The Lakewood Planning Commission voted to amend city maps that define Residential Target Areas (RTAs) and to modify the city's MFTE (multifamily tax exemption) code, adopting an amended resolution to send to City Council.
The action amended the map to add Oakbrook, Springbrook and Tilikum RTAs and to include a smaller northern portion of the Central Business District expansion that had been proposed; at the same time commissioners removed the LMC 3.64.020(g) clause that had authorized a 12-year MFTE extension in certain areas. The change was recorded in the meeting as resolution 2025-01 as amended.
The change is intended to align the RTA boundary map with areas staff and commissioners identified as appropriate for encouraging future development while restricting the code provision that would allow projects to claim the longer, 12-year tax exemption citywide. Planning staff told commissioners the 12-year extension remains available only by statute where already authorized; the amendment removed the city's local authorization language that would have allowed expansion of that 12-year option into the Central Business District.
Commissioners debated the balance between encouraging redevelopment and protecting existing commercial tenants. Commissioner Ellen Talbot argued against extending the more permissive boundary far into established commercial blocks, saying the southern portion of the originally proposed expansion "is not blighted at all" and noting the area contains long-standing businesses and religious uses. Commissioner Lynn Larson said he supported excluding the southern portion but backing the northern expansion to support affordable housing opportunities.
Planning staff explained how MFTE monitoring works: "It's an annual certification. Every city's required to do it. Every year you have to go through, they have to qualify, they have to show the evidence of it. And if they don't, then they lose the benefit," staff member Miss Spear said during the meeting.
Commissioner remarks also noted the program's economic effects: commissioners said the MFTE is primarily an economic incentive tool to attract development. "This is just an option for a person who owns the property when they look at it," a staff presenter said, describing the program as a voluntary incentive rather than a requirement.
One amendment vote was recorded in the transcript: when commissioners voted on removing subsection 3.64.020(g) the clerk recorded "With 5 here, 3 yays, 2 nays, that amendment does pass." The final amended resolution was then approved by the commission and will be forwarded to City Council for its public hearing and decision.
Why it matters: The RTA boundaries determine where developers can apply for MFTE incentives; changes affect where redevelopment and new multifamily construction are most likely to be financially attractive. Removing the local authorization for 12-year extensions limits the city's ability to offer that longer incentive unless the state or other code provisions apply.
What happens next: The commission's amended recommendation will go to the City Council for a public hearing (council is scheduled to consider it beginning May 12). If Council adopts the resolution the map and code changes would become part of Lakewood's local MFTE implementation and guide which projects can access the 8- or 12-year exemptions and under what conditions.
Votes and amendments at a glance
- Amendment to remove LMC 3.64.020(g) (would have authorized 12-year extension in additional areas): passed 3–2 (recorded in transcript as 3 yays, 2 nays).
- Final amended resolution 2025-01 (RTA boundary adjustments and deletion of the local 12-year authorization) — approved by the commission and forwarded to Council (final recorded roll-call tally not specified in the transcript).
Notes and limits: The commission debated policy tradeoffs but did not change state statute; staff and the Department of Commerce guidance were cited as limiting the city s options for phased or tapered extensions. The commission's action is a recommendation to Council; Council will hold its own hearing and may adopt, modify, or reject the recommendation.