Fiscal Note
The Community Development Division will seek the continuation of borrowing authority, in the 2016 Capital Budget, for an Affordable Housing Initiative (AHI) that was created in the 2015 Capital Budget. The AHI was created for the purpose of providing ongoing support for a variety of programs and activities designed to expand and improve the supply of affordable housing in Madison. This Resolution authorizes the CDD to attempt to leverage federal tax credits for proposed rental housing projects in Madison as part of the City’s strategy to expand the supply of affordable rental housing. The RFP, for which this resolution seeks authorization, is timed so that any resulting City support that might be offered to proposed projects can be used to improve their competitive standing under WHEDA’s annual Low-Income Housing Tax Credit (LIHTC) application process. WHEDA’s application deadline is late January 2016. Any offers of City funding for individual projects as a result of this RFP process will be made contingent upon approval by the Common Council under separate resolution, as well as the authorization of sufficient funds in the City’s Adopted 2016 Capital Budget.
Title
Authorizing a Request for Proposals to solicit applications for affordable rental housing projects that utilize Low-Income Housing Tax Credits.
Body
Background
Each year the Wisconsin Housing and Economic Development Authority (WHEDA) issues a Request for Proposals to solicit applications for affordable housing utilizing Low-Income Housing Tax Credits (LIHTC). Increasingly, LIHTCs are an essential source of financing for larger-scaled rental housing projects serving low- and moderate- income residents. Under WHEDA’s application process, project proposals that can demonstrate local financial support gain a competitive advantage over those that do not. Accordingly, the City has determined that applying its resources in partnership with WHEDA is an effective strategy for expanding th...
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