Council members flag conflicting statements on Timberline Villas subsidy plans

Council members on Aug. 19 raised concerns after the city packet included a letter from Sullivan Development of Indiana LLC describing a proposed multifamily rental project on Sheridan Avenue that, according to Councilwoman Frishee, contradicted statements the developer made earlier to council.

"I specifically asked him, on the record if this was going to be low income subsidized housing. He said no. And now this letter says completely opposite, and I have a big problem with that," Councilwoman Frishee said, referring to a previous public appearance by the developer's representative.

Councilman DeArmond said he shared Frishee's concern and agreed the change in claims was problematic. Mayor Murn advised council members that there are distinctions among program types — for example, voucher-based occupancy versus developments built with low-income housing tax credits or bond financing — and that developers still must follow city planning and zoning processes before a project proceeds. "There is a difference between, like, voucher housing versus the low income, bond and financing structure," the mayor said. He also noted that developers must go through the planning commission and other local approvals.

The letter included instructions on how to submit comments; city staff told council members the appropriate mechanism for formal feedback is to file opinion letters with the state director of multifamily housing. "What you can do and as the letter states is that you can file, just your opinion letter to the information provided with the state director of multifamily housing," the mayor said.

No formal council action was taken and no rezoning or application was before the council that night. City staff said the project's next steps would include the standard local planning and zoning review processes to determine final land use and permit approvals.