Mary Stegall is a woman of incredible vision, intellect and backbone. Residents have come to know Stegall as someone who speaks her mind, does her research and votes her conscience, even when it’s politically unpopular. I have long admired Mary’s compassion, tenacity and her dedication to improving the lives and living conditions of all north state residents, whether it’s by supporting downtown Redding revitalization, encouraging more trails and open spaces, or by standing up for those who cannot stand up for themselves.
Here is Theimer’s excerpted quote regarding affordable housing: “…Such a home is possible. What is still needed (besides a few willing developers) is a little help from both our friendly local government and banker. We need lower city permit fees on single family residences that meet high-efficiency standards, not as a government subsidy, but because more energy-efficient design can have significantly less impact on our utilities and services.”
Here is Jim’s question to Mary Stegall: “Isn’t the city already taking measures to promote such housing? Are permit fees truly a barrier?”
Finally, what follows is Stegall’s reply, which Jim shared on this Web site’s community comments forum:
“I think the simple answer to your question is yes, the City is pro-active and doing things to help the affordability issue, working with the public, construction industry and other agencies. That being said, it remains a struggle in the current market place for all of us. Below is information that you may find useful in forming your thoughts on this topic.
Fees:
1. City fees represent approximately 9 to 11 percent of the cost of a typical home. This range is the same for all jurisdictions in Shasta County, with Anderson slightly lower than Redding, and Shasta Lake slightly higher. The only viable option for municipalities to reduce fees, given the legal framework available to cities, is to reduce development standards. In the long run this would likely result in more congestion, fewer parks, less open space, and a generally poorer quality of life for all residents.
2. The fee programs do, indeed, recognize that the size of housing does affect the need for services. Impact fees cover all the public infrastructure construction costs for a home that will be using the roads, parks, etc. for 50 years or more. At some point the incremental cost of constructing a road, sewer line, fire station and similar service or improvement is fixed regardless of the size of the home, but where possible and legally supportable, fees directly reflect housing choices. Examples: A 1,200 square-foot house – all fees in, including money for schools and parks – would pay $29,700; while a 3,300 square-foot house would pay $40,708; 27 percent more than the smaller house.
3. Perhaps the greatest single cost for new housing is the cost of the land, which ultimately City actions have relatively limited effect on. The value of a typical developed subdivision lot will exceed $50,000 to $60,000. One of the best ways to reduce the cost of land (and services) is simply to provide adequate land for well-designed, higher-density housing. More than 35 percent of the residential land in Redding is zoned for densities of six units per acre or more, while the typical subdivision is developed at three units per acre. The build-out population of Redding is projected to exceed 200,000 residents, and of this total, 70,000 are projected to live in higher-density housing. Higher-density housing should not be confused with the low-quality construction of apartments built from the late ’60s through the late ’70s and still visible in certain parts of Redding . Higher-density housing constructed over the past eight to 10 years, whether market rate or affordable, is far superior in construction quality and overall design than years past.
Affordability
1. The City has in place multiple programs to assist with affordability for buyers earning up to 120 percent of the median income (for a family of four this is up to $63,200). Programs include Down Payment Assistance (DAP) of up to $35,000, and DAP Plus Programs in target neighborhoods with greater incentives, a Lease Option Program for renters attempting to buy a home, and an In-fill Construction Loan Program.
2. The City also provides multiple options for relief from basic development standards for housing projects that include an affordable component (again, 120 percent of the median income). This is being used along with the Earth Advantage program described below, to support the partnership with the Shasta Builders Exchange and Habitat for Humanity to develop the AGREE Park model housing products. Mr. Theimer is one of the architects on this project.
Environmental Quality/Green Building:
1. Redding is one of the few cities in the state to have an active green building and energy efficiency certification program. The Redding Electric Utility (REU) – in partnership with the Shasta Builders’ Exchange, the City Building Department, and the City’s Water and Solid Waste Utilities – has launched the Earth Advantage® Program for new construction projects in the City of Redding . Earth Advantage is designed to offer builders and developers multiple options on building techniques, products and other measures to meet program standards and criteria. These standards will enhance the quality and lower the operating costs of Earth Advantage homes, making them more efficient, durable, healthy and valuable than other homes that are not built to Earth Advantage standards. In turn, homes meeting the Earth Advantage standard receive special certification. This effort is combined with the Earth Advantage Rebate program to provide multiple incentives to encourage green building techniques and energy efficiencies.
2. The community has integrated land use planning with forward thinking open space and environmental resource preservation policies. Today, every resident is probably within 10 minutes of designated open space in Redding . In the future build-out of the Redding Planning area this will not change, because 30 percent of the total land area in the City will have been retained for open-space or recreation areas. This is a standard that few, if any, communities will be able to match.
– by City of Redding Mayor Mary Stegall
Note: Mary Stegall photo from the City of Redding Web site.