Commissioners press staff on limits, forgiveness criteria and fees for the new partnership program

During discussion of the Astoria Partnership Program, commissioners raised several detailed questions about how the program would operate in practice and how costs would be borne.

Commissioner Davis asked whether adopting the program would legally bind the commission to the stated dollar limits or simply give staff a process to follow. City Manager Spence said adoption creates an official policy that can be changed by the commission: "If you adopt it tonight and approve it, then you would use these as the guidance ... If you want to change it, then you have the latitude to change that." Davis sought certainty that applicants would not be misled about limits and staff responded that exceptions would require commission action.

Commissioner Mozzarella queried whether forgiveness tied to specific AMI percentages would be spelled out. Spence said staff intentionally left those thresholds out so the commission could exercise discretion based on project details. On loan fees and servicing, staff said Craft 3 has commonly handled servicing and processing; fees could be applicant costs or be accounted for within approved amounts depending on the commission's direction. Spence noted an example processing fee of roughly $16,000 on a recent ~$400,000 loan as a potential benchmark.

Commissioners also emphasized the desire to keep the program flexible but durable, with at least one commissioner asking staff to return with clearer fee estimates and possible contractual arrangements for loan servicing. The commission directed staff to proceed with outreach and return with applications and periodic updates.