Plus One Home Program

The Plus One Home Program provides funds to assist Ulster County low-moderate income property owners with grants of up to $125,000 to construct or rehab code-compliant Accessory Dwelling Units (ADU).

Ulster County, in partnership with RUPCO and the City of Kingston, received a $1.75 million dollar award from the New York State Homes and Community Renewal to help implement the Plus One Accessory Dwelling Unit (ADU) Program, adapted locally as the Ulster County “Plus One Home Program.”

The Plus One Home Program provides funding to create new code-compliant Accessory Dwelling Units (ADU). Homeowners that meet the low and moderate-income threshold (i.e., earning 100% or less of Ulster County Area Media Income) can apply to receive up to $125,000 dollars for the construction or rehabilitation of an ADU. In exchange, the property owner will agree to rent the apartment at an affordable rate for a minimum of 10 years. The program will also provide a one-stop hub for assisting interested homeowners in the financing, designing, and permitting of an ADU.

Program Update: During the application window, the program received over 70 applications. The Ulster County ADU Selection Committee have reviewed all applications. Based on high application scores and household needs, 14 households have been initially awarded to receive the available grant funding.

The term Accessory Dwelling Unit (ADU) refers to all forms of additional units on residential properties and may be either attached (internal) to the primary residence (e.g., basement apartment) or detached (external) from the primary residence (e.g., garage conversion, cottage). Among many other benefits, ADUs can provide rental income to homeowners and offer an affordable way for renters to live in residential neighborhoods or can help older residents “age in place.”

The Program is part of Ulster County’s broader effort to address housing issues that includes:

1) Improving access to housing through first-time homebuyer assistance and funding for affordable housing projects;

2) Improving the quality of existing housing through rehabilitation of both rental and owner-occupied housing;

3) Addressing barriers to the creation of housing through the Housing Smart Communities Initiative aimed at local land use controls;

4) Investment in housing-related infrastructure (water, sewer, roads) that allows projects to move forward;

5) Making available County owned properties for housing development; and

6) Utilizing tax-foreclosed properties to provide homeownership opportunities for low and moderate-income families.

What are ADUs and What Do They Do?

What’s an ADU?

The term accessory dwelling unit (ADU) refers to all forms of additional units on residential properties and may be either attached (internal) to the primary residence (e.g., basement apartment) or detached (external) from the primary residence (e.g., garage conversion, cottage).

What Do They Do?

• Enable family members (including family caregivers) to reside on the same property while having their own living spaces.
• Provide housing for a hired caregiver.
• Provide rental income to homeowners.
• Help older residents remain independent and “age in place.”
• Provide an adaptable form of housing, ADUs provide flexible solutions for changing needs.

Program Benefits

As part of the project team’s continued work to address the housing crisis, this program will increase the supply of workforce and affordable housing in Ulster County. In recognition of the nation’s historically unjust and discriminatory housing practices and the ongoing negative correlations between race, ethnicity, wealth, and homeownership, the Plus One Home Program will also focus on expanding access to equity-building tools (i.e., secondary rental apartments) for low and moderate-income homeowners with an emphasis on supporting historically disadvantaged communities and in locations with existing water and sewer infrastructure.

The Plus One Home Program will support the County and State’s goal of reducing economy-wide greenhouse gas emissions by 85 percent from 1990 levels by 2050. Secondary apartment units generally use less building materials, energy, and land compared to traditional home construction. When built in or near towns and village centers, ADUs can also provide more opportunities for walking, biking, and access to public transit services when compared to traditional single-family homes.

2023 Plus One Home Program Eligibility

Property Owner Household Income Limits

All applicants must comply with the income limits below, and if selected, property owners must agree not to use units as short-term rentals and keep rents at an affordable rate for a minimum of 10 years. Affordable rental maximums are included in the program application package.

(Eligibility is based on 2023 income levels and is subject to change annually)

Other terms and conditions may apply.

To apply:

The application window for the Plus One Home Program is now closed.

Application Criteria and Scoring Process

Applicants must meet all these criteria to be considered for the grant:

Zoning

• Accessory Dwelling Units (or variations of this terminology e.g., accessory apartments) must be permitted by-right or through a special use permit in the zoning district where the applicant’s property is located.
• The applicant’s property cannot have any zoning code violations.

Building and Setbacks

• The applicant’s property must be big enough to meet all building and setback requirements for ADUs/Accessory Apartments for the municipality in which the property is located.

