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HomeMy WebLinkAboutAgendaPacket_SKHHP_ExecutiveBoard_2025_5_16SKHHP Executive Board May 16, 2025, 1:00 – 3:00 PM Virtual Meeting Video conference: https://us06web.zoom.us/j/99857398028?pwd=eXFiMmJpQm1abDZmMmRQbHNOYS8 ydz09 OR by phone: 253-205-0468 Meeting ID: 998 5739 8028 Password: 085570 I. CALL TO ORDER 1:00 a. ROLL CALL b. INTRODUCTIONS OF STAFF WORK GROUP MEMBERS AND ADVISORY BOARD REPRESENTATIVE II. PUBLIC COMMENT 1:05 III. APPROVAL OF APRIL 18, 2025 MINUTES 1:07 Motion is to approve the April 18, 2025 SKHHP Executive Board meeting minutes. IV. AGENDA MODIFICATIONS 1:09 V. BOARD BUSINESS 1:10 a. RESERVE POLICY Presenter: Claire V. Goodwin, SKHHP Executive Manager Purpose: Adoption of a reserve policy regarding the use of interest earned in 2024 and ongoing. Background: Three options were discussed at the April 18, 2025 SKHHP Executive Board Meeting regarding the use of interest earned in 2024 and ongoing. The preferred choice of the Board was to establish a reserve policy which sets aside the equivalent of either 60% or 100% of annual expenses into reserve to be used to mitigate the impacts of a recession or for larger, unanticipated expenses with the remaining interest being applied to the annual funding round of the SKHHP Housing Capital Fund. Motion is to adopt [Option 2 or Option 3] of the SKHHP Memorandum dated March 27, 2025. b. 2026 WORK PLAN AND BUDGET Presenter: Claire V. Goodwin, SKHHP Executive Manager Purpose: Adoption of the draft 2026 SKHHP work plan and budget reviewed at the April 18, 2025 Executive Board meeting. 1:30 Background: SKHHP’s Interlocal Agreement requires the Executive Board to recommend an annual work plan and budget for adoption by SKHHP member jurisdictions. The draft 2026 work plan and budget was created through a collaborative process, incorporating feedback from the March 21, 2025 and April 18, 2025 Executive Board meetings, direct input from Executive Board members, and contributions from the Advisory Board, Staff Work Group, and South King County planners. Motion is to approve Resolution 2025-01 adopting the 2026 SKHHP work plan and budget and incorporating any action taken adopting a reserve policy. c. 2025 HOUSING CAPITAL FUND GUIDELINES AND PRIORITIES Presenter: Claire V. Goodwin, SKHHP Executive Manager Purpose: Review a draft of the 2025 Housing Capital Fund Guidelines which incorporates Board feedback received at the April 18, 2025 Executive Board meeting. Background: Each year, the Executive Board adopts guidelines and priorities for the annual funding round of the SKHHP Housing Capital Fund. The guidelines serve as both the request for proposals (RFP) and the notice of funding available (NOFA) for the funding round. The Executive Board will review a final version and consider adoption at the June 13, 2025 Executive Board meeting. For review, discussion, and receipt of Board feedback, no action proposed. 1:45 d. 2025 SKHHP LEGISLATIVE FORUM Presenter: Claire V. Goodwin, SKHHP Executive Manager Purpose: Review a draft outline for a 2025 SKHHP legislative forum and provide feedback during these early stages of planning. Background: At the March 21, 2025 Executive Board meeting, the Board directed SKHHP staff to organize and coordinate a legislative forum prior to the 2026 legislative session to bring awareness of SKHHP’s work to legislators. Before event planning begins, Board feedback is sought to ensure Board alignment on the purpose, audience, format, and timeframe. For review, discussion, and receipt of Board feedback, no action proposed. 2:10 e. 2025 QUARTER 1 REPORT Presenter: Claire V. Goodwin, SKHHP Executive Manager Purpose: Presentation of the 2025 quarter one budget and progress report for the Executive Board review. Background: Consistent with the SKHHP Interlocal Agreement, a quarterly budget and progress report is presented to the Executive Board every three months and shared with member jurisdictions. The report serves as an accountability tool and opportunity for Board Members to update their member Councils and other interested parties on SKHHP’s work. A presentation to the Board offers the opportunity for feedback prior to finalization and distribution to member jurisdictions. For review, discussion, and receipt of Board feedback, no action proposed. 2:40 f. 2025 LEGISLATIVE SESSION UPDATE Presenter: Dorsol Plants, SKHHP Program Coordinator Purpose: Provide a summary overview of the outcome of the 2025 State Legislative Session with a focus on housing and land use. Background: The Washington State Legislature convened for a regular session beginning January 13, 2025 and adjourned April 27, 2025. Monthly updates were provided to the Executive Board during legislative session on legislation connected with housing and land use. This will be the last legislative update of the 2025 session. For review, discussion, and receipt of Board feedback, no action proposed. 