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Council approves $500,000 from Housing Trust Fund for home for people with developmental disabilities
Summary
The council approved a $500,000 budget amendment drawing on the city's housing trust fund to support the Collaborative Community Housing Initiative's (CCHI) plan to open a home in Highland Park for individuals with developmental disabilities.
The Highland Park City Council on Sept. 8 approved an ordinance to amend the fiscal-year 2025 budget and increase the Housing Trust Fund appropriation by $500,000 to support a planned home for individuals with developmental disabilities at 1651 Richfield Ave.
The funding request came from the Collaborative Community Housing Initiative (CCHI) in partnership with the Housing Opportunity Corporation. The applicant, Laurie Williams, told council staff that the request had increased from an initial $400,000 to $500,000 after a needs assessment identified additional applicants who would benefit from the housing, and said the extra $100,000 would allow the program to serve another family.
City staff and the council clarified that the Housing Trust Fund is an independent municipal fund fed by payments-in-lieu, demolition taxes and related permit fees, not from property tax. Councilmember Littler asked whether the trust draws on property tax; staff reiterated it is funded primarily by fees such as demolition-tax revenue. The city manager confirmed a healthy fund balance and staff recommended the use of trust funds for this type of project.
Council members asked how future special assessments or unexpected maintenance costs would be handled. The applicant said the planned operation includes a reserve fund built into the operating budget. Corporation counsel noted that because the action requires a budget transfer the ordinance would need a supermajority vote (five votes). The clerk recorded seven ayes and no nays; the item passed unanimously.
Why it matters: The city is using locally held housing trust funds to support housing for people with developmental disabilities; the program will place a shared residence in Highland Park and the council approved the full $500,000 recommended by the housing commission.
Ending: Staff will work with the applicant on next steps toward implementing the home; councilmembers who asked for additional detail about the trust fund noted they were satisfied the funding source is restricted to the trust and is not general property-tax revenue.
