Framingham finance subcommittee defers rent-increase decisions for three affordable housing properties to full committee

The Framingham City Finance Subcommittee on an abbreviated panel agreed to delay recommending rent increases for three affordable housing properties — Union House, Modera and Bancroft Lofts — until at least May 1, when more committee members are expected to participate.

The request was presented by a city housing staff member, who said Bancroft Lofts is seeking a 5% increase to its maximum program rents. The presenter said Union House and Modera “have not seen any rent increases in 2 years” and that those properties, in many cases, charge residents “hundreds of dollars less per month” than program maximums or voucher levels. The presenter added that Bancroft Lofts, which is not covered by the city’s tax-increment financing (TIF) agreement, has seen some modest increases in recent years and had a 3% increase approved previously.

Why it matters: the subcommittee is responsible for reviewing requests that affect the City of Framingham payroll and budgetary impacts tied to housing programs and rent limits; a recommendation from the subcommittee typically informs full city council action.

Discussion and committee direction: Councilor Cannon and the other members present said they preferred waiting until more members could weigh in. “I would prefer us to make a decision if we’re going to move forward for it to be when all of us are able to participate,” Cannon said. Another committee member said they were not in favor of increases at this time given uncertain regulatory and economic conditions but wanted to give applicants a full opportunity to be heard.

Timing and procedure: City staff noted the municipal process gives the city 30 days to respond to a rent-increase request; properties, if approved, must then give affected residents 30 days’ notice before new rents take effect. The subcommittee unanimously agreed to place the item on the finance agenda for May 1 for further consideration when more members are expected to attend.

Voices from the properties: Stephanie Donovan of Bancroft Lofts told the committee the property previously requested separate treatment from Union House and Modera because it is not part of the TIF grouping. “We did come back and ask for a recusal because we were grouped in with Modera and Union House originally at a 0% when we’re not part of the TIF grouping,” Donovan said.

What wasn’t decided: The subcommittee took no formal vote approving or denying any rent increases at the meeting. No precise dollar changes for Union House or Modera were specified in the presentation; those amounts were described in staff materials as “whatever amount the city is inclined to grant.”

Next steps: The subcommittee directed staff to place the rent-increase requests on the May 1 finance-subcommittee agenda for a full committee recommendation to the city council.