Household Eligibility and Demonstrated Need

• Income Eligible: The applicant must demonstrate that their total household income is at or below 100% of the Ulster County Area Median Income (adjusted for household size).
• Demonstrated Need: The applicant must demonstrate that they would not be able to finance the development of an ADU without the grant (e.g., lack of personal savings).
• Primary Residence: The applicant must demonstrate the property that the ADU will be built on is the applicant’s primary residence and the applicant has ownership of the property.
• Not Additional Rentals: The applicant must demonstrate there are no other rental units on the property

Geographic Selection

To ensure that grant funding is distributed relatively evenly throughout the County, applicants will be divided, based on their address, into four geographic locations in the County. The 3-4 top scoring applicants from each geographic area will be awarded the grants. In the case of a tie, a randomized lottery will be held to choose the winning applicants. Included below are the geographies based on municipal boundaries:

1. North County – Saugerties (Town and Village), Woodstock, Town of Kingston, Ulster, Hurley, Marbletown.
2. West County – Shandaken, Hardenburgh, Denning, Olive, Wawarsing, Ellenville, Rochester
3. South County – Shawangunk, Gardiner, Plattekill, Marlborough, Lloyd, New Paltz (Town and Village), Esopus, Rosendale
4. City of Kingston

Applicant Supplemental Scoring

All applicants that meet the Minimum Criteria will then be scored based on the feasibility and cost of constructing an ADU on their property as well as their narrative description about their intended use for the property. Applicants can receive a total of 50 points. See application for details.

Project Narrative (2-10 Points Total)

The applicants will provide a narrative of their vision for the ADU and about the specific need the grant and supplemental income would fill. This will be the only subjective scoring criteria for the application where Selection Committee representatives will score based on:

Project Narrative: Description of Envisioned Project (1-5 Points)

The applicant should provide a written narrative (500-word max) of their vision for the use of the ADU (e.g., providing an affordable rental property, providing needed student housing, helping current or formerly unhoused persons). The applicant should include a description of how their proposed ADU project is both feasible and using grant funding cost-effectively (i.e., units that could be built under the $125,000 limit or for much less).

Project Narrative: Specific Need (1-5 Points)

The homeowner should provide a written narrative (500-word max) about the specific need the grant and supplemental income from the ADU would fill for them.

Water and Sewer (5-10 Points)

• If the applicant’s property is located within a sewer district, they will receive 5 points.
• If the applicant’s property is located within a water district, they will receive 5 points.

Projects that are located near public transportation (5 Points)

• If the applicant’s property is located within ¼ mile of a public transit (UCAT) route, the property will be given 5 points.

Projects eligible for a real estate tax exemption (5 points)

• If the applicant or property is eligible for a real property tax exemption (e.g., RP-421-f Capital Improvements to a One-or Two-Family Residential Property)

Additional Affordability (20 Points)

The maximum allowable rents for the ADU affordability period (ten years) is 30% of monthly income for a household making up to 80% of Ulster County AMI. See table below for maximum rental amounts. If the homeowner commits to targeting a lower income bracket (i.e., 30% of monthly income for a household making 60% of AMI households or lower), they will be granted 20 points.

Important ADU Program Information

What and where are the utilities on your lot?

A large cost of an ADU, particularly a detached one like a small structure in your backyard, can be utility hookups. If you have a septic tank, you need to make sure you know where it is and what capacity it has. You’ll also need to connect to existing water and electric lines.

What is your zoning?

To build an ADU, you’ll need to understand what zone or transect (City of Kingston) you are in, what setbacks apply to your lot, and what type of building type you already have on your site. You can find your zoning at the Ulster County parcel-viewer, your Town land use plan, or the Engage Kingston, Kingston Forward site.

What is your budget?

Some of the things you need to consider in your budget are site work (landscape, excavation, utility hookup), construction and design fees (permits, drawings, architects, contractor), material costs (the actual materials). Make sure to include an extra buffer as a contingency. You should think about how you plan to use the ADU and if you will be receiving any income to offset these costs, as well as budget for regular maintenance.

How are you going to use and manage your ADU?

ADUs provide another living unit on your property. You can use this for extended family
or rent it out to any resident. ADUs may not be used as short term rentals in the City of
Kingston. Based on your decision, you’ll need to think about what it takes to be a landlord
and the responsibilities and costs associated with that (advertising the property, legal
paperwork, liabilities, property management and maintenance, etc.).