2:45 VI. UPDATES/ANNOUNCEMENTS • Reminder: June 13 in-person Executive Board meeting • Action minutes • Meeting with Governor’s Office • Finalizing contracts: Burien Miller Creek and Burien Family Housing • Upcoming City Council presentations 2:55 VII. ADJOURN 3:00 SKHHP Executive Meeting April 18, 2025 MINUTES I. CALL TO ORDER Nancy Backus called the meeting to order at 1:04 PM. ROLL CALL/ESTABLISHMENT OF QUORUM Executive Board members present: Nancy Backus, City of Auburn; Merina Hanson, City of Kent (alternate); Liz Stead, City of Burien; Kristina Soltys, City of Covington; Gene Achziger, City of Des Moines; Brian Davis, City of Federal Way; Victoria Schroff, City of Maple Valley; Carmen Rivera, City of Renton; James Lovell, City of SeaTac; Thomas McLeod, City of Tukwila; Sunaree Marshall, King County. Others present: Claire Goodwin, SKHHP Executive Manager; Dorsol Plants, SKHHP Program Coordinator; McCaela Daffern, King County; Laurel Humphrey, City of Tukwila; Doug McIntyre, City of Maple Valley. Thomas McLeod joined at 1:17 PM James Lovell joined at 1:20 PM II. PUBLIC COMMENT No public comment was received. III. APPROVAL OF MARCH 21, 2025 MINUTES Victoria Schroff moved to approve the March 21, 2025 minutes as presented, seconded by Kristina Soltys. Motion passed (9-0) IV. AGENDA MODIFICATIONS No modifications to the agenda were made. V. BOARD BUSINESS a. RESERVE POLICY OPTIONS Claire Goodwin presented the Board with options to establish a reserve policy for interest earnings in 2024 and beyond. The Board discussed reserve policy options, including maintaining 30%, 60%, or 100% of annual expenditures in reserve and applying the remaining funds to the SKHHP Housing Capital Fund. Nancy Backus called for a motion to adopt a reserve policy option. No motion was made. b. 2026 WORK PLAN AND BUDGET DRAFT REVIEW Claire Goodwin reviewed a draft of the SKHHP 2026 work plan and budget with the Board, which incorporated changes from the March 21, 2025 Executive Board meeting. She informed the Board that the five-year plan discussion at the June 13, 2025 Executive Board meeting would include discussing the Board's role in addressing homelessness. A Board Member discussed an interest in combining "capital funding for recovery/treatment facilities to qualifying unsheltered individuals" and "developing a partnership for homelessness responses and increased shelters and workforce housing development for those who are unhoused," which would fall under working with those who are unhoused. The Board supported alternating between holding a legislative forum in 2025 and an affordable housing tour in 2026. Claire Goodwin will prepare a written proposal for the legislative forum for the May 16, 2025 Executive Board meeting. c. 2025 HOUSING CAPITAL FUND GUIDELINES AND PRIORITIES Claire Goodwin reviewed the 2024 Housing Capital Fund Guidelines to ask for feedback from the Board on changes or modifications to begin the development of the 2025 Housing Capital Fund Guidelines. She noted that the Housing Capital Fund priorities are one part of the evaluation process, and a project isn’t required to meet each priority to be eligible for consideration. Board members discussed adding climate equity to the Housing Capital Fund priorities list. VI.UPDATES/ANNOUNCEMENTS SKHHP staff updated the legislative slides before the meeting and will distribute them through the calendar invitation and posting on the SKHHP website. The State Legislative session will end on Sunday, April 27, 2025. The 2024 SKHHP Annual Report has been distributed to the Board as part of the agenda packet. SKHHP staff sent the annual report to the Staff Work Group members to share with the member city councils through the local process. The SKHHP five-year planning activity was postponed until the June 13, 2025 Executive Board meeting. The five-year plan may need more time and continue into 2026. Per SKHHP policy, Claire Goodwin notified the Board that the Burien Family Housing project requested an administrative change to its capital fund award. Originally, SKHHP funds were to support 34 units for families with children exiting homelessness and 18 units for households with a physical disability. Mercy Housing NW is requesting that SKHHP funds now support the 34 units for families with children exiting homelessness and nine units for households with a physical disability. This means SKHHP funds will support nine fewer units, but the total number of units supporting households with a disability is still at 18 and will be supported by different funding sources. VII. ADJOURN Nancy Backus adjourned the meeting at 2:27 PM. 1 Memorandum South King Housing and Homelessness Partners TO: SKHHP Executive Board FROM: Executive Manager Claire Goodwin DATE: March 27, 2025 SUBJECT: Reserve Policy SUMMARY Several options of interest were discussed at the March 21, 2025 SKHHP Executive Board Meeting regarding the use of interest earned in 2024 and ongoing. The preferred choice of the Board was to establish a reserve policy which sets aside a portion of the funds to be used to mitigate the impacts of a recession or for