Title: An act relating to the membership of the affordable housing advisory board.

Brief Description: Adding a rental housing owner to the affordable housing advisory board.

Sponsors: By Representatives Berkey, Romero, Jarrett, Miloscia, Schindler, McDonald, Benson, Mielke, Wallace, Linville, Wood, Kessler, Chase and McMahan.

Brief Summary of Bill

• Adds a representative of for-profit rental housing owners to the Affordable Housing Advisory Board.

Majority Report: Do pass. Signed by 11 members: Representatives Veloria, Chair; Eickmeyer, Vice Chair; Skinner, Ranking Minority Member; McDonald, Assistant Ranking Minority Member; Blake, Chase, Condotta, Kristiansen, McCoy, Pettigrew and Priest.

The Affordable Housing Program was created in the Department of Community, Trade, and Economic Development in 1991. The purpose of the program is the provide either loans or grants or both to local governments, public housing authorities, and nonprofit organizations to increase the availability and affordability of housing for households with incomes below 80 percent of the county median income.

The activities that are eligible for assistance through the Affordable Housing Program include, but are not limited to: (1) new construction, rehabilitation, or acquisition of housing; (2) rent subsidies in new construction or rehabilitated multifamily units; (3) down payment or closing costs assistance for first-time home buyers; (4) mortgage subsidies for new construction or rehabilitation of eligible multifamily units; and (5) mortgage insurance guarantee or payments for eligible projects.

Currently there are 21 members of the Affordable Housing Advisory Board. Eighteen members are appointed by the Governor, including representatives of the residential construction industry, the mortgage lending profession, the real estate sales profession, the apartment management and operations industry, the for-profit housing development industry, the nonprofit housing development industry, the homeless shelter operators, lower-income persons, special needs populations, the public housing authorities, and the Washington Association of Counties.

A representative of the for-profit rental housing owners is added to the Affordable Housing Advisory Board, increasing the total number of members of the Board to 22. This representative will be appointed by the Governor.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.

Testimony For: Because there are many, many, low-income renters, it is important for the for-profit apartment owners to have a voice. Currently, a representative attends the meetings, but has no voice. A representative could bring an important perspective to the board since many owners have only a few units, not like the big apartment management companies.

Testimony Against: (Concerns) A great deal of thought was given at the time of the Board's creation to who should have representation. Perhaps it is time for the Board to revisit the issue as a whole instead of adding more and more representation. The key is to achieve the proper balance.

Testified: Representative Jean Berkey, sponsor; Kim Herman, Washington State Housing Finance Commission; Bob Mitchell, Washington Association of Realtors; Patty Van Den Brosk, Doug Neyhart, Rental Housing Association; Ron Newbry, Yakima Valley Landlords Association; and Nick Federici, Washington Low-Income Housing Congress.