Staff previews HCD conversation on using $2024 bonds; recommends $10 million for WNC affordable housing loan fund

City staff previewed July 24 the Housing and Community Development (HCD) committee’s upcoming discussion of proposed allocations for the 2024 affordable housing bond and a recommendation to join the Western North Carolina Affordable Housing Loan Fund, administered by Self-Help Credit Union.

Staff said the July 30 HCD meeting will begin initial bond-allocation discussions and that the August 19 committee meeting will review FY25 affordable housing outcomes and make formal bond funding recommendations to full council. As one proposal, staff said it would recommend allocating $10 million of bond funds to the Western North Carolina Affordable Housing Loan Fund, a collaborative fund that offers loans to support affordable housing projects across the region.

Why it matters: Allocating bond funds to a regional loan fund would allow the city to leverage a pooled financing vehicle and potentially accelerate pipeline projects. Staff also said they will bring an MOU between the city and the Asheville–Buncombe Continuum of Care to establish the city as lead entity to satisfy HUD requirements; that MOU is expected to be added to an upcoming HCD agenda.

Community feedback and process: Staff acknowledged receipt of community emails urging a slower pace on certain planning and spending steps and said the HCD committee will consider public feedback during July 30 and August 19 committee meetings. Council members urged reconvening the Affordable Housing Advisory Committee to ensure community and lived-experience participation in decisions.

Next steps: HCD committee will review bond program categories, the proposed loan-fund allocation and the MOU language; recommendations would advance to full council in September for formal consideration of bond allocations.