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HomeMy WebLinkAbout01-17-2019 Housing and Community Development CommissionAgenda Housing & Community Development Commission (HCDC) Thursday, January 17, 2019 6:30 P.M. Senior Center, Room 202 28 S. Linn Street, Iowa City Use the Washington Street entrance or 2nd floor skywalk via Tower Place parking garage 1. Call meeting to order 2. Approval of the December 20, 2018 minutes 3. Public comment of items not on the agenda 4. Monitoring Reports • Domestic Violence Intervention Program (FY19 Aid to Agencies) • Shelter House (FY17 Cross Park Place, FY19 A2A & Rental Acquisition) • Prelude (FY19 Rental Rehab) • 4Cs (FY19 Daycare Technical Assistance) 5. Update on Arthur Street Healthy Life Center Public Facility Project 6. Discuss FY2020-2021 Legacy Aid to Agencies funding requests and consider budget recommendation to City Council 7. Overview of Housing Pro Forma Template 8. Staff/commission comment 9. Adjournment If you will need disability -related accommodations to participate in this program or event, please contact Kirk Lehmann at kirk-lehmann(4dowa-citv.ore or 319-356-5230. Early requests are strongly encouraged to allow sufficient time to meet your access needs. r �.® CITY OF IOWA CITY MEMORANDUM Date: January 10, 2019 To: Housing and Community Development Commission (HCDC) From: Neighborhood Service Staff Re: January 17, 2019 meeting The following is a short description of the agenda items. If you have any questions about the agenda, or if you are unable to attend the meeting, please contact Kirk Lehmann at 319-356- 5247 or Kirk-Lehmannglowa-City.ore- * Indicates Action Item Item 1. Call Meeting to order Item 2. Approval of the December 20, 2018 minutes* Item 3. Public comment of items not on the agenda Item 4. Monitoring Reports We invite CDBG and HOME recipients to provide annual updates on projects. The updates help inform the commissioners about the progress and learn about the agencies' roles serving the community. Staff or project recipients will provide updates on the following projects: • Domestic Violence Intervention Program (FY19 Aid to Agencies) • Shelter House (FY17 Cross Park Place, FY19 A2A & Rental Acquisition) • Prelude (FY19 Rental Rehab) • 4Cs (FY19 Daycare Technical Assistance) Item 5. Update on Arthur Street Healthy Life Center Public Facility Project Following the Arthur Street Healthy Life Center's (HLC) review on October 11, 2018, the HLC team agreed to provide an update to HCDC on progress towards finding additional funding and developing a business plan at HCDC's January meeting. Item 6. Discuss FY2020-2021 Legacy Aid to Agencies funding requests and consider budget recommendation to City Council* FY20-21 Legacy Aid to Agency applications are available online at www.icgov.org/ actionplan. At this meeting, HCDC will discuss Legacy A2A application and Commissioners' individual ranking and funding recommendations. HCDC will then consider a recommendation to City Council for FY20-21 Legacy Aid to Agencies funding totaling $355,000, in addition to a contingency plan depending on actual funding amounts. Applicants are strongly encouraged to attend. City Council will provide final funding allocations when it adopts the City's Annual Action Plan. Item 7. Overview of Housing Pro Forma Template Staff will provide a brief overview of the housing pro forma template that will be included with housing CDBG/HOME applications next month. Item 8: Staff/Commission Comment Item 9: Adjournment* MINUTES HOUSING AND COMMUNITY DEVELOPMENT COMMISSION DECEMBER 20, 2018 — 6:30 PM SENIOR CENTER, ROOM 202 PRELIMINARY MEMBERS PRESENT: Megan Alter, Mitch Brouse, Charlie Eastham, Vanessa Fixmer-Oraiz, Christine Harms, John McKinstry, Maria Padron and Paula Vaughan MEMBERS ABSENT: Bob Lamkins STAFF PRESENT: Kirk Lehmann, Erika Kubly OTHERS PRESENT: Nicki Ross, Lauri Mitchell, Barbara Vinograde, Ellen McCabe, Kristie Doser, Stu Mullins, Daleta Thurness, Ron Berg, Sofia Mehaffey, Christi Regan, Adam Robinson, Crissy Canganelli, Heath Brewer, Michelle Heinz, Chelsey Markle, Chastity Dillard, Diane Dingbaum, Susan Gray, Genevieve Anglin, Becci Reedus, Anthony Smith, Whitney Martiago RECOMMENDATIONS TO CITY COUNCIL: By a vote of 7-0 the Commission recommends approval of the FY18 Annual Action Plan Amendment #4. By a vote of 8-0 the Commission recommends City Council a letter regarding additional funding for NEX Apartments Low Income Housing Tax Credit Project, with changes as discussed in the meeting. CALL MEETING TO ORDER: Vaughan called the meeting to order at 6:30 PM. APPROVAL OF THE NOVEMBER 15, 2018 MINUTES: Eastham moved to approve the minutes of November 15, 2018, with changes as discussed in the meeting. McKinstry seconded. A vote was taken and the motion passed 7-0 (Padron not present for vote). PUBLIC COMMENT FOR TOPICS NOT ON THE AGENDA: None. REVIEW AND CONSIDER RECOMMENDATION TO CITY COUNCIL ON APPROVAL OF FY18 ANNUAL ACTION PLAN AMENDMENT #4 Lehmann noted the Commission has the resolution and exhibit explaining the amendment. As discussed at the last meeting, Little Creations discovered many of their items costed more than expected when they went out to bid, so the original budget of $73,000 was not enough to complete their original scope of work. Little Creations would need approximately $110,000 to complete the project's original scope of work (specifically $109,141). Pastor Anthony Smith came before the Commission and requested a substantial amendment, and because the request was more than 25% of the original budget, the Commission must evaluate and make a recommendation on the amendment, after which it must go to Council for their approval. This substantial amendment before the Commission will allow Little Creations to complete the rest of the scope of work as stated in the original agreement, including new windows, room dividers and Housing and Community Development Commission December 20, 2018 Page 2 of 6 an outdoor storage shed. Lehmann noted the original agreement states it will serve 15 low to moderate income children, but that is being increased to 20 children because of the increased funding. The City has not received any comments regarding the resolution to date, it was sent out to other CDBG recipients because it was for use of uncommitted funds so recipients get an opportunity to provide alternative uses for those funds; no alternative proposals were received. Lehmann noted Little Creations has recently experienced some turnover in staff and children, but new staff have been hired and the facility is currently on track to meet the obligations stated in its agreement regarding the number of children. Eastham moved to recommend to City Council approval of the FY18 Annual Action Plan Amendment #4. McKinstry seconded the motion, a vote was taken and it passed 7-0 (Padron not present for the vote)- QUESTION/ANSWER SESSION FOR FY20-21 LEGACY AID TO AGENCIES APPLICATIONS Vaughan thanked all the agency partners that were present this evening and being available to answer extra questions. Lehmann noted that in addition to the direct responses to questions from the Commission there was also two additional comments. One was with regards to Arc requesting a new category, which was included in the Commission packet, and the other comment was from the Free Medical Clinic. Lehmann also included the census population estimates for populations 60 and over and for Iowa it is 97% white, for Johnson County it is over 96% white and in Iowa City it is 94%. African American and Hispanic Latino were the other two populations specifically mentioned and they are 1% in Iowa, 1% in Johnson County and 2% for Iowa City each. Eastham noted that data shows the minority population in Iowa City is about 8.5% and he will keep that in mind when looking at the agency requests. Vaughan stated that at the last meeting the Commission decided to prioritize the project based on what the money was being requested for, not the overall mission of the agency. Vaughan has one question for Prelude with regards to the numbers they filled in on their chart and asked for clarification. Ron Berg (Prelude) explained the chart shows the income range and the number of patients at each income range and overall percentage of patients at each income level. Vaughan questioned the RVAP amount of restricted funds and if it is just not separated out in the budget. Adam Robinson (RVAP) confirmed the budged provided is collective and noted the majority of the funds are restricted. Brouse asked UAY if they were using the majority, if not all, of the requested money to match other programs and if UAY does not get the full request will it hurt the changes for the matching funds. Genevieve Anglin (UAY) confirmed it would affect their ability to receive the matching funds and UAY will have to go into debt to match those funds otherwise. Vaughan noted for the Neighborhood Centers, the request was to use 2018 data and they used 2017 data so she is wondering if they have 2018 data on the question regarding leveraging of funds. Chastity Dillard (Neighborhood Centers) said they would have some numbers for FY18 and can get them to the Commission but noted they would be very similar to the FY17 numbers. Harms has a question for Pathways regarding the added explanation there is a question about adult daycare for clients from assisted living listed and is wondering if they could state what percentage of Housing and Community Development Commission December 20, 2018 Page 3 of 6 clients come from assisted living Sofia Mehaffev (Pathways) noted