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Show Questions Continue Regarding Affordable Housing Development Recently the Garfield County News began a report on a two-hour public meeting to discuss the need for affordable housing and the possibility of tying in with a nonprofit non-profit community housing development devel-opment organization, Color Country Coun-try Community Housing (CCCH). We continue with the questions and answers from that meeting: Ty Tippets, executive director at Color Country Community Housing Hous-ing (CCCH) told the group that the seasonality of housing use in the ' Bryce Valley area presents a particular parti-cular challenge. "Will you have a 5 percent or a 20-30 percent vacancy?" vacan-cy?" he asked. "We look for creative crea-tive ways of financing to mitigate that vacancy rate and reduce the debt service." Steve Winters, Tropic, pointed out the lack of a significant industrial indus-trial tax base in Bryce Valley and questioned whether the size of the proposed project was a good match. Tippets said it would be important impor-tant to phase in carefully and that their initial project would probably be lokking at eight lots. Commissioner Clare Ramsay asked about the procedure for someone some-one who wanted to live in the subdivision, "Can I pick my lot and go somewhere and order my home to place on it? Can I build a stick home on it?" Tippets replied that a certain percentage of the lots will be sold to applicants with qualifying incomes in-comes but that the others lots would be open for sale to anyone. The question was asked, "Say I have a trailer or an RV and I park it there for a couple of years ...?" "One of our goals," said Tippets, "is that 20 years down the road the subdividion will be nice and not have trailers or anything else that would detract from the appearance of the community. We woill likely have covenants, codes and restrictions (CC&R's) to maintain compliance." He said that a homeowners' association could help the community police itself. Gaia Greenhalgh, Tropic Town Council member, said that Supt Fred Fagergren at Bryce Canyon National Park had said there were at least six park families who would like to relocate. She said there are also young married couples in Tropic who cannot buy building lots because no one will sell. Tippets said that people can qualify for low-income housing assistance without participating in the subdividion. He said one couple who currently own a lot are in the process of purchasing a home from Pocatello, Ida. where some good bargains exist. Tippets explained that, while Rubys Inn was originally involved, henceforth the project is a CCCH project entirely and there is no guarantee that any Rubys employees would be participating. Tippets said there will be no livestock in the subdivision because of the size of the lots. LaMar Feltner, Tropic Town Council, said that there is protection in place for those who already own livestock. Tippets said the first step in the project was to get community approval. The next step is to see if the project is actually feasible. "We're running a little more sewer but the sewer is basically in. We're running power, water, roads, phones ... it's very expensive. "Non-profit doesn't mean not-for-profit. If we can't make money on this project, guess what, it doesn't go. Because if we lose a dollar on one project, another family doesn't have that dollar to help out, so we're going to be very conservative ..." Mayor Jean Seiler said, "Well, TY. I think we're just as interested in that question, because we;ve looked at that and said there's no way we can just arbitrarily approve the whole thing. Will you be proposing that you come back to the planning commission with the way you see it as a bare project. Whatever size it has to be to make it go, so they've got something to look at?" Tippets replied, "One of the benefits of being non profit and a CHODO is we have access to very low interest loans. In fact, some of our loans are zero or very low percent interest. And so, for a for profit developer to come in and spend a few hundread thousand dollars just getting water, sewer, power and road in there. And then waiting 10 years to complete the project, they can't do it. A nonprofit non-profit where we've got low or no (See HOUSING on page 3-A) HOUSING From Front Page interest on our money, we can string it out a lot longer .... depending on up front costs and how long the project will take..." Commissioner Ramsay asked Tippets to explain the Fannie Mae program. "Every bank or most banks are required by law to put a certain amount of money back to help the community," said Tippets "One of the programs Fannie Mae is currently working oh is an 80 percent of the interest rates ... would be at full market rate. Lets say 7 percent And then that other 20 percent would be a reduced interest rate, let's say 5 percent or 5-12 percent. So the blended rate is less than market, is really what they are looking at. So instead of 7 percent it might be 614 or 6 percent. You know 1 percent on an -$80,000 home is $20 or $30 dollars a month. ..it could be the difference between getting in a home or not.. "Actually State Bank Of Southern Utah, we've been talking to Ron Heaton the president of State Bank and they are really trying to work with this program and hopefully be able to sign on to a program like this ... or use any other bank whether it's Zions in Panguitch, or First Security in Escalante, or ..." Tippets explained that major improvements - sewer, water, roads, etc - are an up-front investment for any developer, just as they have been for local developers. 'To bring utilities in 900 feet from the main road ... is a lot of money before we even sell a lot," he said. He said that their actual purchase of the property would not take place until full approval was received from the city. "We have to demonstrate site control before we (See HOUSING page 5-A) HOUSING From Page 3-A can go to our major funders. At the very least, we have to have an option on the property snf they like us to have outright ownership," Tippets said. Mayor Seiler asked what steps interested individuals should take and Tippets replied they should contact his office at 435-673-3131 for information. |
