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SKHHP Executive Board
July 21, 2023, 1:00 – 3:00 PM
Virtual Meeting
Video conference:
https://us06web.zoom.us/j/99857398028?pwd=eXFiMmJpQm1abDZmMmRQbHNOYS8ydz09
OR by phone: 253-205-0468
Meeting ID: 998 5739 8028 Password: 085570
I. CALL TO ORDER
a.
b.
AND STAFF WORK GROUP MEMBERS
II. PUBLIC COMMENT
III. APPROVAL OF JUNE 16, 2023 MINUTES
(ATTACHED)
1:04
Executive Board meeting minutes
1:05
Authority (KCRHA)
Purpose: Alexis Mercedes Rinck, Director of Sub-
Regional Planning and Equitable Engagement and Abby
Anderson, Sub-Regional Planning Specialist for South
King County will provide an overview of the King County
Regional Homelessness Authority (KCRHA).
Background: KCRHA, formed by an interlocal agreement
in 2019, is the designated Continuum of Care in King
County. KCRHA is formally charged with overseeing the
homelessness response system. This includes data
oversight through administering the Homelessness
Management Information System (HMIS), managing
Coordinated Entry, and leading on planning efforts in
partnership with regional stakeholders. KCRHA is also
the primary public funder of homelessness services in
King County and administers federal, state and local
funding to local service providers.
V. BOARD BUSINESS
a. Revised Housing Capital Fund Guidelines
Purpose: Review the revised 2023 Housing Capital Fund
Guidelines that incorporates new pooled funds from
cities collecting HB 1590 revenue.
Background: Every year, the Board must adopt Housing
Capital Fund Guidelines per interlocal agreement
requirements for each year’s funding round. The Board
adopted the 2023 Housing Capital Fund Guidelines at
the June 16, 2023 Executive Board meeting which
established the funding priorities and process for
applicants to apply. The adopted guidelines included one
source of pooled revenue (SHB 1406). The Board
provided direction to incorporate HB 1590 funds into the
2023 Guidelines if legislative intent was established by a
contributing member jurisdiction by the July Executive
Board meeting. A revised draft incorporating HB 1590
funding available will be reviewed and presented.
Motion is to adopt the revised 2023 Housing Capital
Fund Guidelines.
1:35
Fund
Purpose: Discuss strategies to grow and sustain funding
for the SKHHP Housing Capital Fund over time and hear
from the Board on its vision.
Background: As part of the development of the 2024
SKHHP work plan, the Executive Board identified
developing a long-term funding strategy for the Housing
Capital Fund as a top priority for SKHHP. It is currently
included as a ‘critical item’ on the 2023 work plan. The
Board briefly addressed this topic at the June 16, 2023
Executive Board meeting. This is a continuation of the
previous discussion.
For review, discussion, and Board feedback only, no
action is proposed
2:15
Purpose: Discuss options for engaging in the 2024 state
legislative session.
Background: SKHHP has previously adopted state
legislative priorities, though the Board has indicated a
desire for SKHHP to remain neutral on legislation given
the diverse positions of SKHHP’s member jurisdictions.
priorities and engage the state delegation on the
affordable housing needs of South King County.
For review, discussion, and Board feedback only, no
action is proposed
VI. UPDATES/ANNOUNCEMENTS
VII. ADJOURN
SKHHP Executive Meeting
June 16, 2023
MINUTES
I. CALL TO ORDER
Chair Nancy Backus called the meeting to order at 1:02 PM.
a. ROLL CALL/ESTABLISHMENT OF QUORUM
Executive Board members present: Nancy Backus, City of Auburn; Colleen Brandt-
Schluter, City of Burien; Kristina Soltys, City of Covington; Traci Buxton, City of Des
Moines; Brian Davis, City of Federal Way; Dana Ralph, City of Kent; Sean P. Kelly, City
of Maple Valley; Eric Zimmerman, City of Normandy Park; Ryan McIrvin, City of Renton;
Sunaree Marshall, King County; Cynthia Delostrinos Johnson, City of Tukwila.
Staff members present: Claire Goodwin, SKHHP; Dorsol Plants, SKHHP; Dafne
Hernandez, City of Covington; Merina Hanson, City of Kent; Hannah Bahnmiller, City of
Renton; McCaela Daffern, King County; Nicholas Matz, City of Normandy Park.
