PORTLAND, Ore. – An inclusionary housing program has been unanimously approved by the Portland City Council.
“Our vote today ensures that economically diverse neighborhoods and housing affordability will be preserved for generations to come,” said Commissioner Dan Saltzman.
The Inclusionary Housing Zoning Code Project requires 20 percent of new developments with 20 units or more to be affordable housing, in exchange for incentives like fee waivers and tax breaks.
The affordable housing units will be for those who make 80-percent or less of the median family income.
Proponents say the program is necessary in Portland's tight, expensive housing market. They also say that hundreds of other cities use such programs.
"When rent prices are really pushing working families out to the very edges of our city making Portland less affordable to live in, especially for communities of color as well, this is an absolutely crucial time and a crucial policy, said Oregonizing People/Activating Leaders (OPAL) Deputy Director Vivian Satterfield.
The Oregon State Legislature lifted the ban on inclusionary housing programs in February. Oregon was the only state besides Texas to have such a ban.
Some developers had concerns about profitability, and said it could discourage building and add to the problem.
"The central issue... is that whatever program they put in place has to encourage housing production and it can be very bad if it discourages housing production and I know you know that," said Dennis Allen, Managing Director at Holland Partner Group, and member of sustainable real estate association LOCUS.