(Yuba-Sutter.LIVE)—A divided Yuba City Council voted four to one to partner on creation of new affordable housing on Walton Ave. The vote authorized city manager Diana Langley to keep working with Habitat for Humanity on a state-funded grant. The grant window opens April 24. The current proposal’s first phase is for 79 units, and sitework for the entire 217 unit project. Habitat and the city intend to apply for $19 million Homekey 3.0 grant to build Phase 1. The current plan calls for the city to forgo nearly $1.8 Million in construction-related fees for Phase 1, and to apply $155,000 in federal funds toward full-project operation, for 55-years.
Dist. 3 councilmember Michale Pasquale opposed the funding plan. Pasquale said the city couldn’t afford to tie up its money this way. Other councilmembers believe the investment is necessary or a reasonable risk, and there are ways to replace the fees that would not be collected.
The $19 Million application is for more than half of the $37.15 Million available for the five-county region that includes Sutter and Yuba Counties. The city’s funding commitment will help the application look stronger, council supporters said. Habitat will invest several million in furnishings for the project, and other costs.
Dist. 1 Councilmember Dave Shaw moved and Dist. 2 member Marc Boomgarden seconded the motion. They were joined by Mayor Wade Kirchner and Vice Mayor Shon Harris in the four-to-one vote. Boomgarden and Harris serve on an AdHoc committee involving Homekey funding and the project.
The application will be on the May 2 council agenda for approval.
Watch the presentation, see what options are available, hear the discussion and vote here:
