WANT TO MAKE
SURE THE PROJECTS ARE
COMPLETED.
>> DOES THAT ANSWER?
>> YES. THAT IS HELPFUL. CHAIR,
IF I MIGHT, I HAVE ANOTHER
QUESTION. TWO MORE QUESTIONS?
>> YES. GO. GO.
>> THANK YOU. SORRY. I'M
GETTING OVER SOMETHING HERE.
SO, I HAVE A QUESTION ABOUT A
SPARRING AFFORDABILITY
REQUIREMENTS. AND I WONDER IF
YOU CAN TALK A LITTLE BIT ABOUT
WHAT OH DOES TO ENSURE
RESIDENTS AREN'T DISPLACED DUE
TO ECONOMIC EVICTION IF THE
SALARY GOES UP OR THE RENT GOES
UP, I SHOULD SAY, AND THEN
ANOTHER PART OF THAT QUESTION
IS HOW MANY PROJECTS WILL HAVE
AFFORDABILITY REQUIREMENTS
EXPIRING IN THE NEXT FIVE OR
SIX YEARS AND HOW WE HELP
TENANTS MAYBE PURCHASE THESE
PROPERTIES IF THE LANDLORD IS
NOT INTERESTED IN RENEWING
AFFORDABILITY. SO, THERE ARE
TWO QUESTIONS ABOUT EXPIRING
AFFORDABILITY REQUIREMENTS MLS
QUESTION IS HOW YOU BALANCE THE
NEED TO ENSURE THAT AFFORDABLE
HOUSING IS AVAILABLE OVER THE
CITY SO THAT WE HAVE BOTH
AFFORDABLE RENTAL AND
HOMEOWNERSHIP OPPORTUNITIES. IN
ALL PARTS OF SEO. THANK YOU.
>> SO, WE LOOKED AT THIS DATA
RECENTLY. THANK YOU FOR THE
QUESTION. THIS WILL COME UP AS
WELL IN THE NEXT PRESENTATION
BECAUSE WE HAVE EXPANDED OUR
LANGUAGE AND IMPROVED. TRYING
TO SCROLL THROUGH TO FIND MY
DATA. WE HAD -- WE LOOKED AT
APPROXIMATELY THROUGH 2027. I
THINK WE HAVE LESS THAN 10
PROJECTS THAT ARE EXPIRING
WITHIN OUR PORTFOLIO. WE HAVE A
FEW THAT EXPIRED IN RECENT
YEARS. SOMETIMES THEY COME AND
REQUEST ADDITIONAL INVESTMENTS
FROM US. WE DO HAVE
PRESERVATION DOLLARS AVAILABLE.
THEY ARE SOMEWHAT LIMITED. WITH
OUR NEW POLICIES, WE ARE
PUTTING IN PLACE A PROGRAM AND
A MORE CLEAR PROCESS FOR HAVING
THESE CONVERSATIONS WITH
PROVIDERS THAT ARE FACING THE
EXPIRATION OF THEIR
AFFORDABILITY TERMS TO EXAMINE
WHAT ARE THE CAPITAL NEEDS,
WHAT IS THE BENEFIT OF THE
HOUSING IN THE NEIGHBORHOOD?
AND HOW CAN WE DO EVERYTHING WE
CAN TO KEEP THE PRODUCT IN OUR
PORTFOLIO? WE DON'T HAVE A
HUGE NUMBER OF CONCERNS IN THE
NEAR TERM BUT IT IS VERY
IMPORTANT AND SOME OF THOSE
BUILDINGS ARE A VERY BIG
CONCERN FOR THE HOUSING
PROVIDER THAT OWNS AND OPERATES
IT. SO, WE WILL BE HAVING SOME
OF THOSE CONVERSATIONS IN THE
COMING YEARS.
>> I THINK THE OTHER PART OF
THE QUESTION THAT COUNCILMEMBER
MORALES RAISED IS WHEN SOMEBODY
LIVES IN A UNIT IS LIVING IN A
UNIT THAT HAS EXPIRING
REGULATORY AGREEMENT AND HOW IS
THAT RESIDENT PROTECTED IF THEY
ARE LOW INCOME IN THAT TIME
PERIOD?
>> THEIR RELOCATION RULES AND
ELIGIBILITY FOR ASSISTANCE .
THAT IS THE EXPERTISE BUT THERE
ARE PROTECTIONS IN PLACE FOR
THE RENTERS TO ASSIST THEM IF
RENTS ARE RAISED SIGNIFICANTLY
SUCH THAT THEY CANNOT AFFORD
THEIR HOME ANY LONGER.
>> I FEEL LIKE THERE IS A THIRD
PARTY OR QUESTION WHICH WAS A
TWO QUESTION QUESTION.
>> THE OTHER QUESTION WAS ABOUT
HOW WE ENSURE AFFORDABILITY
THROUGHOUT THE CITY AND I AM
PARTICULARLY INTERESTED IN
WHETHER THERE ARE ZONING
ISSUES, CONVERSATION WHERE
HAVING COMP PLAN AND THE NEED
TO ADDRESS THIS GIANT CLAP -- A
GAP THAT YOU DEMONSTRATED IN
TERMS OF INCREASING
AFFORDABILITY OF MANY MORE
UNITS BUT ALSO MAKING SURE
THOSE UNITS ARE AVAILABLE
THROUGHOUT THE CITY.
>> I BELIEVE YOU ARE COVERING
THAT AND THE NEXT PART OF THE
HOUSING FUNDING POLICIES.
CORRECT? IN THE NEXT SLIDE
DECK?
>> WE WILL TALK A LITTLE BIT
ABOUT OUR PRIVATIZATION AND
HAVE A BETTER GEOGRAPHIC SPREAD
OF HOUSING INVESTMENTS ARE
CONTINUING TO IMPROVE ON OUR
HOUSING INVESTMENTS REACHING
EVERY PART OF THE CITY.
>> OKAY. THANK YOU.
COUNCILMEMBER SAKA.
>> THANK YOU. APPRECIATE THE
PRESENTATION HERE. TWO QUICK
QUESTIONS. MY HOPE IS THEY ARE
STRAIGHTFORWARD ESPECIALLY THE
FIRST ONE. BUT GOING BACK TO
SLIDE FIVE, ONE OF THE EARLIER
SLIDES, WE TALKED ABOUT A FEW
KEY PRINCIPLES GUIDING THE WORK
AND THE FIRST ONE NOTES THAT IN
20 YEARS 2044, SEATTLE NEEDS
MORE HOMES . PRESUMABLY ,
REASONABLE ASSUMPTIONS WERE
MADE AND ARRIVING AT THAT
SPECIFIC NUMBER BUT CAN YOU
HELP ME UNDERSTAND A BIT MORE
ABOUT WHAT SOME OF THOSE KEY
ASSUMPTIONS WERE UNDERLYING THE
ESTIMATE AND IT'S NO SECRET
THAT THERE IS A DEARTH OF
HOUSING SUPPLY IN SEATTLE
TODAY. SO, WOULD THAT NUMBER
PROJECTION OVER 20 YEARS ALLOW
US TO MEET THE NEED AND PLAY
CATCH UP AS WELL? SO, YES, IF
YOU COULD TALK A LITTLE BIT
MORE ABOUT THAT IN THE KEY
ASSUMPTIONS. FIRST QUESTION.
>> THESE ARE NUMBERS PROVIDED
TO US BY THE GROWTH MANAGEMENT
PLANNING COUNCIL. I KNOW
DIRECTOR WINKLER-CHIN AND CHAIR
MOORE REPRESENT THE CITY OF
SEATTLE. YOU CAN SEE THERE'S A
LOT OF WORK THAT GOES INTO
THIS. THE OFFICE OF HOUSING
STAFF PLAYED A MINOR ROLE.
THERE ARE MANY OTHER STAFF THE
PLAY ROLES IN DEVELOPING THESE
TARGETS AND EXAMINING DATA AT
THE COUNTY LEVEL. BUT IT IS
REVIEWING SIGNIFICANT HOUSING
NEEDS AND ALL THE DATA THAT WE
HAVE WITH SOME OF WHAT YOU'VE
SEEN HERE TODAY TO DEVELOP
THESE FIGURES.
>> COUNCIL MEMBER, THOSE
FIGURES ARE ALSO DEVELOPED BY
THE STATE DEPARTMENT OF
COMMERCE AND THE OFFICE OF
FINANCIAL MANAGEMENT AND IT IS
BASED ON ESTIMATES OF
POPULATION GROWTH OVER THE 20
YEAR PERIOD. THEY LOOK AT
HISTORICAL GROWTH AND THEN THEY
TRY TO PROJECT OUT WHAT THEY
THINK FOR EVERY JURISDICTION
THEY MIGHT SEE IN TERMS OF
GROWTH AND THAT'S HOW THEY
DELIVERED THESE GROWTH TARGETS
THAT THEN ARE DIVVIED UP, SO TO
SPEAK, BY DIFFERENT
JURISDICTIONS.
>> INTERESTING. OKAY. THANK
YOU. MY NEXT QUESTION PERTAINS
TO SLIDE 14. TALK ABOUT THE
RENTAL HOUSING DEVELOPMENT
SOURCES AND USES. IN THE FIRST
CHART THERE ON THE LEFT-HAND
SIDE . IT HAS AN EXAMPLE OF
CAPITAL FUNDING STACKS. SO,
JUST CURIOUS. THAT'S HOW
THINGS OPERATE CURRENTLY IN
SEATTLE TODAY. JUST CURIOUS HOW
THIS EXAMPLE STRUCTURE IN
SEATTLE COMPARES TO OTHER MAJOR
JURISDICTIONS COME A BEST
PRACTICES, AND OTHER MAJOR
JURISDICTIONS, PARTICULARLY
THOSE THAT HAVE BEEN ABLE TO
MAKE A LITTLE BETTER , KIND OF,
PROGRESS IN BUILDING AFFORDABLE
HOUSING. SO, YES, JUST CURIOUS,
AGAIN, HOW THIS COMPARES, THIS
EXAMPLE FUNDING STRUCTURE
COMPARES TO OTHER MAJOR
JURISDICTIONS.
>> I WILL START , DIRECTOR, AND
PLEASE, PLEASE JOIN. FROM MY
UNDERSTANDING, MANY
CONVERSATIONS THAT WE HAVE WITH
OTHER HIGH-COST CITIES AROUND
THE COUNTRY, THERE IS A LOT OF
CELEBRATION OF THE WAY THAT OUR
PUBLIC FUNDERS WORK TOGETHER IN
OUR REGION TO SEE THIS TYPE OF
DIVERSE FUNDING IN A CAPITAL
STACK FROM A VARIETY OF FUNDERS
IS A BIG WIN BECAUSE IT
STRUCTURES ARE JURISDICTIONS
DOLLARS AS FAR AS WE POSSIBLY
CAN TO BRING OTHER RESOURCES
INTO PROJECTS. EVERY
JURISDICTION IS DIFFERENT BUT
GENERALLY AFFORDABLE HOUSING
CAN NEVER RELY ON A SINGLE
SOURCE TO BE DEVELOPED AND
IT'S ONE OF THE MAJOR
COMPLAINTS ACROSS THE SECTOR.
YOU MAKE PROJECTS VERY
COMPLICATED IN BRINGING IN A
NUMBER OF FUND SOURCES AND
GENERALLY IT IS JUST REQUIRED
TO MAKE THESE PROJECTS WORK.
SOME OTHER JURISDICTIONS HAVE
OTHER FUND SOURCES THAT WE DO
NOT HAVE AND CAN HAVE DIFFERENT
TYPES OF PERCENTAGES BUT I
THINK, GENERALLY, IN THE STATE
OF WASHINGTON, THE FACT THAT WE
DEDICATE OUR LOW-INCOME TAX
CREDITS AND PRIORITIZE THEM IS
SIGNIFICANT AND IT'S NOT THE
WAY THAT EVERY STATE OPERATES
IN THE COUNTRY. WE SEE A LOT OF
RESOURCES COME INTO AFFORDABLE
HOUSING WITH PRIVATE INVESTMENT
THAT YOU ARE NOT SEEING IN
OTHER PLACES.
>> COUNCILMEMBER SAKA, DID YOU
HAVE ANY OTHER QUESTION?
>> THAT IS ALL FOR NOW. THANK
YOU, MADAM CHAIR.
>> ANY OTHER QUESTIONS? OKAY.
GREAT. I JUST WANTED TO JUST
MAKE ONE NOTE WHICH IS IN
LOOKING AT SLIDE NINE I THOUGHT
IT WAS INTERESTING IN LOOKING
AT HOW THE FUND SOURCES WORK
TOGETHER AND I WOULD NOTE THAT
THE HOUSING LEVY IS THE ONLY
ONE THAT ACTUALLY PROVIDES FOR
HOMELESSNESS PREVENTION, MONIES
AT ALL FROM ZERO TO 50% AMI.
SO, LOOKING AT WHERE WE HAVE
LIMITED FUND SOURCES FOR
PREVENTION WORK, WHICH IN MY
OPINION, IS A KEY CRITICAL
PIECE TO ADDRESSING THE OVERALL
NEED OF HOMELESSNESS AND
HOUSING. SO, ANYWAY, THANK YOU
VERY MUCH.
>> IF I MAY, I WANT TO BE CLEAR
THAT FOR THE OFFICE OF HOUSING,
THAT IS TRUE. THERE ARE MANY
OTHER FUND SOURCES THAT FUND
HOMELESSNESS PREVENTION AND THE
HOMELESSNESS RESPONSE SYSTEM
AND AS WELL AS THE LEVY DOES
HAVE DEDICATED FUNDING FOR
HOMELESSNESS PREVENTION. THERE
OTHER RESOURCES BUT IT IS AN
IMPORTANT PART OF THE HOUSING
LEVY.
>> HUMAN SERVICES DEPARTMENT,
THE OTHER PREVENTION DOLLARS
DUE.
>> OKAY.
>> I MENTION THAT BECAUSE IT IS
LESS EXPENSIVE TO KEEP SOMEONE
IN THEIR HOME IN ADDITION TO,
OF COURSE, MUCH BETTER FOR THE
PERSON AND THE STABILITY OF
THEIR LIVES. SO, I PUSHED TO
GET A LITTLE BIT MORE SUPPORT
IN TERMS OF RENT FOR PEOPLE
THAT ARE PRECARIOUSLY HOUSED
BUT I WILL ALWAYS BE AN
ADVOCATE FOR MORE.
>> EXCELLENT. THANK YOU VERY
MUCH. WELL, THANK YOU FOR THE
EXCELLENT PRESENTATION. I THINK
WE WILL NOW MOVE ON TO THE NEXT
AGENDA ITEM . MADAM CLERK,
COULD YOU READ THAT INTO THE
RECORD?
>> AGENDA ITEM TWO. 2023,
HOUSING LEVY ADMINISTRATIVE AND
FINANCIAL PLAN AND HOUSING
FUNDING POLICIES OVERVIEW FOR
BRIEFING AND DISCUSSION.
>> ALL RIGHT. SO. THANK YOU.
I'M GOING TO TURN IT BACK OVER
TO DIRECTOR WINKLER-CHIN AND
KELLI LARSEN IN TRACI RATZLIF
FOR THE NEXT PRESENTATION.
SORRY. I WANT TO ACKNOWLEDGE
COUNCILMEMBER RIVERA HAS JOINED
US. THANK YOU. SO, I WANT TO
SAY THANK YOU TO EVERYONE FOR
GIVING INITIAL BRIEFINGS ON
THIS LEGISLATION. IT IS HEAVY
AND IMPACTFUL. I APPRECIATE THE
TIME EVERYONE IS COMMITTING TO
IT AND FROM THESE THREE
BRIEFINGS AND ANY DISCUSSION
TODAY IF COMMITTEE MEMBERS FEEL
THAT THEY HAVE CHANGES THEY
WISH TO BRING FORWARD, I ASK
THAT YOU REACH OUT TO HANNAH IN
MY OFFICE AND TRACY BEFORE
10:00 A.M. ON TUESDAY , JANUARY
18th. SO, THAT WOULD BE IF YOU
HAVE ANY AMENDMENTS TO THE AMF
-- A AND F PLAN.
>> SORRY, CHAIR, DID YOU SAY
JANUARY?
>> YES, HERE WE ARE,
CONSTRUCTION AMENDMENTS. YES.
OH. JUNE 18th. WHAT DID I SAY?
OH, MY GOD.
>> I WILL TAKE JULY.
>> THE DAYS ARE JUST A BLUR.
JUNE 18th.
>> THANK YOU SO MUCH. SMART
OKAY. WELL, WITH THAT, IT HAS
ALREADY BEEN ONE OF THESE
MORNINGS. I'M GOING TO TURN IT
OVER. [ LAUGHTER ] YOU MAY
PROCEED. THANK YOU.
