HomeMy WebLinkAboutagenda.council.worksession.20221114AGENDA
CITY COUNCIL WORK SESSION
November 14, 2022
4:00 PM, City Council Chambers
427 Rio Grande Place, Aspen
I.Work Session
I.A Board & Commission Interviews
I.B 2022-2026 Affordable Housing Strategic Plan Update
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Board & Commission Interviews Memo - 11.14.22.pdf
AH_Strategic_Update _11.14.2022.docx
COA-Housing-StrategicPlan-May2022-Spread-LowRes.pdf
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MEMORANDUM
TO:Mayor and City Council
FROM:Liz Axberg, Housing Policy Analyst
Ben Anderson, Long Range Planner
Matthew Gillen, Executive Director of APCHA
Scott Miller, Director of Public Works
Pete Strecker, Director of Finance
Phillip Supino, Director of Community Development
THROUGH:Diane Foster, Assistant City Manager
MEMO DATE:November 7th, 2022
MEETING DATE:November 14th, 2022
RE:2022-2026 Affordable Housing Strategic Plan Update
_____________________________________________________________________
REQUEST OF COUNCIL:
Council will be updated on the progress and status of the 2022-2026 City of Aspen
Affordable Housing Strategic Plan action items. No action is requested from Council at
this time.
SUMMARY AND BACKGROUND:
In April 2022, Council approved to adopt the 2022-26 Affordable Housing Strategic Plan.
On page 18 of the strategic plan, the action plan decision matrix lists the 14 action items
that City of Aspen staff are focusing on to increase the number of affordable housing units
in the next five years.
The action items were positioned in order of the estimated number of affordable housing
units each could generate during the five-year period of the Affordable Housing Strategic
Plan The action items are as follows:
1. Replace Expiring Deed Restrictions with Permanent Deed Restrictions
2. Complete Lumberyard Project
3. Complete Burlingame Phase 3 Project
4. Community Development Policy Actions
5. Certificates of Affordable Housing Program Enhancements
6. Develop Financial Resources for Construction, Expiring Deed Restrictions & Land
Banking
7. APCHA Incentivized voluntary downsizing or voluntary buyout
8. Partnerships
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9. APCHA Compliance Actions
10.APCHA Policy Actions to increase number of available units
11.APCHA Policy Actions to improve the sustainability housing inventory
12.Additional Development Neutral Program Elements
13.Land Banking
14.Regional Collaboration
In the past six-months since the Strategic Plan was adopted, staff across departments
have been contributing to progress on each of these action items. This includes continued
conversations as a team on expiring deed restrictions, developing land use code that
supports affordable housing, and polices that can positively contribute to the APCHA
program by rightsizing units or sustaining units through support of maintenance repairs
and capital improvements. On the new development side, Burlingame Phase 3 continues
ongoing construction, and the Lumberyard land use development application was
submitted early November.
Thank you to the City of Aspen Affordable Housing Team for their ongoing contributions
and collaboration on the 2022-26 Affordable Housing Strategic Plan.
DISCUSSION:
1. Action Item: Replace Expiring Deed Restrictions with Permanent Deed
Restrictions
Action Item Owners: Scott Miller and Matthew Gillen
Item Description: Page 20 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: There are 324 affordable housing deed restrictions with a sunset
clause, with varying triggering events or dates. The goal of this action is to preserve as
many deed restrictions as possible in perpetuity, using one or more tools available. The
City of Aspen has negotiated with owners of expiring deed restrictions in the past, hoping
to reach an agreement that would keep as many as possible from expiring. Currently,
negotiations continue with owners of several hundred expiring deed restrictions. We are
hopeful that these deed restrictions will ultimately be preserved. Additionally, 80 rental
units were recently removed from the list of expiring deed restrictions when further
research found those deed restrictions to be permanent.
APCHA is studying incentives that might be offered to owners of expiring deed
restrictions, in exchange for making those deed restrictions permanent. These incentives
will be proposed to the APCHA board in the future for their consideration. In the past year
APCHA has converted one property with an expiring deed restriction to a permanent deed
restriction. Every time an APCHA property is sold or otherwise changes hand, such as
through inheritance, APCHA updates that unit’s deed restrictions with the current deed
restriction.
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Identified Next Steps: Staff will continue to negotiate with owners of expiring deed
restrictions, research creative incentives, and seek opportunities to keep all deed-
restricted properties in the affordable housing pool.
2. Action Item: Complete Lumberyard Affordable Housing Development
Project
Action Item Owner: Chris Everson
Item Description: Page 21 of the 2022-2026 Affordable Housing Strategic Plan
Progress to Date:
The land use development application for the Lumberyard affordable housing
project with 195 affordable rentals and 82 affordable ownership units was
formally submitted to Community Development on November 2, 2022.
Implementation is planned to be phased, with the City beginning demolition,
access, utilities and infrastructure work starting in 2024. Phases of vertical
implementation are expected to be accomplished through public private
partnerships, which will be sought while infrastructure is being put in place.
Identified Next Steps:
Upon completeness and referral department review by Community Development
and referral department staff, a public hearing schedule in 2023 will be
established and made available.
Financial planning for the implementation is ongoing and may require a public
vote on debt financing prior to the start of any vertical implementation phases.
3. Action Item: Complete Burlingame Ranch Phase 3 Affordable Housing
Development Project
Action Item Owner: Chris Everson
Item Description: Page 22 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date:
Construction of Burlingame Ranch Phase 3 is approximately 85% complete. Due
to the delays which were announced earlier in 2022, construction insurance has
been extended into 2023. A total of 79 new APCHA deed restricted units will be
ready for sale in 2023.
The sales schedule for (25) 1-bedroom, (17) 2-bedroom and (37) 3-bedroom units
is TBD. The project includes buildings and grounds which will be part of a new
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condominium sub-association to be established at Burlingame Ranch as well as
public infrastructure, such as roadways, curb/gutter and utilities.
Identified Next Steps: Capital Asset Department staff are working with construction
suppliers and third-party consultants to make sure that construction quality is fully
remediated to appropriate standards before the sales process can begin.
4. Action Item: Community Development Policy Analysis
Action Item Owners: Ben Anderson and Phillip Supino
Item Description: Page 23 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: In response to the Residential Building Moratorium, passage of
Ordinances 13, and 14 in June of 2022 implemented several important policy changes in
support of both public and private sector affordable housing development:
Administrative review path for deed-restricted AH projects that are otherwise fully
compliant with provisions in the Land Use Code. This improvement streamlines
and brings additional certainty to the land use approval process for affordable
projects. This is intended to cut down review times and reduce associated carrying
costs prior to the construction of a project.
Opportunities for the development of deed-restricted tri-plex and four-plex
developments in zone districts that were previously limited to single-family and
duplex units. Projects of this kind would be limited to the previously established
dimensional limitations of the zone district but would allow additional density in
support of AH.
Removal of intended and unintended limitations on AH development across most
of the zone districts in the city. These changes did not amend dimensional
limitations but are consistent with clearly stated community desires that AH is
possible across Aspen.
Increased affordable housing mitigation requirements in the development and
redevelopment of market-rate single-family and duplex units. Including areas in
basements and garages in the calculation of mitigation and removing the credit for
existing floor area in redevelopment scenarios translates to a mitigation
requirement more reflective of employee generation impacts.
Increase to affordable housing Fee-in-Lieu. Using a code-prescribed process, the
Fee-in-Lieu was increased by nearly 8.5% reflecting a national construction cost
index published by the Engineering News Record. This increase will translate into
additional revenue from projects that are able to mitigate with Fee-in-Lieu and will
influence values in the market for Certificates of Affordable Housing Credit.
Identified Next Steps: Staff is continuing to evaluate the effect of the new policies
implemented by Ordinances 13 and 14 and the continual adjustments necessary in
ensuring the connection between the AACP and the Land Use Code in support of
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affordable housing. This includes identifying new areas for possible coordination between
Community Development, APCHA, and the City Asset Management Affordable Housing
program. Additionally, Community Development is evaluating tactics within the building
permit review process to consider time and cost considerations in AH development. This
may involve proposals for alternative review processes and permit fee reductions.
One topic that staff considered but did not pursue in the moratorium response, was a
proposal for additional dimensional flexibility (height, floor area) in support of affordable
housing. With Council direction, staff could evaluate and potentially propose zoning
changes in certain zone districts to enhance opportunities for AH.
5. Action Item: Certificates of Affordable Housing Program Enhancements
Action Item Owner: Ben Anderson
Item Description: Page 24 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: Established more than ten years ago, the Certificates of Affordable
Housing Credits program has been effective in encouraging private sector affordable
housing development and in the conversion of market-rate multi-family housing into deed-
restricted units. However, the program needs improvement as market conditions have
changed. Minor changes to the program were made in a code amendment process in
2021 and Ordinance 13 created an administrative review path for the issuance of AH
Credits. These changes, while important, are minimal and will not likely shift the
underlying issues with the program. Much more is needed if the program is to remain
viable and encouraging of additional affordable housing development.
Identified Next Steps: Working with experts from Design Workshop, ComDev staff are
currently studying potential changes to the AH Credits program. We are evaluating
multiple possible code changes in response to issues that have been identified in
interviews and discussion with members of the development community and those
working to finance AH development projects. Examples of the types of changes that may
be proposed:
Allowing for the issuance of credits for Category 5 and/or Resident Occupied (RO)
deed-restricted units. Currently, the code only allows Category 1 - 4 units for credit
eligibility.
Allowing for non-profit and quasi-government entities to pursue credits. There is
also contemplation of allowing private entities working in partnership with the City
on AH development to be eligible for credit issuance. Currently, the code only
allows private sector AH developers to receive credits.
Allowing AH projects developed in an alternative geographical boundary (rather
than limited to the UGB) to be eligible for the issuance of Aspen AH Credits.
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Creating assurance (that is recognized in the project finance industry) for the value
of AH Credits in an AH project’s pro forma. This may involve the use of City funds
to guarantee the purchase of credits at a particular value, or a bonding mechanism
of some type, or the City serving as a much more active facilitator in the Credit’s
market than we currently are.
Allowing for the issuance of AH credits as mechanism to encourage permanent
affordability for properties that have expiring deed-restrictions.
While the examples provided above are not exhaustive, they reflect the type of thinking
that staff and the development community are considering in further encouraging AH
development and resolving some of the current issues within the AH Credits market.
Staff has scheduled a Work Session with Council on December 12, 2022, to further
discuss proposals for changes to the AH Credits program.
6. Action Item: Develop Financial Resources for Construction, Expiring Deed
Restrictions & Land Banking
Action Item Owner: Pete Strecker
Item Description: Page 25 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: The largest advancement towards new financial resources for
affordable housing is the inclusion of a proposed new excise tax on short-term rental
lodging within the community. If supported by voters, this new tax is estimated to
generate more than $6M in its first full year for the benefit of developing, acquiring, or
maintaining affordable housing for the Community.
Identified Next Steps: Financing for new housing construction tends to be driven by the
specifics of the individual projects, and as such, requires that the projects be designed,
entitled, and appropriated to show a firm commitment forward. With the Lumberyard,
many of these items are coming into focus and are solidifying, which will allow staff to
advance a specific debt issuance for this project in 2025/26.
Additionally, but prior to that time, staff anticipates engaging the Council, and ultimately,
voters to support an extension beyond the current sunset date of December 31, 2040,
for the 1.0% real estate transfer tax (and less critical but equally likely, the 0.45% sales
tax) to provide a consistent revenue stream to support planned and future borrowing.
This question will need to happen prior to the debt issuance described above for the
Lumberyard.
Other Efforts Underway: Pitkin County, Aspen and Basalt have all made a financial
contribution into the creation of the West Mountain Regional Housing Coalition. The
financial benefits of this joint coalition may include greater opportunities for state or
federal grant funding given the regional commitment demonstrated by this partnership.
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7. Action Item: APCHA Incentivized Voluntary Downsizing or Voluntary
Buyout
Action Item Owner: Matthew Gillen
Item Description: Page 26 and page 29 of the 2022-2026 Affordable Housing Strategic
Plan.
Progress to Date:
APCHA Board reiterated with a formal vote that any rightsizing by APCHA
owners would be purely voluntary, this vote was taken to alleviate fear in the
community that owners would be forced to sell or downsize.
During summer of 2022, APCHA owners were invited to complete a
comprehensive online survey. 58% of responding three- and four-bedroom
owners said they would consider downsizing. The survey analysis was presented
to the Board on 9/21/2022.
APCHA staff is presenting a proposal to the APCHA board for pilot rightsizing
program on a “swap” model.
Identified Next Steps: APCHA staff plan to propose a pilot program allowing
“downsizing” and “upsizing” where APCHA owners can buy each other’s homes
(“swap”). This policy will be presented to the APCHA Board in November. The APCHA
board will also discuss rightsizing incentives to capitalize on apparent willingness by
APCHA owners to rightsize.
8. Action Item: Partnerships
Action Item Owner: Scott Miller
Item Description: Page 27 of the 2022-2026 Affordable Housing Strategic Plan.
Progress To Date: Partnerships for Affordable Housing are an opportunity for the City of
Aspen to leverage its resources to develop, purchase, or operate more housing units than
it might when the city acts as the sole source of capital for development of housing units.
The City of Aspen has entered into a conceptual agreement with several other local
employers to explore development of Affordable Housing at the property known as the
Forest Service Lot, located at Hallam Street and 7th Street. Details of this agreement are
still being negotiated. This will probably be a partnership between several governmental
jurisdictions, producing a significant number of housing units for each of the partners.
The City of Aspen is always looking for partnership opportunities, having engaged in
several conversations with private developers, property owners, and governmental
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jurisdictions. At this time, all conversations continue, but no agreements have been
reached. Confidentiality is important to all parties until agreements are close to becoming
reality.
Identified Next Steps: Negotiations for the Forest Service Lot are continuing; we are
hopeful that an agreement beneficial to all parties can be reached. We continue to look
for additional partnerships as they present themselves
9. Action Item: APCHA Compliance Actions
Action Item Owner: Matthew Gillen
Item Description: Page 28 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: Every other year in the APCHA Ownership Affidavit, owners must
attest that they:
1. Are still working in Pitkin County; and
2. Do not own other developed residential property in the Roaring Fork valley (the
owner exclusion zone).
Owners are only assessed on their individual financial situation when they buy a
property. APCHA verifies all compliance complaints received and responds to all
verified compliance complaints that are received following the Notice of Investigation
and Notice of Violation process to determine the validity of the complaint.
