Liberty Lake staff says city has enough land capacity for county housing allocation, outlines housing-policy timeline

City planning staff told the Liberty Lake Planning Commission on Jan. 22 that a land capacity analysis (LCA) prepared for the city shows sufficient land and entitled housing units to meet the county's housing allocation for the 2020–2046 planning period.

The planner said the LCA is required by the Growth Management Act and is intended to demonstrate both population capacity and the ability to supply housing types deemed affordable at different income levels under the Department of Commerce methodology. "It is foundational to our comp plan," the staff member said, explaining the analysis informs transportation, utilities, schools and capital facilities planning.

The countywide allocation used in the draft analysis projects Liberty Lake's population at about 21,934 by 2046. Using the Department of Commerce Housing for All Planning Tool (HAPT) categories, staff said Liberty Lake’s draft housing allocation for 2020–2046 is roughly: a little over 3,500 units for households at 0–80% of area median income (AMI); 613 units for 80–120% AMI; and about 1,100 units for above 120% AMI. The draft allocation also includes a separate count for emergency housing beds; staff said that amendment is moving through and was noted for planning but not separately analyzed for capacity.

For capacity, staff said the city counted housing built since 2020, entitled but not-yet-built units (platted lots, binding site plans with unit counts and projects under construction), and vacant and underutilized residential/mixed‑use parcels. Staff reported 902 housing units were added between 2020 and an August 2024 cutoff used for the analysis and that about 4,200 units are currently entitled in various categories. Vacant residential and mixed‑use land was estimated to yield about 636 developable units after assumptions about infrastructure and the zoning densities. Overall, staff reported roughly 5,900 housing units of capacity across the combined categories.

The analysis applied the county’s 30% market factor to vacant and underutilized lands but not to entitled units; it used 2024 Office of Financial Management (OFM) household size and vacancy-rate figures to convert unit capacity into population capacity. Staff said those OFM numbers have trended down in recent years and that small changes in household size and vacancy rates explain minor differences depending on whether the analysis uses 2020 or 2023 baselines.

The planner said the draft LCA will be presented to the City Council for "planning purposes" and asked the commission to note that the city intends to distribute the LCA to partner agencies — the school district, water and sewer purveyors, Avista utilities, police and the fire district — so those agencies can evaluate whether they can serve the projected population. "Do we have the capacity for it from a utility perspective? That's really the next big question," the staff member said.

Commissioners pressed staff about methodology. One commissioner asked whether the 902 units added between 2020 and 2024 had been factored into the analysis; staff answered that the analysis is framed from 2020 to 2046 for housing allocation consistency but that they also did a variant using a 2023 baseline and found results close to the primary analysis after adjusting for per‑capita and vacancy changes.

Staff also identified specific entitled and under‑construction projects (including Signal Point Apartments, Liberty Heights Apartments permits, Stanley Apartments permits and a multifamily binding site plan) and noted particular parcels with development potential, such as the Toledo Station mixed‑use area in the River District, Meadowood Technology Campus parcels and remaining lots in several phased subdivisions. The presenter said some parcels subject to steep‑slope constraints (Bel A Lago phase 2) are pursuing reasonable‑use exceptions but that those outcomes are uncertain.

Ahead of code and policy work, the planner said the city has contracted consultants and set a fast schedule for the housing element: a public workshop at the Feb. 12 Planning Commission meeting focused on housing policy, a follow‑up on Feb. 26, and a return to the commission in early April with draft housing and community‑services element language and recommended redlines. Staff warned that the state legislative session may produce additional housing and land‑use bills that could require future adjustments.

The presentation concluded with staff saying the city can demonstrate land capacity for the period analyzed but reiterated that partner agencies must confirm infrastructure and service capacity.