>> THANK YOU, CHAIR MOORE. I
APOLOGIZE THERE'S SO MUCH
TALKING FOR ME TODAY. WE ARE
GOING TO START HERE BY TALKING
ABOUT THE 2023 HOUSING LIVING
GOALS AS A LEVEL SET BEFORE WE
DIVE INTO THESE POLICIES. THE
2023 HOUSING LEVY WILL GENERATE
$973 MILLION FROM 2024 TO 2030.
IT WILL CREATE OVER 3100 NEW
AFFORDABLE HOMES WITH RENTAL
AND FOR SALE THROUGHOUT
SEATTLE. IT WILL ASSIST MORE
THAN 9000 LOW-INCOME HOUSEHOLDS
TO PREVENT HOMELESSNESS AND
INSURE HOUSING STABILITY. IT
WILL SUPPORT THE WORKERS,
OPERATIONS, MAINTENANCE AND
SERVICES TO KEEP OUR BUILDINGS
RUNNING SAFELY LONG-TERM AND
PREVENT DISPLACEMENT SUPPORTING
COMMUNITY-BASED DEVELOPMENTS
REFLECTING THE COMMUNITIES
THEY'RE ROOTED IN. OVERALL,
THESE POLICY DOCUMENTS SET
INVESTMENT GOALS AND PROGRAM
RULES INCLUDING POPULATION
PRIORITIES AND COMPETITIVE
FUNDING PROCESSES. WE ESTABLISH
ELIGIBILITY REQUIREMENTS FOR
OUR DEVELOPERS AND
PARTICIPANTS. ELIGIBLE
ACTIVITIES AND USES OF FUNDS
AND REQUIRE REPORTING AND
MONITORING. THERE ARE TWO
DOCUMENTS IN THIS LEGISLATION,
THE HOUSING LEVY ADMINISTRATIVE
FINANCIAL PLAN IS A SHORTER
DOCUMENT. IT IS ABOUT 12 PAGES
LONG. IT IS SPECIFICALLY
ATTACHED TO THE 2023 HOUSING
LIVING TO GUIDE THE USE OF
FUNDS. THIS DOCUMENT IS ADOPTED
BY ORDINANCE AFTER EACH HOUSING
LEVY IS ADOPTED BY VOTERS AND
IT IS UPDATED GENERALLY EVERY
TWO YEARS. CONTAIN SPECIFIC
GOALS FOR EACH HOUSING LEVY
PROGRAM, ESTABLISHED IN THE
HOUSING LEVY ORDINANCE WITH
ADDITIONAL POLICY DIRECTION
FROM THE ACCOMPANY RESOLUTION.
THE HOUSING FUNDING POLICIES
ARE A LONGER DOCUMENT. ABOUT
100 PAGES LONG THAT GUIDE THE
USE OF ALL OF OUR CITY FUND
SOURCES FOR AFFORDABLE HOUSING
ACROSS ALL OH PROGRAMS. THIS
INCLUDES FUNDING FROM THE
HOUSING LEVY , JUMPSTART
PAYROLL EXPENSE TASK, CDBG HOME
AND MANY OTHERS. WE ADOPT THESE
POLICIES BY ORDINANCE EVERY TWO
YEARS WITH MAJOR UPDATES EVERY
SEVEN YEARS AND WE ARE IN THE
SEVENTH YEAR PERIOD RIGHT NOW
BRINGING TWO MAJOR UPDATES TO
THESE POLICIES. WE HAVE HAD
SIGNIFICANT INPUT AND EXCHANGE
WITH OUR CONSTITUENTS SINCE
2021 RECEIVING IDEAS, HAVING
CONVERSATIONS WITH OUR STAFF,
VETTING CHANGES , A LOT OF
MEETINGS, A LOT OF DISCUSSIONS,
SOME HAVE BEEN CHALLENGING BUT
WE HAVE ENDED UP WITH REALLY
STRONG POLICY DOCUMENTS THAT WE
BELIEVE ARE BETTER THAN THEY
WERE LAST YEAR. THIS IS THE
POLICY LANGUAGE THAT IS COMING
TO YOU IN THIS LEGISLATION. I
WILL NOW HIGHLIGHT SOME HIGH
LEVEL CHANGES THAT YOU WILL SEE
IN THE HOUSING LEVY
ADMINISTRATIVE FINANCIAL PLAN.
WE ALSO PROVIDED SUMMARIES OF
THE KEY CHANGES. FEEL FREE TO
RECOGNIZE THOSE AS WELL. IT
WILL RENAME AND RE-CONSOLIDATE
SHORT-TERM LOW PROGRAM WHICH
WAS CALLED THE PRESERVATION
PROGRAM AS WELL AS WE HAD A
SEPARATE PROGRAM FOR BRINGING
THOSE PROGRAMS TOGETHER INTO A
NEW SHORT-TERM LOAN PROGRAM. WE
ARE MAKING INVESTMENT EARNINGS
ELIGIBLE FOR PREDEVELOPMENT OR
INTEREST EARNINGS ELIGIBLE FOR
PREDEVELOPMENT. WE ARE MAKING
ADMINISTRATION FUNDING ELIGIBLE
FOR COSTS AND FOR THE
ADMINISTRATION OF FOLK --
PUBLIC SITES. WE HAVE CHANGED
OUR ANNUAL REPORTING DUE DATES
. WE ARE ADDING LANGUAGE ABOUT
COMMUNITY WORKFORCE AGREEMENTS
TO PROVIDE COMMUNITY WORKFORCE
AGREEMENT ON 46 RENTAL HOUSING
PROJECTS ON PUBLIC SITES AS
AGREED TO IN THE ACCOMPANY
RESOLUTION. WE ALSO DESCRIBED
THE HOMELESSNESS PREVENTION AND
HOUSING STABILITY PROGRAM WHICH
IS ADMINISTERED BY THE HUMAN
SERVICES DEPARTMENT. THE
WORKFORCE STABILIZATION FUND
AND RESIDENT SERVICE PROGRAM
WHICH ARE BOTH FUNDED AND
OPERATED BY THE OFFICE OF
HOUSING. THE PERMANENT
SUPPORTIVE HOUSING WORKFORCE
STABILIZATION FUND ENSURES THE
MOST VULNERABLE RESIDENTS IN
SUPPORTIVE HOUSING REMAINED
HOUSED AND SUPPORTED WHILE
BRINGING MORE RESOURCES TO
SUPPORT THE WAGES AND WORKING
CONDITIONS FOR THE WORKERS IN
SUPPORTIVE HOUSING. SOME OF THE
REPORTING REQUIREMENTS THAT WE
ARE ADDING, WE ARE COLLECTING
THE NUMBER OF STAFF IN
PERMANENT SUPPORTIVE HOUSING
SUPPORTED BY THIS FUND .
INFORMATION AND STAFFING LEVELS
INCLUDING OPENING RATES AND
TURNOVER AS WELL AS INFORMATION
ABOUT WAGES. THE RESIDENT
SERVICES PROGRAM ASSISTS
AFFORDABLE HOUSING PROVIDERS TO
OFFER COMPREHENSIVE SERVICES.
THIS REPORTING REQUIREMENTS,
THESE INCLUDE A NUMBER OF
FULL-TIME STAFF SUPPORTED ,
COMBINED STAFF HOURS AND
SERVICES PROVIDED. THE NUMBER
OF HOUSEHOLDS SERVED AND
DESCRIPTIVE DETAILS ABOUT THE
SERVICES PROVIDED. SO, I'M
GOING TO SHIFT TO THE HOUSING
FUNDING POLICIES. ARE THERE ANY
QUESTIONS ON THE LEVY PLAN?
>> CHAIR?
>> YES, COUNCILMEMBER?
>> THANK YOU, CHAIR. ON THE
COMPREHENSIVE RESIDENT SERVICES
, CAN YOU GIVE EXAMPLES OF WHAT
TYPE OF SERVICES THOSE ARE? AND
THEN, ALSO, IF YOU WOULD NOT
MIND, LET'S SEE, ON SLIDE SIX,
WHEN YOU TALKED ABOUT
CONSTITUENTS THAT YOU WORKED
WITH, WOULD YOU MIND LETTING US
KNOW WHO THOSE CONSTITUENTS
ARE? JUST SO WE CAN GET A
CLEARER PICTURE. THANK YOU.
>> YES, YOU MAY. SO, WE DID --
I WILL SPEAK FIRST OF THE
CONSTITUENTS. FOR THE HOUSING
LEVY PROCESS, WE HAD A NUMBER
OF ENGAGEMENT SESSIONS. WE HAD
A TECHNICAL ADVISORY COMMITTEE
THAT APPOINTED A NUMBER OF
FOLKS TO A SPECIFIC COMMITTEE
THAT MET THREE TIMES. THE
PROPOSALS HAD POLICY
CONVERSATIONS AND FUNDING
CONVERSATIONS THAT INCLUDED
REPRESENTATIVES FROM HOUSING
DEVELOP IN ORGANIZATIONS. WE
HAD THE UNIVERSITY OF
WASHINGTON. WE HAD UNITED WAY.
WE HAD SOME FOR-PROFIT FOLKS ,
DEVELOPERS, ON THE COMMITTEE.
WE CAN GET YOU THAT LIST. WE
HAD A LOT OF ENGAGEMENT
THROUGHOUT THE PROCESS AS WELL
WITH OUR COLLEAGUES AT THE
CHAMBER OF COMMERCE. AS WELL AS
THE DOWNTOWN SEATTLE
ASSOCIATION. WE ARE ENGAGED IN
CONVERSATION THROUGHOUT THE
DEVELOPMENT PROCESS. OUR LABOR
PARTNERS, VERY IMPORTANT
PARTNERS. A LOT OF INTERACTION
WITH OUR HOMEOWNERSHIP FOLKS ,
INCLUDING RYAN WHO YOU HEARD
FROM EARLIER TODAY . IT IS A
LOT OF INPUT ACROSS ALL OF
THESE DIFFERENT PROGRAM TYPES.
HOMELESSNESS SERVICE PROVIDERS,
BECAUSE OF THE HOMELESSNESS
PREVENTION PROVIDER WHICH
PEOPLE CARE ABOUT WE HAD JUST
OPENED PUBLIC MEETINGS AND OUR
DOCUMENTS WERE OPEN TO THE
PUBLIC FOR A PERIOD OF TIME FOR
REVIEW AND COMMENT AND WE HAD
OPEN PUBLIC MEETINGS AS WELL IN
THESE DOCUMENTS. WE HAVE HEARD
FROM A LOT OF PEOPLE AND HAD A
LOT OF REALLY GREAT
CONVERSATIONS. ON THE RESIDENT
SERVICES PIECE, THIS CAN BE
CASE MANAGEMENT. IT CAN BE
CRISIS RESPONSE. IT CAN BE
REALLY LIGHT TOUCH INFORMATION
OR REFERRAL. THERE IS BENEFITS
ASSISTANCE THAT OCCURS.
ASSISTANCE WITH NUTRITION.
SUPPORT OF COMMUNITY EVENTS IN
ORDER TO REALLY ENCOURAGE
COMMUNITY COHESION FOR THESE
BUILDINGS. IT IS AN ARRAY OF
SERVICES AND WE LOOK FORWARD TO
REPORTING MORE ON WHAT THOSE
SERVICES ARE. IN THE REPORT.
>> THANK YOU. IT IS REALLY
HELPFUL TO HEAR BOTH THOSE
PIECES, WHO YOU ARE WORKING
WITH AND ALSO ON THE SERVICES
SIDE, WHAT IS IT THAT RESIDENTS
NEED? SUPER HELPFUL TO HAVE THE
DETAIL EVEN THOUGH IT MIGHT BE
A LITTLE BIT IN THE WEEDS, I
THINK IT IS SUPER HELPFUL.
THANK YOU.
>> THANK YOU. COUNCILMEMBER
WOO?
>> THANK YOU. COULD YOU CLARIFY
ON PAGE EIGHT , UNDER COMMUNITY
WORKFORCE AGREEMENT, 46 RENTAL
PROJECTS AND PUBLIC SITES, WHAT
DOES THAT MEAN?
>> THE COMMUNITY WORKFORCE
AGREEMENT REQUIRES UNION LABOR
ON THE PROJECT AS WELL AS GOALS
FOR PRIORITY HIRE,
APPRENTICESHIP UTILIZATION AND
OTHER GOALS AROUND WORKERS OF
COLOR, WOMEN WORKERS, ON THE
PROJECT. SO, THE CITY OF
SEATTLE, OVERALL, FOR PUBLIC
WORKS, HAS A COMMUNITY
WORKFORCE AGREEMENT IN PLACE
FOR THE OFFICE OF HOUSING. WE
HAVE ASSIGNED AN ADDENDUM FOR
THE FIRST TWO PROJECTS, THREE
PROJECTS, CONTEMPLATED HERE
WHICH ARE THE MOUNT BREAKER --
BAKER LAUNDRY SITE WHICH HAS
TWO BUILDINGS. THAT'S PHASE
ONE OF PHASE TWO AND THE THIRD
PROJECT IS THE LAKE CITY
COMMUNITY CENTER. SO, THOSE
PROJECTS ARE MOVING RIGHT
ALONG. THEY ARE IN PROCESS AND
VERY CLOSE TO ACHIEVING AWARDS
AND WILL BE THE NEXT COMMUNITY
WORKFORCE AGREEMENTS THAT WE
IMPLEMENT. WE ALSO COMPLETED A
COMMUNITY WORKFORCE AGREEMENT
ON THE CASE SITE WHICH IS NOT
KRISTIN BENSON PLAYS, PLYMOUTH
HOUSING OWNS AND OPERATES.
>> THANK YOU. FOR SOME REASON I
WAS THINKING YOU ARE HAVING
RENTAL HOUSING ON THE SITE
WHILE THE SITE WAS IN
DEVELOPMENT. BUT, THANK YOU FOR
THE CLARIFICATION.
>> ANY OTHER QUESTIONS? NO?
GREAT. WE WILL MOVE ON TO THE
HOUSING AND FUNDING POLICIES.
CHANGES IN THE HOUSING FUNDING
POLICIES, WE WENT INTO THIS
WORK WITH THE AIM OF BETTER
SUPPORTING HER HOUSING
PROVIDERS AND WORKERS AND
ADVANCING RACIAL EQUITY,
INCREASING ACCESS TO AFFORDABLE
HOUSING, GIVEN WHAT WE ARE
SEEING WITH THE NEEDS IN OUR
COMMUNITY AND OUR PORTFOLIO AS
WELL AS THE NEEDS AND COMMUNITY
FOR FOLKS WHO NEED HOUSING.
STARTING WITH SUPPORTING
HOUSING WE ARE PROVIDING DEEPER
INVESTMENTS TO ENSURE
SUSTAINABLE OPERATIONS OF CITY
FUNDING . ON THE CAPITAL SIDE,
YOU SEE THIS REFLECTED IN
CHANGES TO OUR DEVELOPER FEE
POLICY AND ADJUSTER POLICY AND
WE WILL LOOK AT SOME OF THE
OTHER DETAILS AROUND OPERATING
AND HOMEOWNERSHIP LATER. SORRY.
OH. THIS IS A CHANGE HERE.
THERE WE GO. THANK YOU VERY
MUCH. WE HAVE ALSO ESTABLISHED
A NEW PROGRAM WITH SUPPORT FROM
JUMPSTART PAYROLL EXPENSE TAX.
ALL THAT LANGUAGE IS CONTAINED
IN THE POLICY DOCUMENT. IT IS
VERY CLEAR WHAT THAT PROGRAM IS
INTENDED TO DO. WE CURRENTLY
HAVE REQUESTS FOR PROPOSALS OUT
TO COMMUNITY THAT IS IN PROCESS
TO BRING SOME SUPPORT
ORGANIZATIONS THAT ARE FACING
SOME OF THE CHALLENGES WE
DISCUSSED EARLIER AROUND
RENTERS AND OPERATING FINANCIAL
CHALLENGES. WE ARE CREATING A
CLEAR PROCESS FOR RENTAL
HOUSING WITH EXPIRING TERMS OF
AFFORDABILITY IN OUR LONG-TERM
PRESERVATION OF CITY FUNDED
RENTAL HOUSING. WE DISCUSSED
THIS EARLIER WITH COUNCILMEMBER
MORALE US A BIT. TO BE CLEAR,
WE DO EVERYTHING WE CAN TO
EXTEND AFFORDABILITY AS LONG AS
POSSIBLE AND WE ARE ALWAYS
BOUNCING THE NEED FOR INVESTING
IN OUR PORTFOLIO AND THE NEED
TO BUILD NEW HOUSING. WE ARE
INCREASING THE OPERATING
MAINTENANCE CAP FOR THE HOUSING
LEVY FROM 2500 TO 5400 PER UNIT
PER YEAR. IT IS A SIGNIFICANT
INCREASE. HOWEVER, THIS IS A
SMALL PERCENTAGE OF THE ANNUAL
COST OF OPERATING PERMANENT
SUPPORTIVE HOUSING WHICH CAN BE
AROUND $25,000-$30,000 A YEAR.
