HomeMy WebLinkAbout05-19-2005 Housing & Community Development CommissionHOUSING AND COMMUNITY DEVELOPMENT COMMISSION
LOBBY CONFERENCE ROOM, CITY HALL
THURSDAY, MAY 19, 2005
6:30 P.M.
1. Call Meeting to Order
2. Approval of the April 21, 2005 Minutes
3. Public Comment of Items Not on the Agenda
4. New Business
• Review of Allocation Process — Creation of Subcommittee
• Discuss Summer Schedule
• Announce Upcoming HCDC Appointments
5. Old Business
• Discussion of National Community Development Week Celebration
6. Monitoring Reports
• Shelter House — Emergency Assistance Program (Richman)
• Hawkeye Area Community Action Program — Transitional Housing (Bears)
• United Action for Youth — Facility Rehabilitation (Edwards)
• City of Iowa City — Housing Rehabilitation (Edwards)
7. Adjournment
__,r :.� CITY OF IOWA CITY
1, MEMORANDUM
Date: May 12, 2005
To: Housing and Community Development Commission
From: Tracy Hightshoe, Associate Planner
Re: HCDC Meeting, May 19, 2005
As you may already know, on May 3 the City Council approved the FY06 Action Plan as
recommended by HCDC. Several agencies requested variances from the Council's
financial terms policy. The Council will meet May 16 to discuss this policy and the
various requests. A copy of the approved FY06 Action Plan budget is included in the
packet for your information.
The following is a short description of the May agenda items. If you have any questions
about the agenda, or are unable to attend the meeting, please contact me at 356-5244
or by email at tracy-hightshoe@iowa-city.org,
New Business
Review of the Allocation Process
With the FY06 allocation process fresh in your mind, staff is interested in hearing your
suggestions for next year. Based on the request at the last HCDC meeting and due to
concerns expressed regarding our current process, a subcommittee will be created to
discuss any ideas or suggestions made during this year's allocation process that could
improve next year's process.
Summer Schedule
Typically, the commission does not meet one month during the summer. We will need
to discuss summer plans and our meeting schedule over the upcoming months. Please
bring your date books.
Upcoming HCDC Vacancies
Mark Edwards, Jayne Sandler, and Jerry Anthony's terms expire September 1, 2005. If
interested in reapplying, please submit your application to the City Clerk before July 13,
2005.
Old Business
National Community Development Celebration
The Community Development Celebration committee will meet to discuss proposed
dates and location for the celebration before the May 19 meeting. The committee will
provide an update at the May meeting.
Monitoring Reports
• Shelter House — Emergency Assistance Program (Richman)
• Hawkeye Area Community Action Program — Transitional Housing (Bears)
• United Action for Youth — Facility Rehabilitation (Edwards)
• City of Iowa City — Housing Rehabilitation (Edwards)
Exhibit A
PROJECTS RECOMMENDED FOR FY06 CDBG AND HOME FUNDING
Council approved
5-3-05
Request
Council Earmark*
ECONOMIC DEVELOPMENT PROJECTS
Acquisition of Real Property -- Extend the Dream Foundation
$ 147,000
$ 88,000
Economic Development Fund - City of Iowa City*
$164,015
$164,015
Subtotal
$311, 015
$252, 015
PUBLIC FACILITIES PROJECTS
Facility Rehabilitation - Goodwill Industries, Inc.
$120,000
$ 60,000
Facility Rehabilitation - Emma Goldman Clinic
$ 20,000
$ 15,000
Facility Rehabilitation - Old Brick Foundation
$ 60,000
$ 50,000
Facility Rehabilitation - Free Lunch Program
$ 1,777
$ 1,777
Facility Rehabilitation - Domestic Violence Intervention Program
$ 3,525
$ 3,525
Facility Rehabilitation - Neighborhood Centers of Johnson County
$ 63,245
$ 50,000
Accessibility Improvements - Hillel Student Center
$ 29,968
$ 10,000
Facility Rehabilitation - Planned Parenthood
$ 30,000
$ 10,000
Facility Rehabilitation - Free Lunch\Free Medical Clinic
17,646
17,646
Subtotal
$346,161
$217, 948
PUBLIC SERVICE PROJECTS
Operational Expenses - Compeer
$
1,300
$
1,000
Case Management - Iowa City Free Medical Clinic
$
10,000
$
5,000
Shelter Coordinator - Shelter House
$
16,500
$
3,000
Operational Expenses - Extend the Dream Foundation
$
4,851
$
1,000
Emergency Assistance Program - Shelter House
$
5,000
$
1,000
Aid to Agencies*
$105,000
$105,000
Subtotal
$142,651
$116,000
HOUSING PROJECTS
Affordable Homeownership -Habitat for Humanity
$300,000
$100,000
Affordable Rental Units -JC Permanent Supportive Housing L.P.
$275,000
$275,000
Affordable Rental Units - Greater Iowa City Housing Fellowship
$812,404
$175,000
Affordable Homeownership - Greater Iowa City Housing Fellowship
$181,200
$181,200
Transitional Housing - Hawkeye Area Community Action Program
$312,000
$300,000
Affordable Rental Units - Extend the Dream Foundation
$ 98,000
$ 75,000
Affordable Rental Units - River City Housing Collective
$100,000
$ 25,000
Tenant Based Rent Assistance - Iowa City Housing Authority
$298,080
$159,564
Downpayment Assistance - City of Iowa City
$250,000
$ 30,000
Housing Rehabilitation -- City of Iowa City*
$200,000
$200,000
Subtotal
$2,826,684
$1,520,764
ADMINISTRATION AND PLANNING
HOME Program Administration
$ 67,717
$ 67,717
CDBG Program Administration and Planning
$156,000
$156,000
Subtotal
$223,717
$223,717
TOTAL
$3,850,228
$2,330,444
SOURCES OF FUNDS
FY06 CDBG Entitlement
$760,075
FY06 CDBG Estimated Program Income
$ 20,000
Unexpended CDBG Funds (from contingency, projects and unallocated PI)
$ 172,000
TOTAL CDBG
$952,075
FY06 HOME Allocation
$677,169
FY06 HOME Estimated Program Income
$ 60,000
Recaptured HOME Funds (Unsuccessful Projects)
$501,200
Unexpended HOME Funds (from unallocated PI)
$140,000
TOTAL HOME
$1,378,369
FY06 TOTAL
$2,330,444
MINUTES PRELIMINARY
HOUSING AND COMMUNITY DEVELOPMENT COMMISSION
LOBBY CONFERENCE ROOM, CITY HALL
THURSDAY, APRIL 21, 2005
Members Present: Jerry Anthony, Lori Bears, William Greazel, Matthew Hayek, Brian Richman, Jayne
Sandler
Members Absent: Mark Edwards, Rita Marcus
Staff Present: Tracy Hightshoe, Steve Long, Deb Briggs
Public Present: Charlie Eastham, Maryan Dennis
Recommendation to Council.
