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Council hears proposal to streamline inclusionary zoning, set 40-year affordability period

Langley City Council · August 4, 2026
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Summary

Planning director Meredith Penny presented proposed updates to Langleys multifamily infill code and an implementation manual for inclusionary zoning, including a proposed 40-year affordability period and a fee-in-lieu structure that would fund development, assistance and administration.

Meredith Penny, Langleys director of planning, told council the proposal would revise the multifamily infill overlay and add an implementation manual to clarify how the city will calculate fees, monitor affordability and spend any fee-in-lieu revenue. "When I'm referring to affordable housing, this is housing where the rent or mortgage and utilities cost no more than 30% of a household's income," Penny said, framing the manual's purpose.

Penny described three voluntary tools the city already uses and how the draft would change the multifamily infill overlay (chapter 18.13). Under the proposal, developments that are 100% moderate-income would be exempt from the inclusionary requirement, while higher‑end projects would still need to provide on-site affordable units or pay a fee in lieu. Penny said the manual would require an inclusionary housing plan with the development permit, a recorded deed restriction and an affordable‑housing agreement, and it would allow fee‑in‑lieu payments in two installments (50% at land‑use approval, 50% before certificate of occupancy).

The manual recommends a 40‑year affordability period, with the city able to renew thereafter — a period Penny said generally aligns with the federal low‑income housing tax credit timeline. She also proposed a spending framework for fee revenue: roughly 70% for affordable housing development and preservation, 20% for individual assistance (down‑payment aid, emergency stabilization, relocation assistance) and 10% for administering the program. Council members pressed staff on administration costs and whether a separate compliance monitoring fee should be charged to owners or property managers; Penny said she expects a monitoring fee and will bring more detailed cost estimates and legal review back to council during the public comment period.

Next steps Penny outlined include legal review, a SEPA determination, a public comment period, PAB (Planning Advisory Board) follow-up and scheduling hearings before the moratorium ends in November.