Waverly council pledges $5,000 per unit local match for 18-unit workforce housing application

WAVERLY, Iowa — The Waverly City Council on May 19 voted unanimously to commit local matching funds of $5,000 per housing unit for an 18‑unit workforce housing tax credit application submitted by Waverly Medical Park LLC.

Council approved resolution 25‑72 to provide the local match for an 18‑unit residential development in the Stone Meadows addition. The resolution states the city will provide $5,000 per unit as its local matching commitment. The motion passed on a roll‑call vote with no recorded dissent.

City staff explained the funding is the remainder of a prior allocation for a larger plat and is drawn from the industrial business park project fund. The staff presentation said the city is transferring money from the capital improvement fund into the industrial business park project fund to cover the match and that the funds are already allocated for fiscal 2026. Staff emphasized, "If the project has not received approval, then we would of course not expend the funding."

Developer Kevin Fittrow explained the project chronology: the overall plat originally was expected to be 40 units, then evolved to a 58‑unit plan made up of duplexes; the recent request seeks to finish the remaining 18 units as a separate application. Fittrow also discussed the program's cost cap: when questioned by council, he said the cost cap "moved up this year" to $3.25 and clarified that the cap applies to hard construction costs and "there's no land in that. There's no... soft cost is not included in that $3.25."

Council members had no further questions and approved the resolution unanimously. Staff noted the city's obligation to provide the matching funds is contingent on the project's successful award of tax credits; if the application is not approved, the city will not expend the funds.