 for three projects which resulted in a total of 1.4 million in requests and that represents about 217 affordable units almost evenly split between new construction and rehabilitation and all of the projects are rental projects this time around. So our first presenter is for the Christmas to apartments and we have Danny with MGL and then Lisa also with Longmont Housing Authority. So I will let you guys take it away. Hey thank you so much Molly thank you Ken for putting this together. Can everyone hear me okay? Okay great um well if you wouldn't mind throwing up my PowerPoint I figured we you know it's nice I'm sure you like looking at me but maybe pictures of the property would be better. So let's look at that and then I will ask you Ali Berto maybe to just advance the slides if that's okay. Yeah I can do that. Okay wonderful. Yeah we're good we're good. Okay great um well thank you again so much for having us um I'm Danny Vachon I'm a development manager with MGL partners um Ali Berto you can go ahead and advance the slide those are just some images of some recent developments of ours you can go ahead and advance the slide once more I'm just going to share a little bit about our company go ahead and advance great um so MGL is a Denver based developer we're focused in Colorado um we've developed over 800 million dollars worth of property across all multifamily rental sectors so affordable housing workforce housing class A or luxury housing senior independent living assisted living and memory care we've been in the business for over 16 years I've been with the company for about two and a half and before then I was working in Boulder County um with Boulder housing partners doing their development go ahead and advance the slide so this is just an overview of our different business lines and kind of how they break up between the affordable workforce market rate if you will and senior housing um of the 42 percent of the affordable housing work that we've done it's sort of split between work that we've done as development by ourselves which is what i'm presenting to you tonight chrisman too and then work that we've done as a financial or development consultant so you I've come to you in the past two years for cinnamon park apartments where we are working on behalf of senior housing options um we provide all kinds of different services as far as the affordable housing consulting services for you know property giving expertise on tax exempt bonds long-come housing tax credits historic tax credits grants cash flow loans subordinate debt land leases and then construction and perm debt go ahead and advance the slide so here's our resume snapshot um specifically to longmont mgl in partnership with the longmont housing authority delivered 114 units in 2018 at chrisman one apartments um chrisman has been extremely successful over the past several years and has maintained a 97 to 99 occupancy even throughout the pandemic um most recently two weeks ago we closed on cinnamon park apartments construction is already underway um and i want to uh thank you very much to this group for for funding that project and giving even more funds over the course of the project um as we were dealing with some construction cost escalation issues uh we absolutely couldn't do it without you and i'm i'm i'm thrilled to tell you that we crossed the finish line and we are starting construction so that should be delivered 25 senior affordable units in spring 2022 um go ahead and advance the slide so here are just some pictures of chrisman apartments this is the first phase and what i'll be what i'm asking for tonight is funding for the second phase so it was 114 units of affordable i'll note that it was only one and two bedroom units um chrisman two we will be offering three bedroom units about 26 million in total development costs three story wood frame walk-ups no elevators but uh and surface parking and it's it's well parked we have had um people go out and count for us and there's significant there's you know between five and ten spaces that are free on an average weekday night so we're not spilling out into the neighborhood it was appropriately parked go and advance the slide here's an aerial view of chrisman uh chrisman apartments and that the green that you're seeing in the the forefront of the photo is where chrisman two will be advance the slide here is an image of our exercise room i just wanted to give a little taste of what it looks like so we will also have an exercise room that chrisman two they're very well utilized please advance the slide and this is just a rendering of cinnamon park apartments to give you a little taste of what that's going to look like again 25 units of affordable senior housing about a nine point two million dollar total cost two story wood frame this one with an elevator as it's serving seniors and surface parking please advance the slide and here is um you can see to the right hand side here where it's the proposed two-story building that's currently a vacant lot the other two buildings exist as assisted living right now owned by senior housing options so this will be a wonderful addition into the neighborhood to kind of fill out the neighborhood please advance the slide so now i'm getting to our request to you tonight chrisman two apartments it is a by right project at 83 units it's going to be 100 percent affordable family housing just like chrisman one 36 one bedrooms 38 two bedrooms and then nine of those three bedroom units that were not offered but are often requested at chrisman one at the at the request of longmont housing authority and the city of longmont we have increased the number of accessible units from five which is five percent to 10 percent so a total nine accessible units will be available and then another two units will be hearing and vision impaired so the demand you know it's really interesting we are proposing to do an average income project and for those who don't know what that is the irs agreed to allow low income housing tax tax credit projects to to provide housing up to 80 percent of the area median income however the caveat is that the entire project has to average to 60 of am i or below so right now in the greater longmont primary market area there aren't any units that have de-restrictions at 70 or 80 percent of am i so this project will offer both and across that entire primary market area as well there are only 18 units at 30 percent of am i this project will offer nine more units at 30 percent of am i which is pretty significant um there were a significant number of units at 60 percent of am i so we um while talking with the longmont housing authority and chaffa we agreed to lower that number and kind of do the barbell approach some more 70s and 80s 50s 40s 30s so we are only offering four units at 60 percent of am i um but 59 percent of the overall units are at 50 percent of am i are below which is uh the majority of people looking for affordable housing um 3.4 acres directly north that phase one chrisman phase one on ute highway but with the buffer off the highway um there will also be a fence between the apartment and ute highway just for safety concerns um and it's in a qualified census tract which gives us a 30 equity basis boost when we're requesting low-income housing tax credits please advance the slide here's an aerial rendering of what the second phase will look like so it's going to be four different buildings and the top of the picture is sort of looking north i'm sorry it's sort of looking southeast so you can sort of tell the murphy's gas station uh between the main street and the project and then this kind of buffer zone out to the to the north um as you're looking toward ute highway next slide please and here's a little bit more of a view of the project from the exterior um it's going to have balconies very similar to phase one a little bit of a different roof line it's going to have a bit of a pitched roof that is a cost-saving feature that we determined after speaking with our general contractor and our architect um but other than that it's very similar in all of its features to chrisman one please advance the slide so now i'm just going to touch briefly on mgl and lha's unique partnership so chrisman one apartments um we partnered with longmont housing authority as a special limited partner they received a split of the developer fee and are continuously receiving a split of the cash flow and the developer fee um they will take over management and ownership of chrisman one and that was part of our negotiation with chrisman two we want them to we want lha to take over ownership and management at the same time for both so lha agreed to extend that ownership takeover chrisman one so it's the same time as chrisman two we expect that to be in 2028 so our agreement with chrisman two um with our partnership so what happened when we finished chrisman one is we reached out to longmont housing authority and we said listen there's this land just to the north we don't have it under control but it's available it's on the market and at that time there was some transition going on at the longmont housing authority and they determined that it was not the best time for them to move forward with another development project so fast forward to the beginning of 2021 longmont housing authority reached out to mgl and said now is a better time we went ahead and uh uh spoke to the broker and the owner of that parcel and got it under contract so that's where we're at right now we went in for a uh we went in for a non-competitive chaffa application together on may 1st and we were awarded um competitive bond cap from chaffa and we will be receiving our non-competitive award of tax credits imminently um we together we determined that it was the best course of action to go forward with a 4% non-competitive application to chaffa due to the high risk of not getting an award in the state tax credit round which is annually every august um longmont decided that they wanted the delivery of units before then and in exchange they were helping us they will help us kind of cover that gap that the state tax credit would typically fund so that's where we're kind of at today like i mentioned before we have that coterminus exit date for the ownership and management we expect that to be about four years after chrisman 2 stabilizes again just like chrisman 1 lha will have this a significant share of both the developer fee and the cash flow of the project and lha has because we're getting in at the very beginning here they have a lot of influence over the design the unit mix and the am i level served please advance the slide so lastly i'm going to talk about our specific request so we have requested $950,000 and it's split between $600,000 in affordable housing funds and 350,000 of cdbg funds um if you can see off to the right when i originally went into chaffa with our application we said that we thought we might be able to we thought we might need 1.2 million from longwood housing authority this number is a number that i will get into but we expect over time that pricing will kind of level out on the construction pricing right now we have a construction escalation line item in our development budget we hope that we don't need to use all that we hope that lumber pricing and other kind of commodity pricing will just level out in the next several months as everything starts opening back up after covid um the other thing is corporate tax liabilities have been very low over the past year and a half due to the pandemic and that has put pressure down and decreased um the demand for low-income housing tax credits from large corporations so they have you know taken down the price because it's not as nearly in high demand so one we expect construction costs to kind of start um you know at least plateauing and then we believe that our um our tax credit pricing will increase over time we also think that rents will increase we were very conservative on our rents so we also hope that those increase lastly um it's possible that the longwood housing authority will have vouchers that they are able to put on this project which would also help with cash flow and decreasing our overall ask for funding um let's see what else do I have on here uh the other very important thing to note is that um because we are building phase one and phase two they're side by side projects there's a lot of efficiencies that we can realize mainly in our property management and maintenance budgets but also in kind of the sharing of outdoor amenity space and parking if need be um I don't think that that will be an issue as of what I said before um but it really is an opportunity to kind of have some efficiencies and please advance the slide and this is just my contact information um and I'll open it up for questions thanks Danny are there questions from staff or board members Graham hi thank you Danny for your time and presentation