larger, unanticipated expenses with the remaining interest being applied to the annual funding round of the SKHHP Housing Capital Fund. Additional feedback is sought from the Board on the portion to set-aside in reserve with analysis of options provided in this memo. BACKGROUND From 2019 to 2023, contributions to SKHHP in the operating and capital fund accrued $153,529 in interest. To spend interest earnings requires the approval of each SKHHP member council with allocated accrued interest based on their contributions. In 2024, this was done through the annual work plan and budget adoption process and member councils gave their approval for the use of these funds to be applied to SKHHP’s operating fund balance. Interest accrued in 2024 on all SKHHP funds totaled $540,377. At the March 21, 2025 Board meeting, the Board provided direction that the preferred option was a reserve policy that would put a percentage of expenditures into reserve and the remaining would be applied to the Housing Capital Fund. 30% was the percentage presented although there was discussion about different amounts. Other options presented were to apply the funds towards a rapid acquisition fund for South King County, to apply completely to the Housing Capital Fund, or to apply to the operating fund balance. POLICY OPTIONS 1. Adopt policy that applies annual interest earnings to maintain equivalent of 30% of annual expenditures in reserve and apply remaining to SKHHP Housing Capital Fund. a. Reserve in 2026: $150,593 b. Housing Capital Fund 2025: $389,784 2. Adopt policy that applies annual interest earnings to maintain equivalent of 60% of annual expenditures in reserve and apply remaining to SKHHP Housing Capital Fund. a. Reserve 2026: $301,185 b. Housing Capital Fund 2025: $239,192 3. Adopt policy that applies annual interest earnings to maintain equivalent of 100% of annual expenditures in reserve and apply remaining to SKHHP Housing Capital Fund. a. Reserve 2026: $501,975 b. Housing Capital Fund 2025: $38,402 2 TABLE 1: Aggregated Allocation of Interest Earned from 2024 and Beyond by Policy Option Policy Option Reserve Total 2026 Remaining to Housing Capital Fund (HCF) 2025 Incremental Increase in Reserve 2027 (est.) * Reserve Total 2027 (est.) Remaining to Housing Capital Fund 2026 (est.) Summary 30% Expenses in Reserve (Option 1) $150,593 $389,784 $2,150 $152,742 $197,850 Lower $ reserve, higher $ HCF in 2025; ongoing HCF similar 60% Expenses in Reserve (Option 2) $301,185 $239,192 $4,299 $305,484 $195,701 ~ even split between reserve $ and HCF $ in 2025; ongoing HCF similar 100% Expenses in Reserve (Option 3) $501,975 $38,402 $7,166 $509,141 $192,834 Higher $ reserve, lower $ HCF in 2025; ongoing HCF similar *Note: Assumes a conservative estimate of 2025 interest earnings totaling $200,000 to be applied to the 2027 reserve and 2026 Housing Capital Fund round. As shown in Table 1, applying the interest earnings from 2024 to reserve 30% of expenses in 2026 with the remaining contributed to the 2025 Housing Capital Fund funding round, would allocate less funds towards the reserve and more towards the Housing Capital Fund in the first year (Option 1). Applying interest earnings from 2024 to reserve 60% of expenses in 2026 with the remaining contributed to the 2025 Housing Capital Fund funding round, would allocate a similar amount between the two with slightly more going towards the reserve (Option 2). Applying interest earnings from 2024 to reserve 100% of expenses in 2026 with the remaining contributed to the 2025 Housing Capital Fund funding round, would allocate most of the funds towards the reserve with less funds going towards the Housing Capital Fund. Ongoing, all options would result in similar amounts being allocated to the Housing Capital Fund. Since spending the interest earnings from 2024 requires the approval of each member jurisdiction with allocated interest, the Executive Board would make a recommendation on use of funds as part of the 2026 work plan and budget development process. The reserve amount would be listed in the operating budget as “Reserve” and would be considered an unrestricted fund balance in reserve. This means that the Executive Board could use those reserve funds for any purpose it deems appropriate without the need for approval for that specific purpose by the member Councils, since those member Councils would already have provided their approval. For the funds allocated to the Housing Capital Fund, use of those funds would follow the same process in place and would be added to each member jurisdictions’ Housing Capital Fund balance. Ongoing each year, the incremental difference between the amount in reserve and the amount needed to maintain the adopted percentage in reserve would be allocated to the reserve. The remaining amount would be allocated to the current years’ Housing Capital Fund funding round. During the future annual budget development processes, the Board would have the opportunity to weigh-in on the policy and adjust as desired. APPENDIX • Interest Earned by Jurisdiction 2024 3 APPENDIX TABLE 2: INTEREST EARNED BY JURISDICTION 2024 MEMBER TOTAL AUBURN $28,512 BURIEN $13,489 COVINGTON $31,298 DES MOINES $5,767 FEDERAL WAY $24,417 KENT $352,134 MAPLE VALLEY 24,013 NORMANDY PARK $734 RENTON $39,001 SEATAC 14,408 TUKWILA $6,603 KING COUNTY -- TOTAL $540,377 ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 1 of 7 RESOLUTION NO. 2025-01 A RESOLUTION OF THE EXECUTIVE BOARD OF THE SOUTH KING HOUSING AND HOMELESSNESS PARTNERS (SKHHP), ADOPTING THE 2026 SKHHP WORK PLAN AND OPERATING BUDGET WHEREAS, pursuant to the Interlocal Agreement, the SKHHP Executive Board approves an annual work plan and budget each year to guide the work of SKHHP staff; and WHEREAS, pursuant to the Interlocal Agreement, the annual budget includes an itemization of all categories of budgeted expenses and itemization of each Party’s contribution, including in-kind services; and WHEREAS, upon adoption by the Executive Board, the annual work plan and budget will be transmitted to each participating jurisdiction for approval by their legislative body; and WHEREAS, the budget will not become effective until approved by the legislative body of each jurisdiction and adopted by the SKHHP Executive Board; and WHEREAS, if a party does not approve the work plan or budget in a timely manner, the Executive Board may adopt the budget and work plan with a two-thirds majority vote; and WHEREAS, the purpose of the annual work plan and budget is to provide management and budget guidance, and implement the overarching SKHHP mission to work together and share resources to increase the available options for South King County residents to access affordable housing and to preserve the existing affordable housing stock; and WHEREAS, the 2026 work plan includes four goals with corresponding action items that further SKHHP’s mission. NOW, THEREFORE, THE EXECUTIVE BOARD RESOLVES as follows: Section 1. The Executive Board adopts the 2026 SKHHP Work Plan in Attachment A. Section 2. The Executive Board adopts the 2026 SKHHP Operating Budget in Attachment B. Section 3. Each party’s contribution to SKHHP’s operating budget will be transmitted on an annual basis during the first quarter of the calendar year. Section 4. This Resolution will take effect and be in full force upon approval by the legislative body of each participating jurisdiction. Dated and signed this _____ day of _________________, 2025. _________________________ NANCY BACKUS, CHAIR, SOUTH KING HOUSING AND HOMELESSNESS PARTNERS ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 2 of 7 RESOLUTION 2025-01 – ATTACHMENT A SKHHP 2026 WORK PLAN PURPOSE Establish a 2026 SKHHP work plan and budget that is guided by Executive Board priorities, is consistent with the SKHHP Interlocal Agreement, and furthers SKHHP’s mission. BACKGROUND Established by an interlocal agreement, SKHHP jurisdictions work together and share resources to increase options for South King County residents to access affordable housing and preserve existing affordable housing. The 2026 SKHHP work plan builds on work done in previous years and was developed in collaboration with the Executive Board and staff work group. The work plan is organized into four goals with corresponding action items. Each action is identified by priority as follows: • Higher – Identified as higher priority by Executive Board or is necessary to carry out the Interlocal Agreements • Medium – Identified as mid-level priority • Lower – Identified as lower priority Quarterly budget and progress reports on the status of the work plan elements will be submitted to the SKHHP Executive Board and the legislative body of each member jurisdiction as follows: Quarter 1: May | Quarter 2: August | Quarter 3: November | Quarter 4: February In accordance with the Interlocal Agreement, the 2026 SKHHP work plan and budget will be approved by the SKHHP Executive Board and the legislative body of each member jurisdiction. SKHHP MISSION South King County jurisdictions working together and sharing resources to create a coordinated, comprehensive, and equitable approach to increasing housing stability, reducing homelessness, and producing and preserving quality affordable housing in South King County. GOALS & ACTIONS Goal Actions 1. Fund the expansion and preservation of affordable housing. 1 through 5 2. Develop policies to expand and preserve affordable housing. 6 through 10 3. Serve as an advocate for South King County. 11 through 16 4. Manage operations and administration. 