ALAMOSA — A six-month delay in funding and a state spending deadline that is two years shorter than what the federal government requires has put the City of Alamosa’s Airport Road housing project on the fast track for completion.

Alamosa City Manager Heather Brooks provided the update to members of the Alamosa City Council at their recent meeting.

Earlier this year, the city applied for a grant to receive $2,338,914 of American Rescue Plan Act (ARPA) funding through the Colorado Behavioral Health Administration for the construction of 20 cottages on Airport Road. The purpose of the project is to address the shortage of affordable housing in the city, specifically for individuals and families who, for one reason or another, have “fallen through the cracks” of being eligible for housing through other existing programs.

When ARPA funding was distributed by the federal government to the states, it typically came with two deadlines attached — funding for a project must be committed by the end of 2024, and the funds must be spent by the end of 2026.

But, according to Brooks, the state’s deadline for funding to be spent in the Airport Housing project is the end of 2024. At the time the city applied for the grant, staff felt meeting that deadline was doable. But then a backlog at the state slowed down actually dispersing the money until just a few weeks ago. Although staff remain confident the project can be done in time, Brooks told city council “work has to begin right away.”

This is not the only time that a short deadline has impacted the project.

As Brooks told the Valley Courier in June, the grant only required the city to invest 5% of the cost of the project — referred to as “a match” — which equaled $123,100. Because the grant deadline was tight, the city requested an amount based on rough estimates and inadvertently left out a few key items, including minimal landscaping, fencing and security cameras. 

“Upon receiving notice that we’d gotten the grant,” Brooks said, “(the state) asked all the entities to tighten up their budgets and scope of work to make sure everything was ready for contract.”

Better cost estimates plus adding in items that were left out increased what the city will need to invest to $368,739, an increase of a little more than $245,000.

“We’re hopeful that we can find ways to reduce costs,” she told the Valley Courier in June. “This will be covered by the city providing the water and sewer infrastructure.”

City council, who must authorize any such project, remains in strong support of the housing project and neither incident raised any significant questions or concerns. Brooks has been praised by members of council on several occasions for the work she has done on behalf of the city in addressing homelessness.

The Airport Road housing project will include a total of 20 cottages arranged in clusters.  Four of the cottages will be two-bedroom and 504 square feet in size. Fifteen cottages will be one-bedroom, each 336 square feet in size, including one cottage that will be made available for laundry services.

Once construction is completed and the cottages are ready to rent, the city will lease the property to SLV Housing Coalition to operate the housing, including the hiring of an on-site manager who will occupy one of the two-bedroom cottages. 

According to Brooks, the housing will be for those who earn below 80% Area Median Income. For a single person in Alamosa, that equals $46,050.

Target renters will be those individuals and families who are exiting homelessness and, for example, may be “couch surfing”, those people exiting the justice system or the foster care system or other types of unique housing needs where the private market simply does not have the supply to serve. 

The city will also have an agreement with SLV Behavioral Health (SLVBHG), which is in close proximity to the housing site, to provide case management and wrap around services to those living in the cottages, an aspect that is widely considered to be essential in fostering long term success. 

While residents will be highly encouraged to participate in those services, participation will not be required. The grant includes $53,842.20 allocated to SLVBHG to cover the cost of the case manager, mileage, and supplies up to Dec. 30, 2024. 

The idea for the Airport Road housing project originated in the Homeless Coalition whose membership is comprised of volunteers representing businesses, law enforcement, housing, the mental health profession, the substance use profession, social services, health care, veterans, youth, elected officials, faith-based organizations and those with lived experience of being homeless.