February 24, 2006

Leading candidates for AFN balk at housing prices

By Vickie Aldous
Ashland Daily Tidings

Two of three outside candidates to head the Ashland Fiber Network have reservations about accepting the job because of the high cost of housing here, city officials confirmed.

“I do have two who are wavering, if you will,” said Ashland Finance Director Lee Tuneberg, who is coordinating the search. “I haven’t scratched them from the list completely.”

The fourth finalist for the Information Technology Director position is an AFN employee, according to Mayor John Morrison.

“Anybody coming to town, unless they’re bringing a lot of equity with them, will have trouble buying a home of a similar scale to what they’re used to,” Tuneberg said. “It will cause difficulties for any employee we try to bring here. It is creating challenges for me trying to hire people.”

The salary for the Information Technology Director is to be negotiated, but Tuneberg said the pay likely will be in the upper ranges of the city department head salary level.

The city pays department heads $82,116 to $92,292 a year, according to Human Resources Manager Tina Gray.

The median home sales price in Ashland at the end of January was $420,000, according to Roy Wright of Roy Wright Appraisal Service, Inc.

That price is 9 percent higher than at the same time a year ago, even though sales have fallen off by 37 percent. Sales have to remain down for a long time before prices drop, Wright said.

Only two homes, both townhouses that are about 1,000 square feet and more than 25 years old, are on the market for less than $250,000 in Ashland. The cheaper townhouse is $219,900, he said.

The high cost of housing in the entire Rogue Valley, not just Ashland, is affecting business and government recruitment, according to Wright.

“This seems to be the biggest problem with large employers and government institutions. Employees can’t find housing they can afford,” he said.

The City of Ashland previously lost its top pick for community development director after the planning director from Vail, Colo. said housing was too costly and his wife, a teacher, could face trouble finding a job in the face of declining Ashland School District enrollment.

The community development director search is on hold until after the city chooses a new city administrator to replace Gino Grimaldi, who has accepted the city manager position in Springfield and will depart once his replacement arrives.

City staff members are continuing to explore selling AFN or spinning it off as a nonprofit. The Information Technology Director could follow AFN after it is separated from the city, or stay with the city government and continue managing internal computer systems.

Staff writer Vickie Aldous can be reached at 479-8199 or vlaldous@yahoo.com.