um I guess I'm a little confused about the cash flow repayment of the 600 000 um particularly especially given that longmont housing authority will be an owner you said 2028 and based on your construction schedule you think units will be available 2024 so is the idea that if it all works out according to your your budgeting the cash flow would happen and you would repay to your longmont in that four years before housing authority absorbed it no it would be a long-term cash flow note so it would just be paid it would be absorbed by the new ownership along my housing authority and they would just continue to pay the cash flow note unless they unless Kathy you have a different idea but I was assuming it would just be continuously paid through the cash flow um just the same it was originally um underwritten okay thank you other questions and I'm sure this is Brian may ask a question sure go ahead all right thank you uh Danny thank you so much for the presentation and I'm sorry that I couldn't see the visuals um can you I'm not familiar with your organization could you speak a little bit to the the way that low-income housing fits into your mission as a an organization that and as a developer of course so um MGL partners is uh made of Mike Gerber Greg Glade and Lisa Mullins they were all partners together at a firm called Black Creek in Denver doing high-end market rate development and about 16 years ago they decided that they wanted to have more of a mission-based company however they still wanted to be a for-profit entity so they they started MGL partners and I would say for the first several years of our existence we only did affordable housing um now we have kind of um so over those 16 years different opportunities have arisen and and different investors have come on board and so we've kind of branched out to the several different um kinds of rental multifamily so the market rate the workforce housing and the senior living but right now about 42 percent of our entire portfolio is affordable housing so we really focus on developing li-tech housing um currently we have about seven different projects that we are are in various different um stages of development uh and under construction and that ranges from new construction all the way to deep renovation um and then we also work in capacity as a and that those are not just as MGL as the developer we are developers but then we also work as a development consultant and a financial consultant for nonprofits and housing authorities that is the lion's share of our affordable housing business so the the seven projects going right now are a combination of MGL on properties as well as um properties that we're working as a development consultant on that's very helpful thank you of course kathy i think you might have had a question or a comment uh danny when you said that the um christman one is well parked did you get a parking reduction for that at all or does it just make me do it i think it met code okay but we had the property manager go out i think it was about a month ago and count on a week night and there were between five and ten spaces open over the course of i think like two different nights that she counted so that's what makes sense to me but um there's some studies going on and some thought processes that not as much parking is needed in an affordable project which i probably would agree with for a senior project but not so much for families so i just was wondering what the and we can check that out too and find out if you got the reduction or if some kind of averaging or whatever happened with that yeah i don't i don't think that we did i think that that was sort of a negotiation with the neighborhood at the time but we would not be asking for a reduction in this instance i believe because of the level of affordability and the number of units below 50 percent at 50 percent or below we are i think we're exceeding parking um the beauty of exceeding parking on this kind of a property is there are spaces that can be turned into garden beds uh raised garden beds or other kind of useful meaningful outdoor space afterward but i will say that just due to the nature of the location in very north longmont i think a lot of the families might be commuting to their jobs elsewhere in bolder county or or nor in weld thank you any other questions yes hi good evening everyone i would just like to know if i could get a copy of the presentation yeah we've got that we can send that out back when that is stupid thank you welcome all right thank you so much janny if there aren't any other questions and i think we have another presentation is that right oh yes graham uh just one quick question um how is the longmont housing authority to work with compared to dember um similar to dember housing authority yeah um i personally have not worked with dha in a long time in a partnership capacity um i would say longmont housing authority is much smaller there's a lot less red tape um we seem very amenable to kind of working together um i think we put together a very successful partnership on christman one um i'm excited for them to take over and i'm thrilled that they are willing to be lockstep with us to put christman two on out on the market so good cool thank you i would add that the only reason we really considered an income averaged project like this because we have not done one of these before is because lisa our new um regional property manager at longmont housing authority said they do them all the time and where she came from in nevada so she was well used to them and knew how to make sure everything was in compliance once we take over um and that it's a piece of cake i think was her her wording so it's a new venture all the way around i'll add one quick thing about the average income i want to make sure everyone knows that we have underwritten that 70 and 80 percent am i rents much lower than 70 and 80 percent because those are typically more at market right now we want to give future residents the ability to make more income to still qualify but still have an affordable rent so that has been taken into consideration so katelin this is karen so i don't know uh lisa do you have anything you want to add you want to say hello no i think gany's covered everything we're just very excited to enter into another partnership and eventually take over management of both christman one and two all right great thanks lisa just housekeeping do you need me to stay on for future questions or do you want to send me an email i'm just going to be around or is my portion done um i would say it's up to you if you want to hang out otherwise i you do not have to if there's anything that's significant that we need to get from you i will email or we will just check in tomorrow or monday okay great thank you so much everyone go abs yes thanks danny i good for you rude amon all right uh karen i'll turn it back to you we can turn it back to molly okay all right sorry the next presenter is um from stona hedge apartments we have nicole erin and ricky here this is the one rehabilitation project that we have so i will let them give us an overview good evening thanks so much for uh for hosting this molly and karen i know we've gone back and forth a little bit about this project but we we were interested in putting in an application for stonehead departments specifically because um in the in in the past we had tried to get the windows and the sliding glass doors replaced at this property through a partnership with energy outreach colorado and what we found was that the the energy efficiency improvements were just shy of what we needed to qualify through that initiative so because these funds are available for affordable housing communities specifically we wanted to get our hat in the ring here so um we have ricky nicole and myself i'm an asset manager with capital realty group capital realty group is the owner and manager of a property management company for stone hedge apartments um capital realty purchases property in 2012 and it's a wonderful stable affordable community we are engaged in a 20-year hop contract with the department of housing and urban development and this property is 100 project based section 8 so 100 affordable here um i want to look at me have our pdf up i'm going to have ricky start by just talking a little bit about the property and then we'll we'll circle back to capital realty group and sort of our our portfolio wide initiatives that we've done and other partnerships that we've had with with government agencies for upgrades and rehabs if you can advance that slide for us thank you thank you good afternoon my name is ricky garcia i am the property manager here for stone hedge apartments um and just gonna gonna give you guys a little property history on us we were built back in 1976 so we've you know we've been here in longmont for a very very long time we currently have 114 units 113 of those are four are all occupied one of those units is a substation for the police all our units are we have one two three and four bedroom 12 one bedroom 72 bedroom 28 three bedroom and four four bedroom um overall footage uh i got it wrong on the on this presentation here it's actually going to be about 297 000 square feet um and if you can please advance the slide for me please these are just some quick pictures of you know what the inside of our units look like you know as i said they're a town host town home style so i've got the bottom floor living room kitchen and then of course uh you know you go upstairs you got your two bedrooms and your restroom if you could advance the slide um so we are like i said before we are a sectionate community um subsidized so we do everything in-house we go off the 30 of income um and you know all our units are there for uh you know any and all qualifying um applicants you know we uh we have two onsite laundry um we have this little picnic or this little playground area that we uh brought in i want to say it was 2016 2018 erin actually it was 2019 and it was a brand new replacement yeah yep so we just put that in um and uh yeah we you know we're we're excited i we're excited to start this project and get these uh windows and sliding doors replaced uh i believe the windows have been in here since the the these these apartments were installed so um it's it's a long time in the making and um one thing i forgot to mention is you know we uh you know we we just we're excited we're excited to hopefully get this going and and bring this bring this new light to this this growing community that's that's been here for a very long time that has improved in in many many positive ways and um so thank you guys um then you can go ahead and advance the slide again this is just another picture of you know the substation that we have here entrance um and then erin i will let you take it on over sure so and with capital realty group we own about 15 000 units across the country 100 percent of our portfolio uh is affordable um all of our properties are involved in at least one layer of affordability if not um you know section eight and li-tech combined or a section you know 202 crack things like that as well so that is our entire mission we we've been in business since 1990 and uh it's been a really good a really very very successful ride when i started with them about eight years ago they only had about 24 properties and they've really become a big player in the affordable housing market um specifically because of their investment in the communities that they serve so in this case um you know one of the reasons why we wanted to come to the city to appeal for funds for this project is specifically because the residents uh pay the utility costs here so in 2017 we had done an extensive survey with the energy outreach colorado and a couple of other um rebate consultant agencies as well just to see what our options were and we ended up moving forward with a couple of great incentives we did exterior lighting upgrades interior lighting upgrades throughout the community as well as added insulation in the attic units but company-wide we work with local governments and energy efficiency utility companies and so on very very frequently all the time um and then for right now we own a senior facility affordable called tower at spear um that's 172 units that serve seniors and disabled folks and we are right now in the very final stage we're actually waiting for the very final inspection on a project to replace the entire boiler system upgrade the lighting inside and outside a bunch of other um H back upgrades as well there uh all all in this partnership between energy outreach colorado as well as the city of denver and um the department of energy uh so this is something that we you know kind of our bread and butter we were very surprised to hear that at stone hedge the windows and sliding glass doors didn't quite fit into the metric to get this approved in when we did that survey