MOTION: Greazel moved to recommend adoption of the FY06 Annual Action Plan by the City Council
subject to minor edits as necessary. Sandler seconded the motion. Motion passed 5:1. Anthony
opposed.
CALL MEETING TO ORDER
Chairperson Hayek called the meeting to order at 6:35 PM.
APPROVAL OF THE MINUTES FROM MARCH 10 & 17, 2005
Motion: Sandler moved to approve the minutes as submitted. Greazel seconded the motion.
Motion passed 6:0.
PUBLIC COMMENT OF ITEMS NOT ON THE AGENDA
Eastham said that during the HOME and CDBG allocation process he was surprised to notice that the
application from Extend the Dream for Affordable Housing did not include a proforma investment analysis.
He added that he is extremely puzzled as to how the commissioners scored the application due to the
lack of a proforma or how they determined project feasibility/administrative capacity. He stated that the
FY06 applicant guide clearly stated that the FY06 Housing Applications required the developers to
complete and submit a proforma for the proposed project. Eastham asked why this requirement was not
applied to all applicants.
Dennis mentioned that they would like to see any group produce affordable housing in the area, but
would like to emphasize that there are some process issues, and all the applicants deserve a level
playing field when applying for funds.
Anthony said that members of the public and members of the community sometimes disagree about what
information should be reviewed. Greazel said that there were some flaws in the process, and the
commission should be aware of so it would not happen again. Richman said that there were requests for
housing and non -housing in the same application, and that challenged the evaluation that was used.
Sandler said that in the past there were less than complete applications and some were funded. She
added that they would need to determine at what point would a submitted application not be considered.
Hayek said there are challenges with the scoring, but ultimately the group consists of volunteers that try
to make good decisions. Greazel mentioned that the commission does not necessarily distribute the
money based on the final score, but uses their own judgement to determine their final recommendation.
Commission agreed to review the allocation process and will set up a subcommittee at the May meeting.
Points to review include the scoring and ranking criteria, incomplete applications, and the general
process.
Hightshoe stated there were some handouts to distribute. Old Brick submitted a project schedule for their
FY06 project. Hightshoe stated it would be available if anyone wanted to review it. Hightshoe noted due
to the substantial increase of handouts during this year's allocation, the committee formed next month to
review the entire process might want to address what will be accepted as correspondence.
Housing and Community Development Commission Minutes
April 21, 2005
Page 2
Hightshoe stated the City contacted our legislators to encourage their support of the CDBG program.
Senator Grassley and Nussle submitted letters of support for the program. Hightshoe stated a copy of
Senator Grassley's response is available. Staff expects to receive additional letters from legislators.
Hightshoe announced there was a change in the way the Iowa City Housing Authority determines subsidy
standards for Section 8 vouchers. Hightshoe stated the change, effective March 1, 2005, may affect the
FY07 and subsequent rental housing applications as developers may build smaller units (bedroom size) if
dependent on Section 8 vouchers. Hightshoe passed out the Subsidy Standards, Assignment of Bedroom
Sizes (page 21), from the HCV Administrative Plan for reference. Briggs, Public Housing Coordinator,
stated that there was a reduction in subsidy money so in order to make the dollars stretch to serve the
same number of families, the Housing Authority decided to revise the number of bedrooms that could be
assigned based on family composition. For example, she stated that it used to be that a child had to
share a bedroom with a parent until the age of one, but now a single adult with a child under the age of 7
would be assigned one -bedroom. She added that kids of the opposite sex would be assigned one
bedroom until the age of 11. Briggs stated families still have the option, depending on their income and
the rent charged, to live in a larger apartment. The family would have to pay the difference if they wanted
a unit larger than their voucher size (i.e. a family with a 2 bedroom voucher could still live in a 3 bedroom
unit if they can pay the difference and the rent is not above the Housing Authority's threshold). Bears
asked about live-in aides. Briggs stated one bedroom would be added for a live-in aide if required for a
disabled person.
REVIEW FY06 ANNUAL ACTION PLAN
Hightshoe said that the FY06 Annual Action Plan identifies the objectives and projects that will be funded
this upcoming year. This year marks the first year implementing our new Consolidated Plan for 2006-
2010 (CITY STEPS).
Sandler said that it was her understanding that one applicant has declined funding and there would be
$25,000 to reallocate. Hightshoe stated that the River City Housing Collective called staff to decline the
funds, however staff was waiting for a written response. Long added that they could not do anything until
they receive a letter from the River City Housing Collective declining their use of the funds.
The commission discussed if they should recommend funding the Extend the Dream — housing
application without a proforma. A real estate analysis was submitted at the question/answer (Q/A) session
for this project and the micro -enterprise application. Hightshoe stated Extend the Dream included the real
estate analysis with the micro -enterprise application, however as the application exceeded 13 pages it
was returned to the applicant. The applicant then submitted it at the Q/A session. Commission members
decided to ask for a proforma. Hayek said that after receiving the proforma there should be at least one
person opposed to the initial allocation for the Extend the Dream housing project in order to set up
another meeting.
Richman referred back to the $25,000 declined from the River City Housing Collective. Richman said that
given that this is something the applicant rejected after the commission made their recommendation;
maybe it should be upon the Council to take action. Greazel said he does not feel obligated towards
reallocating those funds unless the commission thinks they know better where to put that $25,000.
Anthony asked what would happen if they do not hear from River City Housing before the Council meets
to approve the Annual Action Plan. Hightshoe said that if they do not receive a written response from
River City by May 3, the Council would most likely reallocate the money.
Richman said there is a legitimacy issue that would appear if the money were to be reallocated by the
Commission at tonight's meeting. Other organizations would want to have an opportunity to come and
present their case again. Tonight's meeting is not for that purpose and it should be Council's time to
make the call.