IT'S AN IMPORTANT PER UNIT PER
YEAR. IT'S AN IMPORTANT
INCREASE AND WE WORKED WITH
PROVIDERS AND ADVOCATES ALL
THROUGH THE NEGOTIATION OF THE
HOUSING LEVY TO ESTABLISH THIS
IN THE ORDINANCE THAT WAS
PASSED LAST YEAR. WE'VE ALSO
ESTABLISHED JUMPSTART PAYROLL
EXPENSE TAX, OMS AS FLEXIBLE TO
FILL OPERATING GAPS IN SERVICES
GAPS AS NEEDED. WE ARE
ESTABLISHING TWO ADVANCED
RACIAL EQUITY AND INCREASED
ACCESS FOR AFFORDABLE HOUSING.
ESTABLISHING MORE EXPLICIT
LANGUAGE TO PRIORITIZE FUNDING
FOR ORGANIZATIONS WHO SERVE
COMMUNITIES THAT HAVE BEEN
HISTORICALLY EXCLUDED FROM
EQUITABLE ACCESS TO HOUSING. WE
ARE ENSURING THROUGH SETTING
PRIORITIES THAT WE ACHIEVE
BETTER GEOGRAPHIC DISTRIBUTION
OF OUR HOUSING INVESTMENTS
THROUGHOUT THE CITY AND
REITERATING OUR SUPPORT AND
INTEREST IN SEEING A RANGE OF
HOUSING OPTIONS INCLUDING
PERMANENT SUPPORTIVE HOUSING,
FAMILY SIZE HOUSING, AND
HOMEOWNERSHIP INVESTMENTS.
IMPORTANT TO NOTE THAT THE
HOMEOWNERSHIP INVESTMENTS FOR
THE HOUSING LEVY HAVE INCREASED
FROM 9 MILLION IN THE PRIOR
HOUSING LEVY TO 50 MILLION IN
THIS HOUSING LEVY WHICH IS
EXCITING TO SEE FOR THE
PIPELINE OF HOMEOWNERSHIP PARK
X -- PROJECT THAT WE HAVE AHEAD
OF US. WE ARE ALSO PROVIDING AN
EXCEPTION TO THE FIRST-TIME
HOMEBUYER REQUIREMENT FOR
OWNERS OF RESTRICTED HOME SO
THAT THEY CAN MOVE WITHIN THE
PORTFOLIO AND AVOID
DISPLACEMENT, REMAIN HOUSED IN
THE CITY OF SEATTLE. WE ARE
INCREASING THE CAPS ON
HOMEOWNERSHIP DEVELOPMENT
SUBSIDIES, DOWN PAYMENT
ASSISTANCE AND HOME REPAIR
GRANTS TO CATCH UP WITH THE
CURRENT COST ENVIRONMENT AND
HELP SUPPORT PROJECTS TO
COMPLETION AS EARLY AS WE CAN.
WE HAVE CHANGED THE HOME REPAIR
GRANT PROGRAM ELIGIBILITY TO
RAISE IT FROM 50% AMI UP TO 80%
AMI TO EXPAND ACCESS FOR
LOW-INCOME HOUSEHOLDS IN THE
CITY OF SEATTLE. AND AS A PART
OF THIS POLICY EFFORT, WE
COMPLETED THREE RACIAL EQUITY
TOOLKITS. TWO WERE -- ONE WAS
ABOUT RESIDENT SERVICES, ONE
WAS ABOUT GEOGRAPHIC
DISTRIBUTION OF RESOURCES, AND
THE THIRD WAS ABOUT OUR
COMMUNITY GROUND-FLOOR USES
WHICH IS SOMETHING WE KNOW
COUNCILMEMBER MORALE'S CARES
ABOUT. WE ALSO COORDINATED WITH
OUR CHANGE TEAM THROUGHOUT THIS
PROCESS AND ON THE RACIAL
EQUITY TOOLKITS. FOR DATA AND
REPORTING, WE ARE IMPROVING
TRANSPARENCY AND EQUITY JUST BY
ADDING MORE LANGUAGE ABOUT OUR
PROGRAMS AND THE WAY THAT OUR
OFFICE WORKS SO THAT EVERYONE
IS UNDERSTANDING BETTER ALL THE
WAYS THAT OUR FUNDING GOES OUT
AND IS ADMINISTERED. WE UPDATED
ALL OF OUR REQUIREMENTS FOR
THESE PROGRAMS. WE HAVE
REITERATED THAT WE WILL BE
COLLECTING, ANALYZING, AND
REPORTING VACANCY DATA AT LEAST
ANNUALLY AND WE ARE LOOKING TO
DO THAT MORE REGULARLY GOING
FORWARD AS WELL. WE HAVE ALSO
ADDED HOMEOWNERSHIP STEWARDSHIP
AND MONITORING. FINALLY, WE
JUST ACHIEVED GENERAL
MODERNIZATION OF THE DOCUMENT,
UPDATING TERMINOLOGY TO ALIGN
WITH CURRENT USAGE AND
PRACTICE. WE HAVE REMOVED
GENDERED REFERENCES TO OUR
DIRECTOR. WE HAVE REORGANIZED
THE CONTENT AND FORMATTING
BRINGING IT INTO OH STYLE GUIDE
STANDARDS. CLARIFIED POLICY AND
PROGRAM LANGUAGE AND
REITERATING OUR LANGUAGE ACCESS
COMMITMENTS. THAT COMPLETES OUR
PRESENTATION.
>> ALL RIGHT. THANK YOU. ARE
THERE ANY QUESTIONS? YES?
COUNCIL PRESIDENT?
>> I AM INTERESTED IN KNOWING
HOW YOUR REPORTING REQUIREMENTS
HAVE CHANGED BECAUSE, AS YOU
KNOW, I DID ASK WHAT IS THE
CURRENT VACANCY RATES AND I
ASKED THAT QUESTION WEEKS AGO
AND I FINALLY YESTERDAY I ASKED
WHAT THE CURRENT RATES WERE AND
YESTERDAY WE GOT A MEMO SAYING
THAT WITH 2022 DATA AND , SO,
ONE QUESTION IS, DO YOU HAVE
NEW DATA FOR VACANCY RATES FOR
DIFFERENT KINDS OF HOUSING?
I'M NOT TALKING ABOUT THE MFT
OR THE ON-SITE UNITS . FOR
UNITS IN MHA. I'M TALKING
ABOUT AFFORDABLE HOUSING
PROVIDERS BECAUSE HOW CAN YOU
MAKE NEW POLICIES WITHOUT
KNOWING HOW THE CURRENT LEVY IS
WORKING RIGHT NOW WHICH DEPENDS
ON THE VACANCY RATES. SO, I
BELIEVE THAT ON PAGE -- LET'S
SEE. IN THE PLAN YOU TALK ABOUT
PAGE 40 , UNIT TURNOVER AND
VACANCY AND SOMEWHERE ELSE SAYS
THE GOAL IS ABOUT 95% VACANCY.
I MEAN, RESIDENCE THERE.
>> OCCUPANCY.
>> OCCUPANCY. EXCUSE ME. SO,
HOW ARE YOU GOING TO ADDRESS
THAT? AND TO WHAT EXTENT HIS
CURRENT DATA IN FORMING THESE
NEW PLANS AND POLICIES?
>> THANK YOU. WE HAVE A
LONG-STANDING SYSTEM THAT IS A
WEB-BASED ANNUAL REPORTING
SYSTEM. FOR A LONG TIME THEY
HAVE BEEN REPORTING ANNUALLY.
GENERALLY REQUIRE DUE DATES OF
JUNE 30th . SO, WE CURRENTLY
HAVE 2022 DATA. WE ARE
INTIMATELY EXPECTING 20
COUNCILMEMBER MOORE DATA. MUCH
OF IT IS IN BUT NOT ALL OF IT
IS IN. WE WILL ASSESS THE DATA
THAT IS IN ON THE DUTY ON JUNE
30th AND WE ARE HAPPY TO
PROVIDE 2023 VACANCY RATES TO
COUNCIL BY MID JULY.
>> OKAY. IN OUR PRE-REAPING
YESTERDAY YOU MENTIONED A FUND
THAT IS GOING TO BE ABOUT 14
MILLION IN A FUND THAT WE WILL
BE PROVIDING TO PROVIDERS WHO
ARE HAVING DIFFICULTY
COLLECTING RENT. COULD YOU
PLEASE TALK ABOUT THAT?
>> THAT IS A SUPPLEMENTAL
OPERATING SUPPORT THAT WE ARE
OFFERING RIGHT NOW. SOME OF THE
QUESTIONS THAT WE ASK PROVIDERS
AS THEY SUBMIT APPLICATIONS FOR
THAT FUNDING, AROUND
ORGANIZATIONAL FINANCINGS. WE
HAVE AUDITS FROM EVERY
ORGANIZATION AS WELL AS
SPECIFIC PROJECT OPERATING
BUDGETS. WE ARE LOOKING AT
THEIR WEB REPORTS. SOME OF THEM
HAVE 2023 READY. NOT ALL OF
THEM. MANY OF THEM SUBMITTED
2022. WHERE REDOING THE
FINANCIAL STATUS OF PROJECTS
THAT THEY HAVE CONCERNS ABOUT.
PROJECTS THAT ARE OF MOST
CONCERN IN THEIR PORTFOLIO AND
THAT CONTAINS FINANCIAL
INFORMATION, REVENUES, AND
EXPENSES AS WELL AS VACANCY
RATES. SOME OF THEM WE DO HAVE
23 DATA FOR BUT JUST NOT ALL OF
THEM. WE ARE CURRENTLY
REVIEWING ALL THE DATA TO
ASSESS AWARDS.
>> WHAT ARE SOME OF THE
CHALLENGES THAT PROVIDERS ARE
HAVING RIGHT NOW IN TERMS OF
COLLECTIONS.
>> SO, THERE IS A PERCENTAGE OF
FOLKS THAT ARE REPORTING
NONPAYMENT OF RENT IS A SERIOUS
CHALLENGE. WE WON'T HAVE -- WE
CAN -- I DON'T HAVE IT OFF THE
TOP OF MY HEAD RIGHT NOW AND
WHAT THAT LOOKS LIKE FOR THIS
GROUP NOTIFIED BUT WE WILL BE
ABLE TO PROVIDE THAT. WE'VE
ALSO SEEN IN THOSE APPLICATIONS
SIGNIFICANT CONCERNS ABOUT THE
INCREASES IN INSURANCE. WE ARE
SEEING A LOT OF PROVIDERS WHO
ARE REPORTING THIS THAT MANY OF
THEM ARE CHOOSING TO INCREASE
THEIR DEDUCTIBLES IN ORDER TO
DECREASE THEIR PREMIUM PAYMENTS
AND THE PREMIUM PAYMENTS ARE
ONGOING OPERATING COSTS AND IT
PUTS THEM AT RISK IF THEY HAVE
A SERIOUS INCIDENT. THOSE
DEDUCTIBLE PAYMENTS ARE RISING
HIGHER AND HIGHER SO THEY CAN
AFFORD TO PAY THEIR INSURANCE
PREMIUMS. THIS IS A VERY MAJOR
CONCERN FOR PROVIDERS AND THIS
IS HAPPENING ACROSS THE
COUNTRY. WE HAVE AN INSURANCE
CHALLENGE AS WELL. WE ARE ALSO
HEARING THAT THERE ARE A LOT OF
FOLKS WHO HAVE LOST INCOME AND
WHO ARE VERY LOW INCOME AND
THEY ARE LIVING IN INCOME
TARGETED UNITS THAT ARE HIGHER
THAN WHAT THEIR INCOMES ARE.
SO, WE ARE DEFINITELY SEEING
I'VE SEEN IN SOME OF THESE
APPLICATIONS 60, 75% OF MY
BUILDING IS REGULATED AT 60%
AMI. 75% OF THE TENANTS ARE 30%
AMI. SOME CASES TENANTS CAME IN
AT THE RIGHT INCOME LEVEL AND
THEY HAVE LOST INCOME .
OTHERWISE, IT IS CHALLENGING.
WE ARE TRYING TO EXAMINE WHAT
IS HAPPENING IN THE MARKET AT
LARGE WITH SOME OF THE 60%
UNITS AND WHAT'S HAPPENING FOR
TENANTS AND PROVIDERS. WE ARE
IN A PERIOD OF EXPLORATION
RIGHT NOW TRYING TO UNDERSTAND
THE DATA.
>> I WOULD SUGGEST THAT A LOT
OF WHAT THE AFFORDABLE HOUSING
PROVIDERS ARE EXPERIENCING IS
ALSO BEING EXPERIENCED BY
PRIVATE LANDLORDS AND WE CAN
TALK ABOUT THAT A LITTLE BIT IN
THE NEXT PRESENTATION BUT, YOU
KNOW, BACK IN FEBRUARY 2022
WHEN WE WERE DISCUSSING THE
EVICTION MORATORIUM THERE WAS
ONE OF THE PROVIDERS WHO TALKED
ABOUT THE ISSUES OF IMPACTS ON
THE BUILDINGS THAT IS IMPACTING
INSURANCE RATES AND IMPACTING
OTHER TENANTS AND I DO THINK
THAT THAT IS WHY REPORTING IS
SO IMPORTANT SO THAT WE CAN
FIGURE OUT HOW TO ADDRESS
UNDERLYING ISSUES WITH WHAT IS
-- WITH THE PROVISION OF
HOUSING IN GENERAL.
>> WE AGREE. HAVING MORE DATA
IS REALLY IMPORTANT FOR US TO
UNDERSTAND EVERYTHING THAT WE
HEAR NOW. VERY COMPLICATED
STORIES. THE STORIES OF THE
HOUSEHOLDS ARE VERY COMPLICATED
AND THE SYSTEMS THAT ALL SIT
AROUND AND SUPPORT AFFORDABLE
HOUSING ARE VERY COMPLICATED
AND STRANGE. BEHAVIORAL HEALTH,
CRISIS RESPONSE AS WELL AS WHAT
IS GOING ON WITH OUR
LANDLORD-TENANT, EVICTION
PROCESS IS CHALLENGING. WERE
TRYING TO UNDERSTAND AND
COLLECT MORE INFORMATION FOR
FOLKS. WE WILL UNDERSTAND WHERE
WE COULD HAVE THE MOST
SIGNIFICANT IMPACT TO MAKE
IMPROVEMENTS. THANK YOU.
>> I MAKE TWO COMMENTS AND THEN
I WILL TURN IT OVER TO
COUNCILMEMBER RIVERA. IF WE CAN
GET THE DATA ON THE ACTUAL
AMOUNT OF RENT ARREARS, THAT
WOULD BE HELPFUL, THAT EACH OF
YOUR PROVIDERS IS PUTTING FORTH
OR HAS A REQUEST FOR HELP WITH.
AND THEN I AM INTRIGUED BY THE
COMMENT THAT YOU MADE ABOUT WE
ARE NOW FINDING THAT PEOPLE
THAT ARE COMING IN AT A CERTAIN
AMI UNIT HAVE NOW LOST INCOME
AND THEY CAN NO LONGER AFFORD
THE AFFORDABLE UNIT. JUST
WONDERING IF THERE'S SOME WAY
THAT WE CAN ADJUST THE
AFFORDABILITY . I DON'T KNOW
IF THAT COMES THROUGH THE
PROGRAM OR JUST LIKE TO HEAR
MORE ABOUT WE CAN DO THAT
LATER. WE DON'T HAVE TO DO
TODAY.
>> THAT WOULD BE GREAT. JUST
REFERENCING EARLIER, IT WOULD
BE FANTASTIC. MANY AROUND THE
COUNTRY WOULD LIKE TO SEE A
VOUCHER FOR EVERY PERSON FROM
THE FEDERAL GOVERNMENT. SO,
REAL SUBSIDIES SUPPORT LOW
INCOME FOLKS TO ACHIEVE AND BE
ABLE TO SUSTAIN RENT IN ANY
HOME WHERE THEY LAND WOULD BE
FABULOUS. THERE IS A LOT OF
CHALLENGES THAT WE ARE SEEING
FOR FOLKS OF THE LOWEST END OF
THE INCOME SCALE BUT WE CAN
TALK ABOUT THAT LATER.
>> GREAT. THANK YOU.