not a lot of clients come from assisted living, maybe just three or four, the majority of the clients are coming from a group home setting or private homes. Brouse asked about Pathway's financial charts and why the carryover funds did not carryover. Mehaffey replied those fields auto populated and could not figure out how to edit. Eastham asked if Arc's question of priorities could be discussed at this point of the agenda. Vaughan said it was decided at the last meeting the priorities would be decided on project and not agency mission for this funding cycle. Brouse questioned The Housing Trust Fund requesting funds for operational costs. Ellen McCabe The Housing Trust Fund) said it was their understanding this funding of Aid to Agencies was for operating costs and can be used for the match from the Iowa Finance Authority. Fixmer-Oraiz asked if any of the agency partners had questions for the Commission or thoughts on the application process. Vaughan said they can send those questions comments to City Staff as well. One audience member noted that when the Commission asks about restricted funds, it can mean different things to difference agencies. For one it can mean anything that is restricted in one way or another, like a grant, however to an auditor it means something else. Another member also noted issues with the auto populated fields. Lehmann asked if those issues had been seen in the past and if the agency was using the same software as in the past. It was noted the United Way form can be touchy and not user friendly. Eastham asked if the information provided was reliable enough for HCDC to make funding decisions given these complications. Lehmann said any of the applicants should review their applications and any agency who felt their information was not presented how they wished on the application could send him an email to explain what they want the Commission to know. CONSIDER RECOMMENDATION TO CITY COUNCIL ON A LETTER REGARDING ADDITIONAL FUNDING FOR NEX APARTMENTS LOW INCOME HOUSING TAX CREDIT PROJECT: Eastham shared some proposed changes to the letter and passed them out to the other Commissioners He noted he listened to the Council's discussion of this idea at the last meeting and reread the transcript and wouldn't characterize the Council's discussion in anyway as a consideration of the HCDC recommendation, it was a discussion and therefore would like the Commission to move forward with a letter to the Council. His edit changed to the wording in the letter to indicate HCDC did not think that Council considered this matter. Alter noted in the second paragraph if we are saying it has not yet been considered, then the tense should not be in the past. It should not read HCDC "hoped to add" more units but rather that HCDC "hopes to add Eastham stated his proposed changes specifically state "while providing additional funds" change "reconsider" to "consider' and remove the last phrase "hopes you will reconsider'- The last sentence should read "HCDC feels this is an important request Brouse feels before they vote, perhaps they need to hear what the benefit of the additional funds will be. Kubly noted the developer provided a scenario for Council to consider, that it is not a final proposal, but it shows if the developer were to receive $200,000 in additional funding, then they could provide additional Housing and Community Development Commission December 20, 2018 Page 4 of 6 low-income housing. They based their request off their proforma and are trying to maintain a debt coverage ratio of 1.15 in year one. The proposal states they could have four additional units at different bedroom sizes (one two -bedroom, two three -bedroom and one one -bedroom units at 30% and 40% of the area income medium) with rents of $450 per month for an additional $200,000 in assistance from the City. On the proforma, the rents would increase annually projecting a 2% increase in revenue and 3% increase in expenses. She also noted the difference in rents it would provide. Brouse asked if the current rents are market rate, Kubly said those would be the rents Iowa Finance Authority requires for the tax credit program. Lehmann noted based on those numbers the developer proposed the period of reduced affordability would be for the period of the City loan which is 17 years. Eastham said that is a negotiable term. Lehmann agreed noting this was just a starting point and it would be up to Council to negotiate the terms. Eastham said it should not be up to Council but rather for Council to decide on a recommendation and he feels the Council should consider this recommendation and ask Staff and HCDC to give a complete recommendation after HCDC sits with the developer and review their numbers and options. Brouse asked how many affordable units were in