MOTION: Richman moved that if there would be a meeting due to the submission of proforma
from the Extend the Dream Foundation, the agenda should only contain that matter. Greazel
seconded the motion.
Motion passed 6:0.
Housing and Community Development Commission Minutes
April 21, 2005
Page 3
MOTION: Richman moved to schedule tentatively a meeting for Tuesday, April 26th to discuss the
Extend the Dream recommendation. Staff would request a proforma from the applicant for review
and distribute via email and mail to commission members. Once the commission members
reviewed, at least 4 members must indicate an interest to meet and discuss the allocation by 4:00
PM Monday (the 25th). If not enough interest, staff would cancel the meeting, and the commission
would submit the existing recommendations to the Council.
The commission discussed. At this point the applicant would have Friday, the 22"d, and Monday morning,
the 25th, to submit a proforma. Hightshoe questioned if a proforma was emailed/mailed to members on
Monday if they would have sufficient time to review and determine if they have concerns by late afternoon
that same day. Richman said that at this point it would be too late in the allocation process to go back
and stated this particular concern was just too late in the process to alter their recommendations. He said
that in reality the process is not perfect and suggested to present the existing recommendations to the
Council. Hayek said that he agrees with Richman due to the time constraints.
Richman withdrew his motion.
MOTION: Greazel moved to recommend adoption of the FY06 Annual Action Plan by the City
Council subject to minor edits as necessary. Sandler seconded the motion.
Motion passed 5:1. Anthony opposed.
OLD BUSINESS
Discussion of FY05 CDBG projects that have not performed per the Unsuccessful or Delayed
Projects Policy.
Hightshoe said that Neighborhood Centers of Johnson County submitted a bill for their window
repairs/replacements totaling $4,996. The work on the windows is complete. Their total FY05 allocation
is $6,000. MECCA submitted a reimbursement request for the entire grant at the beginning of April.
Hightshoe noted that MECCA typically bills after the second or third quarter due to their reporting system.
As clients enter their system they are recorded as high income and/or undisclosed. As they receive
income verification the system is updated. Thus at the start of the year, they may not reach the required
51% of their clients as low to moderate income due to the number of clients with unverified incomes.
HUD requires that all undisclosed recipients be considered high income. As the year progresses and
income verifications are received and updated, the percentage of those who are considered low to
moderate income increases.
Hightshoe noted that Old Brick installed the wheelchair lift, but staff does not have a reimbursement
request yet. Sandler said that Old Brick has not spent the needed percent by this point. She added that
staff should follow the traditional protocol and send them a letter stating they have until a specific date to
spend a certain percent of their money.
MOTION: Sandler made a motion to send a letter to Old Brick stating that they need to spend 50%
of their money by June 1st, and spend 100% by June 30th. Sandler requested that Old Brick
provide an updated schedule. If work is not anticipated to be complete by June 30, the
commission would request that the applicant submit a request for an extension of time.
Motion passed 6:0.
NEW BUSINESS
Discussion of National Community Development Week Celebration
Hayek said that every year they organize the National Community Development Week Celebration. He
said that last year the celebration was at the Rack, and was a great success. Hightshoe said this year we
may publicize the event more and highlight the contribution CDBG/HOME funds make to our local
community due to the current debate over the CDBG program. Hightshoe stated that in the past we have
encouraged prior CDBG/HOME recipients to submit letters to area newspapers in support of the program.
They are encouraged to describe what the funds have done for their organization. She said that they
would need a committee of 2-3 people to help organize the event. Sandler and Hayek volunteered to be
on the committee.
Housing and Community Development Commission Minutes
April 21, 2005
Page 4
Hayek proposed to have the monthly HCDC meeting after the celebration.
Review and Discussion of the Draft Scattered Site Housing Taskforce's Recommendations.
Hightshoe passed out the updated 4/19/05 draft recommendations. Hayek said that these
recommendations come after one year of meetings and discussions. He said that there are two
recommendations that are tabled because they are still discussing them. He said that the one tabled has
to do with the matrix that was submitted. He said that they are getting close to the end.
Sandler asked how would this work with the Development Code. Hayek said that they did not study the
Development Code rewrite process. He said they have made some suggestions, and some of them seem
to have been adopted.
Sandler said that she would hate to see the work lost and not implemented. Anthony said that the City
could choose to take some of the recommendations and say that CDBG/HOME funds could not be spent
in certain tracks, however this may limit the supply of affordable housing. Anthony said that his concern
derives from the fact that the recommendations that might limit affordable housing are pretty detailed,
while those to encourage things such as inclusionary zoning are cliche statements. There are
generalizations about how to increase affordable housing, but not specifics.
Richman asked if there is a value to the City assisting the schools in some way in order to help with the
special needs implied by low income children, rather than taking action which might reduce the future
supply of affordable housing. Anthony said that before going to the Council those aspects would need to
be discussed. He said that one option for the City that would not reduce affordable housing would be
busing, taking kids to schools that have a less concentration of low-income kids.
Greazel asked how would the recommendations influence the allocation process if the Council would pick
all the recommendations. Anthony said that there would be more money available. He said that
recommendations 2 and 3 suggest that the additional money would be committed to locating sites in the
City that do not have a high concentration of affordable housing.
MONITORING REPORTS
Neighborhood Centers of Johnson County
Hayek said that Neighborhood Centers of Johnson County have made a lot of progress on the windows.
The work, he said, is 99% complete.
Shelter House
Richman was unable to reach anyone from the Shelter House and would present his report at the next
monthly meeting.
Greater Iowa City Housing Fellowship
Anthony said the Housing Fellowship received a grant from FY02 City HOME funds to purchase three lots
in Longfellow Manor to be used for 6 rental housing units. The grant, he said, was for $220,000 and in
partnership with the Iowa City Housing Authority (10 duplex lots were purchased in Longfellow Manor).
Anthony mentioned that the Housing Fellowship received a FY05 City HOME loan in the amount of
$190,000 to construct the three duplex buildings. State of Iowa HOME funds, Housing Trust Fund of
Johnson County, and Hills Bank are the other sources of funding that have been secured for the project.
