20070730 TDHCA Board of Directors Meeting Transcript
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TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS BOARD MEETING Capital Extension Auditorium State Capital 1500 N. Congress Avenue Austin, Texas July 30, 2007 9:30 a.m. MEMBERS: ELIZABETH ANDERSON, Chair C. KENT CONINE, Vice Chair SHADRICK BOGANY SONNY FLORES NORBERTO SALINAS GLORIA RAY ON THE RECORD REPORTING (512) 450-0342 A G E N D A PAGE CALL TO ORDER, ROLL CALL 6 CERTIFICATION OF QUORUM PUBLIC COMMENT 7 CONSENT AGENDA 37 ITEM 1: Approval of the following items presented in the Board materials: General Administration: 37 a) Minutes of the Board Meeting of June 28, 2007 Disaster Recovery Division 37 b) Presentation, Discussion and Possible Approval of requests for Amendments to CDBG contracts administered by Office of Rural Community Affairs (ORCA) Multifamily Finance Division 37 c) Presentation, Discussion and Possible Action for Housing Tax Credit Extensions (if recommended) d) Presentation, Discussion and Possible 38 Issuance of Determination Notices for Housing Tax Credits Associated with Mortgage Revenue Bond Transactions with other issuers HOME Division 41 e) Presentation, Discussion and Possible Approval of a Notice of Funding Availability (NOFA) for approximately $10,000,000 utilizing unawarded and deobligated HOME funds for the HOME Rental Housing Development (RHD) Program f) Presentation, Discussion and Possible 50 Approval of a Notice of Funding Availability (NOFA) for approximately $6,000,000 utilizing unawarded and deobligated HOME CHDO funds for the HOME Community Housing Development Organization (CHDO) Rental Housing ON THE RECORD REPORTING (512) 450-0342 3 Development Program g) Presentation, Discussion and Possible 51 Approval of a Notice of Funding Availability (NOFA) for $1,000,000 of local revenues from the Housing Trust Fund for the Texas Veterans Housing Support Program ACTION ITEMS Item 2: Presentation, Discussion and Possible 53 Approval of Real Estate Analysis Items: a) Presentation, Discussion and Possible Action for the 2007 Competitive Housing Tax Credits Appeals of Credit Underwriting Reports ITEM 3: Presentation, Discussion and Possible 88 Approval of Multifamily Division Items: a) Presentation, Discussion and Possible -- Action of Housing Tax Credits Appeals b) Presentation, Discussion and Possible 88 Action for the Inducement Resolution Declaring Intent to Issue Multifamily Housing Mortgage Revenue Bonds for Developments Throughout the State of Texas and Authorizing the Filing of Related Applications for the Allocation of Private Activity Bonds with the Texas Bond review Board for Program Year 2007, Resolution No. 07-023 c) Presentation, Discussion and Possible 131 Issuance of Determination Notices for Housing Tax Credits Associated with Mortgage Revenue Bond Transactions with Other Issuers d) Presentation, Discussion and Possible 161 Approval of the Final Commitments from the 2007 Credit Ceiling for the Allocation of Competitive Housing Tax Credits and the Waiting List for the 2007 Application round from the list of all applications below: ON THE RECORD REPORTING (512) 450-0342 4 ITEM 4: Presentation, Discussion and Possible 131 Approval of Financial Division Items: a) Presentation, Discussion and Possible Approval of FY 2008 Final Draft Operating Budget b) Presentation, Discussion and Possible 131 Approval of FY 2008 Final Draft Housing Finance Budget ITEM 5: Presentation, Discussion and Possible 268 Approval of HOME Division Items: a) Presentation, Discussion and Possible 268 Approval of the 20070 HOME Investment Partnerships Program Preservation and Rental Housing Development Program award recommendations in the amount of $2,812,125 from the list of applications below: b) Presentation, Discussion and Possible 268 Approval of the 2007 HOME Investment Partnerships Program Community Housing Development Organization (CHDO) Rental Development Program award recommendations in the amount of $1,210,000 from the list of applications below: ITEM 6: Presentation, Discussion and Possible 135 Approval of Disaster Recovery Division Items: a) Presentation and Discussion of the Community Development Block Grant (CDGB) Disaster Recovery Status Report ITEM 7: Presentation, Discussion and Possible 142 Approval of Bond Finance Items: a) Presentation, Discussion and Possible Approval of a loan reservation procedure for the Single Family Mortgage Revenue bond (MRB) Program 70 Targeted Area set-aside EXECUTIVE SESSION 127 a) The Board my go into Executive Session (close its meeting to the public) on any agenda item if appropriate and authorized by the Open Meetings Act, Texas Government ON THE RECORD REPORTING (512) 450-0342 5 Code, Chapter 551 b) The Board my go into Executive Session Pursuant to Texas Government Code §551.074 for the purposes of discussing personnel matters including to deliberate the appointment, employment, evaluation, reassignment, duties, discipline or dismissal of a public officer or employee c) Consultation with Attorney Pursuant to §551.071(a), Texas Government Code: 1. With Respect to pending litigation styled Dever v TDHCA filed in Federal Court 2. With Respect to pending litigation styled Brandal v TDHCA filed in State Court in Potter County 3. With Respect to pending litigation styled Ballard V TDHCA filed in Federal Court 4. With Respect to Any Other Pending Litigation Filed Since the Last Board Meeting OPEN SESSION 130 REPORTED ITEMS Executive Direct's Report 1. Monthly Report on HOME Amendments Granted 2. Construction Cost Research by Real Estate Analysis Division 3. 