City staff briefed the council on an invitation from the Oregon Department of Land Conservation and Development (DLCD) to apply for housing‑planning funds to support projects that increase housing capacity. Staff asked whether to pursue code cleanups and regulatory changes that have been on the planning commission’s backlog, to pursue a larger urban growth boundary (UGB) swap under Senate Bill 1537 (focusing on TA5), or to seek funds for a housing capacity analysis.
Staff and the council agreed the most viable near-term uses for grant funds are code and regulatory amendments that remove barriers to housing production and a possible SB 1537 UGB swap using TA5 land. Councilors said a UGB swap that touches TA4 (employment land) would require additional analysis and negotiation to secure public benefits, including affordable housing commitments, and should not be pursued without clearer negotiation objectives. Staff said DLCD funding priorities and rulemaking make a full housing capacity analysis lower priority now, but the city could seek that work if funding becomes available.
Council asked staff to present a work program to the planning commission that sequences code amendments and the UGB swap work, to consult the new planner, and to return with cost and staffing implications for any grant application.