He added that the environmental part has been completed. He mentioned that the construction would
require noise attenuation measures due to the proximity to the railroad. He added that no other significant
findings resulted from the environmental assessment. Anthony said that a Request for Qualifications was
mailed to nine area architects, and five responses were received. He said that a committee of the Board
of Trustees of the Housing Fellowship reviewed the Architects' qualifications and selected John Shaw to
be the project architect. Anthony said that City staff, the project architect and staff will meet on Thursday,
April 21, 2005 to discuss federal requirements for the project.
Housing and Community Development Commission Minutes
April 21, 2005
Page 5
Anthony said that construction would begin this spring/summer. He added that all units must be rented to
households at or below 50% of AMI and one unit will be initially rented to a household at or below 30%.
Free Lunch Program
Greazel said they completed their project to build a storage area for food and misc. items.
Free Medical Clinic
Greazel said that case management is spending their funds timely. All funds will be spent by the end of
the fiscal year.
Adjournment
MOTION: Greazel moved to adjourn. Sandler seconded the motion. Motion passed 6-0.
The meeting adjourned at 8:20 PM.
Minutes submitted by Bogdana Rus.
s:/pcd/minutes/HCDC/2005/04-21-05 hcdc.doc
City of Iowa City
MEMORANDUM
DATE: April 27, 2005
TO: City Council and City Manager
FROM: Steven Nasby, Community Development Coordinator
RE: Approval of the FY06 Annual Action Plan
A public hearing on the FY06 Annual Action Plan, which formally allocates the City's CDBG
and HOME funding, is to be held on May 3 to receive public input. In addition, on April 21
the Housing and Community Development Commission (HCDC) held a public meeting to
discuss the plan. At that meeting, HCDC voted unanimously to recommend approval of
the FY06 Annual Action Plan as presented.
At the May 3 City Council meeting we are requesting that the Council approve the FY06
Annual Action Plan. The deadline for submission of this plan to the U.S. Department of
Housing and Urban Development (HUD) is May 15.
If needed, amendments or changes to this plan may be considered at your May 3
meeting. Should changes to the FY06 Annual Action Plan occur you could approve the
plan, as amended that evening.
A number of the activities that have been recommended for funding by HCDC have
requested a `waiver" or change to the City Council's investment policies for CDBG and
HOME funds. Staff has prepared a summary table of these requests and a description of
the applicable City policy. Also attached to this memorandum are copies of the individual
letters we have received. Staff is requesting direction from the Council on how to proceed
with these requests.
A "draft" copy of the FY06 Annual Action Plan is included in this City Council packet. If
you have any questions about the FY06 Annual Action Plan or the proposed projects
please call me at 356-5248 or via e-mail at Steven-Nasby@iowa-city.org.
Attachments
Cc: Stephen Atkins, City Manager
Karin Franklin, Director of Planning and Community Development
Housing and Community Development Commission
EMMA GOLDMAN CLINIC
Women's Health Project (319) 337-2112
227 N. Dubuque Street FAX (319) 337-2754
Iowa City, Iowa 52245 emmagoldman@avalon.net
City Council
410 E. Washington St.
Iowa City, IA 52245
January 15, 2005
Dear City Council,
The Housing and Community Development Commission is in the process of deliberating
their recommendations to you about the distribution of FY06 CDBG monies. The Emma
Goldman Clinic has an application that is included in this process. CDBG assistance is
being requested for us to completely rehabilitate the roof of the addition on the front of
our facility. The roof is currently leaking into the ceiling of the front entrance where
electrical systems are housed. This project will repair these leaks and correct this safety
issue. This Ieak prevents us from completing components of our previous CDBG funded
project ---an automatic door opener and energy efficient lighting for the front entrance.
As this project does not increase the square footage of our facility and is not new
construction, we are requesting that if the HCDC and the City Council approve our
application, that you do so with a waiver of the requirement to include a 99 year
conditional occupancy loan in our agreement.
Instead, we request a 10 year declining balance loan, as we expect some repair to be
needed on this new roof at that time.
We welcome questions and comments about our proposal and this request. If you would
Eke to arrange a tour before your deliberations, I would be delighted to host you. Please
feel free to call or email me with questions or to arrange a visit.
In peace,
Karen Kubby
Executive Director
To: Iowa City Council 3/31/05
From: Tom Walz, Executive Director
Extend the Dream Foundation
Re: Request for Financial Arrangement
On behalf of the Board of Directors we are requesting a conditional occupany loan for the
$88,000 that was awarded to the Extend the Dream Foundation by the HCDC towards the
partial purchase of a property at 912 Second Ave.
This request is based on our need to limit our mortgage payments relative to the purchase
of this property. There will need to be a bank loan to complete the purchase which will
entail a monthly mortgage/insurance payment. The purchase of the Second Ave. property
is an important step towards our programs self sustainability. We will need as much of
our rent revenues as possible to cover building expenses and getting our training
program up and running.
Thank you fo ur consideration of this request.
Tom Walz, Director
—
Alan Young, oard �iairperson
To: Iowa City Council 3/30/05
From: Thomas Walz, Executive Director
Extend the Dream Foundation
Re: Request for Financial Arrangement
On behalf of our Board of Director's we are requesting a conditional occupancy loan
for the $75,000 that was awarded to the Extend the Dream Foundation by the HCDC for
purchase of a property at 912 Second Ave.
This request is based on our need to limit our mortgage payments relative to the purchase
of this property. There will need to be some bank loan to consumate the purchase and this
will entail a monthly mortgage and insurance payment. The purchase of the Second Ave
property is an important step in our push for sustainability and we will need as much of
our rent revenues as possible to get our training program up and running and getting the
other new business off the ground. The rent will also need to cover building maintenance
costs.
Thank you for your consideration of this request.
�- inc�
as a , Director
Alan Yon �Chai�erson, Board of Directors
GOODWILL INDUSTRIES of Southeast Iowa Goodwill Works.
January 20, 2005
Iowa City City Council
410 East Washington Street
Iowa City, Iowa 52240
Dear Council Members:
We have submitted an application for a FY06 CDBG funded loan of
$120,000 to assist with the air conditioning of the production area of our
employment and training center located at 1410 S. First Avenue in Iowa
City. We are requesting that these funds be allocated in the form of a
Declining Balance Loan as the improvements depreciate over a useful life
of 15 years.
We appreciate the support that the City of Iowa City has provided to
Goodwill Industries over the years and thank you for your consideration of
this request.
Sincerely, ,.