however we think that the benefits of this work is going to enormously benefit our residents as I said the residents are responsible for paying the electric utility here and although the the rent is offset by that utility allowance of course we still know that if we can increase the energy efficiency of the windows and sliding glass doors it's going to lower that utility bill for them which you know we hear is a big priority from our residents so with all of that in mind um obviously this is a much more straightforward request than um the other two uh new construction projects but i'll open it up for questions about about stonehenge or capital or anything else great thanks erin gram i see a hand i'm virtual hand thank you um yeah thank you uh erin and ricky i'm curious to understand your um the organizations for this this property prudent reserve or maintenance funds do you set aside money every year for these kinds of improvements yeah we do um we utilize those the the reserve funds and i had actually sent molly i think it was a little bit late in the afternoon here so i don't know if she had a chance to review what i had attached but we sent her our most recent reserve draw so you see that that money is being utilized pretty regularly we do you know quarterly draws on that um we invest pretty heavily in the community so unfortunately you know this is this is outside of the um standard r and r that we might have in that in that balance and do you have proposals from contractors to do the work and provide the windows yeah we do um i had sent a couple of pretty outdated ones just from the last time that we looked into this option um but but yes we have partnerships with national window suppliers to make this process quite easy unless you know because many times when we work with local agencies one of the requirements is that we use a network of preferred vendors which is perfectly fine as well in this case i think that's pretty from what i'm understanding that's pretty open-ended which is good thank you um i have a question erin so um those bids are from 2016 um and it looks like the request for funding is sort of at the high end of what the bids were um what is the plan if the current costs for doing that actually you know exceeds this grant money um what what commitment does um you know the management company have for um making up any additional costs yeah great question i spoke with the owners about this directly so of course as you know dany was talking about in the previous presentation material costs and the variability there on those costs is a huge factor right now i also share the optimism that those commodity costs will lower will stabilize um i spoke with the owner about this you know obviously when we're requesting funding we're basing it off of the estimates that we can produce at that very moment the window from when we were notified of the funding to the application deadline was a little bit too small for us to squeeze and getting additional bids but we're happy to do so um here now um the owner is perfectly comfortable with with an owner contribution here because he also sees the value of getting this done is there any maximum owner contribution that you would expect to have no he takes the he takes you know if if there's a partnership in place there's certainly an incentive for him to come you know come to the table ryan nice to see your face you're very kind thank you um erin quick question i noticed on the the slide that talked about the inspections that the um the the language was familiar to me in terms of trying to position something that could be misunderstood in the light that you wanted to so my question is in terms of inspections in these kinds of units do you run into particular challenges with the perception that they're inequitable that they're targeted that anything like that or are these just really routine and your your tenants widely accept them oh yeah our our tenants yeah this this our tenants are very wonderful here but actually what that was referring to is our obligation to the HUD inspections that we have through as an obligation to the HAP contract specifically for the react inspections that occur here one of the findings that the the inspectors have during those those reacts is when the seal breaks on windows and signing last doors if there's a condensation build up or evidence of condensation build up in those pains um that can be a major point deduction so i wanted to just simply kind of speak to that just a hair just to mention that yes there is a benefit to the owner here uh the benefit is that you know it it solves a problem with those react inspections uh but i really do feel that the biggest benefit is to the residents with the reduction in that utility cost thank you um do you have an estimate of um the rough uh impact on those utility costs for residents you know what i don't i'm sure that i can get one for us i'm sure i can get one for us i've done that in the past um just based off of the specs you know of what what they'd be fighting on installing are there other questions or comments from folks kathy so capital realty group is a for-profit or a non-profit is it more like um MGO or it's a for-profit developer they're not they're no developers they purchase established assets many times they focus on distressed or neglected assets is kind of their bread and butter um we have a you know it's been a very successful model they purchase properties and manage simultaneously so there's no third party management contract um the biggest benefits and the owner's mind of doing it that way is that there is a direct connection between the ownership and the property operations so very successful model they are a for-profit entity but 100 of their portfolio is engaged in those half contracts um around the country okay um and then on our staff analysis under accessibility it shows 113 units are all 113 fully ADA accessible or how many do you have no i apologize for the confusion on that so the only none of the units would would qualify for the modern ADA definition of accessibility within the unit but we do have 12 one bedroom apartments six of which are on the first floor um so we have made modifications to those apartments as requested some of them are have more accessibility features than others but truly only six of them can even have the possibility to follow in that classification other questions from folks thank you Erin and Ricky and Malia we'll turn it back to you for our next presentation and then Nicole Nicole was on here too we didn't really get to Nicole do you want to say anything or you know what if I if I can mention Nicole and the on-site property manager there for the last four years she recently got promoted out of her role she's now playing a compliance role within the company so she wanted to be involved because uh of course the blood sweat and tear that's don't hedge myself as well I'm sorry Nicole you didn't have a opportunity to say a whole lot but that's okay I'm happy to be here you know stone hedges my baby and I want to see it 16th so I'm here for moral support today I guess good job guys thanks all very much we appreciate it okay so Nicole and Erin and Ricky you can leave the building unless you're dying to stay and then we'll move on to the next presentation thank you very much thanks so much good night thank you so our last presentation is um from sunset element for their sunset heights project which is over um near the suites and it'll be new construction and I know that Kevin is here and Scott and Chris so guys can go ahead and and Catherine was on early so um hopefully she she comes back she said she'd be back at 745 so I'll watch for her too Kevin you're on mute oh um Catherine just said that she's in the waiting room is there somebody were you able to let her in I am right now okay and I think we've got a shared screen that's working maybe as expected I'm not sure might be might be working too well so let's just give Kevin a second to organize himself okay sorry Kevin we still can't hear you and it doesn't look like you're muted Kevin so it might just have the wrong microphone on for your audio okay how about that one we can hear you good sorry about that let's get moving I'm Kevin nap and this is a presentation for sunset heights I'd like to start with a quick overview of the project sunset heights is designed to be a permanent supportive housing community for individuals that have experienced homelessness the latest iteration of the design includes 55 one-bedroom apartments with both indoor and outdoor community spaces for residents and staff we are partnered with many on the project including the Boulder shelter for the homeless will be the lead services provider the Longmont housing authority will be the property manager and the city of Longmont who's provided a subsidized option agreements to the land along with LHA the project began as a partnership between element properties and the Boulder shelter with the belief in their housing first approach nearly three years after we started down this road the need for the project is greater than ever over the last year alone 1050 people were screened through both their county's coordinated entry system the pandemic and growing local housing crisis has created a greater need for the project sunset heights will provide the deepest affordability for the lowest incomes in our community having now been through two nine percent application rounds we're looking for looking to strengthen the project before resubmitting in 2022 we believe the best way to strengthen the project and our application is to complete the local approval process in the second half of this year we started with the modest request of $100,000 and we stretched those dollars to get us through the first two tax credit applications the $150,000 we're asking for this evening will allow for the design and engineering work necessary to complete the project entitlements to quickly summarize the demand for the project is greater than ever the ability to proceed with the local project approval will strengthen the project's next tax credit application and a fully entitled project will be shovel writing in chaff's view it's very important given the volatile construction prices that I know the other groups we're talking about and some of the pushback that other PSH projects have received so as I mentioned we have our full team here tonight Scott Holton Chris Jacobs and Catherine Bean are my partners and co-presenters who have also been working with me on the project for the last few years so why sunset heights the recent update is that since the sunset heights application was unsuccessful in the 2021 nine percent tax credit around disappointing result that we're spending much of 2020 advancing the project we worked really hard to bring down costs after the previous nine percent round when we received the feedback that the project was too expensive that resulted in aggregate project costs dropping by a half million dollars what the project actually grew by five units we actually picked up the building and moved it on the site which created a substantial amount of savings this year's feedback received from chaffa was that there wasn't anything wrong with the project and they encouraged us to return for another application round however chaffa's tax credit allocation committee did emphasize that they highly value shovel writing projects an indication that the project would be more competitive if it was entitled our project vision remains the same we're committed to delivering the project and committed to the belief that the best way to solve homelessness is with housing as I mentioned earlier our request is for 150 thousand dollars of pre-development funding to allow us to further the design and engineering work necessary to complete the project approval with the city's planning and development department the intent of doing that is being able to tell chaffa in the next tax credit application round that the project truly is shovel ready and if we receive an award we'll be ready to go thanks kevin so just a little bit more background on the project history I know that all the members of the board here were present when we started this project but sunset heights history is now three years in the making in 2018 we forged this innovative partnership with the boulder shelter it was really a pitch to their board between myself and kevin that element was able to sign an agreement for partnership with the shelter and we were on our way to work together with them to pursue ways to house people experiencing homelessness in boulder county and shortly thereafter we were able to secure sites in both longmont and boulder for permanent supportive housing indeed in 2019 we were grateful to the city of longmont and lha to help us with an option for the subject property located next to the suites which has excellent attributes for housing