STATEMENT/PURPOSE

The Town of Jackson has received a request for consideration of a Housing Mitigation Plan associated with a

Minor Development Plan for an addition to the Grand Victorian Lodge located at 85 Perry Street.

BACKGROUND/ALTERNATIVES

Town staff are in the process of reviewing a Minor Development Plan to allow a change of use to convert an

existing 2,676 square foot single family home to short term lodging. Since the application is for less than

6,000 square feet it is classified as a Minor Development Plan and does not require Town Council review.

Council is being asked to review and approve the Housing Mitigation Plan associated with the application.

APPLICABLE REGULATIONS

Division 49500 Employee Housing Standards

STAFF ANALYSIS

The employee housing requirement as a result of the proposed change of use is 125.8 square feet. Since the

requirement does not meet the minimum requirement to provide a full onsite or offsite unit the applicant is

allowed to pay a fee in lieu of providing the housing or provide an alternative means for meeting the

requirement pursuant to Section 49570 Independent Calculation.

The applicant has proposed to satisfy the employee housing requirement, by using one (1) employee housing

credit that was generated as the result of the construction of additional units built on Lot 21 of Webster

LaPlant Homestead Fifth Addition. At the time of construction, Employee Housing Solutions initially owned

34 employee housing credits represented by deed restricted units at Webster LaPlant. To date, a total of 20

credits have been used to satisfied employee housing requirements at Teton Village (various locations), the

Rendezvous Bistro, the Rustic Inn and the Best Western Lodge of Jackson Hole.

TOWN OF JACKSON

TOWN COUNCIL AGENDA DOCUMENTATION

PREPARATION DATE: OCTOBER 2, 2013 SUBMITTING DEPARTMENT: PLANNING

MEETING DATE: OCTOBER 7, 2013 DEPARTMENT DIRECTOR: TYLER SINCLAIR

PRESENTER: TYLER SINCLAIR

SUBJECT: ITEM P13-070 - A REQUEST FOR APPROVAL OF A HOUSING MITIGATION PLAN

AT 85 PERRY STREET

APPLICANT/OWNER: RI, LLC

REPRESENTATIVE: Y2 CONSULTANTS, INC. - ZIA YASROBI

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Staff’s original position in 2001 found that the proposed Housing Mitigation Plan did not meet the goals and

objectives of the Comprehensive Plan. The intent of the Comprehensive Plan was to require employers to

meet their requirements for employee housing by creating new housing stock within Teton County. Staff

found that without requiring employers to provide new additional employee housing units to meet their

required employee housing requirements, the community may never make up the gap between the demand

for and supply of employee housing in Teton County.

Staff’s current position is more neutral, leaving it to the Town Council to review the use of these credits on a

case by case basis. In the event the Town Council chooses to approve the request, Staff offers the following

comment:

The request does not involve the creation of new employee housing units. The units were provided up front

with the original construction of Webster LaPlant Fifth Addition. A total of 34 additional deed restricted

units were created voluntarily by the developer to address the housing needs of the community at the time,

but with the intent that the credits could be sold as a commodity on the open market to satisfy future housing

mitigation requirements for any development. As such, the County has recognized these credits for projects

in the Teton Village; however, the Town of Jackson did not authorize the use of these credits at the time of

their creation. In the alternative to on-site housing, the LDRs reference off-site housing with the ability to

pool required units with employee units from other developments to create a viable off-site housing project.

The Town Council will need to determine if the excess number of voluntary deed restricted units created at

Webster LaPlant meets the intent of this regulation. As stated above previous Councils have made this

determination in the the past and approved the use of these credits.

Jackson LDRs Section 49560.C. Housing Mitigation Plan Review Standards states that the Town Council

shall approve the housing mitigation plan if it complies with the standards of this Division, addresses the

need for employee housing, and is consistent with the Jackson-Teton County Comprehensive Plan.

Please see the attached Teton County Housing Authority Review for further analysis.

ATTACHMENTS

Teton County Housing Authority Memorandum dated September 26, 2013

Applicant submittal dated September 5, 2013

FISCAL IMPACT

Approval of the Housing Mitigation Plan will result in the Town not receiving an employee housing fee-in-

lieu in the amount of $13,663.14.

STAFF IMPACT

Currently, the Teton County Housing Authority (TCHA) is tracking the housing credits. Staff will need to

coordinate with TCHA to monitor the use of the remaining credits if the Town Council approves this request

LEGAL REVIEW

On-going

RECOMMENDATION

None

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SUGGESTED MOTION

I move to confirm the standards as set forth in Section 49560.C. Housing Mitigation Plan, Review Standards

and further to approve the Housing Mitigation Plan for Item P13-070, for the Grand Victorian Lodge located

at 85 Perry Street subject to one (1) condition as follows:

1. The applicant shall execute and record an agreement with Employee Housing Solutions, Inc.

recognizing the use of one housing credit to satisfy the employee mitigation requirement.

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MEMORANDUM

To: Tyler Sinclair

Planning Director, Town of Jackson Planning and Building

From: Stacy Stoker

Program Director, Teton County Housing Authority

Re: Grand Victorian Lodge (P13-058)

Final (Minor) Development Plan

Date: September 26, 2013

The applicant is requesting approval of a Final (Minor) Development Plan to relocate a current single

family residence on the site and convert its use to short term rental at the Grand Victorian Lodge located

at 85 Perry Street. Teton County Housing Authority (TCHA) staff’s review is based on Division 49500 of the

Town of Jackson Land Development Regulations (LDRs).

EMPLOYEE HOUSING MITIGATION PLAN (SECTION 49500): The calculation for the housing

requirement for lodging is as follows:

2676 SF x 47 (Floor area to be designated for Emp. Housing per 1000 SF) x .001 = 125.8 SF

The requirement is 125.8 SF which is less than the minimum size for a unit. The LDRs allow a fee in lieu to

be paid in this case. 125.8 x 108.61 (fee per SF required) = $13,663.13

Rather than pay the fee in lieu, the applicant is proposing to use an Employee Housing Solutions credit

from Webster Laplant.

Webster Laplant is a condominium development built in 2001. It was allowed to pool housing

requirements with other commercial businesses and developers for the purpose of creating a viable off

site housing project as is allowed in Section 49540.B.1 of the LDRs. A total of 34 credits were given to the

developer and 20 of them have been used over the past 12 years leaving 14.

Section 49540.B.1 also states that the purchase or otherwise designation, assignment, or commitment of

existing housing stock is not permitted for purposes of meeting the requirements of this Division. The

Webster Laplant units are now 12 years old. Please note that existing housing stock is not allowed for

Employee Housing, however it is allowed on a case by case basis with additional review if the unit is older

than 15 years.

This application has the potential of having a significant impact on the Comprehensive Plan’s goal of

housing 65% of the workforce locally. The residence proposed to be converted to short term rental is

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currently a single family home, which means it is likely serving as workforce housing. If it is converted to

short term rental, the community will not only be losing workforce housing stock but also more

employees will be generated.

Thank you for the opportunity to review this application. Please contact me with any questions.

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