President and Board of Trustees

123 Madison Street Village of Oak Park Oak Park, Illinois 60302 www.oak-park.us Meeting Minutes President and Board of Trustees Monday, February 25, 2019 6:30 PM Village Hall I. Call to Order Village President Abu-Taleb called the Meeting to order at 6:32 P.M. II. Roll Call Present: 4- Village President Abu-Taleb, Village Trustee Tucker, Village Trustee Moroney, and Village Trustee Andrews Absent: 3- Village Trustee Button, Village Trustee Taglia, and Village Trustee Boutet III. Consideration of Motion to Adjourn to Executive Session to Discuss Litigation It was moved by Village Trustee Andrews, seconded by Village Trustee Moroney, to enter into Executive Session pursuant to 5 ILCS 120/2(c)(11) - litigation. The motion was approved. The roll call on the vote was as follows: AYES: 4- Village President Abu-Taleb, Village Trustee Tucker, Village Trustee Moroney, and Village Trustee Andrews NAYS: 0 ABSENT: 3- Village Trustee Button, Village Trustee Taglia, and Village Trustee Boutet V. Reconvene to Special Meeting at 7pm in the Council Chambers and Call to Order The Special Meeting reconvened at 7:23 P.M. VI. Roll Call Village Trustee Button arrived at 8:07 P.M. Present: 7- Village Trustee Button, Village Trustee Taglia, Village President Abu-Taleb, Village Trustee Tucker, Village Trustee Moroney, Village Trustee Boutet, and Village Trustee Andrews Absent: 0 VII. Agenda Approval It was moved by Village Trustee Tucker, seconded by Village Trustee Boutet, to approve the Agenda. A voice vote was taken and the motion was approved. VIII. Regular Agenda A. ID 19-74 Inclusionary Housing Village of Oak Park Page 1 Printed on 3/5/2019 President and Board of Trustees Meeting Minutes February 25, 2019 Village Manager Pavlicek stated that there was a discussion and presentation regarding this topic at the February 11 Board Meeting. Staff is looking for feedback regarding policy questions in order to prepare an ordinance. Village President Abu-Taleb stated that the Board gave some direction and answered some of the policy questions. There are six additional recommendations from staff that they will discuss tonight. Alicia Chastain. Ms. Chastain stated that she would like to see Oak Park have a strong policy to help renters and others who would like to live here. She also does not want the Board to rush through this. Village President Abu-Taleb summarized what has already been agreed upon: Inclusionary zoning along the Blue and Green Lines, excluding the Austin stops. Village Trustee Moroney noted that he is not in favor of inclusionary zoning along the Blue Line or east of Ridgeland. 6. Limit the Inclusionary Housing Requirement to New Development of Rental Apartments and Townhomes. Village Trustee Boutet asked if staff is looking for the same contributions from commercial developments. Director of Development Customer Services Tammie Grossman stated that communities in Illinois that have an inclusionary zoning ordinance do not seek funding from commercial developers, only residential. Village Trustee Moroney clarified affordable housing data with Ms. Grossman and stated that Oak Park does not have a rental affordability issue. Village Trustee Boutet requested Ms. Grossman explain affordable housing versus low-income housing. Ms. Grossman stated the cost of the unit does not always reflect the income of the family living there. Some will pay more than 30% of their income and others less. She stated there is a need for the very low income level without some kind of subsidy attached and also a lack of newer housing at higher income levels, both rental and owner occupied. Village Trustee Boutet was in favor or creating a policy addressing the needs at the lowest income level. She also believes that condo developers should be required to contribute. Village Trustee Andrews was open to discussing condos but only larger developments that have the ability to contribute. He was opposed to including commercial developers. Village Trustee Tucker agree but noted there's not a huge market for condos right now. He'd prefer to stay with staff's recommendation of rental apartments and townhomes. Village Trustee Taglia also agreed with staff's recommendation but suggested that a future Board may consider amending if the market on condos improves. After a discussion regarding incentives to developers, there was consensus to limit the inclusionary housing requirement to new development of rental apartments and townhomes. 5. Reduce Permit Fees for Affordable Units. Ms. Grossman explained that staff's recommendation is to reduce the permit fee by the percentage of on-site affordable units being built. If the developer chooses the fee-in-lieu of units, the permit fee reduction would not apply. Village Trustees Taglia and Boutet support this. Village of Oak Park Page 2 Printed on 3/5/2019 President and Board of Trustees Meeting Minutes February 25, 2019 Village Trustee Moroney commented that the fees are then absorbed by taxpayers. Ms. Grossman explained that the cost of the permits is to cover staff expenses; it is not to make money. However, it would lower the amount of permit fees collected. There was consensus with staff's recommendation. 