To finance the project, the housing authority will apply for federal low-income housing tax credits, which requires the city to chip in additional funds. City Manager Andrea Arnold said the city would contribute roughly $3.7 million to the project using American Rescue Plan Act funds.
“The worst-case scenario is the full $3.7 million may come from ARPA funds,” Arnold said during the April 18 meeting. “But we’re also reserving the option that if we have funds from other sources that could be contributed to the $3.7 million, (we could) reduce the amount from ARPA funds.”
The city’s contribution will mostly go toward public infrastructure needed on the site, including roads, sidewalks and stormwater systems. Foust estimated the entire south housing village project will cost about $42 million.
The plan is split into two phases, each of which include 66 housing units. Once completed, the village should include 60 one-bedroom units, 48 two-bedroom units and 24 three-bedroom units. Amenities will include a community center, outdoor recreation space, community gardens and several pavilions.
A north housing village project has also been proposed for Legacy Park, but that potential development consisting of single-family and duplex cottages is being kept separate for now.
The housing authority expects to finish building phase one of the south housing village by May 2024, and phase two should finish construction a year later.