HomeMy WebLinkAboutAffordable Housing Board - Minutes - 08/01/2002CITY OF FORT COLLINS
AFFORDABLE HOUSING BOARD
AUGU, T 1, 2002, MEETING MINUTES
Kay Rios, Chair lllll/`��
Isabel Garity, Vice Chair
Ken Waido, Staff Liaison, 970-221-6753 /�t 141"44itlo
David Roy, City Council Liaison, 970-407-7393
Board Members Present: Kay Rios, Isabel Garity, Kathleen Cherroff, Jon Fairchild,
Mary Glode, Jane Phelan, Denise Rogers and Jeff Taylor.
Advance Planning Staff Present: Maurice Head.
Council Members Present: David Roy.
Also Present: Julie Brewen, Executive Director of the Fort Collins Housing Authority;
Mary Greeley, FCHA Resident Commissioner from the Northern Hotel; Mike
Buderus, Chairman of the Senior Advisory Board, liaison to the Affordable Housing
Board; Lou Stitzel, The Resource Assistance Center; Grace Harris, League of
Women Voters.
The meeting was held at 281 N. College Ave., Fort Collins, Colorado. Kay Rios called
the meeting to order with a quorum present at 4:05 p.m.
New Business
Jeff Taylor was introduced as the newest member of the Board. David Roy
addressed the Board as the new City Council Liaison, and encouraged members to
contact him either by phone or at his e-mail address, droy@fcgov.com.
Minutes
The minutes of June 6 were approved as submitted on a motion by Isabel Garity,
seconded by Denise Rogers. The motion carried unanimously.
Practical Housing For All Initiative
Kay reported there were no additional details on this initiative forthcoming from the
PHA team, which is doing more outreach to the building industry at this time. The
issue may come before the Board in the future.
Northern Hotel
Julie Brewen and Mary Greeley outlined a number of issues, including lease
upgrades, marketability of the units and problems Northern Hotel residents are
having with some amenities, especially parking.
Funding Partners and National Development Council are the ownership group for
the hotel, known as Northern Hotel LLC; FCHA is the property manager. Joe Rowan
of Funding Partners was not able to attend this meeting.
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 2
Last November, FCHA set aside 20 Section 8 vouchers for the hotel, and those units
leased fairly quickly. To date, 26 of the hotel's 47 units are leased. Julie pointed out
that while the market study done at the beginning of the Northern project showed a
real need for senior housing, about 100 new units. Since then, several other
projects have come online -- in particular Reflections with 72 units and Woodbridge
with 60 units. These projects offer seniors more amenities than the Northern, in
particular parking, central air conditioning, larger units and a quieter location.
The FCHA board really wants the Northern to be fully occupied and become an
integral part of downtown, so beginning Sept. 1, an additional 27 Section 8
vouchers will be available for units in the Northern. HUD regulations allow residents
to use these project -based vouchers anywhere they want after the first year. FCHA
is concerned about a mass exodus next year.
Some of the air conditioning issues have been taken care of, although central air is
not possible. Parking is still a major concern. While the City has set aside a number
of spaces for residents to lease at a discount, they are located on the fourth floor of
the structure at Mountain and Walnut, quite a distance from the hotel with
unreliable elevators. Julie gave Kay the file of letters from residents expressing their
safety and security concerns about this arrangement. She said the residents would
rather have spaces in the lot on College Ave. directly across from the hotel, and Joe
Rowan has worked on the issue with the Transportation Department to no avail.
Parking has become a major leasing and retention issue.
Kay pointed out that at the beginning of the Northern project, the Board had
harped on exactly these issues that made it inappropriate for senior housing: size
of units, air conditioning, parking. She suggested Julie follow up with Transportation
on the lot closer to the Armadillo, which would also be cheaper and had been part
of the discussions previously.
Kay and Julie agreed that the size of the rooms might make the Northern more
appropriate as transitional housing, which the deep subsidy of the Section 8
program will allow. Julie expects several residents of the City's 45 single -room
occupancy units to move over to the Northern once more vouchers are available.
If project -basing additional vouchers doesn't work, FCHA may suggest to the
ownership group that the Northern become a mixed -ages project.
