Minutes from September 17, 2019 CCDC Board Meeting
Present: Mary Reed, Chris Thomas, Aubrey Carter, Gregory Tran, and Malcolm Greenstein
Rose Gabriel also present
Absent: BJ Friedman, Paula Hern, Aly Byatt, Kim O’Brien
1. The Board could not vote to approve the August 20, 2019 minutes because there was not a quorum present who was also present at that meeting. The minutes will be on next month’s agenda for approval.
2. Rose Gabriel reported that the CCDC experienced a net loss of $650.24 in August. As of August 31, the organization’s checking account balance was $452.24; the balance in its saving account was $117,539.33, which includes the $100,000 in Home Base funds.
Malcolm asked about the $21.86 ice cream social-related charge in the P & L. Rose said that it was because Mary bought some decorations to use at next year’s ice cream social.
The Finance Committee met on September 11, 2019. Minutes from that meeting appear at the end of these minutes.
Rose presented a draft CCDC operating budget for the new fiscal year – FY2019-2020. She noted that it’s pretty much same as the budget for the current fiscal year and highlighted some items:
· The CCDC will be audited annually in the future, rather than every two years. Doing it every two years was too much work. The auditor agreed to reduce her fee to $5,200.
· The budget for 1611 W 10th is $197,000, but Rose believes it may be lower in the end. For example, the survey cost $1,600 instead of $4,000.
· The $46,452 expense reflects repairs to the Haskell House that we anticipate will be paid for with the proceeds from the Heritage Tourism grant the CCDC applied for.
· Budgeted income from Christmas caroling party/ice cream social/ACL ticket sales should be changed to $1,240. Aubrey made a motion to change the number of the proposed budget from $200 to $1240, Chris seconded the motion and it passed on a unanimous vote.
3. Rose presented the Property Management report. All but one tenant is current on rent. That matter will be discussed in Executive Session.
4. Thursday, the city council will vote to on the projects recommended to receive Heritage Tourism Grant funds. Unless there are any issues, the Council should approve all of the grants “on consent.” Mary explained that if the CCDC receives the grant money it asked for, the organization will be expected to market the Haskell House as a tourist destination and that will mean training more people to be docents. Right now, she handles all of the House and neighborhood tours, but if we begin getting a lot of tour requests she will need help. So far, four people have volunteered to become docents. Mary also reported that Parks and Rec is including the Haskell House in its up-coming state-wide advertising campaign that will promote historic Austin sites to Austin visitors. The campaign will include Texas Monthly advertising.
Regarding the affordable bond fund money that the CCDC has applied for, Rose said that the City is being very rigorous regarding how that money will be used and is showing preference to multifamily housing developers. She also said that the CCDC had increased its match to $100,000 and now, the City feels that our debt to asset ratio is high – we are ranked at a risk level of 2 out of 3. Mary pointed out that the ratio is too high because the City insisted on us increasing our match, which means that we had to take on more debt, and that the City is holding small non-profits like the CCDC to the same standards as the for-profit housing developers who are applying for bond fund money, which is not fair. She indicated that she had sent Council Member Tovo a long email outlining the problems and inequities in the current bond fund application process and Tovo agreed that the process needs tweaking. Malcolm asked if other housing nonprofits had experienced similar problems; Mary said that Guadalupe had and maybe Blackland too.
Council will vote on the projects recommended to receive bond fund $ this round on November 14. Mary expressed concern about Council Member Cesar’s vote as he has been upset that the CCDC is building a SF home on the 10th Street lot, not a duplex.
5. Mary reported on the revised new land use code and said that people are finally learning about it and getting upset. She said that it will not be good for central Austin neighborhoods that are in transition zones. because SF homes in the zones will automatically be up-zoned to multi—family. Also, if owners of those homes tear them down, the new structures must be at least 4 units. There is an affordable housing bonus available to owners willing to make some % of the units affordable. The bonus would entitle them to build up to 4 more units.
Some council members are for the new code, but others are not. It will be great for developers, realtors and private investors. Those who are for the new code argue that greater density = more affordability. However, Mary says that she has yet to hear one proponent point to any city that has successfully driven down housing costs by enacting a land use code that promotes increased density.
October 4 is the release date for new revised land use code with maps. Councimember Tovo has scheduled a District 9 town hall meeting for October 10 that will take place at City Hall. There also will be a Planning Commission hearing and a Council hearing on the code. Council is slated to take a vote on the code, on first reading, in early December.
Mary will meet on Wednesday with Annick Bodette, who is one of the two city staffers in charge of the staff people who are developing the land use code. Maureen Mettauer as well as Rosemary Merriam, both with OWANA, will be at the meeting too. They have a long list of questions to ask Annick.
6. Mary proposed scheduling a board retreat for the Fall so that the board can look at the bylaws, discuss some new policies and procedures they may want to put in place, review Rose’s job description, review our lease, etc. The board talked about whether a Saturday or a Sunday morning would be best and Mary said she would survey the full board to find out what the majority wants.
7. No Other Business was discussed.
8. The Board met in Executive Session to discuss a tenant matter.
Action taken via Electronic Vote:
· On August 29, 2019, the board voted to authorize Rose Gabriel to increase the amount of money the CCDC will contribute toward the construction of a new affordable house to be located at 1611 West 10th to $100,000. The total cost of the project is projected to be $197,950. American Youth Works will contribute $20,000 in services toward the $97,950 balance. The remaining $77,950 will be paid for with City of Austin affordable housing bond fund money.
This matter was time-sensitive and could not wait until the September meeting.
Finance Committee Minutes
11:00 AM. Sept 11, 2019
Attendees: Mary Reed, CCDC President; BJ Friedman, CCDC Treasurer; Rose Gabriel, CCDC Property Manager
1. The committee reviewed the Balance Sheet for August, which showed a net income of $3155.51.
2. BJ reviewed the bank statement and reconciliation sheet.
3. The committee discussed the requirements for reporting income for the COA compliance report for 1817B W 10th. Child support, any SSI benefits for children and all liquid assets should be counted as income. $460/child should be deducted from gross income.
4. BJ asked Rose to give the Finance Committee report since she will be out of town on the day of the Board meeting.
5. Meeting adjourned at 11:40 AM