Affordable housing forum at school auditorium: All views aired on major debate

A public forum on the issue of affordable housing for Shelter Island, and a vote to accept a real estate transfer tax for new home buyers to help fund housing initiatives, took place the afternoon of Oct. 15 at the school auditorium.

Hosted by the Community Housing Board (CHB), which is charged with coming up with a plan for housing, about 200 residents showed up and 19 residents took the microphone to ask questions and make statements.

The forum was notable in its civility, a scarce quality in the nearly two years of contentious and inflammatory debate at public meetings, letters to the editor, and paid ads.

Part of the quieter, more thoughtful exchanges had to do with the appointment of a facilitator, Mary Eisenstein, a communications specialist with Mattituck’s Melmar Enterprises, who ran the meeting and kept control of time spent by speakers at the microphone.

At times Ms. Eisenstein asked them if they wanted to ask questions of the panel or clarify parts of a preliminary plan the CHB has been working on, which kept the discussion moving.

A majority of the speakers were in favor of some kind of affordable housing and plan to vote “Yes,” on a referendum on the Nov. 8 ballot that would bring funds to the Island through an additional 0.5% to the Community Preservation Fund. That fund currently taxes first-time buyers 2% of the purchase price of property, which goes for open space preservation and water quality improvements.

Assemblyman Fred Thiele Jr. (D-Sag Harbor) who co-wrote the original legislation, and the most recent addendum to it, was on the dais Saturday.

He spoke about one of the pillars in the argument for affordable housing: Volunteers to fire and emergency medical services can’t afford to live where they serve, and schoolteachers, small business owners and workers in many jobs are in the same predicament. He also noted that “community character is important,” and currently “wealthy people who can afford second homes” are in competition with “families who can’t afford to buy their first home.”

The addition to the existing transfer tax, if approved, would bring approximately “$500,000 to $750,000 annually,” the assemblyman said and the tax would expire in 2050. He spoke about the trends of higher rents everywhere, and asked Taylor Garner, a housing consultant hired by the Town to elaborate.

Ms. Garner cited the U.S. Department of Housing and Development definition of “cost burdened,” meaning people spending more than 30% of their income on rent. Ms. Garner said currently all renters on Shelter Island are cost burdened.

Kathleen Gooding asked the panel to address concerns that the new 0.5% of the transfer tax would take away from its original purpose of using the funds for preservation and clean water initiatives, with water being the most pressing issue among Islanders.

Mr. Thiele answered by saying there would be a “small net loss,” but nothing really affecting the original purpose of the tax.

Several speakers, including Peter Kamford, Bob Kohn and Stephen Jacobs disparaged the Housing Board’s plan, calling it vague and unfocused. Those against the funding of affordable housing also mentioned that a large amount of money over the next 28 years could be used at the discretion of Town Boards, with some calling this a “slush fund.”

Those notions were directly addressed by panel members who noted that the transfer tax revenue is specifically dedicated to affordable housing solutions.

Most of those urging residents to vote “No” on the referendum said there should be housing available on Shelter Island for Fire Department and EMS personnel. But Liz Wimer said the Island needed “professionals.” 

Mr. Kohn was one of two people asked by Ms. Eisenstein to wrap it up, or ask a question of the panel. “I don’t care what answers they have,” Mr. Kohn said, “unless I see it in the plan.”

He also aired unsupported rumors. Discussing the plan’s mention of “select[ing] a management partner,” Mr. Kohn said, “There are rumors going around town that the supervisor has talked to people who I don’t even know, like someone named Calabro … and potentially some like George Soros. Are those partners we’re looking at?”

Speakers against the increase in the transfer tax, including Mr. Kohn, said there would actually be an increase in overall taxes. He cited the plan, which raises the possibility of building rental units on Town-owned land, and since renters don’t pay taxes, homeowners would have to pick up their share of town services.

The use of potential housing already in place for rentals was brought up by Karen Kiaer, who said her research found there are 1,866 “accessory units,” which could easily be made into rentals on an affordable basis.

Councilwoman Amber Brach-Williams said she wasn’t sure of that figure, and that all units would have to be brought up to Code, and many homeowners would not want to go through that process.

People opposed to the transfer tax, and affordable housing in general, questioned the lottery system that is proposed to determine eligibility.

Those urging a “Yes” vote included former Town councilman Glen Waddington, who said that community character is paramount, and part of achieving that is to have diversity, with people of all incomes living and working on Shelter Island. “If we don’t act on it now, we won’t act on it later,” he told the panel. “Keep doing what you’re doing. Fight for what you believe in.”

Kelci McIntosh said she had looked at the audience “and there are maybe four people under the age of 40, and I’m one of them,” adding that young people are being hurt by the lack of affordable housing. A small business owner, she said she’s being priced out of the real estate market, saying that “you have to make $250,000 a year for a mortgage and have $200,000 for a down payment.”

She urged residents to vote for the transfer tax, adding, “We can do it. Help people to suffer less.”

Cliff Clark praised Town government for urging residents to address affordable housing. “This committee works hard for you and me,” Mr. Clark said. “I’m voting ‘Yes.’”