Owners who are unable or unwilling to come into compliance are given an opportunity
to present their case before the neutral APCHA hearing officer. If an out of compliance
owner wishes to appeal their case, the hearing officer’s decision can be appealed to the
APCHA Board. APCHA has two cases currently in this hearing officer process, both of
which are central to preserving the integrity of the APCHA system: one enforcing the
prohibition on owning other homes in the OEZ, the other multiple rental lease violations.
Identified Next Steps: APCHA has requested in the 2023 budget a compliance analyst
position to institutionalize compliance practices, including review of rental compliance.
This position will increase compliance before corrective action is needed.
10. Action Item: APCHA Policy Actions to increase number of available units
Action Item Owner: Matthew Gillen
Item Description: Page 29 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date:
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APCHA has identified that there are approximately 580 empty or spare bedrooms
in the APCHA ownership inventory, the biennial affidavit owners survey enables
APCHA to monitor this number.
Due to a regulation change, buyers are now only allowed to bid one category
above the category at which they qualify. This change reduces competition for
particular units.
Identified Next Steps: The APCHA Board has given APCHA staff direction to design a
pilot program where those who wish to move to smaller units are matched with those
who want a large home. The two parties would buy each other's home, resulting in a
reduction in ‘spare’ bedrooms in the APCHA system.
11.Action Item: APCHA Policy Actions to Improve the Sustainability of APCHA
Deed Restricted Housing
Action Item Owner: Matthew Gillen
Item Description: Please see page 30 of the 2022-2026 Affordable Housing Strategic
Plan.
Progress to Date:
Despite an exhaustive search APCHA was not able to hire a contractor for a
grant writer to look for funding sources.
After community feedback with Wood Creek residents, APCHA did not go
forward with a formal mobile home pilot program in the Woody Creek
development. APCHA does retain the right of first refusal on properties and will
remain vigilant for targets of opportunity to improve housing stock.
Identified Next Steps:
APCHA is looking to engage Home Owner Associations to, among other issues,
prepare capital reserve studies measure financial health of HOAs. APCHA is
looking for policy ideas that allow a certain percentage of HOA capital projects to
be accounted for by owner’s home appreciation.
Several months ago, the Housing Policy Analyst embarked on a research project
to identify programs within affordable housing agencies that assist owners with
property maintenance and capital improvements to ensure that that units within
the affordable housing program are in good condition. The Housing Policy
Analyst has been meeting with APCHA staff to determine which programs could
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be implemented by APCHA. Programmatic options will be presented to the
APCHA Board for consideration in December 2022.
APCHA management will evaluate the impact of seller standards and home
inspection improvements.
12.Action Item: Additional Development Neutral Program Elements
Action Item Owners: Ben Anderson and Phillip Supino
Item Description: Please see page 31 of the 2022-2026 Affordable Housing Strategic
Plan.
Progress to Date: There have been important accomplishments in this area.
First, at 1235 E. Cooper, eight, two-bedroom market-rate apartments are being converted
to deed-restricted units (in-progress) and ownership transferred to the Aspen School
district. ComDev and APCHA worked together with the property owner to identify any
issues, process the necessary land use approvals, and have issued the affordable
housing credits resulting from the conversion following the recordation of the deed-
restrictions. When the right property is involved, flexible solutions can be identified to
facilitate the creation of new affordable housing without necessarily requiring new
development. It is hoped that this project can be a model for other similar outcomes.
Secondly, Land Use Code changes resulting from Ordinance #13 were specifically crafted
to result in development neutral affordable housing and neighborhood scaled projects
that are centrally located.
Lastly, Community Development is working with Design Workshop on case studies using
example properties to identify AH development potential and any obstacles that could be
overcome with the appropriate regulatory flexibility.
Identified Next Steps: To fully realize the potential of this action item, it is clearly
recognized that additional creativity will be required. Additionally, improved coordination
of the Land Use Code, APCHA regulations, and the interests of City of Aspen Asset
Management and the 150 Fund will be essential.
Council has broadly discussed but has not provided specific direction to staff in the
evaluation of additional or alternative revenue streams to finance AH construction
(outside of the short-term rental ballot question). Council could provide direction for further
evaluation of other potential revenue sources or mechanisms.
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13.Action Item: Land Banking
Action Item Owner: Scott Miller
Item Description: Page 32 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: Land Banking is the process of acquiring and holding land for future
development, re-development, or land trade. Over the years, the City of Aspen has
purchased several properties for Affordable Housing development. All but one, the
Lumberyard property, has been successfully developed. The Lumberyard property has
been designed to 100% Schematic Design and is about to enter the land use review
process.
As the Aspen area continues to develop, raw land becomes more of a rare commodity.
However, we continue to search for land banking opportunities. In 2022 staff and the
city’s real estate broker, Sotheby’s International Realty, have researched dozens of
properties, vacant or ripe for redevelopment, in search of land banking opportunities.
This search has produced three properties that staff presented to council as potential
purchase recommendations. One of the properties is outside the Urban Growth
Boundary (UGB) and not seen as a viable purchase by Council at this time. A second
property was seen as a better opportunity for Pitkin County and the Aspen School
District and presented to them as such. The third property is a smaller property in the
west end. A private developer has voiced interest in purchasing this property for
development as affordable housing. Staff have offered to help this developer in any way
that we can, with the thought that adding affordable housing to the local inventory helps
solve the problem, whether it is built by the city or a private developer.
Identified Next Steps: Staff continue to search real estate, whether listed for sale or not,
for land banking potential.
14.Action Item: Regional Collaboration
Action Item Owner: Diane Foster
Item Description: Page 33 of the 2022-2026 Affordable Housing Strategic Plan.
Progress to Date: To date, seven governmental entities and one organization have
committed $10,000 each and are part of the West Mountain Regional Housing Coalition.
This includes Pitkin County, Aspen, Snowmass Village, Basalt, Carbondale, Glenwood
Springs, Eagle County and Colorado Mountain College. WMR Housing Coalition
officially received tax exempt, Colorado 501(c)(3) nonprofit status this summer of 2022.
Since fall 2021, the Assistant City Manager has been working closely with the Coalition
and has been the board representative for the City of Aspen since the Coalition’s first
Board meeting in June 2022.
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Right now, WMR Housing Coalition has three priorities: 1) Standing up the coalition; 2)
Developing a strategic plan; 3) Building out a toolkit of development neutral strategies;
and 4) pursuing state and federal grant funding to support the aforementioned efforts.
The Coalition is already the recipient of several planning and administrative grants,
including support from the Colorado Department of Local Affairs (DOLA) Recovery
Roadmaps program and an Innovative Housing Opportunities Program (IHOP) grant from
the Division of Housing. This funding supported contracting technical and planning
assistance.
An informational update about WMR Housing Coalition was sent to Council as an
Information Only Memo on October 24th.
Identified Next Steps: City of Aspen staff continue to attend WMR Housing Coalition
board meetings and represent the City of Aspen.
The West Mountain Regional Housing Coalition is taking steps to continue building
funding support. This includes creating a local fundraising plan and various grant
proposals that include pursuing DOLA American Rescue Plan Act (ARPA) funding this
winter.
ENVIRONMENTAL IMPACTS:While development of new affordable housing has a
negative carbon impact, these developments are usually built to meet higher-than-
building-code environmental standards, as determined by City Council. Because City
Council has only pursued development within the City’s urban growth boundary, the travel
distance of many of a new development’s residents is reduced. Where transit connections
are a high priority in new developments, frequently new residents are able to mode shift
from automobile to transit, which also as a net positive carbon impact.
Other strategies in this Strategic Plan are development neutral and, consequently carbon
neutral.
FINANCIAL/BUDGET IMPACTS:Action Item 6 covers all financial impacts in the
Affordable Housing Strategic Plan.
CITY MANAGER COMMENTS:
APPENDIX: 2022-2026 City of Aspen Affordable Housing Strategic Plan
41
AFFORDABLE
HOUSING
STRATEGIC
PLAN
CITY OF ASPEN
2022-2026
42
CITY OF ASPEN
2022-2026 — Affordable Housing Strategic Plan
2
COMPREHENSIVE STRATEGIC PLAN OF ACTION
TO GENERATE & SUSTAIN AFFORDABLE HOUSING UNITS
POLICY
• APCHA Compliance Actions
• APCHA Policy Actions to
improve sustainability of existing
affordable housing
NEW
DEVELOPMENT
• Complete Burlingame
Phase 3 Project
• Complete Lumberyard Project
• Partnerships
• Regional Collaboration
• Land Banking
DEVELOPMENT
NEUTRAL
HOUSING
SUSTAINABILITY &
COMPLIANCE
FOUNDATION: 3,200 CURRENT UNITS IN THE APCHA HOUSING PROGRAM
• Replace Expiring Deed Restrictions with
Permanent Deed Restrictions
• Incentivize voluntary rightsizing
• Other future development
neutral items
• Community Development Policy Actions
• Affordable Housing Certificates Program
• Develop Financial Resources for Construction,
Expiring Deed Restrictions
& Land Banking
• APCHA Policy Actions to increase
numbers of available units
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CITY OF ASPEN
2022-2026 — Affordable Housing Strategic Plan
5CITY OF ASPEN
2022-2026 — Affordable Housing Strategic Plan
4
INTRODUCTION
With approximately 3,200 deed restricted affordable homes in the Aspen/Pitkin County area, our affordable
housing programs are the envy of every ski town in the US.
The forethought of elected officials to begin investing in affordable housing in the 1970s and their tenacious
commitment to it since that time has resulted in a vibrant, lived-in community. Interspersed throughout the
community, these 3,200 homes have helped the Aspen community fight the adverse effects of a historic rise
in housing costs, yet we are struggling to now keep up with the market shift in utilization of many homes from
residential to commercial in the form of short term rentals.
The historic and current day support for affordable housing by Aspenites of all economic strata remains strong.
This high level of community support is evidenced by voter-supported funding of the affordable housing program
and the fierceness with which the community defends this valuable and essential asset.
Compared to our peer ski town communities, we are fortunate to have this legacy of success with the development
of affordable housing. Yet, in the present context, several intersecting factors have created a scenario that
leaves the community challenged in sustaining important aspects of our economic and social fabric. In August of
2021, the Aspen City Council established three Priority Goals, with Affordable Housing being one of those. The
adopted Goal Resolution language set out five steps to accomplish this goal, with the first being the December
2021 Aspen City Council Housing Retreat and the second being this output of that retreat, the Affordable
Housing Strategic Plan.
The City Council made clear their intent for this Affordable Housing Strategic Plan to be more than an aspirational
document; they wanted a plan that is actionable. Accordingly, this plan prioritizes a series of actions to happen in
the next five years that can have a significant and positive impact on the quantity of units and overall sustainability
of our community’s affordable housing program.
The Aspen City Council has and will continue to be committed to addressing the need for more affordable
housing – and, as they have stated clearly, “We can’t do it alone.” To solve this challenge, we will need every tool
available to us and we’ll need every partner to do their part.
Thanks to the team who came together to develop this plan (in alphabetical order):
Ben Anderson
Chris Everson
Diane Foster
Matthew Gillen
Ron LeBlanc
Scott Miller
Sara Ott
Pete Strecker
Phillip Supino
ASPEN CITY COUNCIL’S DIRECTION & IDEAS ARE MEMORIALIZED IN THIS PLAN:
Mayor Torre — Rachel Richards — Ward Hauenstein — Skippy Mesirow — John Doyle
City Of Aspen Affordable Housing Strategic Plan _____________________________________________________________________6
What Is The Housing Strategic Plan Goal? .......................................................................................................................6
How Will The Goals Of The Plan Be Achieved? ..............................................................................................................6
A Focus On Action ......................................................................................................................................................................7
Pillars Of The Strategic Plan ...................................................................................................................................................8
Strategic Focus Areas ................................................................................................................................................................8
For Whom Is Affordable Housing Intended? ....................................................................................................................9
Where Will New Units Be Located? .....................................................................................................................................9
Livability Standards For Affordable Housing ....................................................................................................................9
Aspen Area Community Plan: Housing Policies & Policy Categories _________________________________________10
Looking Back, Moving Forward: Where Have We Been Successful ____________________________________________11
Looking Back, Moving Forward: What Can We Do Better In The Future ____________________________________12
Council’s Support Of Outcomes ..........................................................................................................................................12
Assessing The Need For Affordable Housing In Our Community ______________________________________________13
Summary Of Already-Completed Assessments .............................................................................................................13
Addition Of Updated Data That Informs The Needs ...................................................................................................13
Community Support Of The Need For Affordable Housing .....................................................................................14
Readiness Assessment ____________________________________________________________________________________________________________15
Staffing ............................................................................................................................................................................................15
Financial Capacity on Requested Timeline ......................................................................................................................16
Swot Analysis __________________________________________________________________________________________________________________________17
Action Plan Decision Matrix _____________________________________________________________________________________________________18
City Council’s Affordable Housing Goal ___________________________________________________________________________________19
Actions __________________________________________________________________________________________________________________________________20
Replace Expiring Deed Restrictions With Permanent Deed Restrictions..... ....................................................20
Complete Lumberyard Project ..............................................................................................................................................21
Complete Burlingame Phase 3 Project .............................................................................................................................22
Community Development Policy Actions .........................................................................................................................23
Certificates Of Affordable Housing Program Enhancements .................................................................................24
Develop Financial Resources For Construction, Expiring Deed Restrictions & Land Banking .................25
Incentivize Voluntary Rightsizing.........................................................................................................................................26
Partnerships .................................................................................................................................................................................27
APCHA Compliance Actions ................................................................................................................................................28
APCHA Policy Actions To Increase Number Of Available Units ............................................................................29
APCHA Policy Actions To Improve The Sustainability Housing Inventory ........................................................30
Additional Development Neutral Program Elements...................................................................................................31
Land Banking ...............................................................................................................................................................................32
Regional Collaboration ............................................................................................................................................................33
Actions Not Currently Prioritized __________________________________________________________________________________________34
Review Process _____________________________________________________________________________________________________________________35
Appendix _______________________________________________________________________________________________________________________________36
Appendix A: Housing Chapter Of Aspen Area Community Plan ..........................................................................36
Appendix B: Community Afordable Housing And Livability ....................................................................................42
TABLE OF CONTENTS
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The City Council will continue to evaluate, identify opportunities, plan, partner, facilitate, and leverage
existing and new resources to invest in the development and maintenance of affordable housing. This will be
accomplished through:
(City Council Goal Resolution August 2021)
CITY OF ASPEN
HOUSING STRATEGIC PLAN
WHAT IS THE HOUSING STRATEGIC PLAN GOAL?
To provide an action plan to support the continued availability of affordable housing that is high quality, sustainable,
and results in a lived-in community and a healthy workforce. City Council has set a goal of of 500 affordable housing
units within the next five years. Nearly 50% of this goal number will be achieved without new development.
