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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.