Habitat project moves forward with infrastructure funds

Clallam County to provide $800K for Lyon’s Landing

PORT ANGELES — The Clallam County commissioners approved an $800,000 Opportunity Fund allocation to Habitat for Humanity of Clallam County to help cover infrastructure costs for Lyon’s Landing, a 45-unit affordable housing development planned for a 7.7-acre site in Carlsborg.

The vote marks a significant milestone for the organization, representing the largest undertaking in the affiliate’s history and a pivotal shift in how public funding is being used to address the region’s growing housing crisis.

The development, located at 303 Mill Road, is named in honor of Frances Lyon, whose estate bequeathed more than $850,000 to Habitat in 2023 — one of the largest single gifts in the organization’s history.

That donation helped attract additional major support, according to Danny Steiger, the vice president of the board for Habitat for Humanity and CEO of Lumber Traders, in an article he wrote for Clallam County Solutions.

The support included a $1 million contribution from philanthropist MacKenzie Scott to Habitat for Humanity of Washington State.

Funding and support also have come from the Jamestown S’Klallam Tribe, First Federal Community Foundation, and numerous local and national partners who have provided materials, labor and financial contributions.

“I think everyone recognizes housing is short in this whole country,” Commissioner Randy Johnson said during the commissioners’ meeting on July 8. “In Clallam County, it continues to rise to probably the No. 1 issue for most county residents — the shortage of housing, and/or the affordability of housing, and or the percentage of one’s income that one needs to allocate to help pay for housing.”

The county’s allocation will fund public infrastructure needed to prepare the site — lighting, utility installation, roadwork and stormwater systems — all essential components of making the development livable and accessible to working families, Johnson said.

Those improvements fall under the definition of public infrastructure, making them eligible for support from the Opportunity Fund, a resource originally created to boost economic development through investments in essential utilities and public services.

Until a few years ago, housing wasn’t considered a qualifying use for these funds. However, a legislative change at the state level, House Bill 1892 in 2024,acknowledged that economic development cannot happen without a stable workforce — and that workforce needs somewhere to live.

Since then, Clallam County has shifted toward using Opportunity Fund dollars to support workforce housing, especially for those who fall into the “missing middle” — households that earn too much to qualify for low-income housing but not enough to afford homeownership in today’s market.

Last September, the Opportunity Fund Board reviewed fund balances and sent out a survey to local agencies to assess current needs. The board then ranked eligible projects by priority and recommended funding levels. The Lyon’s Landing proposal received close to, if not all, of the board’s recommended allocation, largely because of its alignment with workforce housing targets and because it serves families earning between 60 percent and 120 percent of the area median income. That range represents a critical gap in the local housing landscape that few other programs are equipped to serve.

According to state data, one in three Washington households spends more than 30 percent of their income on housing, and one in seven pays more than half. In Clallam County, the average rent hit $2,001 in January 2025 — a 7.5 percent increase from the year prior — while the state’s minimum wage is at $16.66 per hour.

For Habitat for Humanity, this project not only responds to a critical community need, it also represents a major leap in scope. Historically, the nonprofit has been privately funded and slow-building, typically constructing one home every 12 to 18 months. With Lyon’s Landing, the organization is aiming to build 45 homes ranging in size from 1,200 to 2,000 square feet, with construction expected to take place in phases of 10 homes at a time.

Growth of that scale doesn’t come without growing pains. Although the Opportunity Fund award was initially approved in December 2024, finalizing the agreement took months. The process revealed a steep learning curve for Habitat’s staff, as they navigated complex public funding regulations that are rarely encountered by small nonprofits. Among the challenges: prevailing wage laws that require workers to be paid according to state-set wage standards, and public bidding requirements designed to ensure infrastructure contracts go to the lowest responsible bidder.

“This is the largest project they’ve ever taken on,” Commissioner Mike French said. “And with that comes a steep learning curve. But the need for affordable housing is urgent. If they can succeed — and I believe they will — this could become a model for future public-private collaboration.”

French added that while the legal and procedural requirements are vital to ensuring transparency and fairness, they also require time, legal guidance and administrative support — resources that often are stretched thin at smaller organizations.

Habitat CEO Colleen Robinson said the homes will be built with community participation and, once underway, the project will offer opportunities for residents to join in volunteer builds, tours and conversations around housing solutions.

“Because at Habitat for Humanity of Clallam County, we are more than a nonprofit,” Steiger said. “We are a community of neighbors, volunteers, donors, families and advocates bound together by a shared belief: that everyone deserves a decent place to live. It’s a mission rooted not in politics or popularity, but in people — and the simple truth that shelter is a human need, not a luxury.”

He added, “We don’t claim to have all the answers. But we are committed to finding them — with integrity, openness and humility. We’re listening. We’re learning. And we’re building — not just houses, but bridges — between doubt and understanding, need and opportunity, challenge and hope.”

Robinson said construction set to begin unofficially in the next 60 days, and the hope is 12 months to complete the infrastructure and development.

“There’s a place for you in this work,” Steiger said. “So let’s keep building — together.”

________

Reporting intern Allora Walls is a student at Peninsula College. She can be reached by email at allora.walls@peninsuladailynews.com.

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