Thrive West Central seeks $5M in ARPA funds for housing
Sep. 7—Thrive West Central is seeking $5 million in American Rescue Plan Act funding from the county to spur housing development.
Ryan Keller, Thrive executive director, presented the proposal to the Vigo County Council on Tuesday during its "sunshine," or nonvoting, session.
The council is expected to consider that request, and others, Tuesday.
County commissioners recommended the project for funding. "We've been working with Ryan the last few months putting together a plan to help spur much needed housing development in our community," said county commissioner Mark Clinkenbeard.
The resulting plan "will incentivize homebuilders and developers while also laying a foundation for long-term housing development," Clinkenbeard said.
According to Keller, most of the funds, more than 96%, would go toward housing development, including infrastructure and getting sites ready for builders.
"It helps lower their risk and gets housing production completed faster," Keller said in an interview Thursday. "At the end of the day, we need a lot of housing" in the community.
Infrastructure could include such things as roadways, water or sewer lines, sidewalks or broadband.
Funds "will help solve the funding gaps on projects that normally limit development, where developers say 'I'd love to build this, but I can't make it work financially,'" Keller told the council.
There might be a few niche programs for small developers or those who rehabilitate housing.
A small percent of the funds would be used for such things as training, education and program development.
The initiative would include a down payment assistance program for qualifying homebuyers, which would be separately funded through banks/lenders. It involves use of the Club 720 platform with the Hoosier Homes program.
Hoosier Homes is an Indiana program that helps low- and moderate-income individuals and families buy a home in approved areas of Indiana.
Thrive also plans to request $5 million from the city in ARPA funding for housing.
It will be on the agenda for the Sept. 14 city council meeting, and the council is expected to vote in October, Keller said.
Through the ARPA funds, if approved, "We will be able to make huge strides forward with our housing development with this investment. And we certainly have the market potential to go with it," Keller said.
Housing construction could start as early as spring 2024.
ARPA approved by the county would be used in the county, and ARPA approved by the city would be used in the city.
An 11-member steering committee will provide guidance on the housing initiative; it will include representation from county and city government, the business community, not for profit, real estate, banker/financial services, the Terre Haute Economic Development Corp. and Vigo County School Corp.
Housing of all different types is needed and for various income levels, from low- to moderate-income all the way up to higher-end executive housing, Keller said.
Thrive West Central recently announced that through its Homes for the Future program, using READI funds, it awarded $952,000 that leveraged more than $25.7 million in private sector development.
That development will translate into 130 new housing units in Terre Haute/Vigo County and Brazil by Oct. 1, 2025.
The program, using $1.8 million in READI funding, helps builders and developers cover the gap between increased infrastructure costs.
County council member Marie Theisz was enthusiastic about the Thrive housing proposal.
"We've been talking about housing for so long and the need for it," she said. "The plan for the housing is really impressive because it takes into account all different types of housing, different income levels, and what I really liked about it, too, is it looks at the potential of first-time home buyers that maybe have difficulty getting into that next step ... and providing help and support to get them to that."
Sue Loughlin can be reached at 812-231-4235 or at sue.loughlin@tribstar.com Follow Sue on Twitter @TribStarSue