Mike Townsend
Senior Vice President
1410 South First Avenue P.O Box 1696 a
Iowa City, Iowa 52244 A United Way Agency
Telephone 319-337-4158
Fax 319-337-7369
www.goodwillseiowa.org
Greater Iowa City Housing Fellowship
opening the doors oflowa City
1700 South First Avenue, Suite 25B
Iowa City, IA 52240-6036
319.358.9212
April 5, 2005
City Council
City of Iowa City
410 East Washington Street
Iowa City, IA 52240
RE: Request to change HOME funding terms
Dear Members of the Council:
I am writing to request that you allow a change in the terms of financing
for the recommended FY06 City HOME Funds to Greater Iowa City
Housing Fellowship.
Affordable Home Ownership — Request: Declining balance, forgivable
loan for the $181,200 recommendation. The Housing and Community
Development Commission has recommended funding for our application
to acquire land to provide affordable home ownership to low-income,
first time home buyers. Greater Iowa City Housing Fellowship retains
ownership of the land and the home buyer enters into a 99 year ground
lease. The full cost of the land is deducted from the sales price. Greater
Iowa City Housing Fellowship has no means to repay a loan to the City
other than to pass the cost on to the buyer, which increases the price of
the home. A declining balance, forgivable loan has worked well in the
past. Our home buyer program includes partnering with: the City,
School District, Home Builders, the Realtors and local lenders to provide
first time home ownership to a low-income buyer. Long term ownership
of the land by the Housing Fellowship ensures long term affordability.
School Choice Program (Acquisition and Rehabilitation of Affordable
Rental Housing in six elementary attendance areas reporting less than
20% low-income enrollment) — Request: Grant of $54,616 and Loan of
$120,384. HCDC recommended this project be funded with $175,000.
The grant will be used for a developer fee representing 8% of the total
project cost. The developer fee covers the Housing Fellowship's costs to
implement the project: (e.g. property identification, acquisition, work
lists and specifications, construction management and compliance with
federal rules). The remaining allocation of $120,384 will be repaid at 0%
amortized at 30 years. The two bedroom units will be scattered
throughout Iowa City and will provide nice homes for low-income
families. As a non-profit owner, the Housing Fellowship will maintain
these as affordable for the life of the properties.
Thank you for your consideration of this request.
Sincerely,
Maryann Dennis
Executive Director
Cc Tracy Hightshoe, Community and Economic Development
■ the university of , -�
i owa
hille'l
Gerald L. Sorokin
EXECUTIVE DIRECTOR
Aliber/Hillel Jewish Student Center at The University of Iowa
122 E. Market Street
Iowa City, IA 52245-1730
Phone: (319) 338-0778
Fax:(319) 338.1482
Email: hillel@uiowa.edu
www.iowahillet.org
Tali Ariav
Date:
1/19/2005
JEWISH STUDENT LIFE
COORDINATOR
To:
City Council, City of Iowa City
Julianne Saine
JEWISH CAMPUS SERVICE
F.onm:
/:� 4
Gerald L. Sorokin, Executive Director
CORPS FELLOW
RE:
Request for Policy Variance
Jacqueline Wallner
Misia Tarica-Lechter
STUDENT CO -PRESIDENTS
GOVERNING BOARD The University of Iowa Hillel Foundation has applied for a Community
Development Block Grant. The grant is to be used to help offset the cost
Susan Assouline
of building renovations, which will increase accessibility at the
PRESIDENT
Aliber/Hillel Center —in particular, the entrances, restrooms, and travel
Steven Green
between levels of the building. Since these renovations will depreciate
VICE PRESIDENT
over time, I wish to request that, if the grant is issued, it be in the form of a
Michael Balch
declining balance loan to be depreciated over 10 or 15 years.
TREASURER
Jayne Sandler
I would welcome feedback from City Council. Please feel free to contact
SECRETARY
me. Thank you very much.
Natalie Denburg
Jim Estin
Ron Farber
Mark Finkelstein
Doug Jones
Aviya Kushner
Irwin Levin
Peter Nathan
Paul Retish
Steve Robbins
Gene Savin
Susan Simon
Osnat Stramer
Scott Temple
Craig Zwerling
City of Iowa City
MEMORANDUM
DATE: April 25, 2005
TO: City Council
FROM: Steven Nasby, Community Development Coordinator d
RE: FY06 Application for Homeownership Assistance — Repayment Policy
The City of Iowa City has an investment policy for CDBG and HOME funds as it relates to
housing activities. The policy is as follows:
• Housing activities by a for -profit organization will be eligible for an amortized loan for the
period of HOME affordability up to 30 years. The interest rate will be prime rate (as of
January 1, 2005) minus two points.
• Housing activities by a non-profit organization will be eligible for a 0% amortized loan for the
period of HOME affordability up to 30 years.
The existing policy does not specifically address housing activities that are undertaken by a
governmental unit. In the FY06 CDBG\HOME funding cycle the Community and Economic
Development Division applied for funding to capitalize a Downpayment Assistance Program
(DAP) for low -moderate income households.
Staff is proposing that the DAP funds will be provided to income eligible households and
repaid when the homeowner sells, rents or transfers title to the property or at the end of 20
years. This method of repayment will insure that the funds are available for re -use in the
future without placing an immediate debt burden on the homebuyer.
If you have any questions please contact me at 356-5248.
Phone: (319) 356.5400
u-sing
FAX: (319) 356.5459
TDD: (319) 356.5404
UTHORITY410 E. 1 Ylashington Street • Iowa City • Iowa • 52240.1826
Thursday, April 07, 2005
City of Iowa City
Community and Economic Development
410 E Washington Street
Iowa City, Iowa 52240
FROM: Steven J. Rackis, Housing Administrator, Iowa City Housing Authority S Jit
Attention: Tracy Hightshoe
SUBJECT: Iowa City Housing Authority's request for HOME funding
The Iowa City Housing Authority will operate a Tenant Based Rental Assistance (TBRA)
program. We will target low-income elderly and/or disabled families under 50% of the median
income level for Johnson County, Iowa. The Housing Authority will provide direct housing
assistance payments to landlords on behalf of eligible participants. As a result, our request for
funding should be viewed as a direct grant.