Jon Fairchild asked Mary Greeley what she would think of seniors occupying two
floors and having the other two open to all ages. She thought it would be a great
idea. She said she likes living in the Northern now that the air conditioning works;
the rooms are small but pleasant and she likes being downtown. The parking is
getting worse, however.
In response to a question from Isabel, Mary Greeley described the problems
associated with the current parking situation: the distance for people who have
trouble walking; ice in winter; no open spaces in the summer; walking past -- or
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 3
over -- bar patrons at night; no enforcement of the reserved handicapped spaces
and loading zone at the hotel. She added that only about five residents even bother
to have cars, and those who do are hesitant to renew their leases. She has
sometimes not returned to her apartment in the Northern at night rather than face
the drunks in the elevators and the kids skateboarding on the ramps.
Jon suggested exploring the option of leasing spaces in one of the private parking
lots in the area closer to the hotel, for example on Pine Street behind Rasta Pasta
and Fireplace West. Kathleen Cherroff pointed out that those are not gated lots, but
Mary Greeley felt such lots could be safer because they're not inhabited after dark.
Kay also thought the residents could get spaces cheaper than $24 per month there.
Kay, despite her recently retired status, said she would follow up with
Transportation to see what happened with the lot nearer the Armadillo. Julie will
follow up with the private sector to see if leasing closer parking would be possible.
She will also keep the Board updated if the resident mix changes to increase the
marketability of the Northern Hotel.
Kay did not say, "I told you so."
City Plan Update
Kay has submitted her application to become part of the citizen advisory committee
to the Advance Planning Department's project to update City Plan, which will be
coordinated with the Transportation Master Plan Update. Maurice reported about 70
applications have been received. City Council will select the final 21 members at the
Aug. 20 meeting. Whether or not she is appointed, the Affordable Housing Board
will have input to the process, and will set up a subcommittee for that purpose.
Nexus Studv
Maurice reported on results of five mini-taskforces that gave input on the study
from representatives of the chamber of commerce; residential developers;
commercial developers; industry organizations, and nonprofit groups on June 28.
The comments divided into eight themes, summarized by Maurice in a memo
distributed to the Board. (Complete reports are available from Maurice.) He said
the discussions were all very positive and straightforward, and everyone expressed
a willingness to work on the issue. The overall feeling was that affordable housing is
a citywide problem and should be addressed by all sectors of the community.
Of most concern to the mini-taskforces was the general perception that the recent
softening in the higher end of the real estate market and historically high rental
vacancy rates translated into a lessening of demand for affordable housing. The
feeling of task -force participants was that the 50-60 percent of AMI market was
already being served and the City's priorities should be refocused to the 30-40
percent of AMI market.
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 4
Maurice explained that the Division of Housing survey taken twice a year measured
only market rate units, not affordable/nonprofit housing. The most recent study
showed a 7 percent vacancy rate, compared to last year's 3 percent. Maurice added
that the Advance Planning Department's own research showed higher vacancies
among nonprofits as well. However, Isabel pointed out that homes under $200,000
are on the market for less than 30 days.
Maurice said while everyone agreed that there should be mitigation for affordable
housing, there was some concern that the City's estimate of the need was too high.
As a result, staff is reducing its recommendation for 100 percent mitigation of
affordable housing demand to 50 percent of what has been identified in the study.
The Board generally disagreed with Maurice's opinion that the mitigation reduction
has to be the same for both residential and commercial development to remain fair.
Jon Fairchild and Mary Glode asked about the numbers used to determine what's
too high, both for housing demand and fees imposed. Maurice agreed that there
may be difficulties with the figures generated by the real estate community and
that staff will take the lead in updating the housing needs report. Denise said that
fees are only too high if they prevent something the City wants, like affordable
housing, from happening.
Kathleen said it can happen, and has in Loveland.
Status of AHB Recommendations
Maurice distributed a memo updating the status of Affordable Housing Board
recommendations, referring to the matrix that had been previously distributed.
Although the one -stop development review center will not be implemented due
to budget constraints, Cameron Gloss, Current Planning Director, has been
designated as the staff person with the responsibility and authority to resolve
conflicts between City departments in regard to development review issues. In
addition, the Current Planning Department has made the 120-day review period an
internal goal.
