Economic Development

AGENDA CITY OF WAUPUN ECONOMIC DEVELOPMENT COMMITTEE Waupun City Hall – 201 E. Main Street, Waupun WI Tuesday, March 25, 2025 at 4:00 PM The Waupun Economic Development Committee will meet In-person, virtual, and teleconference. Instructions to join the meeting are provided below: Online: https://us02web.zoom.us/j/86519380636?pwd=AuvRfw5mi8vH9Mx4DlhbK0qaDr3FNC.1 Meeting ID: 865 1938 0636 Passcode: 938535 Phone: 312 626 6799 US (Chicago) CALL TO ORDER CALL TO ORDER ROLL CALL DISCUSSION - ACTION 1. Approve Minutes from February 19, 2025 Economic Development Committee Meeting 2. Approve and Recommend Scope of Services with VandeWalle for an Affordable Housing Strategy for the City of Waupun ADJOURN TO CLOSED SESSION The Waupun Economic Development Committee will adjourn in closed session under Section 19.85 (1) of the WI Statutes for: (e) Deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session. 3. Negotiate Sale of City-Owned Building at 301 E Main St, TID 3 4. Negotiate City-Owned Land in Heritage Ridge Business Park, TID 9 5. Possible Land Acquisition Abutting Libby Street 6. Possible Land Acquisition Along Gateway Drive RECONVENE TO OPEN SESSION The Economic Development Committee will reconvene in open session under Section 19.85(2) of the WI Statutes. ACTION FROM CLOSED SESSION ADVANCED PLANNING ADJOURNMENT Upon reasonable notice, efforts will be made to accommodate disabled individuals through appropriate aids and services. For additional information, contact the City Clerk at 920-324-7915. 1  Item 1. MINUTES CITY OF WAUPUN ECONOMIC DEVELOPMENT COMMITTEE Waupun City Hall – 201 E. Main Street, Waupun WI Wednesday, February 19, 2025 at 3:00 PM Meeting called to order at 3 pm by chairperson Jason Westphal. Roll call taken. Members present include Westphal, Kaczmarski, Brooks. Also present Administrator Schlieve, Director of Public Works Jeff Daane (online), Keaton Schultz, Schultz Development. Absent and excused are Dan Siebers, Attorney Vande Zande, Mayor Bishop, and Lisa McArthur. Motion Brooks, second Kaczmarski motion to approve Minutes from January 27, 2025 Economic Development Committee regular and closed session minutes. Carried unanimously. Motion Kaczmarski, second Brooks to adjourn in closed session under Section 19.85 (1) of the WI Statutes for: (e) Deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session. Carried unanimously. Motion Kaczmarski, second Brooks to reconvene the Economic Development Committee in open session under Section 19.85(2) of the WI Statutes. Carried unanimously. No action from Closed session was taken. Administrator Schlieve discussed possible projects being considered for submission on the Dodge County Community Development Grant. Applications are due April 11, 2025 and must complete within a 12 to 18 month timeframe. Priority one will be Shaler Drive extension. Details will be worked on and a formal request through the grant request process will be submitted to the Council for approval. Motion Brooks, second Kaczmarski to adjourn the meeting at 4:10 pm. Carried unanimously. 2  Item 2. AGENDA SUMMARY SHEET MEETING DATE: 3/25/25 TITLE: Approve and Recommend Scope of Services with VandeWalle for an Affordable Housing AGENDA SECTION: CONSIDERATION-ACTION Strategy for the City of Waupun PRESENTER: Kathy Schlieve DEPARMTENT GOAL(S) SUPPORTED (if applicable) FISCAL IMPACT Economic Vitality $15,000 (Affordable Housing Fund) ISSUE SUMMARY: The City of Waupun completed a housing study in 2020, which identified a shortage of available housing for all housing types. Over the past few years, we have seen significant shifts in our local housing market, with rising rents and home prices outpacing the growth of wages for many residents. The chart below provides a snapshot of the current housing picture in the City. Note that prices have been steadily increasing due to lack of available inventory. CITYOF WAUPUN AFFORDABLEHOUSING SNAPSHOT Prepared; March 19, 2025 12 Months Ending 12 Months Ending 12 Months Ending WAUPUN DATA 2/1/2024 2/1/2025 2/1/2025 Median Home Price $ 205,000 $ 225,000 $ 240,422 Interest Rate 6.7% 6.7% 6.5% Monthly P&I Payment $ 1,322.00 $ 1,455 $ 1,520 Monthly Taxes $ 250.00 250 $ 250 Monthly Insurance $ 125.00 125 $ 125 MONTHLY/ANNUALTOTAL $ 1,697 $ 1,830 $ 1,895 Sources: Realtor.com * Dept of Housingand Urban Development (HUD) definitions suggest that housingbudgets should be no more than 30% of annual income. 