If you have any questions, please contact me at (319) 887-6065 or steven-rackis@iowa-city.org
Iowa Valle HFH Iowa Valley Habitat for Humanity Tel: 319.337,8949
Y P.O. Box 1241 Web: www.ivhfh.org
Iowa City, IA 52244-1241
January 18, 2005
To: City Council Members
Re: Upcoming CDBG/HOME awards
Dear Council Members:
Iowa Valley Habitat for Humanity wants to thank you for your past support in helping us build 33 homes
over our ten year history. At this point in time we find it nearly impossible to build in Iowa City without
CDBG/HOME funding. Rising land costs and restrictive covenants present on -going challenges to
create affordable housing.
If we are fortunate to receive funding in the upcoming CDBG/HOME round, we request that any award
be made as a forgivable loan. Only if the award is a forgivable loan can we serve those under 50% of
median income.
Thank you for considering this request.
Sincerely,
J�-
Mark Patton
Executive Director
4eAt
NEIGHBORHOOD
CENTERSNCj C
of Johnson County
Slrengihening 4amilie�
Building Neighborhoodr
creoiing commvngy
Neighborhood Centers
Board Members
Executive Committee
Fred Mims
Robin Sueppel
John Roffman
Directors
Yousif L. Abdalla
Dawn Barker'Anderson
Sue Dulek
Emily Hughes
Marian Karr
Mary McCue
Kris Petersen
Roger Reilly
Harry Wolf
Executive Director
Brian Loring
Accrcdnca n)' the
National A-d-1).
nt E: ,]) Childhood
Pn�f;rnms
United Y
Way �
United Neighborhood
Centers of America
January 19, 2005
City Council
City of Iowa City
410 East Washington Street
Iowa City Iowa 52240
Dear Members of the Council:
I am writing to request, in advance, a deviance from Council policy with
regard to any 2006 Community Development Block Grant award for
improvements and repairs of our Broadway facility. We respectfully request
the award be given in the form of a grant or a declining balance loan. Since
the building improvement are relatively minor and will depreciate, we hope the
Council will see fit approve this request.
Thank you in advance for your consideration. Please feel free to contact me if
you have any questions.
Sincerely,
Brian Loring
Executive Director
/bl
P.O. Box 2491 • Iowa City, IA 52244 • 319.358.0438 . fax: 358.0484
ncjc@ncjc.org . www.ncjc.org
O�(Z) BRICK CH? V(kCx
AND C0WW'V_5A9TrCMQ�R,
O.c(z) B21Cx Fovxwrriox
WWW.OLDBRICK.ORG 26 EAST MARKET STREET, IOWA CITY, IA 52245 319.351,2626
OLD BRICK April 13, 2005
BOARD OF
DIRECTORS
Steve Nasby
CHUCK COULTER Community & Economic
Development Coordinator
JUDY GERLITZ 410 East Washington Street
RONALD HANSON Iowa City, IA 52240
RHONDA KEKKE Dear Steve:
JAN NASH I am writing on behalf of Old Brick Episcopal Lutheran Corporation, the owner of
DON R[NNER Old Brick, and the Old Brick Foundation.
JOHN ROFFMAN
We sincerely appreciate the recommended CDBG award of $50,000 to help us match
the $86,900 Historical Site Preservation Grant from the State Historical Society of Iowa. As
JOHN WATSON
you know, the funds will be used to repoint mortar and replace deteriorated bricks on the
exterior of Old Brick.
OLD BRICK
FOUNDATION
This much needed work is especially appropriate as Old Brick prepares for its
TOM BALDRIDGE
sesquicentennial celebration in 2006.
VALDEAN LEMBKE
As we have discussed, neither Old Brick Foundation nor the Corporation is able to
JEAN LLOYD-JONES
grant a mortgage on the building. Therefore, we request that the grant be in the form of a
Declining Balance Loan which would expire after 15 years. The Corporation is prepared to
DUANE
provide the City with a Collateral Assignment of Leases and Rents to secure the Loan.
SPRIESTERSBACH
EPISCOPAL Please let us now if we can provide any assistance in achieving this change. Thank
CHAPLAIN you for your assistance.
JULIA EASLEY
LUTHERAN Sincerely,
PASTOR T J
ROBERT DOTZEL
Uaar1er8�/� vRUU/ (per
BUILDING
MANAGER Vice President
DAVID WELLENDOU CRC/me
1349-52T
cc: Board of Directors
Exceptional People. Exceptional Care.
April 11, 2005
Iowa City City Council
410 East Washington Street
Iowa City, Iowa 52240
To the members of Iowa City City Council,
Planned Parenthood of Greater Iowa requests that the FY06 Community Development Block
Grant (CDBG) for facility improvements at our health center at 850 Orchard Street be made in
the form of a 100% declining balance loan for a period of seven years.
Our 5,200-square foot health center, which opened in 1999, represents a $550,000 capital
investment by Planned Parenthood to provide quality reproductive health care for women and
men of Iowa City. The recent selection of Planned .Parenthood to provide federally -funded Title
X services to low-income residents of Iowa City, along with the proposed facility improvements,
will strengthen our ability to provide quality health care services at no -cost or reduced -cost to the
most economically vulnerable members of this community.
Planned Parenthood's current lease with Ambrose Properties for our -Orchard Street center will
expire in 2009, after which Planned Parenthood has two five-year options to renew the lease.
We have no intention of vacating the Orchard Street site, but if we were forced to relocate
because of :fire or calamity before the conclusion of the 7-year declining balance loan period,
then we would repay any balance remaining on the CDBG loan.
Otherwise, we would ask that the loan be forgiven after seven years, as long as Planned
Parenthood has satisfied the terms of the loan. by continuing to provide family planning and
reproductive health services to low- and moderate -income persons during the time period of the
declining balance loan.
Thank you for your consideration of this financing request, and for your support of our efforts to
provide healthcare to thousands of Iowa City residents each year.
Sincerely,
Ji?esdent
P a CEO
Parenthood of Greater Iowa
Planned Parenthood
of Greater Iowa
851 19th Street 515-280-7004 fax 515-280-9525
Des Moines, IA 50314 866-290-4325 www.ppgi.org
•
120 North Dubuque Street
Iowa City, Iowa 52245
•
319.338.1179 or 319.338.1170 (fax)
•
Wesley@ia.net
•
www.uiowa.edu/—wesley
Wesley Foundation
United Methodist Campus Ministry at the University
of Iowa
April 11, 2005
Iowa City Council
%Community and Economic Development Department
410 E. Washington Street
Iowa City, IA 52240
Dear Council Members
The Free Lunch Program housed, at the Wesley Foundation is please to be considered for a
Community Development block grant to replace the Fire Suppressant System that provides fire safety
directly over the stove in the Free Lunch Kitchen.
