A long-gestating housing project in Chilmark took a step forward this week after winning nearly $1 million in grant money from the state. 

The Peaked Hill Pastures affordable housing development has been discussed by town committees going back to 2018, and on Tuesday, town administrator Tim Carroll said the town last week won a $990,000 grant through the state’s HousingWorks Infrastructure Program. 

The latest influx of cash will help chip away at the project’s current $5 million budget gap, and could prompt a special town meeting later this year on the housing proposal. 

The town issued a request for information earlier this year to help get the multi-unit development on Pasture Road rolling. The town is considering dedicating $1.5 million in community preservation funds and $1.5 million from the affordable housing trust.

With the new grant, the town is up to about $4 million, Mr. Caroll told the select board at its meeting Tuesday.

The project has been on a long and winding road, going through several iterations. 

Town meeting in 2022 approved going forward with a plan for developing 10 rental units, two ownership units and two homesites for people making up to 150 per cent of the area median income. 

Those project guidelines became an issue afterwards because town zoning limited the area to only nine units, and precluded any of the other uses on the adjoining land. 

The select board in January voted to move forward with a request for proposals for nine units, though some officials wanted to go forward with a 40B plan that could have skirted some of the zoning requirements. 

The town planned to send out a call for developers to take on the project earlier this fall, but that has been put on hold after the sole respondent to the request for information said it didn’t have time to do the project, and instead proposed a phased building approach, Mr. Carroll said. 

That way forward could result in spending about $1.5 million before having a completed plan to the voters, something that made Mr. Carroll uncomfortable, he told the select board Tuesday.

“I felt that was not really feasible, so we haven’t released the RFP yet,” he said. “But now we have to think about it again because now we’ve got another $1 million in the pot, and maybe we can go ahead for the whole funding upfront.” 

Mr. Carroll floated a potential December special town meeting that would cover Peaked Hill, plans for a bylaw regulating fractionally-owned homes from the planning board, and some other articles.  

“I just want to bring it back, because now we have more money and we’re closer,” he said. 

Town hall staff planned to talk about the project and potential zoning regulations with the town’s attorney later this week, and Mr. Carroll suggested the board consider how it wanted to move forward on the project for a meeting next month.

Chilmark has the lowest rate of affordable housing on the Island, while also being one of the most expensive places to live in the entire country.

Select board member Marie Larsen said she wanted to keep the project going. 

“We need to keep moving forward as fast as we can,” she said. “There is a need.”