Apply for affordable housing SDC exemptions before Sept. 2
2 min read
from Laura Hammond, Eugene Housing Tools Analyst
The City of Eugene is now accepting applications for exemptions from local systems development charges (SDCs) for qualified affordable housing projects. These exemptions help reduce development costs for projects serving low-income households, supporting the creation of urgently needed rental and homeownership housing in Eugene.
Applications must be submitted by no later than 5 p.m. Sept. 2, 2026.
Exemptions apply to City of Eugene SDCs only and help make affordable housing development more financially feasible. These exemptions can support a wide range of projects, from small single unit homes and accessory dwelling units (ADUs) to larger multiunit developments.
SDC exemptions can be used for rental housing for households earning 60% of the area median income (AMI) or below ($59,040 for a household of four); or for homeownership housing for households earning 80% AMI or below ($78,700 for a household of four).
For Fiscal Year 2027, approximately $292,330 is available. Half of the funding will be awarded to rental housing developments and half will support homeownership developments. If unused in one category, remaining funds may be reallocated to the other.
Applications will be prioritized based on:
- The percentage of units serving the lowest income households
- Whether more than 5% of units are accessible to people with physical disabilities
- Commitments to affordability periods longer than the minimum 5 years
- Total number of units in the proposed development
- Whether the development provides affordable housing options within higher income census tracts
Projects must be within Eugene city limits, have site control, and be ready to begin construction within 18 months of approval. Applications must be submitted before building permits are issued; exemptions cannot be retroactively applied.
Proposals will be evaluated through an open, competitive request for proposals process. More information and application materials are available online.
Image: Yonkalla Commons at 34th and Hilyard will seek an exemption from system development charges, according to the City Council July 13, 2026 meeting packet.
