Housing and Community Development Committee – March 17, 2026

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The Housing and Community Development Committee met to review a record-breaking pool of applicants for the CDBG-DR Multi-Family Housing program and to deliberate on the allocation of "steady-state" federal funds for the 2026-2027 fiscal year. The discussion centered on prioritizing "shovel-ready" affordable housing projects and addressing an EPA-mandated lead service line replacement program.

Key Highlights:

• Multi-Family Construction (CDBG-DR): The city received 13 applications (12 eligible) totaling 1,481 units and over $450 million in development costs. The committee reviewed 12 projects requesting a total of $70 million from the city's CDBG-DR pool. Highlights include the 50 Cox Avenue (Harmony Housing) and Ferry Road developments.

• Shovel Readiness & Leveraging: Staff emphasized a strategy of "full funding" for selected projects to ensure they are competitive for the upcoming Low-Income Housing Tax Credit (LIHTC) cycle. Eight out of the thirteen developers are new to the Asheville area.

• Lead Service Line Replacements: A major topic of discussion was the Asheville Water Resources Department’s request for $800,000 in CDBG funds. This program is required by the EPA to identify and replace lead pipes connecting private homes to the city's main lines, acting as a critical anti-displacement and health initiative for low-income residents.

• CDBG Steady-State Scenarios: The committee reviewed four funding "scenarios" (Options A–D) to allocate approximately $777,000 in annual CDBG funds. Options ranged from a heavy focus on the water department's lead lines to a broad mix including Helpmate, Mountain BizWorks, and Habitat for Humanity.

0:47 – Call to Order and Roll Call
2:24 – Approval of February Minutes
3:14 – Overview: $10M NOFO and $18M remaining balance
4:43 – Record turnout: 13 applications for 1,481 new units
5:51 – Program Priorities: Resiliency, mixed-income, and green standards
10:37 – Project Deep Dives: Orchard Heights, Cox Ave, and Ferry Road
17:34 – Site Highlight: Taft Mills Group (Former Mini-Golf Site on Patton Ave)
21:11 – Site Highlight: 319B Biltmore Ave (Laurel Street Phase 2)
26:10 – Committee Discussion: Senior housing, Sweden Creek density, and the 9% Tax Credit "Basis Boost"
41:50 – Introduction to "Steady-State" CDBG Entitlement Funds
1:13:41 – Discussion: Multi-year funding strategies for CDBG projects
1:18:40 – Public Comment: Andy Barnett (AHAC/Habitat) on CDBG as a "bridge" for repair programs
1:20:31 – Closing: Special April 7th meeting announcement
1:20:52 – Adjournment
Access the agenda and other meeting materials at the City of Asheville website: https://www.ashevillenc.gov/governmen...

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