II. PUBLIC COMMENT
No member of the public requested time to address the Executive Board.
III. APPROVAL OF MAY 19, 2023 MINUTES
Kristina Soltys moved to approve the May 19, 2023 minutes as presented, seconded by
Dana Ralph. Motion passed (9-0)
IV. BOARD BUSINESS
a. In-Person Icebreaker
Executive Board members were asked to break into small groups and discuss the
question, “What is your favorite housing development and why?”
Nancy Backus highlighted the Trek Apartments across the street from Auburn City Hall.
The development broke ground roughly ten years ago and was the catalyst to revitalize
Auburn’s downtown. Approximately 500 beds were added with another 50 to open at
the end of the month.
b. 2023 Housing Capital Fund Guidelines
Claire Goodwin brought a revised draft of the 2023 Housing Capital Fund Guidelines, which
captures feedback from the Executive Board, Advisory Board, and SKHHP Staff Work
Group. At the May meeting, the Executive Board expressed a desire for the project location
jurisdiction to be able to weigh in on an application before the end of the process and for the
process to be formalized in the guidelines.
The current timeline for releasing the Housing Capital Fund Guidelines is July 24, 2023, and
materials will be distributed through the SKHHP website. Materials include an optional
Intent to Apply form due by August 7. Applicants are required to schedule a pre-application
meeting before the September 15 application deadline. Pre-application meetings will include
Staff from the Project Location Jurisdiction and SKHHP Staff. The pre-application meeting
aims to address any issues early in the application process.
Once the project is ready, they will complete the Combined Funders Application and the
SKHHP Application Addendum. Additionally, Applicants submit a Letter of Consistency and
a Letter of Community Support from the project location jurisdiction. The intention is for
SKHHP Staff, the Jurisdiction, and the applicant to be in constant contact throughout the
application process.
In response to the desire by the Executive Board at the May meeting, Claire Goodwin
prepared draft language that incorporated the Board’s concern that the project location
jurisdiction would not have a say in the funding decision early in the process. "City staff from
the project location jurisdiction shall notify the respective SKHHP Executive Board member
and administration of the applicant's intent to apply. They may consult with their legislative
body on the project proposal. Within two weeks of such notification, a statement may be
submitted on the project proposal to SKHHP staff as part of the project's Housing Capital
Fund application."
The purpose behind the revised language includes providing flexibility for each Jurisdiction
to determine if they want to comment on the project when located in their Jurisdiction. It also
will ensure that the SKHHP Board member and administration know the applicant's intent to
apply and provide the opportunity to communicate any concerns to City staff. SKHHP staff
can communicate feedback to the applicant before applying. This language avoids creating
additional requirements for an applicant and any phrasing that may discourage an applicant
from applying. Additionally, SKHHP staff will provide a template for the letter of consistency
to streamline the process for city staff. The requirement that all cities providing funding
submit letters of support at the end of the application process was removed.
Other revised language included the addition of a funding priority per the Advisory Board’s
recommendation. “Economic Opportunity: Projects that support the advancement of
economic opportunity are a high priority. This includes proximity to transit, commercial
cores, and connections to workforce development and other services that promote upward
mobility, including, but not limited to, childcare centers, higher education institutions, and
libraries.”
Traci Buxton asked if step one of the review process on page eight is separate from the
step outlined on page three, which is the Notice of Intent to Apply. Claire Goodwin stated
that the review process is how SKHHP Staff will review an application for completeness.
The Notice to Apply is optional, but a developer must schedule a pre-application meeting to
submit an application. City staff will be notified when SKHHP Staff is aware of the project.
Brian Davis asked for clarification that the language removed was to clarify that instead of
jurisdictions providing a letter of support at the end of the process, it was replaced with the
new proposed language earlier int eh process to allow the opportunity for the project
location jurisdiction to weight in. Claire Goodwin confirmed that was correct. Brian Davis
asked several clarifying questions which Claire Goodwin provided responses on.
Brian Davis asked further what would happen if the project location jurisdiction wrote a letter
that did not support the project and if that meant funding would not proceed. Claire Goodwin
stated that was the intent of the Executive Board, but explicit language was left out to not
discourage a developer from applying. Brian Davis stated that he would want stronger
language explicitly stating in the guidelines that if project location jurisdiction didn’t want a
project, the project wouldn’t proceed the application process.
