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April 10, 2025 <br /> <br />Kittitas County Board of Commissioners <br />205 W 5th Street <br />Ellensburg, WA 98926 <br /> <br /> <br />To: Board of County Commissioners <br />From: The Homeless and Affordable Housing Committee (HAHC) <br />Subject: Recommendation for Affordable Housing Fund 112 Funding Proposals and utilization of a <br />portion of the returned IOOF funds <br />HAHC recently reviewed two grant requests through an RFP process conducted early in 2025, <br />requesting applications for $250,000 for an affordable housing project. We received two very strong <br />applications, one from HopeSource, the Pearl Street Affordable Housing project, and one from <br />Habitat for Humanity, the Flora Avenue Affordable Homes project in Cle Elum. Both projects asked <br />for the advertised amount of $250,000. After thorough discussion spanning two meetings, the <br />Committee is recommending that the BOCC award funding for both projects at the $250,000 level. <br />We recognize that this is an unusual recommendation, and we believe it is warranted in this case. <br />We recommend that the Board utilize some of the former Independent Order of Odd Fellow (IOOF) <br />project funding to bring the awards to $250,000 each. We have discussed this request thoroughly <br />with staff in public health and utilizing some of the IOOF funding now has no negative impact on our <br />proposed budget and revenue forecasts for the 25-26 biennium. <br />HopeSource will utilize their funding to purchase the property/units under construction on South <br />Pearl Steet in Ellensburg, with six studio apartments and two one-bedroom apartments. These <br />units are currently under construction and will be ready for occupancy in September of this year. <br />Habitat for Humanity will utilize their funding for the construction of five two-bedroom and eight <br />three-bedroom units in Cle Elum. Construction on these homes will begin in 2026. <br />Our committee has reviewed the applications, proposed budgets, and supporting documents for <br />both projects. We have scored the applications with consideration for the potential impact, <br />feasibility, and sustainability of the project, considering the needs of our community and the <br />available resources. The projects are equally strong. We are recommending these projects be <br />funded for the following reasons: <br />1. Together, they will add 21 units to the affordable housing inventory in Kittitas County. <br />2. The Habitat project will bring new, affordable home ownership opportunities for the first <br />time to the Upper County, where there is a significant need. <br />3. Both projects are excellent, and neither would benefit from partial funding. <br />4. The IOOF funding was an unexpected windfall. The committee unanimously supported <br />using some of this funding so that both projects will be built.