4. Create Affordable Housing Development Bonuses; Density, Parking and Height. Village Trustee Andrews supports density and height, but not lowering restrictions on parking. Village Trustee Tucker was curious as to whether residents living in these units near transit were less likely to own cars. Ms. Grossman noted that the Emerson is leasing spaces to non-residents, as not all residents own cars. There was a discussion regarding whether it may be premature to change parking restrictions now. This can always be changed in the future if data supports the theory. Village Trustee Boutet would like bonuses for height, parking and density to be more specific. Ms. Grossman commented that credits for density, etc. would be conservative and in line with the percentage of affordable units contributed. There was consensus with staff's recommendations regarding density and height. Parking will be discussed at another time. 3. Establish Specific Transit Oriented Inclusionary Housing Development Areas. Direction for this recommendation was given at the February 11 Meeting. 2. Allow a Fee to be Paid by Developers In-Lieu-Of Their Creation of On-Site Affordable Housing Units. Village Trustee Taglia stated that setting the right amount will determine the success of the program. Their decision should be data driven and methodical. Village Trustee Boutet suggested an analysis from a real estate consultant. Village Manager Pavlicek recommended utilizing a third party for analysis to evaluate the value of land, etc. to develop this number. Ms. Grossman added that the Village and the Oak Park Economic Development Corporation have done this calculation in the past. Executive Director of the OPEDC John Lynch explained how the potential for profit is calculated to develop this number. Village Trustee Boutet asked how the Board can determine this number without allowing too much height or discouraging developers. Mr. Lynch commented that municipalities often over shoot when determining what rate they can charge and acknowledged that it is challenging. The Board needs to discuss how much of the cost to develop can be extracted for building on a particular parcel of land. The Board asked for examples of this calculation. Village Trustee Tucker noted that finding a middle ground means helping people without discouraging development. Village Trustee Boutet stated that she is supportive of building a fund for affordable housing programs. Village Trustees Tucker, Andrews and Button also support fees-in-lieu. Village Trustee Button commented that the idea of economic diversity within a building is a good thing but that is not helping low income people. Those dollars are needed to invest in new developments and to help fund local organizations such as Housing Forward. Village of Oak Park Page 3 Printed on 3/5/2019 President and Board of Trustees Meeting Minutes February 25, 2019 Village Trustee Boutet asked if the goal is to provide integration in Oak Park or to provide housing for those who are the poorest in the community. Village Trustee Moroney asked if Oak Parkers are really asking for low-income developments in the community. Village President Abu-Taleb explained how an inclusionary ordinance can be used as a tool for Board decisions and to help those who need it the most. There was consensus with staff's recommendation. 1. New Construction of 25 Units or More. Village Trustee Boutet would like to consider a lower number, as future developments are likely to be smaller. She asked that this be looked at as part of the example calculations. Village Trustees Button and Taglia were comfortable with 25. Village Trustee Tucker was also comfortable but referred to Village Trustee Boutet's request and would like to see those examples. Village Trustee Andrews stated that by-right construction should not be required to contribute. Ms. Grossman commented that they have not seen any development of 25 units or more that hasn't requested some type of relief. However, she can amend that to reflect only developers asking for a variances be included. Village Trustees Moroney and Andrews agreed. Village Trustees Button and Tucker supported all developments of 25 units or more but were comfortable removing by-right developments. There was consensus that by-right construction not be required to contribute and that 25 units is acceptable. There was direction to come back to the Board with examples of in-lieu-of calculations. David Pope spoke in appreciation of the Board's work regarding affordable housing. He suggested targeting 60% AMI versus 80%. There was a discussion regarding fees-in-lieu versus including affordable units. Mr. Lynch spoke about the impact on the developer to include those units. IX. Adjourn It was moved by Village Trustee Tucker, seconded by Village Trustee Andrews, to adjourn. A voice vote was taken and the motion was approved. Meeting adjourned at 8:43 P.M., Monday, February 25, 2019. Respectfully Submitted, MaryAnn Schoenneman Deputy Village Clerk Village of Oak Park Page 4 Printed on 3/5/2019