YVHA Annual Report 19 Flipbook

YAMPA VALLEY HOUSING AUTHORITY 2019 REPORT TO THE COMMUNITY

From the YVHA Executive Director The Yampa Valley Housing Authority is a local government organization whose mission is to support the local economy, community and businesses of the Yampa Valley by implementing appropriate housing solutions for local workers, other qualified residents, and their families. Over the past year, YVHA has invested revenue from the 5A for Homes property tax to create 72 new affordable housing units at Alpenglow Village. Alpenglow Village is currently under construction and will begin leasing in the spring of 2020. This year’s report to the community highlights the housing challenges we face as a community, the housing developments we are undertaking, the programs YVHA offers and the property we own and manage. Affordable and attainable housing is a critical issue to our community and YVHA is dedicated to addressing this issue by creating new healthy communities that support our local families and maintaining housing options for all of our workforce. ~ Jason Peasley, AICP, Executive Director “I like living at The Reserves because I’m away from the tourists, and it has a playground which my daughter loves and it has a fitness room. There is a gas station, hardware store and restaurant within walking distance, and the bicycle path is close.” ~ Edward

State of Housing The State of Housing in Routt County continues to be an environment where there is not enough housing supply to meet the demands of locals, second homeowners and the destination tourism industry. This market imbalance is resulting in high rates of price appreciation, limited unit turnover and long wait lists at YVHA affordable housing properties. Rental rates in the Steamboat Springs area continue to rise faster than incomes. This scenario creates affordability problems at low and moderate income levels. 54.4% of all renters within the City of Steamboat Springs and 50.5% of renters in Routt County are cost burdened. CURRENT AVERAGE INCOME THRESHOLD AMI RENTS FOR AFFORDABILITY 87% 1 Bedroom: $1,401 $56,160 109% $84,400 114% 2 Bedroom: $2,110 $122,400 3 Bedroom: $3,060 Source: July 2019 research by YVHA YVHA investments in new housing have specifically been targeted to address the lack of rental supply. At the same time, median priced purchase options within the City of Steamboat Springs are not affordable to low and moderate income households. MEDIAN SALE INCOME THRESHOLD AMI PRICE FOR AFFORDABILITY Condo/Townhomes $390,000 $106,800 124% Single Family Homes $600,000 $150,360 175% Source: July 2019 report by the Steamboat Springs Board of Realtors and YVHA analysis New supply is expected to help alleviate these issues in West Steamboat Neighborhoods, Overlook Park and in Hayden.

Development Vision: The Development Team is focused on establishing public-private partnerships capable of creating new housing units that meet our development goals. YVHA will contribute a portion of the 5A property tax revenue, provide tax exemptions and local entitlement expertise to our development partnerships. Through these partnerships, YVHA will leverage small amounts of community resources to make a significant impact on our community’s housing supply. Long Term Goals: • 100 Seasonal Housing Units (rental) • 350 Low Income Units (rental) • 150 Entry Level Units (rental and for sale) Project Pipeline Alpenglow Village located on Pine Grove Road, next to Walgreens is currently under construction. Alpenglow Village is a mixed income apartment community that will serve households making 30%-120% of the Area Median Income. The property will include one, two and three bedroom units and will begin leasing in spring of 2020.

Sunlight Crossings, located at the corner of Sunlight Drive and US Highway 40 is a new project YVHA is developing in partnership with Gorman and Company. The project consists of 90 apartment units targeted at households making 80%-120% of the Area Median Income. The project is currently undergoing City entitlement and is expected to break ground in the spring of 2020 and deliver units in 2021. The Photo below is not exact.* * Not actual project plans West Steamboat Neighborhoods has agreed to dedicate land to YVHA as part of their approved annexation into the City of Steamboat Springs. This land is capable of being developed into 50 units that meet YVHA’s development goals.

Finances Vision: The vision of the Finance Team is to oversee the fiscal health of the organization and to ensure timely, accurate and transparent reporting. This work team will strive to ensure that management has the appropriate oversight, auditing and regulatory reporting to comply with federal, state and municipal guidelines as well as the organization’s policies and procedures. Finally, this work team will aid the board and management in addressing the organizational capacity to execute strategic plans and goals as approved by the board annually. Financial Highlights: • 2018 Audit highlights - $11.72M in total assets - $5.39M in total liabilities - $6.33M in net position - $2.13M in annual revenue - $999,725 in annual expenses - $1.13M retained net position • $1,500,000 set aside for future development projects. • $350,000 set aside for down payment assistance.