30% of Annual Median Wages Wage Household Income Needed to Afford Median Home* $ 75,800 $ 22,740 Est Median HHI for Waupun (USCensus) $ 66,931 $ 20,079 Monthly Shortfall/Surplus DODGE/FOND DU LAC COUNTYWORKFORCEDATA 10th Percentile Median Hourly (Median) from Median Teacher $ 37,040 $ 58,700 $ 28.22 $ (427.50) Assembler/Fabricator $ 35,140 $ 53,600 $ 25.77 $ (555.00) Food Processing Worker $ 33,550 $ 44,100 $ 21.20 $ (792.50) Health Technologists and Technicians $ 35,490 $ 50,020 $ 24.05 $ (644.50) Home Health and Personal Care Aides / Nursing Assistants $ 28,260 $ 35,940 $ 17.28 $ (996.50) Law Enforcement Workers $ 55,120 $ 70,550 $ 33.92 $ (131.25) Counseloir, Social Workers, Other Community/Social Svc $ 36,070 $ 50,250 $ 24.16 $ (638.75) Printing Workers $ 33,250 $ 47,420 $ 22.80 $ (709.50) Source: State of WI Workforce Development, https://www.jobcenterofwisconsin.com/wisconomy/query 3  Item 2. HUD defines affordable housing as no more than 30% of annual household income. The lowest portion of the chart above identifies annual median incomes for high-demand or essential positions for this region and applies the HUD definition to look at affordability. The shortfall illustrated is not only a concern for our residents' quality of life but also for the continued economic stability and workforce needs of our city. In 2023, the City created an affordable housing fund with the closure of TID 1. While the fund is small (~$240K), it is a fund that can be added to over time but must be used almost exclusively for the purpose of increasing housing affordability. We currently lack the needed strategy to define the best use of those funds to benefit our residents. Additionally, new WHEDA programming to assist with financing housing projects requires that we have taken recent (prior to 1/1/23) action to increase housing affordability through modifications to zoning, reductions fees and review processes, and that we have made updates to the housing chapter of our comprehensive plan. Undertaking this work will qualify developers for the various WHEDA programs to support needs in the city. A comprehensive Affordable Housing Strategy would provide clear guidelines and actions to meet the housing needs of all housing types in Waupun, while ensuring the long-term growth of our local economy to support workforce needs, reduce the risk of homelessness, prevent displacement due to gentrification, and create a more inclusive and equitable community. STAFF RECOMENDATION: Approve the proposal as presented ATTACHMENTS: RECOMENDED MOTION: Motion to approve and recommend the scope of Services with VandeWalle in the amount of $15,000 to develop an affordable housing strategy and to authorize the use of affordable housing funds in that amount to complete the project to the Common Council/Committee of the Whole. 4  Item 2. To: Kathy Schlieve, City Administrator From: Ben Rohr, AICP Date: March 18, 2025 Re: Scope of Services for an Affordable Housing Strategy for the City of Waupun Like many communities across the state and nation, Waupun is facing a very difficult housing situation. The City has already taken several proactive steps to start understanding and addressing the issue, but lacks an overall strategy that can assist in guiding future initiatives it can take to mitigate barriers to housing production, leverage a variety of tools to close housing construction gaps, define affordable housing and what that means in community context, and utilize creative and proactive approaches to drive new housing growth the community desperately needs. Building upon the 2020 Housing Study and Needs Analysis, 2040 Comprehensive Plan, TID Project Plans, and recent projects, the City of Waupun Affordable Housing Strategy will include an understanding of the housing situation, explore ways the community can address the housing shortage, and create an action plan with strategic steps toward addressing housing within the community. This work is proposed to include: • Defining what affordable housing means in relationship to housing costs and incomes and updating key data and analysis from the 2020 Housing Study • Exploration of creative ways to address housing construction gaps through a variety of funding sources that can be combined as part of the development capital stack • Review and recommend ways to improve