the original proposal. Eastham said there were 32 affordable units and 4 at market rate. Affordable is defined as being 30% of a household's income at differing percentages of the area median income. Eastham commented that after reading the transcript from the Council's work session where this was discussed, it is still perplexing to him how a conclusion can be drawn from their discussion that Council actually considered the Commission's recommendation. He also wondered why the Commission had to come back and discuss this more and how whoever reached this conclusion could interpret Council's discussion as considering this proposal and deciding not to provide any additional funding. Lehmann stated this letter will be submitted to the following week's City Council packet, they will have to decide if they want to discuss further either at a work session or to be placed on an agenda. Fixmer-Oraiz asked if it was normal to have Council to have HCDC and the developer iron out the details of a proposal or is that something they should suggest as the outcome of the consideration. Kubly said typically those types of negotiations are done at the staff level, so if there is something specific HCDC wants to participate in it should be included in the memo so Council can give direction. Eastham felt it should be added to the memo, Alter agreed. An additional line was added to the memo stating HCDC "would like to be further involved in the process." Eastham noted he is actively negotiating working with Council members on this item and will continue that work. Alter moved to recommend to City Council a letter regarding additional funding for NEX Apartments Low Income Housing Tax Credit Project, with changes as discussed in the meeting. Eastham seconded the motion, a vote was taken and motion passed 8.0. STAFF/COMMISSION COMMENT Lehmann noted the next meeting is January 17. At that meeting the Arthur Street Healthy Living will give an update, there will be a few other monitoring reports, there will be a review of the basics of proformas as well as the Aid to Agencies recommendations. Lehmann requested the Commissioners complete their funding and ranking sheets and get them to him by January 3 it would be ideal. Lehmann reminded everyone the goal of the process is to carry out the City Steps Plan so that should be the guidance for awards and also in the upcoming year they will begin to look at any need for changes in priorities in the City Steps Plan. Lehmann stated they are putting together the RFP (request for proposal) for the Consolidated Plan, hoping to have it out in January and begin work early next year. The CDBG/HOME and Emerging Agency applications are out currently, they will close on January 18. One work session for CDBG/HOME is scheduled for January 3 at 1 lam at City Hall and an optional Housing and Community Development Commission December 20, 2018 Page 5 of 6 session on January 10. For Emerging Agency they have set up three sets of office hours, 9-11am on January 2, 4 and 8 for help with applications. There is a Social Justice and Racial Equity Grant application also open at this time, please spread the word. The grant is for $75,000. The application closes January 2. Lehmann next gave an update on the transit study, the City has received statements of qualifications from interested consultants, and they will review the proposals and narrow down the selections. Once a consultant is chosen he will request they come speak to HCDC. Lehmann noted a policy clarification, there was a question of joining a board of an agency the City funds and to avoid conflicts of interest if a member of HCDC serves on a board for an agency it must be disclosed and the person must recuse themselves from all discussion and voting for any funding rounds that agency is part of. For CDBG and HOME it also includes the following year after one quits a board. Lehmann asked what boards current HCDC members serve currently or in the last year. McKinstry and Eastham are on the Affordable Housing Coalition Board and they do receive funds from The Housing Trust Fund. McCabe noted The Housing Trust Fund gives $5,000 per year to the Affordable Housing Coalition Board but those funds come from a number of sources and they do not directly track them. Lehmann said in that case then it should be okay because those funds are directed from The Housing Trust Fund and not the City. Padron noted she was on the library board, but resigned as it was too much, but they do have some programs they were working on with the Neighborhood Centers. Lehmann said that may be indirect, but will ask the City Attorney about both situations. Padron is also on the Summer of the Arts board. Alter said she volunteers with the South District Neighborhood Association as a citizen member, but