“Arlington, like most communities, is experiencing a housing crisis that can’t be ignored. Fortunately, our residents have long been supporters of policies that create housing for those with low- to moderate-income levels.” said Town Manager Jim Feeney in a news release. “The ACC Program is an opportunity for property owners, developers and nonprofit organizations to exceed the minimum affordable housing requirements in ways that [might] not [otherwise] be financially feasible without a subsidy like this.”
The Affordable Housing Trust is accepting funding applications for those interested in creating new or in preserving existing affordable housing units. Applications are reviewed on a rolling basis through Sept. 30, or until funds have been fully obligated, so potential applicants are encouraged to apply as early as possible.
The program is open to Arlington property owners, affordable-housing developers, private developers, nonprofit organizations, Arlington commercial-property owners and possibly others.
Funding proposals must align with town goals
Proposals must align with the goals of the trust’s five-year plan and the ACC program to:
- Increase the number of rental and homeownership units that are protected from market-rate prices;
- Prevent displacement of low-income tenants of “naturally occurring” affordable housing units by ensuring that those units will remain affordable over the long term; and/or
- Support and retain a diversity of residents by acquiring moderately priced housing from the speculative market;
- Create affordable housing opportunities beyond the requirements of the town’s affordable housing bylaw.
Under the program, a per-unit grant will be offered to subsidize the cost of deed-restricting a residential unit to an income-eligible household for a minimum of 20 years. The award amount may vary depending upon the level and terms of affordability proposed by the applicant, with a maximum award amount of $250,000 per unit. The leadership of the Trust strongly favors affordable housing units that are restricted in perpetuity to those making at or below 60 percent of the area median income (AMI). The ACC, however, allows for up to 100-percent AMI which, in Arlington, recently ranged between $114,300 for a one-person household up to $163,200 for a four-person household.
The ACC program is to be primarily funded by American Rescue Plan Act (ARPA) funds allocated to the town to address the negative health and economic impacts caused by the Covid-19 pandemic. More than two years ago, the town received a total of $34.8 million via ARPA, and the Select Board, at its meeting of April 20, 2022, allocated $3 million for “Affordable Housing Unit Production.”
Federal government restrictions on ARPA funds
The use of ARPA funds comes with additional federal restrictions on the spending of these funds, including:
- A minimum deed restriction of at least 20 years;
- Housing must be reserved for those making less than 120 percent of the AMI (note that the trust’s own limit is 100 percent of AMI);
- ARPA funds must be committed no later than Dec. 31, 2024; and
- ARPA funds must be completely spent no later than Dec, 31, 2026.
For exceptional projects, the Affordable Housing Trust may elect to use its own funds to allow for flexibility in a project that otherwise would not qualify under ARPA guidelines.
For more information, visit the Affordable Housing Trust Fund Board section of the Town website.
This news announcement was published Wednesday, Aug. 21, 2024, based on information on the town website and from spokeswoman Joan Roman of the Town of Arlington. It was prepared for publication by longtime YourArlington volunteer Kim Haase.
