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Minutes Housing Comm. 6 27 06 MINUTES OF HOUSING COMMISSION MEETING DATE: TIME: PLACE: 27 June 2006 4p.m. Housing and Community Development Department Chairperson Kapler called the meeting to order at 4:01 p.m. following staff assurance of compliance with Iowa Open Meeting Law. Commissioners Present: Danita Grant Bill Helling John Plein Dave Kapler Char Eddy Jim Holz Dorothy Culbertson Dorothy Schwendinger, OSF Commissioners Absent: Angie Mozena Harry Neustadt Staff Present: David Harris Joleen Patterson Janet Walker Tusdee Blus Public Present: Rhonda Anderson Amanda Koopman Devin Nelson Review and Certification of Minutes of 23 Mav 2006 Commission Meeting Commissioner Schwendinger motioned to approve the 23 May 2006 meeting minutes as submitted. Commissioner Eddy seconded. Roll call. Commissioners Grant and Plein abstained. All others present in favor. Motion passed. New Business Amendments to Section 8 Administrative Plan: Rent Adjustments Due to Income Change Janet Walker stated that staff has been monitoring income changes for the past 10 - 15 months. It was observed that many take place earlier in the month; however they are not reported to us until late in the month, therefore resulting in staff's inability to make the change effective the first of the following month. If this policy is adopted, these changes in income will not be retroactive, and all participants will be notified of the change. Participants also have the right to dispute any decision to which they do not agree. The proposed change to the policy is as follows: All decreases in income must be reported in writing and verifications must be received on or before the 2dh of a month to be processed with an effective date the following first (1&) of the month. Any decreases in income that are reported after the 2dh of a month will be processed with an effective date the first day of the second month following the date reported provided the change was received in writing and verifications have been received. Commissioner Grant commented that she would recommend that the phrase "with an effective date the following first (1st) of the month" be changed to "the first day of the following month". Commissioner Eddy motioned to approve the policy change with the noted change. Commissioner Holz seconded. Roll call. All present in favor. Motion passed. Request for Appeal: Rhonda Anderson Janet provided a brief summary of Ms. Anderson's case. She stated that on 24 July 2003 staff notified her of her denial of rental assistance. She was given 20 days to appeal; however, she did not do so. Therefore, she was ineligible for the program until 18 January 2007. The original denial was based on Ms. Anderson's criminal record. Ms. Anderson provided the Commission with an explanation of her situation, stating that her apartment is part of the Bee Branch acquisition project. She would prefer to move now, into a larger unit. She alleged that although she has received mail from staff, she never received a letter from this office offering her an appeal. Janet stated that procedure is to send mail to last known address and if it is not returned, we have no verification as to whether or not they've received it. We do not utilize registered mail for standard correspondence with our clients. Ms. Anderson stated that the mailing address she would have supplied on 24 July 2003 would have been 579 Arlington. Janet was asked by the Commission to verify where her notification was mailed. Janet stated we had used the Arlington address on some prior correspondence, but when the notification to terminate and appeal paperwork was mailed, it was sent to the incorrect address of 394 E 16th. Commissioner Holz motioned to grant Ms. Anderson's request for a special appeal hearing. Commissioner Grant seconded. Roll call. Commissioner Culbertson - Nay. All others present in favor. Motion passed. Request for Appeal: Amanda Koopman Janet provided a brief summary of Ms. Koopman's case. She stated that Ms. Koopman did not take possession of her unit and that subsequently an article from the 27 April 2006 Telegraph Herald newspaper provided information that she may have had dual residency. On 4 May 2006 we proposed termination. Ms. Koopman's deadline to appeal was 25 May 2006; however, she failed to appeal within the required timeframe. Ms. Koopman stated that she did not receive the letter of termination and appeal paperwork from her mother (where our letter was mailed) until it was too late. She said that she does not have stable address and her mail was going to her mother's address. Ms. Koopman also stated that she was not aware that we were paying for her rent on Rhomberg. Janet said that on 5 April 2006 we notified her that we were paying rent at 508 % Rhomberg and that the lease had been signed by the landlord on 1 April 2006, with a copy mailed to the tenant (Ms. Koopman). Commissioner Eddy asked when Ms. Koopman received the letter stating we were paying from her mother, to which Ms. Koopman stated that they were living in a hotel but did not give a date. She also stated that the landlord told them that we were not paying for the rent yet. Upon further review, Janet stated that no mail was retumed to us that had been sent to the Rhomberg address, and we were never notified by either tenant or landlord that they had not moved into that address. Commissioner Grant stated that she felt that there may have been some miscommunication between the landlord and Ms. Koopman, to which Commissioner Holz agreed. Commissioner Holz motioned to approve Ms. Koopman's request for appeal. Commissioner Grant seconded. Roll call. Commissioners Culbertson, Eddy, Kapler and Plein - Nay. All others in favor. Motion failed due to lack of majority. Housing Trust Fund Committee Report: IFA Housing Trust Fund Application David Harris stated that the grant application must be approved by the Housing Commission. Commissioner Schwendinger motioned to approve the grant. Commissioner Plein seconded. Roll call. All in favor. Motion passed. Loan Policy Discussion: Washington Revitalization Strategy David provided an overview of the project and progress made over the past 10 months. He stated that it is important to improve the marketability of homeownership in the neighborhood. We are working with Jan Powers to do this. She will provide a proposal to us the end of July, which will need to be reviewed by the Commission. David explained that this is a neighborhood in transition, with issues of drugs and street crime an everyday problem. There has been an increased COP presence. He then reviewed suggested conceptual ideas that Rehab staff discussed as possible "creative" applications of our lending policies, in the interest of increasing participation. Joleen Patterson provided a hand-out on the progress made thus far. Commissioners Eddy and Holz stated that they did not support suggestions for increasing loan-to- value limits and loosened credit. David suggested that we wait until Jan's proposal is received to make a final recommendation, to which the Commission agreed. Rehab Loan Policy Exception for Washington Neighborhood Two second Mortgage Purchase Assistance: $15 000 Loans The first loan is for additional funds. The property is located at 1605 Jackson, which is owned by DB&T. A single person is interested in purchasing the property for $40 000 "as is". She is a first-time homebuyer and qualifies for the below 50% income IFA funds. The request is to provide a $15 000 additional Due on Sale loan. The estimated rehab cost is $57 000. Commissioner Helling motioned to approve the waiver for the $15 000 additional Due on Sale loan. Commissioner Schwendinger seconded. Roll call. Chairperson Kapler abstained. All others in favor. Motion passed. The second loan is for a property located at 1855 Elm Street. It has been completely rehabbed by the developer. A disabled veteran is interested in purchasing the home. He is a first-time homebuyer and qualifies for the below 50% income IFA funds. The request is to provide a $15000 additional Due on Sale. Commissioner Culbertson motioned to approve the waiver for the $15 000 additional Due on Sale loan. Commissioner Holz seconded. Roll call. All in favor. Motion passed. Infonnation Sharina Expiring Terms of Commissioners Holz, Grant, Culbertson and Plein David reminded all Commissioners to reapply with City Clerk Karen Chesterman at City Hall to renew their terms. Adiournment There being no further business to come before the Commission, Commissioner Holz motioned to adjourn the meeting. Commissioner Culbertson seconded. Motion passed by acclamation. Meeting was adjourned at 5:06 p.m. Minutes taken by: ~.Bk Tusdee Blus Assisted Housing Secretary Respectfully submitted by: ~\~~~ David Harris Department Director