17 through 22 ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 3 of 7 Goal 1 Fund the expansion and preservation of affordable housing. Actions Priority of Actions ••• = Higher •• = Medium • = Lower 1. Pool resources from member cities for the Housing Capital Fund, including SHB 1406 funds, HB 1590 funds, and general funds. ••• 2. Develop and execute contract documents and covenants for projects ready to move forward from 2023-24 Housing Capital Fund funding rounds. ••• 3. Facilitate approval from participating Councils of recommended projects from 2025 Housing Capital Fund funding round and prepare contract documents and covenants for any projects ready to move forward. ••• 4. Manage 2026 Housing Capital Fund funding round including adopting annual guidelines, updating application materials, soliciting proposals, and facilitating project selection. ••• 5. Encourage investment in South King County by private investors, lenders, and philanthropies. •• Indicators o Number of housing units and number of projects funded with financial support from SKHHP o Number of housing units preserved with financial support from SKHHP o Total dollar amount pooled by member jurisdictions for Housing Capital Fund o Total dollar amount from new sources of revenue added to the Housing Capital Fund o Geographic diversity of applications received for annual Housing Capital Fund funding round ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 4 of 7 Goal 2 Develop policies to expand and preserve affordable housing. Actions Priority of Actions ••• = Higher •• = Medium • = Lower 6. Facilitate implementation of subregional affordable housing preservation strategies in coordination with South King County long- range planners. •• 7. Facilitate updates to the Affordable Housing Inventory Dashboard. •• 8. Convene land use planners (SoKiHo) to increase coordination and collaboration on housing policy and planning. • 9. Build relationships with developers to learn from their perspective the ways to encourage housing development, especially affordable housing. • 10. Develop SKHHP Executive Board briefings on key housing and homelessness topics, especially as they relate to the goals of the work plan. • Indicators o Number of subregional housing preservation strategies facilitated or supported o Successful progress on update to the Affordable Housing Inventory Dashboard o Number of relationships fostered with developers o Number of Executive Board briefings on key housing and homelessness topics ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 5 of 7 Goal 3 Serve as an advocate for South King County. Actions Priority of Actions ••• = Higher •• = Medium • = Lower 11. Work collaboratively with public funders at the state and local levels to increase alignment and promote shared affordable housing goals and equitable geographic distribution of resources. •• 12. Coordinate with the Advisory Board in collaboration with housing organizations and stakeholder groups to provide education and engagement opportunities for elected officials and community members. • 13. Represent SKHHP at relevant local and regional meetings and forums that help advance SKHHP’s mission and provide a voice for increasing access to safe, healthy, and affordable housing in South King County. • 14. Connect affordable housing developers with property owners who intend to sell naturally occurring affordable housing in coordination with member cities. • 15. Meet with legislators as opportunities arise to inform about SKHHP’s mission, goals, and the Housing Capital Fund and host a legislative forum (odd numbered years). • 16. Organize a tour of affordable housing sites in South King County with priority given to visiting Housing Capital Fund supported projects (even numbered years). • Indicators o Number of collaborative work sessions held with public funders o Number of events or engagement opportunities Advisory Board members organize or support o Number of meetings, forums, or events attended that advance SKHHP's mission o Number of meetings with legislators that promote SKHHP and South King County o Number of affordable housing developers connected with property owners intending to sell naturally occurring affordable housing o South King County legislative forum or affordable housing tour successfully executed ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 6 of 7 Goal 4 Manage operations and administration. Actions Priority of Actions ••• = Higher •• = Medium • = Lower 17. Develop annual work plan and budget. ••• 18. Generate and distribute quarterly progress reports to SKHHP Executive Board and member jurisdictions. ••• 19. Work with administering agency to maintain records and produce regular financial reports for the SKHHP Housing Capital Fund and SKHHP Operating Account. ••• 20. Organize and host monthly Executive and Advisory Board public meetings. ••• 21. Establish and implement monitoring and compliance process to ensure Housing Capital Fund projects maintain affordability for tenants. ••• 22. Maintain and update the SKHHP website. •• Indicators o Work plan and budget adopted o Quarterly progress reports prepared and presented to Executive Board o Financial reports and public records maintained o Monthly Executive and Advisory Board meetings held o Process established for monitoring and compliance of Housing Capital Fund projects o Website maintained ------------------------------- Resolution No. 2025-01 May 16, 2025 Page 7 of 7 RESOLUTION 2025-01 – ATTACHMENT B 2026 SKHHP Operating Budget Estimated beginning