Bloomington Housing Authority director outlines RAD conversions, housing projects and funding needs

Nathan Ferreira, executive director of the Bloomington Housing Authority, presented an overview of the authority's recent activities and funding at the Sept. 17 Bloomington Common Council meeting, citing changes to property ownership through RAD, demand for vouchers, and several local development projects.

Ferreira said the authority closed a second RAD conversion in April, which converted public housing properties (Walnut Woods, Reverend Butler and Crestmont) to investor-backed ownership under the RAD structure. He said the authority now administers about 1,721 Housing Choice Vouchers serving roughly 3,400 people and that wait lists remain long.

Ferreira described programs and projects the authority is pursuing or operating: resident services and family self-sufficiency programs (about 80 participants), the Ross program for service partnerships, a grocery shuttle funded by a health department grant, landlord-risk mitigation (paused because the ARPA funding mechanism was found to be ineligible for a revolving account), eviction-prevention aid for vulnerable households, and a homeowner program that lets 12 participants use vouchers toward mortgage payments.

He reported the authority's nonprofit arm, Summit Hill Community Development Corporation, is developing Core Community Flats (38 units, on target for early summer next year) including nine permanent supportive housing units and project-based vouchers. The Chandler Early Learning Center will provide 28 infant/toddler seats and three affordable apartments above.

On funding, Ferreira said 90% of Bloomington Housing Authority revenue is federal; local grants reported in his slide were $936,000 (predominantly ARPA, plus CDBG awards not yet released). Specific planned allocations he cited included a fourplex pilot ($250,000), a community land trust subsidy ($250,000), and an eviction-prevention allocation ($60,000). He said the landlord risk mitigation account was effectively paused after staff determined ARPA funds could not be used in a revolving account; the authority had requested roughly $200,000 of remaining ARPA funds for that purpose and is working with city staff to identify alternatives.

Council members asked for more detail on the paused landlord mitigation funding and on where residents should report damages or problems tied to other city projects; Engineering Director Andrew Seabor said residents should use the city's UReport system so staff can triage and connect callers with M Street Fiber, the network operator, or the relevant contractor. Ferreira said Summit Hill has nine completed land trust homes and is seeking sites for additional projects and partnerships, including a proposed four-and-a-half-lot collaboration with Mother Hubbard's Cupboard for gardens and a cottage development.

Ferreira also briefed the council on longer-term financing options the housing authority is exploring, including issuing essential-function bonds for workforce housing and potential additional RAD/light-touch deals that could add units over time. He said the authority currently passes more than $18,000,000 in Housing Assistance Payments annually to landlords and warned that federal reductions to voucher funding would have local economic impacts.

No formal council action was taken on the presentation; members thanked Ferreira and asked staff to follow up on funding breakdowns and the landlord mitigation replacement source.