HomeMy WebLinkAbout~Master - Resolution Authorizing Amendments to Duration of Affordability Period for Townhomes at Creekside HOME AgreementRESOLUTION NO. 26-228
RESOLUTION AUTHORIZING AMENDMENT
TO THE TOWNHOMES AT CREEKSIDE HOME AGREEMENT
FOR THE CITY OF AMES, IOWA
WHEREAS, the Townhomes at Creekside is a 38-unit affordable housing project
located within the Baker Subdivision along Tripp Street. The project used a variety of
funding sources that included federal Low Income Housing Tax Credits (LIHTC), State
HOME funds, City of Ames HOME Funds, developer equity, and the dedication of land
by the City of Ames. The City entered into multiple agreements for the development of
the site as affordable housing with a commitment of keeping the development affordable
to qualified low and moderate income households for a period of 30 years; and,
WHEREAS, staff recently became aware this past winter that the HOME
agreement was not required to be for a full 30 years, including the repayment provision.
The HOME Agreement could be for a shorter duration of only 20 years, meaning if default
occurred after 20 years no repayment to HUD would be required. Now that staff is aware
of this option, staff is recommending City Council authorize amending the agreement from
30 years to 20 years for the eight HOME units in order to eliminate the potential of having
to repay HUD during years 21-30 of the project agreements.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames,
Iowa, that authorization for the City Attorney to prepare the appropriate amendments to
the relevant HOME agreement to change the duration of the affordability and compliance
period from 30 years to 20 years and authorization for the Mayor to sign the agreements
as soon as they are completed by City Attorney is hereby approved.
ADOPTED THIS 14th day of April, 2026.
_______________________________ _________________________________
Renee Hall, City Clerk John A. Haila, Mayor
Introduced by: Betcher
Seconded by: Beatty-Hansen
Voting aye: Beatty-Hansen, Betcher, Corrieri, Junck, Gartin, Rollins
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 14th day of April, 2026.