fund balance - January 1, 2026 $ 337,293 Estimated ending fund balance - December 31, 2026 $ 293,417 REVENUES Auburn $ 52,295 Burien $ 30,171 Covington $ 15,086 Des Moines $ 15,086 Federal Way $ 68,386 Kent $ 68,386 Maple Valley $ 15,086 Normandy Park $ 8,045 Renton $ 68,386 SeaTac $ 15,086 Tukwila $ 15,086 King County* $ 68,386 Additional King County* $ 6,614 Office space (in-kind donation) $ 12,000 TOTAL REVENUES $ 458,099 Spend down balance $ 43,876 TOTAL $ 501,975 EXPENSES Salaries & Wages $ 253,191 Benefits $ 68,296 Professional Services $ 81,945 Interfund Allocations $ 40,000 Office Space (in-kind donation) $ 12,000 Supplies $ 2,000 Subtotal $ 457,432 Administering agency - 10% admin fee** $ 44,543 TOTAL $ 501,975 RESERVE TOTAL $ xxx,xxx *King County contribution based on the population of unincorporated King County is shown as increasing at the same rate as other partner jurisdictions and the additional allocation decreasing to maintain a total contribution of $75,000 per year. **10% administrative fee is calculated as a percentage of operating costs which excludes in-kind donations and carry-forwards. DRAFT Outline - SKHHP 2025 Legislative Forum Purpose: Convene elected officials or their representative with the SKHHP Boards to amplify the collaborative and unified work in South King County to address the shortage of affordable housing in the subregion. From pooling $14.5 million across eleven cities to fund the construction or preservation of 679 units of affordable housing to identifying policy alignment through the subregional affordable housing preservation strategies – SKHHP members coordinating with each other to increase access to housing that meets the needs of residents at all income levels. Who: • SKHHP Executive Board • SKHHP Advisory Board • State Senators and Representatives representing legislative districts 5, 11, 30, 31, 33, 34, 41, and 47 • County Council Members representing council districts 2, 5, 7, 8, and 9 • Federal delegates • Governor’s Office – Housing Policy • Association of Washington Cities – Government Relations What: A two-hour legislative forum with opening remarks, facilitated dialogue, and open meet-and-greet. When: Weekday in August (will solicit availability of Executive Board via doodle poll) Where: South King County-based events space (Postmark Center for the Arts-Auburn?) Why: Uplift and amplify the good work of SKHHP and provide an opportunity to meet in- person and discuss South King County needs as it relates to affordable housing and related topics. How: SKHHP staff to prepare event advertisement, template language for email invitation to be sent by SKHHP Executive Board Members, SKHHP Executive Board Members to invite, SKHHP staff to coordinate event space and set -up, tear-down event. Will notice as a special public meeting. No public comment is required since there will be no action of the Board. Snacks will be provided. South King Housing andHomelessness Partners (SKHHP) 1 Who We Are Formed in 2019 by an Interlocal Agreement, we are a collaboration between 11 South King County cities and King County united under the common goal to ensure the availability of housing for all income levels of residents in South King County. We achieve this through a focus on the production and preservation of affordable housing, partnership with public and private organizations, pooling and sharing resources, and advancing housing policies. Purpose Create a coordinated, comprehensive, and equitable approach to increasing housing stability, reducing homelessness, and producing and preserving quality affordable housing in South King County. Contact Claire Vanessa Goodwin Executive Manager Phone: 253.931.3042 cvgoodwin@skhhp.org For more info Scan QR Code or visit skhhp.org Goal 1: Fund the expansion and preservation of affordable housing. Executed Housing Capital Fund Contracts – SKHHP’s first contracts and loan documents were executed on February 27, 2025 for the rehabilitation of Multi-Service Center’s Victorian Place II and on March 13, 2025 for the Habitat for Humanity Burien Miller Creek homeownership project. Contract Drafting – Draft contract and loan documents were developed for Mercy Housing Northwest’s Burien Family Housing project with an expected closing date in Q2. 2025 Housing Capital Fund - $3.5 million has been confirmed to be available for the 2025 funding round of the SKHHP Housing Capital Fund for the construction and preservation of affordable housing in South King County. 