Lake City & Hinsdale County
Housing Strategy

Joint Town Council & County Commissioners Session

Community Voice

15 min

Housing Reality

15 min

Proposed Goals

10 min

Discussion

20 min
Today's Goal: Understand the housing reality and explore solutions together

What The Lake City and Hinsdale County Community Is Telling Us

97
Household Responses
21
Employer Surveys
25.5%
Response Rate
Critical findings from people experiencing the crisis firsthand

Your Community Says Housing is a Crisis

RESIDENTS:

  • 77% view housing as serious or critical
  • More than half call it our biggest challenge

EMPLOYERS:

  • 24 jobs unfilled due to housing
  • 43% providing housing assistance
"This isn't consultants talking – it's your voters and business owners"

The Real Impact: What Households Face

Based on 97 Household Surveys

Projected to all 380 county households

54
Households
overcrowded
(14% of county)
340
Say housing is
too expensive
(90% of county)
50
Renters blocked from
homeownership
(65% of renters)
"This is what housing crisis looks like across our entire community"

What's Causing Displacement?

34%
Rent Increases
28%
STR Conversions
22%
Lease Non-Renewals
16%
Owner Move-Ins
"Market forces are systematically displacing year-round residents"

Living Conditions: What Residents Face Daily

HOUSING CONDITIONS:

  • 55% not very satisfied with their housing
  • 14% living in overcrowded homes
  • 20% need more bedrooms for their family
  • Many unable to afford needed repairs

MARKET REALITY:

  • 0% rental vacancy rate
  • 90% say housing costs too expensive
  • Only tiny units (<500 sq ft) under $306k
  • Families forced to take whatever's available
"People are taking anything they can find, regardless of condition"

The Coming Exodus

12%
Households planning to leave
(~46 households, ~100 residents)
12.8%
Workforce retiring in 5 years
(~60 positions valley-wide)
25%
Want to stay but can't find housing

BUT THERE'S HOPE:

51% interested in deed-restricted housing if available

Businesses Can't Function Without Housing

21 Local Businesses Surveyed

Representing 287 jobs - 62% of county employment

24
Jobs unfilled
due to housing
43%
Providing housing
assistance to staff
65%
Report
"No applicants"
"We're having to provide housing just to keep our doors open"
- Local employer survey response

Essential Workers Can't Afford to Live Here

What They Earn

Teacher:
$39-69k

Nurse:
$32-64k

Deputy:
$26-56k

What They Can Afford

Teacher:
$245k

Nurse:
$200k

Deputy:
$165k

Median Home Price: $563,000
"Teachers face a $318,000 gap between salary and home prices"

The Self-Sufficiency Gap: What Families Actually Need

Self-Sufficiency Standard

What it actually costs to live in Hinsdale County without public assistance

Family with School-Age Child

Housing: $1,100/mo

Childcare: $617/mo

Transportation: $826/mo

Healthcare: $884/mo

Other basics: $2,275/mo

Required: $68,427/year
($16.20/hour per adult)

Single Parent with 2 Young Kids

Housing: $1,100/mo

Childcare: $2,812/mo

Transportation: $430/mo

Healthcare: $784/mo

Other basics: $2,566/mo

Required: $92,302/year
($43.70/hour)

"A teacher earning $39k falls $29,427 short of basic self-sufficiency for a family"

What Local Jobs Actually Pay vs. What Families Need

IMPLAN Data: Average Wages by Sector (2025)

Food Service:
$25,499 Gap: -$42,928 to -$66,803
Teachers:
$34,353 Gap: -$34,074 to -$57,949
Office Support:
$36,458 Gap: -$31,969 to -$55,844
Construction:
$44,072 Gap: -$24,355 to -$48,230
Self-Sufficiency:
$68,427 minimum

Even our highest-paid workers can't afford basic family life
Construction workers - the best-paid local jobs - still fall $24,355 short annually

"This isn't about poverty - it's about the impossibility of middle-class life in Hinsdale County"

Who Makes Hinsdale County Function

318 Wage & Salary Employment by Occupation - IMPLAN 2023 (excludes sole proprietorships)

Essential Services (91 jobs)