>> THANK YOU, CHAIR. I ECHO THE
CONCERNS AND COMMENTS FROM MY
COLLEAGUES. I THINK THAT IT IS
REALLY IMPORTANT TO KNOW ONE
FOLKS KNOW, EDIT TOTALLY, AT
LEAST, I'VE HEARD THAT DURING
COVID FOLKS WERE HOUSED IN AMI
UNITS THAT WERE NOT AFFORDABLE
TO THEM AT THE TIME AND I THINK
THAT THAT IS ALSO A PART OF THE
ISSUE. SO, KNOWING THE
DISTINCTION BETWEEN IS IT THAT
THEY WERE IN UNITS THAT TO
BEGIN WITH THEY NEED TO BE IN
OTHER UNITS AND HOW DO WE HELP
THEM ACHIEVE THAT OR IS IT THAT
THEY HAVE LOST INCOME? I KNOW I
HAVE A RESIDENT. A COUPLE OF
BELLWETHER PROJECTS IN THE D4
AND I HAVE AT LEAST ONE
CONSTITUENT THAT I HAD WE WERE
TRYING TO PROVIDE ASSISTANCE TO
WHO WAS IN AN AMI THAT HE COULD
AFFORD AT THE TIME AND THEN
THERE WAS A CHANGE TO HIS
INCOME WHICH THEN PRECIPITATED
HIM NO LONGER BEING ELIGIBLE.
HE WAS IN ARREARS. ANYWAY. WE
ALL PULLED TOGETHER AND I
APPRECIATE THE PARTNERSHIP FOR
MANY LEVELS, INCLUDING THE
OFFICE OF HOUSING, AND ARE
CENTRAL STAFF, EVEN. EVERYONE
PULLED TOGETHER TO HELP. THAT
IS ONE INDIVIDUAL. I KNOW WE
HAVE MANY. SO, THIS IS
SOMETHING I REALLY CARE ABOUT
AND MAKING SURE IT ALL STARTS
WITH HAVING THE INFORMATION AND
I THINK THAT THAT IS WHAT WE
ARE ALL SEEING HERE. WE NEED
THE INFORMATION SO THAT WE CAN
HELP FIGURE OUT HOW TO DO OUR
PART IN THIS PUZZLE. SO, I
APPRECIATE THAT INFORMATION.
YOU KNOW, I UNDERSTAND IT IS
HARD DATED TO GET AND, YET,
WITHOUT IT, WE ARE A LITTLE BIT
PARALYZED, IF YOU WILL. SO,
I'M GOING TO ECHO THE
IMPORTANCE OF GETTING THAT DATA
AND ANYTHING THAT WE CAN DO TO
BE HELPFUL IN OBTAINING THAT
DATA, AT LEAST FOR MY PART, I
WANT TO BE HELPFUL. SO, LET ME
KNOW. AND THEN, IN TERMS OF
THERE IS A SLIDE HERE, 16, THE
TALKED ABOUT IMPROVING DATA AND
REPORTING ADDITION OF
HOMEOWNERSHIP, STEWARDSHIP AND
MONITORING. I'M WONDERING WHAT
THAT MEANS EXACTLY.
>> SO, THIS IS ADDITIONAL
LANGUAGE WITHIN THE PERMANENTLY
AFFORDABLE HOMEOWNERSHIP
PORTFOLIO. OUR FOR-SALE HOUSING
TO IMPROVE SUPPORT LONG-TERM OF
THOSE HOMES AND MAKE SURE THAT
ORGANIZATIONS ARE WELL
SUPPORTED TO DO THAT. WE HAVE
-- WE HAVE INVESTED IN THE
HOMES AND I THINK THERE HAS
BEEN AN ACKNOWLEDGMENT OVER
TIME THAT THERE IS NEED TO DO
MORE SUPPORT , PUT MORE SUPPORT
AROUND HOMEOWNERSHIP. WE ARE
STARTING THAT BY ADDING
LANGUAGE. I THINK THERE IS
INTEREST IN BRINGING SMART
RESOURCES TO THAT AS WELL SO
THAT THOSE HOMES CAN BE IN
PLACE AND HEALTHY FOR THE LONG
HAUL.
>> THANK YOU FOR THE
CLARIFICATION.
>> SO, CAN YOU TELL ME WHEN THE
INFORMATION THAT I ASKED WILL
BE FORTHCOMING IN TERMS OF JUST
IN GENERAL AN AVERAGE
APPROXIMATE VACANCY RATE ACROSS
OUR AFFORDABLE HOUSING
PROVIDERS WHEN WE CAN KNOW
THAT? I DON'T KNOW HOW MANY
PROVIDERS NEED TO GET THAT
INFORMATION BUT IF OUR
AMENDMENTS ARE DUE ON TUESDAY,
THAT PUTS US -- I MEAN .
>> WE HAVE PROVIDED THE DATA
THAT WE HAVE FOR 2022 WHICH IS
A MEDIAN VACANCY RATE ACROSS
ALL CITY FUNDED PROPER SEES.
THE MEAN IS 7.69%. WE DO NOT
EXPECT WIDE VARIATION FROM
YEAR-TO-YEAR TO THAT GENERALLY
BECAUSE OUR PROVIDERS HAVE
EXPERIENCED A LONG TENDENCY
WITHIN THESE HOMES BUT YOU
DON'T KNOW. WE DON'T KNOW. AS
OF JUNE 30th WHEN REPORTS ARE
IN, WE CAN TRY DATA AROUND IN A
COUPLE OF WEEKS. WE CAN GET IT
TO YOU BY MID JULY FOR THE 2023
DATA BUT WE HAVE PROVIDED THE
'22 DATA WHICH WE DO HAVE.
>> AND THIS INFORMATION WAS
SENT TO YOU IN A MEMO ON THE
VACANCY ISSUE.
>> YESTERDAY.
>> YESTERDAY, BUT I THINK IT IS
ALL DATA YOU ARE LOOKING FOR.
>> YES, I WANT TO CURRENT DATA
BECAUSE YOU'RE PROVIDING SOME
ADDITIONAL FUNDING TO HELP WITH
ARREARS. I'M JUST TRYING TO
PUT IT ALL TOGETHER.
>> WHATEVER YOU HAVE, WE WILL
TAKE. [ LAUGHTER ] WE DO NOT
NEED THE WHOLE -- I MEAN,
ULTIMATELY, WE DO BUT FOR RIGHT
NOW, WHATEVER YOU HAD WOULD BE
HELPFUL.
>> CHAIR, THIS TOPIC, YOU KNOW,
I THINK IT IS IMPORTANT AS WE
ARE LOOKING AT MAKING
MODIFICATIONS TO ANY
LEGISLATION, WHATEVER WE CAN DO
TO SPEED UP THE PROCESS ON
GETTING THIS DATA WOULD BE
REALLY IMPORTANT. WE DO HAVE AN
OPPORTUNITY TO COME I WOULD
THINK WITH THE LEGISLATION, DO
REPORTING REQUIREMENTS IN A WAY
THAT WILL HELP FACILITATE US
GETTING THIS INFORMATION SOONER
RATHER THAN LATER. SO IT CANNOT
BE IDENTIFIED TO EXPEDITE THAT
. I THINK IT'S REALLY
IMPORTANT.
>> OKAY. IT LOOKS LIKE YOU HAD
A THOUGHT THERE.
>> JUST THAT WE HAVE HAD
CONVERSATION WITH THE OFFICE OF
HOUSING. THEY'RE LOOKING AT A
POTENTIAL ALTERNATIVE WAY TO
START COLLECTING VACANCY DATA
SEPARATE FROM THE BARS BUT
IT'S GOING TO TAKE NEGOTIATION
WITH OUR PROVIDERS WHO ARE
REPORTING A LOT OF INFORMATION
AND RESOURCES TO CREATE A
SEPARATE SYSTEM. THERE IS A
PATHWAY FORWARD HERE AND THEY
ARE COMMITTED TO LOOKING AT
THAT. THAT IS NOT GOING TO
HAPPEN TOMORROW BUT IT DOES
RECOGNIZE THAT THE CURRENT WAY
THAT WE COLLECT INFORMATION
FROM THE STATE SYSTEM DOES NOT
REALLY MEET OUR NEEDS. [
LAUGHTER ]
>> I TOTALLY UNDERSTAND AND ONE
OF THE REASONS WHY AM ASKING IS
BECAUSE WE WILL SERVE ON THE
HOMELESSNESS AUTHORITY AND
THERE'S ALWAYS A QUESTION OF
AVAILABILITY OF HOUSING AND THE
HOUSING THAT IS IN THE
PORTFOLIO THAT IS MANAGED OR
THAT RECEIVES FUNDING FROM THE
LEVY MY NOT BE THE SAME. IT IS
NOT THE SAME HOUSING THAT WE
ARE TALKING ABOUT FOR PEOPLE
THAT, YOU KNOW, FOR SHELTER
TRANSITION, ET CETERA. MAYBE
THERE IS OVERLAP . YOU KNOW,
THERE'S PERMANENT SUPPORTIVE
HOUSING OVERLAP THERE BUT JUST
SO WE HAVE A SENSE OF WHAT IS
THE AVAILABILITY OF HOUSING FOR
DIFFERENT POPULATIONS AND
NEEDS, IT'S REALLY IMPORTANT.
NOT JUST FOR MY ROLE ON THIS
COMMITTEE BUT ALSO FOR THE
REGIONAL NEEDS AND WHAT WE ARE
DOING AT THE AUTHORITY.
>> OKAY. WELL, IF THERE ARE NO
FURTHER QUESTIONS, THEN I WILL
JUST MAKE MY CONCLUDING REMARKS
HERE WHICH IS THE FIRST IS THAT
I WANT TO THANK THE OFFICE OF
HOUSING AND DIRECTOR
WINKLER-CHIN AND KELLI LARSEN
AND CENTRAL STAFF, TRACI
RATZLIF, FOR PUTTING TOGETHER A
REALLY HELPFUL AND DENSE
PACKAGE. SO, I APPRECIATE ALL
THE INFORMATION. I APPRECIATE
THE WILLINGNESS TO DO A
PRE-BRIEFING WITH US AND MAKE
SOME MODIFICATIONS AND TO BE
HERE TODAY TO PRESENT. SO,
THANK YOU FOR THAT. I JUST WANT
TO NOTE THAT ONE OF MY LARGEST
PRIORITIES IN THIS LEGISLATION
IS, OBVIOUSLY, TO KEEP PEOPLE
HOUSED AND I'M LOOKING AT THE
TOOL OF RENTAL ASSISTANCE. I'M
HEARING A LOT FOR MY
CONSTITUENTS WHO ARE TRULY
STRUGGLING AS WE HAVE HEARD
HERE TODAY WITH RENT. AS WELL
AS PROVIDERS WHO HAVE TENANTS
WERE STRUGGLING TO PAY THEIR
RENT AND, IN MY REVIEW OF THE
CITY BUDGET, I FOUND THAT WE
ARE NOT ALLOCATING NEAR ENOUGH
FOR RENTAL ASSISTANCE. THE LAST
YEAR WE HAVE SEEN A BACKLOG OF
EVICTION CASES IN THE KING
COUNTY COURT SYSTEM AND WE NEED
TO BE DOING WHAT WE CAN TO
ASSIST BEFORE TENANTS ARE
MONTHS BEHIND ON RENT AND
BEFORE HOUSING PROVIDERS HAVE
TO TURN TO EVICTION OVER RENT
ARREARS AND I WOULD SAY LOOKING
AT ARE HSD AND OH DATA, IT
CLEARLY DEMONSTRATES THAT
PROACTIVE MEASURES IN THE FORM
OF RENTAL ASSISTANCE AND RAPID
REHOUSING WORK AND I WOULD NOTE
THAT ACCORDING TO THE DATA WE
RECEIVED FROM THE 2022 LEVY AND
A REPORT THAT OF THE HOUSEHOLD
TO RECEIVE PREVENTION
ASSISTANCE IN 2022 ALONE 99%
RETAINED THEIR HOUSING DURING
THE SIX-MONTH PERIOD AFTER
RECEIVING THAT ASSISTANCE. TO
ME, THAT IS PROFOUND. AND,
ALSO, IN THE 2022 LEVY ANNUAL
REPORT IT SHOWS THAT 81% OF
HOUSEHOLDS SUCCESSFULLY
ACHIEVED PERMANENT HOUSING UPON
EXITING THE RAPID REHOUSING
PROGRAM WHICH IS ALSO NOT QUITE
RENTAL ASSISTANCE BUT IT IS
RENTAL ASSISTANCE IN GETTING
PEOPLE RAPIDLY RE-HOUSED WHICH
OFTEN REQUIRES FINANCIAL
ASSISTANCE TO DO SO. SO, I
THINK THE DATA JUST SCREAMS FOR
THE FACT THAT IT IS VERY
SUCCESSFUL AND ULTIMATELY IT IS
CHEAPER IN THE LONG RUN AND
ALSO JUST THE HUMAN COST OF
HAVING PEOPLE NOT WINDING UP ON
THE STREET AND EVEN BEING ABLE
TO KEEP PEOPLE SHELTERED AND
HOUSED. SO, ANYWAY, I JUST
WANTED TO FLAG THAT BECAUSE TO
THAT END I WILL BE BRINGING
FORWARD A CHANGE TO THE ANF
PLAN TO SIGNIFICANTLY INCREASE
TO THE EXTENT THAT I CAN WITHIN
THE PARAMETERS HERE THE AMOUNT
OF RENTAL ASSISTANCE AVAILABLE
THROUGH THE HOMELESSNESS
PREVENTION PROGRAM. SO, I'M
JUST FLAGGING THAT FOR
COLLEAGUES. SO, UNLESS THERE
ANY CONCERNS OR ISSUES WITH
THIS LEGISLATION, IT IS MY
INTENT TO BRING IT FORWARD FOR
A VOTE AT OUR NEXT COMMITTEE
MEETING ON JUNE 26. PLEASE FEEL
FREE TO REACH OUT TO ME OR
ANYONE IN MY OFFICE IF YOU HAVE
ADDITIONAL CONCERNS ABOUT THAT
OR IF YOU HAVE, OBVIOUSLY,
AMENDMENTS. WE ARE LOOKING AT
TO BE PRESENTED ON JUNE 18th.
SO. OKAY. OKAY, WELL, THANK YOU
VERY MUCH FOR YOUR PRESENTATION
AND WE'RE GOING TO BE MOVING
ON TO OUR NEXT ITEM. THANK YOU.
SO, LET'S SEE, CLARK, WOULD
YOU READ AGENDA ITEM INTO THE
RECORD.
>> AGENDA ITEM THREE, RENTAL
REGISTRATION AND INSPECTION
ORDINANCE AUDITS FOR BRIEFING
AND DISCUSSION.
>> ALL RIGHT. SO. THANK YOU.
TODAY WE HAVE WITH US CITY
AUDITOR DAVID JONES AND GEOFF
TALLENT AND EDWIN DURAN FROM
THE SEATTLE DEPARTMENT OF
CONSTRUCTION AND INSPECTIONS TO
PROVIDE A STATUS UPDATE ON THE
IMPLEMENTATION OF THE
RECOMMENDATIONS FROM THE RIO
AUDIT SO WE WILL BEGIN. GOOD
MORNING.
>> MY NAME IS DAVID JONES. ON
THE CITY AUDITOR.
>> GEOFF TALLENT WITH SDCI,
RENTAL PROGRAMS MANAGER.
>> EDWIN DURAN, CODE COMPLIANCE
OPERATIONS MANAGER. SMACK ALL
RIGHT. GOOD MORNING. PLEASE
PROCEED.
>> WITHOUT FURTHER ADO WE WILL
START UNLESS THE CHAIR HAS ANY
REMARKS YOU WANT TO MAKE BEFORE
WE GO.
>> NO, I DON'T. THANK YOU.
>> OKAY. WE WILL GO. THANK YOU
FOR INVITING US HERE TO MAKE A
JOINT PRESENTATION ALONG WITH
THE DEPARTMENT OF CONSTRUCTION
AND INSPECTIONS ABOUT OUR
DECEMBER 2023 REPORT ON THE
CITY OF SEATTLE'S RENTAL
REGISTRATION PROGRAM. FOR THOSE
IN THE VIEWING AUDIENCE WANT TO
SEE THE REPORT, YOU GO TO OUR
WEBSITE, THE OFFICE OF CITY
AUDITOR WEBSITE WHICH IS
WWW.SEATTLE.GOV/CITY AUDITOR.
THAT IS ONE WORD./REPORTS .
LOOK FOR 2023 REPORTS. THAT
WILL BE THE ONE YOU SEE FIRST.
AND IT IS A LONG REPORT. I JUST
WANT TO TELL THE COUNCIL
MEMBERS, I'M NOT GOING TO BE
ABLE TO MENTION EVERYTHING IN
THE REPORT TODAY. CHAIR MOORE
ASKED US FOR THIS PRESENTATION
TO FOCUS PRIMARILY ON THE
RECOMMENDATIONS AND WHAT HAS
BEEN DONE TO IMPLEMENT THEM.