HOW WILL THE GOALS OF THE PLAN BE ACHIEVED?
POLICY PROGRAMS PARTNERSHIPS
Aspen Area Community
Plan & Land Use Code
encourage, support &
require the creation of
affordable housing within
the urban growth boundary.
City Council’s policy
direction regarding land
acquisition is to consider
any and all acquisitions,
including partnerships.
The Affordable Housing Certificates Program has been
in place since 2010 – with the first project completed
in 2012. This program encourages developers to build
affordable housing by providing a credit for each
affordable housing unit built. That credit can then
be sold to another developer who can use it to fulfill
employee mitigation requirements on a separate project.
The program has included new projects, conversions
of freemarket units to deed-restricted, and historically
designated properties.
The Aspen Pitkin County Housing Authority manages
the sales, rental, management and sustainability of deed
restricted affordable housing.
Development of affordable
housing through private and
public partnerships has and
will continue to provide
an alternative to the
City-as-Developer approach.
With reduced availability of
freemarket housing in the
Roaring Fork Valley, the need
for regional affordable housing
partnerships increases.
Supporting
continuous
improvement with
the APCHA program,
including ensuring
adequate resources
Convening a
City Housing
Retreat
Creating an
affordable housing
strategic plan
Completing
Council directed
affordable housing
development
projects
Continuing to
seek additional
affordable housing
development
opportunities
Leveraging
and amending
regulations
and policies
in support of
affordable
housing
Every member of the Aspen City Council – both before and during the December 2021 City Council Housing Retreat
– identified the importance of a specific Action Plan within the Affordable Housing Strategic Plan.
Every one of the fourteen items within the Action Plan have been identified by City Council as a priority action items
for staff. Items that are not a priority are identified on page 33 or are not included in this plan.
PRIORITY
• APCHA Compliance Actions
• APCHA Policy Actions to Increase Number Of Available Units
• APCHA Policy Actions to Improve The Sustainability Housing Inventory
• Additional Development Neutral Program Elements
• Land Banking
• Regional Collaboration
HIGHEST PRIORITY
• Replace Expiring Deed Restrictions with Permanent Deed Restrictions
• Complete Lumberyard Project
• Complete Burlingame Phase 3 Project
TOP PRIORITY
• Community Development Policy Actions
• Certificates of Affordable Housing Program Enhancements
• Develop Financial Resources for Construction,
Expiring Deed Restrictions & Land Banking
• Incentivize voluntary rightsizing
• Partnerships
A FOCUS ON ACTION
Marolt
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PILLARS OF THE STRATEGIC PLAN
Increase the
quantity of
affordable
housing
Increase
quality of new
& existing
affordable
housing
Preserve
affordability
Provide
community
housing
Ensure the
sustainability
of the
program
Support the
policies
identified in the
Aspen Area
Community Plan
1 2 3 4 5 6
STRATEGIC FOCUS AREAS
SAFE & LIVED-IN COMMUNITY OF CHOICE: Ensure Aspen is an
attractive, diverse and safe city to live, work and visit year-round. This includes
opportunities to access childcare, healthcare, housing, transit, parks, recreation and
technological connectivity.
COMMUNITY ENGAGEMENT: Ensure a trusted dialogue and relationship
in the community that encourages participation, consensus building, and meaningful
engagement.
PROTECT OUR ENVIRONMENT: Ensure that policy decisions, programs and
projects manage impacts to the environment, climate, and public health and well-
being.
SMART CUSTOMER FOCUSED GOVERNMENT: Provide value to the
community by continuously improving services and processes based on feedback,
data, best practices, and innovation.
FISCAL HEALTH & ECONOMIC VITALITY: Promote economic
sustainability of the Aspen community by advancing a healthy, diverse local economy
while responsibly managing revenue streams, community investments, and financial
reserves.
LIVABILITY STANDARDS FOR AFFORDABLE HOUSING
• environmental sustainability • accessibility
• quality of construction • parking & storage
• unit size • open space & trails
• natural light • public transportation
WHERE WILL NEW UNITS BE LOCATED?
Third Priority:
Outside of City limits
(This is a change from prior policy)
>> To allow for closer proximity to
major medical centers
>> Partnerships with Pitkin County
>> Other regional partnerships
FOR WHOM IS AFFORDABLE HOUSING INTENDED?
Affordable Housing in the Aspen area is both workforce housing and community housing.
The Housing Vision statement in the Aspen Area Community Plan (AACP) makes this clear:
We believe that a strong and diverse year-round community and a viable
and healthy local workforce are fundamental cornerstones for the
sustainability of the Aspen Area community.
The AACP cites the benefits of affordable housing to the Aspen community; it “helps to ensure a vital, demographically
diverse year-round community” made up of “a healthy mix of people, including singles, families and seniors.”
While affordable housing supports the community’s workforce, according to the Mission Statement in the Aspen Pitkin
County Housing Authority’s Regulations, affordable housing is also intended for retirees and people with disabilities who
have been actively employed within Pitkin County prior to retirement and/or disability.
1
2
3
Top Priority:
Within the roundabout,
including in the Core
Second Priority:
Within the
Urban Growth Boundary
Housing developments should endeavor to balance the principles of community, livability and quality against
impacts such as unreasonable levels of cost and construction activity intrusion. Housing structures should utilize
land as efficiently as possible and should seek construction efficiencies to levels that do not sacrifice livability
beyond levels that are not consistent with these goals. Architecture should be sensitive to neighborhood context
to the extent possible while achieving these goals. A myriad of design elements all combine to make a development
livable. As discussed further in Appendix B, these elements include, but are not limited to:
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ASPEN AREA COMMUNITY PLAN (AACP):
Housing Policies & Policy Categories
The policies outlined in the Housing chapter and related housing mitigation policies in the Managing Growth for
Community & Economic Sustainability chapter are intended to meet these challenges as the community continues to
provide affordable housing. A full copy of the Housing section of the Aspen Area Community Plan, pages 36-41, can be
found in Appendix A.
At the same time, the 2012 AACP calls for further research on the physical limits to development in the form of ultimate
build-out, projected future impacts related to job generation, demographic trends, the conversion of local free market
homes and other factors. This kind of statistical analysis will help inform future decision-making and goal-setting in a more
meaningful way.
This plan emphasizes the need to spread accountability and responsibility for providing affordable housing units beyond
the City and County governmental structures, and continuing to pursue affordable housing projects on available public
land through a transparent and accountable public process.
While past plans have supported "buy-down" alternatives, there has been little comprehensive effort in this regard. A
"buy-down" program may be an expensive proposition, but this plan calls for exploring it more thoroughly. The idea is to
finally determine if the community is willing to pay the price for providing long-term affordable housing by converting
existing free market homes, and/or affordable housing, rather than building new homes.
Little Ajax
(Source: 2012 Aspen Area Community Plan)
LOOKING BACK, MOVING FORWARD:
Where have we been successful?
With a total of approximately 3,200 deed restricted units within the Aspen/Pitkin County area, 72% (2,303) of which are
located within Aspen City limits, this area is home to what is likely the largest affordable housing program in the nation on
a per capita basis. In the early 1970s, responding to a loss of free-market employee housing, Pitkin County and the City of
Aspen started separate housing programs. Early recognition of the problem and immediate action and sustained investment
has created a housing program that is not only the envy of every ski town, it has been the key to maintaining the soul of the
community.
In 1982 Aspen and Pitkin County
joined together to form the Aspen
Pitkin County Housing Authority.
The City and County jointly fund this
program that is now operating under
the Sixth Amended and Restated
Intergovernmental Agreement,
signed in May 2019.
Importantly, and unlike some other
western ski resort communities, the
Aspen community has consistently
supported affordable housing
through both the 1% Housing Real
Estate Transfer Tax and 45% of the
.45% Housing and Day Care Sales
Tax. These funds have supported
the City in the role of developer —
although private sector companies
are hired to build the units— and
have also allowed the City to join
with private sector developers to
build new affordable housing units.
The aforementioned housing policies
implemented through the Land Use
Code, such as the Affordable Housing
Credits Program and the Growth
Management Quota System, have also
resulted in new affordable housing unit
generation.
COMPLETED PUBLIC PROJECTS: 2000 - 2021
YEAR FACILITY UNITS OWN/RENT
2000 Snyder 15 Own
2001 7th and Main 12 Own
2002 Truscott II 87 Rent
2005 Annie Mitchell 39 Own
2006 Little Ajax 14 Own
2007 Burlingame Ranch I 91 Own
2015 Burlingame Ranch II 86 Own
2020 802 West Main 10 Rent
2020 517 Park Circle 11 Rent
2021 488 Castle Creek 24 Rent
TOTAL COMPLETED 389 257 Own/ 132 Rent
TOTAL FTEs 840
FTEs: Number of full time employees housed
GENERAL RESIDENTIAL DATA (WITHIN THE CITY OF ASPEN)
YEAR 2000 2010 2020
TOTAL HOUSEHOLDS 4,354 5,929 6,197
% CHANGE 2000-2010 // 36.2% 2010-2020 // 4.5%
OCCUPIED HOUSEHOLDS 2,903 3,516 3,540
% CHANGE 2000-2010 // 21.1%% 2010-2020 // 0.7%
VACANT HOUSEHOLDS 1,451 2,413 2,657
% CHANGE 2000-2010 // 66.4% 2010-2020 // 10.1%
% OF VACANT UNITS
(free market and affordable combined)33%41%43%
Source: Colorado State
Demographer’s Office compiled
decennial US Census Data from
2000-2020; and APCHA data
derived from HomeTrek.
Deed Restricted APCHA
Units in COA (Source: APCHA)Total: 2,303
Free-Market Units Total from
Census less APCHA units Total: 3,894
% of Vacant Free-Market Units
(assuming 100% of APCHA units are occupied)68%
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LOOKING BACK, MOVING FORWARD:
What can we do better in the future
At its December 2021 City Council Housing Retreat, the Council identified what has been done well
and what could be done better in the future:
YEAR FACILITY UNITS OWN/RENT
*2022 Burlingame Ranch III 79 Own
**2024-2035 Lumberyard 310 2/3 Rent, 1/3 Own
TOTAL In Process 389 177 Own, 212 Rent
TOTAL FTEs 780
* Currently under construction
** Currently in planning, subject to change
COUNCIL’S SUPPORT OF OUTCOMES
When the City is the developer in an affordable housing project, the City Council has a significant role in the
design and development of that project. During the December 2021 City of Aspen Housing Retreat, the City
Council put forward the following statements in support of successful project outcomes:
PUBLIC PROJECTS CURRENTLY IN PROGRESS
Maintain the
quality of the
community through
sustainability and
have the courage
and political will
to preserve the
community
Ensure community
understanding of
why certain actions
are being taken and
help the community
to understand the
20-year outcomes.
Better
organize and
articulate
priorities
Make improvements
to existing programs,
including better use
of existing housing
stock and utilizing
unused bedrooms
already built
Preservation
and restoration
of existing
housing
Adding
housing
without
construction
when possible
Developing
voluntary
programming
around retirees
and seniors still in
housing by creating
a better situation
for them; provide
incentives to
rightsize
Staff will be supported with the resources when they are needed
City Council will take full ownership if we don’t succeed
City Council will not change direction
Council members commit to expressing concerns to staff ahead of time
Trust and have patience with staff
Lead with a public service heart
Burlingame
ASSESSING THE NEED FOR AFFORDABLE
HOUSING IN OUR COMMUNITY
SUMMARY OF ALREADY-COMPLETED ASSESSMENTS
2012 NEEDS ASSESSMENT: In 2012, staff prepared a strategic review of affordable housing document for a joint City/
County housing work session which occurred in September of 2012. The 2012 strategic review hypothesized that from 2012
to 2022, over 650 new housing units would be needed to overcome the forces of job growth, gentrification, and retirement.
2019 NEEDS ASSESSMENT: The 2019 Greater Roaring Fork Regional Housing Study suggested that the need for affordable
housing units in the Aspen-Snowmass area was greater than previously anticipated and growing. A copy of that report can
be found at: https://tinyurl.com/ycpx92hh
2021 EPS LUMBERYARD DEMOGRAPHIC AND MARKET ASSESSMENT: To prepare for the City’s Lumberyard affordable
housing development, in 2021 the City of Aspen commissioned the Lumberyard Demographic and Market Assessment
which found that the Roaring Fork Valley is losing households in APCHA income categories 1 (up to 50% AMI) and 2 (51-
85% AMI) and that most of the job growth in Aspen and Pitkin County is in APCHA income categories 2 (51-85% AMI) and
3 (86-130% AMI).
The 2021 Lumberyard Demographic and Market Assessment goes on to suggest that rental units should be created
primarily in APCHA income category 2 (38%), followed closely by category 3 (33%) and then category 1 (22%), and with
a few rental units in category 4 (7%). The 2021 study also suggests that ownership units should be created primarily in
APCHA income category 3 (34%), followed by categories 4 (26%) and 2 (23%) while providing some units in category 5
(17%).
A similar income mix should be considered for the 79 units at Burlingame Ranch Phase III which will be available for sale in
in the Fall of 2022.
2021 EMPLOYMENT DATA
The 2021 EPS study also showed 1,668 new jobs in
Pitkin County between 2010 and 2019. These jobs were
added primarily by the tourism-related job sectors of
Accommodations, Food Service, Arts and Recreation and
Retail Trade. 39% of job growth was under 80% of Pitkin
County Area Median Income (AMI) and an additional 35%
fell between between 80% and 120% of AMI.
EPS then applied an average of 1.6 earners per household
and then converted that job growth to APCHA's
Categories, which are based on Area Median Income. The
result showed the greatest job growth in Pitkin County
between 2010 and 2019 was in Category 3 and then in
Category 2 households.
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COMMUNITY SUPPORT OF THE NEED FOR AFFORDABLE HOUSING
One needs only to read one of the two daily newspapers or listen to the local NPR broadcast to understand the need for
additional affordable housing in our community, as well as for its preservation. These observations are well supported by
longitudinal empirical data.
The recently published results of the 2021 Pitkin County Community Survey also highlighted the community
interest in affordable housing: “Respondents were asked to identify County services and initiatives provided
by the County that they thought should receive the most emphasis, from County leaders, over the next two
years. Forty-nine percent (49.4%) of respondents selected the County’s efforts to address affordable housing,
including quality and quantity, as one of the most important services for the County to provide.”
>>> https://tinyurl.com/3tdze9z4
The 2018 City of Aspen Resident Survey cited “Ensuring the availability of adequate workforce housing at a
reasonable cost to rent/purchase” as an essential area for the City government to take action, falling just behind
protecting the quality and quantity of water in the Roaring Fork River.
