HomeMy WebLinkAboutMN-IURANI-2010-05-14Approved 8/13/10
108 East Green Street
Ithaca, New York 14850
(607) 274-6559
MINUTES
Neighborhood Investment Committee
8:30 A.M., May 14, 2010
Present: Tracy Farrell, Susan Cummings, Fernando de Aragón, Teresa Halpert
Staff: Sue Kittel, JoAnn Cornish, Alice Vargo, Nels Bohn (10:15 A.M.) Guest: Caleb Thomas, Robert Brown from the Ithaca Free Clinic
I. Call to Order
The meeting was called to order by Chairperson Farrell at 8:40 A.M.
II Additions to or deletions from the agenda
Farrell requested an update on RIBs under VI.D. Other
III. Public comment - None
IV. Approval of meeting minutes: - No minutes were included V. New Business
A. Lake Ave SRO (2.4 - 1996 year 2 CDBG), modify loan terms
Under their 15 year contract, the owners of this SRO have to regularly report resident income to the IURA,
which they have been doing. The CDBG-funded sprinkler system has been annually certified, as required
under contract, and the property is in good repair. Questions were raised to see if the contract could be
rewritten to reduce the annual reporting. After some discussion on the length of time required for reporting
under this contract, as compared to similar contracts that have been more recently written, the following was
approved on a Motion by de Aragón, seconded by Farrell
Lake Avenue SRO (#2.4, 1996 year #2CDBG), Modify Loan Terms
Whereas, as part of the second year increment of the three-year 1996 CDBG award, the IURA provided a
deferred loan of $22,000 for installation of a sprinkler system at the 10-unit, single room occupancy (SRO)
facility owned by Sandra L. Barr located at 104 Lake Avenue, and
Whereas, the sprinkler system was successfully installed in 2002 thereby satisfying a fire safety code
requirement for continued occupancy of the building as an SRO, and
Whereas, the deferred loan was structured to amortize over a 15-year period and bears no principal or
interest so long as at least 51% of the units are occupied by low- and moderate-income (LMI) households at
affordable rents, and
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IURA NIC Minutes
May 14, 2010
Page 2 of 4
Whereas, the term of the loan began on September 5, 2002, the date of the final disbursement of loan funds,
and
Whereas, the SRO is currently occupied by 10 residents, a majority of which are documented as LMI
persons, at rents of $375-$400 per month, and
Whereas, the project remains in compliance with all IURA requirements, and
Whereas, IURA contract monitoring staff has raised a question whether the administrative effort required by
staff to document on-going annual compliance of this agreement through 2017 would be better used to
monitor projects with potential compliance issues, and
Whereas, this project has stabilized in terms of beneficiaries and rents, and
Whereas, IURA staff recommends reducing the term of the loan to seven years to terminate the loan on
September 5, 2010, and
Whereas, the IURA Neighborhood Investment Committee considered this matter at their May 14, 2010
meeting and recommended the following; now, therefore, be it
RESOLVED, that the IURA hereby authorizes the Chairperson to sign an amendment to the loan agreement
for the Lake Avenue SRO project (#2.4, 1996 year #2 CDBG) to reduce the term of the loan from 15 years to
seven years.
Approved 3-1 (Cummings)
Cummings stated that she preferred to restructure the loan for full payment.
A. Ithaca Free Clinic Funds
The Ithaca Free Clinic is relocating to 523 West Seneca Street and has approached the IURA about
assistance with this relocation both during the annual grant round and at the NI meeting in April. Robert
Brown appeared before the committee and answered questions about record keeping, trends in use of the
clinic and about the demographic data on their clinic. After some discussion, the committee voiced its
continued support of the work of the free clinic.