SO, I'M GOING TO SET UP THE
RECOMMENDATION AND THEN FOLKS
FROM SDCI WILL TALK ABOUT WHAT
THEY HAVE DONE TO RESPOND TO
THAT RECOMMENDATION AND, YOU
KNOW, ANY CONSTRAINTS THEY MAY
FACE IN IMPLEMENTING THEM.
OKAY. SO, LET ME TURN IT OVER
TO SDCI WHO'S GOING TO GIVE
YOU SOME BACKGROUND ON THE
PROGRAM, THE RENTAL
REGISTRATION PROGRAM.
>> THANK YOU, AGAIN, FOR HAVING
US HERE TODAY. I WILL TOUCH
VERY QUICKLY ON THE BACKGROUND
HERE. SOME REMINDERS IT WAS
ESTABLISHED IN 2012. IT IS
RELATIVELY NEW BY CITY
STANDARDS BUT STARTING TO BE A
MATURE PROGRAM BY NOW. OUR
DEPARTMENT ADMINISTERS IT . ITS
PURPOSE IS TO ENSURE THAT
RENTAL HOUSING IS SAFE AND
BEATS -- MEETS BASIC
MAINTENANCE STANDARDS. ALL
PROPERTIES MUST REGISTER WITH
THE CITY. IT IS AKIN TO A
BUSINESS LICENSE. YOU NEED TO
OBTAIN A REGISTRATION FROM US.
THERE ARE IMPORTANT EXCEPTIONS.
THE BIGGEST ONE IS SEATTLE
HOUSING AUTHORITY AND A HANDFUL
OF GOVERNMENT OWNED OR OPERATED
HOUSING PROVIDERS OUT THERE.
THE OTHER PART OF THE PROGRAM
IS PROPERTIES HAVE PERIODIC
INSPECTIONS AND THE WAY IT
WORKS THERE RANDOMLY SELECTED
EVERY FIVE TO 10 YEARS AND
PROPERTY OWNERS HAVE A CHOICE
OF HAVING A CITY INSPECTOR DO
THAT IF THEY DON'T WANT THE
CITY COMING INTO THE PROPERTY
THEY CAN HIRE A QUALIFIED
PRIVATE INSPECTOR. FOR
PROPERTIES UNDER OTHER
PROGRAMS, ESPECIALLY AFFORDABLE
HOUSING PROVIDERS, THEY CAN USE
THE INSPECTIONS THAT THEY
PERFORMED UNDER OTHER FEDERAL
OR STATE OR CITY PROGRAMS IN
LIEU OF A REAL INSPECTION. SO,
ARE RRIO PROGRAM , IT IS A
CUSTOMER SERVICE ORIENTED
PROGRAM. WE ARE DEALING WITH A
LOT OF CUSTOMERS. LANDLORDS ARE
PRIMARY CUSTOMER. THE PROGRAM
IS THERE TO ENSURE SAFE HOUSING
FOR RENTERS BUT LANDLORDS ARE
OUR CUSTOMERS. WE HAVE A
RELATIONSHIP WITH THEM. TENS OF
THOUSANDS OF INTERACTIONS WITH
LANDLORDS EVERY YEAR. AGAIN,
THE PROGRAM'S PURPOSE IS SAFE
RENTAL HOUSING AND THERE IS
4000 INSPECTIONS EACH YEAR AND
MOST PROPERTIES PASS. WE ONLY
HAVE MINOR ITEMS FLAGGED. WE
HAVE ABOUT 5000 ITEMS TO BE
CORRECTED EACH YEAR WHEN WE ARE
DOING OR INSPECTIONS. AT LEAST
THAT WAS THE 2023 NUMBER. WE
TRIED TO TAKE A PRACTICAL,
EDUCATIONAL PROBLEM-SOLVING
APPROACH. LANDLORDS ARE OUR
CUSTOMERS. IF WE DO AN
INSPECTION AND WE FIND A
PROBLEM, IT COMES BACK TO US
AND THEY SAY IT'S HARD TO GET
A CONTRACTOR RIGHT NOW, I
CAN'T FIX THIS RIGHT AWAY,
IT'S NOT A CRITICAL HEALTH
SAFETY ISSUE. WE GIVE THEM
EXTENSIONS. WE WORK WITH THEM
UNDER REASONABLE TIMEFRAME TO
MAKE PROGRESS. I WILL TURN IT
BACK.
>> YES. THANKS. JUST FOR THE
AUDIENCE, AND FOR ANY
COUNCILMEMBERS, JUST TO BE
CLEAR, WE ARE GOING TO BE USING
TWO TERMS THROUGHOUT THE
PRESENTATION AND THOSE TERMS
ARE RENTAL PROPERTIES AND
RENTAL UNITS AND JUST TO SAY,
SDCI IS A RENTAL REGISTRATION
PROGRAM. IT INVOLVES
REGISTERING PROPERTIES. AS YOU
CAN SEE HERE, IF YOU LOOK ON
THE CHART, A PROPERTY CONTAINS
ONE OR MORE UNITS OF A
SINGLE-FAMILY RESIDENCE THAT IS
OUT FOR RENT. THAT'S
CONSIDERED ONE UNIT BUT YOU CAN
HAVE A BIG APARTMENT BUILDING.
THAT IS CONSIDERED ONE PROPERTY
FOR REGISTRATION PURPOSES BUT
YOU COULD HAVE 120 ROOMS OR
UNITS IN IT. THIS ONE YOU ALL
TO BE AWARE OF THAT DISTINCTION
AND TERMINOLOGY. NEXT SLIDE,
PLEASE. SO, WHY DID WE DO THIS?
LENGTHY AUTO REPORT. WELL,
IT'S BECAUSE BACK IN LATE
2022, THEN CITY COUNCILMEMBERS
PEDERSEN AND SAWANT WANTED TO
KNOW WHY THERE WAS SUCH A BIG
DROP IN REGISTRATION WITH THE
RRIO PROGRAM AND THEY ALSO
SAID, HEY, WHEN YOU ARE LOOKING
AT THAT, COULD YOU ALSO, YOU
KNOW, ANY IMPROVEMENTS IN THE
ADMINISTRATION, COULD YOU POINT
THOSE OUT? AND I WANT TO BE
CLEAR, FROM THIS AUDIT, THE
DATA WE LOOKED AT WAS FROM 2060
TUTORIAL 22. I KNOW JEFF WILL
BE PROVIDING YOU WITH UPDATED
INFORMATION BUT THAT'S A
PERIOD WE WERE LOOKING OUT FOR
OUR AUDIT. THE TWO
COUNCILMEMBERS REQUESTED THE
AUDIT MADE SOME SPECIFIC
REQUESTS ABOUT WHAT WE LOOK AT,
RENTAL PROPERTY SALES,
DEMOLITIONS OF RENTAL
PROPERTIES, CONVERSION OF
RENTAL PROPERTIES TO BEING
PRIMARY RESIDENCE FOR THE OWNER
OR A DIRECT RELATIVE OF THE
OWNER AND ALSO TO POINT OUT ANY
INDICATIONS WHEN PROPERTIES
WERE OUT OF COMPLIANCE WITH THE
RENTAL REGISTRATION ORDINANCE
IN THE REPORT WE MAKE NINE
RECOMMENDATIONS ABOUT IMPROVING
THE PROGRAM AND AS WE DO THIS
WE WILL GO THROUGH EACH OF THE
RECOMMENDATIONS IN GREATER
DETAIL. SDC I THE OFFICE FOR
CIVIL RIGHTS IN THE DEPARTMENT
OF FINANCE SERVICES REVIEW
DRAFTS OF THIS REPORT AND THEY
ENDED UP CONCURRING WITH ALL
THE NINE RECOMMENDATIONS. I
WANTED TO CLEAR ALL NINE OF THE
RECOMMENDATIONS OR WHAT WE
CATEGORIZED AS PENDING. IN
OTHER WORDS THE AFFECTED
DEPARTMENTS ARE STILL WORKING
ON THEM AND THAT IS NOT
UNUSUAL. SOME OF THESE THINGS
TAKE A LONG TIME TO WORK OUT. I
WANT TO ENSURE THE COUNCIL AND
THE PUBLIC, WE ARE GOING TO
CONTINUE TO FOLLOW UP ON THOSE
RECOMMENDATIONS AS WE ALWAYS DO
UNTIL THEY'RE IMPLEMENTED OR
CLOSED AND WE WILL REPORT ON
THE ANNUALLY. COULD YOU GO TO
THE NEXT SLIDE, PLEASE? AGAIN,
COULD YOU GO BACK? I SHOULD
POINT ONE THING OUT. YES. LOOK
AT WHY DID THEY DECLINE. WHY DO
THEY DECLINE? ANY
RECOMMENDATIONS ABOUT HOW YOU
CAN IMPROVE THE PROGRAM AND TRY
TO GET AN UNDERSTANDING ABOUT
WHY DID PEOPLE OPT OUT OF THE
RENTAL REGISTRATION PROGRAM?
THANKS.
>> AGAIN, DURING THE PERIOD
COVERED BY OUR AUDIT WHICH WAS
2016 TO 2022, WE FOUND THAT THE
NUMBER OF REGISTERED RENTAL
PROPERTIES IN SEATTLE DECLINED
AN IN INTERESTING THING WE ALSO
SAW WE FOUND THAT THE NUMBER OF
REGISTERED SMALL RENTAL
PROPERTIES, IN OTHER WORDS,
THESE ARE SINGLE-FAMILY
PROPERTIES, ONE PLACE, ONE
UNIT, OR MULTIFAMILY PROPERTIES
WITH 20 OR FEWER UNITS, THAT'S
WHAT WE ARE CALLING SMALL
PROPERTIES. WE SAW A DECLINE IN
THE REGISTRATION OF THOSE.
EHRLICH SIGNIFICANCE BUT WE SAW
THERE WAS AN INCREASE IN THE
NUMBER OF REGISTERED LARGE
RENTAL PROPERTIES. PROPERTIES
WITH 20 ONE OR MORE UNITS. SO,
THAT TREND APPEARED. JUST ON
THE SLIDE, AS YOU KNOW, I THINK
THIS MIGHT HELP YOU GET THAT
STRAIGHT IN YOUR HEAD, WHILE
OWNERS OF LARGE RENTAL
PROPERTIES WERE JUST 6% OF ALL
RENTAL PROPERTY OWNERS, THEY
CONTROLLED 66% OF SEATTLE'S
RENTAL UNITS.
>> AND I ASK YOU, BEFORE YOU GO
ON, WHEN YOU ARE TALKING ABOUT
THEY ARE NO LONGER REGISTERED,
ARE YOU SAYING THAT LANDLORDS
ARE DROPPING OUT OF THE PROGRAM
OR ARE THESE RENTERS, ARE THESE
UNITS BEING TAKEN OFF THE
MARKET?
>> IT COULD BE EITHER. THREE
THINGS. THEY COULD EITHER HAVE
JUST DROPPED OUT OF THE MARKET
AND SAID I'M NOT GOING TO RENT
ANYMORE. I OR DIRECT RELATIVE
ARE GOING TO LIVE IN THAT
PROPERTY. THEY COULD HAVE SOLD
IT AND IT WOULD RESULT IN IT
BEING TAKEN OFF THE RENTAL
MARKET AND THE OTHER THING THAT
HAPPENED IS IT'S CALLED AN
INACTIVE RENTAL REGISTRATION.
THEY EITHER FORGOT TO RENEW IT
OR THEY CHOSE NOT TO RENEW IT .
>> WOULD YOU SUGGEST THE FIRST
TWO CATEGORIES ARE MORE COMMON?
>> I'M SORRY?
>> WOULD YOU SUGGEST THAT THE
FIRST TWO, JUST THAT THEY HAVE
SOLD THE PROPERTY OR THEY HAVE
DECIDED TO OCCUPY THEMSELVES
AND THEREFORE IT IS NOT
AVAILABLE? THAT'S MORE COMMON
THAN SOMEBODY JUST FORGETTING
OR --
>> THAT I CANNOT GIVE YOU
DEFINITIVE ANSWER. I WOULD SAY
AND THAT'S ONE OF THE ISSUES
WE ARE GOING TO TALK ABOUT
LATER. THERE ARE A LOT OF
PEOPLE WHO HAVE PROPERTIES
BASED ON THE DATA BUT THAT IS
AVAILABLE TO SDCI, JUST DROP
OUT OF THE REGISTRATION SYSTEM.
AND, SO, THERE IS A SLIDE
THAT'S GOING TO BE COMING UP
THAT EXPLAINS THE REASONS WHY
THAT HAPPENS. SO, BUT I WOULD
SAY THERE IS A LARGE UNKNOWN
CATEGORY, QUITE HONESTLY.
>> YES, I'M WORRIED ABOUT
LOSING THAT HOUSING STOCK. GO
AHEAD.
>> YES. YES. YEAH. GEOFF, I
WILL TURN IT OVER TO YOU GUYS.
YOU CAN PROVIDE SOME
INFORMATION.
>> IS THE SAME INFORMATION IN
DIFFERENT WAY BUT SHOWS THAT
OVER TIME AND I WAS ABLE TO GET
UPDATED 2023 NUMBERS SINCE IT
STOPPED WITH THE INFORMATION IN
2022. BETWEEN 2016 AND 2023 WE
SAW A STEADY INCREASE IN
REGISTERED RENTAL PROPERTIES UP
TO A PEAK OF ABOUT 33,000 THAN
THE PANDEMIC CAME ALONG.
THAT'S PART OF THE FACTORS
THAT HAPPENED HERE PLUS SOME
OTHER FACTORS THAT WE WILL
DISCUSS. WE SAW A BIG DROP IN
TOTAL REGISTRATIONS AND I WANT
TO KNOW FOR 2023, BY THE END OF
2023, WE SAW A SMALL REBOUNDING
IN TOTAL PROPERTIES. I JUST
CHECKED LAST NIGHT AND THERE'S
ANOTHER 500 OR SO. IT'S HIGHER
HALFWAY INTO 2020 . THESE ARE
PROPERTIES. IT'S IMPORTANT TO
MAKE THE DISTINCTION ON UNITS.
UNITS HAVE GROWN QUITE A BIT IN
THE CITY BECAUSE WE ARE
CONSTRUCTING PROPERTIES. WE ARE
SEEING A SIGNIFICANT INCREASE
IN THE TOTAL UNITS REGISTERED.
>> --
>> FOCUSING ON SMALL RENTAL
PROPERTIES BECAUSE THAT WAS THE
FOCUS OF THE AUDITOR'S REPORT,
NOT QUITE THE EXACT YEAR. IT'S
BEEN INTERMITTENT. EVERY OTHER
YEAR WE PULL THE DATA ON THE
BREAKDOWN BY UNIT SIZE BUT WE
SAW PEAK OF SMALL ONE
SINGLE-FAMILY TWO TO FOUR AND
FIVE TO 20 UNIT PROPERTIES IN
2022. A BIG DECREASE BY THE END
OF 2020. WE SAW A SMALL REBOUND
RIGHT NOW.
>> OKAY. WHAT I WANT TO DO IS
JUST GO OVER QUICKLY FIVE
REASONS WHY WE BELIEVE THERE
POSSIBLY COULD HAVE BEEN
DECREASES IN REGISTERED RENTAL
PROPERTIES DURING THE PERIOD OF
2016 TO 2022 AND THE FIRST ONE
, SOME OF THESE DURING THAT
PERIOD, THERE'S ABOUT 6000,
800 NEARLY 7000 PROPERTIES THAT
HAVE REGISTERED THAT WERE SOLD
AND MOST OF THESE, 88% WERE
SMALLER UNITS, YOU KNOW?
PROPERTIES OF ONE TO FIVE
UNITS. AND, IF YOU LOOK AT
NATIONAL DATA AND RESEARCH DONE
ON THIS TOPIC, IT WOULD SUGGEST
THAT MOST OF THESE ONES WERE
TAKEN OFF THE RENTAL MARKET.
NOW, WE CAN'T DEFINITIVELY SAY
WE DID NOT HAVE THE ABSOLUTE
DATA TO SAY THIS BUT THE
INDICATIONS ARE THEY LIKELY
WERE TAKEN OFF THE RENTAL
MARKET. AND WHEN I'M SAYING,
76% WERE SOLD TO INDIVIDUALS
VERSUS BUSINESSES AND 69% OF
THE SOLD PROPERTIES WERE SINGLE
UNITS. THESE ARE ALL THINGS
THAT WOULD TEND TO LEAD TO AN
OUTCOME IN WHICH THEY WERE
TAKEN OFF THE RENTAL MARKET.
