Minutes, August 16, 2022
Minutes from the August 16, 2022 Clarksville CDC Monthly Meeting
The meeting was held virtually via Zoom.
Board members in attendance: Aubrey Carter, BJ Friedman, Paula Hern, Kim O’Brien, Mary Reed, Chris Thomas, Gregory Tran
Others in attendance: Brad Prak, Prak Property Management
1. On a motion by Chris, seconded by Paula, the June 21, 2022 minutes were approved. On a motion by BJ, seconded by Chris, the July 19, 2022 minutes were approved. The April 19, 2022 Annual Meeting and monthly minutes were not available. They will be on next month’s agenda for approval.
2. BJ presented the monthly financial report. As of the end of July, we had $80,310 in our checking account, $121,048 in our money market account. Most expenditures for the month were related to construction at 1611 W. 10th Street. We ended the month $1400 in the black. A question was posed about late fees collected. Brad reminded the board that fees were now being charged for late rents.
3. On a motion by BJ, seconded by Gregory, the board approved renewing our line of credit with Frost Bank.
4. Monthly property reports:
a. Brad reported that 2 roofs (approved at the June meeting) have been installed. Approximately $7000 of the insurance claim funds remains. This will be allocated toward additional needed roof work. One tenant has not responded to 8 requests for income verification. As a result, tenant has been served with a notice of non-renewal. Brad will keep the board informed as to this situation.
b. Kim reported progress on construction at 1611 W. 10th Street. Due to American YouthWorks summer break, and shortened work days due to the extreme heat, progress was slow in July, but house is almost 60% complete. Exterior siding is complete and painting has begun. A draw request for reimbursement in the amount of $15,016 was submitted this month to the Austin Housing Finance Corporation. This will expend all but the required 1% retainage ($779) of our grant.
c. Aubrey reported that we are still waiting on the permit to construct the stairs to be funded by by OWANA funds.
5. A working group comprised of board members BJ Friedman, Gregory Tran, Mary Reed, and Malcolm Greenstein, and Brad Prak presented a variety of options developed to address inequities and fiscal inadequacies of the CCDC’s current rent structure. It has been many years since the board reviewed our rent structure, or raised any rents. The current rent structure does not bring in enough income to adequately maintain our properties. The working group took into consideration the age of each property as well as the current income of each tenant. After much discussion the Board, on a motion by Aubrey, seconded by Gregory, a majority of the board voted to adopt a rent increase model which takes into account the tenants’ income and the percentage of income that they pay in rent. As part of the motion to approve, the board agreed that any future rent adjustments must be reviewed and approved by the board.
6. Mary reported that the working group is continuing to gather information regarding ways to meet the CCDC’s projected financial needs. This item will be discussed at next month’s meeting.
7. The board approved the CCDC Applicant and Resident Eligibility Policy document. A copy of this document can be provided by CCDC Secretary Kim O’Brien.
8. As a result of higher-than-expected audit fees this past year, BJ contacted other auditors who work with affordable housing providers. She recommended that the board engage the services of Bryan Beal, with Maddox and Associates, whose projected costs of service for preparing our annual audit and 990 is less than half of what we paid previously. On a motion by Paula, seconded by Gregory, the board approved hiring Bryan Beale.
9. The board discussed setting a new date for the Haskell House re-opening celebration (postponed due to extreme heat on the originally scheduled June date.) Early November was suggested. Mary will find out if the petting zoo can be available.
10. The board discussed holding the CCDC/OWANA Christmas party at the Haskell House. While there is an interest in reviving the popular event, it was decided due to continuing COVID concerns to delay a decision until later in the year.
11. Under Other Business, Mary reported that two Haskell House docent training session will take place over the next few weeks. She also reported that she is preparing paperwork to nominate the City Parks Department for a Preservation Merit Award for the Haskell House renovation. Merit Awards are given to the property owner (City of Austin) but CCDC will be recognized for our part in the collaborative project.
12. The board did not meet in Executive Session.
Action taken via Electronic Vote:
On July 20, 2022, the board voted to take appropriate actions to object to the proposed name of “Clarksvillage” for a new development on W. 6th Street between Baylor and Blanco. This item was on the July 19, 2022 board agenda for action, but could not be voted on due to the lack of a quorum. The matter was time-sensitive and could not wait until the August meeting.