2024 Housing Capital Fund – Presented to 10 City Councils and received concurrence on the Executive Board’s recommendation to support four affordable housing projects in the subregion. Goal 3: Serve as an advocate for South King County. Regional Advocacy – SKHHP was reappointed to the Growth Management Policy Board’s Regional Transit- Oriented Development Committee which advises the Board on equitable transit-oriented development and the region’s adopted growth strategy. Public Funders Collaboration – Collaborated with statewide and regional public funders to draft shared underwriting standards for affordable housing proposals. Participation in Local Meetings and Forums – Represented SKHHP at 50+ regional meetings representing 24 unique groups. Goal 4: Manage operations and administration. ILA Requirements – Administered survey to Executive Board Members to inform the 2026 work plan development process. Developed draft 2026 work plan and budget for anticipated adoption by the Executive Board on May 16, 2025. Reserve Policy – Began discussions on a reserve policy using Housing Capital Fund interest earnings. Five-Year Plan – Began the planning process for a SKHHP five-year plan including through the development of an inventory of ideas from Board Members, the SKHHP Interlocal Agreement, and Staff Work Group Members. 2025 Quarter 1 Progress Report (January-March) Quarter 1 was a time of excitement as the first contracts and loan documents were executed and recorded for two SKHHP Housing Capital Fund supported projects! SKHHP Affordable Housing Inventory Dashboard – Completed a successful data update to the SKHHP Affordable Housing Inventory Dashboard and presented update to South King County long-range planners. South King County Joint Planners and Developers – Partnered with SSHA3P to convene a region-wide presentation on developing affordable housing using universal design principles. Presenters included Department of Commerce, City of Redmond, Northwest Universal Design Council, Tacoma/Pierce County Habitat for Humanity, and SMR Architects. Executive Board Briefings – Coordinated two presentations to the Executive Board including from the Low Income Housing Institute and an introduction on the Low-Income Housing Tax Credit Program from the Washington State Housing Finance Commission. Goal 2: Develop policies to expand and preserve affordable housing. SKHHP | 2025 Quarter 1 Progress Report (January-March)2 South King Housing and Homelessness Partners Fund Status as of March 31, 2025 REVENUES OPERATING ACTUAL HOUSING CAPITAL FUND CONTRIBUTIONS 2025 TOTAL CONTRIBUTIONS 2025 Auburn $45,474 -$45,474 Burien $26,236 -$26,236 Covington $13,118 -$13,118 Des Moines $13,118 -$13,118 Federal Way $59,466 -$59,466 Kent $59,466 -$59,466 Maple Valley $13,118 -$13,118 Normandy Park $6,996 -$6,996 Renton $59,466 -$59,466 SeaTac $17,963 -$17,963 Tukwila $13,118 -$13,118 King County $59,466 -$59,466 King County additional contribution $15,534 -$15,534 INTEREST EARNINGS $87,971 -$87,971 TOTAL $490,510 -$490,510 HOUSING CAPITAL FUND DETAIL EXPENDITURES Victorian Place II (Des Moines)$282,730 TOTAL $282,730 EXPENDITURES OPERATING ACTUAL HOUSING CAPITAL FUND ACTUAL TOTAL EXPENDITURES Wages $58,802 -$58,802 Benefits $15,804 -$15,804 Interfund Allocations $8,751 -$8,751 Professional Services $7,881 -$7,881 Travel $120 -$120 Supplies $26 -$26 Administration Fee $10,369 $10,369 Capital Projects -$282,730 $282,730 TOTAL 101,754 $282,730 $384,484 Beginning Fund Balance – January 1, 2025 $395,836 $11,251,725 - Estimated net change in fund balance – March 31, 2025 $388,755 ($282,730)- Estimated Ending Fund Balance – March 31, 2025 $784,591 $10,968,995 - 2025 Legislative Session Update Dorsol Plants, SKHHP Program Coordinator SKHHP Executive Board Updated on May 8, 2025 at 2:15 PM 1 SKHHP 2025 Legislative Priority South King County is facing a growing affordable housing crisis. In order to address this crisis, we need to fund all aspects of affordable housing, including: •Homeownership for moderate income households and below •Preservation of naturally occurring affordable housing (NOAH) •Land acquisition to secure permanent affordability •Permanent supportive housing (PSH) •Infrastructure around affordable housing developments •Workforce housing; especially smaller sized units below 60% AMI and family sized units at all income levels 2 The 2025 Legislative Session ended on April 27, 2025 3 SB 5195: 2025-2027 Capital Budget $605,000,000 to the Housing Trust Fund (HTF) $100,000,000 to the Connecting Housing to Infrastructure Program (CHIP) 4 HTF Investments 5 Affordable Multifamily rental: $215,000,000 Apple Health & Home Supportive Housing: $95,750,000 Affordable Homeownserhip: $72,500,000 Affordable Housing Preservation: $50,000,000 Affordable Housing for households with development or intellectual disability (IDD): $50,000,000 Grant to ROC Northwest for the acquisition and preservation of manufactured home communities: $17,500,000 Capital improvements and repairs to manufactured home communities: $10,000,000 Urgent Repairs for affordable housing: $5,000,000 Rapid acquisition and conversion of real property into housing and shelter for extremely low-income households or people experiencing homelessness: $10,000,000 Bills Enacted Bill Number Description Status HB 1075 Expanding housing supply by supporting the ability of public housing authorities to finance affordable housing developments. 4/11 - Signed by the Governor HB 1403 Simplifying condominium construction statutes. 4/22 - Delivered to Governor HB 1491 Promoting transit-oriented housing development. 