HomeMy WebLinkAbout20250037.tiffGreeley -Weld Housing Authority
Meeting of the Board of Commissioners
Wednesday 12/11/24
4:30pm
Agenda
Weld Trust - 815 8th Ave, Greeley, CO 80631
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Attendees: Shawn Wolcott, Kim Longworth, Deb Callies, Ernest Cienfuegos -Baca, Scott
James, Juliana Kitten, Stacey Aurzada, Bobbier Cranston, Kyle Holman, Olivia Milstead,
Karin Crandall, Anita Rivers, Alex Gano, Vincent Ornelas
1. Call to Order at 4:34 pm by board chair Shawn Wolcott
2. Welcome - Vincent Ornelas - introductions by Vince and board members.
3. Action Item -Approval of the November 27th meeting minutes motion by Kyle Holman,
second by Karin Crandall, no opposition, all approved, motion passed.
4. Open Public Comment Period - no public comments
5. Action Item - Lincoln Square Debt Service Ratio decision -12-month debt service reserve
payment in the amount of $101,474.40. email from FirstBank regarding Lincoln Square
about committing funds sooner rather than later. Per Alex, loan with FirstBank is in
default, and has been since 2020, due to the debt service ratio. Loan is from 2018.
Bank is looking to see the property generating enough revenue to cover the loan
payment plus a 15% cushion. The property is not performing to this amount. We need to
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deposit $100,0000 to cover this commitment. They have waived the default since 2020,
which is gracious, but now with the HA changes, they want this default resolved. We
could face other penalties or issues if we do not resolve this issue with the $100k in
reserves. This is to ensure there are monies to cover the monthly payments. If the
property is not moved to a better performing status, they could ask us to pay down the
loan. Multi family property, so raising rents can be a long process. May be able to apply
for funding from the city to help decrease the expenses of the property. Deb believes we
have the $100k to put into the account, staff is working to get accounting and budgets
done to confirm the monies are available. Payments have been made, automatic
transfer made each month for both the payment and an amount that goes into reserves.
HUD REAC inspections note several capital deficiencies that have not been corrected —
cosmetic, life safety, maintenance issues that need to be addressed. The interest rate
on the loan is 6.15%. Need to see if this is a CHFA property and are any monies going
to CHFA. Reserve account currently has $120,000 in it. This could be a capital reserve
account that we can draw on to make the repairs. Per Vincent, we need to do a rent
analysis and submit a waiver to increase the rents for the HUD subsidy and not the
tenant's portion. This will be a first priority for Vincent. Will see if we can refinance with
another institution to get a lower interest rate. Alex recommendation to get an updated
title commitment to determine what type of affordability covenants are placed on the
property. Per Vincent it is definitely Deed Restricted being a multifamily property.
FirstBank deadline, needs immediate attention. Vincent feels if we have the funds, we
should look at providing the $100k to FirstBank to meet FirstBank's requirement. If we
are in good standing in a year, we can get those monies back. If not, they take the
money and apply it to the balance of the loan. Do the bylaws allow the ED the authority
for this large amount. Motion to allow the executive director for authority to pay the
funds to FirstBank as long as the funds are available by Karin, seconded by Kyle, no
opposition, motion passed. Deb will respond to FirstBank.
6. Updates
a. Weld County Housing Authority transition - Deb met with Elizabeth on the 2nd, took
some files and additional information needed for transition. Will present at the next
Commissioners meeting. Elizabeth and the attorney have met with HUD already as
well. Vincent asked why the split is happening, could not provide a definitive answer
as Scott James is not in attendance. Stacey asked Deb for an agenda as to the next
meeting with the county, Deb will check with Elizabeth for the agenda. How many
vacancies will we have with this transition and Scott stepping off the board. We
currently have 1 vacancy with Holly Darby terming off. Will we have more vacancies
and will the number of board members decrease after the transition. City Council
will likely change their resolution for number of board members and
recommendations on who will be a board member. There may be some board
members who feel they are not qualified to be on the board after the transition. By-
laws will have to be updated/changed with the transition. With Vincent coming on
board, by-laws and policies should be reviewed and updated. Need to have
conversations with the city and mayor on the board appointees. Deb and Vincent
will be meeting on Monday regarding transition. Will need a revised IGA with the
city, Stacey and Bobbier will start working on that.
b. Housing Choice Voucher (HCV) Spot Review -the 2 staff members at the city who
have expertise on Section Eight have reviewed the files and voucher process and
this would not meet HUD requirements. There are quite a few issues that need to be
addressed to correct these issues. After Deb and Vincent meet, bring a proposal to
the board on continuing support from the city.
c. LOI from City Line — Bobbier has been reviewing the terms, they seem reasonable.
Need to discuss and review this with Vincent as the new ED. Resolution to negotiate
terms at the next meeting. Shawn did get LOI procedures from other HA's to help
define a policy for GHA. Alex represents City Line, so he cannot represent the City
on this proposal. Alex has an example LOI policy he will provide as well. CityLine is
still excited to work with the GHA.
7. Schedule for next board meeting -January 8th next meeting.
8. Adjourn - motion to adjourn by Kyle, seconded by Ernest, no opposition, motion passed.
Respectfully submitted by Kim Longworth, GWHA Board Vice Chair.
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