HomeMy WebLinkAboutAffordable Housing Board - Minutes - 11/03/1994AFFORDABLE NOISING BOARD
MEETING MINUTES
November 3, 1994
The meeting of the Affordable Housing Board began at 4:07 P.M. in the Community
Planning Conference Room, 281 North College Avenue, Fort Collins, Colorado. AHB
members present were Chairperson Mary Cosgrove, Craig Welling, Tom Sibbald, Ann
Sanders, Christa Sarrazin, Robert Browning, Susan Nabors, and Joanne Greer.
Staff members present were Ken Waido and Mike Ludwig.
A. Citizen Comments
Betty Maloney introduced herself as co-chair of the Larimer County Affordable
Housing Task Force and talked about coordinating efforts between TF and AHB.
B. Minutes
Tom Sibbald would like to see a copy of the letter to the AHB sent the Council
regarding funding for 1995. Mary Cosgrove talked about sending another (second)
letter which would contain stronger statements for funding.
Moved by Craig Welling, seconded by Christa Sarrazin to approve the minutes.
Motion passed "unanimously, 6-0.
C. Discussion with Utilities Staff
Rich Shannon, Mike Smith, and Wendy Williams, presented some background
information.
Tom Sibbald suggested a 45 minute time limit for this item.
Rich Shannon indicated that utilities impact affordable housing two ways:
1. Plant investment
2. Rates for services
The utilities are operated as a City -owned business and therefore is
governed by the Charter, Codes, etc. - These indicate the cost of service should
be allocated equally across the various systems. Utility Departments pay the
City for "overhead" services.
Certain relief of costs, for example for economic development, are possible
however, the City Attorney has rules the General Fund must reimbursement the
Utility any "lost" fees.
Rates are determined by consumption, thus more consumption directly impacts
the size of bills. The City Council determines rate levels.
Tom Sibbald indicated he believed Utilities impact affordable housing three ways:
1. Fees
2. Rates
3. Development Standards
The Mini -Task Forces talked with utilities about their impacts. We need
to look at the issues again. Mr. Sibbald raised the question that if fees/rates
exceed costs, what happens to the excess? Mr. Shannon's response was that the
excess funds stay with the "business". The City has policies regarding the
amount reserves allowed. Reserves are basically used for capital projects.
Mr. Sibbald raised the concern if the money goes into reserves it would
never be returned to the rate payers. Mr. Sibbald also asked if the reserves
were the only source for capital projects. Mr. Smith's answer was no, some debt
financing is also used. Mr. Smith discussed the cycle of impacts of how rates
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November 3, 1994
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influenced the amount of reserves, which influenced the operational budget, which
rates, etc.
Mr. Browning asked about budgeting for capital projects. Mr. Smith responded
that the City likes to pay cash if it can. However, larger projects $10-S20M
require bonds. If net income drops, rates need to be increased.
Tom Sibbald: One part of the Affordable Housing Policy indicates the developers
should fill vacancies on utility boards. He asked if any have been recruited.
Mr. Smith discussed their history of difficulties with recruitment and there are
currently no builders/developers on Boards.
Ann Sanders suggested the AHB converse with Council on this issue.
Tom Sibbald asked if the time -payment of connection fees could be discussed. Mr.
Smith indicated the City Code only allows for "hardship" cases with regard to
water service.
Mr. Shannon talked about time -payments for economic development which were not
approved by Council and indicated the Utilities staff would support time -payments
for affordable housing. .Any change in policy would need to be approved by the
Council.
Craig Welling pointed out there would be no Amendment I issues because of
utilities operate as an enterprise fund.
Susan Nabors thought that if the Utility Departments support the concept, it
would likely be adopted by the Council.
Tom Sibbald asked about Storm Water and Light and Power utilities. Mr. Shannon
stated they would investigate what possibilities may exist with them.
Mike Smith updated the AHB on some actions being done by the utilities:
I. Metering of waste water rates, only for single family and duplexes.
2. Redoing the P.I.F. structure.
3. Rate increases - 5.0%
Tom Sibbald asked why not have PIF's based on the number of fixtures. Mr. Smith:
indicated that could be possible.
Craig Welling asked about CSU's relatively higher rate increases and was told
they were "catching -up" from lower rates in the past.
The AHB then discussed the establishment of a sub -committee to talk about
development standards.
D. Fire Code Changes
Mike Pretz, Firm Marshall, discussed the proposed code changes and
classifications. Class A indicates fire resistant, will not burn. Classes B &
C indicates fire retardant, but will burn. Affordable housing would be in
Classes B or C.
Tom Sibbald asked if R-1 structures are included and is the requirement for Class
A applied to multi -family structures. Mr. Pretz answered "No" to the R-1
questions and "Yes for the multi -family question. The initial draft did not
include multi -family. There was a willingness to change.
Tom Sibbald stated the code changes were too restrictive, needs to be expanded
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November 3, 1994
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for multi -family.
There was some discussion over costs regarding Class A roofs.
Mary Cosgrove summarized that the AHB wanted to have all types of housing treated
equally.
Tom Sibbald again stated the changes should include multi -family; multi -family
must have same options as single family.
It was pointed out that the Code dictated the type of materials to be used, thus
it will be more expensive to build housing.
Mr. Pretz indicated he will include multi -family which received general
satisfaction from the AHB.
E. 1995 Budget
The City's 1995 Budget adoption hearing will be held 11/15 (second reading).
Tom Sibbald stated the AHB should take the position that the Planning Director
position needs to be filled. There was further discussion on staffing needs.
Tom Sibbald raised an issue regarding Utility billing and asked if Utility
Billing charges correctly for switching service. They have stated they charge
$15.00 for a $3.00 cost. It was decided to bring in a representative from
Utility Billing Department to the January meeting.
F. Work Program
Discussion of Housing Authority will be on December Agenda.
Ann Sanders has agreed to serve on the Citizens Committee for ES/WS design
guidelines project.
There was further discussion on CDBG Process and its effectiveness.
G. other Business
Staff passed out "Growth Management Goals" from the Chamber of Commerce. The AHB
should review the paper and provide comments back to the Chamber.
Ms. Nabors moved adjournment, seconded by Mr. Welling. Upon a unanimous vote,
the meeting adjourned at 6:20 P.M.