>>> https://tinyurl.com/bddzm337
Similar results are seen in the 2016 Resident Survey, where “Ensuring the availability of adequate workforce
housing at a reasonable cost to rent/purchase” again fell just behind Roaring Fork River water quality and
quantity concerns, but tied with “Managing traffic in town more effectively” for third place.
>>> https://tinyurl.com/yucw4wru
The 2015 Resident Survey did not include a Roaring Fork River question. In this survey, “Ensuring the availability
of adequate workforce housing at a reasonable cost to rent/purchase.” was the top response.
>>> https://tinyurl.com/493ny3yr
Burlingame Ranch
2021 Pitkin
County
Community
Survey
2018 City
of Aspen
Resident
Survey
2016
Resident
Survey
2015
Resident
Survey
READINESS ASSESSMENT
STAFFING
Department & City’s Affordable Housing Development Fund
Currently, the City of Aspen has one full time employee in the Capital Asset Department dedicated to the planning
process for new affordable housing developments. Other full-time staff members from the Capital Asset Department
provide construction management support during City-developed projects.
Collaboration with staff from other departments is often leveraged during the planning process and may include
staff from the City Manager’s and City Attorney’s offices, Finance, Community Development, Engineering, Building,
Transportation, Parks, Utilities, Environmental Health and the Aspen Pitkin County Housing Authority.
Funds from the City’s Affordable Housing Development Fund are otherwise typically used to staff projects as needed with
third party professional and/or technical consultants on a project-by-project basis.
Community Development
Community Development has several staff members who focus on the development, implementation, and refinement of
policies that support affordable housing development. During the 2022 Moratorium, Community Development staff will
be working directly on new policies to support City Council’s affordable housing goals. As part of this work, significant
analysis will be conducted that will support improvements to affordable housing efforts beyond the period of the
Moratorium.
APCHA
Compliance: APCHA has two primary staff members who work part time on compliance, namely the Compliance, Policy
& Systems Manager and APCHA’s outside attorney. APCHA’s Executive Director and Deputy Director also participate in
compliance efforts.
Qualifications: Two Qualification Specialists at APCHA ensure that the people who rent or purchase APCHA deed
restricted property meet the requirements as defined in APCHA Regulations.
APCHA Housing Sustainability: General upkeep of rental and ownership properties.
• Rental housing sustainability for city-owned properties (Truscott, Aspen County Inn and Marolt), is managed by
APCHA’s two-member Property Management Team and four-member Maintenance Team.
• Housing sustainability for individual ownership units is a topic the APCHA Board began to address in April 2021,
supported by the Assistant City Manager, APCHA Executive Director, Deputy Director and the Compliance,
Systems and Policy Manager.
• Housing sustainability by Home Owners Associations of condominium and other multi-family developments is a
topic the APCHA Board would like to address in the future. APCHA staff will propose hiring a HOA Specialist
in the future to support this effort as well as to help HOAs of APCHA deed restricted properties with capital
reserve planning.
City Manager’s Office
The City Manager’s Office will be hiring a full time Housing Policy Analyst in the spring of 2022. Additionally, the City’s
Assistant City Manager works part-time on housing topics.
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A SWOT Analysis tool helps an organization to identify, at a high level, major internal and external Strengths,
Weaknesses, Opportunities and Threats.
•Strengths and Weaknesses are focused internally: What do we do well and where could we improve?
What resources do we have and what resources do we need.
•Opportunities and Threats are externally focused: Outside of our organization, what
opportunities exist? What threats could harm our efforts? What is happening in the market
that could help or hurt us?
STRENGTHS
• Community Support
• City Council Commitment
• Financial Resources
• Knowledgeable Staff
• 3 ,200 Affordable Housing Units
• Pitkin County Partnership
• Ability to hire outside private-sector
resources
WEAKNESSES
• Maintenance Costs
• Ability to access financial resources quickly
• No one solution will solve the problem
• Staff workload limits ability to take on new
projects
• Buying-down existing free-market
residential and converting to affordable
housing is prohibitively expensive
• Highly dependent on outside expertise/
staffing
OPPORTUNITIES
• Land Acquisitions
• Partnerships with
private & public entities
• Pitkin County potential for county-wide tax
• Regional partnerships
• Re-balance the cost to create affordable
housing with the current drivers of demand
for additional affordable housing
THREATS
• Scarcity of land
• Cost of Construction
• City of Aspen is sole source of funding
• Increased housing costs in entire
Roaring Fork Valley
• Deferred maintenance and escalating cost of
capital repairs in privately-owned affordable
housing HOAs
• Inability of affordable housing residents to
move into free market units in the future
• Politically motivated attempts to undermine
program/redefine need
HELPFUL
SWOT ANALYSIS
HARMFUL
EXTERNALINTERNALFINANCIAL CAPACITY ON REQUESTED TIMELINE
Since 2000, over $240 million in dedicated revenues has been invested into the
ongoing operation and expansion of the Aspen Pitkin County Housing Authority
affordable housing inventory. This includes the development of the completed
projects listed above as well as funds invested in upkeep and operation of existing
City-owned facilities.
Funds from this revenue stream are also budgeted annually toward the operation
of the Aspen Pitkin County Housing Authority (APCHA), and those funds are also
matched by Pitkin County. (The table to the right does not include such Pitkin County
funds.)
Funds have also been invested in land banking opportunities for future housing
developments.
Year Housing Fund
Revenues
2000 $5,302,335
2001 $4,845,133
2002 $4,751,964
2003 $8,543,109
2004 $8,090,180
2005 $12,773,154
2006 $14,000,177
2007 $14,075,761
2008 $12,001,447
2009 $8,373,748
2010 $8,321,575
2011 $9,752,953
2012 $8,986,581
2013 $9,584,101
2014 $11,590,103
2015 $13,039,396
2016 $10,084,871
2017 $13,422,231
2018 $13,042,701
2019 $13,784,319
2020 $21,009,309
2021 EST $38,147,667
2000-2021 $243,808,166
Truscott
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City Council has established a goal of 500 affordable housing units. This goal will be achieved:
• During the 2022-2026 timeframe;
• Within the City of Aspen’s Urban Growth Boundary;
• Can be an affordable housing unit achieved through either through development neutral means or
through new development; and
• Includes units created by private sector, other public sector organizations or City of Aspen.
CITY COUNCIL’S
AFFORDABLE HOUSING GOAL 2022-2026
GOAL OF 500 AFFORDABLE HOUSING UNITS
WITHIN THE NEXT FIVE YEARS.
Approximately 50% of this goal will be achieved without new development.
Category Action Item Units within 5 Years
Development Neutral Replace Expiring Deed Restrictions with
Permanent Deed Restrictions 200
New Development Complete Lumberyard Project 100
New Development Complete Burlingame Phase 3 Project 79
New Development Partnerships 35
Development Neutral APCHA Incentivize voluntary rightsizing or
voluntary buyout 30
Policy Certificates of Affordable Housing
Program Enhancements 40
Compliance &
Sustainability APCHA Compliance Actions 15
The average of City Council member goal numbers by tactic totaled 499.
That number was rounded up to establish the affordable housing goal:
GOAL OF 500 AFFORDABLE HOUSING UNITS WITHIN THE NEXT FIVE YEARS.
Approximately half of the goal will be achieved without new development.
ACTION PLAN
DECISION MATRIX
Ajax Apartments
Weight on a scale from 1 to 5, where 5 is high 5 3 4 4 5
Category Action Item
Development Neutral Replace Expiring Deed Restrictions with
Permanent Deed Restrictions 4 5 4 5 5 23 96 1
New Development Complete Lumberyard Project 5 4 3 4 3 19 80 2
New Development Complete Burlingame Phase 3 Project 4 3 2 4 5 18 78 3
Policy Community Development Policy Actions 3 4 5 5 2 19 77 4
Policy Certificates of Affordable Housing
Program Enhancements 3 4 5 5 2 19 77 5
Policy Develop Financial Resources for Construction,
Expiring Deed Restrictions & Land Banking 3 4 5 5 2 19 77 6
Development Neutral APCHA Incentivized voluntary
rightsizing or voluntary buyout 3 5 4 5 2 19 76 7
New Development Partnerships 2 4 4 5 3 18 73 8
Compliance & Sustainability APCHA Compliance Actions 1 4 5 5 2 17 67 9
Policy APCHA Policy Actions to increase
number of available units 1 4 5 5 1 16 62 10
Compliance & Sustainability APCHA Policy Actions to improve the
sustainability housing inventory 1 4 5 5 1 16 62 11
Development Neutral Additional Development Neutral Program Elements 3 4 1 5 2 15 61 12
New Development Land Banking 5 2 1 5 1 14 60 13
New Development Regional Collaboration 2 1 3 4 2 12 51 14Quantity of Affordable Housing UnitsProximity to Services Lower Cost: Most efficient use of land & dollarsSupports AACPHow quickly AF units will be realizedRaw ScoreWeighted Score Rank51
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ACTION:
Complete Lumberyard Project
ACTION ITEM OWNERS
Scott Miller & Chris Everson
OVERVIEW
The City of Aspen’s Lumberyard affordable housing project site is located just south
of the Aspen airport business center on the east side of Colorado state highway 82.
The City anticipated the development of affordable housing in the area of the current
project site and purchased part of the site in 2007. Later in 2020, the City purchased
the 3-acre Aspen Mini Storage property, bringing the total project site area to about
10.5 acres.
In 2019, Aspen City Council directed the start of a community outreach and conceptual
design process which included a process of community engagement and feedback
to help inform the design process. The 2019 outreach and conceptual design effort
helped to establish that the City should provide a variety of unit types, serving a mix
of demographics, and that the site is appropriate for larger buildings and potentially
higher density than may be appropriate elsewhere. Since parking is challenging at the
airport business center, there was a sentiment that the development should be careful
not to make the parking challenge worse by under-parking any development at the
Lumberyard site. It was also decided that childcare is needed in the community and may
be appropriate at this site
The conceptual design effort studied unit counts ranging from 140 units up to 500+
units, and given the affordable housing crisis in Aspen, City Council set their aim at 310
units of affordable housing to be designed for the site. In order to accommodate the
higher-than-usual density for the site, and to mitigate the impacts of the development
to create a livable neighborhood, it was necessary to explore the use of underground
parking and 4-story building massing. In late 2020, the project team presented a
conceptual master plan with 310 units and 100% underground parking.
Prior to beginning a schematic design process, Aspen City Council had concerns
about impacts of 100% underground parking, building spacing, height, orientation and
highway and airport noise. These concerns and much more are currently being reviewed
through a process of community engagement and City Council feedback, with Aspen
City Council weighing in on the evaluation of four potential site arrangements.
The project aims to create 200+ rental units and 100+ ownership units for the purpose
of housing local community workforce, qualified based on the Aspen Pitkin County
Housing Authority regulations.
To be successful, the project effort will bring together necessary funding to begin
construction of access and infrastructure at the project site in 2024, with phases
of housing development to follow thereafter. With the continued schematic design
process ongoing, a development application is anticipated in mid-2022 and the land use
approval process will be pursued at that time.
In early April 2022, the Aspen City Council decided to make the Lumberyard a more
livable community by reducing the unit number to 266, however that rightsizing will only
reduce the bedroom count by twelve.
ESTIMATED TIMELINE
2022:
Complete Schematic Design, Submit
Development Application for Approval
Process
2023:
PD Recording, Construction Documents,
Building Permit Application Process
2024:
Target for Access & Infrastructure
Construction Start
2025:
Target for First Phase of Housing
Construction to Start
2027:
Target for Occupancy of First Phase of
Affordable Housing
2028+:
Remaining Phases of Housing
Construction and Occupancy TBD
HOW THIS ACTION
INCREASES THE NUMBER
The Lumberyard Project is anticipated to yield
approximately 310 affordable housing units
CONNECTION TO AACP
The creation of affordable housing in the Aspen
area reduces pressures on the valley-wide
transportation system by providing housing
opportunities for local workforce nearer to where
they work and reduces the amount of time spent
commuting for workforce, significantly improving
quality of life. This effort similarly reduces air
quality impacts associated by reducing total
commuter miles.
New Development
ACTION:
Replace Expiring Deed Restrictions
with Permanent Deed Restrictions
ACTION ITEM OWNERS
Scott Miller, Chris Everson, Pete Strecker, Matthew Gillen
OVERVIEW
There are hundreds of deed restrictions with a sunset clause based on some
triggering event in the future. When those deed restrictions expire, they will be
gone forever. The goal should be to preserve the deed restriction permanently
and provide for the preservation of the integrity of the housing unit associated
with that deed restriction.
After identifying all known expiring deed restrictions, several tools for
preservation of those deed restrictions should be identified and the pros and
cons of each one explored.
Those tools include:
• Purchase the deed restriction and re-write the terms.
• Negotiate a trade with the owner of that deed restriction for
something of value.
• Enforce existing land use code, requiring replacement of
some deed restrictions.
• Legislate new land use code, requiring replacement of
some or all deed restrictions.
• Council and staff then need to actively pursue a strategy for
implementing these tools on an as-needed basis as
opportunities present themselves.
ESTIMATED TIMELINE
Spring 2022:
Update the inventory expiring deed
restrictions.
Summer 2022:
Council worksession to discuss recent
attempts to preserve deed restrictions
& explore the list of possible tools.
Summer 2022:
Include the identified tools into the
Housing Strategic Plan.
Fall/Winter 2022:
Land Use Code (LUC) updates, in
coordination with other potential
amendments to the LUC. There is a
high likelihood that other actions will be
necessary beyond changes to LUC.
HOW THIS ACTION
INCREASES THE NUMBER
By preserving existing deed-restriction now, no
ground will be lost. We will not need to replace
these units with new units simply to get back to the
status quo.
CONNECTION TO AACP
The AACP states that “The provision of affordable
housing remains important” but, “we cannot build
our way out of this challenge.” Preserving existing
deed-restricted housing stock eliminates the need
for entitling and building new deed-restricted
housing on a one-to-one ratio. To the extent that
this can be accomplished, this saves the community
development dollars and the environmental
impacts of construction.
Development Neutral
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22
Community Development works continually to better coordinate the AACP and the
LUC in the creation of affordable housing development opportunities. During the 2022
Moratorium, staff will work directly on several affordable housing- related improvements
to the LUC. The overview below identifies potential policy changes to be evaluated and
proposed during the Moratorium and beyond.
Additionally, Community Development and APCHA will work collaboratively on a number
of these items.
