Committee approves mortgage-reduction agreement with Santa Fe Community Housing Trust; councilors ask about spend-down and award caps

The Quality of Life Committee approved a professional services agreement with the Santa Fe Community Housing Trust to provide mortgage-reduction assistance; the agenda listed the total amount (transcript/agenda text shows an inconsistent figure, recorded as $28,7218 in the meeting packet/transcript). Councilors asked whether the program's $25,000 per-household cap could be raised to make awards more effective in the local housing market.

City staff said the contract resulted from a competitive procurement and that the city cannot alter the RFP scope for the awarded contract; staff added that HUD rules permit a multi-year spenddown (up to five years) and that unused funds can be recaptured and reappropriated in a following year. Staff also noted that the Housing Trust had successfully deployed prior-year funds during the last cycle.

Councilor Casset asked whether the $25,000 cap had affected ability to expend funds in the past; staff replied that some organizations had faced challenges when market conditions limited eligible purchases but that the current award structure followed procurement requirements and that reappropriation is possible if funds remain unspent.

The committee approved the contract by roll call. Staff said they will continue to monitor deployment and can return with adjustments in future procurement cycles if necessary.

Next steps: Housing staff will monitor award deployment and report back to the committee if recaptures or reappropriations are needed.