2007 Competitive Housing Tax Credit Challenges ADJOURN 271 ON THE RECORD REPORTING (512) 450-0342 6 P R O C E E D I N G S MS. ANDERSON: Good morning. It's great to see everybody here with us today. There must be something going on here today. Welcome to the July 30 board meeting of the Texas Department of Housing and Community Affairs governing board. We do appreciate you all being with us today. The first order of business is to call the roll. Vice Chairman Conine? MR. CONINE: I'm here. MS. ANDERSON: Mr. Bogany? MR. BOGANY: Here. MS. ANDERSON: Ms. Ray. MS. RAY: Here. MS. ANDERSON: Mr. Flores? MR. FLORES: Here. MS. ANDERSON: Mayor Salinas? MR. SALINAS: Here. MS. ANDERSON: We have six board members present; we do have a quorum. As is this board's custom, we welcome public comment at our board meetings, and we take public comment in two ways. The first group of public comment will ON THE RECORD REPORTING (512) 450-0342 7 commence immediately, and that's for people that want to speak at the beginning of the meeting. And also, if something is not posted on the -- a specific item's not posted on our agenda today, then people that wish to comment on that comment during the public comment period. Therefore, all the comments concerning potential forward commitments need to come in this public comment period before we actually begin the agenda. But for those of you that would rather wait and speak at the posted agenda item, if that is your preference, that's fine too. We have a lot of comment this morning. I'm going to ask people to limit their comments to three minutes per person, and we'll see if we can't move things along and still give people a full three minutes. But I ask you to stick to your time and that when you're -- if there are more than one of you that are speaking on a given matter, I will -- if I've got this stacked right, I'll attempt to call all of your names so that you can come forward and be prepared to speak right after your colleague speaks. With all that said, the first witness is Blaire Parker from Representative Robert Puente's office. ON THE RECORD REPORTING (512) 450-0342 8 MS. PARKER: Good morning. MS. ANDERSON: And forward commitments will not -- are not on the agenda today, they will not be discussed by the board. They will be posted for action at the August 23 meeting. Sorry. Sorry, Blaire. MS. PARKER: No, that's okay. Thank you. Good morning. For the record, my name is Blaire Parker, with Representative Robert Puente. Representative Puente had a scheduling conflict this morning and asked if I would come in his place to further show his support for the San Juan Square II development. He's previously written a letter of support and hopes that they would be awarded the allocation for the low-income tax credit to build that development. It's very important to Representative Puente's constituents and himself to have quality low-income housing in his district, as well as very important to the residents of San Juan Square. They've all signed a petition of support, and we're just hoping that that will come through. I'm happy to leave a copy of the letter that he's previously submitted, as well as that petition, if you all would like. But other than that, I thank you for ON THE RECORD REPORTING (512) 450-0342 9 your time and your consideration. MS. ANDERSON: Thank you. Mr. Henry Alvarez? (Pause.) MR. ALVARFZ: Good morning, Madam Chair, Commissioners. I'm Henry Alvarez from the San Antonio Housing Authority. I'm the president and CEO there. I'm here in support of the San Juan II product, but what I'd really like to talk about today is the need for public housing to be included in the tax-credit process. As you know, the San Antonio Housing Authority is the largest housing authority in the State of Texas, and we have approximately $132 million worth of needs in San Antonio. The federal government continues to constrain the federal budget. As a result was have about 2700 units that are reaching economic obsolescence. The alternative, if we don't, or if we are unable to do products like San Juan II, is to have folks be homeless, because they're going to be in units that are simply not livable. The tax-credit program provides the equity contribution to become the economic engine to reposition all of those dying public-housing residences.