Finishing a project under budget is good news on any job. In Chaffee County, the leftover money could help pay for the next affordable housing project.
At its Oct. 15 board meeting, Chaffee Housing Authority Executive Director Marjo Curgus said about $480,000 may remain from the government bond financing used to build Jane's Place, Ark Valley Voice reported.
How the leftover money would work
Under the project's financing with High Country Bank, unused bond proceeds can't simply be spent on anything. They could be placed in a fund set aside to cover debt service, according to Ark Valley Voice.
Curgus said that arrangement could cover about $129,300 in annual debt payments for as long as three years, depending on the final accounting. Over three years, that would be nearly $388,000 in payments that wouldn't have to come out of the property's rental income.
That frees up rent money. The housing authority could use it to build reserves and invest in other affordable housing work.
Where the money might go
Curgus told the board the authority would need a multiyear financial plan before deciding how to use the extra breathing room. Ark Valley Voice reported the possible uses include:
- Building operating reserves for Jane's Place
- Supporting future affordable housing developments
- Keeping staff in place for Molly's House, which provides temporary housing inside Jane's Place for people facing housing instability
- Preparing for the property's expected refinancing in 2036
Curgus also raised the idea of putting some money into the authority's capital fund, which pays for planning and early investments in housing developments. She also mentioned investing reserves to earn income that could support housing services over the long run.
No decisions have been made. The authority has not finalized how any extra resources would be used, Ark Valley Voice reported.
Closing out construction
The financial picture is coming into focus as the authority finishes the Jane's Place construction project. Ark Valley Voice reported the authority is still working out how much philanthropic money will be left after outstanding bills are paid. Some of that money could help support operations at Jane's Place, Curgus said.
The authority held a ribbon cutting for Jane's Place on Dec. 19, 2025, according to a photo caption with the Ark Valley Voice story.
Budget timeline
The housing authority plans more discussion of its proposed 2027 budget in November, with final adoption expected in December. At the Oct. 15 meeting, the board also approved its 2027-2028 work plan.
A look at how public housing projects get paid for
For contractors who don't usually work on public projects, this story shows how the money side works. Many affordable housing projects are financed with government bonds and bank loans, with the debt repaid from rents. When a project closes out with unspent proceeds, the rules on how that money can be used are often written into the loan documents. In this case, the leftover money can be steered toward debt payments rather than spent elsewhere.
That matters because a housing authority with healthier reserves is in a better position to take on its next project. Capital funds that pay for early planning and design are often what gets a project from an idea to a bid package.
Why it matters for contractors
Chaffee County, home to Salida and Buena Vista, is a mountain market where workforce housing is hard to build and hard to pay for. Every dollar a housing authority can free up makes the next project more likely.
If the Chaffee Housing Authority uses some of this money for future developments or its capital fund, as Curgus suggested, that could mean planning and pre-construction work on new affordable housing in the valley. Local builders and trades who want public housing work should keep an eye on the authority's 2027 budget discussions in November and December, where those priorities will be set.
It also shows the value of a well-run job. Closing out on or under budget doesn't just make the owner happy. In public housing, it can help pay for the next building.