A communication transmitted from Louis A. DePasquale, City Manager, relative to Awaiting Report Item Number 18-76, regarding a report on Linkage fee as part of the Incentive Zoning Nexus Study

C I T Y O F C A M B R I D G E Community Development Department IRAM FAROOQ Assistant City Manager for Community Development SANDRA CLARKE Deputy Director Chief of Administration KHALIL MOGASSABI Deputy Director Chief of Planning 344 Broadway Cambridge, MA 02139 Voice: [phone removed] Fax: [phone removed] TTY: [phone removed] www.cambridgema.gov MEMORANDUM To: Louis A. DePasquale, City Manager From: Iram Farooq, Assistant City Manager for Community Development Date: October 11, 2018 Re: Policy Order O-11 dated June 25, 2018 regarding evaluating a Jobs Linkage fee as part of the Incentive Zoning Nexus Study The City issued a Request for Proposals (RFP) for the incentive zoning nexus study on September 27, 2018. As requested by the above-mentioned policy order, we expanded the scope to include a jobs linkage component. The RFP seeks proposals to conduct a new nexus study to analyze the impacts of non- residential development on 1. the cost and supply of housing to meet increased demand, and 2. employment opportunities for residents The City is seeking a consultant or team with expertise in the areas of housing and employment impact analysis; real estate analysis; and housing, employment, and economic development policy. This study will reevaluate the incentive zoning provisions, last studied in 2015, through which funding is generated for affordable housing programs. The study will also, for the first time, analyze the impact of new development on access to jobs and training needed to assist residents in accessing new employment opportunities in the city. In addition to recommending changes in the incentive zoning provisions and housing contribution rate, the study will also recommend whether a jobs linkage approach would be advisable to help residents access new employment opportunities, and, if so, what type and size of contribution would be appropriate. Responses to the RFP are due on October 18. Staff will then work to review all responses and identify a consultant to carry out the study. The study is expected to take several months to complete; we will have a better idea of the anticipated schedule after we have selected a consultant to complete the study.