Referred to: The Housing and Transportation Committee (Chairman Collins and Legislators Clinton, Corcoran, Harmon, Kitchen, McCollough, and Stewart), and The Ways and Means Committee (Chairman Gavaris and Legislators Collins, Hansut, Kovacs, Nolan, Roberts, and Uchitelle)

Chairman of the Housing and Transportation Committee, Jeff Collins, and Deputy Chair Thomas Corcoran offer the following:

WHEREAS, this resolution is submitted at the request of the County Executive on behalf of the Department of Planning; and

WHEREAS, all residents of Ulster County deserve safe and decent housing at an affordable cost; and

WHEREAS, the Ulster County Planning Department continues to monitor and document the housing crisis facing Ulster County, revealing:

•           29% of renter households and 12% of owner households in Ulster County spend more than half their income on housing costs (severely cost burdened);

•           the average rent for one- and two-bedroom apartments increased by 40-50% over the past four years while the median income has increased by 27% over the same period;

•           the median sale prices have increased approx. 83% over the past four year from $245,000 in 2019 to $450,000 in 2024;

•           the housing vacancy rate for rental and for-sale properties in 2023 was approximately 3.5% and has remained below 5%, the target that demonstrates a healthy and balanced housing market, since 2007; and

WHEREAS, an affordable, diverse housing stock is of fundamental importance to the overall health and well-being of all communities and represents a critical part of the social and economic infrastructure of the community whose benefits include improved health and education, employment outcomes, higher civic engagement, and reduced public service costs; and

 WHEREAS, Ulster County’s Housing Action Plan and its Housing Smart Communities Initiative illuminate the significant housing shortages within the county and includes a recommendation to support innovative approaches to reducing the cost of housing including the creation of Accessory Dwelling Units (ADUs) and other modular construction techniques; and

WHEREAS, pursuant to Resolution No. 501 of October 18, 2022 and Resolution No. 15 of February 13, 2024 the Ulster County Legislature authorized an application to the HTFC whereby the County in partnership with RUPCO has been awarded a total of $6,750,000.00 through the Plus One ADU Program for the construction of ADUs within the County; and

WHEREAS, the County, in partnership with RUPCO, is currently in the process of administering ADU funding awards through the Plus One ADU Program of $112,500.00 dollars per award to households earning up to 100% of Ulster County Area Median Income in exchange for keeping rents affordable for the new ADUs for ten years; and

WHEREAS, the County Planning Department has observed that the estimated construction costs for many of the ADU projects awarded through the program are above $112,500.00 and, as a result of the Program’s income limits for eligible households (i.e., 100% of Ulster County AMI), awardees have had significant challenges in obtaining additional funds or financing to close the funding gaps for the projects, leaving many projects abandoned or stalled; and 

WHEREAS, on April 18, 2023, the County Legislature adopted Local Law No. 3 of 2023, designating the development, maintenance, management, and/or provision of Affordable Housing as a public purpose in accordance with the New York State Constitution; and

WHEREAS, the County Legislature adopted resolution 330 of August 15, 2023, establishing the Ulster County Housing Action Fund and, accordingly, created an assigned fund for Affordable Housing that was seeded with fifteen million dollars ($15,000,000.00) dollars to said Fund; and

WHEREAS, the purpose of the HAF is to support the construction, development, and redevelopment of housing that residents can afford, prioritizing the County’s most vulnerable populations, including unhoused individuals and families and households making up to 80% of Ulster County Area Median Income (AMI); and

WHEREAS, the current standards and discussion surrounding the creation of the Housing Action Fund did not contemplate its use for revolving loans; and

WHEREAS, the HAF can serve an important and long-term role in expanding opportunities to build affordable ADUs in Ulster County through the development of an ADU Revolving Loan Fund; now, therefore be it

RESOLVED, that the purpose of the Housing Action Fund is hereby amended to include the use of funding for the creation of an Ulster County ADU Revolving Loan Fund; and, be it further

RESOLVED, the Ulster County Planning Department will release a Request for Proposals for the detailed development and implementation of the ADU Revolving Loan fund with a specification that proposals be submitted as a partnership between a housing-focused organization and local financial institution to ensure effective implementation of the loan on behalf of the County; and, be it further

RESOLVED, that for fiscal year 2025 the County Legislature hereby anticipates up to one million five hundred dollars ($1,500,000.00) of the Housing Action Fund will be made available for the creation of the ADU Revolving Loan Fund (ADURLF); and, be it further

RESOLVED, the award of funding from the ADURLF shall be appropriated only by a majority vote of the Legislature; and, be it further

RESOLVED, the Commissioner of Finance in his/her discretion, will partner with the chosen organization(s) to ensure the moneys to be included in the ADU Loan Fund are managed in accordance with the Law of the State of New York and consistent with the Policies of Ulster County, and, be it further

RESOLVED, that funding of the ADURLF established by this Resolution, and any contracts in excess of $50,000.00 or contract amendments which cause such contracts to exceed the aggregate sum of $50,000.00, made in connection with the ADURLF, shall be subject to the further approval of the Ulster County Legislature,   

and moves its adoption.

ADOPTED BY THE FOLLOWING VOTE:

AYES:                        NOES:             

Passed Committee: Housing and Transportation on ________________.

Passed Committee: Ways and Means on ________________.

FINANCIAL IMPACT:

$1,500,000.00 – ANTICIPATED APPROPRIATION OF ASSIGNED HOUSING

     ACTION FUND