OVERVIEW
• The Land Use Code (LUC) is the mechanism for exacting housing mitigation (units,
fees, credits) from residential, lodge, and commercial development activities. In the
GMQS standards, the creation of FTEs from development activities is the basis for
the system of private sector affordable housing (AH) development.
• There are numerous tools available to ComDev to alter the regulatory, development,
and finance landscape to deliver additional affordable housing to the community,
including:
• Alter zoning standards to permit more density, intensity, and available land for
AH development within the City Limits.
• Create an AH overlay zone over appropriate zone districts that allows for AH
development where applied and with specific standards.
• Increase employee generation and mitigation amounts to require more AH
from private development.
• Require or incentivize on-site AH development for certain project
and use types.
• Restructure the GMQS to decouple AH FTE generation, unit creation, and fee
extraction from development. Assess a fee or tax or certain uses to generate
revenue for AH development, buy-down programs, land acquisition, and AH
development subsidies.
• Alter development review processes to streamline AH development reviews
that meet specific standards.
• Revise development fees to lower costs to AH development.
• Create an impact fee for certain uses or development types which creates a
revenue stream to offer financial subsidies for private sector AH development.
• Affordable Housing by Right in Every Zone
• In addition to the LUC, the AACP is another key tool for encouraging more AH
development over time. The next AACP update could include the following to ensure
more AH is developed:
• Identify, annex (as necessary), and zone specific lands within the UGB for AH
development.
• Tie utilities extension policies outside the City Limits and existing service area
to AH development standards.
• Create policies for the UGB which preclude development of lands within the
UGB for uses other than or prioritizing AH.
• Create policies tying transit MMLOS and transportation network service
extensions to AH development standards.
• Create policies identifying lands in the UGB for AH-focused TOD
developments.
• Adopt clearly articulated land banking policies targeting specific properties in
the UGB appropriate for acquisition and AH development.
ACTION:
Summary of Community Development Policy
Recommendations
ACTION ITEM OWNERS
Phillip Supino & Ben Anderson
ESTIMATED TIMELINE
Once work on the moratorium is
complete, Community Development
staff will revisit this Action Item to
provide a more robust plan.
HOW THIS ACTION
INCREASES THE NUMBER
By ensuring the City’s regulations, policies, and
development and impact fees extract AH units
and revenue commensurate with the employment
generation and community housing impacts.
Further, by leveraging regulatory processes and
police powers to ensure the community gets the
development needed to achieve adopted City
policy.
CONNECTION TO AACP
The following AACP statements (among others)
support this action item.
I.1. Achieve sustainable growth practices to
ensure the long-term viability and stability of our
community and diverse visitor-based economy.
VII.1. Study and quantify all impacts that are
directly related to all types of development.
VII.2. Ensure that all new development and
redevelopment mitigates all reasonable, directly
related impacts.
VIII.1. Restore public confidence in the
development process.
VIII.2. Create certainty in zoning and the land
use process.
II.5. Redefine and improve our buy-down policy
of re-using existing housing inventory.
III.2. Promote broader support and involvement
in the creation of non-mitigation Affordable
housing, including public-private partnerships.
IV.2. All affordable housing must be located
within the Urban Growth Boundary.
IV.3. On-site housing mitigation is preferred.
IV.5. The design of new affordable housing
should optimize density while demonstrating
compatibility with the massing, scale, and
character of the neighborhood.
Policy
ACTION:
Complete Burlingame Phase 3
ACTION ITEM OWNERS
Scott Miller & Chris Everson
OVERVIEW
Two prior phases have been completed, with a total of 177 affordable units at Burlingame
Ranch. This thriving neighborhood is home to a diverse working population including
many families and children. The third phase of building is currently in process as
of March 2021. The current construction effort will create 79 additional affordable
condominium units in 8 buildings, along with associated landscape and infrastructure.
There are also two remaining single-family units to be constructed before the
subdivision is complete.
The current construction effort utilizes factory-built modular building construction
to shorten the construction timeline and to minimize on-site construction impacts to
the surrounding neighborhood. Foundations are constructed on the site, and modular
buildings are trucked in, lifted and carefully placed, and assembled to completion on the
site. Site retaining, roadway infrastructure, and landscape work is also part of the effort.
The Burlingame Ranch Phase 3 project effort will deliver 79 new affordable ownership
condominiums to Aspen and Pitkin County’s inventory of affordable housing, and sales
are expected to begin September 2022. The architectural character, unit sizes and
interior configurations are consistent with the previous phase
Phase 3 includes carport structures which allow each unit to have one assigned, covered
carport parking space with attached storage closet. There will also be an equal number
of uncovered surface parking spaces to reach an overall parking capacity of 2 parking
spaces per unit. Terms of use for all parking spaces is expected to be governed by the
new phase 3 condominium homeowner’s association, which will be set up in the same
manner as the two existing condominium associations which exist at Burlingame Ranch
already.
Adjacent to public parks and Open Space, the landscape for phase 3 will be integrated
with the prior phases and includes numerous open lawn areas, hundreds of trees and
shrubs, and walkway connections to create a highly accessible community. Those internal
walkway connections are also integrated into the larger trail connection plan, and the
facility will utilize an irrigation system equipped with a raw water source to avoid the use
of potable water for the purpose of watering.
The phase 3 residential program consists of approximately 84,000 square feet of livable
area within a total of 79 condominium units. The condominium units are a mix of flats
and multi-level townhomes with (25) 1-bedroom flat units, (12) 2-bedroom flat units, (5)
2-bedroom townhome units, (23) 3-bedroom flat units, and (14) 3-bedroom townhome
units.
Unit sales for these 79 new affordable homeownership units beginning September
2022 are anticipated to be facilitated by the Aspen / Pitkin County Housing Authority
(APCHA) and are expected to be done via a lottery process. The income levels to be
served by these units is expected to be APCHA income categories 2 through 5, although
the specific details of the number of units in each category and further details of the
sales process will be more closely defined throughout the remainder of 2021 and in the
coming months.
ESTIMATED TIMELINE
Burlingame Phase 3 units
scheduled for sale fall 2022.
HOW THIS ACTION
INCREASES THE NUMBER
Burlingame Phase 3 will result in 79 new ownership
units.
CONNECTION TO AACP
The first phase of Burlingame Ranch affordable
housing was built in 2006.
While land banking is not specifically called out
in the AACP as a strategy, the primary outcome
of the 2007 Housing Summit was to encourage
additional “land banking,” which ultimately resulted
in the purchase of the BMC West property, a
parcel at 488 Castle Creek Road and others.
The 2008 Affordable Housing Plan evaluated
15 potential sites for affordable housing units,
identifying a range of up to 685 possible housing
units.”
New Development
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2022-2026 — Affordable Housing Strategic Plan
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OVERVIEW
The current cost to develop an affordable housing unit in Aspen is approximately $1
million. Having the right portfolio of funding sources and funding partners is critical
to gain affordable housing units through development neutral means as well as new
development.
Taxes
• Current tax collections dedicated to affordable housing (1.0% RETT and 45%
of 0.45% sales tax) sunset 12/31/2040 (Resolution #81, 2008).
• Sales tax collections have been relatively stable, with annual escalation of
about 4-5% per year. RETT collections are extremely volatile & after the recent
two years of record transaction and price appreciation, it is anticipated that
there will be softness in the coming year(s) that will affect collections.
Debt Obligation
Types of debt issuances possible depend on project:
• General Obligation debt – full faith and credit of the City would back this
issuance, but then would require voter approval. Will ensure best borrowing
rate possible. This could allow for an ownership type product to be produced
and sold, and would allow for some immediate payback into the fund when
units are sold.
• Tax Revenue Bonds – This would again require voter approval and would be
limited in the size of the issuance to the pledged resources (tax collections
generated by the sales or RETT taxes) to meet annual repayment terms. Best
leveraged in conjunction with extension of existing taxes noted above, to
maximize the duration for the payback term.
• Certificates of Participation (COPs) can be issued if willing to pledge a city-
owned asset of equal value (either can be the project itself or another asset(s))
– if it were the project, it would then mean the project would be rental units.
This would likely yield a borrowing rate that is one notch below the best rate
the City could achieve under a General Obligation type issuance.
• Does not create new resources but rather just changes the availability of
resources to achieve goals sooner (pledges future resources today and
therefore not available in the future)
• Debt is best for creating or acquiring new assets. It is not as good an option for
preservation of deed restrictions (but is possible).
Establishment of New Sources
• Exploration of new fees to supplement existing tax revenues and other
affordable housing mitigation collections (also under review).
• Collaborate with other jurisdictions to further a regional tax to support greater
housing preservation and development.
ACTION:
Develop Financial Resources for New Construction,
Expiring Deed Restrictions & Land Banking
ACTION ITEM OWNER
Pete Strecker
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
Specifics around any projects are needed to
best match debt issuance options for the desired
outcomes and to maximize the City’s credit rating
wherever possible. Until this is developed, any
debt issuance discussion is premature.
New fee creation will be explored during
the current land use moratorium period and
options will be brought forward to Council for
consideration.
CONNECTION TO AACP
Financing is a required component of any new
affordable housing acquisition or development.
Tax extensions and voter approval for debt
issuance authority are subject to regular
election cycles and would need to be
coordinated with that in mind, plus any
voter outreach effort prior to those voting
periods.
Fees can be adopted at any time, via the
City ordinance process. This will require
two readings and public review period.
Policy
OVERVIEW
The AH Certificates program is more than a decade old. The program has included
new projects, conversions of freemarket units to deed-restricted, and the use of
historically designated properties – all completed by developers in the private
sector. Other than the land use reviews, the City of Aspen did not have to expend
any resources in the development of these units. The FTEs generated by a project
are typically determined by the number of bedrooms in each unit in the project.
Categories of the units are assigned in the deed-restrictions. For the completed
projects, all have been created in Categories 2, 3, and 4. There have been 109
FTEs generated by completed projects to date, with another 43 – either with Land
Use approval or in Land Use Review.
A number of program enhancements have been identified as necessary to improve
program effectiveness, respond to market dynamics, ease program administration,
and ensure the maximization of the benefits to the community and developers
provided by the program. Those program enhancements include:
• permitting program participants to leverage outside tax benefits and
financing to develop AH units for credits;
• aligning the value of a credit with the real-world occupancy of an AH unit;
• ensuring alignment between the value of a credit and the cost to build an
AH unit;
• offering City financial incentives to credits developers to lower barriers to
credits projects;
• improved tracking of credit market dynamics including sale price and
supply and demand.
• Evaluate the potential for the City to purchase credits.
More detailed program analysis is needed to determine the full list of possible
program enhancements which could include queue priority for building permit
reviews as the potential for developer assistance or partnering. As it is included
in the Land Use Code, the normal LUC
amendment process is required to alter the
program.
Since its inception, the AH Certificates
program has succeeded in motivating private
sector development of non-mitigation
AH units. The credits created by those
developments has provided flexibility
to private sector development to meet
its mitigation requirements through the
extinguishment of those credits. This
symbiotic relationship has provided benefits
to both sides of the credits equation.
However, analysis is needed to determine if
the credits program has resulted in more AH
units that would have been required of the
same private sector development activities
over the same period of time.
ACTION:
Certificates of Affordable Housing Program Enhancements
ACTION ITEM OWNERS
Phillip Supino & Ben Anderson
ESTIMATED TIMELINE
2022-2023:
program analysis, stakeholder outreach,
ordinance development, Council action
HOW THIS ACTION
INCREASES THE NUMBER
Maximizing the effectiveness of the program will
incentivize private sector AH developers to build
new units, or convert free-market into deed-
restricted affordable units.
CONNECTION TO AACP
The following AACP statements (among others)
support this action item.
I.1. Achieve sustainable growth practices to
ensure the long-term viability and stability of our
community and diverse visitor-based economy.
I.5. Through good land use planning and sound
decision-making, ensure that the ultimate
population density of the Aspen Area does not
degrade the quality of life for residents and the
enjoyment of visitors.
V.2. Facilitate the sustainability of essential
businesses that provide basic community needs.
VII.2. Ensure that all new development and
redevelopment mitigates all reasonable, directly
related impacts.
II.1. The housing inventory should bolster our
socioeconomic diversity.
II.2. Affordable housing should be prepared for
the growing number of retiring Aspenites.
III.2. Promote broader support and involvement
in the creation of non-mitigation Affordable
housing, including public-private partnerships
TABLE 7. AH CERTIFICATES
PROJECTS SINCE 2012
Completed Projects FTEs Generated
301 W. Hyman 14
313/317 AABC 24
210 W. Main 18
518 W. Main 29.66
834 W. Hallam 18.75
815 Vine 3
829 W. Bleeker 1.25
TOTAL 109 FTEs
Projects with approval
or in review
FTEs Proposed
611 W. Main 15.9
1020 E. Cooper 14.1
1235 E. Cooper 12.7
TOTAL 42.7 FTEs
Policy
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ACTION:
Partnerships
ACTION ITEM OWNERS
Chris Everson & Scott Miller
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
Under the right conditions, partnerships
can increase the pace of affordable housing
development or redevelopment.
CONNECTION TO AACP
2012 AACP appendix
III.2 Promote broader support and involvement
in the creation of non-mitigation Affordable
housing, including public-private partnerships.
(Collaborative Initiative, Incentive Program)
II.2.a Establish a working group of people who
represent the City, County, public agencies,
and the private sector to implement the policy.
Explore models of producing affordable housing
units, including quasi-public housing development
corporations. (I - APCHA, Housing Frontiers,
City and County Managers, private sector, taxing
districts)
II.2.b Explore the creation of a program where
the City or County would provide a tax benefit,
payment or life-estate planning or other financial
incentive to a free-market homeowner to include
their property in the City/County’s land banking
for future affordable housing. (I - City Manager,
County Manager)
II.2.c Explore creating a program for deed
restrictions for a defined duration. (I - APCHA)
II.2.d Explore the benefits of expediting specific
affordable housing projects through the
development and construction phase.
OVERVIEW
Partnerships for Affordable Housing typically fall into three categories, (1) between
one or more governmental jurisdictions, (2) between a government and a non-profit,
and (3) between a government and private sector organizations.
The most common type of partnerships between one or more governmental
jurisdictions involves a city partnering with other cities to create an entity similar
to a housing authority. Some housing authorities have taxing authority, others do
not (APCHA). Local governments frequently form partnerships with non-profit
organizations to operate a housing program or manage a public housing project.
Sometimes the non-profit organization is eligible for grants that a governmental
jurisdiction is not. Non-profits also appeal to philanthropic organizations and
individuals who can claim tax deductions for making contributions.
