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Resolution of Support for Proposed Low Income Housing Project in the Amended and Restated Radford Road Urban Revitalizatino AreaCity of Dubuque City Council Meeting ITEM TITLE SUMMARY: SUGGESTED DISPOSITION: ATTACHMENTS: Description MVM Memo Copyrighted April 3, 2023 Consent Items # 010. Resolution of Support for Proposed Low Income Housing Project in the Amended Radford Road Urban Revitalization Area City Manager recommending City Council adopt a resolution of support for a proposed 50-unit low-income housing project. RESOLUTION Providing a Letter of Support for a Low -I ncome Housing Tax Credit Project proposed by Dubuque Housing Group Suggested Disposition: Receive and File; Adopt Resolution(s) Staff Memo - Resolution of Support Resolution Type City Manager Memo Staff Memo Resolutions THE CITY OF Dubuque DUB TEE1. All -America City Masterpiece on the Mississippi � pp zoo�•*o 13 zoi720zoi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Resolution of Support for Proposed Low Income Housing Project in the Amended Radford Road Urban Revitalization Area. DATE: March 30, 2023 Housing & Community Development Director Alexis Steger is recommending City Council adopt a resolution of support for a proposed 50-unit low-income housing project. A developer, Dubuque Housing Group intends to submit an application for 9% Low- income housing tax credits to the Iowa Finance Authority for a 50-unit low-income housing project located in the Amended Radford Road Urban Revitalization Area. The development will be on the east side of Radford Road, across from Roosevelt Middle School. The Urban Revitalization tax exemption along with the requested resolution of support will show strong local support for the project, which will bolster Dubuque Housing Group's Low Income Housing Tax Credit (LIHTC) application to the Iowa Finance Authority.(IFA) I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment cc: Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Alexis Steger, Housing & Community Development Director THE CJE F Dubuque A�AmericaCiDIU6--B 11111. F Masterpiece on the Mississippi ZU07.2012 • 2013 TO: Michael C. Van Milligen, City Manager FROM: Alexis M. Steger, Housing and Community Development Director DATE: March 30, 2023 RE: Resolution of Support for Proposed Low Income Housing Project in the Amended Radford Road Urban Revitalization Area. Introduction This memorandum requests approval of a resolution of support for a proposed 50-unit low-income housing project. Background A developer, Dubuque Housing Group intends to submit an application for 9% Low- income housing tax credits to the Iowa Finance Authority for a 50-unit low-income housing project located in the Amended Radford Road Urban Revitalization Area. The development will be on the east side of Radford Road, across from Roosevelt Middle School. The Urban Revitalization tax exemption along with the requested resolution of support will show strong local support for the project, which will bolster Dubuque Housing Group's Low Income Housing Tax Credit (LIHTC) application to the Iowa Finance Authority.(IFA) Discussion The resolution affirms housing incentives previously approved by City Council. Prior to the project moving forward, a development agreement would be required that would outline specific incentives and requirements. Consistency with City Council Goals & Priorities The City of Dubuque reviews applications for city support to ensure the request is consistent with the City Council Goals & Priorities. The proposed Radford Road project furthers City Council goals of having "Livable Neighborhoods and Housing: Great Place to Live" and "Partnership for a Better Dubuque: Building our Community that is Viable, Livable, and Equitable". This project also furthers the "Management in Progress" efforts to support Low Income Housing Tax Credits Program/Projects. Source of Income Committee In December 2014, the City Council approved formation of a Source of Income Committee to conduct a two-year study examining the HCV program and its relationship to fair housing, with a goal of identifying ways to enhance fair housing in Dubuque (see Attachment C). In February 2017, the Source of Income Committee ultimately recommended a collective impact approach to adopt and implement a mix of educational, outreach, and financial programs to increase housing provider participation in the HCV program. These recommendations are found in the Comprehensive Plan: • Adopt and implement a mix of educational / outreach programs to increase participation in HCV program. • Adopt and implement a mix of financial incentives / policies for creation of HCV units throughout community. Based on the Source of Income Committee recommendations, the City now requires housing developers to accept HCV participants in conjunction with approval of an affordable housing development agreement related to an urban revitalization plan. Prior to project commencement Dubuque Housing Group will be required to enter into an agreement with the City of Dubuque which would include the requirement to accept housing choice vouchers. Location Affordable housing projects are given a priority for city support if they are located outside an area of concentrated poverty based on the recommendations of the Voluntary Compliance Agreement and U.S. Department of Housing and Urban Development. The Amended Radford Road Urban Revitalization Area is outside the area of concentrated poverty and therefore meets this objective. Opportunity Areas Iowa's LIHTC program calculated the "high" and "very high" opportunity areas as part of the State of Iowa's Analysis of Impediments to Fair Housing Choice. IFA and the Iowa Economic Development Authority are required to conduct such an analysis because both agencies administer HUD funding. One of the components of the Analysis is to identify Opportunity Areas. HUD adapted the Communities of Opportunity model to calculate opportunity index scores for each census block group on six separate dimensions: Prosperity, Labor Market Engagement, Job Access, Mobility, School Proficiency, and Community Health. Each dimension analyzed for Iowa's Analysis of Impediments to Fair Housing Choice includes a collection of variables describing conditions for each census tract in the State. The Radford Road Urban Revitalization Area is in a designated "high" opportunity area. Community Input All projects requesting city support are required to hold a community meeting, where at a minimum, residents within a 200-foot radius of the project receive an invitation. The developer held a community meeting on March 27, 2023. Two residents from one household attended. Their only concern with the development was with potential storm water runoff from the site. Any site development would require review by the Development review team and storm water management and erosion controls would be required at that time. Relocation The proposed project is new construction; therefore, no persons, families, business or others would be displaced for this project. Recommendation Staff recommends the City support these efforts to promote quality, affordable housing, with attention to the needs of families. Action Requested I respectfully request the City Council approve the Resolution of Support. Cc: Wally Wernimont, City Planner Crenna Brumwell, City Attorney 3 Prepared by Alexis Steger. Housing & Community Devel., 350 W. 6' St., Suite 312 (563) 690-6072 Return to Adrienne N. Breitfelder, City Clerk, 50 W. 13t" St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 85-23 PROVIDING A LETTER OF SUPPORT FOR A LOW-INCOME HOUSING TAX CREDIT PROJECT PROPOSED BY DUBUQUE HOUSING GROUP WHEREAS, Dubuque Housing Group ("Developer"), is proposing to submit an application for 9% LIHTC to the Iowa Finance Authority ("IFA") for a proposed affordable housing project on the Property; and WHEREAS, IFA requires, as part of an application by the Developer, documentation from the City enumerating project -specific support which is not more than 180 days old on or as of the date the application is submitted; and WHEREAS, the City Council desires to affirm the project provision of a public benefit by creating new affordable housing units in the community and further desires to affirm support of an application of LIHTC for the Project and conditional approval of certain financial assistance. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, as follows: 1. The City Council affirms and authorizes its support of the proposed Project by the Developer to IFA for the competitive 9% LIHTC funding in the 2023 application round. 2. The City Council provides conditional financial support for the Project through established housing creation incentives, all in accordance with the Amended Radford Road Urban Revitalization Area Plan established pursuant to Ordinance No. 52-19 and Resolution No. 200-22 subject to approval by IFA of the Project for 9% LIHTC Funds in the 2023 application round, and an executed development agreement. Passed, approved and adopted this 3rd day of April, 2023. Attest: *tee "' A� Adrienne N. Breitfelder, City Clerk