Bloomington council creates Affordable Housing Pilot Fund, transfers about $150,000 into new account

The Bloomington Common Council on Sept. 3 voted unanimously to adopt Resolution 20‑25‑13, establishing an Affordable Housing Pilot Fund to hold payments from city‑approved affordable‑housing pilot projects.

Controller McClellan told the council the city plans to transfer roughly $150,000 of pilot payments already received into the new fund. She said payments currently come from four existing pilot agreements, including earlier pilots with Country View Apartments and Evergreen Village and new pilots with Cambridge Square and Henderson Courts, both owned by Glick. According to McClellan, Country View pays about $62,000 a year and Evergreen Village about $10,000 a year.

The resolution creates a nonreverting, dedicated fund consistent with Indiana Code 5‑25‑15.5 and lists the statutorily permitted uses for the receipts. McClellan said the city’s Housing and Neighborhood Development (HAND) department will administer the fund and that appropriations from the fund will come to council for approval through the normal budget/appropriation process; there is no appropriation request for 2025, she said, though staff could return mid‑2026 with an appropriation proposal.

Council members asked whether the fund could be spent on households located anywhere in Monroe County because the state statute refers to the county. Hannah Lamberti Holmes of the city legal department said the city has discretion to determine how the funds are used, within the allowable uses set by state law, and that the city may narrow eligibility by local policy. McClellan said the attorneys intentionally drafted the resolution to mirror state code so the city retains the option to narrow the fund’s geographic scope by policy.

Council members also asked about accountability and reporting. McClellan and several council members said council will see appropriation requests and will be able to ask questions of the administering department; a council member suggested using the fiscal committee for regular fund‑balance reports.

The resolution passed by roll call, 7‑0.

Council members and staff emphasized that the fund does not create a new ongoing spending authority without a separate appropriation to be approved by council; the fund only centralizes the pilot payments for tracking and future programmatic use.

Notes: The controller said approximately $150,000 in prior pilot payments will be transferred from the general fund to the new Affordable Housing Pilot Fund; Country View generates about $62,000 annually and Evergreen Village about $10,000 annually. No appropriation was requested the night of adoption; staff indicated they may return with requests in 2026.