project of this type we were also grateful as kevin mentioned and I'm sure as you all know to be recipients of a hundred thousand dollar funding from this board to help get the project on its feet since then the housing crisis has only deepened and current covid has further disenfranchised the most vulnerable in our communities in light of these evolving circumstances I think we're fortunate that the community has had the sunset heights project already in process with as kevin mentioned two tax credit rounds of applications under a belt for those of you not familiar with kind of how this works it is indeed a marathon not a sprint and it is typical for three or four rounds of applications before a successful ward for a project as mentioned by kevin we have one main goal for this project which is between now and next February when there's another opportunity to apply for tax credits which is to further develop our plans obtain full building permits and demonstrate the choppa that will be as ready as possible to begin construction once approved for tax credits next slide please so our request tonight is for an additional hundred fifty thousand dollars and a promise to you that we will continue to try to do more with less while we were able to stretch that initial one hundred thousand dollars that we were awarded in 2019 to cover initial site due to urgent costs about a third of our ultimate architectural and engineering costs two market studies and two rounds of choppa application fees we have budgeted for more detailed and costly architecture and engineering work to get the final permit and to have ample budget to make at least two more nine percent application rounds in 2022 and 23 respectively as i mentioned it's a marathon and not a sprint we have contributed for ourselves hundreds of our own hours weekend and week out over the last couple years to bring this project from aspiration to reality for this community and we are ready to roll up our sleeves further it goes without saying but it's still worth mentioning that either element nor any of us individually has earned any compensation for this project in any way but the project needs this additional funding to help us get to the finish line and ensure that choppa tax credit allocator see that we are ready and committed thank you thanks scott so thinking about design extensive thought has been put into the design and the services at sunset heights to ensure it meets the residents needs sunset heights brings together colorado's most accomplished professionals in designing supportive housing included on the team are shop works architecture and bow Simone consulting each are among the country's leaders in designing housing for those who have experienced trauma and their expertise shows through in the building design as well as in the resident service programming additionally as kevin mentioned sunset heights will enjoy the expertise of an experienced operating team long mind housing authority will be our property manager and the boulder shelter will be the lead services provider just to put it all together all staff at sunset heights will receive extensive training from both Simone consulting we're certainly excited to have what feels like a dream team for sunset heights depicted in the uh graphic on the right all aspects of the project are designed to give residents the foresees choice control comfort and community best practices and permanent supportive housing and trauma informed design have been incorporated into every aspect of the project to serve future residents and we believe sunset heights will be a project that one month will be proud to have in their community on the next slide just some examples of affordable housing communities that element has developed each of us on the team here had affordable housing experience prior to joining element it's a passion of ours and we've worked diligently together to create long-term affordable housing options in our community the first one pictured there is nest communities we've converted in existing 238 unit portfolio across several buildings from market rate into permanently affordable apartments using tax credits and in partnership with the city of boulder spark west is a new construction affordable housing community that includes 45 townhomes and flats also funded with tax credits and city of boulder funding the next one is cclo which is a new construction mixed use development that included 38 permanently affordable apartments uh cclo was built in partnership with boulder housing partners and was funded with tax credits and finally up here we have trinity commons which is a mixed use development that included meeting space for trinity lutheran church a city of boulder owned parking garage and 15 senior affordable apartments element is extremely excited to bring our experience our passion and our energy to sunset heights next kathryn i'll hand it off to you for community collaboration thanks chris good evening to all of you and thank you so much for taking the time to meet with us we really appreciate it in our experience all successful projects rely on great partnerships we intentionally built the best team for a brand new permanent supportive housing project in longmont the shelter will be the service provider they have an excellent statewide reputation based on results with this community the city of longmont has provided pre-development funds and the land lha has provided the land and will service the property manager going forward boulder county is providing funding that will be available at tax credit closing so we can access it for these important pre-development uh this important pre-development work and as chris mentioned the consultants and design team they are the best in the business we are proud to be working with them and excited to create a wonderful project for longmont and our entire team and element is working on this project it's extremely important to us as individuals as well as our company as a whole we've seen some results come to fruition from having such a strong team throughout all the public meetings and outreach we've already done we've encountered only support from the community we thank the city and lha for their support to date and we look forward to continuing to strengthen our relationship and i'll wrap with the three key reasons we're asking for these funds one the need for housing the homeless is greater than ever especially considering the impacts of covid two we need to move the project forward by obtaining permits which is an expensive process and three by obtaining permits the project will be more competitive in chap's eyes this is a really difficult project and some funding support from longmont will give it a fighting chance we welcome your questions now thank you excuse me any questions or comments from folks board or staff did you want to go ahead and take down your um slide presentation your thank you absolutely so did everyone notice that kevin's um background is sunset heights we'd like to improve the rendering that is very sharp thank you yes brian thank you madam chair um just a couple questions i'm familiar with element um just in terms of seeing different projects around town and you really do some beautiful development uh so one i have two questions one which is um given your luxury kind of development experience how have you applied that towards these affordable housing units has there has there been a crossover do you approach them differently and then the second question is are these units fulfilling your requirement as a developer to meet low-income housing uh and and that is not a question intended to be prejudicial i'm just trying to understand the context of it i'm having a great question please have to you yeah everybody at once i think i can tackle the second part really quickly no this isn't uh meeting a requirement affordable housing projects are important to our entire team all four of us have backgrounds in affordable housing we care about what it it does for our community and the vibrancy that it that it brings so um um this is this is a part of our business um over half of our our company's work in the last five years has been affordable housing so um i'd say it's just as much of who we are as some of the luxury work and then in regards to what lessons do we bring from um some of our higher end town home projects and and that sort of thing we care a lot about design and we also know that something doesn't have to be expensive just to be beautiful um i think everyone here knows that getting a project done on budget any construction project can be difficult and so those best practices of of managing a project tightly whether it's a larger budget at the outset or a smaller one but managing a budget well managing a contractor well hiring the right team um working diligently to make sure that what the vision everyone has in our minds at the outset comes to fruition are our practices that we take across our entire company's portfolio that's great thank you captain i'd love to add one thing if i could brian um and i really appreciate the question um we've actually done more affordable housing than we have of other types of housing um you use the word luxury we actually certainly they don't use that word because we feel like it's divisive and we feel like you know the words are really important around you know the type of properties that we develop and how we communicate the purpose of those projects to the community um just as an example um for some of the buildings that we managed that we own um about 10 years ago we uh stopped using the word tenants and we switched exclusively using the word residents and we just felt like that gave everybody who lived in the building a greater sense of ownership we stopped calling um you know apartment um residences we stopped calling them units and we started calling them homes and residences and we just we really learned a lot um just with that diverse type of housing that we did whether it was you know um helping somebody you know buying a retirement townhome that was you know downtown and walkable and had very nice finishes yes many people will call it luxury and that's fine um but you know doing you know diverse types of projects you know whether it's that type of project or a PSH project or a workforce project we're always just we're trying to help somebody um achieve something and it's about people and um and the language is really important to us so I appreciate the question thank you very much thank you Scott other questions right thank you all for the presentation and additional information it's very much appreciated it sounds like people are trying to get to the hockey game how did it depends you know Kevin I think it would be helpful one of the um one of the board members asked for us to send out copies of the presentation so I don't think we have your slide deck so if you could send that to um Molly or Kathy or whatever um and then we will include that in our follow-up to the board yeah absolutely Karen I did send it to Molly earlier so okay never mind she can distribute she's got it cool yep never mind and um hey thanks everybody for uh for taking the time this evening um your support so far has been uh really helpful for the project and further support would help strengthen our application moving forward so very much appreciate the time thank you so much Brian did you have something you wanted to add you have your well I did madam chair thank you um all right I just wanted to thank you because I do actually have a design background and I believe that good design can be inspiring in any environment and I feel like what is missing from so many affordable environments is actually inspiration so I'm glad to hear that your design ethics are transferring over and and creating the same level of inspiration and joy that we experienced through all kinds of events Brian that's a it's a great compliment I think it's um for us you know what one of our beliefs is that you know whether we do market rate housing or affordable housing people shouldn't be able to tell the difference between the two and especially in a project like this I mean it comes down to the dignity for the residents you know everybody should be allowed to have a beautiful home and to be proud of where they live and that's a lot of what when what's gone into this project great thanks thanks everyone thank you all right good night all right um Karen what or Molly I guess what is our next step here with respect to these applications um to make a funding recommendation okay or if you have any questions of course to to ask those as well okay that's what I suspected but I wanted to be sure so um are there comments or questions for staff um grant go ahead yeah and some of the applications they say they're they're requesting the money as a deferred loan or a grant and is that are they saying it's up to you guys to decide what's best