Click here to preview the application questions (NOTE: This is for reference purposes only; the application must be filled out online at the link above)

The purpose of the Affordable Housing Gap Financing Application is to simplify the process for developers or service providers that are interested in building or rehabilitating a structure used for housing as well as other capital needs.

Projects that address housing needs from permanent supportive housing for individuals experiencing homelessness to for sale products will be considered. All applicants will be asked how their proposals help achieve goals and recommendations within the Housing Strategy, and this will be established as one of the evaluation criteria. This process will build upon an existing application process establishing new and efficient ways to evaluate developments that will insure an equitable and systematic process to select projects that will fit the city’s need.

By streamlining applications, it will reduce the need for developers to produce duplicate information when utilizing multiple funding sources, including the state and the Colorado Housing and Finance Authority (CHFA). Creating one application form will also allow for staff to operate with greater efficiency, decreasing the time needed for evaluation. In order to align with CHFA’s tax credit application process, the city’s application process will take place on a biannual basis in the spring and fall ahead of CHFA’s application deadline. CHFA funding will not apply to all applicants but will allow for a review process for all types of application on a routine basis.

This application is the first step in establishing new procedural steps for incentivizing affordable housing developments.

Housing Strategy Alignment: The Aurora Housing Strategy focuses on the most effective, efficient and outcome-proven methods to expand housing options in the city, with a focus on:

• increasing and leveraging existing resources to address housing needs
• setting housing goals and managing housing investments to achieve those goals
• preserving existing housing while increasing the supply of housing for households across the income spectrum
• improving regulatory processes as needed to reduce the cost of housing development

Types of Projects Funded: New rental or for sale affordable housing, rehabilitation of existing affordable housing, permanent supportive housing, homeless program providers with capital needs

Funding Sources: Amounts will vary from year to year based on changing federal grant allocations, program income received, and funding needs for other programs. Sources will include some or all of the following: HOME (Home Investment Partnership Program) funds, CDBG (Community Development Block Grant) funds, unallocated marijuana tax revenue funds, general funds, development waivers, and Private Activity Bonds.

Estimated annual funding includes $300,000 from unallocated marijuana tax revenue funds, $800,000 from federal HUD grants, $1.1 million from the general fund, and $19 million in state of Colorado Private Activity Bonds.

Application Components/Evaluation Criteria: Alignment with Housing Strategy, meets an identified housing need in the community, demographics to be served by the project, average median income to be served by the project, cost effectiveness, leveraging of funding, review of sources and uses, funding sustainability, available City funding sources based on project type, developer or organization experience, surrounding compatible uses.

Proposed Review Committee: City staff (including Community Development, Homelessness Program, Finance, Planning and Urban Renewal), and two members of the Citizens Advisory Committee for Housing and Community.

Timeline:

• Request for applications released early June
• Application due by noon on Friday, June 26
• Review of applications in June
• City Council Housing, Redevelopment and Neighborhood Services Policy Committee - July review of applications and review committee recommendations
• Citizens Advisory Committee on Housing and Community Development committee meeting- second week of July review of applications and review committee recommendations
• City Council Study Session- late July/early August review of applications and review committee recommendations

For questions or more information, email jprosser@auroragov.org.