The housing crisis in Bend is real, and over the past three years the Chamber has invested considerable time and resources forming collaborative partnerships, focusing on workforce housing for our residents.

Since the start of our workforce housing initiative in 2021, we have supported many different types of policy tools and approaches to help bring much needed housing to our community, including Multiple Unit Tax Exemption Program (MUPTE). Our support of MUPTE in general is due to its ability to drive the type of development that will attract other private investors and build a livable, economically viable part of the city where work, play and people co-exist.   

Approved by Bend City Council in 2022, the Chamber supported the adoption of this new local option property tax exemption to spur development in and around our region’s core areas, including the Bend Central District. The requirement to include units at or below 120 percent of area median income, as well as other public benefits such as co-located childcare, publicly accessible open space, or green building features make this an attractive incentive for both developers and the community.  

What is MUPTE and how does it work? 

MUPTE is a tool to encourage development of multifamily housing options in core and transit-oriented areas lacking choices for workforce or moderate-income levels. Multi-unit residential projects of three (3) or more units can apply to receive a ten (10) year property tax exemption on structural residential improvements if the program requirements are met. 

The program is intended to incentivize higher density housing development than may not have been feasible without the exemption. Eventually, these projects will provide housing opportunities for our community and generate higher levels of tax revenue for the various taxing districts (schools, parks, libraries etc.) MUPTE can be used inside one of the City’s established Tax Increment Financing (TIF) areas, as well as select core and transit-oriented areas. 

Tax exemptions are technical in nature and can be difficult to understand as they intersect with policy and fiscal implications. More information about MUPTE, Bend’s Tax Increment Financing (TIF) areas and detailed explanations of their intersections are available on the City’s website. 

Resources:
Multiple Unit Property Tax Exemptions 

Tax Increment Financing & Urban Renewal 

Intersection of MUPTE & TIF areas (presentation at 1/3/24 City Council meeting, agenda item 6 at 3:17:15)