or or is it an iteration of the same thing I think it is that they would look to you as to what your recommendation would be and that those options are what they think the project could support so there I mean then there is a difference between just a straight grant which the way they wouldn't have to pay back and then the deferred loan at some point would be paid back okay so oh go ahead Karen so um um so since this is really the first time that the uh advisory board has really been on the ground floor of making these recommendations so typically for the last I don't know what we say 15 years um you know this this initial work and review has been accomplished by the technical review group so I guess what I would also do is invite staff so Kathy and Molly to um to really help guide the um this discussion great yeah yep sorry I was just going to say Graham we do have a um I with that to um you know to help with some guidance um thanks Karen an outline of um generally we do grants if they are primarily serving 30 percent AMI and below so we do have kind of a chart that um and a guidance um on what we try and try and fall into sometimes a project can't support a loan even though it really should get a loan and then you have to make some decisions around that but um so I am going to pull up the budget for um and it's a little different than the one that you saw oh I have to do a screenshot first sorry all of these things are different every platform all right so yeah this one okay so this um is a little bit updated from um what went out in your packet just because we keep refining things and finding other things um so we've already pulled out um funding for the rehab program and the program delivery for that we've already pulled out a set aside for housing counseling program and to continue the security and utility deposit for homeless solutions for boulder county and the funding that human service agency is providing to as locally funded vouchers so those that would support that program and then the other thing we've already pulled out is the ongoing payment that we have to purchase the land uh nine acres of land at um the Costco development that the city will um be working on on developing in partnership with I'm sure several different agencies and entities and then if you remember um late last year I think it was um the imagine rehab project came in and the consensus of the group was to fund it with 2021 funds because they weren't going to be ready I think was the reason and so that has been pulled out um and that would be a grant because of who they're serving um with CDBG funds so um well yeah the only thing that would change that is if they can't support paying Davis vacant wage rates so we'll have to check into that actually I think they fall below that limit for that so just taking a stab at things um if we keep the rehab imagine rehab project in CDBG then the balance left is $342,444 right now I've penciled that totally for chrisman land acquisition per their $350,000 request as a grant and then 600 over here in the affordable housing fund for that same project um stone hedge I have put in at $150,000 I am personally a little concerned and I'd be happy to listen to thoughts that others might have that they are at this point haven't put up any of their own um they are operating the project as a for-profit um having a 100% voucher um supported project they should have a lot of cash sufficient cash to have much more reserves than what they have um and I'm assuming what happened when they um acquired it is that they did not go in and do a rehab at that point in time and have been just using the reserves to do rehab um I don't know why they did it that way but anyway that's where we're at at this point um and then $150 for the sunset element so that they can continue to um get their project um through the development process and ready for permit pulling that I think probably would make a huge difference when they go into CHAPA again for that so again just throwing this out any ideas that people have um I'd be more than happy I can this is a spreadsheet so I can change things around and we can see what it does etc so um if there's any project that somebody doesn't think we should fund at all I'd be happy to hear that as well I don't know what Molly's if she has any additional comments to make as well and I can't see anybody very well so call out okay Kimberley I'm not super familiar with the process that sunset um heights element was referring to but it sounds like they've tried several times um to apply for support I'm just curious if they don't succeed what happens to that investment that we've provided um and like what's the likelihood that this actually will be developed based off of the history of the project that is a good question so um it is not unusual for projects to take multiple times through the tax credit process because it's highly highly competitive especially the nine percent um because you get so much more equity in that um that particular project in their program and there's only one funding round a year so everybody that wants to get the nine percent is all going in at the same time and there's just insufficient tax credits to to fund everything um the first project as they said or the first time they went in as they indicated they got a lot of good feedback on costs and units and different things that they could do differently they tightened that down when we went in in this February um the feedback that we got was that they really appreciated all the changes that were made um they thought it was a good strong project they chose to fund only three permanent supportive housing projects out of I think there was six or seven that applied and the three that they chose to fund were in communities that don't have any permanent supportive housing already um so it's hopeful that with the next fund round in in February of 2022 with having the the plans through and really being ready to go pull the permits and and move immediately that would be the leg up for for that next um go around if they don't get funded um they uh element has taken on the the loan themselves so they have committed to repaying it um somehow if the project doesn't get funded that they will repay it um we don't have any collateral against it so it's you know whether we're willing to to go to the mad if they don't um but my feeling is probably what they would do is change the project and do something that isn't quite as um it could be redeveloped that isn't permanent supportive that has all of the um costs high costs associated with permanent supportive housing and maybe make it a just a regular affordable project down there then the investment isn't lost it would be repaid um you know with that that project that would be my guess thank you that's helpful that is really helpful and is is my understanding correct i think i read it in there is that their hope with this 150 000 is really to keep moving forward on all the permits and design pieces um under the assumption that basically by having those ready to go they're more likely to get this nine percent um so it's essentially this early funding to help get them closer to actually being able to pursue it correct okay other questions or comments brian thank you uh kathy can you remind me are the affordable housing funds alone or a grant so the affordable housing fund has to be loan unless we ask council specifically to allow us to grant them um we haven't done that very often and i don't see a reason to do that with any of these particular projects um so sunset heights might be one just because of the incomes they're trying to serve but at this point i wouldn't go in and ask for a grant for that unless or until the project doesn't go forward or you know something happens that they need to to cut costs further um making it a loan for krisman they're going to loan it into the partnership anyway so that it becomes part of the equity and the basis points um that's just the way the tax credit runs so and even though we would be granting um the cdbg funds again lha is going to loan it into the project um so that it uh it again increases basis and equity um so those will eventually get repaid the 600 000 the affordable housing fund loan will get repaid back to the city granting the cdbg funds and then loaning it into the project will get it repaid to the lha but that won't come back to the city so it's kind of benefiting the housing authority and that respect so it's supporting the project in a little bit different way yeah okay karen phillips so the uh stone hedge would that be then uh a loan so yes i would suggest it could be a deferred loan repaid in x number of years or when they next time they refinance it um it could be a very low interest straight loan repaid over a longer period of time even a zero percent since they are serving we didn't get good data on actually what am is that they're serving they just said 50 percent and below have you ever been in those apartments they they need the help they they need that work yeah i think they i think they actually have invested um since they have taken over um in the property probably more so than has been for a while yeah but it's a need for sure yeah i i also see it with a loan as a way for us to molly said that they would agree to deed restrict some of the units as permanently affordable under our program so having a longer term loan in there is going to protect that interest in the in the units that they would deed restrict as well so we would have more i don't want to say say but we would have more we would be hearing if they if and when they refinance if they do anything different with the property we would be able to find out more quickly because we would have a lien on the property with the loan cool thank you this would add we didn't actually talk they said they would be interested they would be willing to have a period of affordability we haven't actually talked about what that length of period of affordability would be their current HUD contract goes through 2031 if we made it a repayment loan over you know 10 or 15 years see what they say they may want it to be coterminous with the section 8 at 2031 even if it's that then we would at least know what is going on with the property whereas before we didn't we don't know when it sells we don't know what they're thinking kind of thing so pram um yeah kathy and molly would is there gonna be another round of potential applications for this fiscal year or is this pretty much it we're intending to do another one later in the year probably fall so if we approved these three am i reading that right sell 35 hs 96 of the budget you're we're basically spent or saying that the fall round would likely not get funded well we would have 400 000 available okay does it would that make you nervous given your history of funding rounds and previous year's budget should we should we try to be really cautious now because there's another round coming where we could get more bang for our buck or or you know do you think it would be reckless if we approved all these three given the the volume of the budget it would eat up right away um i don't think it would be reckless i think the projects are all pretty good ones and and are needed um going forward um what we have done in the past with a late um a fall round that usually goes into um november december time frame by the time we get everything done is that we can also look at the next year's funds and if we have something really good or we have projects that come in at a million and they're all really great we can go ahead and commit into the next year i see okay but these these three would be looking for an answer you know relatively soon probably huh next month or two correct yeah ryan thank you uh kathy i just want to follow up real quick on your comment i think about the i think it's it was related to the stonehenge development and what sounded like a lack of uh their own capital going in i may have misinterpreted that but if i didn't can you speak to uh does that indicate a lack of commitment like in risk sharing or does it potentially indicate a lack of capital resources that would be really necessary to continue development molly could could you tell anything from their financials or from the audit my just off the cuff without having looked too deeply into those is that they've been funding the replacement reserve reserves at the required amounts and have been spending i i was a little taken aback when she said they've been constantly spending it that wasn't exactly her words but i think she said they were drawing on it quarterly and make right right very regularly i think is what she said um with the the level of cash flow that they should have off at this project in the small amount of reserves and i know you're only required to put so many into reserves i just would think they could afford to do a fairly hefty um match of this