At noon today, Phil Salkin presented a plan to “amend” the inclusionary zoning ordinance for the City of Madison to the Mayor’s workgroup. Phil said that this proposal was from the Realtors and the three other industry groups (Builders – Madison Area Builders Association, Developers – Smart Growth Madison, Inc. and Landlords – Apartment Association of South Central Wisconsin). Tho, he only put his name and the REALTORS Association of South Central Wisconsin on the document, so I’m not clear on who’s proposal this is, but here are the details . . .
1. Reduce the number of units that are required in the project. (Currently it is 15%)
2. Allow the developer to buy-out of inclusionary zoning. He suggests a low $ amount of 10%.
3. Use money from the buy-out for a downpayment assistance, rental assistance or rehabilitation of existing buildings.
4. Make the incentives automatic (administratively decided) and “truly off-setting”.
5. Remove rental from the ordinance. (i.e. it would only apply to home-ownership)
6. Treat for-profit and non-profit developers the same.
Essentially they want to gut the ordinance. This plan would reduce the 300 units we approved in the first year dramatically. In fact, I’d be surprised if we got 100 units out of this plan in a year for several reasons:
1. If the developers choose to participate (i.e. it becomes a voluntary program) they would be required to have less than 15% of their units be affordable.
2. The buy-outs wouldn’t cover the costs of creating new units.
3. The rental assistance and downpayment program becomes quickly very expensive and over time will take more and more taxpayer dollars to support and less and less people will be served. 4. No rental units would be covered.
I’m not surprised, and I still don’t think they are acting in good faith.
