HomeMy WebLinkAbout2021-01-25 21-078 Order
01/25/202121-078
01/25/2021
21-078
Community & Economic Development
Order
045-009-E
Title, Order
Authorizing $200,000 in Community Development Block Grant funding for Penquis Housing at Milford Street
Extension
This order will authorize up $200,000 in Community Development Block Grant (CDBG) funds for
Penquis's housing project at Milford Street Extension to assist with project costs and create affordable
housing in the City.
Penquis has been working to increase the availability of affordable housing in Bangor. Recently, they
received site plan approval to build nearly 40 rental units on Milford Street Extension. Penquis plans to
create both family and elderly housing on the property, possibly in two phases to contain costs and
maximize tax credit opportunities. They are also willing to establish "preference units" that would allow
the City to have a first option to place a client that they have been working with (GA clients, etc.). This
is especially valuable given waitlists for affordable rental properties.
Upon acceptance of the funds, Penquis will sign a agreement to stipulate the use of the funding and
require repayment if the new rental homes are not built within an agreed upon timeline.
This project is consistent with the City's CDBG consolidated plan and addresses the Council goal to
improve the quality and quantity of housing to meet demand for workforce housing, life cycle housing,
and supportive housing.
This item was reviewed and approved at the Business and Economic Development Committee meeting
on January 19, 2021.
Business & Economic Development Committee
01/19/2021
Recommend for passage
50
New Business
01/25/202121-078
CITY OF BANGOR ORDER
01/25/2021
21-078
Fournier
Authorizing $200,000 in Community Development Block Grant funding for Penquis Housing at Milford Street
Extension
WHEREAS, the City has applied for and received Community Development Block Grant (CDBG) funds from the
United States Government under Title I of the Housing and Community Development Act of 1974, as
amended (HCD Act), Public Law 93-383; and
WHEREAS, both the City and Penquis are actively working to support the creation of additional affordable
housing units in Bangor; and
WHEREAS, Penquis has an option and site plan approval to construct 40 units on Milford Street Extension; and
WHEREAS, the City wishes to provide the Penquis with grant funding to assist with this project and create
housing; therefore
Be it Ordered by the City Council of the City of Bangor that, the City Manager is authorized to execute an
agreement with Penquis for their Milford Street Extension housing project and to grant Penquis $200,000 of
CDBG funding to assist with the costs of the development. All agreements will be in final form as approved by
the City Solicitor's office.
IN CITY COUNCIL
JANUARY 25,2021
CO 21-078
It was previously determined that Councilor Dubay has a conflict of interest.
Councilor Tremble indicated he had a conflict of interest due to his association with Penquis
Motion made and seconded that Councilor Tremble has a conflict of interest.
Vote: 6-0
Councilors Voting Yes: Davitt, Fournier,Hawes,Nichols, Schaefer, Sprague
Councilors Voting No: None
Passed
Brett Landon spoke against this project.
Motion made and seconded for Passage
Vote: 6-0
Councilors Voting Yes: Davitt,Fournier,Hawes,Nichols, Schaefer, Sprague
Councilors Voting No: None
Passed
�e- , , d-"�
C CLEIYI-