The Williams City Council agreed to submit an application for funding from the California Home Investment Program for the AMG & Associates to build a 31-unit affordable senior housing complex on the west side of town.
The proposed Northview Senior Apartments will be built on a vacant parcel at 8th and C Street.
The housing authority, through the City of Williams, is seeking $7.1 million from California Department of Housing and Community Development for funding under the investment program, which is funding made available from the U.S. Department of Housing and Urban Development, city officials said.
The project will provide one-and-two bedroom units for senior citizens meeting age and income requirements.
The Feb. 16 decision to carry the loan was not unanimous.
Williams Mayor Roberto Mendoza cast the only dissenting vote, largely because he felt Williams has more than its fair share of “shipped in” older residents that task local and emergency services, especially the ambulance.
“We have a problem in the City of Williams about the elderly,” Mendoza said. “We have enough problems with the people that already live here without bringing anyone else from another city to our town. They are going to be senior citizens – not doing much. I don’t think it is a good idea to encourage people from other cities to (come) here when we do not have a hospital here in town. We have to take them in an ambulance to Colusa or Woodland or somewhere else.”
Williams City Administrator Frank Kennedy, however, said the issue with the city applying for the funding had nothing to do with the actual project, as it will go forward with or without the Community Development funds, but that the city needed assurances from AMG that the cost to administer the loan would not be borne by Williams taxpayers.
Williams Finance Director Rex Greenbaun reminded the council that development of low-income senior housing exempts property taxes, the primary source of revenue to fund all city services.
Greenbaun said the city would collect some interest on the loan years down the road, but he only wanted assurances from the developer that they would cover all the administrative costs associated with the life of the loan over the 55-year commitment that the project remains low-income.
Cameron Johnson agreed that administrative costs for HOME program monitoring have gone up since the initial first budget phase was developed.
“In Corning, the same issue arose,” Johnson said.
Johnson said all excess costs incurred by Williams to administer the HOME program would be reimbursed.
“The city should not be out of pocket $1,” Johnson said.
The City Council approved the funding application on a 4-1 vote. ■