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HomeMy WebLinkAboutChapter 240 OFFICE LOCATION: - MAILING ADDRESS: Town Hall Annex P.O. Box 1179 54375 State Route 25 ��� Southold, NY 11971 (cor.Main Rd. &Youngs Ave.) Southold, NY � Telephone: 631 765-1938 www.southoldtownny.gov a*- cou PLANNING BOARD OFFICE TOWN OF SOUTHOLD MEMORANDUM To: Albert J. Krupski Jr., Town Supervisor Members of the Town Board Denis Noncarrow, Town Clerk From: James H. Rich III, Chairman J Members of the Planning Board Date: March 13, 2024 Re: Local Law in relation to Amendments to Chapters 240 Subdivision of Land Requiring Moderate Income Family Dwelling Units to be built The Planning Board supports the proposed code amendment to remove the options to building the affordable homes in subdivisions. Background The current Town subdivision code, in Chapter 240, was adopted in 2004. The most notable changes to the subdivision rules that occurred in that 2004 update were the creation of two main categories of subdivision, standard and conservation subdivisions, and the requirement that twenty percent of the yield on standard subdivisions had to be made affordable. Subdivision Code Summary The two main types of subdivisions are outlined in more detail below: 1. Standard Subdivisions a. Maximum number of lots allowed by zoning; b. Required 60% open space for parcels>7 acres; Southold Town Planning Board Page 12 March 13,2024 c. 20% of the lots must be for moderate income family dwelling units (aka affordable or community housing). 2. Conservation Subdivisions a. Number of lots reduced by 60 or 75%; b. Required open space or farmland preservation increased to 80 or 75%; c. Town buys the open space or farmland development rights; d. No affordable homes required. The Town Board sets the selling price for any potential affordable homes each year calibrated to three different income levels. And once created, those homes would be offered by lottery to people on the Town's affordable housing registry list. If a developer prefers not to build the affordable homes in the subdivision, the code offers several options. These include the following: • The developer can buy out up to 100% o Current rate = $390,750 per house not built. ■ Set by Town Board each year. o Allowed to build market-rate homes instead. • The developer can opt to build them elsewhere and then build the subdivision entirely at market rate. • The developer can provide vacant land to the Town or a non-profit like a community land trust to develop the affordable homes. Results from the Current Subdivision Code for New Community Housing After twenty years of these requirements being on the books, the results have been unsuccessful in creating new community housing. There have been two buyouts, representing 14 units of affordable housing that were not built. One buyout was from a standard subdivision of 12 homes (2 affordables required), and the other from a legal settlement for the Harvest Pointe Development (12 affordables required). Between 2017 and 2023, the Town received$1,424,750 into its Housing Fund as result of those buyouts. To date, no affordable homes have been created from that fund. The second option in the code to build elsewhere has never been attempted or proposed. The third option to provide land was attempted once unsuccessfully. During that process it became obvious that providing vacant land was not a practical option for many reasons including the equality of the land being offered, its location relative to the location of the subdivision, and the fact that the Town would have to build it. Southold Town Planning Board Page 13 March 13,2024 In summary, if we did not offer a buyout option, we would have 14 units on the ground today, having been created in places where new construction was already happening. Removing the options, and requiring the affordable homes be built in new subdivisions makes sense for several reasons. 1. It results in home ownership;the model most favored by citizens. 2. It locates new affordable homes dispersed in new neighborhoods where construction is already happening. 3. It simplifies and clarifies the expectations for new standard subdivisions. 4. There is a new steady stream of funding now in place through the Community Housing Act, so the Town no longer needs to rely on the buyout provision to fund community housing initiatives. The second option to build the attainable homes elsewhere is inconsistent with our Comprehensive Plan in that it increases density by building both the subdivision at full lot count of market-rate homes, and the affordables. Also, in twenty years it has never been attempted. And the third option has the same issue of increasing density, as well as the other concerns described above. Removing all of these options and requiring the attainable homes be built is a more certain way to accomplish the goal of creating more housing in a way that is compatible with our community character. The Planning Board appreciates the opportunity to comment on this local law. Please contact the department with any questions. cc. Paul DeChance, Town Attorney