Melissa Donahue

This memorandum outlines proposed policy changes for the 9% Low Income Housing Tax Credit (LIHTC) Program for the 2027 program year. Key updates include lowering the minimum point score threshold for the Seattle/King County Pool to address housing ecosystem challenges, restructuring the Additional Use Period to incentivize affordability commitments beyond 40 years, and updating underlying data for Job Centers and Transit Oriented Development to reflect current market conditions and align with state frameworks. These proposed changes aim to enhance the program's effectiveness in serving extremely low and very low-income households and special populations, while improving transparency and stakeholder engagement.

The public hearing focused on a proposed financing plan for the issuance of tax-exempt and/or taxable revenue obligations to fund the acquisition, construction, and equipping of a 272-unit multifamily housing facility located in Olympia, Washington. The project, known as Harbor Pines, involves setting aside a percentage of the total units for low-income residents, with an estimated total facility cost of approximately $113,485,466 and an aggregate bond issuance not expected to exceed $60,000,000.

The board meeting agenda includes public hearings on the issuance of tax-exempt and/or taxable revenue obligations for the Latitude Apartments project, recommendations for the allocation of 9% Low-Income Housing Tax Credits, and a presentation on Low-Income Housing Tax Credit Program policy updates. Action items feature the authorization of 2026 tax credit allocations, approval of bond issuances for multifamily housing facilities including Harbor Pines, Teanaway Court, and Silver Creek by Vintage, as well as the adoption of a Single Family resolution and approval of the Fiscal Year 2027 operating budget and transfer of operating reserves.

The commission held a multi-day budget and planning session alongside a business meeting to review organizational updates and bond resolutions. Key agenda items included the approval of tax-exempt and taxable revenue obligations for various housing facilities, such as Teanaway Court, Harbor Pines, Riverview Retirement Community, and Heron's Key. The commission also discussed proposed preservation pilot policies for the bond and low-income housing tax credit program, transferred reserve funds to HomeSight for community development, and received updates on department activities and commission performance, including a recently issued bond rating.

The board meeting included employee recognition awards for years of service and quarterly achievement. Public hearings were conducted for several housing projects, including Heron's Key and Silver Creek by Vintage, as well as a presentation on proposed Preservation Pilot Policies for the Bond/4% LIHTC Program. The Commission approved bond resolutions for Wesley Homes Des Moines and The Summit at First Hill, along with a request to increase tax credit allocation for the Lewis, Spruce, and Sixth project. Additionally, the Board authorized a $5 million investment from the Program-Related Investments reserves to HomeSight. The Executive Director provided updates on department activities, including a new bond rating, the Governor's Housing Task Force, and legislative implementation.