Education: 22 jobs • Essential for families
Healthcare: 10 jobs • Critical for aging population
Protective Services: 17 jobs • Sheriff, fire, emergency
Gov't/Admin: 42 jobs • County/Town operations

Economic Drivers (227 jobs)

Food Service: 45 jobs • Tourism backbone
Construction: 26 jobs • New housing
Sales/Retail: 20 jobs • Local business vitality
All others: 136 jobs

318 jobs but only ~250 workers — many hold multiple positions to make ends meet

Hinsdale County's $92 Million Economy

2023 Value of Goods and Services Produced IMPLAN

$70.6M - Local Economy (76%)
Services: $23M • Gov/Education: $10M • Financial: $9M • Healthcare/Household: $8M
Mining: $8M • Construction: $5M • Manufacturing: $4M • Retail/Restaurant: $6M
$5.4M
Tourism & Outdoor Recreation (6%)
$16.4M
Vacation Home "Industry" (18%)
Our diverse $70.6M local economy is 3x larger than tourism — but it all depends on housed workers

Insight: Services, government, education, and healthcare generate $50M+ annually — these sectors need year-round workforce housing

Housing is Infrastructure, Essential to Our Community's Foundation

Just Like Roads and Water
  • We maintain our roads to keep our community connected
  • We invest in water systems to keep our community healthy
  • Housing infrastructure keeps our community whole
$960k+
Annual economic loss from unfilled jobs
8.2%
Population decline since 2010

Proposed Vision for Lake City and Hinsdale County Housing

"To provide housing opportunities across all life stages, enabling residents to find appropriate homes as they begin careers, raise families, and retire in the community they love."
"Does this vision align with the community's values?"

Proposed Goal 1: Create 40 New Housing Opportunities

Impact: 10% increase to our 380 households • 80-100 potential new residents
28
Lake Fork Project
(MHN Grant)
12+
Conversions &
Down Payment Assistance
1-2 Lots
Land Banking
(future)
Right-sized for our capacity • Meaningful community impact • Foundation for growth

Proposed Goal 2: Balanced Housing Mix

Current: 20% Rental / 80% Ownership → Target: 25% Rental / 75% Ownership

Current Crisis:

• Only 76 rentals for 465 jobs
• 0% vacancy rate
• Workers can't find housing

Market Context:

• Colorado: 33% rental
• Mountain towns: 30% rental
• Lake City today: 20% rental

Why This Mix:

• Workers need rentals
• Families want ownership
• Creates housing mobility

This modest shift creates housing options for workers while maintaining strong homeownership opportunities

Proposed Goal 3: Building a Year-Round Community

Hinsdale County Today

28%
72%

10-Year Goal

35%
65%

How We Compare (Year-Round Occupancy):

Colorado Statewide: 89%

55%

Ouray

65%

Aspen

70%

Gunnison

Lake City at 28% → Goal of 35% is a modest first step

■ Year-Round ■ Vacant/Seasonal
Path: New construction + conversion incentives + permanent resident priority

Comprehensive Strategy Approach

Policies & Incentives

Fast-track permitting
ADU ordinance
Enhanced STR regulations

Low Cost

Optimize Existing Stock

Preservation fund
Conversion incentives
Down payment assistance

Low-Medium Cost

Revenue Development

Housing trust fund
STR fees
Employer partnerships

Medium Cost

Development Projects

Lake Fork (28 units)
Land banking
Ownership programs

High Cost

"Multiple pathways to address the crisis – all necessary, all coordinated"

From Housing Crisis to Community Opportunity

STATUS QUO:

  • Continued population decline
  • Business recruitment failure
  • Essential worker exodus

WITH ACTION:

  • Teachers living where they work
  • Businesses able to recruit
  • Families choosing to stay
"This isn't just about housing – it's about the future of your community"

Your Questions, Our Collaborative Solutions

Discussion Topics:

  • Specific concerns about goals?
  • Questions about implementation?
  • Resource considerations?
  • Community feedback?
Let's work together to find solutions that work for our community
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