HomeMy WebLinkAboutCommunity Development Block Grant Commission - Minutes - 01/10/2002CITY OF FORT COLLINS
COMMUNITY DEVELOPMENT BLOCK GRANT
Meeting Minutes
January 10, 2002
Phil rrusCairBill Bty Council Liaison
Chairman Phil Majerus called the meeting of the Community Development Block
Grant Commission to order at 6:35 p.m., at 281 North College Avenue, Fort
Collins, Colorado. Board members present included: Chairman Phil Majerus,
Terri Bryant, Bob Browning, Brett Hill, Tia Molander, Jennifer Molock, Billie
Rosen, Dennis Vanderheiden, and Cheryl Zimlich. Not present: Linda Coxen and
Vi Guthrie. Staff present: Ken Waido, Heidi Phelps, Julie Smith, and Stacy
Kelley. /�)
WELCOME NEW COMMISSION MEMBERS
Mr. Majerus introduced Bob Browning, formerly of the Affordable Housing Board
and Habitat for Humanity, and Billie Rosen, formerly of the Affordable Housing
Board and the Housing Authority. General introductions were made.
APPROVAL OF DECEMBER 13, 2001 MEETING MINUTES
Moved by Mr. Vanderheiden, seconded by Ms. Bryant: To approve the
December 2001 minutes as written. Motion approved with two abstentions.
PUBLIC HEARING
No one appeared to make a presentation.
ELECTION OF OFFICERS
Moved by Ms. Zimlich, seconded by Mr. Vanderheiden: To elect Mr. Majerus as
chair. Motion approved with three abstentions.
Mr. Majerus nominated Ms. Bryant as vice chair. Ms. Bryant nominated Mr. Hill.
Mr. Hill seconded Ms. Bryant's nomination. Ms. Bryant was elected vice chair,
with three abstentions.
GROWTH MANAGEMENT AREA POLICY
Mr. Waido gave a brief history of the origination of this policy, with Council
questions concerning the Bethphage project. In response to the situation, Staff
drafted a policy that limits funding of projects and programs to those that have a
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Meeting of January 10, 2002
Page 2
physical location inside the Growth Management Area Boundary. The proposed
policy will be presented to Council on February 5.
Federal regulations mandate that HOME dollars be spent within the City limits.
There was a desire to consider worthy applicants for CDBG and Affordable
Housing Funds at least within the GMA. The Affordable Housing Board has
recommended that the City give priority to projects within the GMA, but did not
find desirable a hard-and-fast arbitrary boundary of the GMA. Staff's policy was
in response to the perceived direction by Council to set a solid boundary.
In response to questions, Staff explained that the Growth Management Area
Boundary is the same as the Urban Growth Area boundary. The Affordable
Housing Board felt that projects that benefit the citizens of the city should be
considered without specific rule as to boundaries. Bethphage is the first funded
project to date that exists outside of city boundaries. It was noted that such
projects as Catholic Charities Northern and the Food Bank routinely extend
services to clients who are not city residents.
Regardless of any preferential policies, Council will have the ultimate authority to
approve funding for applicants. However, under the proposed policy, applicants
would need to show a benefit to city residents as part of their baseline
qualifications.
Discussion was held as to the desired arbitrariness of the boundaries.
Commission members raised hypothetical situations of applicants who would
benefit city residents but have a physical location outside of the GMA. Stringent
restrictions lessen the Commission's ability to address the situations before it.
Commission members spoke favorably of a policy of preference rather than
inclusion/exclusion. It was noted that Bethphage received reduced funding due
to location concerns; under the proposed policy, it would be fully qualified.
Mr. Waido noted that the Staff recommendation grew out of the Council
direction. He stated that based upon the discussion by the Affordable Housing
Board and the apparent direction of the discussion of the CDBG Commission,
Staff would likely amend its approach to the policy. It is unlikely that Council
would revert to the actual city limits as boundaries for the applicants.
