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HomeMy WebLinkAboutAffordable Housing Board - Minutes - 02/02/1995AFFORDABLE HOUSING BOARD MEETING MINUTES _ February 2, 1995 The meeting of the Affordable Housing Board began at 4:05 p.m. in the Community Planning Conference Room, 281 North College Avenue, Fort Collins, Colorado. AHB members present were Chairperson Mary Cosgrove, Bob Browning, Joanne Greer, Susan Nabors, Ann Sanders, and Craig Welling. City Council liaison Gina Janett was present. Staff members present were Ken Waido, Julie Smith, and Dickson Robin. The Board opened public comment. Kelly Ohlson spoke of several concerns. Natural allies not be pitted against each other in the affordable housing/good planning arenas. People receiving relief from normal planning and environmental restrictions should still remain accountable to those issues and be restricted to long-term affordable rent levels. The Board could serve in an oversight capacity to those developers. Mr. Ohlson hopes that legitimate development fees that recover City costs would not be cast aside because of public outcry over a perceived need of affordable housing to have those fees mitigated. Waterglen was used as an illustration in Mr. Ohlson's presentation. Mr. Sibbald replied: Waterglen was not endorsed as an affordable project by the Board. A poor job has been done locally of monitoring projects for costs and compliance. CDBG has had most of the oversight responsibility in that area. Affordable Housing Board will be monitoring that process. The Board is sensitive to fee waiver discussions. It will be looking at planning appeal fees and more equitable fee distribution policies, such as in the areas of water and sewer. Lou Stitzel complimented the Board on its perserverance in its first year. She encouraged that the Board explore the concept of a community development corporation, it being a responsibility of those industries receiving benefit from lower -wage workers to participate in housing programs for those workers. Ms. Stitzel feels that innovative partnerships should be explored among government, private, and nonprofit entities. She offered use of the Northern Colorado Community Foundation as a resource for such partnerships. Ms. Stitzel spoke approvingly of the RFP process. Mr. Waido introduced Dickson Robin, a city planner concentrating on affordable housing. He replaces Mike Ludwig as a full-time FTE concentrating on affordable housing. Discussion was held concerning the December 1, 1994 meeting minutes and the absence of detail. Moved by Mr. Sibbald, seconded by Mr. Welling: That minutes be produced using the January 5, 1995 format as opposed to the December 1, 1994 format. Motion approved unanimously. The December 1, 1994 minutes will be revised and resubmitted for approval. Moved by Mr. AHB Minutes February 2, 1995 Page 2 Sibbald, seconded by Ms. Nabors: To approve the minutes of January 5, 1995. Motion approved unanimously. Ms. Cosgrove invited the Board to review Mr. Sibbald's letter to the Utility Department and offer further comment. Mr. Sibbald stated that he could not see the justification for the utility fees at issue and wished further clarification. He recommended that the Utility Department visit with the Board once again to detail the expenses, income, and justification of the fees at issue. Moved by Ms. Nabors, seconded by Ms. Sanders: That the Utility Department provided the Board with further Information relative to the salient points of Mr. Sibbald's letter. Ms. Greer noted that the figure of $391,000 should be revised to $365,000. Motion passed unanimously. Concerning Pioneer Mobile Home Park, Mr. Waido related his discussions with Mr. Donaldson, the developer of the site. Mr. Donaldson is planning a 300-unit development, to be used primarily for mobile homes. Several vacant properties are being looked at; the most promising one would need to be rezoned before being developed. Mr. Waido further stated that rumors abound concerning an actual date of eviction of Pioneer residents, but no letter has been seen by staff. The Building Inspection Department will be inspecting homes on a voluntary basis for their ability to be moved and will offer cost estimates for those houses needing rehabilitation before being moved. A HUD seal is an indicator of movability of mobile homes. Mr. Waido and Ms. Sanders discussed the issue of some mobile home parks having covenants that do not allow homes without the HUD seal. Concern was expressed over the number of homes in Pioneer that may not qualify for the HUD seal. Mr. Sibbald raised the possibility of Council using its urban renewal authority to condemn the park under eminent domain, improve it, and obtain a Section 108 HUD guarantee loan, to be repaid by a co-op formed by the mobile home owners. Zoning would need to be changed. The property is presently zoned for retail. The landowner would be paid the adjudicated property value. Ms. Sanders expressed reservation about the residents' abilities to meet the loan payments. A street dead -ending in the park is supposed to be a through street. Utilities are in need of upgrading. Moved by Mr. Sibbald, seconded by Ms. Sanders: To recommend that City Council direct staff