Maurice will invite Cameron Gloss to the next meeting to explain what's in
place and its cost.
Maurice also announced that the Finance Committee of City Council had rejected
the plan to use budgetary cash -flow to fund the fee exemption ordinance,
although at the June 6 AHB meeting Doug Smith of the Finance Department
reported that the Finance Committee had agreed to a two-year pilot funding
program to study the cash -flow approach. The reason given was declining sales tax
revenues that could reduce the level of funding and therefore the float in the future.
Kay and Denise both questioned the decision not to restrict the fee exemption to
nonprofits only. Kay added that exempting nonprofits would put them on the same
footing as the FCHA when competing for Competitive Process funds. Extending the
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 5
exemption to all builders made the price tag too high. Maurice said the City's
attorneys were concerned about the fairness of offering exemptions to some
builders and not others. The Board generally disagreed; Kathleen pointed out that
for -profit builders aren't in that segment of the market anyway, but perhaps City
Council members don't realize that. Jeff Taylor asked for background on the source
of the funds, and asked if, in light of the recent 4 percent decrease in sales tax
revenues, the Finance Committee no longer considered the float a safe way to go.
Kay said that she didn't want to see the idea die, and that the Board should follow
up with the Finance Committee and get documentation of the reasoning. Jon
suggested the Board resubmit its resolution of May 2, which called for the
exemption be restricted to nonprofits; the Policy Subcommittee will consider this
option.
The consensus of the Board was that they would like to hear more on this issue
from Doug.
Maurice will invite Doug Smith of the Finance Department to the
September meeting for further discussions.
Kay also announced that a representative from Funding Partners will attend the
next meeting to discuss the Clearinghouse, which should be finalized by the end
of the summer.
New Model Building Code Review/Adoption
Kay explained that Felix Lee, the City's Chief Building Official, wanted a member of
AHB to participate in the upcoming review/adoption of the latest model residential
building code. The review will look at how code changes and associated fees affect
the bottom line for builders
Isabel Garity volunteered to serve.
Policy Changes Regarding Boards and Commissions, Including Term Limits
Kay explained that the major change was to clarify that any appointment to fill a
vacancy considered a term. Once that term is completed, an individual can only
apply to serve one more term.
Maurice also pointed out that the approved minutes must now be signed by the
chair of the committee and the recording secretary.
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 6
Old Business
Update/Reports on Subcommittee Efforts
With the cancellation of the July meeting, there were no subcommittee meetings.
Kay urged all subcommittees to begin meeting again.
Liaison Reports
Jane Phelan will be attending the next meeting of Natural Resources; Isabel has
been attending Planning and Zoning work sessions. Mary Glode has begun receiving
the monthly report prepared by FCHA for City Council. She has three copies of the
succinct summary of current local housing issues, if anyone would like to see it. She
also distributed an article from the Boston Globe about single -room occupancy
hotels.
Other Business
Colorado Housing NOW Conference
Mary distributed information about the conference to be held in Breckenridge Oct.
7-10.
Meal Sites
Mike Buderus of the Senior Advisory Board reported that City codes prohibit
cafeterias in some senior housing facilities and Dial -A -Ride has been transporting
seniors to off -site cafeterias. He suggested addressing this issue in the City Plan
Update.
Kay will meet with Mike to discuss the issue.
Trans[)ortation Tax
Kay attended a meeting to put together a citizens advisory group on the
transportation tax, and she recapped the quarter -cent sales/use tax and the 1
percent transportation excise tax for transportation to appear on the November
ballot and the $1 monthly transportation maintenance fee Council is considering
enacting. She is concerned about the impacts these taxes will have on affordable
housing and businesses with a high -volume of foot traffic as well as the lack of
transit serving populations in need of affordable housing.
Kay will invite Mike Burns of the Citizens Advisory Group to give a
presentation at the next meeting.
Affordable Housing Board
August 1, 2002 Meeting Minutes
Page 7
City Organization Booklets
Maurice distributed one to each board member.
Next meeting
Scheduled for September 5, 2002, 4 p.m.
Meeting adjourned 5:35 p.m.
Respectfully submitted by
Kate 7eracki
August 13, 2002