SECOND THING WE NOTICE, WE ARE
ASKED BY THIS COUNCIL MEMBER
SPECIFICALLY, LOOK AT
DEMOLITION PERMITS. DURING THAT
PERIOD THERE WERE 768
DEMOLITION PERMITS FOR RRIO
REGISTERED PROPERTIES. MOST OF
THESE, THIS TREND WERE FOR
SMALLER ONES WITH 20 OR FEWER
UNITS. NUMBER THREE, WE LOOKED
AND THIS RAISES SOME QUESTIONS
THAT I WILL TALK ABOUT LATER.
10% OF SHORT-TERM RENTAL
PROPERTIES LIKE AIRBNB
PROPERTIES, THEY WERE SUPPOSED
TO BE REGISTERED ALSO AS A REAL
PROPERTIES. THERE ARE CERTAIN
PROPERTIES THAT HAVE TO BE
REGISTERED NOT ONLY WITH SDCI
AND THE RENTAL REGISTRATION,
RRIO PROGRAM, THEY ALSO NEED TO
BE REGISTERED WITH THE
DEPARTMENT OF FINANCE AND
ADMINISTRATIVE SERVICES. I KNOW
I'M GETTING INTO THE WEEDS
HERE BUT SOME OF THEM HAVE TO
BE REGISTERED WITH BOTH
REGIMES. SO, WHEN WE LOOK AT
THIS, THERE WERE 10% ON THE
PROPERTIES THAT JUST DID NOT
HAVE AN ACTIVE REGISTRATION.
THEY DROPPED OUT FOR SOME
REASON. AGAIN, IT IS EITHER
BECAUSE THEY MAY BE SOLD THEIR
PROPERTY OR THEY STARTED
OCCUPYING IT OR THEY DID NOT --
THEY FORGOT TO REREGISTER OR
THEY CHOSE NOT TO REREGISTER
BUT THAT RESULTED IN A DECREASE
IN THE REGISTRATION NUMBERS.
NUMBER FOUR, AND I'M GOING TO
TALK -- THIS IS BASED ON A
SURVEY WE DID ON LANDLORDS.
I'LL GO INTO DETAIL LATER
ABOUT THAT BECAUSE IT WAS NOT A
SURVEY OF ALL THE LANDLORDS IN
SEATTLE, IT WAS A SUBSET OF
THAT. THE PEOPLE WHO RESPONDED
TO OUR SURVEY, WE DELIBERATELY
CHOSE TO SURVEY PEOPLE WHO WERE
NO LONGER REGISTERED IN THE
RRIO SYSTEM OR WE HAD EVIDENCE
THAT THEY SOLD THEIR HOUSE. WE
LOOKED AT KING COUNTY DATED TO
GET THAT . THE SURVEY OF THOSE
FOLKS WHO RESPONDED TO OUR
SURVEY THE RESPONSE WAS 21%
SAID I CONVERTED THE PROPERTY
INTO A RESIDENCE FOR MYSELF OR
FAMILY MEMBER. AGAIN, THAT
COULD DECREASE THE NUMBER OF
REGISTRATIONS. FINALLY, AGAIN,
WE TALKED ABOUT THIS, THERE WAS
JUST AN INCREASE IN THE NUMBER
OF REGISTRATIONS FOR BUILDINGS
WITH A LOT OF UNITS AND A SLOW
DOWN OR DECREASE IN THE NUMBER
OF PROPERTIES WITH, YOU KNOW, A
SMALL NUMBER OF UNITS. SO,
ADDING THESE THINGS UP, THAT
EXPLAINS A POSSIBLE EXPLANATION
FOR WHY THE NUMBERS WENT DOWN
SO QUICKLY AND SIGNIFICANTLY
DURING 2016 AND 2022.
>> I THINK COUNCILMEMBER
MORALES, DID YOU HAVE A
QUESTION?
>> SURE. IF THAT'S OKAY. CAN
YOU TELL US OF THE 6800
PROPERTIES THAT WERE SOLD, HOW
MANY HAD A COMPLAINT FILED
AGAINST THEM REGARDING
HABITABILITY OR FAILURE TO
COMPLY WITH LANDLORD-TENANT
LAWS?
>> I WILL CONFESS THAT I DID
NOT COMPLETELY HEAR YOUR
QUESTION. COULD YOU REPEAT THAT
AND SPEAK A LITTLE LOUDER? I'VE
AGING YEARS.
>> OH. I'M SORRY. [ LAUGHTER ]
THAT'S OKAY. OF THE 1600 THAT
WERE SOLD, DO YOU HAVE DATA ON
HOW MANY HAD A COMPLAINT FILED
AGAINST THEM REGARDING
HABITABILITY OR FAILURE TO
COMPLY WITH LANDLORD-TENANT
LAWS?
>> I DO NOT KNOW THE ANSWER TO
YOUR QUESTION. I WILL GET AN
ESTER -- ANSWER TO YOUR
QUESTION. I DON'T KNOW WHAT
OFF THE TOP MY HEAD.
>> OKAY. ANOTHER QUESTION I
HAVE, WHAT IS THE ENFORCEMENT
FOR UNREGISTERED ENFORCEMENT --
>> ENFORCEMENT FOR WHAT?
>> UNREGISTERED RENTAL
PROPERTIES. YOU MENTIONED LOTS
OF FOLKS CYCLE OFF --
>> ALL DIFFERENT TO STC ON
THAT. I'M GOING TO GO ON A
TALK ABOUT A LOT OF BARRIERS,
THINGS PARTICULARLY WITH I.T.
SYSTEMS THAT THEY HAVE TO DEAL
WITH THAT MAKE IT HARD FOR THEM
TO DO AS MUCH ENFORCEMENT AS
THEY WANT TO BUT ENFORCEMENT.
>> THANK YOU. I WILL SAVE THE
REST OF MY QUESTIONS TILL THE
END. THANK YOU, CHAIR. OKAY.
THANK YOU. GO AHEAD.
>> OKAY. SO, GIVEN THIS CHANGE
IN SEATTLE'S RENTAL MARKET, WE
MADE THIS RECOMMENDATION WHICH
IS -- AND THIS IS ADDRESSED TO
POLICYMAKERS, THIS IS NOT IN
OUR PURVIEW, THIS INVOLVES
DIFFICULT TRADE-OFFS BUT JUST
SAYING, GEE, THERE IS THIS
TREND OF GOING FROM SMALLER
RENTAL PROPERTIES, DECREASING,
WHERE YOU SEE ON THE SAME TIME
, A GROWTH IN THE PROPERTIES
WITH A LOT OF UNITS. IS THAT OF
CONCERN? IF SO, YOU MIGHT WANT
TO THINK ABOUT DOING SOMETHING
AND WE USE THE WORD CONSIDER
BECAUSE THIS IS CLEARLY IN THE
POLICY REALM AND WE DON'T GET
INTO THAT. SO, AND, YOU KNOW,
TRADE-OFFS BETWEEN, LIKE, IS A
PROMOTING WAREHOUSING DENSITY?
ONE COULD ARGUE THAT HAVING A
BIG BUILDING WITH A BUNCH OF
UNITS IS GREAT BUT HOW MUCH TO
EVALUATE HAVING A VARIETY OF
RENTAL HOUSING CHOICES
THROUGHOUT SEATTLE. THERE'S A
LOT OF FACTORS AND I WILL GO
INTO THEM BUT THIS IS JUST TO
DRAW ATTENTION TO THIS ISSUE
AND WE DON'T PRESUME TO KNOW
WHAT SHOULD BE DONE. BUT I KNOW
, GEOFF, FOR SDCI HAS SOME
INFORMATION ABOUT THINGS THAT
THEY'RE DOING THAT ARE RELATED
TO THIS RECOMMENDATION.
>> YES, THAT IS A POLICY. IT'S
A RECOMMENDATION DIRECTED
BROADLY AT CITY POLICY. FOR US
AND SDCI WE HAVE A FEW THINGS
THAT WE HAVE DONE WORKING IN
THE SPACE. BEFORE THE AUDITORS
REPORT THEY MENTIONED WE DID
SOME SMALL LANDLORD STAKEHOLDER
WORK. WE HAD A STAKEHOLDER
GROUP IN 2022 WITH A
CROSS-SECTION OF SMALL
LANDLORDS AND RENTAL HOUSING
ASSOCIATIONS AS AN ADVOCATE FOR
THEM. AND SOME AFFORDABLE
HOUSING PROVIDERS ON THE
SECTION 8 PROGRAMS. SO, A GOOD
GROUP OF SMALL LANDLORDS, WE
ANALYZE WHERE THEY WERE FINDING
BARRIERS AND CHALLENGES, WROTE
THAT UP IN A REPORT TO COUNCIL
AND IN 2023 WE FOLLOWED UP WITH
SOME POLICY OR ADMINISTRATIVE
RECOMMENDATIONS FOR COUNCIL TO
CONSIDER. SO, WE ARE HAPPY TO
RE-PROVIDE THOSE REPORTS TO YOU
IF THEY ARE SOMEWHERE IN THE
CITY SYSTEM BUT WE ARE HAPPY TO
GET THEM TO YOU DIRECTLY, IF
YOU WOULD LIKE. AND THEN, YOU
KNOW, WE ARE ALWAYS DOING SMALL
LANDLORD SUPPORT. LIKE I SAID,
WE'RE DEALING WITH TENS OF
THOUSANDS OF LANDLORDS EVERY
YEAR. MOST OF THOSE ARE SMALL
LANDLORDS BUT MAJORITY OF
LANDLORDS IN SEATTLE ARE
SMALLER. THE MAJORITY OF UNITS
ARE IN FEWER, LARGER
PROPERTIES. SO, JUST A REGULAR
WORK WITH LANDLORDS AND FOR THE
RRIO PROGRAM AND THEN OUR
OUTREACH EFFORTS.
>> OKAY. WHAT I WANT TO TALK
ABOUT IS --
>> I'M SORRY. CAN WE GO BACK
TO THAT SIDE? YOU SAID CONTINUE
TO UTILIZE THE PARTNERSHIP WITH
THE OFFICE OF CIVIL RIGHTS TO
SUPPORT SUCH AS WEBSITE AND
LANDLORD TRAININGS. IS THERE
EVIDENCE THAT -- I DON'T QUITE
UNDERSTAND HOW THAT IS GOING TO
HELP DECREASE -- TO STOP THE
BLEEDING OF THE LOSS OF SMALL
LANDLORD PROPERTIES IN SEATTLE?
>> THE INTENTION IS IT IS
SUPPORTIVE FOR SMALL LANDLORDS.
GIVING THEM COACHING, EDUCATION
ON HOW THE REGULATIONS WORK AS
THEY ARE RIGHT NOW. LANDLORDS
CAN SELL ON THE WEBSITE AND
FIND INFORMATION ON THE WEBSITE
IS WRITTEN WITH TWO AUDIENCE.
YOU HAVE TWO DOORS GOING AT THE
BEGINNING. TENANT OR LANDLORD
ANY REVIVED THE INNERVATION AS
AN AUDIENCE AND WE WILL TOUCH
ON A LITTLE BIT LATER IN THE
PRESENTATION BUT WE ARE DOING
LANDLORD TRAININGS AT LEAST FOR
THIS YEAR. THEY HAVE BEEN SOLD
OUT SO FAR. SOLD OUT IS NOT THE
RIGHT TERM. WE DON'T CHARGE
THEM BUT WE DO PREREGISTRATION
AND THEY HAVE BEEN AT CAPACITY
FOR EACH OF THOSE TRAININGS.
THAT'S THE KIND OF REGULAR
WORK WE DO DAY-TO-DAY IN OUR
DEPARTMENT .
>> I CERTAINLY SUPPORT MORE
EDUCATION AND MORE TRAINING I
GUESS I AM CONCERNED THAT THE
UNDERLYING ASSUMPTION IS THAT
IT WAS A FAILURE OF LANDLORDS
TO UNDERSTAND THE LAW THAT WAS
LEADING TO THE LOSS OF
PROPERTIES BEING REGISTERED
RATHER THAN PERHAPS A MORE
SYSTEMIC FACTOR. SO, I JUST
WANTED TO MAKE SURE THAT WE ARE
AN UNDERLYING ASSUMPTION. IT
DOESN'T ACTUALLY ANSWER. AS
PART OF THE PUZZLE, I GUESS, IS
WHAT I'M TRYING TO SAY.
>> WE ARE NOT SUGGESTING IT IS
THE ENTIRE THING.
>> YES. THANK YOU. COUNCIL
PRESIDENT?
>> HE HAD TO PILE ON THAT. THIS
IS REFERRING TO RECOMMENDATION
ONE WHICH IS SPECIFICALLY
TALKING ABOUT POLICIES NOT
OPERATIONS OR EDUCATION OR
TRAINING OF LANDLORDS. I READ
THAT AND THINK OF, YOU KNOW,
POLICIES THAT, AS YOU SAID,
WILL PRESERVE AND PREFERABLY
EXPAND THE EXISTING OF PARENTAL
PROPERTIES AVAILABLE .
>> YES.
>> SORRY. COUNCILMEMBER?
>> SORRY. I AM HAVING TROUBLE
FOLLOWING THE -- WHY THESE
TRAIN JURIES -- TRAININGS UNDER
THE OFFICE OF CIVIL RIGHTS?
IT'S ALMOST LIKE THERE'S SOME
KIND OF ISSUE THAT THE
LANDLORDS AREN'T FOLLOWING
PROPER LAWS RELATED TO CIVIL
RIGHTS. SO, THIS IS THE PIECE
THAT I AM CONFUSED ABOUT, IF MY
QUESTION MAKES SENSE.
>> YES, SO, THE CITY REGULATION
OF RENTAL PROPERTIES IS DIVIDED
BETWEEN TWO DEPARTMENTS. SDCI
HAS LANDLORD-TENANT
PROJECTIONS. OFFICE FOR CIVIL
RIGHTS HOLDS THE
ANTIDISCRIMINATION FAIR HOUSING
LAWS. WE WORK CLOSELY WITH THEM
BECAUSE LANDLORDS DON'T KNOW
THE DIFFERENCE BETWEEN WHICH
DEPARTMENT THEY'RE TALKING TO.
WE TRIED TO DO JOINT
PRESENTATIONS, JOINT TRAININGS,
PRESENTER INFORMATION TOGETHER
IN AN INTEGRATED WAY ON HER
WEBSITE.
>> YOU ARE NOT SAYING THAT
THERE IS DISCRIMINATORY
PRACTICES, YOU ARE SAYING THAT
SDCI AND CIVIL RIGHTS HOLDS THE
INFORMATION FOR LANDLORDS,
BASICALLY. THEY ARE EITHER
GOING TO YOU ALL FOR SOME OR TO
THE OFFICE OF CIVIL RIGHTS. IS
-- AND MY UNDERSTANDING THAT
RIGHT?
>> WE ARE TRYING TO HELP
LANDLORDS COME TO ONE SPOT TO
GET THE INFORMATION RATHER THAN
HAVING TO TRY TO FIGURE OUT
WHICH DEPARTMENT THEY SHOULD BE
GOING TO.
>> GREAT. THANK YOU. THANKS FOR
CLARIFYING THAT. THAT IS AN
IMPORTANT POINT.
>> THANK YOU. I THINK THE NEXT
SLIDE WILL ALSO MOVE US ON IN
THAT DISCUSSION. GO AHEAD.
THANK YOU.
>> SO, NOW, I JUST WANT TO TALK
ABOUT SOME OF THE SURVEY THAT
WE DID. TO TRY AND UNDERSTAND
WHY PROPERTY OWNERS AND WHY
SOME OF THEM HAVE STOPPED IN
SEATTLE. WE CONDUCTED A SURVEY
OF THOSE LANDLORDS WHO STOPPED
RENTING AT LEAST ONE RENTAL
UNIT IN SEATTLE BETWEEN 2016
AND 2022. I WANT TO EMPHASIZE I
SAID THIS BEFORE, IS NOT
REPRESENTATIVE. WE DO NOT
SURVEY EVERY LANDLORD IN
SEATTLE. WE WANTED TO DO IS DIG
DOWN ON THOSE FOLKS WHO WE HAD
EVIDENCE THAT THEY HAD LEFT THE
RENTAL MARKET AND DECIDED NOT
TO REGISTER . SO, AS PEOPLE
SOLD ONE RENTAL UNIT OR DID NOT
RENEW THEIR REGISTRATION FOR AT
LEAST ONE PROPERTY. SO, LOOK AT
THE SERVER RESULTS YOU CAN SEE.