to explore options and alternatives to keep Pioneer Mobile Home Park in its present location; and to direct staff to seek financing alternatives from HUD to assist the City in obtaining the park and forming a residents' co-op to keep the park in its present location. Discussion was held concerning surveying park residents as to income levels. Ms. Janett encouraged the motion and expressed reservation that a viable alternate site could be found. AHB Minutes February 2, 1995 Page 3 An estimate was put forth that 181 households are resident in the park. Mr. Sibbald stated that the park was a neighorhood with a certain identity and that a political decision needed to be made to maintain that identity and use eminent domain to effect that decision. Motion passed unanimously. It was generally agreed to reviewe this issue as an agenda item on a regular basis. Moved by Ms. Nabors, seconded by Ms. Greer: That the Board receive all available information, be apprised of any progress, and actively pursue disposition of the Pioneer Mobile Home Park issue. Motion passed unanimously. Discussion was held concerning potential neighborhood opposition to movement of the park. Opposition was generally seen as inevitable. Property holdings by the City was discussed, with lighthearted focus on a parcel in the southwest quadrant. Mr. Browning requested HUD standards on the mobile homes be included as part of the information to be received by the Board on the issue. Mr. Sibbald raised the possibility of a grant by CDBG to allow the residents of the park to explore their possibilities. Planning and Zoning appeal fees were discussed. Mr. Sibbald suggested a system in which winners of such appeals would pay no fee, as having provided a community benefit; nuisance filings would be charged at a rate more commensurate with the actual cost to the City of processing the appeal. Mr. Welling suggested a three -tiered system of: appeal granted, no cost; appeal meritorious but denied, no cost; appeal denied and not meritorious, costs assessed. Discussion was held concerning the costs to the City for staff time on appeals (approximately $8,000 for six appeals) and costs to applicants to defend against appeals. Ms. Janett and Mr. Waido addressed the possible philosophies behind the present appeal filing fee. Staff would need approximately two months to develop an alternative to the present system. Discussion was held concerning the memo outlining the proposed role for the Board. General inquiry was voiced as to how these proposed roles may contrast with the roles outlined for the Board at its inception. Ms. Janett related the Council -level discussion held among Ms. Azari, Mr. McCluskey, and herself where Ms. Janett had recommended that: the Board review housing -related applications submitted to CDBG; and the Board distribute HOME funds. Ms. Janett did not prevail, as the other two Council members felt that CDBG was an entity with specific focus of reviewing grant request and making recommendations, and assumption of that role by the Board would be duplicative. Ms. Janett and Mr. Waido outlined the proposal that the Board screen housing - related CDBG applications for their appropriateness under RFP guidelines. Ms. Cosgrove expressed concern that applicants to CDBG know the RFP guidelines before applications are submitted. Following discussion, Ms. Cosgrove offered to highlight RFP evaluation guidelines for use in the CDBG application, gather input AHB Minutes February 2, 1995 Page 4 from other Board members, and submit them to staff. Mr. Waido felt that information could be added to the applications already taken out. Mr. Sibbald expressed reservations about fairness to CDBG applicants in receiving changes in criteria after the application process has been started. Alternatives were discussed as to the timeliness and mechanics of including RFP criteria in the present CDBG application process: to present such criteria to applicants to add to their applications; and to present this criteria in a question - and -answer format when applicants made their presentations; delaying submittal of applications to allow applicants time to review the RFP criteria; allowing applicants time to amend applications. Mr. Sibbald commented that many of the CDBG applicants lacked the sophistication necessary to deal with newly -imposed RFP criteria. Mr. Waido mentioned a staff idea to solicit applicants for available grants for land acquisition, without a specific site, and present those applicants with detailed questionnaires. Mr. Sibbald and Ms. Nabors expressed their approval of such a grant mechanism that does not have to wait for funding cycles. Mr. Sibbald expressed his intent to urge Council to use its urban renewal authority powers due to the lack of available property for affordable housing. In the ensuring discussion, Mr. Sibbald recommended that $500,000 be considered for land acquisition by the City. Ms. Nabors recommended that staff review the Federal Home Loan Bank Board application as a manageable model from which to develop grant applications. Ms. Janett made the following comments concerning a Board work plan: that SIDS be included in the broader discussion regarding land acquisition; and that