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2023 Housing Development Review

The City of Springfield continues to implement the Council’s Housing Strategy to increase the supply and affordability of housing in the community. 2023 was yet another record year for housing in Springfield! The City issued building permits for 522 new dwelling units, including 174 single-unit dwellings and 320 multi-unit dwellings. This was an increase of 131 units over 2022. For more info about residential development in Springfield, click the image above. 

The Council adopted the Housing Diversity Tax Exemption “HDTE” program during its May 6, 2024 meeting. The HDTE is a property tax exemption program that will incentivize development of new multiple-unit housing in specified transit-served and core areas of Springfield by exempting qualifying projects from paying some property taxes for their first 10 years of operation. 

Prior to adoption, during its April 15, 2024 meeting Council directed staff to include new parking for residents and new ground floor commercial space in a mixed-use building (when determined to be a pubic benefit) in the improvements that can be exempt under the HDTE program in addition to new residential improvements. 

For the exemption to apply to the full tax amount and not just the City’s share, the City must get support for the program from at least 51% of the tax levy. Now that the HDTE is adopted, the City will begin asking other local taxing districts to support the program. Additional information on the tax exemption, including the application, will be posted to the City’s Housing Incentives webpage as it becomes available.

Community Development Block Grant Updates

The City of Springfield uses federal Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD) to assist with affordable housing development, housing-related services, neighborhood revitalization, public improvements, and downtown redevelopment activities. The primary purpose of the CDBG program is to benefit low- and moderate-income persons.

The City is considering reallocating approximately $470,494 in funds previously awarded to Catholic Community Services of Lane County’s OASIS day center construction project for homeless families with children. The City is at risk of losing CDBG funds if they are not spent quickly. This project has experienced delays and is currently not ready to proceed. Substantial amendments to prior plans would allow the City to reallocate funds toward new yet-to-be-determined projects that are ready to proceed.

• A 30-day public comment period on the proposed substantial amendments is currently open and will close on May 31, 2024.

• Springfield’s Community Development Advisory Committee (CDAC) will hold a public hearing on these proposed amendments on Wednesday, May 29, 2024. The public hearing will be held at 5:30 pm in the Jesse Maine Room in Springfield City Hall, located at 225 Fifth Street in Springfield, Oregon, as well as virtually through Zoom. More information about the meeting and the proposed amendments can be found by clicking here.

The CDAC will consider all written comments and oral testimony during the public hearing regarding the use of funds and will make a recommendation to the Springfield City Council for amending any Community Development Block Grant Annual Action Plans. 

Housing and Community Needs Survey for Consolidated Plan

Additional information regarding the Eugene-Springfield Consolidated Plan process and staff contact information are available at the City of Eugene's Consolidated Plan webpage.

Housing Opportunities in Non-Residential Areas Code Amendments

The City is working on Development Code amendments to allow for some housing in non-residential areas. The amendments will include changes prompted by recent state legislation and will also clarify existing code language related to income-qualified housing. The recent State laws open new opportunities for income-qualified housing to be built in commercial areas and allows conversion of a building from a commercial to residential use. The laws also expand opportunities for manufactured dwelling park nonprofit cooperatives.

On June 10, 2024 at 5:30 pm the City will hold a joint public hearing with the City Council and Lane County Board of Commissioners to consider the proposed Development Code amendments. Members of the public may submit written testimony and attend the meeting via Zoom or in person at City Hall at 225 Fifth Street.

Comments may be submitted to Haley Campbell at hcampbell@springfield-or.gov or on the project webpage at: https://springfieldoregonspeaks.org/projects/housing-opportunities-in-non-residential-areas where more information and how to attend the June 10th meeting is also available. 

New Program to Fund Land Acquisition for Housing

During its April 15, 2024 work session, Council directed staff to continue developing the proposed Springfield Land Acquisition Program, a program which would award funding to developers to acquire land to be developed with income-qualified housing serving households with low incomes. The program would award funding as a forgivable loan, forgivable upon completion of a 20-year affordability period. Funds would only be available for land acquisition and could not be used for pre-development, site preparation, or construction. 

The City has approximately $900,000 available and would run the program until funds are expended. The Council will consider adoption of the Land Acquisition Program during its July 1, 2024 regular session. If adopted, applications would be reviewed and considered for funding on a rolling basis. 

New Income-Qualified Housing Coming to Laura Street

As part of the City’s land acquisition efforts, the City acquired a small residentially zoned property on Laura Street from Lane County in Fall 2023. Lane County had foreclosed on the property and agreed to transfer it to the City for the development of income-qualified housing for a nominal fee as allowed by County and State law.  

City Council has directed staff to pair the property with development and operation funding from the federal HOME Investment Partnership Program – American Rescue Plan Act (HOME-ARP). Funding will be awarded to a developer through the HOME-ARP request for proposal (RFP) process which opens later this Spring. Information on the RFP will be available on the City of Eugene's HOME-ARP webpage.

In preparation for the release of the RFP, the City held a meeting on April 18th to share information about the site and the City’s plans with nearby neighbors. More information on the City’s plans for the Laura Street property, and a link to sign up to stay informed can be found on the City’s Land Acquisition webpage.