WE SENT IT OUT TO 13,000 FOLKS,
YOU KNOW, DATA, EMAIL ADDRESSES
PROVIDED TO US BY SDCI. 635
SURVEY RESPONSES AND THE SURVEY
INDICATED MANY THINGS AND I'M
ONLY GOING TO TALK ABOUT A FEW
OF THEM RIGHT NOW. OF THE
PEOPLE WHO RESPONDED MOST ,
70%, FIVE YEARS OR LESS. IN
OTHER WORDS, SMALLER PROPERTIES
AND MOST OF THE SURVEY
RESPONDED , HEY THE SALES
RENTAL REGULATIONS ARE VERSED
UNDERSTAND AND IMPLEMENT. IF
YOU GO ON THE NEXT SLIDE, I
WANT TO BE REALLY CAREFUL. WHAT
WE FOUND, WE HAVE DATA FROM
SDCI AND IT TURNED OUT THAT
MOST OF THE COMPLAINTS FROM
TENANTS DEALT WITH LANDLORDS
WHO HAD SMALLER PROPERTIES AND
THERE WAS AN INCREASE FROM 2021
TO 2022 AFTER WE CAME OUT OF
THE PANDEMIC. SO, ONE OF THE
THINGS WE WANTED TO DO IS TO --
AND WE MAY RECOMMENDATIONS
ABOUT THIS, AND THIS IS
RECOMMENDATION TOO IF YOU COULD
GO TO IT, I THINK IT IS ON THE
NEXT SLIDE. THIS IS REALLY
WORDY. SO, BUT WHAT WE INTENDED
TO DO IS HELP DECREASE THE
NUMBER OF RENTAL COMPLIANCE.
AGAIN, THIS IS NOT GOING TO
TAKE CARE OF EVERY PROBLEM AND
EVERY COMPLAINT BUT THIS IS
WITHIN THE CONTROL OF THE CITY
RIGHT NOW BY PROVIDING CLEAR,
MORE COMPREHENSIVE,
USER-FRIENDLY INFORMATION TO
RENTAL PROPERTY OWNERS AND
MANAGERS LANDLORDS. IT SEEKS TO
IMPROVE THE OVERALL CUSTOMER
EXPERIENCE. THESE ARE MAINLY
LANDLORDS WITH SDCI'S RENTAL
PROGRAM. THUS IT IS VERY LONG
RECOMMENDATIONS IS TO DO.
AGAIN, AS I TO SOLVE
EVERYTHING. NOT GOING TO SOLVE
AN EXIT IS A SMALL PROPERTY
OWNERS BUT WE WILL DO
EVERYTHING IN OUR COMMAND IN
THE CITY TO MAKE SURE THAT
PEOPLE UNDERSTAND THINGS THAT
IS CLEAR TO THEM. BECAUSE OF
THE STORIES IF YOU LOOK AT OUR
APPENDIX IN OUR POOR THEY HAVE
TWO PIECES THERE. I BELIEVE
THEY REFER TO SOME ISSUES THEY
FOUND WITH PEOPLE WHO ARE
LANDLORDS WHOSE FIRST LANGUAGE
IS NOT A NEWISH. TRYING TO WADE
THROUGH SIZE REGULATIONS AND
UNDERSTAND THAT MAYBE THEY JUST
DIDN'T UNDERSTAND , IT WASN'T
JUST THAT THEY DID OUR HOLLOW
THEM. THIS IS A SMALL SUBSET
THEY LOOKED AT ENFORCEMENT
ACTIONS TO VISIT SO, THAT IS A
FAIR AND COMPREHENSIVE AS
POSSIBLE SO WE DIMINISH THAT
SCENARIO HAPPENING. AND, GEOFF.
>> AGAIN, THIS HAS BEEN ONGOING
WORK IN OUR DEPARTMENT. SOME OF
IT PROCEEDS THE AUDITOR BUT THE
AUDITORS REPORT EMPHASIZES
SUPPORT ON THE WORK THAT WE ARE
DOING. SO, WE ARE DOING
TRAININGS FOR LANDLORDS. WE DID
THEM PRE-PANDEMIC. PEOPLE DID
NOT WANT TO DO IN PERSON
LEARNING BUT WE ARE BACK AT IT
AND EXCITED ABOUT IT. WE HAVE
HAD TWO OF FOUR PLANNED
TRAINING SO FAR, ABOUT 150
ATTENDEES EACH. THE NEXT ONE IS
COMING UP ON JULY 17th. WOULD
BE HAPPY TO SHOW THE
REGISTRATION INFORMATION
INVOLVE YOU, IF YOU WOULD LIKE.
WE DO PUSH THAT OUT TO OUR
LANDLORD EMAIL LIST , ABOUT
19,000 LANDLORDS AND PROPERTY
MANAGERS AND WE PUT IT UP ON
OUR WEBSITE, THE CITY'S
WEBSITE. WE GET THE WORD OUT
AND REGISTRATION FILLS UP RIGHT
AWAY. WE ARE LOOKING AT WHETHER
WE TRIED TO SQUEEZE SOME MORE
IN THERE. IT'S VERY POPULAR
RIGHT NOW. WE ALSO DO LANDLORD
TRAININGS THAT ARE HOME FAIRS.
WE DO THOSE TWO TIMES A YEAR.
WE ARE CONTINUOUSLY UPDATING
OUR WRENCHING IN SEATTLE
WEBSITE AND HALF OF THE CONTENT
IS WRITTEN TO THE LANDLORD
AUDIENCE. WE DID AN UPDATE TO
OUR RENTERS HANDBOOK AND THAT
IS PRIMARILY PROVIDED TO
TENANTS WHEN THEY MOVE IN AN
SIX POST TO EXPLAIN THE
REGULATIONS IN AN
EASY-TO-UNDERSTAND WAY. IT'S
TRANSLATED INTO 13 LANGUAGES.
LANDLORDS USE THAT RESOURCE
ALSO AND ALSO BECAUSE LANDLORDS
PROVIDE THAT TO THEIR TENANTS,
WE FORMED A PARTNERSHIP WITH
RENTAL HOUSING ASSOCIATION TO
DISTRIBUTE THAT MAKE IT EASY
FOR LANDLORDS TO GET AT THE
COST OF MAILING IT TO THEM BY
RHA. THAT'S A PARTNERSHIP WE
APPRECIATE. OTHER THINGS WE'RE
WORKING OUT RIGHT NOW FOR 2024,
WANT TO GET AN ONLINE LANDLORD
TRAINING OUT. IS A LITTLE
OUTDATED AND TALKS . WE WILL
REPORT A NEW TRAINING ON-DEMAND
FOR LANDLORDS. THEN WE WORKED
ON TARGETED TRAINING FOR PEOPLE
THAT HAVE A.D.D. YOU IS OR
RENTING IN THEIR HOUSE. IT'S A
GROWING AREA OF INTEREST IN THE
RULES ARE DIFFERENT. WE WANT TO
GIVE SOME GOOD TARGETED
INFORMATION FOR THEM UP ON OUR
WEBSITE.
>> SO, WHAT I'M GOING TO DO
FOR THE REST OF THE
PRESENTATION IS BASICALLY GO
THROUGH A LOT OF ENFORCEMENT
CHALLENGES AND THINGS THAT
COULD BE DONE TO MAKE IT EASIER
TO ADMINISTER AND ENFORCE THE
PROGRAM. A LOT OF THEM TOUCH ON
I.T. ISSUES, YOU KNOW? THE
SOFTWARE THAT SDCI AND THE FAS
HAVE AVAILABLE TO THEM. SO, I
WILL TRY TO GO THROUGH THIS
QUICKLY. IT GETS PRETTY THICK
IN THE WEEDS BUT I THINK THE
MOST IMPORTANT THING IS STAY
HERE, JEFF, TALKING ABOUT WHAT
SDCI IS DOING AND RESPOND TO
THE RECOMMENDATIONS. SO, WHAT
THE SLIDE TALKS ABOUT IS WHAT I
WOULD DO TO EARLIER. THERE ARE
SOME PRIMARIES THAT HAVE TO BE
REGISTERED. RENTAL PROPERTIES,
SHORT-TERM RENTAL PROPERTIES,
LIKE AIRBNB, RENTALS. THEY HAVE
TO BE REGISTERED WITH BOTH SDCI
AND FAS AND SPECIFICALLY
SHORT-TERM RENTAL PROPERTIES
THAT ARE NOT USED AS A PRIMARY
CONCERN OF THE OWNER . THE
ISSUE WE IDENTIFIED, THERE WERE
GAPS IN THE PROCESSES TO ENSURE
THAT BOTH, YOU KNOW, PROPERTY
SHORT-TERM RENTAL PROPERTIES
WERE BEING APPROPRIATELY
REGISTERED WITH BOTH FAS AND
SDCI. THERE'S A BUNCH OF
EXAMPLES. I WILL GIVE YOU ALL
OF THEM. FAS HAS THIS DATA ON
SHORT-TERM RENTALS THAT THEY
CAN'T SHARE THROUGH THEIR
SYSTEM WITH SDCI. IF THEY COULD
SHARE THIS, IT WOULD MAKE THE
ENFORCEMENT JOB A LOT EASIER.
AGAIN, THERE ARE OTHER EXAMPLES
OF PROBLEMS CAUSED BY THIS OF
THIS TYPE IN THE REPORT. AND IF
YOU GO TO THE NEXT SLIDE, SO,
THE NEXT TWO SLIDES, THESE ARE
PRETTY LONG BUT THEY'RE
BASICALLY SAYING THESE ARE
THINGS THAT YOU CAN DO ,
CONTROLS, THINGS MANUAL AND
RELATED TO THE I.T. SYSTEM THAT
COULD BE DONE TO MAKE IT EASIER
TO ENFORCE AND KEEP ON TOP OF
THE RENTAL REGISTRATION. OKAY.
AND GEOFF?
>> IN RESPONSE TO THOSE WEIRD
TIME-OUT PROBLEMS TALKING TO
EACH OTHER, IN THE MEANTIME WE
ARE JUST SHARING SPREADSHEETS
OF REGISTERED PROPERTIES AND
LINING UP THEIR SPREADSHEET IN
OUR SPREADSHEET AND FINDING OUT
WHERE THERE MIGHT BE COMPLIANCE
CHALLENGES. THERE'S NOT A LOT
BUT WE ARE SEEING A FEW. AND
THEN, JUST STARTING THE
DISCUSSION WITH THEM, MEETING
WITH THEM, TALKING ABOUT WHAT A
BIGGER I.T. RELATED SOLUTION
WOULD BE, I DID WANT TO TOUCH
ON THAT. IT'S TRUE FOR THIS
AND SOME OF THE OTHER I.T.
RECOMMENDATIONS THAT ARE GOING
TO COME UP HERE. WE CAN DO
SMALL FIXES AS DISCOVERED BASIS
, CHANGE REPORTS, CHANGING HOW
WE CAN INDICATE WITH CUSTOMERS
BUT THE LARGER STRUCTURAL FIXES
LIKE HAVING TWO XL MODULES TALK
TO EACH OTHER, THAT IS FAIRLY
HEAVY I.T. WORK. IT'S NOT THE
SORT OF STUFF WE CAN DO WITHIN
OUR DEPARTMENT. HIGHLY
SPECIALIZED PRIORITIZED AND IN
DEMAND. THERE'S A LOT OF
PEOPLE WORKING ON THE SYSTEM
ALL LOOKING FOR FIXES. WE ARE
APPROPRIATELY IN COMPETITION
WITH THEM FOR WHAT IS THE
HIGHEST PRIORITY FOR THIS
LIMITED SPECIALIZED RESOURCE.
THAT'S WHERE WE ARE AT. WE
TALKED ABOUT SOME OF THESE AND
WE SAY THAT'S OUR PLAN BUT WE
ARE NOT THERE YET. WE ARE GOING
TO THE PRIORITIZATION AND
BUDGETING PROCESS TO GET THOSE
IN PLACE.
>> AGAIN, WHAT I'M GOING TO DO
QUICKLY IS TALK ABOUT THESE ARE
ENFORCEMENT CHALLENGES
PARTICULARLY RELATED FOR REAL
REGISTRATION AND RENEWAL .
THERE SAYING I DON'T WANT TO
BE REGISTERED IN THE SYSTEM
ANYMORE AND THERE ARE TWO
PRINCIPAL CAUSES OF THIS
PROBLEM . FIRST, THE SEATTLE
MUNICIPAL CODE CURRENTLY
ASSIGNS REGISTERING RENTAL
PROPERTIES TO NEW OWNERS OF THE
PROPERTY AND THEY HAVE TO DO
WITHIN 60 DAYS OF THE CLOSING
SALE. IN PRACTICE, NEW OWNERS
REALLY DO THIS. SO, THEY DON'T
-- AND SDCI, NEW OWNERS REALLY
COMMUNICATE TO SDCI WHEN IT
COMES TO OCCUPIED PROPERTY THEM
WHEN IT NEEDS TO BE REGISTERED
WITH SDCI. THERE IS THIS GAP.
THE SECOND ISSUE CONCERNS THE
I.T. SYSTEM. AGAIN, JEFF
MENTIONED THEY USE IT FOR
REGISTER MULTIPLE PARTIES CAN
RENEW AND IT ALLOWS USERS TO
DELETE THEIR CONTACT
INFORMATION AND WHEN THAT
HAPPENS, IT IS REALLY DIFFICULT
FOR THEM TO GET IN TOUCH WITH,
WELL, WHO'S THE OWNER OF THE
PROPERTY? SO, JUST THE WAY THE
SYSTEM IS SET UP, IT MAKES IT
REALLY DIFFICULT TO SEE WHO IS
IN CHARGE OF THIS. WHO SHOULD
WE CONTACT ASK QUESTIONS ABOUT
THE REGISTRATION? THE
RECOMMENDATION, FIVE ON SLIDE
21 JUST SAYS, HEY, IT WOULD BE
GREAT IF THEY COULD SPEND SOME
TIME TRYING TO BETTER DEFINE
THE ROLES AND RESPONSIBILITIES
FOR PROVIDING THE STATUS OF
RENTAL REGISTRATION FOR
PROPERTIES. AND I WILL TURN IT
OVER TO GEOFF TO TALK ABOUT
WHAT SDCI HAS DONE TO ADDRESS
THE RECOMMENDATION.
>> ALL RIGHT. SO, I'M GOING TO
TURN THIS OVER TO EDWIN. EDWIN
SUPERVISES OUR ADMIN TEAM AND
OUR CALL CENTER. FOLKS THAT ARE
USUALLY IN DIRECT COMMUNICATION
WITH LANDLORDS. YOU WANT TO
TALK A LITTLE BIT ABOUT WHAT WE
HAVE BEEN DOING TO WORK ON THE
SPACE?
>> GREAT. THANK YOU, GEOFF.
>> THERE ARE DEFINITELY THINGS
THAT WE CAN CONTROL AND IT'S
IMPORTANT TO US THAT WE UTILIZE
EXISTING RESOURCES TO BETTER
SERVE OUR CUSTOMERS. SO, WHAT
DOES THAT LOOK LIKE? WE CAN
UTILIZE OUR EMAIL LIST SERVER
LOOKS -- WITH APPROXIMATELY
19,000 AND SEND OUT REMINDER
EMAILS. PLEASE KEEP YOUR
RECORDS UP-TO-DATE. DATA
CLEANUP EFFORTS INCLUDE
CATCHING UP ON OVERDUE RENEWAL
REMINDERS AND THESE ARE THINGS
THAT PROMPT AUTOMATIC RESPONSE
FROM OUR CUSTOMERS FOR
ASSISTANCE AND WE CAN PROVIDE
THAT ASSISTANCE. OTHER THINGS
THAT WE DO AND THINGS TO
FURTHER THE ASSISTANCE THAT WE
CAN PROVIDE AS WE HAVE MOVED
FROM AN OLD, ANTIQUATED INQUIRY
SUBMITTAL THAT LOOKS LIKE AN
EMAIL WHERE PEOPLE TYPED INTO
AN OPEN TEXT BOX WHATEVER
QUESTIONS THEY HAD TO NOW A NEW
SOFTWARE CALLED ZEN DESK
CUSTOMER MANAGEMENT TOOL. THIS
ALLOWS FOR BETTER DATA
REPORTING. IT ALLOWS FOR
QUICKER RESPONSE BY YOUR TEAM
TYPICALLY WITHIN 24 HOURS. BUT
TO RESOLVE ISSUES AND ALSO
ANSWER QUESTIONS FROM PROPERTY
OWNERS, MANAGERS, AND TENANTS.
AND I'M PROUD TO SAY THAT WE
HELPED CONTRIBUTE TO THE
OVERALL SDCI CUSTOMER
SATISFACTION SCORE OF 95%.
ANOTHER WAY THAT WE CAN PROVIDE
ASSISTANCE IS WE HAVE UPDATED
OUR RRIO HELPLINE FROM WHAT
USED TO HAPPEN WAS CALLS WOULD
COME INTO OUR COMPLAINTS LINE
AND THEY WOULD HAVE TO GET
TRIAGED THROUGH ALL OF THE
OTHER THINGS THAT CODE
COMPLIANCE HANDLES. NOW
THERE'S A DIRECT HELPLINE FOR
OUR CUSTOMERS TO CALL AND
OBTAIN THE IMMEDIATE ASSISTANCE
FROM OUR STAFF AND THAT
ASSISTANCE INCLUDES ANSWERING
QUESTIONS OR WALKING THEM
THROUGH THE TECHNOLOGY.