this association would like to get a mural so they are interested in applying for the equity grant, can she help write the proposal. Lehmann said she can because HCDC has no control over the granting of those funds. Alter is on a couple boards but not located in Iowa City and do not receive any Iowa City funds. Vaughan is on the League of Women Voters of Johnson County. Harms and Brouse are not on any boards. Eastham is also on the board of the Center for Worker Justice and was a member of the board of Little Creations Academy but resigned over a year ago. Lehmann noted The Housing Trust Fund currently has their open funding round which closes January 11 rh. Eastham asked if the City has acquired any land in the land banking program that would be relevant as they go into the CDBG/HOME funding cycle. Lehmann has no answer to that question. ADJOURNMENT Brouse moved to adjourn. Fixmer-Oraiz seconded. Passed 8-0 Housing and Community Development Commission December 20, 2018 Page 6 of 6 Housing and Community Development Commission Attendance Record Name Terms Exp. 7/10 9/20 10/11 11/15 12/20 Alter, Megan 7/1/21 X X X X X Brouse, Mitch 7/1/21 X X X X X Eastham, Charlie 7/1/20 X X X X X Fixmer-Oraiz, Vanessa 7/1/20 X O/E X X X Harms, Christine 7/1/19 X X X X X Lamkins, Bob 7/1/19 O/E O/E X O/E O/E McKinstry, John 7/1/17 X X X X X Padron, Maria 7/1/20 X X O/E O/E X Vaughan, Paula 7/1/19 X X X X X • Resigned from Commission Key-- X = Present O = Absent O/E = Absent/Excused --- = Vacant E E JE \\\\\\\\}\}\\\ilm glnoA , 0 m 0 0 v 0 0 0 0 LO LO Lo Lo LO LO N LO Jo} uolkDV pai!un algel 03 algel o 0 v Li 0 m v LOLMn asnoH aa3lagS coo 0 v 0 0 coo Lo LO LO weJBOJd AaeaonpV W11DIA adeb m 010 V 0 0 IT 0 0 M 0 N Ln co Ln IT LO Cl) LO sa7lAJas V Ln M, Ln v M Ln D) Ln co LO M u) M Ln M Ln leJolne4a8 apnlaJd Ja;UaD g}leaH M m O V V N O N O Aeo;InpVsAemg}ed imlLn v v Ln Ln Ln Ln LO LO Df }o sJaluaD poogJog42laN � LO rn LO m v 0 m 0 m 0) LO v Ln rn LO rn LO AlluewnH Jo} jej!geH AalleA emol I-- v N v r M N 0 M 0 co Ln N Ln N LO 00 IT �!u!IJ le3ua4/IealpaW v (0 v v LO m LO LO M aaJ j Al!:) emo! 0 0 v 0 0 LO LO Ln N Allunwwo:) AJkuab lno ap!su! v v v U) U) U) v Jf jo pun j 3snJl 8ulsnoH LO co LO LO v LO LO I-- LO I--r LO v Cl) Ln N Ln dV-JVH 00 0 m V m OD 0 m LU) 00 LO LO weJ2oJd gaunt aaJj 0 v v LO LO co NT 0 Cl) .Du! $aalAJas JaP13 Lm Ln V CO Lmn U) m N N weJBOJd UOI;UaAJaiUj aaualOIA allsawoo m 0 m 0 m v r v m Ln O co o co O Ln N Ln A}uno:) uosugor }o Ja}uaD SISIJD O (C) O (C) m V rn Lo 0 (C) m LO 0 (C) 0 CD 00 LW) a sJa}sls 919 / sJaq;oJB 919 M V, 0 V M 0 M Li) I-- LO m NT M Ln Ln emo! jseagjnos }0 7JV 0 0 v v 0 U) U ILCOOLO s J b Lo Lo v v INT U) mn L Lo � Y V IF � O fY0 ti II11111ii Z_ I_ O H Y yLL U v LL Q p m in W X ll E S J u cc G "d CL 3 m cc� C 0 0 0 0 0 0 0 0, 0 0 O O O O O O Ln O N 0 a 0 0 M 0 , 0 N O N U) I N o N o N M M n N O O O O O O O O O O O O O O O O M v O O O O 0 0 0 O O O O O w O O 0 o _ � _ 0 0 Lo Lo Lri v o N Lo O O O O O O O O O O O O O O O O v , O O O O O O O O O O O O rn 0 0 0 V 0 0 0 m 0 M o M v V o m If IT P. v Lo w 0 N O O O O O O O 0 0 0 0 0 [ O O O O O O O O O 0 0 0 U) 0 n 0 M OOOOOOOONOO O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O 0 0 0 0 0 Ln Lo N Ln C N LG O O O O O O O O O O O O O O O O In O 0 O 0 O O O O O O O O 0 O O 0 v Lo 0 o N Lo I Lo I Lo , Lo , Lo N Lo O O O O O O O O O O O O O O O O M v O 0 O 0 O O O O O O m O O O M m 0 M 0 , 0 N O V O M co I ui N Ln N Ln 0 v M O O O O 0 0 , 0 O O O O O O O O n O O Ln Ln Ln Ln Lo Ln c Ln N O O O O O O O O O O O O O O O O rn In 0 O 0 O O m O O O O O O M 0 O r 0 0 0 Lo Lo N Ln P- Ln O O O O O O O O O O O O, v 0 0 0 0 O O O O O O O O n O O Lo Ln Lo Lo Lo 0 O O 0 O O O O O O O 0 O O OOOOOO O OItOO m N, N, N ,, M N O O O O O O O O O O O O O O O O O N O O O O O O O O O O O O v 0 0 N to to to to Lo Lo Ln Ln Ln N Ln O O O O O O O O O O O O O O O O N w O O O O O O O O O O O O N 0 0 1 O O O O O O O O O O O O O O O O O O O O O O O O 0-0-0- O O O O O O r- O N to . to to Lo Lo LA LD C v C N O O O O O O O O O O O O O 0 O 0, v O 0 O 0 O O O O O O m O N O O M M O V In , O N O N N M r M N M 00 N O 0 O v O O O O O O O O O O O O O O O O , rn O 0 O 0 0 0 0 O O O 0 O 0 O O m N O V m N m N O M N M m V O M M M O 0 O v O O O O O O O In 0 0 00000 0 00w00 Lo Lo Lo Lo Lo 0 0 N Ln N N O 0 O 0 O 0 O 0 O 0 O v 0 0 0 o n o 0 Lo Lo Lo Lo Lo Ln O O N O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O c O N Oi i O N Y U p Z 1= y N c p t i La to Ly N Lu cn Z� p t E Y Y E pp "6 3 :a i N 7 6 em-I LL Q m W X LL S cu J G CL i ccy C Q w LL Kirk Lehmann From: Ronda Lipsius <icfreelunch@gmail.com> Sent: Monday, January 07, 2019 9:56 AM To: Kirk Lehmann Subject: Re: Legacy A2A Question Kirk, Jama and I are Co- Directors for Free Lunch. I am the Administrative Director and get paid for 10 hours