Planning Commission asks staff to draft updates to downtown diverse-housing requirement

The East Lansing Planning Commission voted to ask city staff to draft potential ordinance language addressing the city’s downtown diverse-housing requirement (Section 15‑94). The commission’s direction covers four broad concepts: area/credit transfers, a fee‑in‑lieu program, recognition of housing‑choice vouchers as qualifying affordable units, and prioritization or reweighting of diverse housing types; commissioners also asked staff to consider height or bonus‑unit incentives and the interplay of tax abatements.

City staff (Mister Bartley) framed the item as a continuation of earlier July discussions and presented research comparing other cities’ fee‑in‑lieu amounts and incentive packages. Public commenter Carrie Freeman and other proponents argued a lower fee such as $5,000 per unit (proposed by private parties for large projects) could generate substantial funds for housing (she estimated $2 million for a hypothetical project like the Howard) but several commissioners and staff noted that peer cities often use much higher per‑unit fees (staff cited figures in the tens of thousands up to $85,000) and cautioned that financing complexities can affect mixed‑use projects.

Commissioners debated whether to include a specific dollar amount in the motion. The adopted motion directed staff to draft ordinance options for council consideration and included explicit language that any fee‑in‑lieu should be explored at an amount higher than $5,000 per unit; commissioners also asked staff to consider tax‑abatement interactions and other incentive types.

The motion was made by Commissioner Lapine and seconded; the transcript records the commission’s approval and that the motion "carries," but no roll‑call tallies were published in the meeting transcript. The motion sends the issue back to staff and Council for ordinance drafting rather than enacting regulatory changes at this meeting.