ADDITIONALLY, FOR PEOPLE WHO
ARE TECHNOLOGICALLY ADVERSE, WE
HAVE DEPLOYED STAFF DOWN IN STC
I LOBBY FOR IN PERSON
ASSISTANCE AND WE HAVE
EMPLOYEES THERE READY WITH A
LAPTOP TO COME DOWN AND HELP
PEOPLE SO THAT THEIR BUSINESS
NEEDS ARE MET WHEN THEY LEAVE
THE BUILDING. WE WANT TO
CONTINUE THIS WORK WITH I.T. WE
STILL NEED POLICY REVIEW WORK
TO BE HAD.
>> CONTINUING ON, I WON'T
BELABOR THIS, YES, THE I.T.
SYSTEM THAT FAS HAS POSES
CHALLENGES IN DATA-GATHERING
AND THEIR ABILITY TO MANAGE AND
DO ENFORCEMENT . YOU KNOW,
DUPLICATE REGISTRATION ,
MULTIPLE CONTACT ENTRIES, THE
WEB INTERFACE IS DIFFICULT IF
YOU ARE LAND LORD OR PROPERTY
OWNER, IT'S HARD TO NAVIGATE
AND LOCATE THE RECORDS. AND
THEN, YOU KNOW, IT'S A
LABOR-INTENSIVE PROCESS THAT
SDCI HAS DOWN TO VERIFY RRIO
REGISTRATION COMPLIANCE AND
THEY HAVE A PRETTY LARGE
BACKLOG OF WORK THEY HAVE TO DO
ON THAT AND THEY ONLY HAVE SO
MUCH STUFF AGAIN, IF YOU GO TO
THE NEXT SLIDE, GEOFF. THIS
RECOMMENDATION IS MADE TO
GEARED TOWARDS ENSURING THAT
THEIR SYSTEM OBTAINS A CORRECT
CONTACT INFORMATION FOR RENTAL
PROPERTIES AND SIMPLIFY THE
REGISTRATION RENEWAL AND
TERMINATION PROCESS. GEOFF, I
THINK YOU HAVE SOMETHING TO ADD
TO THIS.
>> I WILL TURN THIS OVER TO
EDWIN FOR A MINUTE. I THINK WE
WILL GO BACK A COUPLE OF SLIDES
HERE. ON THAT DATA CHALLENGE I
WANT TO HIGHLIGHT SOMETHING
EDWIN'S TEAM DID WHICH IS THE
DATA CLEANUP. WE MADE HUGE
STRIDES CONTEMPORANEOUS WITH
THE AUDITORS REPORT AND SINCE
THEM AND BACK TO THE QUESTION
ABOUT ENFORCEMENT PROCESS WE
ALWAYS START WITH A REMINDER
LETTER. IT'S POLITE BUT IT
ALSO SAYS YOU NEED TO DO THIS.
THAT LETTER IS OUR MOST
EFFECTIVE TOOL. THAT FINDS OUR
BAD DATA. THE PEOPLE THAT ARE
NO LONGER RENTALS THE FORGOT TO
TELL US THEY AREN'T, THAT'S
THE LETTER THAT THEY MAY HAVE
IGNORED THE COUPLE OF EMAILS
THEY DID BEFORE THAT. THEY CALL
US , THEY UPDATE THE RECORDS
WITH THE ADMIN TEAM. SO
EDWIN'S TEAM DID A GREAT JOB
OF GETTING US CAUGHT UP
COMPLETELY ON THE BACKLOG OF
REMINDER LETTERS OVER THE LAST
YEAR AND SO WE ARE IN BETTER
SHAPE DATA. THE DATA IS NOT
PERFECT AND I PROBABLY NEVER
WILL BE. APPRECIATION FOR THAT
WORK.
>> THANK YOU.
>> ON THE I.T. ONE, --
>> WE ARE ALWAYS LOOKING AT A
CONTINUOUS IMPROVEMENT LENS
WHEN IT COMES TO OUR WORK AND
SOMETHING I'M REALLY EXCITED
AND PASSIONATE ABOUT IS LOOKING
AT CONTINUOUS IMPROVEMENT THREE
HUMAN CENTERED DESIGN LENS.
WHAT THAT MEANS IS WE ACTUALLY
ASKED THE TEAM TO GO OUT AND
SURVEY OUR CUSTOMERS BUT ALSO
TO INTERVIEW THEM AND SEE WHERE
OUR GAPS ARE IN THE SYSTEM.
WHERE THE TECHNOLOGY COULD BE
BETTER AND GATHER
RECOMMENDATIONS FROM OUR
CUSTOMERS ON HOW TO IMPROVE THE
SERVICES THAT WE PROVIDE THEM
AND, IN ADDITION, BECAUSE WE
ALSO HAVE EMPLOYEES WERE
WORKING IN THESE SYSTEMS, WE
HAVE THE SAME TEAM MEET WITH
THE EMPLOYEES, JOB SHADOW THEM,
AND INTERVIEW THEM AND SEE HOW
THEY COULD PROVIDE BETTER
SERVICE TO OUR CUSTOMERS. SO,
THERE IS AN ONGOING EFFORT WITH
CONTINUOUS IMPROVEMENT. I THINK
IT WILL HAPPEN FOR A WHILE BUT
WE ARE REALLY LOOKING TO LISTEN
TO ALL THE FOLKS INVOLVED IN
THESE PROCESSES AND TRY TO
REALLY MAKE CHANGE THAT WILL
IMPACT THEM IN A POSITIVE WAY.
>> ON THIS LONGER-TERM, IT'S
THE SAME ISSUES I RAISED
BEFORE. WE HAVE STRUCTURAL
STUFF WE KNOW IS THERE. OUR
SYSTEM IS 10 YEARS OLD. THE
FIRST MODULE BUILT IN EXCEL.
THE CITY KNOWS MORE ABOUT HOW
TO CONFIGURE AND A LOT MORE
ABOUT USABILITY. FOR THE BIGGER
AND STRUCTURAL IMPROVEMENTS WE
GO THROUGH THE BUDGET AND
WHAT'S MOST IMPORTANT FOR THE
CITY'S RESOURCES GETS FUNDED
AND HAS NOT BEEN OUR TERM YET
BUT WE ARE HOPEFUL IT WILL BE
OUR TURN SOON.
>> OKAY. MOVING ON, THIS IS
ABOUT SDCI SOCIAL JUSTICE ROAD
MAP THAT IT DEVELOPED FOR THE
RENTAL REGISTRATION ORDINANCE
PROGRAM . THEY GOT ON THIS IN
2013 AS PART OF THE CITY'S
RACE AND SOCIAL JUSTICE
INITIATIVE. THEY DEVELOPED THIS
ROAD MAP THAT WAS BASED ON THE
OFFICE OF CIVIL RIGHTS TOOLKIT.
THEY UPDATED IT IN 2015 AND ALL
WE ARE SAYING IS, YOU KNOW, G,
IT HAS BEEN A WHILE SINCE 2015.
IT MIGHT BE A GOOD IDEA -- IT
WOULD BE A GOOD IDEA FOR YOU TO
UPDATE IT. JUST GO TO THE NEXT
SLIDE, GEOFF. THAT'S WHAT WE
RECOMMEND. WHY DON'T YOU
UPDATE THIS ROAD MAP. I THINK
GEOFF CAN TALK ABOUT WHAT
THEY'VE DONE FOR THE THAT
EFFORT.
>> I WOULD REPEAT WHAT YOU JUST
SAID. WE DID SPEND A LOT OF
TIME THINKING ABOUT RACE AND
SOCIAL JUSTICE WHEN THEY WERE
GETTING CREATED. WE CAME BACK A
COUPLE YEARS INTO IT TO SEE IF
WE ARE ACHIEVING WHAT WE ARE
HOPING TO ACHIEVE AND WE MADE
ADJUSTMENTS AT THAT POINT.
IT'S A REALLY GOOD POINT THAT
IT'S TIME TO TAKE A FRESH LOOK
AT THIS. SO, WE GOT THE
AUDITORS IN LATE DECEMBER. WE
HAVE NOT HAD A CHANCE TO DIG
INTO THIS YET BUT WE WILL BE
DOING AN UPDATE OF THE TOOLKIT
FOR THE PROGRAM.
>> OKAY. NEXT SIDE. WE ARE
ALMOST DONE. ALMOST ON. TWO
MORE RECOMMENDATIONS BUT
THEY'RE EASY. SO, DURING OUR
AUDIT WE FOUND THAT THE FEE
STRUCTURE SDCI IS USING , GIVEN
THE CURRENT RENT CHANGING ARE
THE CHANGES OF THE SEATTLE
RENTAL MARKET, THEY DID NOT
SEEM TO BE SET UP TO ENSURE
FINANCIAL SUSTAINABILITY. THE
REVENUES EARNED BY THE FEES,
YOU CAN LOOK AT THE SLIDE ,
THERE IS A HIGHER CHARGE ON THE
PROPERTY. AND, AS WE ARE SEEING
FEWER SMALL BUILDINGS, FEWER
PROPERTIES, PROPERTIES THAT
HAVE A LOT OF UNITS IN THEM, IF
YOU JUST DO THE MATH WHICH IT
SHOWS YOU ON THIS, THERE'S
GOING TO BE A DECREASE IN THE
REVENUE FOR SDCI AND I SHOULD
NOTE THAT SINCE WE DID OUR
AUDIT, SDCI HAS WORKED ON SOME
THINGS ABOUT THIS FEE
STRUCTURE. SO, IF YOU WANT TO
TALK ABOUT THAT.
>> THE NEXT SLIDE IS JUST A
RECOMMENDATION ITSELF. IT SAYS,
HEY, YOU SHOULD REVIEW YOUR FEE
STRUCTURE. AT THE SAME TIME,
THE AUDITORS WERE WORKING ON
THEIR ANALYSIS WE WERE IN THE
PROCESS OF UPDATING OUR FEES
FOR AFFECTIVE 2024 . WE DO A
FEE MODEL. IT MAKES
PROJECTIONS. FIGURE OUT WHERE
FEES SHOULD BE TO COVER
OPERATING EXPENSES AND WE ARE
FEE SUPPORTED BUT WE COLLECT
ENOUGH REVENUE TO SUPPORT OUR
WORK BUT NOTHING MORE. WE
DON'T RAISE ANY MONEY FOR THE
CITY. SO, SINCE WE JUST
COMPLETED THAT WORK, EFFECTIVE
2024, WE ARE NOT PLANNING TO
COME BACK AND DO FEES UNTIL
NEXT YEAR . WE ARE ON A TWO
YEAR REGISTRATION CYCLE. WE
REVISIT OUR FEES EVERY TWO
YEARS TO MAKE SURE THEY ARE
SUSTAINABLE. I THINK WE ARE ON
A MUCH MORE SUSTAINABLE PATH
ALREADY BASED ON THE AUDITORS
FINDING WHEN WE DO THAT AND YOU
A FEE STUDY IN 2025 WE WILL
TAKE THE ITEMS THAT THEY
HIGHLIGHTED INTO CONSIDERATION.
>> LAST RECOMMENDATION, AND
THIS TOUCHES ON A SIMILAR
THING, WE ARE SAYING, G, THESE
SOFTWARE PROBLEMS ARE ISSUES
THAT DO HINDER THE
EFFECTIVENESS OF THE
ENFORCEMENT OF THE PROGRAM.
THIS ONE IS EXECUTIVE. WE
RECOMMEND THAT YOU DEVELOP A
STRATEGY TO FIGURE OUT HOW TO
GET SUFFICIENT RESOURCES TO
UPDATE THE SOFTWARE. AND I WILL
JUST TURN IT OVER TO GEOFF.
>> THAT TOUCHES ON THE THEME
YOU'VE HEARD FROM US. AT LEAST
THE MORE SYSTEMATIC FIXES TAKE
TIME AND MANY PEOPLE WANT THE
IN DEMAND WORK RIGHT NOW. SO,
IN THE MEANTIME, WE HAVE GOOD
DOCUMENTATION OF WHERE THEIR
I.T. NEEDS. WE ARE DOING
CONTINUOUS IMPROVEMENT WHERE WE
CAN AND WE WORK WITH THE
MAYOR'S OFFICE AND CBO AND
SEATTLE I.T. ON THE
PRIORITIZATION AND BUDGET
PROCESS.
>> THAT'S IT. HAPPY TO ADDRESS
ANY QUESTIONS YOU MAY HAVE FOR
US AT THIS POINT. AND YOU CAN
GO TO THE NEXT SLIDE. THERE IS
THEM. SDCI, THE FOLKS YOU HAVE
THE TABLE. I JUST WANT TO THANK
CHAIR MOORE AND THE MEMBERS OF
THE COMMITTEE FOR HOSTING US
AND ASKING US TO COME UP HERE.
WE APPRECIATE IT.
>> THANK YOU VERY MUCH FOR THE
PRESENTATION. ARE THERE ANY
QUESTIONS? IT DOES NOT LOOK
LIKE IT. OKAY. I WILL JUST
FOLLOW UP WITH SAYING I WOULD
BE INTERESTED IN LEARNING MORE
ABOUT THE NEW FEE STRUCTURE.
AND WHAT THAT LOOKS LIKE.
>> WE WOULD BE HAPPY TO FOLLOW
UP WITH INFORMATION FOR YOU ON
WHAT WE HAVE NOW AND HOW IT
ALIGNS WITH THE AUDITORS
RECOMMENDATIONS.
>> YES, WELL, THANK YOU VERY
MUCH FOR THE PRESENTATION.
AGAIN, ALSO, THANK YOU -- KNOW.
I'M SORRY. COUNCIL PRESIDENT.
>> WELL, I WAS ALSO LOOKING AT
THE REPORT ITSELF. ACCORDING TO
THE REPORT, 74% OF THE
PROVIDERS AND SEATTLE'S RULES
ARE TOO BURDENSOME TO FOLLOW
HER TYPICAL TO IMPLEMENT
THAT'S ON PAGE 26.
41% PURCHASED RENTAL PROPERTIES
OUTSIDE OF SEATTLE AND 1%
PURCHASED ANOTHER PROPERTY
INSIDE OF SEATTLE AFTER HAVING
SOLD THEIR PROPERTY AND I HAD A
SLIDE THAT TALKED ABOUT 68 --
6800 RENTAL REGISTERING
PROPERTY SOLD. I AM, AGAIN,
CONCERNED ABOUT THIS. I DO
REALLY APPRECIATE ALL THE WORK
YOU ARE DOING TO IMPROVE THE
SYSTEM. BUT I AM GOING BACK TO
RECOMMENDATION NUMBER 1 WHICH
DOES SEEM TO BE RESPONSIVE TO
THE FIGURES I JUST READ THAT
TALKS ABOUT POLICY CHANGES OR
THAT FALLS ON US. AND I DO
APPRECIATE THAT. I DO THINK WE
HAVE OUR WORK CUT OUT FOR US.
>> OKAY. ANY FOLLOW-UP? SO I DO
THINK, CLEARLY, THERE ARE
POLICY DECISIONS THAT NEED TO
BE MADE BASED ON WHAT WE HAVE
SEEN FROM THE SURVEY RESULTS
AND THE REASONS GIVEN AND
CERTAINLY INTERESTED IN LOOKING
UP THOSE POLICY DECISIONS AND
DISCUSSING THEM FURTHER IN THE
COMMITTEE AND ASKED FOR THE
REPORT THANK YOU FOR THE WORK
YOU HAVE DONE. IT DOES SEEM
LIKE THEY ARE TAKING THE
RECOMMENDATIONS SERIOUSLY AND
BEING PROACTIVE IN RESPONDING.
THAT IS WHY WE HAVE THE AUDITOR
AND WE WANT THEM TO IDENTIFY
WAYS THAT THE BELLS AND
WHISTLES CAN BE IMPROVED AND
SYSTEMS IMPROVED AND TO HAVE
DEPARTMENTS BE RESPONSIBLE AND
THAT IS GOING WELL IN THIS CASE
A THANK YOU BOTH FOR THE WORK
YOU HAVE DONE ON THIS ISSUE AND
FOR PRESENTING HERE TODAY.
>> THANK YOU.
>> ALL RIGHT. IF THERE IS
ANYTHING FURTHER FROM THE
COMMITTEE? ALL RIGHT. IT IS NOW
12:02. THIS CONCLUDES THE JUNE
12 READING OF THE HOUSING AND
HUMAN SERVICES AND THE NEXT
MEETING IS SCHEDULED FOR JUNE
26. WE ARE ADJOURNED. THANK
YOU.