07-06-2020 HRA MIN - Laserfiche WebLink

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Housing and Redevelopment Minutes July 6, 2020 Page 4 Commissioner Ovall asked what percentage of the tenants are seniors on a fixed income. Ms. Jacox stated about 20% of proposed tenants for this project would be senior citizens. Commissioner Ovall and Commissioner Eder both asked how this application would count towards the Maxfield Housing Study housing needs. Ms. Othoudt stated since the study was updated, Jackson Hills has 8 affordable units and those units were already considered into the Maxfield Study which still left the need for 93 affordable housing units. She explained the details of the CommonBond project being heard later this evening which would consider 60 units and utilizing tax credits. Chair Toth asked if these statistics include where are the people employed. Ms. Othoudt stated the Maxfield Housing Study does not indicate where people are employed. Ms. Huot explained when seeking TIF financing, applicants can request either up front financing or pay as you go. For this project, the developer has requested pay as you go reimbursable financing and has obtained financing up front through various funding sources, using the tax increment to specifically support a mortgage. Chair Toth asked if it would be more beneficial to the city than another form of tax increment. Ms. Huot stated with pay as you go financing, there is no risk to the city as opposed to if the city were to issue bonds. For this project, the developer is obtaining the financing up front and shifts the risk to the developer and in this case, it is more advantageous to the city. Commissioner Ovall clarified this is a resolution indicating the HRA is open to the concept of supporting a TIF district. He felt the project is a little awkward in tuning as both this project and the CommonBond project have parking ratios not in line with city standards, and is an unresolved issue. He wondered if the City Council is willing to make this accommodation and speculated if a council work session would be beneficial to work through this major design expense and other important details. He understood the affordable workforce housing aspect but there are greater conversations that haven't been had at a city level. He wanted to be open and up front to the developer about that. He stated he felt it meets zoning requirements and fits the area and the need for affordable housing is there. Motion by Commissioner Ovall and seconded by Commissioner Eder to approve Resolution 20-04 supporting the proposed use of Tax Increment Financing for Hillside Heights Apartments as outlined in the staff report. Motion carried 3-0 with Commissioner Chuba abstaining.