the TID Closure Affordable Housing Fund ordinance to reflect the strategies identified within this document • Development of proactive strategies to address the housing situation and potential public and private partners who can assist in this effort • Opportunities to further refine the City’s Zoning Ordinance to enable different housing types that reflect modern development practices and developing potential Zoning Ordinance amendments as attachments • Engaging key community stakeholders, City committees, and elected officials to gather input on their experiences with the housing situation and opportunities to address existing issues • Documenting a set of recommended strategies and action steps for the City to pursue • Providing the City with the tools to complete future Comprehensive Plan and Zoning Ordinance amendments, which would make the City eligible for WHEDA Affordable Housing Loan programs 120 East Lakeside Street • Madison, Wisconsin 53715 • 608.255.3988 • 608.255.0814 Fax 5  Item 2. The goal of this exercise will be to assist the community in determining the best path forward in addressing the housing situation in a creative, proactive, and feasible way. This document will be reviewed in detail with City staff, the Plan Commission, and the City Council. The following Scope of Services provides an Affordable Housing Strategy for Waupun to be completed within 3 months of contract execution for a fixed fee cost of $15,000. Proposed Scope of Services Work Element 1: Upfront Input • Task 1.1: Kick Off Meeting with Staff (2-hour in-person meeting): Vandewalle & Associates (V&A) will meet with City staff to discuss existing projects and strategies employed, key issues and opportunities, and ideas on methods, tools, or other ways that the community could further address the housing situation. • Task 1.2: Stakeholder Meetings (Two 2-hour in-person meetings): V&A will conduct a set of stakeholder meetings that could include large employers, businesses, realtors, and the development community to gather insight on the issues, opportunities, and challenges associated with the existing housing market. Following the meetings, input will inform the development of the Draft Affordable Housing Strategy and be summarized in the document. Work Element 2: Affordable Housing Strategy Development • Task 2.1: Data Collection, Data Analysis, and Research: V&A will conduct a thorough review of relevant documents, plans, and ordinances to gather insight into existing policies, community goals, and potential ways each could be improved to further address housing. Additionally, V&A will collect, analyze, and update key data from the 2020 Housing Study and Needs Assessment. Together with WE 1, this information will be used to gain an understanding of the existing situation and inform the development of the Affordable Housing Strategy. • Task 2.2: Produce Draft Affordable Housing Strategy: V&A will complete an initial Draft Affordable Housing Strategy that incorporates an understanding of the existing situation and outlines potential strategies that could be undertaken to reverse key trends, address common issues, and proactively moves Waupun towards realizing its community goals. This document will be provided to City staff in advance of Task 2.3. • Task 2.3: Draft Review Meeting with Staff (1-hour in-person meeting): V&A will meet with City staff to discuss the Draft document and provide any edits/changes needed. • Task 2.4: Draft Review Meeting with the Plan Commission (1-hour in-person meeting): V&A will attend a regular Plan Commission meeting to present the draft and gather input on any edits/changes needed. Work Element 3: Finalizing the Affordable Housing Strategy • Task 3.1: Produce the Final Affordable Housing Strategy: V&A will complete the Final document that reflects City staff and Plan Commission feedback as discussed in WE 2. The document will be provided to the Plan Commission and City Council in advance of Task 3.2 and 3.3. 03/18/25 Page 2 of 3 6  Item 2. • Task 3.2: Plan Commission Presentation (1-hour in-person meeting): V&A will attend a regular Plan Commission meeting to present the findings of the document and seek action on it. • Task 3.3: City Council Presentation (1-hour in-person meeting): V&A will attend a regular City Council meeting to present the findings of the document and seek action on it. 03/18/25 Page 3 of 3 7