Housing authority wins $560,000 draw from Affordable Housing Trust for Milport repairs

Scott Hobbs, chairman of the Affordable Housing Authority of New Canaan, asked the board to approve a drawdown of funds from the town's Affordable Housing Trust Fund to cover deferred maintenance at the Milport property, including parking-lot repair, security-system installation and HVAC equipment.

Hobbs said the housing authority had tapped reserves to purchase Riverwood, which left less cash available for routine capital needs. "The funds are available inside of the trust and we're coming in front of you guys to ask for permission to use those for those purposes," he said. He described the trust as intended for affordable-housing projects, maintenance, acquiring land and building, but said there is a statutory limitation discovered during the Riverwood transaction that prevents the trust from being used to buy existing apartment units.

Board members asked operational and funding questions. Staff described the trust's primary revenue source as a fee tied to building permits (discussed in the meeting as roughly 1% of permit revenues), noting the trust typically grows by several hundred thousand dollars annually but is cyclical because building permits fluctuate. Hobbs said the housing portfolio is expected to contribute to rebuilding the trust over time and that the trust would still be available for future projects if needed.

After discussion about camera lifecycles and maintenance prioritization, a motion to transfer $560,000 from the Affordable Housing Trust Fund for capital projects at Milport was made and seconded. The motion was recorded as carrying; one member voiced opposition during the vote.

Next steps: the board's approval moves the request on to the town council as part of the town's process for using trust funds for capital work.