if that is if this is really important to them so she did send me some information this afternoon um that i haven't yet had a chance to look at um about reserves but she also added that um in 2022 they'll be um relaying the asphalt in the parking lot replacing concrete sidewalks and walkways and in the units they'll be continuing to invest in appliance replacements flooring upgrades cabinet upgrades and other energy upgrades so they also have some other plans um coming up as well um madeline i have the same concern uh or maybe oh well i have the same question that um brian just raised based on kathy your comment about stone hedge earlier and um at this point i have the i mean i do i have the same concerns to the extent that i haven't heard anything that has settled that or made me feel comfortable enough to to vote affirmatively on that so um i guess i'm going to be listening for others thoughts and recommendations because i don't like with something this important i just want my vote to count and i want to make the right decision very concerned that we make the right decision in this regard and so um yeah i don't know even kathy i don't know if there's anything else you could say to help us out of then you know you said i think a lot but um i'm not i'm just not comfortable uh with that particular one and then the other concern was i heard them say that they've been around since the 90s and they mentioned some of the things they've done and so yeah uh yeah i'll just hold with that i'll hold right there and i am perfectly fine if folks aren't comfortable with that one yet i mean we don't have good bids on it um getting some information on um what the savings would be to the residents and utilities would be good to know knowing more about um the reserve replacements if we wanted to hold on that one and have that they can come in again the next funding round um in the fall or whenever we hold the next one that's not unusual either yeah i was going to add that i thought the like i the fact that they have bids that are five years old but they don't have anything newer is of concern um right the fact that they it's not clear how much savings that would give to the residents because they mentioned that they had gone through something with the energy audits and it was not going to be enough of a difference to qualify for that so my question is is like is that still true um and is it still something that like they couldn't get other sources of funding for um five years is a long is a long time in the realm of these things for like the cost of them but also like energy costs have gone up um the efficiency of those may be a lot lower and there may be even more efficient things that would allow them to qualify for some of that other funding um for energy efficiency in particular so um i feel like more information would be really helpful there to make sure that it's we're not just like hi here's a hunt you asked this for money here you go like i'd like to see them do some some of that like work um to present the case of why um why it's needed uh kimberley the sixth study in the conversation is it appropriate to ask them to if they are able to to come back and um provide a level of commitment um like a matching amount is that something that's done um just to show that you know that investment as well in the project since they should have the reserves yeah we can ask them for what is the what are they willing to commit or you can we can go to them and say we're willing to put in half um of what it is but um you know i'm a little disturbed by i i understand the quick turnaround of the application and not getting bids in but since it went in and now you could have been getting those bids and had had them ready um for this meeting um to have a better idea so i mean i think asking for all of those things the utility savings the updated costs and what they're willing to commit as well um are perfectly legitimate things to go back and say you know here's the here's the issues that we had strengthen your application and come in next time karen did you have a question karen i didn't think you know the bottom line is the people that live there and i don't know why we don't want to encourage you know whatever they need to do to get it to better but you know and you have messed up windows and when you know i mean i had that in my house where there's mold and things like that the bottom line to me is we're helping the residents and if but i think i think the concern is is there a for-profit company and by it is helping the residents but that it's also helping give them more money because they don't have to put the outlay on these windows so essentially they're choosing not to put the money into it and still profiting from the vouchers and so forth that they're getting um so that's part of my concern we need to help that organization to do a better job of submitting or you know explaining to them what y'all need from them you know and not just slupp it off but to help that company figure out a better way to get that money so the residents can benefit that's all i'm saying what i'm hearing though is that we expect that they should have the money to do this and we haven't been given enough information to suggest why they don't um or why they would need help doing it um so um yeah i get that but the bottom line is the residents living there that's all i got to say madeline did you have a question or no no no nothing other than what uh marks the comments that i made all right can you i think you hit the like raise hand button it again it'll take your little hand off oh that i'm sorry i forgot no you're fine that hand uh brian thank you caron i just i wanted to say that i i really resonate with your point of view that it's it's the residents that we want to help it's the people that um are living there and i've become increasingly sensitive to this idea of public funding um really transferring to shareholders because of private lack of accountability and i think that's kind of what's at the question for me is um you know is the organization that is requesting the funds being accountable for their share of what it means to operate these kinds of things to the extent that the money is not it's helping temporarily the residents but ultimately a transfer to the shareholders if it's not balanced um so difficult question but thank you caron for raising that because i i agree ultimately to share the the residents need to be the beneficiaries thank you so is the will of the group to go back to stone hedge and say we need this additional information and come in the next round or we could also say we need this additional information and depending on what it comes back in we'll bring it back to this board and we could we could fund it separately um or we could just wait till the next the next funding round kathy i'd support the latter send them back our concerns and questions and give them another opportunity yeah okay i agree i agree yeah okay i mean so so we might consider this next month or the month after depending on when they get the information is that what you're thinking i mean it's okay with me i i don't have the the the next month's agendas in my mind to know if that's reasonable or not but i'll say that seems okay to me i mean to the point that caron and brand we're making like if they can come back with that information for the company you know one of the biggest benefits is going to be in the winter and so getting it if if they come back with it and it's a reasonable like we see all the information and it seems like a good opportunity then having that done and finished before the cold weather sets in um has an earlier benefit to the residents um and so i think um you know not forcing them to wait um i mean obviously if they don't get on the ball and give us the information and get the bids and so forth like at a certain point you know like they're gonna have to wait but um you know it will also be a signal to us of like their commitment to moving it forward before then okay so i'm going to zero this just for right now then and we can take it up later if and when they bring stuff back um does anyone have comments or questions about the christman or the sunset um heights ones i i think what you've sort of penciled in here kathy makes sense um in terms of both of those requests um the fact that both of these um you know that christman has this partnership with lha already and it you know the first one is doing so well um i think really you know just bodes well for it um i also really liked that they highlighted and i think staff highlighted this as well of them having three bedrooms that are so needed um that that is really not something um and i that barbell of like income of like trying to hit those areas that are not well done um seemed really useful and it's a it's quite a few units um all at once so um yeah what you have makes sense to me i'm curious if other folks have thoughts or concerns about what's sort of penciled in here let's do it brian i would move that we approve the christman two project for six hundred thousand in affordable housing funds and 350 000 in cdbg uh actually kathy am i working off of the wrong uh i interrupt my movement for clarification from kathy uh am i working off of the wrong sheet here because it seems we're looking at 150 and 150 it uh for christman it should be 342 444 for land acquisition and 600 000 from the affordable from cdbg as a grant and then 600 000 from the affordable housing fund as a low interest loan and i would ask that i have the ability which i did not have an opportunity to do is get with our consultant to figure out what the project can afford to pay back to set the interest rate in term um and for the point of clarification they actually requested 350 in grant funds but we because of the previous funding approval for imagine we only have 342 which is still pretty close to what they asked for but not exactly yes so karen is there somebody working magic on your end that can turn that into a organized motion because i do you want to do you want to move to approve the you know the remaining cdbg funds for christman and the 600 000 in affordable housing loan with the term term and i do interest rate to come i i do want to move that yes we have a second a gram seconds all those in favor for the christman to the numbers that you see on the screen and i think and katelyn just to clarify that that then you're authorizing uh staff to um to do a little more work about the terms of the low interest loan loan yes that is correct based on what the the project can afford and pay and what makes sense in terms of the term and interest rate all those in favor please raise your hand this is for the christman to madeline are you if you're opposed on christ on the christman to one oh no you're in favor okay so we've got everyone in favor it's it's the finger katelyn you gotta recognize the i know madeline puts up okay um that leaves us with the sunset heights pre-development and the request for the loan they asked for either grant funding or a low interest loan there so since our grant funding is depleted then we have we would look to do a low interest loan for them and molly do you remember the terms that the initial ones under i think it's zero percent interest and repaid in by march of 2022 april of 2022 april of 2022 so i would suggest the same terms which is like a two year was that like two or three year term basically zero percent yeah would be a two year term from the time we actually signed the contract okay so molly i'm sorry for the notes did you say it to your term yes thank you and i'm also hoping you're taking notes molly like you usually do i'm counting on it it is recorded too if we have to i know i know um so if the if then the current one is repaid in is to be repaid in would you say april of 2022 yes then this one would not be a two-year term if we made it coterminous to be repaid at the same time it would be the 18 month maybe or maybe a year by the time we have paperwork or less than a year so kathy are you recommending that it be a coterminous or that we do the two years um i'm kind of curious with respect to that when that next application round would be and when they would get it to make sure that they you know assuming they can get everything done can they get the permitting done that they want in a year and will they have enough time to sort of have information on that nine percent by the time this this one comes to okay so my thinking in making it coterminous with the existing one is that we would be able to amend the existing agreement and just add funds to it and they are not likely to hear on in february 22 2022 until may or june of 2022 so they're going to have to come in and ask for an extension anyway and that way we can extend both at the same time instead of having two different agreements with two different terms that was my thinking of why we would