SUBJECT:
Title
PUBLIC HEARING: An Ordinance of the Town Council of the Town of Erie Amending Chapters 6 and 7 of Title 10 of the Erie Municipal Code Removing Alternative Standards for Affordable Housing Projects
Department
DEPARTMENT: Planning & Development
Presenter
PRESENTER(S): Sarah Nurmela, Planning and Development Director
Kelly Driscoll, Planning Manager
end
Time
TIME ESTIMATE: 60 minutes
end
Fiscal
FISCAL SUMMARY:
N/A
Policy
POLICY ISSUES:
Current provisions in the code, adopted in mid-2023, allow projects with 12% or more affordable units to have an administrative development review process. Zoning changes still require a public hearing. The Council will weigh the benefits of administrative development review against the ability for Planning Commission and/or Town Council to approve such projects.
Recommendation
STAFF RECOMMENDATION:
The proposed Ordinance is responsive to the Council’s direction from the March 4 Study Session.
Body
SUMMARY/KEY POINTS
• On March 4, 2025 the Council directed staff to prepare an Ordinance that would amend the Unified Development Code (UDC) to remove the alternative standards and administrative approvals for affordable housing projects. Staff, with the assistance of the Town Attorney, prepared the attached Ordinance reflecting this direction.
• The Erie Municipal Code requires the Planning Commission to review proposed amendments to the UDC. The Planning Commission discussed the proposed Ordinance at its May 7, June 18, and July 2 meetings.
• The Planning Commission voted 6-1 to approve Planning Commission Resolution P25-07, finding that the proposed Ordinance meets the approval criteria specified in the UDC, but instead of removing alternative standards and administrative approvals, recommends the Town Council limit them to developments with 100 or less units, of which 12% or more are affordable; and further recommends Council take a collaborative approach with the Planning Commission to draft a Proposition 123-compliant ordinance.
• To remain eligible for Proposition 123 funds from the State, the Town must adopt a “fast track” development review and approval process for affordable housing by December 2026.
BACKGROUND OF SUBJECT MATTER:
In July 2023, the Town Council adopted changes to Municipal Code Title 10 Unified Development Code (UDC) to allow alternative standards for affordable housing developments and administrative review and approval for eligible developments. Ordinance No. 017-2023 implemented changes to serve as initial efforts to facilitate affordable housing development and adopt the Proposition 123 “fast track” requirements. Specifically, Chapter 6 amendments allowed alternative standards for affordable housing developments affecting density, lot size, setbacks, and alternative equivalent compliance opportunities. Chapter 7 amendments provided for administrative review under the existing minor subdivision and site plan review process. Chapter 11 amendments provided definitions for Affordable Housing and Area Median Income (AMI) as needed for the Chapters 6 and 7 amendments.
In March 2025, during a Town Council Study Session on the Comprehensive Plan and Affordable Housing, Council directed the Affordable Housing Division to prepare an Ordinance repealing the administrative review provisions in Ordinance 017-2023. The Town Council expressed interest in finding a path to compliance with the “fast track” approval requirements of Proposition 123 but also still allow for review and approval by Council. Additionally, Council supported the Town’s involvement in the Boulder Regional Housing Partnership’s efforts to create a consistent approach for the region.
Reflecting Council’s direction, the proposed Ordinance would amend the UDC to remove from Chapters 6 and 7 the alternative standards and the administrative review process for affordable housing projects. The definitions of Affordable Housing and Area Median Income (AMI) remain in Chapter 11, as defined in Ordinance 017-2023. If Council adopts this Ordinance, no new affordable housing developments will be approved under an administrative review process unless Council passes a new ordinance providing for that process.
Because this proposed Ordinance would amend the UDC, the Erie Municipal Code requires the Planning Commission to first review the proposed amendments and make a recommendation to the Town Council. In accord with this requirement, the Planning Commission considered the proposed Ordinance at its May 7, June 18 and July 2 meetings. After significant discussion, the Planning Commission voted 6-1 to approve Resolution P25-17, which finds that the proposed Ordinance meets the approval criteria specified in the UDC, but recommends the Town Council preserve the affordable housing provisions in Ordinance 017-2023 by limiting the administrative review process to developments of 100 units or less, of which 12% or more are affordable, and by tasking the Planning Commission to work with Town staff and Town Council to develop a UDC amendment that addresses concerns identified in one or more joint study sessions with Town Council and the Planning Commission. All Commissioners supported a collaborative approach with Council to develop a new ordinance for affordable housing. The Planning Commission’s recommendation and meeting minutes are provided for reference.
priorities
TOWN COUNCIL PRIORITY(S) ADDRESSED:
☐ Attractive Community Amenities
☐ Engaged and Diverse Community
☐ Prosperous Economy
☐ Well-Maintained Transportation Infrastructure
☐ Small Town Feel
☐ Safe and Healthy Community
☒ Effective Governance
☐ Environmentally Sustainable
☐ Fiscally Responsible
attachments
ATTACHMENT(S):
1. Ordinance No. 023-2025
2. PC Resolution P25-07
3. Staff Report
4. Staff Presentation
5. Planning Commission Meeting Minutes May 7
6. Planning Commission Meeting Minutes June 18
7. Public Comment to Planning Commission June 18
8. Draft Planning Commission Meeting Minutes July 2
9. Notice