Public–private partnerships (P3s or PPPs) often involve agreements among one or
more government entities and one or more private sector companies to design,
build, finance, operate, and/or maintain projects, facilities or operations which may be
funded and operated through a partnership of government and one or more private
sector companies. PPPs can be effective, but also bring challenges such as land cost,
funding, connections to the free market, expiring deed restrictions, and misalignment
of values.
Agreements to design, build, operate and maintain can be complex and can be effort-
intense to put in place and may incur significant legal fees due to the need to hire
attorneys to write complex, binding legal agreements which include arrangements
and terms that require certain obligations and guarantee and secure the cash flows
and involve outside funding mechanisms as well as management terms.
But PPPs can bring some benefits to the development process. Project risks can
be transferred to private partners, and greater price and schedule certainty can be
achieved. There can be opportunity for innovative design and construction techniques,
and public funds can be freed up for other projects or purposes. These potential
benefits come with limitations such as increased financing costs, limited flexibility and
often few bidders to partner with on such projects.
The amount of effort and/or risk taken on by a government or quasi-government entity
may be modified by including more or less of a role in the service or facility being
created. A PPP may be created so that the government or private sector partners
take on more or less of the work to create the service or facility sought.
Risks and/or activities transferred in PPP Agreements may include design,
construction, financing, operations, maintenance and may even include reversionary
rights. Financing risks may include financing costs, inflation, design/construction risks,
unforeseen project site conditions, permitting, and more. Operation and maintenance
risks may include facility maintenance and operations, future unforeseen conditions,
underutilization of assets, rent risks, and more.
In considering where to place itself on the spectrum, public agencies need to consider
questions about benefits of private sector innovation, benefits to accessing private
financing, private-sector performance incentives, and other private-sector tools which
public agencies may have difficulty managing.
New Development
No specific timeline can be
established for partnerships
at this point.
ACTION:
Incentivize voluntary rightsizing to recapture & utilize
unused bedrooms in the existing inventory
ACTION ITEM OWNERS
Chris Everson & Matthew Gillen
OVERVIEW
There are potentially 400+ underutilized bedrooms within the existing inventory.
Subsidies for the creation of each new bedroom can be some $150,000+ per
bedroom for new development. If incentives can be provided for owners/tenants
with unused bedrooms to move to a smaller unit and free up the unused bedrooms
so that they may be utilized to house people, and if this can be done at a lower cost
than developing new bedrooms, then this can save resources such as development
dollars, staff time and the environmental impact of construction.
Actions/tools needed may include:
• Incentive calculation which multiplies the fee in lieu at the category of the
bedroom being traded in by the number of FTE slots being freed up and
adjusting for depreciation. The amount of the incentive should be less than
the subsidy of developing a new bedroom.
• The household which is rightsizing may apply their incentive, which is
provided from the 150 Fund, to the purchase or rental of an existing or new
unit, when available, and will receive lottery priority to do so.
• Research and inventory specific units with vacant bedrooms and
communicate incentive to owners/tenants
Draft policy for implementation may include:
• Allow priority in lottery for re-location of target households, target
households should be able to use their priority to move to an existing or
new smaller unit as those come available.
• Implement policy with approval from APCHA board and City Council (for
use of 150 funds)
• Prepare incentive offers and agreements, target specific households for
solicitation of incentive
• Possibly of offering the rightsizing household the ability to qualify using
their original category or current category, whichever is lower
• Evaluate the potential use of the Affordable Housing Certificates program
ESTIMATED TIMELINE
Spring/Summer 2022:
Research and inventory specific units
with unutilized bedrooms
Spring/Summer 2022:
Draft policy for implementation - Include
incentive calculation methodology
and priority in lottery for re-sales and
available rentals for re-location of
target households, target households
should be able to utilize their rightsizing
incentive for a move to an available
existing (smaller) unit or a newly
developed (smaller) unit as those come
available
Summer/Fall 2022:
Discussions with APCHA Board &
Aspen City Council
Winter 2022/2023:
Implement policy with approval from
APCHA board and City Council (for use
of 150 funds)
Winter/Spring 2023:
Prepare incentive offers and target
those specific households for solicitation
of incentive
HOW THIS ACTION
INCREASES THE NUMBER
By incentivizing rightsizing to recapture and utilize
unused bedrooms in the existing inventory, we can
maximize the utilization of the existing housing
stock.
CONNECTION TO AACP
The AACP states, “Deed-restricted housing
units should be utilized to the maximum degree
possible.” For every unused bedroom that
can be recaptured and utilized, this saves the
community development dollars, staff time and the
environmental impact of construction.
Development Neutral
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OVERVIEW
APCHA has a responsibility to maximize value to the community and efficiency
and impact of APCHA housing. A simple measure of that impact is ensuring that
APCHA houses the maximum number of individuals possible in the available
housing units. Such a simple measure however, does not take into account
the wishes, goals and needs of APCHA residents, for whose benefit APCHA
properties were constructed. People’s needs and desires change over the years,
thus APCHA must seek voluntary, flexible, incentivized programs to maximize
occupancy in APCHA units.
• Maximum age of Dependent: In November 2021 APCHA lowered the
maximum age of a dependent from 24 to 19 in the employee housing
regulations, to free up space previously used by adult dependents.
• Monitoring “Excess” Units: Through the new HomeTrek system APCHA
can now better monitor and assess unit usage.
• “Buy-Down/Right Sizing”: The APCHA board will examine possible
programs to incentivize people, voluntarily, to move to small units, after, for
example retirement.
• In Complex Bidding: Currently bidders in the same housing complex have
a priority over outside bidders. This policy is an effort to sustain community
ties.
ACTION:
Potential APCHA Policy Actions to
increase number of available units
ACTION ITEM OWNER
Matthew Gillen
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
By providing residents who have outgrown their
properties an incentive – and importantly no
disincentives -- those residents may voluntarily
want to move to another unit.
CONNECTION TO AACP
The plan clearly says: “All deed-restricted housing
units should be utilized to the maximum degree
possible.”
These are ongoing policy actions,
some of which have recently been
implemented – such as the Dependent
Age – and others are still under
development or under consideration
by the APCHA Board.
Policy
OVERVIEW
APCHA has a compliance program to ensure affordable housing units are housing
people who qualify with APCHA’s rules and regulations, as created by APCHA’s
Board of Director. Concurrently, APCHA fully supports keeping qualified people
in their units.
APCHA’s compliance process starts with qualifications. APCHA is continually
seeking to improve performance to ensure that qualified buyers and renters
receive all due consideration during the qualification process, and that unqualified
applicants do not proceed in the process and are clearly and transparently
informed. Similarly, APCHA residents must comply with APCHA regulations,
including but not limited to, residency and work qualifications. It is APCHA’s
responsibility to the Aspen community to resolve noncompliance fairly and swiftly.
• Automated identification of violations: APCHA cross references the list
of all APCHA property with the City’s short term rental database.
• Investigations: While the qualification process is rigorous and requires
income and asset documentation similar to what is required when applying
for a home mortgage, there are rare instances where a renter or owner
has violated the terms of their deed restriction, such as posting their unit
on a Short Term Rental website or putting their APCHA unit into a Trust.
APCHA staff work with an outside attorney to conduct investigations of
possible deed restriction violations.
• Voluntary reporting of violations: “Report a Concern” is a button on
APCHA’s website homepage. This allows members of the community to
notify APCHA of violations. Importantly, it can be difficult for APCHA to
investigate some compliance cases if the reporting individual is anonymous.
• Hearing Officer: APCHA has hired and outside hearing officer to resolve
compliance cases where needed.
• Outreach and Communication: The best way to maintain compliance
is education. APCHA is revamping its communication and outreach
strategies with an emphasis on interactive, accessible forums and
education.
ACTION:
APCHA Compliance Actions
ACTION ITEM OWNER
Matthew Gillen
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
Compliance actions are important because
they ensure that affordable housing units
are being occupied by individuals who meet
the qualifications as outlined in the APCHA
Regulations. Because Compliance is a handled on
a case by case basis and it time intensive, it does
not result in a significant increase in available units.
CONNECTION TO AACP
The plan says, “all deed-restricted housing
units should be utilized to the maximum degree
possible”, which includes ensuring that units are
used by qualified residents.
This is an ongoing effort.
Compliance &
Sustainability
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OVERVIEW
This program has not yet been fully fleshed out. Staff from multiple departments,
including and importantly, Community Development, will need to work on this post
moratorium.
The development neutral program will pursue two different paths. First, policies
and investments will be explored that would lead to the conversion of existing
free-market units into deed-restricted affordable units. Second, the potential of
new streams of revenue form currently unmitigated economic activities and the
high value of real estate will be evaluated.
The revenue would mitigate impacts to the community from real estate
speculation, development, and resulting demands for services. The development
neutral program supports of number of complimentary policies, including
promoting appropriate residential density, re-using and sustaining existing
buildings, mixing free-market and AH units within neighborhoods, and requiring
development to mitigate for its impacts.
Specifically on the topic of “buy-downs”/ purchase of free market property for
the purpose of converting to affordable housing: While past plans have supported
“buy-down” alternatives, there has been little comprehensive effort in this regard.
A “buy-down” program may be an expensive proposition, but this plan calls for
exploring it more thoroughly. The idea is to finally determine if the community is
willing to pay the price for providing long-term affordable housing by converting
existing free market homes, and or affordable housing, rather than building new
homes. This type of program has two significant cost-related challenges:
1. Purchase of free market residential property is typically 1.5X the cost of
developing new residential property, and
2. Converting purchased free market residential property to practical, usable
affordable housing will add additional cost to this effort and could cause
the purchase/conversion process to cost 3X to 4X that of developing new
affordable housing.
It is unlikely that this could be accomplished at any meaningful scale without a 3-
to 5-fold increase to the current affordable housing tax revenues.
ACTION:
Additional Development Neutral Program Elements
ACTION ITEM OWNERS
Phillip Supino &
Pete Strecker
HOW THIS ACTION
INCREASES THE NUMBER
By exacting taxes to generate new revenue, the
City will increase funds available to purchase free
market units to bring into the AH system.
CONNECTION TO AACP
The following AACP statements (among others) support
this action item.
I.1. Achieve sustainable growth practices to ensure the
long-term viability and stability of our community and
diverse visitor-based economy.
I.5. Through good land use planning and sound
decision-making, ensure that the ultimate population
density of the Aspen Area does not degrade the
quality of life for residents and the enjoyment of
visitors.
II.1. The housing inventory should bolster our
socioeconomic diversity.
II.5. Redefine and improve our buy-down policy of re-
using existing housing inventory.
III.2. Promote broader support and involvement in
the creation of non-mitigation Affordable housing,
including public-private partnerships.
IV.2. All affordable housing must be located within the
Urban Growth Boundary.
IV.3. On-site housing mitigation is preferred.
IV.5. The design of new affordable housing should
optimize density while demonstrating compatibility
with the massing, scale, and character of the
neighborhood.
The current buy-down policy permits development with
an AH mitigation requirement to fulfill that requirement
through the purchase and deed-restriction of a free-
market housing unit, adding it to the APCHA system. In
the years since the creation of this policy, free market
housing has increased exponentially in value. Therefore,
individual buy-down units are a far less financially viable
option for development with a mitigation requirement
versus the purchase of AH credits or paying cash-in-lieu.
Simultaneously, the community has seen a significant
decrease in commercial development and, therefore,
the creation of new FTEs requiring housing units as
mitigation. This and other trends have reduced the
prevalence of the development of on-site AH units.
These dynamics have combined to decrease the number
of AH units brought into the system by the private sector,
relying instead on AH credits and City-built projects
to deliver the bulk of new AH units in recent years. It
has also increased the rate of population decline in
residential neighborhoods, undermining city policies
related to a healthy lived-in community, a diversity of
housing types and occupants in neighborhoods, and the
maximum utilization of residential housing units in town.
ESTIMATED TIMELINE
2022: City Council discussion, economic
analysis, case studies and legal analysis,
legislative development
2023: legislative process, TABOR vote
Ongoing: program development and
management
Development Neutral
OVERVIEW
With affordable housing in the Aspen area in such short supply, APCHA has a
responsibility to obtain maximum impact and value from existing APCHA housing
stock, while also protecting residents’ rights and benefit under APCHA regulations.
Part of this effort is maintaining the sustainability and lifespan of APCHA housing
stock. Each APCHA housing unit that has lifespan extended reduces the need for
a new unit.
Owners of APCHA deed-restricted housing units are responsible for upkeep
and maintenance of their homes, but, unlike the free-market housing cannot
recoup the full value (generally restricted to 10 percent), of home improvements
upon sale. Coupled with the fact that, due to the scarcity of housing in the Valley,
sellers find buyers willing to buy less than adequately maintained homes, there are
disincentives for APCHA deed-restricted homeowners to invest and maintain their
homes. Further, some APCHA units, such as mobile homes have a limited lifespan,
and must be periodically replaced.
Some of these actions may require public money for implementation.
Actions:
• Home Inspection Program prior to Resale: APCHA has difficult role while
facilitating the sale of APCHA deed-restricted units, representing both the
seller (and preserving equity gained during the home’s ownership period),
and the buyer (ensuring the home is in acceptable or good condition to buy).
In January 2022, APCHA fully implemented a home inspection program to
improve transparency as buyers and sellers negotiate.
• Mobile Home Pilot Program: APCHA is exploring a pilot program to assist
owners of mobile homes in replacing their homes.
• Sellers Standards/Capital Repairs: APCHA will continue to monitor
and seek ways to maintain the standard of units sold by APCHA owners,
balanced with the equity of the seller.
• Additional Ten Percent Capital Improvement Cap: The APCHA Board
recently voted to allow homeowners to update their deed restriction to
receive an additional ten percent capital improvement allowance to support
the maintenance of homes. This updated deed restriction also allows for
capital improvements above the ten percent cap for approved energy and
water efficiency and life/safety improvements.
• Encourage HOAs to Prepare Capital Reserve Studies: Homeowner
associations should be aware of their potential needs for capital improvement.
APCHA will be looking at the issue of HOA Capital Reserves in the future.
• Hire Contract Grant Writer: APCHA has funding and will hire a grant
writer for funding sources to support individuals who want to make repairs
to their APCHA Deed Restricted Property
ACTION:
APCHA Policy Actions to improve the sustainability of
the APCHA deed restricted housing
ACTION ITEM OWNERS
Matthew Gillen & Diane Foster
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
Maintaining existing housing units is minimizes the
need to replace or perform extensive repairs on
units.
CONNECTION TO AACP
The Aspen Area Community plan calls for
deed-restricted housing units to “be used
and maintained for as long as possible, while
considering functionality and obsolescence.”
