A law requiring affordable units to comprise about one-third of
large developments was the stale remnant from a county board that
largely opposed growth in the early and middle parts of the past
decade. Supervisors last month finally dumped the anti-business
ordinance in favor of a new law that offers incentives to
developers who include lower-income units – instead of laying down
a hammer and mandating it.
A law requiring affordable units to comprise about one-third of large developments was the stale remnant from a county board that largely opposed growth in the early and middle parts of the past decade. Supervisors last month finally dumped the anti-business ordinance in favor of a new law that offers incentives to developers who include lower-income units – instead of laying down a hammer and mandating it.
Supervisors at a recent meeting approved the new “inclusionary housing” ordinance that regulates the level and distribution of the affordable housing allocations in unincorporated areas of San Benito County. They repealed a far-outdated requirement, approved by the board in 2004, which mandated that 30 percent of all large developments be comprised of affordable units.
At the time, the county had been a couple years removed from the start of the city’s six-year sewer moratorium, and a sector of the community had been seriously concerned about the area’s preceding growth boom that led to Hollister’s building ban. That growth spurt also artificially inflated the county’s housing prices – which have since dropped to more reasonable and, in essence, affordable levels.
As a whole, the 30-percent requirement for affordable was more a reflection of the political ideologies on the board at the time than it was a reasonable response to the city’s distinct problems. For the past decade, in fact, growth in the county has been largely stagnant, despite there being no moratorium outside Hollister limits barring development.
While the old ordinance pushed away developers, and it was intended to do just that, the new one offers incentives to the builders who do, indeed, include affordable units in their projects. That is the economically sensible way to approach the balance between a community’s need – especially during a recession when a major economic boost is needed, and when there are plenty of more “affordable” homes in light of the foreclosure crisis – and offering builders opportunities for profits. Opening the door to further building here, in turn, can help to spark the economy by not only spurring construction jobs, but by also pumping population numbers and further enticing industry figures to eye San Benito County’s offerings.
The economy, after all, must remain the number one focus for county supervisors and Hollister council members. Taking a more flexible approach toward affordable requirements is yet another tool in the box for government leaders to make a positive imprint on the private sector’s recovery efforts.
On paper at least, incentivizing the lower-income units looks a lot more agreeable than lumping off a portion of the developers’ profits before a shovel even hits dirt.
While the supervisors took a positive step in adopting the new ordinance, they should continue talks with city leaders about a discussed memorandum of understanding between the two sides as to how the community as a whole should best approach affordable housing.
Frankly, there are certain areas – largely in the city and closer to public transportation, for instance – where it makes more sense to place the affordable units.
