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The Danville Town Council is set to meet Tuesday morning to weigh options for how best to use town low-income housing funds to support the affordable apartment project on the old Borel property.
Councilmembers indicated their preference in April to explore committing money to the 44-unit project in exchange for the developer restricting one or two apartments to the very-low-income level, instead of just low income. But Armony Development would not agree to that proposal.
“Through the different funding sources being used for the project, the number of low and very low income units is already set and cannot be altered,” city attorney Robert Ewing wrote in a staff report to the council.
Two options remain on the table, according to Ewing, if the council wants to provide financial assistance for the fully affordable housing complex set to be built along Camino Ramon next to the 124-unit, market-rate townhome development dubbed The Orchard, which is now under construction.
The town could just contribute money from its $2.1 million housing fund without any new income restrictions attached, Ewing said. Or the council could set money aside in a fund to help offset recent increases to the assessments charged to the town’s lighting and landscaping assessment district – which was staff’s original pitch back in April.
“Given changes in cost of construction and unanticipated increases in utility connection fees (as well as the LLAD increase) Armony has faced unexpected costs while still providing 44-units of low and very low income units, units which are hard to achieve,” Ewing wrote.
If the council reaches a consensus on a preferred direction, the matter would be placed on a future meeting agenda for a final vote.
The Town Council’s study session is scheduled to start at 8:30 a.m. Tuesday (Sept. 8) in the Danville Town Offices at 500 La Gonda Way. Read the full agenda here.
In other business during the public meeting, the council will discuss recruitment for the town’s Parks, Recreation and Arts Commission as well as planning for the upcoming Mayor’s Installation and Community Service Awards ceremony.
Councilmembers will then adjourn into closed session to talk about salary negotiations with the city attorney.
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