RIVER FALLS – The River Falls City Council April 23 voted to issue a limited term letter of site control to a development company interested in building affordable housing adjacent to Mann Valley Corporate Park.

Alderperson Sean Downing pulled the item from the consent agenda to ask City Administrator Scot Simpson some questions about the agreement.

“The city is providing some commitment to the developer that if they’re successful in obtaining primarily low-income housing tax credit through the state’s housing and economic development authority, that we would work with them on the site,” Simpson said. “It includes the commitment of essentially providing the property to the developer, a purchase of $1 for 2 acres. This was part of the original RFP and strategy we had for Mann Valley Corporate Park. About 10 acres of property is available for housing.”

Simpson said the predominance of funds for non-entitlement communities like River Falls, which means they’re not entitled to any direct Community Development Block Grant funding from the federal government or the state, the predominant tool or ability to fund or finance these projects goes to private development firms.

“There’s limited ability or almost no ability for cities to do these directly,” Simpson said. “It would be difficult to construct low-to-moderate income housing without the tax credits.”

The council packet provided background on the Mann Valley Housing RFP (request for proposal), released in September 2023 for 10 acres adjacent to Mann Valley Corporate Park. The River Falls 2022 Housing Needs Analysis emphasized a need for affordable housing in the community.

The only developer to submit a response was Three Sixty Real Estate Solutions. They have partnered with Cinnaire Solutions to provide proposed affordable housing within the larger housing site development, which also includes market rate housing. The proposed affordable housing would be located on up to 2.5 acres on the 10-acre site (along Division Street) and would include 50 units.

Cinnaire is hoping to use Wisconsin Housing & Economic Development Authority’s 4% Low Income Housing Tax Credit program to help with the cost of construction. The tax credits aren’t ongoing rental assistance; they finance up front construction costs to allow for lower rent charges going forward. If the grant is received, the rents would be restricted for 30 years.

If the tax credit is not granted, the project, which is similar to past projects The Depot and 1300 S. Main St., would not go forward and the city would not sell Cinnaire the property.

Other business

• The council designated May 11, 2024 as World Migratory Bird Day, which is an annual observance of birds returning to their summertime home. River Falls became a “Bird City” in 2010 and has maintained the status ever since. The city works with the St. Croix Valley Bird Club, UW-River Falls and St. Croix Valley Prairie Enthusiasts to protect the bird population throughout the city.
• The council approved a one-year agricultural lease agreement with Joe O’Malley for 10.75 acres on top of Mann Valley Mound for $150 per acre. He has rented the land since 2014.
• Mayor Dan Toland proclaimed May 12-18 as Police Appreciation Week and May 15 as Peace Officers Memorial Day. He also proclaimed May 5-11 as the 55^th annual Professional Municipal Clerks Week.