she felt that CDBG was not comfortable in a role of soliciting projects, as they then potentially could deny the projects they had solicited. Ms. Janett suggested a larger advocacy role for the Board in promoting effective projects, including soliciting national builders of affordable housing. Mr. Sibbald responded that the SID projects in the city are not worth owning, and that the City's responsibility in such cases would be as trustees to the bond holders; that he would not feel comfortable in a recommendation regarding SIDs unless the impetus came from Council. Ms. Sanders commented that often SIDs have a negative impact on the ultimate property owners because of the additional cost of the debt. Ms. Janett noted that when SID properties are up for sale, they are reviewed by all City departments for those departments' property needs. Mr. Sibbald responded that the City could not buy the land for less than the debt involved, or it would have an inherent conflict; and that CDBG funds could not be used to acquire property in which the City already has ownership interest. AHB Minutes February 2, 1995 Page 5 Ms. Janett noted a meeting held among various entities, including bank employees, Council members, Board members, and consultants regarding the feasibility of a community development corporation to develop affordable housing, through a partnership of financial institutions, large employers, CSU, and the City. Discussion was held concerning the Board's roles. Participation by the Board in HOME funds allocation will probably not happen. Discussion was held, absent resolution, of whether to press Council for such a decision. Discussion was held concerning governmental barriers to affordable housing; specificallly, street width regulations. Ms. Janett stated that the prior recommendation was stuck with staff and asked for an additional memo to Council. Ms. Cosgrove stated that the Board could not make a recommendation absent staff input. Mr. Waido commented on the process in which staff dealt with the priorites of Council and various boards. Mr. Browning expressed frustration with the recommendations of the Board not being acted upon. The Board discussed the framing of a motion. Mr. Sibbald expressed his discomfort with the language of the potential motion under discussion. Mr. Waido suggested that he assemble the general framework of the recommendations of the various task forces and present it in menu form at the next Board meeting for discussion and voting. Ms. Sanders stated her preference for a motion at the present meeting to call attention to the fact that the Board's recommendation had not been acted upon. Mr. Sibbald reiterated his discomfort with a lack of knowledge of the history and status of the issue. The Board asked Mr. Waido to include the issue of triple trenching in his report. Ms. Cosgrove delineated the items of the report for review by the Board: No. 1, barrier issue, the Board is in agreement; No. 2, increasing awareness of affordable housing problems. Education is an element of the Board's mission. The Board has not had any great involvement in education of the public. Mr. Browning stated that Affordable Housing Task Force and the Interfaith Council is better fitted for that role. Ms. Cosgrove asked that it be an agenda item for discussion and resolution, with input from Affordable Housing Task Force as to their needs. No. 3, the SID property issue. This would be a new role for the Board. The Board questions its role in this issue and would need further guidance to pursue such a role any further. No. 4, the CDC. The Board presently has three members engaged in this effort. Ms. Nabors stated that Denver consultants have proposed a funding mechanism for a CDC, the primary purpose of the CDC being the promotion of affordable housing in the community. Mr. Sibbald expressed his hopefulness with the idea and potential of the CDC concept. A proposal may be presented to Council within four to six months. The consultant is looking at similar -sized AHB Minutes February 2, 1995 Page 6 communities with successful CDC -type entities in order to make recommendations regarding the most effective format to use and the ineffective formats to avoid. No. 5, soliciting applications for CDBG and HOME programs. Ms. Cosgrove expressed a need for more involvement in this process but uncertainty as to an approach. Mr. Waido outlined the staff work plan. Dickson Robin will work on the HUD consolidated plan, the utility impact fee time payment system, and administration of the existing programs adopted by Council last year. Julie Smith will bring the HOME program on-line and work on other projects, including affordable housing projects, during the year. Mr. Sibbald inquired as to the allocation plan to be developed by Ms. Smith. Mr. Waido explained the process Ms. Smith has undertaken of researching other HOME programs in the state for the most effective procedures. A recommendation will be sent to Greg Byrne, hopefully within the next week. Mr. Sibbald and Mr. Waido discussed the efficacy of staff resolution of this issue occurring before Board involvement is requested. Moved by Mr. Sibbald, seconded by Mr. Browning: That the HOME application plan and allocation