Common Council Votes 15-0 To Approve $200,000 Grant To Habitat For Humanity After Alderperson Hartzheim Suggests Money Could Instead Be Used For City Infrastructure

The Common Council met 04/03/2023. One of the items separated out for an individual vote was the request to award $200,000 of American Rescue Plan Act funds to Habitat for Humanity.

This was separated out for an individual vote by Alderperson Sheri Hartzheim (District 13). She had voted for the item in the Finance Committee, but, while she valued the work the Habitat for Humanity does, she also believed that $200,000 could help deal with infrastructure issues in the city. “I would like our, my colleagues to also think about this as well. I know you—that they all are committed to the way that these ARPA funds have been voted to be committed. But there are other things that we need to think about as well as Council members.”

The Council ended up voting 15-0 to approve the allocation as recommended to Habitat for Humanity.

I’ve prepared a transcript of the discussion for download.

This item was discussed at the Finance Committee meeting on 04/24/2023. Habitat had initially wanted to build 7 houses for low-to-moderate income households and requested grant funds of around $142,000 per unit. City staff worked with them and eventually brought the grant allocation down to $50,000 per unit for 4 houses for a total allocation $200,000. This was closer to the approximately $38,000 per unit that the city had contributed to the RISE Apartments affordable housing project. The city had actually offered to fund up to 7 units at $50,000 per unit, but that would have left Habitat needing to do additional funding beyond what they felt they could commit to so they asked to only get grant funding for 4 houses.

The city had initially allocated $3 million in ARPA funds to be spent on affordable housing. Of that $3 million, $1.8 million remained. There were no immediate plans for those funds, but Mayor Woodford had tasked Director of Community and Economic Development Kara Homan to come up with a strategy for all of the ARPA allocations including housing.

I’ve prepared a transcript of the Finance Committee’s discussion on this item for download.

At the Common Council meeting, Alderperson Hartzheim pointed out that $200,000 could help the city’s infrastructure issues.

Alderperson Vaya Jones (District 10) outlined the benefit of Habitat for Humanity’s program to provide housing for families. “The family is not given a home; they are purchasing the homes. They have over 55 hours of financial literacy that they go through. So not only is this program helping families in this area from low income, poor housing that is not safe for them, but it is also making them better citizens, better engaged, better understanding of our community resources, and volunteering and being more civic minded. They also bring empty properties or blighted properties to these brand new or renovated homes that are affecting our blocks. What Habitat for Humanity does is it changes generational poverty.”

Alderperson Chad Doran (District 15) noted that the city had worked with Habitat for Humanity prior to ARPA dollars becoming available and asked about working with Habitat after the ARPA dollars were gone.

Director Homan responded that, historically, the city had granted funds to Habitat for Humanity through the Community and Economic Development Grants and they would continue to be eligible for that funding.

Alderperson Kristin Alfheim (District 11) stressed that the number one type of housing the city needed was beginner family homes. Through those homes, the city was able to get people into the community at an affordable rate and then they stayed in the community, adding to the workforce amongst other things. “. So all of the things that we do, coming out of CEDC dealing with housing, are meant to help the community be here, be here in our community, be positive members, be contributing in terms of retailers, the employers and everything else.”

The Council went on to vote 15-0 to approve the allocation as recommended without making any changes.

View full meeting details and video here: https://cityofappleton.legistar.com/MeetingDetail.aspx?ID=1084963&GUID=A74D1EF7-1767-4E41-BAE9-11EBA5A44495

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