Dana Ralph reinforced Brian Davis's position and expressed concern about what could
occur with future Executive Board’s if that language wasn’t made clearer.
Eric Zimmerman asked about loan terms on page six of the guidelines. Specifically, is there
a legal framework in Washington State and case law that exists on how to condition the
funds through a loan or grant and putting covenants on properties to ensure the long-term
affordability? Claire Goodwin stated that the Housing Capital Fund Guidelines were
developed as part of the process last year with close review by legal staff and with SKHHP
staff working closely with other funding organizations. Eric Zimmerman asked if covenants
have withstood the test of time in terms of maintaining the agreed to affordability. Claire
Goodwin said that covenants are a standard process by which funders ensure affordability
over the years. Sunaree Marshall added that King County has covenants on all its
affordable housing funding sources.
Traci Buxton moved to adopt the 2023 Housing Capital Fund Guidelines, seconded by
Colleen Brandt-Schluter.
Dana Ralph spoke to the motion; SKHHP is a collaborative organization that brings
jurisdictions together. We have all come together to support Affordable Housing, and we
can't do it at the expense of another jurisdiction.
Sunaree Marshall spoke to the language in the motion, seeking to have the word changed
to Jurisdiction to include King County. Additionally, language was vague around who could
submit a statement, and it should be clear that it is from a Jurisdiction. Finally, language
should include space for jurisdictions to work with the developer to meet consistency with
the Jurisdiction.
Traci Buxton amended the motion to include, “Within two weeks of such notification, a
statement may be submitted on the project proposal to SKHHP staff as part of the project’s
Housing Capital Fund application, and the Executive Board will honor any preferences
expressed in a submitted statement, or a jurisdictional statement." Claire Goodwin
responded that the developer should not complete the application if SKHHP Staff had a
letter from the project location jurisdiction that was against the project. Traci Buxton clarified
that the language was chosen to prevent developers from being discouraged by avoiding
the word 'refusal' or 'rejected.'
Dana Ralph added that there is a difference between a project meeting the criteria through
a jurisdiction's planning process and the Jurisdiction itself providing funding to a project.
Kristina Soltys spoke to the motion, stating that Covington is entering discussions
around including their HB 1590 funds into the Housing Capital Fund, and there is a
need to consider the community when considering projects. Projects will differ, and
because the Jurisdiction has rejected one project does not mean they would be against
all future projects. Jurisdictions should be empowered to favor a project better suited to
their community than another project.
Eric Zimmerman spoke to the motion. From the perspective of SKHHP being a long-
term organization, the question should be asked what will keep jurisdictions at the
table? Trust must be built between jurisdictions so that anything done together would be
together. Requiring unanimity or providing the project location jurisdiction a veto on a
project undesired in the community would be a step toward securing that trust.
Additionally, a developer likely to apply for the SKHHP Housing Capital Fund would not
be discouraged by this language due to the size of the project and their experience.
Claire Goodwin spoke to tabling the discussion to give SKHHP Staff time to refine the
language. Nancy Backus asked the Executive Board their opinion on tabling. Kristina
Soltys spoke in support of tabling to ensure the correct language was produced.
Sunaree Marshall mentioned that if the guidelines would need to be amended in July to
include SHB 1590 funds, there was no need to pass the motion today. Claire Goodwin
added that there would be an advantage to coming to a decision today in order to focus
on the revised draft that incorporates HB 1590 revenue at the July meeting.
Claire Goodwin put forward the amended language, “City staff from the project location
jurisdiction shall notify the respective SKHHP Executive Board member and
administration of the applicant’s intent to apply and may consult with their legislative
body on the project proposal. Within two weeks of such notification, a statement may be
submitted on the project proposal to SKHHP staff as part of the project’s Housing
Capital Fund application, and should the Jurisdiction not be supportive, SKHHP staff will
inform the applicant and that proposal will not be considered."
Dana Ralph put forward a slightly modified version of the previous statement," City staff
from the project location jurisdiction shall notify the respective SKHHP Executive Board
member and administration of the applicant’s intent to apply and may consult with their
legislative body on the project proposal. Within two weeks of such notification, a
statement may be submitted on the project proposal to SKHHP staff as part of the
project’s Housing Capital Fund application. Should the Jurisdiction not be supportive,
the proposal shall not move forward for consideration.”