process be brought before the Affordable Housing Board before final determination Is made, to ensure that the allocation and application process is in keeping with the thoughts and desires of the Board before the plan is finalized and applications sent out; and that such presentation be made in a fashion to be readily reviewed and finalized by the Board. Mr. Waido stated that he would place the issue on the next agenda. Mr. Sibbald stated that it did not matter if the Board was the allocating entity, but that the Board should have influence in the application plan and allocation process. Motion approved unanimously. Ms. Cosgrove inquired as to the timeliness of Mr. Robin's work item on the utility impact fee time payment system. Mr. Waido stated that language in the already - existing policy could be broadened to include affordable housing issues. He offered it as an agenda item for the next meeting. Concerning triple trenching, Mr. Waido suggested a subcommittee be formed with Mr. Browning as chair, Mr. Waido and Mr. Robin as staff, and including local developers, to work with the Utility Department for resolution of this issue. In response to inquiry by Mr. Sibbald, Mr. Waido mentioned the possibility of Mr. Giuliano and Mr. Bartran. Mr. Sibbald recommended that builders, such as Mr. Storck, be considered as opposed to pure developers. The work plan will be submitted the first of the year. Discussion was held as to the meaning of "first of the year." Mr. Waido stated that the plan will be completed before the end of the first three quarters. AHB Minutes February 2, 1995 Page 7 The Board discussed the possibilities of new Board members. Various categories were discussed, without resolution. _ Mr. Waido explained the reorganization of the Planning Department per the Greg Byrne memo to Council. Mr. Waido will still be involved with the Board. Ms. Nabors noted the lack of intent to hire a planning director. Mr. Sibbald inquired as to the progress of the Impala Village project. Mr. Waido explained the Historic Preservation hold placed on the project due to the chicken coops on the property. The Board expressed its frustration and outrage on this issue. Ms. Cosgrove will draft a memo to Council reflecting the Board's sentiments. Discussion was held about inviting the Historic Preservation chairman to the next Board meeting. Mr. Sibbald inquired as to the disposition of HOME money in the joint Fort Collins/Loveland rehab program. Mr. Waido will assemble that information for the next agenda. Ms. Nabors announced that applications for grants are available from the Federal Home Loan Bank Board. Mr. Sibbald expressed his dismay at the plethora of factions appropriating money and his opinion that funds could be better channeled and spent through a central application process. Ms. Nabors noted some different entities, including Larimer County, who are applying for these grants. Ms. Cosgrove and Ms. Greer noted that the Board could use its education and solicitation roles to promote such grants to particular entities. Ms. Nabors commented on the affordable housing point system adopted by the Federal entity for such grants. Pursuant to request by Will Smith, Mr. Waido discussed the ongoing east side/west side committee meetings. The committee has hired a consultant who has made recommendations as to development of neighborhood characteristics. Mr. Waido spoke of some of the emotions surrounding fear of neighborhood deterioration and how to prevent it. Neighborhoods are looking at the possibility of architectural standards. Density is at the root of these issues. The origin of the discussion was a two-story rental constructed in the back lot of an existing home. Mr. Sibbald spoke of his potential plans for downtown development and his concern that higher -density projects would be pushed from neighborhood where they would best fit in. Many substandard units exist in downtown neighborhoods that need replacement with buildings that better fit the community needs and would enhance the City's tax base. Mr. Sibbald recommended that the Board make Council aware of neighborhood plans to scale down density. Ms. Sanders recommended that the neighborhood committee be given time to develop ideas more fully before the Board or Council take a more active role in those discussions. AHB Minutes February 2, 1995 Page 8 Mr. Sibbald stated that the Board should be kept apprised of the ongoing discussion. Mr. Waido explained the MCN zone designation and how it allows for ongoing redevelopment. Mr. Sibbald spoke of the possibility of several houses being replaced with higher -intensity units. Ms. Sanders offered to keep the Board advised of ongoing discussions. Mr. Welling reported on the Northern Colorado Social Legislative Network and its intent to form a committee to promote affordable housing legislation at the state level. Mr. Sibbald commented that the Board should provide a local point of view. He noted the lack of State involvement in affordable housing issues, with the exception of HOME funds. Mr. Welling will try to gather information on this effort as it develops. Ms. Sanders moved adjournment, seconded by Ms. Nabors. Upon a unanimous vote, the meeting adjourned at 6:15 p.m.