# Housing and Community Development Committee (Virtual) (Mar 17, 2026)

**Body:** City of Asheville — Housing and Community Development Committee
**Date:** March 17, 2026 10:00 AM EDT (2026-03-17T10:00:00-04:00)

**Link:** https://sunshinemeetings.org/event/1075

## Summary

The Housing and Community Development (HCDC) Committee convened virtually on March 17, 2026, addressing a significant influx of development activity and navigating funding challenges within the city's housing programs. The meeting, accessible to the public via a city website engagement hub and phone line, centered on three key areas: updates regarding the CDBG-Disaster Recovery (CDBG-DR) multifamily housing construction program, a surge in Low-Income Housing Tax Credit (LIHTC) development applications, and preliminary considerations for the upcoming Community Development Block Grant (CDBG) program action plan.

A primary focus of the meeting was the CDBG-DR multifamily housing construction program, which received 13 applications seeking over $70 million in funds to create 1,481 units. With only $18 million currently available, the committee engaged in a detailed discussion of project evaluation criteria, emphasizing affordability (rents aligning with CDBG-DR goals), developer experience, leveraging additional resources like bond funds or self-help financing, and achieving results through Enterprise Green Certification for disaster resiliency. Committee Chair Mosley stressed the importance of prioritizing "shovel-ready" projects to maximize impact within the limited funding. Staff will provide detailed funding recommendations on April 7th, with a final decision by City Council scheduled for April 14th.

The committee also addressed a substantial increase in LIHTC development applications, driven by recent city investment initiatives. Eight new developers have entered the market, creating both opportunities and challenges. Discussions revolved around unit mix (20%, 60%, and 80% AMI), project size & funding, geographic distribution (with concerns about concentration in the Sweden Creek area), and partner prioritization. Staff will investigate options for developers to potentially reduce their fees, possibly utilizing a consultant, and the committee is working towards aligning LIHTC processes with deadlines to ensure efficient awards. A developer conference will be launched on March 25th for the Home ARP rental construction application, accepting applications until May 15th.

Finally, the committee engaged in preliminary discussions regarding the upcoming CDBG program action plan development and acknowledged the connection between CDBG and the CDBG-Disaster Recovery (DR) Housing program. The committee reaffirmed established funding strategies from November, prioritizing programs benefiting low to moderate income (LMI) residents and setting minimum award amounts for various program areas. A significant portion of the discussion centered on allocating approximately $777,000 in CDBG funds amidst a surge in demand – requests totaling over $4.5 million, reflecting national funding declines.  The EPA mandate requiring Asheville to replace lead service lines by 2036 or 2038, with a $4 million state grant secured for work in the Shiloh community, was also a key topic. Staff will develop a “hybrid” funding recommendation incorporating committee feedback and explore a strategy proposal for committing to lead service line replacement over multiple years.

**Key Decisions & Action Items:**

*   The minutes from the February 17th meeting were approved unanimously.
*   Committee members are encouraged to provide feedback on the CDBG-DR projects.
*   Nikki Reed (Staff) will provide detailed information on the funding stack and capital requests of the LIHTC applicants.
*   Sage (Staff) will investigate feasibility of reduced developer fees.
*   James Shelton (Staff) will present CDBG funding recommendations on April 7th and manage the program, including developing an action plan.
*   James Shelton (Staff) will launch a developer conference and align future grant cycles with the LIHTC tax credit cycle.
*   Staff will research requirements for waivers to allow organizations like HelpMate to utilize CDBG funds outside of city limits.



The meeting highlighted a dynamic development landscape within Asheville, presenting both opportunities and challenges due to increased developer interest and constrained funding. The committee’s focus remains on achieving impactful results by prioritizing affordability, strategic location, and maximizing the use of available resources.

## Agenda

- [Approval of Minutes (February 17, 2026)](https://sunshinemeetings.org/event/1075/item/1149)
- [CDBG-DR Multi-Family Housing Program Update](https://sunshinemeetings.org/event/1075/item/1150)
- [CDBG Program Update & 2026 Funding Discussion](https://sunshinemeetings.org/event/1075/item/1151)
- [Public Comment (3 Minutes Each)](https://sunshinemeetings.org/event/1075/item/1152)

## Video & Transcript

- Recording: https://youtube.com/live/ClAI2QRMTI4?feature=share
- Transcript: https://sunshinemeetings.org/transcript/1639/segments

## Documents

- [3 - CDBG-DR Multifamily NOFO Update 1_HCD 03172026.pdf](https://sunshinemeetings.org/event/1075?document=4703)
- [Approval of Minutes](https://sunshinemeetings.org/event/1075?document=8789)
- [3 -  CDBG-DR Multifamily NOFO Update 1_HCD 03172026.pdf](https://sunshinemeetings.org/event/1075?document=3675)
- [1 - HCD Agenda March 17 2026.pdf](https://sunshinemeetings.org/event/1075?document=3673)
- [4 - HCD - CDBG Update and 2026-2027 Funding Recommendations - 3.17.2026.pdf](https://sunshinemeetings.org/event/1075?document=3674)
- [2 - draft HCD Action Minutes 3/17/26.pdf](https://sunshinemeetings.org/event/1075?document=3676)
- [Pre-Submitted Public Comment Sheet - HCD.pdf](https://sunshinemeetings.org/event/1075?document=4701)
- [agenda_2026-03-17.pdf](https://sunshinemeetings.org/event/1075?document=3666)
- [minutes_2026-03-17.pdf](https://sunshinemeetings.org/event/1075?document=13201)

## Sources

- [City of Asheville WordPress](https://www.ashevillenc.gov/government/meetings/housing-and-community-development-committee-virtual-mar-17-2026/)