These are ongoing policy actions,
some of which have recently been
implemented – such as the Home
Inspection Program – and others are
still under development or under
consideration by the APCHA Board.
Compliance &
Sustainability
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OVERVIEW
At the direction of the City Manager, City and APCHA staff have been active
participants in the Roaring Fork Valley Roadmap process, facilitated by Pitkin
County. The group has embraced the concept of collaboratively address the topic
of workforce sustainability. In October approximated fifty stakeholders participated
in a series of focus groups that included representatives from Roaring Fork Valley
nonprofits, local governments and agencies and the private sector. This group
recommended a specific focus on a regional affordable housing project, there was
also strong support for addressing issues related to diversity, equity and inclusion
as well as mental wellness.
While this project is still in its early stages, there has been active and consistent
participation from all of the Roaring Fork Valley local government staff, along with
DOLA staff. The collective and overwhelming consensus of stakeholders that more
affordable housing is needed in the Valley aligns well with City Council’s critical goal
of increasing the number of affordable housing units.
Concurrently, the Roaring Fork Roadmap team has been in discussions with a
Housing Coalition group that initiated discussions about forming some type of more
formal regional housing group. While that group had a temporary hiatus during the
early part of the pandemic, the group has been meeting again to develop a plan for
better regional collaboration around affordable housing.
These two groups have discussed how working together and in collaboration with
DOLA could yield results. Staff will keep Council updated as this project moves
forward.
In February and March 2022 the Aspen City Council, along with a number of other
local governments in the Roaring Fork Valley, adopted an MOU in support of the
creation of a Regional Housing Non-Profit. It is likely local governments from the
Colorado River Basin will also join this effort
Unrelated to the item above, during the December 2021 City Council Housing
Retreat, the City Council expressed support for Pitkin County considering a county-
wide tax to support affordable housing. The City Council has not taken, nor have
they been asked for a formal position on this topic.
ACTION:
Regional Collaboration
ACTION ITEM OWNER
Diane Foster
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
Affordable housing is an issue facing all
communities in the Roaring Fork Valley and
beyond. Where state and federal funding for
affordable housing will likely be available, a
regional effort is more likely to be successful than
individual localities seeking funding.
CONNECTION TO AACP
While the AACP encourages partnerships, the
AACP is generally silent on regional collaboration
Staff will provide City Council an
update on progress later in 2022
New Development
OVERVIEW
By definition, land banking is the process of acquiring and holding land for future
development, re-development, or land trade.
Success requires cohesive partnerships among a variety of stakeholders, funding
partners, and all levels of government, as well as confidentially. As land is a finite
resource, acquiring sites for future use as affordable housing preserves future
opportunities for the City to act typically in partnership with a private contractor.
The investment in the land can serve as a way to secure more financing options
and at more favorable terms. Land banking positions the City to take advantage of
favorable market conditions.
One of the challenges inherent in land banking is that it takes money away from
today’s projects. Nonetheless, land banking can offer a significant benefit to future
development, in the land costs are nearly always lower now than in the future.
Due to the nature of property acquisition in the public sector, specific properties
cannot be mentioned. Infill development alone cannot address mounting
affordable housing demands. City Council’s policy direction regarding land
acquisition is to consider any and all acquisitions, including partnerships.
Actions:
1. Continue to seek appropriate land for land-banking.
2. Consider an incentive program for sellers ??? Dedicate housing to family
name, other family incentives of value? Consider a tongue in cheek “cash
for homes” marketing effort, which would probably make national news.
3. Consider creating or enabling fast-track for Council approval of potential
contract to buy when needed. For example, 1.22 acres at 688 Spruce
Street was purchased by a private buyer before staff could bring it to
Council’s attention. Land purchase price was in range of other City
projects, ended up a missed opportunity for potentially around 20 new
units.
4. Consider purchase of parcels discussed with Council in executive session.
Consider a means of public discussion for potential conversion of other
City assets.
5. AACP Appendix
III.2.b Explore the creation of a program where the City or County would
provide a tax benefit, payment or life-estate planning or other financial
incentive to a free-market homeowner to include their property in
the City/County’s land banking for future affordable housing. (I - City
Manager, County Manager)
ACTION:
Land Banking
ACTION ITEM OWNERS
Scott Miller & Chris Everson
ESTIMATED TIMELINE
HOW THIS ACTION
INCREASES THE NUMBER
The availability of additional land creates more
housing opportunities, quantifying the number
is very difficult. The increase of AH units is
dependent on several factors: zoning, mass and
scale, NIMBYism, the useful amenities available
to the community, good design, incorporation of
smart growth principles.
CONNECTION TO AACP
The AACP provides guidance with respect to:
• Continuation of the Aspen Idea
• Environmental Stewardship
• Sustainable development
• Emphasis on quality and livability
• Addresses Housing and Daycare needs
While land banking must be an ongoing
action item, the benefits of land banking
actions are not realized until the future.
New Development
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An outcome of the July 2021 City Council Retreat, City Council adopted three Critical Goals in August 2021.
The Housing Critical Goal reads as follows:
Increase number of Affordable Housing Units: In order to deliver an affordable housing
system that is high quality, sustainable, and results in a lived-in community, Council will continue
to evaluate, identify opportunities, plan, partner, facilitate, and leverage existing and new
resources to invest in the development and maintenance of affordable housing.
This will be accomplished through:
• Convening a City Housing Retreat;
• Creating an affordable housing strategic plan;
• Completing Council directed affordable housing development projects;
• Continuing to seek additional affordable housing development opportunities;
• Leveraging and amending regulations and policies in support of affordable housing; and
• Supporting continuous improvement with the APCHA program, including ensuring adequate resources.
Since August 2021 Council has been presented with updates to the Housing Critical Goal and specific actions to further
that goal on a regular basis at Regular Meetings where Council has approved policy, work sessions to provide staff
direction on various affordable housing projects and program and through Information Only Memos.
The three departments primarily responsible for delivering on the Housing Critical Goal – the Capital Asset Department,
Community Development and Housing/APCHA – have all already scheduled appearances before City Council and
Information Only Memos for the entire 2022 calendar year. Rather than a wholesale review of this Housing Strategic Plan,
this Plan is a living document whose contents will be updated throughout the year.
That being said, staff does plan to do an annual review of overall progress and make whatever modifications are necessary
to the plan at that time.
REVIEW PROCESS
In any strategic plan that contains action items, it is also important to identify what action will not be pursued. Below
is a list of action we will not undertake at this point due to one or more of the following reasons
• Council asked staff NOT to pursue this strategy; and/or
• Lower chance of success than other strategies
These items could be pursued at a later date should Council’s policy direction change or is market conditions
change.
• Encourage new free market development in order to receive required affordable housing mitigation results
• Vail InDeed Model – Not pursing this model because
• It creates additional RO units; not the Category of units we need the most
• No rental caps
• No appreciation cap
• Buy-Downs: Buying down existing free-market single family residential and converting to affordable housing
is prohibitively expensive, given available resources and compared to the actions which have herein been
prioritized. Even though Buy-Downs are not a prioritized strategy, this does not preclude entertaining offers
such as a below market-rate offer to the City to buy or create a reverse mortgage for a home.
ACTIONS NOT CURRENTLY PRIORITIZED
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2012 Aspen Area Community Plan
HousingHousing
Vision
We believe that a strong and diverse year-round community and a
viable and healthy local workforce are fundamental cornerstones for
the sustainability of the Aspen Area community.
Philosophy
We are committed to providing affordable housing because it supports:
• A stable community that is invested in the present and future of
the Aspen Area.
• A reliable workforce, also resulting in greater economic
sustainability.
• Opportunities for people to live in close proximity to where they
work.
• A reduction in adverse transportation impacts.
• Improved environmental sustainability.
• A reduction in downvalley growth pressures.
• Increased citizen participation in civic affairs, non-profit activities
and recreation programs.
• A better visitor experience, including an appreciation of our
genuine, lights-on community.
• A healthy mix of people, including singles, families and seniors.
Many of the philosophical statements in the 2000 AACP still ring true
today:
“We believe it is important for Aspen to maintain a sense of
opportunity and hope (not a guarantee) for our workforce to
become vested members of the community. ... (We seek) to
preserve and enhance those qualities that has made Aspen a
special place by investing in our most valuable asset – people.”
“Our housing policy should bolster our economic and social
diversity, reinforce variety, and enhance our sense of community
by integrating affordable housing into the fabric of our town. A
healthy social balance includes all income ranges and types of
people. Each project should endeavor to further that mix and to
avoid segregation of economic and social classes ...”
Living in affordable housing is not a right or a guarantee, but a
privilege, carrying with it responsibilities to future generations, such as
long-term maintenance and regulatory compliance.
The creation of affordable housing is the responsibility of our entire
community, not just government. We should continue to explore
methods that spread accountability and responsibility to the private
sector, local taxing districts and others.
We continue to support the following statements from the 1993
and 2000 AACP: “Housing should be compatible with the scale and
character of the community and should emphasize quality construction
and design even if that emphasis increases [initial] costs and lessens
production, [within reason].” At the same time, new construction
should emphasize the use of durable and renewable materials in order
to improve our environmental stewardship.
We should demonstrate our commitment to future generations by
providing educational outreach regarding long-term maintenance
and regulatory compliance by adopting a strategic plan for long-term
maintenance of publicly-owned rental properties, and for handling
“unique” properties, such as those with a sunset on deed restrictions.
APPENDIX A:
HOUSING CHAPTER OF
ASPEN AREA COMMUNITY PLAN
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2012 Aspen Area Community Plan
Housing
What’s New in the 2012 AACP
Linkages
The creation of Affordable housing can help reduce pressures on the
valley-wide transportation system by providing housing opportunities
for our local workforce in the Aspen Area, while reducing air quality
impacts associated with a commuting workforce. Affordable housing
is also critical to a viable economy, and helps to ensure a vital,
demographically diverse year-round community. At the same time,
limited opportunities and funds mean we cannot build our way
out of the housing problem, and we recognize that new affordable
housing includes infrastructure costs ranging from transportation
to government services, schools and other basic needs. Controlling
growth and job generation can reduce the pressure to provide
affordable housing.
Housing
Growth &
Economy
Transportation
Community
Character
The re-use of philosophical language from past community plans is
due largely to the long-term support in the Aspen Area for affordable
housing as a critical tool to maintain a strong year-round community.
Some shifts in policy direction for the 2012 AACP can be attributed to
the long-term growth and maturation of the housing program, bringing
greater awareness of the need for long-term capital reserves and
maintenance for individually-owned and rental properties, as well as
publicly-owned rental properties.
Another difference in the 2012 AACP is the decision not to establish a
specific number of housing units to be developed during the 10-year
life of the plan. This should not be perceived as a wavering of support
for affordable housing units. The plan calls for exploring the potential
of a new housing unit goal, but specific research on this topic was not
conducted as part of this plan.
This plan focuses on the ongoing challenges of establishing and
maintaining a “critical mass” of working residents. The policies outlined
in the Housing chapter and related housing mitigation policies in the
Managing Growth for Community & Economic Sustainability chapter
are intended to meet these challenges as the community continues to
provide affordable housing.
At the same time, the 2012 AACP calls for further research on the
physical limits to development in the form of ultimate build-out,
projected future impacts related to job generation, demographic
trends, the conversion of local free market homes and other factors.
This kind of statistical analysis will help inform future decision-making
and goal-setting in a more meaningful way.
Instead, this plan emphasizes the need to spread accountability
and responsibility for providing affordable housing units beyond
the City and County governmental structures, and continuing to
pursue affordable housing projects on available public land through a
transparent and accountable public process.
While past plans have supported “buy-down” alternatives, there has
been little comprehensive effort in this regard. A “buy-down” program
may be an expensive proposition, but this plan calls for exploring it
more thoroughly. The idea is to finally determine if the community is
willing to pay the price for providing long-term affordable housing by
converting existing free market homes, and or affordable housing,
rather than building new homes.
On the Horizon
As the community continues
to provide affordable housing,
it is important to recognize
and understand future
challenges.
We must continue to track
changes to the Colorado
Common Interest Ownership
Act (CCIOA) and update our
housing policies on a timely
basis.
APCHA should vigorously
promote adoption of CCIOA
by existing associations, and
require new associations to
adopt CCIOA.
Lending practices are
changing, resulting in new and
potentially difficult financing.
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2012 Aspen Area Community Plan
Housing
At the same time, we need a new focus on the issues surrounding
retirement in affordable housing, as we are on the brink of a rising
retiree demographic. In addition, we should continue to provide
housing that accommodates the needs of people with disabilities.
The provision of affordable housing remains important due to several
factors, including the continued conversion of locally-owned homes to
second homes, a trend of a more costly down-valley housing market
and the upcoming trend towards retirement in affordable housing.
With limited vacant land in the Aspen Area and limited public funds, we
cannot build our way out of this challenge.
Our affordable housing program is continually encountering new
crossroads that demand creative thinking, understanding and
thoughtful action.
What’s Changed Since 2000
Since the adoption of the 2000 AACP, a total of 652 new affordable
housing units have been constructed, with another 181 approved but
not yet built. By any measure, these are impressive accomplishments,
but various relevant trends have continued to challenge the goal of
establishing and maintaining a “critical mass” of working residents, as
stated in the 2000 AACP.
While the ratio of local workers living in affordable housing units
increased from 25% to 32% from 2000 to 2008, the ratio of local
workers living in free market homes dropped from 22% to 13%, the
result of continued conversion of locally-owned free market homes to
second homes.
At the same time, the economic boom period of 2004 to 2007 saw a
dramatic increase in the cost of downvalley land and homes, reducing
opportunities for Aspen workers to find free market ownership options
in the valley. While the recession has rolled back prices, this plan must
assume that the economy will experience another period of prosperity
during the life of the plan. In addition, the number of retirees in deed-
restricted housing is estimated to jump from approximately 310 today
to more than 800 in 2021.
The 2007 Housing Summit considered all these factors and more. The
primary outcome of the Summit was to encourage additional “land-
banking,” which ultimately resulted in the purchase of the BMC West
property, a parcel at 488 Castle Creek Road and others. The 2008
Affordable Housing Plan evaluated 15 potential sites for affordable
housing units, identifying a range of up to 685 possible housing units.
Aspen Area Housing
History
In the early 1970’s free-
market housing that had
primarily housed local
employees was being
demolished and redeveloped
as second homes. By
1974, the City and County
began addressing this trend
by establishing separate
affordable housing programs
and 14 years later formed
the joint Aspen/Pitkin County
Housing Authority (APCHA).
APCHA is currently funded
through a City of Aspen sales
tax and a Real Estate Transfer
Tax (RETT).
