Consideration of a request to up Glenwood Springs’ financial contribution to the Canyon Vista affordable housing project in West Glenwood to what would amount to $3.8 million total occupied most of the Thursday, Dec. 4 City Council meeting.
All Council members were present in-person for the first regular meeting of December.
After about two hours of discussion during the meeting, which lasted more than three, Council voted 7-0 to increase the City’s support, from $2.3 million already committed last year, to the new amount for the 80-unit, below-market rental project.
The project aims to house individuals or households earning between 20% and 80% of the area median income (AMI) — currently about $84,500 at 100% of AMI for a household size of two, according to Colorado Department of Local Affairs data for Garfield County.
Tenant rents are to range from about $396 per month for a one-bedroom unit for an individual or couple earning 20% of the AMI, up to $1,920 for a three-bedroom unit for those earning 80% AMI. That would be accomplished using federal housing assistance vouchers that have been approved for the project, explained developer representative Kyle Ervin.
Mayor Marco Dehm commented upon calling for the vote that, while it’s a large outlay of public funds, it’s also “unheard of” to see a housing project target that income range.
“We can’t pass up that opportunity,” he said.
Canyon Vista was approved earlier this year to be built on the four-acre former Glenwood Gardens site just east of the Elks Lodge along Highway 6 & 24 in West Glenwood.
With the additional City support, Ervin said it puts the project within 60 days of closing on the property so that construction could begin next year.
The project has run into some increases in hard costs related to site work needs and asbestos removal from the old structures that are now on the property, Ervin said.
The funding pitch involved an extra $785,000 City contribution to the project, on top of the $2.3 million already approved, and reworking an approximately $730,000 fee waiver agreement, where the City would backfill that amount to the general fund and credit the developers. The per-unit contribution comes to about $48,000. Money would come from the City’s new workforce housing fund, created when Glenwood voters approved Question 2C a couple of years ago.
Council members took the extra time to grill Ervin about the project’s overall feasibility, and if this would be the last ask for City funds.
“You say this will get you to the finish line. Why should we believe you now?” Councilor David Townsley asked pointedly. To which Ervin replied that the City’s support goes a long way to reassure the other financial partners.
“If you have to come back for more money, I would say scrap the project,” Townsley said.
Townsley also asked two members of the City’s appointed Workforce Housing Board who were at the meeting about dedicating such a large chunk of money to one project. They said the housing board discussed that, and was unanimous in recommending the additional money be approved.
In exchange for the extra support, Council did ask to double the number of units reserved for Glenwood Springs workers from 20 to 40.
In a semi-related matter, Council also unanimously approved a resolution affirming the City’s intent to follow the provisions of Colorado Proposition 123 having to do with state housing funds.
The provision requires that applications for affordable housing projects that meet the state’s criteria for funding would have to be processed within 90 days, Senior City Planner Watkins Fulk-Gray said. He said that’s possible during most of the year, though applications submitted in late September could be difficult to process that quickly.
The City would also need to secure 65 new units of affordable housing by the end of 2026 to meet the criteria. Between Canyon Vista and the City’s recent contribution to put a West Glenwood mobile home park into resident occupancy, that goal should be met, Fulk-Gray said.
In other news
Council agreed 6-1 to allocate $160,000 of the City’s marijuana and tobacco tax funds to the Roaring Fork School District in support of mental health counseling services.
Councilor Ray Schmahl voted against the amount, saying annual funding should be reduced in proportion to the district’s enrollment, which has been declining.
Council also took the opportunity to ask several questions of Superintendent Anna Cole related to everything from student mental health and the impacts of social media and cell phone use in schools, to pedestrian safety for Glenwood Springs High School students crossing Grand Avenue during lunch.