If the policy is for arbitrary boundaries, points and preferences would not apply. If
the policy is for preference, location may then become a matter of weighting
within individual applications.
Moved by Mr. Hill, seconded by Mr. Vanderheiden: That the CDBG
Commission recommend a policy that location in regard to the Growth
Management Boundary be part of a ranking criteria rather than an arbitrary
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Meeting of January 10, 2002
Page 3
policy, with a preference factor given to projects within that boundary.
Some jocular discussion was held concerning weighted values based on
proximity to the GMB. Mr. Waido reviewed the probable ensuing Staff discussion
based on input by two citizen boards. Mr. Majerus advocated continuation of the
present lack of policy but felt that the motion as framed was preferable to an
arbitrary boundary. Motion approved unanimously.
APPLICATIONS
Mr. Waido stated that today is the kickoff for the Spring cycle process. Applicants
can pick up applications at the office, download them from the Web site, or have
application files e-mailed by Staff. The closing date for applications is the last
Thursday in February. Proposals will be distributed to Commission members in
early March. The interview process will be held in early April, with adoption of
recommendations a week later. The Council study session to receive those
recommendations is in late April. Final adoption will be at a Council meeting in
May.
The Commission will have an approximately $2 million entitlement to disburse,
with approximately $800,000 contained within reprogrammed funds. The
reprogrammed funds are available due to HUD restrictions regarding payment of
impact fees. The reprogrammed funds can be available immediately and should
be the first dollars spent. The reprogrammed funds must be used in the
upcoming funding cycle.
There will be two technical assistance meetings; one for public service
applicants, another for housing proposals. Staff will require applicants to receive
one-on-one technical assistance.
The cover letters are more user-friendly. Staff is promoting the public availability
aspect. Updates are being provided to prior applicants. Housing providers are
being sought out and told that extra money is available in this cycle. Developers
are being sought proactively as well. A press release will be promulgated
regarding availability of extra money. Commission members are invited to the
training sessions on January 28 and February 4.
Mr. Waido updated the Commission on the status of funding fees. Staff met with
HUD representatives regarding HUD's restriction on payment of impact fees. The
lobbying effort was unsuccessful. Staff argued from the standpoint of regulations
that were favorable to the concept of funding fees. The HUD staff rebutted with
internal memos and past decisions.
HUD's viewpoint on this issue is that impact fees become discretionary City
funds and cannot be tracked to specific projects. Staff presented court case law
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Meeting of January 10, 2002
Page 4
on impact fees that monies collected must be used to advance the purpose for
which it is collected. Staff encapsulated HUD's opinion using the hypothetical
that street oversizing fees cannot be paid with CDBG funds; however, CDBG
funds can be used to build a street. HUD staff is taking the issue to Washington,
D.C., for a higher -level decision. It was noted the impact fees are a necessary
consequence to provide citizen -demanded services in the face of increasingly
stringent restrictions on tax collections. CDBG funding encompasses a larger
arena than housing; therefore, in the eyes of HUD, the argument that funding is
necessarily restricted falls short.
OTHER BUSINESS
Ms. Phelps noted that the next meeting is February 14, Valentine's Day, if a
scheduling decision is needed in light of that fact. Moved by Ms. Zimlich,
seconded by Ms. Bryant: To cancel the February meeting. Motion approved
unanimously.
The CDBG Commission in March will be held March 7. This is a general
meeting, not for interviews or recommendations.
Posters for the awareness campaign will be available on Monday.
The Web site will be updated to advertise the availability of increased funding in
this cycle. Applications are online and available as PDF, Word, or Excel files.
Mr. Waido related his discomfiture with the absence of presentations at this
public meeting session. Standard procedure was followed in advertising this
meeting. Mr. Majerus requested Staff to contact the usual suspects to uncover
any prominent reasons for this lack of response.
Moved by Mr. Hill, seconded by Ms. Molander: To adjourn. Motion approved
unanimously.
The meeting adjourned at 7:40 p.m.