make it coterminous would it would it make sense to have them coterminous and go ahead and do an extension to june i wouldn't do it at this point in time if they i wouldn't do it at this point in time i'd wait yeah other questions or thoughts on the sunset heights request okay do we have a motion to approve the 150 000 in affordable housing with direction to staff to look to have that coterminous with their existing loan and the same terms which was zero percent anyone want to make that motion karen philips we have a second i mean chiquitas has seconded okay all those in favor please raise your hand okay we got it karen thank you and that has passed thanks everyone and so kaitlyn did you get an official motion in regard to the uh stone hedge no we did the project so y'all there was a there was the makings of emotion but it wasn't a real motion yes i don't think so i'm motion that with the stone hedge project uh we return to the applicant and request further clarification and information uh up to and including a contractor bid for windows that's updated information concerning prudent reserves expenditure and thirdly the amount of request for some capital ownership given the organization as a for-profit i agree uh second match okay all those in favor okay so approved so kaitlyn yes karen again so i'm having internet instability um so who seconded the motions that would be madeline thank you sorry no problem no group that dang next life no it's that dang husband he touched the router and now as soon as he has after he touched the router i have been having issues well you are a lot more composed than my 10 year old was earlier today when he got kicked out of his online class twice and he was like literally in tears like saying that the computer didn't work and it hated him and i was like you have to talk really nice to it and and he was like you're weird yeah i could do that i could have me a temper tantrum but i won't um all right it looks like our next item is the cdbg annual performance report that is me again and i'm going to share my screen again if i can find it here it is all right so this is really little um hopefully you could see it when you on your own screen but this just kind of goes through and shows um what was um projects were approved for 2020 and or carried over from prior years um what the budget was going into 2020 what the expenditures were in 2020 and um what we're carrying forward into 2021 and then this also shows for each type of project um the beneficiaries that were supported um with the project or assisted with the project and then it does give it give information as well on the percentage of admin funds that we spent the amount and percentage um the leveraging that we did and um the low modern income percentage uh of residents that were served with the the projects that we funded so we uh we met our timeliness um requirement uh that had sets um which was good but we didn't do overall a very good great job of um how much we we spent in 2020 and there were a lot of reasons for that with COVID and things slowing down and stopping and our rehab program we put a hold on because nobody wanted us in their houses to inspect they didn't want contractors coming in so um there wasn't a whole lot we could do in that program and some other ones were slow as well so um it was a kind of a weird year we were hoping to make greater strides um the admin ratio is um we had about 15 percent of our funds spent were for admin so that means about 85 percent was for projects and then we had a over a 98 percent expenditure rate for low modern income um residents that were served all right hold on a second sorry let me bring up my sorry let me open this file again it's not hi is that one sorry so so while Kathy's uh looking for her doc so um Caitlin I thought I would check in I know um you know it's it's nearing nine o'clock we had the site visit updates I know Deanna isn't able to be here so I don't know whether if Shakita wanted to make her um report or whether we wanted to wait until the next meeting so I just was planning that asking that question actually Shakita are you um in a position to go forward with any of the reports or would you like to um go hold off until next next month what's your preference um it will be great to hold off until next month but if you are just so anxious to hear about what I don't remember um I'm ready to you know be submissive and give you what I can recall sounds like next month sounds like next month would be great I'm pretty sure Shakita is never ready to be submissive in any way but I appreciate the suggestion sure I think that was a good call thank you Kathy do you have your stuff ready or should yes okay I can get to the back where I need to be look at this one hard to tell where you're there we go all right all right so this one again in um total shows the CDBG funds um and expended that came into um the program year from 2019 which is about 1.1 million and then we got 610,000 in 2020 CDBG funds we got about 105,000 in program income this year and we repurposed about 99,000 so our total budget was 1.7 in 2020 that we had available we had 1.1 million in expenditures which carries us into with 730,000 going into uh 2021 um of unspent funds as uh CDBG funds spent uh our budget is a total percentage of the total budget 89 percent has been budgeted for housing about six percent for planning and administration and then we had about five percent in unallocated funds in 2019 um and then this just shows um again the funds that were not allocated in 2020 the blue is what was budgeted the red what was is what was spent so housing um you can see the difference there and then planning um and administration we pretty much spent what we said we were going to or thought we were going to um this one shows the um projects on a project basis um what was get over here so you can see that um what was budgeted what was spent and then what was carried forward so in um in the general rehab program we had this much budgeted we spent this much again because of COVID and the shutdown so we're carrying forward um quite a bit um architectural barrier removal we did a little bit better and getting that spent mobile home repair same thing um and then emergency grant um it's a pretty small amount to begin with the boulder county housing counseling program spent what they had budgeted for the art center this is showing next to nothing spent we did actually have some funds spent um at the very end of 2020 um and it's either not showing up very much or didn't get caught the security deposit funds for 2020 did not get spent because we haven't stood up the locally funded voucher program yet we're working on that in between the rehab of 1901 terry street they spent yay um and got that project completed in 2020 um and then they also purchased an additional building um with the funds that they received um in 2020 and then the aspen meadows um relocation funding that we set aside to support the additional um what we thought was going to be additional need uh during COVID to have extra cleaning extra time out of the units that kind of thing it ended up that we stayed within budget um that we had and so we are going to be um recommending to repurpose the relocation money um to offset um the the principal loan um to make a principal reduction payment um at the once it goes to um final closeout um and then aspen meadows uh refinance and rehab project again this was the money that we set aside and then spent to um purchase the building in order to rehab that so we purchased it out the part partnership and put it back into the new partnership um this is something a little different this year that I went ahead and did um it shows the low modern income beneficiary served by area median income so as you can see um over 53 percent of the funds that we did spend um served people below 30 percent area median income um about 28 percent served um 31 to 50 percent AMI um about 14 percent served um 51 to 80 and then we did have a few that were served um above 80 percent and this is primarily in the housing counseling program um because they don't uh aren't limited to being um serving primarily low income but um that's the way it usually ends up um and then some of the demographic data um and again I'm not sure I can try to get it so I can read there we go so about 44 percent of our friends um went to um white only beneficiaries we had 14 percent for Latino Hispanic folks um other races other than white about eight percent of our funding um elderly benefited about eight 12 percent of the folks were um elderly that benefited about seven percent had some type of disability and then about 15 percent were female heads of household and in these are categories that we do report to HUD on um that's why I'm showing those there and oh I'm pushing the wrong button sorry and then this is the CDBG COVID funding the special funding that we got um to assist with COVID so we had budgeted quite a bit of money to the R Center for rent and utility assistance for folks that um had impacts from from COVID again this took a while to get um brought into under contract and get uh them going and uh serving folks so we didn't get too much of the money spent um in 2020 um because of that it was all mostly towards the end of the year we did also pay for them to hire somebody to help operate the program and that's what the program administration is showing there and then we did set aside funds to um support the COVID recovery center operations and those funds we have not gotten a bill yet I think they're still trying to figure out um funding and what other sources they might be able to bring to bear so we may be coming back and reprogramming um some of the some of this COVID funding at this point in time do we have a sense of you have these numbers for caring for do we have a sense of like how much of that has been spent you know we're almost halfway through the year um has have we actually made more of a dent in that individual assistance or anything in 2021 do we know yes Molly do you remember is Molly still on does she remember what we if not I've got some figures somewhere I can look up I think they spent about 240 000 so it does look better um once we got the bills for January February March time frame yeah I think it was it's just over half or just right around half of what they've gotten okay Karen are they going to be able to with their remaining program administration funds administer that really large amount that they have carry over do you know well they had only asked for staffing to get it stood up really and get processes and procedures in place they should be able to move forward although I will say they have put our program on hold and are now working on county funding which has a lot less restrictions and caveats and documentation so we do have a call into them and a meeting set up to by the end of this month to talk to them about what is the ongoing need going to be for the rest of the year are these funds going to get committed and spent or should we be looking at reprogramming them for something else so there's a lot of money coming into the county for rent and utility assistance um another 15 million I think is is coming in so my guess is and that has a again a lot fewer conditions on it that um that they're probably going to prefer to spend that money quite frankly. Is the our center administering all of that money that came into the county or is it actually across organizations that are that can access that or are they just like connecting folks to the county resources yeah I think it's more connecting folks and Karen maybe you've been on the the funders collaborative I have I have not lately um but the county I think was not going to grant it down to the family resource centers but it was going to run through the housing helpline. I think Ali Begdu can answer that okay yeah so the county received I think in total it's going to be about 17 million for housing for rental support um and there and right now if there it is going through the housing helpline is not going through the the family resource centers the our center f5 and sister karmann they're referring uh that being said there are still um um clients that do access uh the our centers help because they might need it faster than what the county can do or because some folks um due to documentations uh may be wary of accessing government support so that that's kind of where it is right now. Kathy do the those are those funds competitive or do they continue to meet the needs that we've identified in long run the county funds? I'm not sure what you mean by competitive um well like as an agency if I choose to serve program b instead of program a and program a was designed to meet the needs of long month residents uh are the county funds if our center is choosing to focus on the county funding right is it still meeting the needs of long month residents as we've