The State enacted legislation
in 2001 granting Housing
Authorities across the state
specific powers to raise
revenue through sales taxes,
use taxes, an ad valorem
(property) tax, and/or a
development impact fee. To
date, APCHA has not pursued
these revenue sources. The
City of Aspen has a housing
sales tax, and both the City of
Aspen and Pitkin County have
Housing Mitigation fees.
APCHA operates under the 4th
Amended Intergovernmental
Agreement between the
City of Aspen and Pitkin
County. This agreement has
eliminated APCHA’s role as an
active developer of workforce
housing; that role has been
assumed by the City of Aspen.
Currently, APCHA is principally
involved in the qualification,
sales, and enforcement of
the housing program and is
involved in the oversight of
over 2,800 units of deed-
restricted housing. The
APCHA Board of Directors
alone, or in concert with
other entities, suggests new
policy, programmatic changes,
and legislation, or makes
recommendations, as required
by the City, County or State.
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42
2012 Aspen Area Community Plan
Housing
Policy
Categories
Housing Policies
IV. LAND USE & ZONING
IV.1. Affordable housing should be designed for the highest practical
energy efficiency and livability.
IV.2. All affordable housing must be located within the Urban Growth
Boundary.
IV.3. On-site housing mitigation is preferred.
IV.4. Track trends in housing inventory and job generation to better
inform public policy discussions.
IV.5. The design of new affordable housing should optimize density
while demonstrating compatibility with the massing, scale and
character of the neighborhood.
IV.6. The residents of affordable housing and free-market housing
in the same neighborhood should be treated fairly, equally and
consistently with regard to any restrictions or conditions on
development such as parking, pet ownership, etc.
V. HOUSING RULES AND REGULATIONS
V.1. The rules, regulations and penalties of affordable housing should
be clear, understandable and enforceable.
V.2. Ensure effective management of affordable housing assets.
Incentive Program, Proposed
Code Amendment
Proposed Code Amendment
Work Program for Planning
Department & APCHA,
Proposed Amendment
Data Needs
Proposed Code Amendment
Proposed Code Amendment
Work Program for APCHA
Work Program for APCHA
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2012 Aspen Area Community Plan
Housing
Policy
Categories
Collaborative Initiative
Collaborative Initiative, Work
Program for APCHA
Collaborative Initiative, Work
Program for APCHA
Collaborative Initiative
Incentive Program, Proposed
Code Amendment
Housing Policies
I. SUSTAINABILITY AND MAINTENANCE
I.1. Affordable housing should have adequate capital reserves for
major repairs and significant capital projects.
I.2. Deed-restricted housing units should be utilized to the maximum
degree possible.
I.3. Deed-restricted housing units should be used and maintained for
as long as possible, while considering functionality and obsolescence.
I.4. Provide educational opportunities to potential and current
homeowners regarding the rights, obligations and responsibilities of
home ownership.
I.5. Emphasize the use of durable and environmentally responsible
materials, while recognizing the realistic lifecycle of the buildings.
II. PROGRAM IMPROVEMENTS
II.1. The housing inventory should bolster our socioeconomic diversity.
II.2. Affordable housing should be prepared for the growing number of
retiring Aspenites.
II.3. Employers should participate in the creation of seasonal rental
housing.
II.4. Employers who provide housing for their workers through
publicly-owned seasonal rental housing should assume proportionate
responsibility for the maintenance and management of the facility.
II.5. Redefine and improve our buy-down policy of re-using existing
housing inventory.
II.6. Eliminate the Accessory Dwelling Unit (ADU) program, unless
mandatory occupancy is required.
III. FISCAL RESPONSIBILITY
III.1. Ensure fiscal responsibility regarding the development of
publicly-funded housing.
III.2. Promote broader support and involvement in the creation of non-
mitigation Affordable housing, including public-private partnerships.
Community Goal
Community Goal, Work
Program for APCHA
Collaborative Initiative,
Incentive Program
Collaborative Initiative,
Incentive Program
Work Program for APCHA
Proposed Code Amendment
Collaborative Initiative
Collaborative Initiative,
Incentive Program
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CONNECTION TO AACP
Within the introduction of the 2012 Aspen Area Community Plan, two of the stated central themes are “Emphasize the quality and
livability of affordable housing.” and “Provide for a critical mass of year-round residents.”
Within the housing implementation portion of the appendix of the AACP is an implementation step that, in part, states, “Amend the
Housing Guidelines to establish livability standards that promote pride of living in affordable housing.”
And although the AACP also encourages area employers to participate in the creation and maintenance of seasonal rental housing,
the sections shown above, along with many other such statements in the AACP, support the Housing Philosophy stated within the
AACP, which aims to nurture a stable, year-round community, with a reliable workforce with an opportunity to live near where they
work, and with a healthy mix of people, including singles, families and seniors.
LIVABILITY AND COMMUNITY ENGAGEMENT
For public affordable housing developments, the City of Aspen performs typically performs rigorous community engagement, seeking
input from the community at large and neighborhood stakeholder groups. A significant portion of such community engagement is
typically devoted to affordable housing elements related to livability.
At each stage of the design development process, input received from the community engagement process is typically filtered
through Aspen City Council. This often results in a careful balance of various priorities such as livability, quality, neighborhood
impacts and project cost. And there are many more detailed project elements that require balancing as well, such as environmental
sustainability, accessibility, total cost of ownership or tenancy, constructability and more. These topics are interconnected with the
meaning of livability among the Aspen affordable housing community.
LIVABILITY – GENERAL PRINCIPLES
Goals: Housing developments should endeavor to balance the principles of community, livability and quality against impacts such as
unreasonable levels of cost and construction activity intrusion. Housing structures should utilize land as efficiently as possible and
should seek construction efficiencies to levels that do not sacrifice livability beyond levels that are not consistent with these goals.
Architecture should be sensitive to neighborhood context to the extent possible while achieving these goals.
Density: Density should be considered as more than just a number and should consider neighborhood context, available open space,
amenities and other considerations related to community character. Successful housing developments have been created in Aspen
with density ranging from around 7 units per acre up to nearly 80 units per acre.
Quality: Quality construction should be employed to mitigate sound and vibration transmission and to promote energy efficiency. It
is important to people not to feel as densely housed as they actually are, and it is possible to invest in construction quality, up to a
point short of diminishing returns, to make a densely populated facility feel as livable as possible given available resources.
Environmental Sustainability: Environmental sustainability standards which are consistent with community goals should be integral
to the construction quality program. Investments in sustainability measures should be carefully prioritized to be consistent with
housing development goals.
Housing Unit Sizes: Housing for a diverse population of income levels should not discriminate livable space based on incomes.
Creating equitably sized housing units of standardized sizes can create construction efficiencies and increases flexibility to transfer
units among households of different income levels. The Colorado Division of Housing has established “indicators of modest but
decent housing” with suggested sizes of 500 square feet for studio or efficiency units, 700 square feet for one-bedroom units, 900
square feet for two-bedroom units and 1,200 square feet for three-bedroom units.
necessary and where a high level of livability is otherwise demonstrated, with reduction criteria such as significant storage space,
above average natural light, efficient/flexible unit layout, site amenities including parks and open space, and above ground unit
versus below ground units.
APPENDIX B:
COMMUNITY AFFORDABLE HOUSING
AND LIVABILITY
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facilities should meet local codes and guidelines related to “wildlife-proof” requirements and recommendations and should otherwise
be consistent with wildlife management practices. Mail and transit stop facilities should attempt to keep people separated from
areas which could potentially attract bears or other wildlife.
Site Lighting & Facilities: Site lighting should provide safety while remaining contextually sensitive and where possible should
employ the use of timers and/or sensors to be as energy efficient as possible. Guide-on principles can be equally safe and less
intrusive than flooding large areas with light. External availability of water and electrical sources are amenities that tenants and/or
homeowners highly appreciate. “Dark skies” and other code-related requirements and recommendations should be rigorously met.
Public Transportation: Access to public transportation is a must. Reduction of daily automobile trips should be encouraged through
availability of convenient, multi-modal transportation alternatives.
LIVABILITY – CHECKLIST
The outline below is a useful inventory of decision points for considering characteristics which affect livability.
Density, Environmental Sustainability, Accessibility
Family oriented vs. non-family oriented
Working vs. retirement orientation
Flats versus multi-level townhomes & accessibility
On-grade access, stairs to get to unit, below-grade, partial below grade units
Ceiling heights greater than 8 feet, 8’-6” to 9’-0 where possible
Minimum bedroom size, 10 feet
Storage
Internal to the unit, Kitchen cabinets, Laundry, Foyer/mud – front and rear, linen closets, oversize bedroom closets (upper
shelves for seasonal storage), Additional unfinished areas, storage closets under stairways
Lockable external storage, enclosed preferred to cages, proximity to unit, outdoor gear storage, bikes, kayaks, skis,
snowboards, fishing, etc.
Trash/recycling/compost & mail facilities
Proximity to units, aesthetics, durability, parcel boxes, wildlife-proofing, separating trash from mail due to wildlife safety,
lighting
Outdoor living
Private outdoor space is preferred by most people, grill, patio, enlarged covered balconies, avoid drip through, snow
barriers/trellis
Parking
Location on site and relationship to pedestrians, streets/alleys
Quantity per unit, per bedroom
Above grade uncovered, above grade covered, lots, street, head-in, parallel, angle, on-site, offsite
Guest / visitor / service usage, loading zone
Accessible parking
Proximity to unit
Dimensions of spaces / access, geometry of getting in and out
Integrated storage with parking
Snow removal, snow storage, haul-off, street clearing, secondary clearing
Public space/recreation
Location, trail, pedestrian access, on-site open site areas, landscape
Flexible use spaces, fencing, demarcation, open
Child safety, dog parks, community gardens, programmed spaces
Access to public transportation
Secure, covered bike storage at transportation nodes
The APCHA Affordable Housing Development Policy includes the following Minimum Unit Sizes and defines an “occupancy standard”
based on 400 square feet per “employee”.
Unit Minimum Net Sq Ft Occupancy Standard
Studio 500 1.25
1-Bedroom 700 1.75
2-Bedroom 900 2.25
3-Bedroom 1,200 3.00
In practice, the occupancy standard is less of an actual counting mechanism for occupancy and more of a conversion tool and
general benchmark related to the 400 square feet per “employee” standard.
The APCHA Affordable Housing Development Policy allows for the reduction of unit sizes by up to 20% in cases where both
necessary and where a high level of livability is otherwise demonstrated, with reduction criteria such as significant storage space,
above average natural light, efficient/flexible unit layout, site amenities including parks and open space, and above ground unit
versus below ground units.
Accessibility: Affordable housing facilities should be accessible above and beyond code requirements where possible. Varying
levels of accessible dwelling units include Type A Full Accessibility, Type B Adaptable and Type C Visitable. Type A Full Accessibility
units should be included at or above code minimums, and all other unit should be Type B Adaptable where possible. Townhome units
or units which otherwise include a stairway internal to the unit should be Type C Visitable, and Universal Design should be used in
common area facilities.
Noise and Air Quality: Locations for affordable housing should be sought which have favorable noise and air quality characteristics.
For locations where noise and air quality characteristics are not without flaws, mitigation techniques should be implemented to
reduce adverse impacts to reasonable levels.
Pedestrian Safety and Automobile Circulation: Whenever possible, housing developments should prioritize pedestrian movement
over automobile movement and pedestrian safety over automobile circulation.
Community Open Space: Community open space should be created to maximize the use of available land and should be landscaped
to facilitate peaceful, playful and socially interactive enjoyment with turf or low-grow grasses as well as strategically placed shrubs
and trees to facilitate demarcation of areas and/or privacy where needed. A mix of non-programmed and lightly programmed areas
are encouraged.
Parks and Trails: Parks and trails provide community benefits and should be connected to housing developments where possible.
The use of boulder retaining walls can create material cost efficiencies and can be a contextually sensitive means of retaining earth
as opposed to engineered alternatives.
Parking and Storage: Parking and storage are key attributes that relate to day-to-day interaction with a housing facility. Local
workers may not use their cars every day, but they have a right like everyone else to keep a car in their possession, particularly
because Aspen is a remotely located City. Affordable housing units do not generally afford the amount of space that suburban
living in America generally affords so convenient access to a reasonable amount of storage space is a key attribute to any housing
unit. Parking and storage should be located within reasonable distance to one’s housing. The use of carport structures can be an
equitable means of providing covered parking without a high level of expense and can be used where needed to retain earth or
serve as sound barriers from nearby sources of noise.
Total Cost of Ownership: Total cost of ownership or total rent should be considered in affordable housing designs. The use of
durable assemblies and materials as well as low-maintenance mechanical systems along with operational efficiency considerations
such as ease of snow removal and landscaping can help keep long-term costs down. Thoughtful design for management of snow,
ice, moisture and freeze/thaw conditions can eliminate the need for gutters and downspouts and can help keep maintenance costs
down.
Wildlife: Sensitivity to wildlife and surrounding open areas is extremely important. Trash, recycling and compost staging
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CITY OF ASPEN
2022-2026 — Affordable Housing Strategic Plan
47CITY OF ASPEN
2022-2026 — Affordable Housing Strategic Plan
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Noise
Unit-to-unit transmission, wall/wall, floor/ceiling, STC, IIC
Outdoor noise, mitigation, berms, trees, façade
Lighting
Natural light
Indoor lighting
Exterior lighting
Ventilation / heating / cooling
Low voltage & electric - controls, network outlets, electric outlets, cable/satellite, utility usage, lighting, etc.
Laundry in unit versus common, size & fit, maintenance, availability
Heating – type
Heat pumps (cooling?), mini splits, ducted, radiant, baseboard, cove
100% electric where possible
Common vs. in-unit
Hot water heating – common versus in-unit, tank, tankless, efficiency, accessible location, floor drain
Solar and PV accessibility/orientation, roof space for p/v, rooftop decks
Pets, service animals, emotional support animals, cleanup, bags, dna testing
Landscaping
Turf, native grasses, low-grow, low water
Upkeep, Irrigation
Hose bibs
Community gardens
Stormwater, raingardens
Kitchen
Single, double sinks
Electric appliances, refrigerator, dishwasher, disposal, range type, microwave, range hood externally vented
Solid countertops, island or space for dining table
Trash, recycling, compost
Storage, cabinets, soffits, natural light/windows
Bathrooms
Quantity per unit
Lighting
Tubs, showers, toilets
Storage
Ventilation
Finishes, durability, aesthetics
Sinks, single vs. double, fixture counts, types
Maintenance
Access to HVAC equipment, accessible filter locations, spare filters
Appliances, Floor coverings
NOTES
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