Motion by Halpert, seconded by Aragón
HUD Entitlement Grant - Program Amendment to 2010 Action Plan to Fund the Ithaca Free Clinic Relocation
Whereas, the Ithaca Health Alliance provides free healthcare services to area residents who do not
otherwise have access to medical services, and
Whereas, this free clinic has provided care to as many as 1,500 clients a year, and
Whereas, the current location of the Free Clinic offices no longer meet their needs due to the limited amount
of physical space, lack of accessibility and poor layout for such an enterprise, and
Whereas, the Ithaca Health Alliance has secured a new location for their clinic offices at 521-523 West
Seneca Street, Ithaca, and
IURA NIC Minutes
May 14, 2010
Page 3 of 4
Whereas, the Ithaca Health Alliance has requested Community Development Block Grant funds to renovate
the new location to meet the needs of their program, and
Whereas, there is $20,476.60 in unallocated CDBG funds remaining in the 2010 Action Plan, and
Whereas, the Neighborhoods Investment Committee reviewed this matter at their May 14, 2010 meeting and
recommended the following, and
Whereas, this award does not exceed the threshold of a substantial program amendment and may be
implemented up on action of the IURA and notification of the Common Council, per the requirements of the
City of Ithaca Citizen Participation Plan, now, therefore, be it
Resolved, that the IURA hereby approves a program amendment to fund the Ithaca Health Alliance
$20,000.00 of 2010 CDBG Entitlement funds for the purpose of renovating the new program space at 521-
523 W. Seneca Street, subject to the following:
• Receipt by the IURA of a cost estimate for the renovation prepared by Holt Architects or another
similarly qualified building design professional detailing the entire projected cost for the necessary
renovations,
• Proof of availability of all necessary matching funds to ensure that the building is suitably renovated
and can succeed in getting compliance of occupancy.
• Provision of all necessary renovated and can succeed in getting a certificate of completion from the
Ithaca Building Department reports and documentation demonstrating the use of the Free Clinic
program services and benefiting at least 51% low- and moderate-income persons, as defined by
the US Department of Housing and Urban Development (HUD),
• Provision of a signed lease for the premises of at least 5 years duration.
Unanimously Approved 4-0
Brown left at 9:32 A.M.
C. Other - RIBs
Bohn gave an up-date. He is waiting for a final written report of the most recent repairs and usage of the
programs. He will continue to keep committee informed on any progress for this project.
VI. Old Business A. Policy discussion - repeat funding of public service activities.
The committee reviewed current practice and discussed a possible future policy. There was discussion
regarding acceptance of multi-year proposals as well as requiring realistic plans for financial independence
from CDBG funds after a program has begun. After working out language, the committee agreed on a policy
to be used as a draft for the upcoming grant round. Kittel will prepare a written summary of the policy and
bring this back to the committee for review and approval.
Kittel needs to leave the meeting early, so Agenda Items VI.B and C have been exchanged.
C. Update on Community Housing of Ithaca (CHI)
Kittel, Sicherman, and board members from CHI met previously to discuss policies, procedures, and the
best way to proceed on them. A list of requirements was developed and CHI has agreed verbally to comply
with all suggestions. Kittel will keep the committee updated.
IURA NIC Minutes
May 14, 2010
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B. Update on Housing Revolving Loan Fund
Bohn reported that the following draft agreements have been reviewed and corrected by the IURA’s
community development consultant, Harry Sicherman:
• Sub recipient Agreement Governing CDBG Program Income Held by INHS, and
• Community Based Development Organization Grant Agreement with INHS to Undertake
Neighborhood Revitalization and Energy Conservation Projects with CDBG Program Income.
Per Sicherman’s advice, INHS has been asked to calculate the total amount of CDBG assets held
by INHS. These assets are in the form of the pro-rata portion of CDBG-assisted real property. This
total was not included in INHS’ prior calculation of CDBG assets. This was new information gleaned
at the meeting and INHS indicated this calculation would take several months to complete.
On a separate matter involving INHS, Bohn reported that the City expects to receive title to 3 residential
properties under foreclosure for failure to pay property taxes. Two of the properties are vacant and
condemned. In lieu of making the properties available through auction, INHS has indicated their interest in
acquiring the properties to be redeveloped for affordable for-sale housing through their Community Housing
Trust program. Bohn indicated that INHS will most likely seek HUD Entitlement funding through the IURA
to implement this homeownership project. The Committee supported the directed sale to INHS, but
indicated they favored rehabilitation over demolition & new construction and expect to receive an analysis
from INHS that compares the two approaches before considering any funding for demolition & new
construction of any of these units.
de Aragón left the meeting at 10:35 A.M.
VII. Staff Report A. Update on progress of various projects
The summer youth employment project is a program of the Ithaca Youth Bureau. This is a 6 week, 20
hrs per week, minimum wage, employment program for teens. There is a shortage of State funds for
this much needed program. It was agreed that this is an important program and to see if the IURA can
help identify any other funding, since the IURA does not have the funds for this type of project right now.
VIII. Other - None
IX. Next Meeting Date - June 11, 2010
IX. Motion to Adjourn
The meeting was adjourned at 10:55 A.M.
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