Title
Resolution to Amend the Ann Arbor Affordable Housing Fund Guidelines
Memorandum
Staff are recommending amendment of the Ann Arbor Affordable Housing Fund Guidelines (“Guidelines”) to clarify eligible project types and requirements for pre-development and technical assistance grants.
As stated in the Guidelines, the purposes of the Ann Arbor Affordable Housing Fund include the creation and preservation of long-term affordable housing for households with incomes at or below 60% of the City's Area Median Income; to improve housing conditions for City of Ann Arbor residents, with priority given to those whose income is at or below 30% of the median household income; to provide a full range of housing opportunities to all City residents; and to administer the Fund in a flexible manner in order to best meet the housing needs of the City.
In May 2025, City Council approved amended Guidelines designating the Ann Arbor Housing Development Corporation (AAHDC) as the administrator of the Affordable Housing Fund, which is staffed by the Ann Arbor Housing Commission. The AAHDC received a request from MISSION, a local nonprofit that provides shelter and services to unhoused people, for predevelopment funding to explore a development of small homes on their property on Stone School Road. Due to site constraints, MISSION is exploring a development including small homes with private sleeping and living spaces and communal kitchen and sanitary facilities.
The Ann Arbor Affordable Housing Fund Guidelines as drafted require all projects to be “decent, safe and sanitary and meet the Housing Quality Standards or similar standards as established by HUD and the local Code,” reflecting a prior expectation that all projects would be HUD-funded and subject to HUD requirements, which potentially excludes financial support for developments that provide common kitchen and sanitary facilities. Due to the high need for habitable places and the Guidelines’ stated goal to provide a fu...
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