Down Payment Loan Assistance Program The Yampa Valley Housing Authority established the Down Payment Assistance Program to help locals with up to 10% of the purchase price of a home. In May of 2019 the YVHA Finance Team made several changes and additions to the program in order to help lenders utilize the program better. We spoke with several mortgage lenders throughout the community and discussed their concerns/ suggestions with Impact Development Fund (mortgage servicer) to see how to best dovetail all of the components. The most notable changes to the program are as follows: • The loan amount has been increased from $15,000 to $20,000. • The maximum combined loan to value (CLTV) was increased to match the same amount major lending programs allow which is 105%. • The maximum debt to Income Ration (DTI) was moved from 43% to 45% to encompass all lending programs. • An interest rate was inserted in to replace the pro-rata share of equity upon sale. This allows borrowers to better understand what they are going to owe at the end of the loans term. HOUSEHOLD 150% AREA MEDIAN SIZE INCOME LIMIT 1 person $90,450 2 persons $103,350 3 persons $116,250 4 persons $129,150 5 persons $139,500 6 persons $149,850 *Please go to www.yvha.org for all program requirements.

Deed Restrictions The Yampa Valley Housing Authority manages approximately 100 deed restricted properties throughout the greater Steamboat Springs area. A deed restriction maintains the affordability of a unit by targeting a sale to “qualified owners” who meet specific income, asset, and employment criteria. The qualification terms for a deed restriction varies depending on the specific unit, however here are the general qualifications: Income: This is represented by a percentage of the Area Median Income (AMI) and is usually set at 80% or 120%. The chart below shows the specific income qualification based on AMI and household size for 2019: AMI 1 Person 2 Person 3 Person 4 Person 5 Person 6 Person 80% $48,240 $55,120 $62,000 $68,880 $74,400 $79,920 120% $72,360 $82,680 $93,000 $103,320 $111,600 $119,880 Net Assets: This is a calculation of net assets (assets minus liabilities) with the maximum assets varying depending on the deed restriction. Employment: All local deed restrictions require that the purchaser be either employed full time in Routt County or retired from full time employment in Routt County. Affordability: Some deed restrictions require that the mortgage payment does not exceed 30% of gross income. This is often referred to as a “front end ratio’ or “housing allowance” in mortgage lending terms. Other affordability terms include appreciation cap, limiting the price appreciation of the unit over time. Sole Residency: All local deed restrictions require the owner to live in the unit as their sole residence. This means that rentals of the deed restricted unit are only permitted under certain circumstances outlined in the deed restriction. It is important that anyone within Routt County that is interested in purchasing a deed restricted home contact the Yampa Valley Housing Authority. We would like to make sure all parties understand the restrictions and that proper qualification happens to maintain a smooth transaction for all parties involved.

“It is an affordable place that I’m able to pay for. My kids have their own bedroom and they love living here. I have really good neighbors. I just love everything about The Reserves.” ~ Nancy

Hillside Village Apartments Hillside Village Apartments is a project financed by USDA-Rural Development which assists tenants with subsidies. The 55-unit complex located on Tamarack Drive, consists of a mix of 1-and 2-bedroom units. Since USDA-Rural Development finances the project, the Yampa Valley Housing Authority is required to verify that each house- hold has sufficient income to pay the basic rent. Some of the most notable capital projects have been completed are the replacement of all electrical boxes on the property, a new roof for each building and most recently drainage improvements. As of August 2019, Hillside Village Apartments had a waitlist of 25 families. Fish Creek Mobile Home Park In 2007, the Yampa Valley Housing Authority purchased the Fish Creek Mobile Home Park to ensure future affordability for the residents of this community. The 68-owner occupied units are situated along the beautiful Yampa River near Angler’s Drive and US 40. Lot rents include water, sewer, and trash pickup and snow removal. Residents are responsible for electric, gas, cable and Internet service. In 2019, YVHA will have replaced several of the electrical meters. The Reserves YVHA is a special limited partner in this project and invested $400,000 of community resources towards its development. This 48-unit apartment project targets house holds making between 40% and 60% of the Area Median Income (AMI). The project was developed in partnership with Overland Property Group utilizing the Low-Income Housing Tax Credit (LIHTC) program and is managed by Ross Management. The project was completed in June 2017 and is fully leased. As of August 2019, there is a waitlist of over 200 families.

Staff • Jason Peasley, AICP, Executive Director 2100 Elk River Road, Steamboat Springs, CO 80487 970.870.0167 | [email protected] • Alyssa “La La” Cartmill, Executive Assistant 2100 Elk River Road, Steamboat Springs, CO 80487 970.870.0167 | [email protected] • Sandy Jacobs, Finance Director 2100 Elk River Road, Steamboat Springs, CO 80487 970.870.0167 | [email protected] • Kate Totos, Property Manager 647 Tamarack Drive, Steamboat Springs, CO 80477 970.879.1862 | [email protected] • Kent Hornor, Maintenance Manager 647 Tamarack Drive, Steamboat Springs, CO 80477 970.879.1862 | [email protected] Board Members Roger Ashton, President Sheila Henderson, Vice President Cole Hewitt, Treasurer Tim Corrigan, Routt County Commissioner, ex officio Kathi Meyer, Steamboat Springs City Council, ex officio Richard Banks Mike Beyer Luke Carrier Catherine Carson Rachel Hassell Mark Scully Chris Slota Trish Sullivan

YAMPA VALLEY HOUSING AUTHORITY 2100 Elk River Road, Steamboat Springs, CO 80487 970.870.0167 | yvha.org