We write to request a variance so that the money granted to this project is considered a 5-year
declining balance loan.
V NIT"0
Understanding the nature of our program, with volunteer groups providing free meals to people, a
declining balance approach to this loan recognizes that our ability to garner a reserve fund to pay-off
t this project would place strain on our organization. Granting this request will support our continued
development of programs to not only feed our guests but link them to other important services in the
s community.
Thank you for yeuficonsideration,
Paul M. Shultz,
director
Paul M. Shultz, director
Marsha Acord, associate director
Gail Ireland, office and communications director
120 North Dubuque Street
Iowa City, Iowa 52245
319.338.1179 or 319.338.1170 (fax)
Wesley@ia.net
www.uiowa.edu/—wesley
Wesley Foundation
United Methodist Campus Ministry at the University of Iowa
April 11, 2005
Iowa City Council
%Community and Economic Development Department
410 E. Washington Street
Iowa City, IA 52240
Dear Council Members,
The Free Lunch Program and Free Medical Clinic housed at the Wesley Foundation are pleased to be
considered for a Community Development block grant to remove asbestos floor tile and replace with
a more appropriate and long-lasting floor.
We write to request a variance so that the money granted to this project is considered a 5-year or 10-
year declining balance loan.
v NITgiC
Granting this request will support our continued development of programs caring for people of the
c
community and will allow us to utilize our financial resources to improve that work.
0
Thank you f your -consideration,
r �
Cr 4
Paul M. Shultz,
director
Paul M. Shultz, director
Marsha Acord, associate director
Gail Ireland, office and communications director
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i $
Iowa VaIley HFH Pf am A 90912ghrhlh�l fa HurnrnlA+ W + � rg
rorrr:aq�,u� �w.rzrr
April 14, 2005 —
}� `n
To: City Counatl Mwnbera
Re; CDISGIHOME R=mmendatlons
Dear Counci Mambos: r='
0
The Housing and Oo mnmunity Dualopmant Comrrdenkm mrt over the peat few monthe to acm
houeing and pubis facilfaes appllamtkrns. RMA Valley Habiltat for Humanity vma pleased to hav4 sacred
the highest, by far, of 0* slavers onVMI HOME ftlblo appllcen1j. Dtbing eubeequent meednge it
was polned out to the Cammleelon tat we Will had $KQ07 Left unspartt in the cumant year's
Wbcetfpn. We responded by am:ykg that vm had two lira toy hialacv etymIAng our etfcrb&to pumhsss
bate: a) We are not allovmd by City gukfellnea to purchase loom below Highway 0 (where neariV all of the
aft ble lots In the dty are locsosd}; b) We had sKarmy been turned down by an caner m f m Juts
when we oftred full price and he found out that Habitat for Hurnank was the buyer. We have chosen
to not take any f 11her a4ftr1 spy ttme precedence It could set might jeoperdtae other future lot aaies to
us. We have another offer In on a couple of Iota Oral vm will know by the vW of April If the offer le
axepted; ff It hi, then v+e vAll havo spent dovm this year's docatlon and than Boma.
As the CammI bee review prcgressK our HOME housing rawnrnendstdon drappad from $U9,532
tmdore March 176 (47% of the original requ loam to $100,000 aver March 17, (33.3% Cr to
origirud rsquesq. This In spite of the foot that we Increased our produnion the past year by Bauble the
previous years pmduoWn,
Our scoring was the ltheat HOME elplbte actluky by a signffloant nmargln. The GornmltIm has
recommended we recelvo only 33.3% of our requsat The IbkWng Is how the awrlrg tallied In rank
order of soWng:
Group Soom AJlocailon % of faqu W
Habkel for Humanity 83.67 $100,000 33.2%
HACAP (transitional) 77.11 $300,00D 96%
Johnson Co. Perm SuppOTt Housing 719,22 $276,000 10D%
IC Housing Authority {renal au§ 75,58 SIW,S64 64%
r;r, IC Housing Fellowship (rantal� 74.11 $175.000 22%
Cly of Iowa City (home ownership) 73.33 930,000 12%
Gr. IC Housing Fellbwahlp (ownsrahip) 73.11 $181,200 100%
Extend the Dreern. (I'll" 72.57 $76, DOD 77%
Rlvsr City housing Qdfaollva (hm nbal) 72.67 U5,00 25%
City of Imau OV (rehab) not scored: cllycourtail eannmsoM $200.000 100%
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* Peggy 2 APrll 14, 2005
Only 24% of the no 4w narkod fundrig was reserved for home awnaship opportunitles; 78% was
mmmmar dad for w1al housing. how does this IN* with the CounclVi kxv4rm doslaw to promale
eceetarea site home ownership?
Our questions am these; If Het:ttat for Humanity produces bane ownership using primarily privato
funding, famlfy sweat equlty and eamrnunity volunteers to build homes which go antlrely on the propotj
tag rolls, why are we only baing rrecamrttended for 1I3 of our request Man we reoefved ft hlphwt
soaring? Of what pradcal use Is the scaring system 0 It Is not used in the ratan nlo0mrn*nd Wrt? 4
the ssorktg eyetem fk[wed or are them other tnctora tat need to be Mw Into atwaunt In the 9oaing7
What does It take to list moat if not all, of a request?
Wo knew you have ditult decislons fn make. And we know you make woory eMart to render prudent
decisions- We only need to undomfwd how to oanpeDe lalrlyr and tiny hu C01FIGINbME funding in
build more arffordeble homes for working farnba.
Thank you for yourtlms and efforts. We wAll be on hard to take any questtone et yow May V meeting.