4/25 - Delivered to Governor HB 1494 Concerning the property tax exemptions for new and rehabilitated multiple -unit dwellings in urban centers. 4/25 - Signed by the Governor HB 1696 Modifying the covenant homeownership program. 4/22 - Signed by the Governor HB 1791 Increasing the flexibility of existing funding sources to fund public safety and other facilities by modifying the local real estate excise tax. 4/24 - Signed by the Governor SB 5148 Ensuring compliance with the housing element requirements of the growth management act. 4/23 - Delivered to Governor SB 5184 Concerning minimum parking requirements. 4/23 - Delivered to Governor 6 Bills Enacted Continued Bill Number Description Status SB 5559 Streamlining the subdivision process inside urban growth areas. 4/24 - Delivered to Governor SS 5587 Concerning affordable housing development in counties not closing the gap between estimated existing housing units within the county and existing housing needs. 4/23 - Delivered to Governor SB 5686 Expanding and funding the foreclosure mediation program. 4/27 - Delivered to Governor 7 Funding Affordable Housing Bill Number Description Status HB 1206 Expanding eligibility to utilize the multifamily tax exemption program to all counties required or choosing to plan under RCW 36.70A.040.1/21 - Public Hearing HB 1210 Concerning targeted urban area tax preferences.4/27 - Third Reading HB 1334 Modifying the annual regular property tax revenue growth limit.2/11 - Public Hearing HB 1480 Allowing all counties to impose a real estate excise tax for the purpose of developing affordable housing, subject to the will of the voters.1/21 - First Reading HB 1694 Concerning revenues from the excise tax on real estate transactions imposed by cities and counties under RCW 82.46.035.2/13 - Public Hearing HB 1717 Creating a sales and use tax remittance program for affordable housing. 2/26 - Referred to Appropriations SB 5591 Creating a sales and use tax remittance program for affordable housing.2/7 - Public Hearing HB 1763 Providing state funding for essential affordable housing programs.2/18 - Public Hearing SB 5576 Providing state funding for essential affordable housing programs.4/27 - Third Reading 8 Funding Affordable Housing Continued Bill Number Description Status HB 1808 Creating an affordable homeownership revolving loan fund program.2/25 - Public Hearing HB 1867 Allowing counties or cities to impose a real estate excise tax for the purpose of developing affordable housing, subject to the will of the voters. 2/28 - Referred to Rules HB 1907 Defining the rental or lease of individual storage space at self -service storage facilities as a retail transaction for the imposition of business and occupation and sales and use taxes.2/25 - Public Hearing HB 2027 Increasing the supply of affordable and workforce housing.2/27 - First Reading SB 5711 Defining the rental or lease of individual storage space at self -service storage facilities as a retail transaction for the imposition of business and occupation and sales and use taxes.3/13 - Public Hearing SB 5553 Providing a sales and use tax incentive for multifamily affordable housing.1/28 - First Reading SB 5647 Providing a real estate excise tax exemption for the sale of qualified affordable housing.4/27 - Third Reading 9 Housing and Land Use Bill Number Description Status HB 1195 Concerning compliance with siting, development permit processes and standards, and requirements for permanent supportive housing, transitional housing, indoor emergency housing, or indoor emergency shelters. 3/19 - Returned to Rules Committee SB 5497 Concerning compliance with siting, development permit processes and standards, and requirements for permanent supportive housing, transitional housing, indoor emergency housing, or indoor emergency shelters.2/5 - Public Hearing HB 1212 Concerning the siting of childcare centers.2/22 - Public Hearing HB 1235 Ensuring compliance with the housing element requirements of the growth management act.1/21 - Public Hearing HB 1299 Concerning minimum parking requirements.2/4 - Public Hearing HB 1380 Allowing objectively reasonable regulation of the utilization of public property.2/28 - Referred to Rules HB 1732 Preserving homeownership options by limiting excessive home buying by certain entities.2/10 - Public Hearing SB 5496 Preserving homeownership options by limiting excessive home buying by certain entities.3/17 - Senate rules X file 10 Housing and Land Use Bill Number Description Status HB 1974 Establishing land banking authorities.2/18 - Public Hearing SB 5197 Ensuring that local government planning complies with the growth management act.3/17 - Senate rules X file SB 5332 Concerning mobile dwellings.2/26 - Public Hearing SB 5614 Concerning impact fees.3/17 - Senate Rules X file SB 5725 Expanding affordable housing opportunities on community and technical college lands.2/21 - Referred to Ways & Means 11 Thank you 12 Dorsol Plants, SKHHP Program Coordinator SKHHP Executive Board May 16, 2025