Ryan McIrvin asked if it was implied or should be included that a jurisdiction may be
against a project in this funding round only, and not future funding rounds. However, the
applicant should be encouraged to apply if the project better aligns with the Jurisdiction.
He suggested adding language that included,” … the proposal shall not move forward
for consideration in the current funding cycle.”
Colleen Brandt-Schluter added that Burien had recent experience as the Project
Location Jurisdiction of all three 2022 Housing Capital Fund applicants. All three
projects were well known to the city staff and government when applying for SKHHP
funding. Many processes have been met when a project reaches the SKHHP funding
request point. It's essential to place the SKHHP process in the context of the significant
process both the Jurisdiction and the developer have undertaken before applying for the
SKHHP Capital Fund.
Dana Ralph responded that the development planning and approval process differs
from providing funding to support the project. She would not want to use Kent funding to
force a project on another jurisdiction that they wouldn’t want.
Nancy Backus added that the goal is to fund projects the entire SKHHP Board supports.
Claire Goodwin expressed support for the current amended language and believes the
language encompasses the variety of city governments inside SKHHP. The language
will lead to the SKHHP Board member and Jurisdiction being notified. Changing it to
elected leadership would pose challenges. By alerting the City Manager, they can
decide if it needs to be elevated to the Mayor or City Council.
Traci Buxton asked if jurisdictions who care deeply about this process need to ensure
an Elected Official serves as the Executive Board member.
Colleen Brandt-Schluter expressed that a staff person serving as an SKHHP Executive
Board member may be more likely to notify their elected officials about incoming
projects to their Jurisdiction.
Brian Davis asked if the Jurisdiction has two weeks to provide a letter, when does that
start, and who is driving the clock to ensure a response? He suggested tying the two
weeks to the date of the pre-application meeting. Claire Goodwin responded with a
concern that some pre-application meetings may occur late in the process and wants to
ensure enough time for interested applicants to hear any concerns before the
September 15 deadline. Her goal would be that as soon as SKHHP staff becomes
aware of the interest, Staff will communicate with the Executive Board member and
administration while scheduling the pre-application meeting. Brian Davis responded that
the current draft language makes the developer and SKHHP Staff dependent on the city
without the ability to drive a response.
Nancy Backus asked how the situation would be handled if SKHHP received notification
of the application but could not respond within two weeks of receiving a note of interest.
Language should be clear when the two-week period begins, possibly upon notification
to SKHHP staff.
Brain Davis stated that SKHHP should define and control time zero and the deadline.
He asked for clarification why the pre-application meeting does not work as the start of
the two weeks.
Nancy Backus answered that if the pre-application meeting were the start of the period,
all pre-application meetings would have to be held by September 1.
In response to the discussion, the language was amended, “City staff from the project
location jurisdiction shall notify the respective SKHHP Executive Board member and
administration of the applicant’s intent to apply and may consult with their legislative
body on the project proposal. Within two weeks of the pre-application meeting, a
statement may be submitted on the project proposal to SKHHP staff as part of the
project’s Housing Capital Fund application. Should the Jurisdiction not be supportive,
the proposal shall not move forward for consideration in the current funding cycle.”
Brian Davis moved to amend the language around the pre-application meeting in the
Housing Capital Fund Guidelines to read, "Staff from the project location jurisdiction
shall notify the respective SKHHP Executive Board member and administration of the
applicant's intent to apply and may consult with their legislative body on the project
proposal. Within two weeks of the pre-application meeting, a jurisdiction may submit a
statement on the project proposal to SKHHP staff as part of the project's Housing
Capital Fund application. Should the jurisdiction not be supportive, the proposal shall
not move forward for consideration in the current funding cycle", seconded by Ryan
McIrvin. Motion passed (11-0)
Motion passed to adopt Housing Capital Fund Guidelines as amended. (11-0)
c. POOLING HB 1590 REVENUE
Claire Goodwin opened the discussion on pooling HB 1590 revenue by providing
background information related to the legislation. HB 1590 was passed by the state
legislature in 2020 and authorized jurisdictions to impose 0.1% local sales and use tax
to support affordable housing, behavioral health facilities, and related supportive
services. Jurisdictions had a limited window to collect tax revenue before King County
could collect the revenue. Four SKHHP jurisdictions collect HB 1590 funds, including
Covington, Kent, Maple Valley, and Renton.