per week. My duties are all financial, grant apps, meetings, attend events, create thank you letters, prep materials for board meetings, contracts with hacap, united way, city of la City etc. I am receiving the standard 2% cost of living raise. Jama is the meal and volunteer Director. She oversees all volunteers, open serving day meals, the kitchen and pantry. Jama's hours per week have been raised per week. She may be getting 20 hours per week this year- I can't say for sure - it's a personnel thing. I only oversee the custodial for personnel things. Jama is receiving a 2% cost of living raise as well. The difference is the number of hours Jama has been increased this year. Rest assured we aren't receiving huge raises! We both have to have other jobs to sustain our living-jama part time and me full time. Let me know if there are other questions, Ronda Sent from my iPhone On Jan 7, 2019, at 8:07 AM, Kirk Lehmann <Kirk-Lehmannpiowa-city.org> wrote: Hello Ronda, I received one more question from an HCDC Commissioner regarding your Legacy A2A application. It was noticed that the Executive Director got a salary increase of 28.75%. Could you please elaborate on the salary difference from FY18 to FY19? Let me know if you have any questions. Thanks, <image001.png> Kirk Lehmann Community Development Planner <image002.png><image003.png><image004.png><image005.png> Office:319-356-5247 410 E Washington St Iowa City, IA 52240 Disclaimer The information contained in this communication from the sender is confidential. It is intended solely for use by the recipient and others authorized to receive it. If you are not the recipient, you are hereby notified that any disclosure, copying, distribution or taking action in relation of the contents of this information is strictly prohibited and may be unlawful. Kirk Lehmann From: Kirk Lehmann Sent: Wednesday, January 02, 2019 11:40 AM To: 'becci.reedus@jccrisiscenter.org' Subject: Legacy A2A Question Hey Becci, I received one more question from an HCDC Commissioner regarding your Legacy A2A application: [The Commissioner] compared this year's salaries with last year's using the data the agency provided. The Executive Director got a salary increase of almost 15% (14.83% increase, from $82.139 to $94,350), and the Director of Development got a salary increase of almost 20% (19.92%). The ED is listed as the same person[, but not sure] if the DofD is a new hire or the same person from last year. The rest of the positions show much smaller salary increases (1% or 2%). Could you please elaborate on the salary differences from FY18 to FY19? Thanks, CITY OF IOWA C171r Kirk Lehmann Jt1ES000TY()F UTTR TtAL Community Development Planner Office: 319-356-5247 o o 410 E Washington St Iowa City, IA 52240 rVN the Crisis Center your first call m Johnson county January 9. 2019 Kirk Lehmann The Crisis Center of Johnson County 1121 Gilbert Ct Iowa City IA 52240-4528 www.jccrisiscenter.org Community Development Planner Iowa City, IA 52240 Kirk, I am responding to the questions asked by a commissioner: 24 Hour Crisis Line (319) 351-0140 Food Bank (319) 351-0128 Business Line (319) 351-2726 Fax (319) 351-4671 [The Commissioner] compared this year's salaries with last year's using the data the agency provided. The Executive Director got a salary increase of almost 15% (14.83% increase, from $82,139 to $94,350), and the Director of Development got a salary increase of almost 20% (19.92%). The ED is listed as the same person [but not sure] if the DoO is a new hire or the same person from last year. The rest of the positions show much smaller salary increases (1 % or 2516). The Executive Director got a salary increase of almost 15% (14.83% increase, from $82,139 to $94, 350) 1 am including a copy of our policy for executive compensation. I do not have input into setting my salary and feel that it is very inappropriate for the HCDC to ask me to defend it. I did not receive a 15% increase in one year. In June 2017, the board chair had neglected to review the executive director compensation and therefore, my compensation review was postponed for three months. The joint funding request was due August 17, 2017 and the compensation for Executive Director was voted on at the August 24, 2017 meeting. So the interpretation and subsequent communication of the data from the chart was wrong. The Director of Development got a salary increase of almost 20% (19.92%). The ED is listed as the same person [but not sure] if the DofD is a new hire or the same person from last year I review all salaries and may increase all salaries for a number of reasons such as performance, survey of salaries of other positions in our community, increased job responsibilities due to funding requirements; and even sometimes to retain employment of a