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Anewim tells Polk County it faces a cash shortfall; requests rehab dollars and a short‑term county guarantee
Summary
Cynthia, representing Anewim, said the nonprofit runs HUD‑funded permanent supportive housing for about 239 households but faces an operating gap of roughly $1.1 million and asked the county for help: $1 million for scattered‑site repairs (ERA2‑eligible) and consideration of a $500,000 county guarantee for a short bank line to bridge near‑term cash flow issues.
Cynthia, representing Anewim (the nonprofit that operates permanent supportive housing in Polk County), told supervisors the organization serves about 239 households across its HUD‑funded programs and has carried approximately $1,100,000 a year in non‑HUD operating expenses — utilities, insurance and services — that it can no longer sustain without additional community support.
Cynthia said Anewim manages a master lease for those units and that 95% of households served remain in housing under Anewim’s Housing First model. She said HUD rules and program restrictions prevent the county from using ERA2 development funds to cover ongoing operating shortfalls.
As alternatives, Anewim presented three requests: an ERA2‑eligible proposal to use about $1,000,000 to rehabilitate 31 scattered‑site units and attach an additional 20 years of affordability; consideration of a short‑term county guarantee (roughly $500,000) to back a Westbank line of credit so Anewim can bridge cash flow while sale and grant activities conclude; and engagement by county leadership to convene other funders.
A Westbank board member and bank representative told the board that Anewim has offers on Pioneer Woods that could net roughly $2.4 million after payoff, and that federal grant applications are pending; but he said banks would not extend credit without an acceptable guarantor. He described the requested guarantee as a short bridge for about six months.
Supervisors asked staff to flesh out legal and procurement options, whether interest earnings might be used for guarantees or credit support, and to return with specific proposals and scopes of work before any action.
What’s next: Anewim said it will deliver a full scope and timeline for the 31‑unit rehab by the end of the week; county staff said they will provide memos on legal feasibility and financing options for the board to consider before any commitment.
