The Affordable Housing Advisory Committee received a detailed briefing on HOME committee recommendations that included continuing site-specific tax-increment financing (TIF), pursuing an infrastructure revolving loan fund, and pursuing a credit-enhancement program.

Staff summarized the HOME committee’s process and results, noting council direction in May 2025 and a series of HOME meetings that produced the three recommendations for additional analysis and possible council action. "The 3 recommendations that came out of the home committee were to continue that site specific tax increment financing, pursue a program in an infrastructure revolving loan fund, and to pursue a credit enhancement program," the staff presentation stated.

Presenters and members discussed key constraints and design questions. Staff emphasized constitutional and budgetary limits on using property-tax-derived dollars to cover debt service, meaning any program that requires debt coverage likely must rely on non-property-tax revenue. Staff identified potential one-time revenue from Juniper Ridge land sales (approximately $10,000,000) but noted that amount is a single-use source and that other city priorities (airport, public safety, future facilities) will compete for those proceeds. The committee also discussed prevailing-wage triggers for infrastructure grants (staff noted a $750,000 threshold may be relevant for some program designs) and how underwriting, lender negotiations and reserve requirements would shape credit-enhancement exposure.

Staff outlined an implementation timeline: return to council in 2026 with policy considerations for site-specific TIF and staffing needs, then present program design for credit enhancement and an infrastructure revolving loan in spring and summer 2026, with the HOME committee revisiting program recommendations in summer 2026 before a full work plan to be presented to council in late 2026.

Why it matters: these financing options aim to expand Bend’s ability to support housing production across AMI bands, but each requires further policy work, staffing and potential one-time capital trade-offs. Committee members asked for further detail on project readiness, risk and fund-source constraints before council-level decisions.