City Council Minutes 2012 08 21 - Laserfiche WebLink

Home Browse Search

City Council Meeting Minutes August 21, 2012 Page 9 of 23 Amber Hunter, Wagen/Ander& Heiskrkemp, 1700 Broadway, Suite 1201, Denver, CO, explained she is Counsel for the LHA. She confirmed the cash reserves were part of the negotiations. The BCHA will assume all the debt on the Louisville properties and use the cash reserve funds to develop an additional fifteen units. She explained the LHA will dissolve after the IGA is in place. Council member Loo stated the cash could be put into a foundation and used to provide heat relief for senior citizens. City Manager Fleming asked Mr. Alexander to confirm there is a legal requirement for the cash reserve for maintaining the properties. Willa Williford, Housing Division Director for the BCHA and liaison to the LHA confirmed the cash reserves are approximately $700,000 in restricted and unrestricted funds for various purposes. Those funds will be used to manage and maintain Louisville properties and as capital to develop the additional fifteen units. Frank Alexander stated the $700,000 equates to approximately $6,000 per unit, on which some is restricted and some unrestricted. He noted the LHA does not have staff to address capital nor rehabilitation needs for the 116 affordable units in Louisville. Council member Loo stated Louisville residents are part of Boulder County and deserve County services. Council member Keany noted the assets, the cash, the buildings and the properties are all part of the negotiated agreement and to pull the cash out would alter the agreement approved by the LHA and the BCHA. Taking the cash out of the agreement would also alter the number of new units to be built in Louisville. He agreed LHA has not been able to develop property in quite awhile. He voiced his belief the agreement was drafted in good faith and felt the County does provide services to the City. Council member Yamell disclosed she is a Boulder County Housing Services employee, of which Frank Alexander is the Director. She voiced her agreement with Ms. Marsella and Mr. Reis. She noted there were restrictions on LHA's ability to develop new properties or to maintain the current properties. Terri Abbott, LHA Chairperson, stated from her perspective, the LHA did not have the ability or funding resources to maintain the City's affordable housing units or to develop new units. This agreement would provide the service standards and needed maintenance for the units. The BCHA has the same mission for providing affordable housing. Willa Williford, Housing Division Director for the Boulder County Housing Authority, provided a spreadsheet of the capital needs of each unit.