valued employee. The position in question received increases because of a base increase, bonus and annual increase in salary. The rest of the positions show much smaller salary increases (1 % or 2%). The conclusions drawn and reported through this question were completely false. The data collection for this chart is not recorded in a way to draw conclusions as to salary increases as turnover is not reflected in the chart. I have been extremely proud of my administration of our salary program at the Crisis Center. I formalized the salary schedule for hiring which compensates individuals with experience and allows us to be competitive in our community for talent and experience. We have steadily increased our base rate for those employees we employ to answer our crisis line, text and chats. When Johnson County raised minimum wage to $10.10 an hour, we raised from $10.00 to $10.50. In July 2018, we raised the base rate to $12.50/hour. In addition to raising the base rate by 19% increase, this group rVN the Crisis Center your first ca It in Johnson county The Crisis Center of Johnson County 1121 Gilbert Ct Iowa City IA 52240-4528 www.jccrisiscenter.org 24 Hour Crisis Line (319) 351-0140 Food Bank (319) 351-0128 Business Line (319) 351-2726 Fax (319) 351-4671 of employees also received a 2% cost of living increase. Someone coming in at the base making 10.50/hour was raised to $12.75/hour with the base increase and cost of living adjustment which is a 22% increase. It is my intent to raise our direct service worker base rate to $15.00/hour by July 2020. Program coordinator level staff in our agency received base increases of $2,080 per year in addition to a 2% cost of living increase. Someone working at the base level of pay for a coordinators position received an 8% increase. Kirk, would you please see that I get documentation from the commission in how this information gathered from my agency, but not the others, will be used in the ranking and decision making process for funding. I would like to be present at the meeting where this information is discussed. Please let me know when that meeting will be held. Becci Reedus Executive Director The Crisis Center of Johnson County the Crisis Center 1121 Gilbert Court *Iowa City, IA 52240.(319) 351-2726 POLICY: 02.06.00.00 Executive Compensation Policy PURPOSE: To assure the Crisis Center of Johnson County retains high quality executive leadership by identifying compensation that is reasonable and not excessive, and also attractive enough to retain the best possible talent to lead the organization. POLICY: It is the policy of the Board of Directors that the compensation of the Executive Director shall be reviewed and established on an annual basis. The Board shall review and approve executive compensation, after a review of comparability data or other evidence that compensation is reasonable. A. The Executive Committee of the board is authorized to make recommendations to the Board regarding Executive Director compensation which may include bonuses based on performance. Executive Director bonuses in any fiscal year shall not exceed 5% of that person's salary for that fiscal year. B. The Executive Committee shall document who was involved in the process; that members were free from conflict and the process used to conduct the review. The documentation should demonstrate that the Executive Committee took the comparable data into consideration when it recommended the compensation C. The board shall document how it reached its decisions, including the data on which it relied, in minutes of the meeting during which the compensation was approved. Documentation will include: a) A description of the compensation and benefits and the date it was approved; b) The members of the board who were present during the discussion about compensation and benefits, and the results of the vote; c) A description of the comparability data relied upon and how the data was obtained; and d) Any actions taken (such as abstaining from discussion and vote) with respect to consideration of the compensation by anyone who is otherwise a member of the board but who had a conflict of interest with respect to the decision on the compensation and benefits. Approved: 06/18 New Form: 08/2009 Page 1 PROFORMA SPREAD SHEET Instructions for Completing This Attachment The Housing Application, as in the past, requires the developers of rental housing projects to complete and submit a proforma for the project being proposed. The purpose of this proforma is to help the Housing and Community Development Commission (HCDC) and staff to make informed decisions on the allocation of local HOME Investment Partnership and/or Community Development Block Grant funding. All applicants for rental housing (including rehabilitation projects) are