identified or are those different needs that the county has identified? So I don't think the our center is choosing um I think what they're doing is I mean their referral source uh referral source to so the housing helpline is the big bucket of funding right now um it's it's it's more it's actually more more flexible than cbdg funding less requirements uh documentation is not an issue okay um so I I think it's about choosing it's about where is the most bang for your buck at this point so it sounds like it's helpful to long month residents yeah and I think the and I think the only thing is Kathy mentioned that you know staff is planning to um is to plan to meet with the our center you know to really help I think assess that so there there are I think she went unstable again oh sorry that router my husband so um so anyhow so I'm sure that we will be having a better handle on that after that meeting with the our center I have a question okay let's go ahead Madeline Kathy when you were going through the demographics you um there was one category that I um trying to remember I think it was classified as other I'm look I'm trying to see what I'm looking at your chart trying to see it uh did it it is that's right Madeline I guess what other I guess I'm sorry what did you say Brian I didn't mean to interrupt it it's the other racist than white was the category okay uh uh I am curious to know where do the african-americans fit in this in the scheme of this this information they would fall into that one the other racist than white are we not able to capture that and break it out to the most finite detail um I am finding it because it was fairly small numbers I thought it was a better way to group but we do have on this chart it should break it out I know but that must be what head calls it we can get that information um because we that is not the category that people uh check on on their applications and stuff so we can we can get that and break that out I'd like to know because if it's not if it's the number is so low then that raises a question to me as to why why it certainly isn't that there is to need but if the information you know the information is not disseminated then we need to do some other things differently perhaps but just based on yeah just based on what I know personally that well madeline unstable too I'm I'm kind of surprised thank you Chiquita I just want to follow up with Madeline and I think it's important to I know where she's coming from I get what she's saying um even though we have a small population of African-Americans but we also have Asians we have native Americans that live in Longmont and I think it will be I mean when we look at that and I'm under other it's like mixed races now are still in that other box that shows that we are invisible and so these programs are out here for everyone am I right and so back to what Karen Phillips used to say how are how is the community getting this information knowing that this assistance is out here for everyone so I know people who are in need and if they don't know that hey you can apply for this you can apply for that or this or you know business know that that could be African-American that could be Asian whatever right so maybe we have to do more of an outreach to that demographic because we hear because you you're looking at me and Madeline so we are here you know and so that's very important she brought she's bringing up a really good point I don't want to be in the other box because I'm here that's just like saying you don't see color so it's important that we do we do uh make sure that we know that and we all know that we're here yeah how many Asians how many Native Americans how many African-Americans you know it's important it's important to me okay so I just wanted to break that down a little bit in case you all was wondering why but and maybe we have to do more outreach that I totally agree yeah I think that makes I make that sense and you know I think it sounds like that we you know so our our default is this is what HUD asks us to report on um and it and it sounds like we certainly have the capacity to report you know in a more granular way with that information and that sounds like that would be super helpful for us to have and know that thank you yeah thanks and I wanted to Shakita raised also just brought something else to mind if you guys remember I mentioned to you uh about an Asian family that was in desperate need and now it's been since they originally applied it's been well over a month and a half two months do you know that they haven't heard not one word one word and I um of course I was out of town when I got back I checked to say you know have you heard from anybody not a word I'm so embarrassed and so we can take it offline I'll talk to because the other bird was helping trying to help them and and so was Adriana Perea so um but but out you know what I'll just follow up with but she brought that when Shakita was talking that that reminded me of that specific that specific situation with them and I'm talking about a family that's in desperate need so yeah so I think it lends to my thought process that yeah we need to fix we need to do something differently and if HUD is doing that then we need to straighten HUD up I'm done if only we could straighten that that would be so we would love that all right then the final thing that I have and I definitely will get you that information I will send that out and we'll have that for you so then the last um piece on the performance report even though it's not um CDBG related it's the affordable housing fund um in this last sheet just shows again what we had budgeted um the expenditures that we um had in 2020 one project went forward we had um some matching funds um and then um what it gets carried over into to 2021 somewhere down here and it also shows um how much an administration we spent as well um so in this particular in 2020 we had a 49 expenditure rate we did leverage about one dollar and 26 cents for every one dollar we um loaned out um and had about 14 percent of our our funding was was admin so things got a little balled up um with COVID in making progress on on projects but we are trying to get back on track for 2021 and start getting things going and moving forward so I will stop sharing so you don't have to look at this anymore thanks Kathy um are there other questions or comments for Kathy Brian sorry Caitlin no apology Kathy real quick failure to spend funds does that harm future applications for CDBG um as long as we meet our timely the standard um each year we are not in danger of losing funding or um not getting future funding um at the point where we routinely don't meet the timeliness that would theoretically be when they would either recapture funds or um lower start lowering our grant amount um but so far every year we we meet the timeliness standard so um we just want to get on ahead of it and so um uh exceed the timeliness ratio that we're we're required to do so a couple years we've done it and we just a couple years we've just been hanging on met it by the skin of our teeth thank you all right any any other questions for Kathy all right and we determined that we're going to move the site visits to next month so we're on to other business and it looks like we've got one item there um the plan to return to in-person meetings so I think we we touched on this a little bit last month and um we're waiting maybe for a little bit more information um Karen or go ahead baby Karen froze again she might have to turn off her video it I think it's really it's okay I'm not frozen out so so the the council is returning to in-person meetings on the 29th of June so so it is really up to the advisory board if you want to continue down a virtual path sorry so so I think it's really up to the board Caitlyn if you if you want an aleberto maybe you take this so but it's up to you whether you want to start meeting in person or not and when okay um do does anyone have strong feelings one way or another anyone want to chime in I need to remain virtual for health reasons um yeah I have some help situations coming up at very soon and so yeah my participation would have to remain virtual all right I support I'd say at least through uh not not indefinitely but from what I know about what I'm about to face it would be at least through through august I'd say so just based on what I know okay thanks for sharing that Madeline and Brian it sounded like you were saying you'd support either option okay is hybrid an option aleberto that's that's what I was going to say I mean we could find a proper conference room and I'm thinking about Karen the the one that the city manager's office if it's available so what I what I know is that maybe we can do a little more research I know that the that the the city staff is trying to retrofit some of the equipment so that there would be the opportunity to have hybrid meetings so why don't you let us um let's do some work and then we'll follow back up with you and and and give you an update on if that is possible and uh and that we could and if you wanted to pursue hybrid in July you know we could so we'll get back to you about that so um based on Madeline's comment and then the fact that the mask stuff is expiring today my feeling is that um I mean my sense is that virtual has generally been working well we've sort of got a process here I would suggest that we plan to stay virtual for July so we can see whether things change as more people are going out without masks and all of that and then give staff some time to do some research and come back to us in July with that I sort of have this like nervous that we are removing this mask stuff but we are not like Boulder County is very well vaccinated but I'm a little I'm a little nervous with all the kids starting to go to summer camps and interacting with other people of like how much we're going to see so that would be my thinking would be to just plan to be virtual for July get some more information and then um revisit this then we can do that that works for me looks like folks are in agreement there Karen Kimberley grams that sound workable for all of you okay then let's do that um so it's okay when the only other update I have is um is that we have received two applications for the our open slot that was vacated um and that we didn't get it you know we didn't recruit it at the time of the year-end recruitment so um so it should be the council will be doing interviews yet in June and so it looks like we will be able to fill our our open seat on the housing and human services advisory board at mid-year great if I yep thank you that's it okay any other business that folks have so I have one announcement okay am I on mute nope you're fine we can hear um okay um June 19th next Saturday we will be celebrating Juneteenth in Boulder County it's the executive committee for african-american cultural events in conjunction with the Boulder County NAACP and many other sponsors uh we um preparing or we have designed a virtual production that will air June 19th the actual day of um at 10 a.m and I will send information Karen should I send that to you if you haven't already received it you can send it to me okay uh an added great event well you know that our our special guest our featured guest is the 94-year-old miss Opoli who's known as the grandmother of Juneteenth she's our featured guest and many many other exciting things but we have recently added another feature we're going to have a flag raising ceremony at uh the at the civic center 350 kimbark that's going to be Monday at 11 a.m. Mayor Bagley along with the Juneteenth planning committee and city council members and just a whole host this invitation is going out all over and we hope to just have a great crowd out there that we will do the flag raising service it will be filmed to be included in the production so I'm all excited about that another initiative that's underway is we're trying to get all of the cities within Boulder County to raise flags and fly those flags on June 19th at 10 a.m and the search show up for racial justice that organization is spearheading that effort so we're looking forward to a great event uh I know a lot of people still don't know about Juneteenth still don't know what it is and that's okay because if you watch June 19th Saturday at 10 a.m you will learn and that's what we are about with e-case the executive committee for African-American cultural events NAACP and all of the other organizations we got so many people sponsoring us even High Plains Bank came on board yesterday and so I'm really encouraged by just the support and the interest so you're invited I hope to see you Monday at 11 at the city center thank you for allowing me to share that thank you Madeline anyone else if not we will entertain a motion to adjourn nobody wants to to leave I move we adjourn okay second off we go thank you all thank you bye guys