By DEBORAH E. LANS
HUDSON–Columbia County has been awarded $2 million to help address the county’s affordable housing crisis, as a result of the efforts of county officials, the Columbia County Housing Task Force and the county Economic Development Corporation (CEDC).
The grant was made by the New York State Housing Trust as part of its “Plus One Accessory Dwelling Unit” program. That program supports local governments and non-profit organizations to build new, or rehabilitate existing, accessory dwelling units (ADUs).
The 2024-25 state budget, once signed by the governor, will include legislation that creates further incentives for ADUs.
ADUs (often known as “in-law apartments”) can be small, free-standing structures built by a landowner on the same parcel as a primary residential structure or a converted garage or a unit within a residence, like a basement or second-floor apartment. Many municipalities, including 18 of the county’s 23, allow construction of ADUs, often as of right or with modest permitting requirements.
ADUs are attractive because no new land needs to be acquired for them, lowering construction costs and preserving open space, and often a homeowner can use the extra revenue generated if the ADU is rented out. Also, ADUs often provide a more affordable housing option for renters.
The county will partner with RUPCO, a well-established non-profit housing provider, which has administered a similar program in Ulster County but has not worked previously in Columbia County.
In the county, all municipalities except Hudson, Taghkanic and Valatie — which do not permit ADUs in their zoning — and Greenport — which lacks any zoning — will be eligible to participate in the program.
Unit owners will be income-qualified in order to receive funding, i.e., will earn no more than 80% of the countywide annual median income (AMI). The AMI requirements vary by household size. The average family size in the county is 2.1 people. By way of examples: 80% of AMI for a single person household is $57,680, for a family of two is $65,692, for a family of three is $ 74,100, and for a family of four is $82,400.
In addition, to qualify for funding — whether to build or improve an ADU — the owner will need to commit to maintain an affordable rental rate and not to use the unit for short term rentals for 10 years, assuring the unit will provide affordable housing to full-time community residents.
RUPCO will administer the program, assisting the county to identify and screen for prospective ADU owners and assisting program participants to find additional financing, beyond that available through the state grant (up to $125,000 for new construction) if needed, and with design, budgeting, contractor selection, permitting, renter screening and other tasks.
Commenting on the program, Assemblymember Didi Barrett (D-106th) told The Columbia Paper: “While the affordable housing crisis has impacted every corner of New York State, it has posed particular challenges here in the Hudson Valley where many of our communities lack the water and sewer infrastructure needed to accommodate new construction…I am delighted that Columbia County has been awarded $2 million in funding through the Plus One ADU Program to create new affordable housing across Columbia County, and ensure that our family members, friends and neighbors can continue to live, work, and raise their families here in the Hudson Valley.”
Chris Brown, the Housing Development Coordinator at CEDC, says that a contract with the state has not yet been signed and there are program details still being developed. Those will include how the funds will be apportioned geographically within the county and as between new construction and less expensive conversion or rehabilitation projects.
The attractiveness of ADUs as one solution for providing affordable housing has been enhanced by the passage of state legislation that will allow municipalities to enact property tax exemptions for the increased assessed value attributable to capital improvements made to construct or improve ADUs.