STPUD looks to pave way for affordable housing projects in South Lake Tahoe

SOUTH LAKE TAHOE, Calif. - On Thursday, the South Tahoe Public Utility District (STPUD) Board of Directors discussed changing their administrative code to allow for the transfer of sewer and water units from one parcel to another in order to encourage the building of affordable housing projects.

Since 2012, the transfer of the sewer units have not been allowed by STPUD, but with the current lack of affordable housing on the South Shore the board will look to approve a change of the code at their September 20, 2018 meeting.

Currently there are approximately 2,500 excess sewer units attached to various parcels in the community, but they are all in suspended status and not generating quarterly service charge revenue. A three bedroom-two bathroom home with a kitchen takes three sewer units (one for each of the bathrooms and one for the kitchen). A two-story dormitory complex with one central kitchen and two bathrooms per floor would use five sewer units.

The Board had discussion and approval of the change to the code on their September 6 agenda and several members of the public spoke at the meeting to voice their support of the change.

"We are very concerned about lack of affordable housing," said Boys & Girls Club of Lake Tahoe (BGCLT) Executive Director Jude Wood. "We commend you for a positive step by enabling developers to get projects pencil ready. You could extend this policy to cover BGCLT and other agencies doing good in the community."

"Thank you for your bold leadership and for setting the stage for other organizations to follow," said Tahoe Prosperity Center CEO Heidi Hill Drum. "Transform Tahoe for all who want to live, work and play in Tahoe. This is a very positive development. With only 21 percent of locals able to afford median housing costs this will lead the way for more workforce and affordable housing. Thank you for being out front...it's a total win-win."

The proposed change to the code discussed on Thursday included language outlining income levels of those who would benefit by the sewer unit and deed-restricting the properties using them.

Board members Chris Cefalu and Duane Wallace are the District's committee assigned to working on affordable and workforce housing. Wallace said they worked on ways their agency could help a community issue, and not to make money.

"The intent is to get the dominos falling. We're not a housing agency but we have ways to help," said Wallace.

"We want to make it as easy as possible to make this happen," added Cefalu.

The STPUD board decided to leave the income guideline and other rules concerning the usage of the sewer units up to the licensing group, whether it;s the City or the County. There will be a new administrative code to vote on Sept. 20 that will reflect their comments.

"We don’t want to be a regulatory agency, just here to facilitate," said Board President Randy Vogelgesang.