2017-02-02 Minutes CDAC Minutes
February 2, 2017
Members Present: Mary Beth Cottingham, Barbara Gailey, Valda Morgan,Ann Patterson, Randi Skinner,
Kayla Stewart,Jodi Vicars-Nance, Larry Varnes.
Members Absent: Cekeytra Chambers
Staff: Barbara Ross
Chairman Larry Varnes called the meeting to order. He asked members to review the minutes from the
12/08/16 meeting and indicate if there are any corrections that need to be made. Kayla Stewart moved
that the minutes be approved as presented. Randi Skinner seconded the motion. Barbara Gailey stated
that she would abstain from the vote since she was not in attendance at the meeting. The minutes were
approved unanimously.
Chairman Varnes reviewed the process that the Community Development Advisory Committee uses to
develop their recommendations to City Council. Members discussed the seven applicants for
CDBG/HOME funds. It was noted that the shaded applications were eligible for HOME funds. Ms. Ross
also indicated that new construction of housing would be a HOME-funded activity. Ms. Ross explained
that Congress had not yet allocated funding for the programs and that the Continuing Resolution would
last until April. She stated that until the City received notification from the Department of Housing and
Urban Development (HUD) regarding the allocation amounts, staff would use last year's allocation
amounts. Ms. Gailey asked about using percentages rather than dollar amounts. It was agreed that the
Committee will use actual amounts and if the recommendations have to be revised, percentages or
project reductions could be used.
Gordon Meredith, Residential Construction Specialist, presented a request for the City's Minor Repair
Program. Mr. Meredith reviewed the program and those served. He stated that repairs are limited to
$5,000 indicated that no liens are placed on the properties. Mr. Meredith noted that only CDBG funds
could be used for the Minor Repair Program. The program serves those at 50% of the area median
income or below. The program allows Mr. Meredith to meet with families within a day or two after they
contact Community Development. The household income is quickly reviewed to see if they are eligible
and to get the repair done quickly. These are usually urgent repairs, roof leaks, water heaters, air
conditioning units, etc. It was noted that they attempt to ensure that no one with an emergency has to
wait but if funds run out before new funding is available then the owner would have to wait. Mr.
Meredith explains that almost all of the funding goes to construction. Staff is requesting a little more
than what was requested last year. It was noted that construction costs have increased.
The presentation was opened up for questions from the Committee. Ms. Gailey asked if local
contractors were used on the projects. Mr. Meredith indicated that they attempt to rotate the local
contractors that are used on the projects. He noted that projects are bid out to three or four
contractors. He mentioned some of the contractors that have participated in the Minor Repair Program
in the past—Work Environmental, Blue Jay Air& Heat, Act, BCI, Strittmater, etc. Some contractors quit
bidding on projects because they always tend to be the highest bidder and do not get the job. Mary
Beth Cottingham asked if the contractors have to be approved. Mr. Meredith stated that there are no
special requirements but,that the contractors cannot be on the Federal debarment list and they have to
have insurance. He added that a local contractor has never been on the debarred list. Ms. Cottingham
mentioned the Green Sense program and the rebates that are available. Mr. Meredith indicated that
attempting to participate in this program would slow down the program. Val Morgan asked if there
were professional fees and what was the average cost of a lead test? Mr. Meredith explained that the
chip samples are$5.00 per samples and the wipe test is a laboratory test and it's also around $5.00 plus
the cost of mailing. The lead test only applies to pre-1978 housing. Ann Patterson asked about
asbestos. Mr. Meredith explained that the program was exempt under asbestos rules due to Federal
and State law indicates in has to be larger than a four-plex or a commercial property. He noted that he
was not certified in asbestos but, that he is conservative when pulling out a floor furnace equipment
that might have asbestos and ensure it get sent to a landfill certified for asbestos. Chairman Varnes
noted that the number to be served was a minimum of 32. Mr. Meredith indicated that this would be
the maximum if every household used the entire $5,000 but, in reality this is not the case and it will
serve more. Chairman Varnes indicated that one of the priorities he uses in making these funding
decisions is the number of people served by the program. Ms. Gailey asked staff used any HUB-certified
contractors. Mr. Meredith indicated that HUB certification is not necessary unless the cost is over
$3,000. Then a couple of HUB-certified contractors would need to be included in the bidding process.
Usually with air conditioning there are a couple. Ms. Ross asked how long Mr. Meredith has been with
the City working with these programs. He indicated that in June it would be 23 years. Ms. Ross said she
had never received any complaints regarding the program and completed projects. Mr. Meredith
indicated that often there is not sufficient funds in the $5,000 Minor Repair limit to do all repairs. Ms.
Gailey asked if they were able to put in a temporary window air conditioner. Mr. Meredith indicated
that this could not be done because HUD sees that as a fixture not an improvement. She asked what an
AMI is. Mr. Meredith explained that it stands for the Area Median Income. Ms. Ross indicated that she
could get those household income limits to the Committee. Mr. Meredith indicated that the Minor
Repair Program assisted those at 50%of the AMI or below. Chairman Varnes asked what was needed to
meet the needs of the community. Mr. Meredith stated that he would like sufficient funds so that in
July or August, when A/C projects are needed,that the program does not run out of funding. Ms. Gailey
asked if there was a relationship between Hearts for Homes, Denton Bible's Sweat Team and the City's
program. Mr. Meredith commented that he does refer households to them but, they do not have
licensed workers. Ms. Ross added that staff often receives calls from households in that are not in the
City but, in the County, and they refer them to these other organizations.
Members discussed the funding issue. Ms. Ross indicated that she may get some information when
attending the NCDA conference in D.C. where the HUD officials will be speakers. Members discussed
funding allocated to Habitat and Fairoaks. Ms. Gailey asked if there is a timeline in which the grantees
must spend their funds. Ms. Ross stated that the funding has to be committed within a certain period of
time and then the City must meet deadlines regarding the percentage of funds that must be expended
each year. Ms. Gailey asked if the funding was rescinded if not used during the timeframe. Ms. Ross
stated that the City is able to reallocate the funds to other projects if it appears that the funds will not
be expended in a timely manner. Ms. Ross indicated that this has happened before.
Members discussed future meetings and agreed to ask all other applicants to present their proposals on
March 6t" beginning at 5:30 pm.
The meeting was adjourned.