Council moves density-bonus ordinance for religious properties to second reading

The City Council held a public hearing and on first reading moved an ordinance implementing House Bill 1377 to a second reading on March 12.

Community Development Director Rebecca Deming summarized the ordinance: qualifying religious organizations would be eligible for a 50% density bonus for affordable housing (the ordinance follows state law), the affordable units would need to be deed-restricted for at least 50 years, and developers must pay all fees and mitigation costs.

Council members asked clarification questions about the statute’s requirements and whether the city had received any expressions of interest; Deming said no formal applications had been filed and that the city could identify obvious tax-exempt parcels but would need an application to determine final eligibility. Council member Simons and Nutting discussed how a leased property controlled by a religious organization could qualify under the ordinance.

Council member Nutting moved to pass draft ordinance 25-125 to a second reading on March 12, 2026; the motion, seconded by Council member Bloss, passed unanimously.

Why it matters: The ordinance implements state law intended to facilitate affordable housing production by creating a density incentive for properties affiliated with religious organizations. The council’s vote advances the code change and schedules a second reading where additional public input and final passage can occur.