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NEIGHBORHOOD & AFFORDABLE HOUSING ADVISORY BOARD MEETING MINUTES
CITY OF CLEARWATER
December 6, 2005
Present: John Sabatier
Lisa Hughes
Donald Brackett
Josephine Carbone
Doug Booher
Peggy M. Cutkomp
Chair
Vice-Chair
Board Member
Board Member
Board Member
Board Member
Absent: Laurel Braswell
Board Member
Also Present: Howie Carroll
Michael Holmes
Patricia O. Sullivan
Assistant Housing Director
Housing Manager - arrived 9: 13 a.m.
Board Reporter
The Chair called the meeting to order at 9:00 a.m. at City Hall.
To provide continuity for resear(:h, items are in agenda order although not
necessarily discussed in that order.
3 - Approval of Minutes - 10/11/05
Approval of the minutes of the regular meeting of October 11, 2005, was continued to
the next meeting, without objection.
4 - Public Hearino - Approval of FY 2004/05 CAPER (Consolidated Annual Performance and
Evaluation Report)
The Consolidated Annual Performance and Evaluation Report (CAPER) is the principal
administrative report documenting the City's expenditures of Community Development Block
Grant (CDBG) and HOME Investment Partnership (HOME) programs funds to the U. S.
Department of Housing and Urban Development (HUD).
The City of Clearwater FY (Fiscal Year) 2004/05 CAPER contains information on the
City's assessment of activities listed: 1) Assessment of Three to Five Year Goals and
Objectives; 2) Affordable Housing; 3) Continuum of Care; 4) Leveraging Resources; 5)
Affirmatively Furthering Fair Housing; 6) Citizens Comments; and 7) Self-Evaluation.
For FY 2004/05, the City's allocations for the CDBG and HOME programs were
$1,079,985 and $577,115, respectively. The CAPER document serves as the basis for program
monitoring for compliance and for financial audits for all activities conducted during the FY
2004/05 as outlined in the FY 2000-05 Consolidated Action Plan for that program year. The
report provides HUD with necessary information for the department to meet its requirement to
assess each grantee's ability to carry out relevant Community Planning Development (CPD)
programs in compliance with all applicable rules and regulations. It also provides information
necessary for HUD's Annual Report to Congress and it provides grantees an opportunity to
describe to citizens their successes in revitalizing deteriorated neighborhoods and in meeting
objectives stipulated in their Consolidated Planning document.
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Through the programs covered under the CAPER, over 27,521 persons were assisted
through Public Services, Public Facilities, Housing Rehabilitation and New Construction, Fair
Housing and Economic Development programs. One highlight of the City's program success is
that during the past fiscal year 25 homes were rehabilitated through Clearwater's Housing
Rehabilitation program. The FY 2004/05 CAPER is due to HUD no later than December 29,
2005.
Assistant Housing Director Howie Carroll reported the Homeless Policy Group's report
will be completed in early 2006. He highlighted projects in North Greenwood, including the
CNHS (Clearwater Neighborhood Housing Services) business center. He reported 652
households received homeowner education programs during the previous year. The City's
CAPER is available at City libraries and on the website for public comment from November 21
through December 12,2005. In January 2006, the action plan process will begin anew.
In response to a question, Mr. Carroll said the Executive Director of CHS (Clearwater
Housing Authority) had indicated that CHS is working with a financial team to structure financing
to develop the Jasmine Court site. Housing credits are very competitive and the bond market is
difficult now. The City's commitment to the project would be withdrawn if another multi-family
project comes forward that is on a faster track. No large projects are in the pipeline. He
reported that homeowners insurance will become a major challenge for all homeowners, and
anticipated that defaults will increase when insurance becomes unaffordable.
In response to a question, Mr. Carroll said the small Mt. Carmel CDC project received a
bid 50% higher than estimated and could not move forward. Mt. Carmel CDC now plans to
construct affordable infill houses, with CNHS verifying homebuyer qualifications. It was stated
that increasing interest rates affect the price of new construction more than higher construction
costs. To better serve City clients, Mr. Carroll hoped to recruit more contractors who are driven
by mission, rather than profits. He suggested the City may be able to foster new non-profits to
fill this niche.
Discussion ensued regarding the ramifications of a bubble in the local housing market,
with a condo conversion market spurred by speculators.
In response to a suggestion, staff will review the document again to correct typos. The
report was complimented for its statistical information, and report on the large number of people
served by City programs, considering the limit on available allocations. It was stated the report
shows a good use of public money.
Member Hughes moved to recommend approval of the City of Clearwater FY 2004/05
Consolidated Annual Performance and Evaluation Report (CAPER). The motion was duly
seconded and carried unanimously.
5 - New/Old Business
Mr. Carroll reported the City Council had approved incorporating an equity sharing
provision in documents for homes purchased with some City funds. The City's policy will
provide seven-years of equity sharing, and meet FHA (Federal Housing Authority) guidelines.
Staff also is considering a program intended to keep affordable housing affordable and
would require home purchasers, who use City funds and sell their homes within five to ten
years, to sell those houses to low-income buyers. Discussion ensued regarding 99-year
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restrictive covenants in place on property, not affordable housing structures, in Colorado that
limit the increase in price to 3% annually. Mr. Carroll said staff is looking at creative and
innovative ways to retain affordable housing. He expressed concern that conversions from
apartments to condominiums are unaffordable to many residents, who are displaced and have
nowhere to move.
6 - Next Meetina
Housing Manager Michael Holmes reported staff is working to improve/update the
subrecipient application process. He suggested applications will be ready for NAHAB
(Neighborhood & Affordable Housing Advisory Board) review in February and set a tentative
date for the next meeting on February 14, 2005.
Mr. Carroll thanked NAHAB members for their input and comments.
7 - Adjournment
The meeting adjourned at 9:25 a.m.
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