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Sammamish council adopts affordable-housing fee-in-lieu policy; $34.45/sq ft fee added to schedule
Summary
Council approved two resolutions to implement the city’s mandatory inclusionary housing program: one adopting fund policies and one adding a $34.45 per square-foot fee-in-lieu to the master fee schedule. Both measures passed 6–1.
The Sammamish City Council voted March 4 to adopt policies for and add an affordable-housing fee‑in‑lieu to the city’s master fee schedule, formalizing the mechanism by which developers who do not provide required affordable units will pay into a local fund.
David Pyle of the Department of Community Development and staff presenter Evan Fisher reviewed the policy package and the mechanics of the fee, which the staff and ARCH (A Regional Coalition for Housing) modeled using local market data. Fisher said the fee in lieu was set at $34.45 per square foot and that ARCH’s model and third‑party review supported the assumption.
The adopted policies direct that ARCH will manage the fund, report annually on spending and potential projects, and recommend whether unspent funds should remain local or be considered for ARCH’s regional trust fund. The council also retained discretion to apply a market factor to reduce the fee if market conditions show it is suppressing development; staff said any market-factor adjustment would be done in collaboration with ARCH and reviewed by a third-party economist.
Why it matters: The fee implements the city’s December 2024 inclusionary housing regulations (SMC 21.10), which require 10% of new housing to be affordable at 80% of area median income or to pay the fee. The fee provides a predictable source of funding that the city intends to prioritize for local projects but allows council direction to fund regional projects if local opportunities are not available.
Council action: Councilmember Pamela Stewart moved to approve a resolution establishing policies for the affordable-housing fund; the motion passed 6–1. Deputy Mayor Amy Lam moved to amend the master fee schedule to add the $34.45/sq ft fee; that resolution also passed 6–1. Council discussion asked staff for earlier and more frequent market checks during initial implementation; staff said an annual market report and ARCH annual reporting will inform any adjustments and that staff will discuss more frequent informal updates with the city manager.
Implementation details: Staff said funds will be disbursed only on council direction, that ARCH will administer the fund, and that the city will require annual local housing market reporting to track whether the fee or code is affecting development feasibility. Staff also said planning‑commission review of certain code exemptions (for rebuilds after loss and small-unit thresholds) is underway and any code changes would follow later this year.
