Over the last six months, the City has pursued several priority strategies and policies to incentivize needed housing and sought public feedback on these strategies through focus groups, a survey, individual meetings, and a housing forum. As a result of these efforts and the input received to date, three housing policies and amendments to the Albany Development Code to reduce barriers to needed housing are being considered for adoption.
Housing Policies
The Albany City Council will hold a public hearing to consider the adoption of policies to support needed housing, especially affordable housing on December 11, 2024, at 6:00pm in the Council Chambers at City Hall.
- Construction Excise Tax (CET) is a one-time tax on construction projects that can be used to fund needed housing projects and programs. The proposed policy would establish a Residential CET of 1% of the permit value for residential improvements and a rate of 1.5% of permit value for the Commercial CET. The first $50,000 of permit value will be exempted from the tax for all projects. Revenue generated by this CET would support affordable housing and other needed housing in Albany.
- Low Income Rental Housing Tax Exemption is a 20-year property tax exemption for new rental housing that meets specific affordability criteria.
- City Owned Surplus Land Policy stipulates that the City will consider whether City owned surplus land is suitable for housing. If the surplus land is suitable for housing and no other greater priorities have been previously identified for the property, solicit and evaluate proposals from affordable housing developers first.
Development Code Amendments
The City’s proposed changes to the Albany Development Code (ADC) remove barriers to needed housing. There are two upcoming opportunities to provide comment or testimony on the proposed changes to the ADC. The Planning Commission will hold a public hearing on December 16, 2024, at 5:15pm and the Albany City Council will hold a public hearing on January 22, 2025 at 6:00pm. The proposed changes include:
- Removing of barriers for small houses
- Encouraging cottage cluster housing and smaller cottages
- Increasing flexibility for accessory dwelling units (ADUs)
- Reserving higher density zones for higher density development
- Requiring open space or pocket parks in residential subdivisions
- Encouraging rear loaded development to preserve on street parking options.
More information on the policies and code amendments, including the complete proposals, can be found online at albanyoregon.gov/hip. Additionally, information on how to provide comments or testimony can be found on the same page under the participation tab. Please contact