Slncerey,
MBA Patton r
Egaculke Dto*r
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Iowa Valley H�'TrI A•� r ,111"* YndraiaAr�Aq
IN
iamb. A 522u.ns41
Apr! f4} 2405
To: City Counoil Members
Re: Ca6rlHOME Public Faclldas moommendetfans
Dear Couwn Members:
The Housing and Community Devakopment Commlealon met over to peat few months to scare
housing end public fadlWas applksrtlons. Iowa Valkry Habitat for iiwanly suhrngtad w applwon W
$350,000 under the puWo iedite prod dj to secure s werrolnouas in low City Irr hoLOO ow Re tore
oporatlon. The HabtW Reftm la cum" loarmad h a danaW warehouse apace in Corahrire and
opened for bu'alneab In February. To dater vo have dhm ted more than 26.700 pounds Win the landfill
alnorapening nineweeke ago,
The RaSm takes In new and used building malariata and applanew and sena them to die public
Landfllt flees from the Iowa Depsftent of Natural Rewuroes and the Johnson County CDunoll of
Gownrnents help undeRwite, in part, the aW-up effort. The multlpte goals for the project indude
WMI1111 waste reduction, sale of uaaahla building materials to the public for a fraction of now cost$, Arid
generation of funding for the 4anbtrudion d Hshrtat homes Ixally.
After the fkat couple of Gornrnb a haarings, Habitat had a recommended allocation of $127.1So. Altar
the March 17' hearing the mo mrnendatlon dropped ID $D. Our soorinyl waft a outd i 1 appllcarr6s for
the Public Fad W activity tW.44 points).
The Wed ranking q up (N.22 paints) raoolved 76% of Their funding requwt The rod lowest
scoring group (VAO) reserved 33% of their requwL The other three graupe eco" bellow Herb We
soars recalled 63%. 00% and U% of their mquest
Ws ere NOT appealling to you to divert any public tadlles money from the groups that have rewheed
favorable funding recorrtrrendadws. We hqm we have one more year in our donated apace W find
other suiublo spaoa In Iowa City tar a permanied home for the Rel3tara. We hopa to idanfrly an
adequate speoa within the next year and we are planning to reapply for publb fe Mes nway next
year.
However, we need a alearer understanding of the saying system. We know you have difficult
declslons to make. And we know you make every etRxt 0 randae prudent Heels' na. VV8 onpr need to
undemud how to eompate fairly and fully for CDBCMOME funding to build more affordable homes
for mrking fgmtlles.
Thank you foryourtkneand efforts. We will be on hand fatake any queelions st your MayYd meStinp_
1�
Su7Derely, C� c"n
� T i.
Mark Pella~ � r U i
Exeoitive Oi'mctor
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Document Name : 2005-05-03 Agenda Packet
Marlan Karr
Frarn: Carol Spazlenl (spexlanlcGmsn.00m]
Sent: Thursday, April 21, 20DS 12:21 AM
To: cou rill a bwa-CIty.Org
Subl"t Support for CORG Spacial Needs Housing Recommendation
April 21r 2065
409 Crestview Ave,
Iowa City, xA S2245
Dsar Members of the Iowa City City Council,
AB a family member of an adult child with achiZO094fUar I have been
active
here since 1986 in working to see that a+degvate services are available,
in
the community to support these fragile people as they struggle to live
independently in the community. I am, therefore, -very pleased to see
that
the Housing an4 Community DevelopY nt Commission hde vhenimously
r Bcommnended
full CDBG and ROME funding for supported housing far persons with mental
illness to be built near Chatham Oaksr the private, non-profit care
facility
on Melrose Ave. (1°Jahnaon County eermanBnt Supportive Housing for
peraOne,
with Special Aseds.")
The principles of the Johnson County Mental Health/Developmental
Disabilities Service Plan are predicated on persons with mental illness
living in the least restrietiv getting; this also happens to be the
least
expenaiva alternative for government funding sour0as. The least
restrictive
setting may not provide enough support far Some OorisunerB. For 7matny
years
local family members have been leaking an alternative which fills a gap
in
the housinq supply for this population: a private apartment With
U -hour
stB1f Support available when needed. TrAdltional in -home support
Bervice9
frown othar community agencies would Continue to be available also.
The project proposed for CDBG and HONX funding and rsc*m aknded by the
C`1 t y
Housing Comission, will fill this gap. Its proximity to Chatham Oaks
with
its 24-hour staff on call will provide a permanent and safe supportive
housing envirOnnent. This projttt will bacame a reality through a long
term
leasB of the property from the Johnson County Board of Supervisors and
your
approval of the application tar CDBG and HOES funds.
r hope that you will lend your support to the reownBndation of your
Haysinq
and Community Development Commission.
Many thanks for your conaideratiori,
Carol Spar,iani
i
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4f 1�
Marian Karr
Fmrn: Richard Tetrault [artetrsul6Gmehol.Camj
Sint; Monday, April 25, 2005 7;51 PM
To: Iowa Clry Council
Subject; Mental Health Housing
RE: Johnson County Permanent Supportive Housing for Parsons w* Special Needo,
Oreetlrsg m, ,
l am so pleaeed to learn that you are Coneldedng housing for the mentally Ill. I have a speolal Interest In This iasue as t
hie a mentally III son. I am sure that you all know, the need Is very real.
Thanks for addressing this verb+ Irnportant project,
To all on tha 6oard....have a bright, beauffuf 'aunshkiny` day.
Richard
.�'
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May 3, 2005
City Council Members
410 East Washington Street
Iowa City, IA 52240
Dear City Council Members,
I am sorry that I will not be able to attend this evening's City Council meeting
to thank you in person for your support of the Iowa City Free Medical Clinic
(FMC).
For over 5 years the City Council has voted to approve the allocation of
CDBG funds for FMC to use to support its case management program. This
program is designed to allow our case manger to assist our volunteer
physicians in the care management and planning for the many diabetic and
hypertensive patients that we follow on a regular basis. The funding that we
have received has been, and continues to be, integral to the continuation of
this program.
We thank the Housing and Development Committee for these previous
allocations as well. It has always been a pleasure to work with the committee
and they have been so very supportive of our efforts.
Again, thank you for your ongoing support; we are pleased to serve the Iowa
City community.
Sincerely,
Sandy Pickup (Free Medical Clinic Financial Co -Director)
Free Medical Clinic Staff
120 North Dubuque Street
Iowa City, IA 52245
Tel: (319) 337-4459
You are invited to an Open House
At the New Peninsula Neighborhood
l 310 Foster Road
Iowa City, IA
Thursday, May 19, 2005
4:00 PM to 6:00 PM
Hosted by:
Iowa City Public Housing Authority
And
Greater Iowa City Housing Fellowship
Project Partners
City of Iowa City
Greater Iowa City Housing Fellowship
Iowa Department of Economic Development
Hills Bank and Trust