Inclusionary zoning typically requires a certain percentage of new construction within a development be set aside with price controls.  Eligible participants qualify based on their income, typically 30-80 of the average median income (AMI).  According to CAHAB, a family of four earning $44,800 would qualify within the 80 percentile. 

SWMBIA supports the commission’s pledge that affordable housing is of the highest priority and applaud its effort to increase homeownerships.  However, an effective affordable housing policy for Bozeman’s workforce should be more comprehensive than a single policy.  If affordable housing for our workforce is the ultimate goal then we need to be cognizant of the impacts of all our land use and housing policies have on affordable housing. 

A comprehensive affordable housing plan should include evaluations of:

Our Plan for Growth:  Appreciating land values are a large part of housing costs and efforts to make sure adequate supplies of land are available need to be increased.  In addition, we must recognize any effort to further restrict the supply of developable land will further escalate the housing affordability problem. 

Our Planning Process:  It’s imperative that we recognize the financial implications of all our public policy decisions on affordable housing.  If we are sincerely concerned about providing housing to our workforce, then we must recognize the consequences of increased UDO requirements, a sluggish development review process, and a lack of high density requirements in certain areas, to name a few.  Such improvements are of no cost to the tax payer.  They only require a shift in priorities where affordable housing becomes a critical component to the decision making process. 

Infrastructure: When new infrastructure is not available to new development, land already serviced by existing infrastructure becomes more desirable and therefore more expensive.  Unfortunately, we are limited in our options to finance infrastructure in Montana (GARVEE Bonds, State revolving funds and TIFS).  A comprehensive affordable housing policy should include a proactive legislative effort to increase sources of funding to provide necessary infrastructure to new development. 

An effective affordable housing policy will not price out additional members of our workforce already struggling to obtain homeownership.  Expecting these families to burden the additional expense of supplying housing for others while struggling to afford their own mortgages, is simply unjust and poor public policy.  If an affordable housing policy for Bozeman’s workforce is to be successful it shouldn’t only benefit a select few but strive to make housing more affordable for the entire workforce. 

Smart Growth, Smart Choices Series:  The Builder’s Perspective on Inclusionary Zoning                                      

By Edward A. Tombari, AICP

INCLUSIONARY ZONING: PROGRAM DESIGN CONSIDERATIONS
An Enterprise Foundation Issue Brief

County Boards Looking for Citizens to Volunteer

Gallatin County 's Capital Improvement Program Committee is increasing its citizen membership from 3 to 7.  Preferred applicants would have backgrounds in engineering, architecture, media, or other business experience to aid the group in working on long-range capital planning.  For more information on this committee and others, please visit the county's Boards and Commissions.