Fiscal Note
An investment of up to $4.25 million was authorized for the Affordable Housing Fund as part of the City’s 2015 Adopted Capital Budget (PCED Project No. 42).
Title
Authorizing the allocation of Affordable Housing Funds to support the creation of approximately 200 units of affordable rental housing in Madison.
Body
Background
As part of the City’s 2015 Adopted Capital Budget, $4.25 million was authorized to support affordable housing in the City of Madison during 2015 through a major new initiative, the Affordable Housing Fund (AHF). The AHF guidelines propose utilizing a portion of those funds to help increase or preserve the supply of affordable rental housing, and established a goal of adding approximately 150 rental units per year.
Additionally, the AHF guidelines propose using City funds to leverage federal low-income housing tax credits (LIHTC) administered by the Wisconsin Housing and Economic Development Authority (WHEDA) to further this objective. LIHTCs are allocated through an annual competitive process. Applications for this process are due the end of January 2015. The commitment of City funds is intended to improve the competitiveness of selected projects under the WHEDA application process.
ACTION
WHEREAS, in order to carry out the objective of expanding the supply of affordable rental housing, which is embodied in the 2015 Capital Budget, and using City resources in concert with Federal Low-Income Housing Tax Credits, and as authorized by the Mayor and the Common Council in RES-14-00583 (adopted 8/7/2014, Legistar #34819), the Community Development Division issued a Request for Proposals (RFP) in September 2014 seeking tax credit eligible projects; and,
WHEREAS, the RFP offered up to $3 million in Affordable Housing Funds to support such projects, contingent upon the approval of the funds as part of the adopted 2015 Capital Budget; and,
WHEREAS, the City received six applications in response to the RFP, two of which were subsequen...
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