City Council Meeting - August 27, 2024

Meeting Summary

The August 27 City Council meeting featured a substantial public debate over the proposed Community Housing Overlay Zone (CHOZ), a novel zoning tool designed to reduce new home prices by approximately 20 percent in participating developments. The CHOZ was developed by Fieldstone Homes Vice President Jason Harris in collaboration with Councilmembers Paul Hancock and Heather Newell as a market-based response to Lehi's growing affordability crisis. Under the proposal, developers would submit two concept plans — one at standard pricing and one with CHOZ overlay pricing at a roughly 20 percent discount — with the reduced-price option qualifying for higher density allowances. Homes in CHOZ areas would be sold first to critical workers, Lehi residents, and first-time buyers during a 30-day exclusive window, with equity appreciation restricted during the first decade of ownership to prevent quick resale profits. Public testimony was divided. Supporters argued the CHOZ was a necessary and creative response to skyrocketing home prices, noting that rapid population growth and the Silicon Slopes technology employment corridor had pushed Lehi's median home prices well above $500,000, pricing out teachers, first responders, and service workers who are essential to the community. Critics questioned whether it was appropriate to use municipal zoning authority to influence market pricing and raised concerns about the precision of the draft code language. The Planning Commission had voted 4-1 just five days earlier to table the proposal and request a work session before scheduling any formal public hearing. The meeting also included a presentation of the SR-92 traffic corridor impact study, which documented worsening congestion at the Thanksgiving Point interchange and along the highway serving Silicon Slopes employers. The study underscored the strain that continued commercial and residential growth is placing on the regional road network, and signaled that transportation capacity will remain a central policy challenge for the council in coming budget cycles.