required to complete the attached proforma. This form will provide HCDC with the needed information in a format that is uniform among all applicants. The following are instructions for completing this form and some basic "rules of thumb" for your consideration. This form allows for up to 20 years of information. If you have any questions about the form or need technical assistance please call Community Development staff at 356-5230. "'Fields shown in "grey" are for number entry when using the excel spreadsheet"' Revenues [After YR 1 a rent escalator of 2% is calculated in the spreadsheet which is consistent with the Fair Market Rent WMRI increases for Iowa City] Line 1 Gross Rent: Is the total amount of rent generated from the housing units, based on proposed rent levels (proposed rents may be less than FMRs but cannot exceed FMRs). Line 2 Other Income: Include laundry income, application or pet fees, and interest income. Line 3 Tenant Contributions: Include other payments such as rent for parking or storage space. Line 4 Gross Income: Is the sum of Lines 1 through 3. Line 5 Vacancy Loss: Line 1 multiplied by 5%. Line 6 Effective Gross Income: Line 4 minus Line 5. Operating Expenses [An inflation escalator of 3% is calculated in the spreadsheet] Line 7 Operating Expenses: Estimated insurance expense (estimate from an agent). Line 8 Operating Expenses: Repairs and Replacements ($230 - $390 per unit depending on building age). Line 9 Operating Expenses: Management Fee (usually 5 — 7% of Gross Rent). May not exceed 10% of Gross Rent. Line 10 Operating Expenses: Miscellaneous Expenses (legal, accounting, advertising, water\sewer, etc.). The total of lines #7-10 shall be no less than $2,850/unit. Line 11 Operating Expenses: Property Taxes (estimate may be obtained from the City Assessor's Office). Line 12 Operating Expenses: Reserves. Operating reserve no less than $350/unit. If new construction, include a rent -up reserve for Year 1 of gross monthly rent for all units x 3 months) Line 13 Total Operating Expenses: Is the sum of Lines 7 through 12. Net Operating Income Line 14 Net Operating Income: Is Line 6 minus Line 13. Debt Service [list mortgage payments for principal and interest only] Line 15 Debt Service for V Mortgage. Line 16 Debt Service for 2' Mortgage(s) (include the total payments for all junior mortgages on this line). Line 17 Total Debt Service: Is the sum of Lines 15 and 16 (should not be less than 87% of Line 14). Cash Flow Available for Distribution Line 18 Cash Flow: Equals Line 14 minus Line 17. Equity Investment Line 18B is the amount of funds being invested in the project by the project developer\sponsor. This does not include the equity raised through the sale of Low Income Housing Tax Credits as they are accounted for on Line 33. Cash on Cash Return on Investment [shows return to developer or investors on their equity contribution before taxes or tax credits are included] Line 19 Cash on Cash ROI: Equals Line 18 divided by equity investment as shown on the application. Debt Coverage Ratio Debt Coverage Ratio (DCR): ratio of estimated net operating income to debt service. Line 14 divided by line 17. After year 3, DCR shall be no less than 1.20 during the affordability period. Encourage 1.20-1.50. Determining Taxes Line 20 Cash Flow: Carry over the figure from Line 18. Line 21 Depreciation Expenses: Annual depreciation of property (27.5 year straight-line schedule). Line 22 Amortization of Fees: Annual amortization of project fees (15-year straight-line schedule). Line 23 Principal Payments: Calculate the amount of principal paid on all loans for each year. Line 24 Reserves: Carry over the figure from Line 12. Earnings (Loss) Before Taxes Taxes Line 25 Earnings Before Tax: Equals (Line 20 minus Lines 21 and 22) plus Lines 23 and 24. Line 26 Tax Rate: Use a 35% tax rate on for -profit organizations and non -profits use 0%. Line 27 Taxes Incurred (Saved): Equals Line 25 multiplied by Line 26. Cash Flow After -Tax Line 28 Cash Flow: Carry over figure from Line 20. Line 29 Taxes Incurred (Saved): Carry over figure from Line 27. Line 30 Cash Flow After-tax: Equals Line 28 minus Line 29. Total Bene£t Analysis Line 31 Cash Flow After-tax: Carry over figure from Line 30. Line 32 Rehabilitation Tax Credits: Calculate full value of rehab tax credits. Line 33 Low Income Housing Tax Credits: Calculate full value of LIHTC annually for each of the 1 �,10 years. Line 34 Net Sale Proceeds: In year 20, calculate the estimated future market value of the property by taking the total cost of the project as presented in this application and compound it by 2% for each year. Place this amount on line 34. Line 35 Net Cash Flow After-tax: Equals the sum of Lines 31 through 34. 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