RCW 82.14.530 specifies that at least 60% of funds collected must fund: constructing or
acquiring affordable housing; constructing or acquiring behavioral health-related
facilities or acquiring land for these purposes; funding the operations and maintenance
costs of new units of affordable housing. Funds must support households earning up to
60% AMI from specific populations: Persons with behavioral health disabilities,
veterans, seniors, the homeless or people at risk of homelessness, unaccompanied
homeless youth, persons with disabilities, and domestic violence survivors. King County
uses HB 1590 revenue to fund the Health Through Housing program.
Claire Goodwin updated the Executive Board that preliminary conversations had
occurred with SKHHP jurisdictions collecting HB 1590 funds, with each Jurisdiction
being in a different place. Covington has had conversations with SKHHP previously
about using HB 1590 funds, with SKHHP Staff presenting on the topic to the Covington
City Council June 13, 2023. While no formal action has been taken, Covington will
consider pooling 50% of the 60% of the Capital portion of HB 1590. Kristina Soltys
added that this item is scheduled to go before the Covington City Council in July, hoping
that funds can be added to the 2023 Housing Capital Fund round.
Claire Goodwin let the Board know that the City of Kent had taken legislative action in
prior years and is committed to pooling 100% of the 60% Capital portion.
Maple Valley has not had conversations at the Council level but will likely pool some HB
1590 funds.
Renton may pool with SKHHP in future years, but is still discussing other opportunities
such as with the Renton Housing Authority.
Based on current conversations, adding HB 1590 funds could bring the 2023 Housing
Capital Fund an additional $4.85 million. If Covington and Kent contributed HB 1590
funds, it would add an additional $2.4 million annually.
Sean P. Kelly added that the discussion of pooling HB 1590 funds is on the Maple
Valley City Council agenda for July 10.
Claire Goodwin asked the Executive Board if they supported SKHHP staff undertaking
the work to incorporate HB 1590 funds into the adopted 2023 Housing Capital Fund
Guidelines. The additional funds would be used to acquire and construct affordable
housing. The Executive Board strongly supported including HB 1590 funds in the 2023
Housing Capital Fund.
d. LONG-TERM FUNDING STRATEGY FOR HOUSING CAPITAL FUND
Claire Goodwin sought feedback from the Executive Board on developing long-term
funding strategies for the Housing Capital Fund. Developing long-term funding
strategies was the top priority for the Executive Board during the drafting of the 2024
Work Plan and is included on the 2023 Work Plan as a ‘critical item’: “Develop a long-
term funding strategy for the SKHHP Housing Capital Fund and facilitate conversations
with member jurisdictions to identify and explore dedicated sources of revenue for
affordable housing at the local and regional level.” The Executive Board split into small
working groups to discuss what developing a long-term funding strategy means for
them. SKHHP Staff Work Group members were asked to join the small groups to take
discussion notes. As part of the agenda packet, an inventory of potential sources of
revenue was included and the groups were asked to discuss which options their
jurisdictions might support and which ones they likely wouldn’t support.
Claire Goodwin asked for the groups to provide an update on their conversation.
Cynthia Delostrinos Johnson stated that her group had potentially identified two funding
sources not currently being used. The first is philanthropic opportunities and creating
communication strategies to develop those partnerships. The second is working
together to seek funding from the state and federal delegations. There was some
concern about the impact other options might have on the current state of affordability
for housing.
Claire Goodwin collected notes from the small groups for future discussion.
e. SKHHP ADVISORY BOARD RECRUITMENT
Dorsol Plants provided an update on the planned summer recruitment drive for the SKHHP
Advisory Board. The Advisory Board consists of twelve to fifteen community members or
organizations dedicated to developing and preserving affordable housing. The Advisory
Board has ten active members, including five community members and five organizations.
The purpose of the recruitment drive starting on June 19 is to fill the five vacant positions.
As part of the recruitment, SKHHP staff identified categories of knowledge and experience
that are limited or not present among the current makeup of the Advisory Board. These
included perspectives from housing developers, landlords, philanthropic organizations, and
people currently residing in affordable housing. Materials have been prepared to help
spread the word about the Advisory Board recruitment.
V. UPDATES/ANNOUNCEMENTS
Claire Goodwin announced she would be on vacation from August 21 to Sept 4. A coverage
plan will be developed.
VI. ADJOURN
Nancy Backus adjourned the meeting at 3:00 PM