Loading...
HomeMy WebLinkAbout2011/08/02-Minutes-Fort Worth Housing Finance Corporation (FWHFC)CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 Present: President Kathleen Hicks Vice President Danny Scarth Secretary Frank Moss Director Betsy Price Director Salvador Espino Director W. B. "Zim" Zimmerman Director Jungus Jordan Director Dennis Shingleton Director Joel Burns City staff: Susan Alanis, Assistant City Manager Peter Vaky, Deputy City Attorney Ron Gonzales, Assistant City Secretary Jay Chapa, Assistant General Manager Cynthia Garcia, Assistant Director, Housing & Economic Development Department Jean Petr, Gas Lease Program Manager Other staff: Robert Sturns, Economic Development Manager, Housing & Economic Development Dept. Mark Folden, Business Development Coordinator, Housing & Economic Development Dept. Marty Hendrix, City Secretary Call to Order (Agenda Item 1) With a quorum present, President Hicks called the meeting to order for the Board of Directors of the Fort Worth Housing Finance Corporation (Corporation) at 2:22 p.m. on Tuesday, August 2, 2011, in the Pre - Council Chamber of the Fort Worth Municipal Building, 1000 Throckmorton Street, Fort Worth, Texas. Approval of Minutes of the June 7, 2011, Meeting (Agenda Item 2) President Hicks opened the floor for a motion on the approval of the minutes of the Tuesday, June 7, 2011, meeting. CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 2 Approval of Minutes of the June 7, 2011, Meeting (cont'd) (Agenda Item 2) MOTION: Upon a motion made by Director Jordan and seconded by Director Espino, the Board of Directors voted unanimously nine (9) "ayes" and zero (0) "nays ", to approve the Tuesday, June 7, 2011, minutes of the Corporation as presented. The motion carried. Election of Officers (Agenda Item 3) President Hicks opened the floor for the nominations of Officers for the Fort Worth Housing Finance Corporation. MOTION: Upon a motion made by Director Espino and seconded by Director Shingleton, the Board voted unanimously nine (9) "ayes" and zero (0) "nays ", that Kathleen Hicks be elected as President, Danny Scarth be elected as Vice President; and Frank Moss be elected to Secretary for the Fort Worth Housing Finance Corporation, effective June 7, 2011. The motion carried. Assistant City Manager Susan Alanis advised that Agenda Items 8 and 9 would be removed from consideration at this time and continued to a future meeting. Written Reports: Fort Worth Housing Finance Corporation Financial Report through April 30, 2011 (Agenda Item 4A) President Hicks referenced the Financial Report through June 30, 2011, and opened the floor for discussion on the report. There was no discussion on this agenda item. The written report was provided to the Board as a matter of information. There was no formal action taken on the report. Adopt Resolution Appointing a Treasurer, an Assistant Treasurer and an Assistant Secretary (Agenda Item 6) Mr. Jay Chapa, Assistant General Manager, advised the Corporation that the resolution appointed various City staff members to serve in the three capacities: Assistant Treasurer, Lena Ellis, Director, Financial Management Services Department and staff and Assistant Secretary, Marty Hendrix, City Secretary and Ronald Gonzales, Assistant City Secretary and staff. CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 3 Adopt Resolution Appointing a Treasurer, an Assistant Treasurer and an Assistant Secretary (cont'd) (Agenda Item 6) Assistant City Manager Susan Alanis also advised that the resolution also appointed Interim City Manager Tom Higgins as the General Manager and pointed out that at his discretion he could appoint an Assistant General Manager and Administrator. She added that Mr. Higgins intended to continue with Jay Chapa, Director of Housing and Economic Development, as the Assistant General Manager and Cynthia Garcia, Assistant Director, Housing and Economic Development, as the Administrator. She stated that a memorandum would be provided reflecting these appointments for the record. President Hicks opened the floor for discussion on this issue. There being no discussion, President Hicks opened the floor for a motion. MOTION: Upon a motion made by Director Price and seconded by Director Espino, the Board voted unanimously nine (9) "ayes" and zero (0) "nays ", to approve Resolution No. FWHFC 2011 -16. The motion carried. Adopt Resolution Authorizing the Sale of the White Lake Property Located Between the 900 and 1400 Blocks of Oakland Boulevard to The Catholic Diocese of Fort Worth (Agenda Item 6) Ms. Cynthia Garcia, Administrator, addressed the Corporation regarding the proposed resolution. Using a PowerPoint Presentation, she Garcia displayed an aerial view of the property and advised that the property depicted in blue was owned by the Corporation and was purchased in 2004 and the property depicted in green was owned by the Fort Worth Catholic Diocese and was used for Nolan Catholic High School. She stated the lake was located on both properties and noted what portion was owned by the Corporation and the Diocese. She added that the property had been purchased for a senior housing development that did not get completed and stated that the Corporation had been approached by the Diocese to purchase the property for the expansion of facilities for the high school. She added that the property had been appraised for $107,000.00. President Hicks inquired how much the Corporation had purchased the property for and Ms. Garcia responded $284,000.00 and advised that staff had paid for the appraisal. She stated that the reason for the low appraisal was that most of the property consisted of the lake and was in the flood plain. She added that much of the property was also in the tloodplain and to develop the property, the property would have to be taken out of the tloodplain. CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 4 Adopt Resolution Authorizing the Sale of the White Lake Property Located Between the 900 and 1400 Blocks of Oakland Boulevard to The Catholic Diocese of Fort Worth (cont'd) (Agenda Item 6) Ms. Garcia advised the Corporation of the following staff recommendation: • Sell the property to the Catholic Diocese of Fort Worth. • $107,000.00 — Appraised Value. • Catholic Diocese to pay closing costs. President Hicks opened the floor for discussion on this issue. Director Scarth stated that he hoped there would be some better appraised value than the $107,000.00 but added that it was a difficult piece of property. He added that there had been multiple proposals of what could be done on the property, but none had worked out. He asked that there were some issues, such as a complete inspection of the dam where some of the trees had to be trimmed, and asked if those issues had been resolved. Ms. Garcia responded affirmatively and that the Corporation had paid approximately $50,000.00 to get the area cleaned. Director Scarth then asked if staff foresaw any liability going forth to which Ms. Garcia replied she did not. She added that staff had sent the Diocese the purchase agreement and showed them what the deed would look like and therefore it would be an "as is" sale. President Hicks inquired what the zoning of the property was and Ms. Garcia advised that it was zoned "F" General Commercial. There being no further discussion, President Hicks opened the floor for a motion. MOTION: Upon a motion made by Director Scarth and seconded by Director Espino, the Board voted unanimously nine (9) "ayes" and zero (0) "nays ", to approve Resolution No. FWHFC- 2011 -17. The motion carried. CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 5 Adopt Resolution Ratifying All Actions of the Corporation as Sole Member of Race Street Lofts, GP, LLC, the General Partner of Race Street Lofts, Ltd.; and Ratifying All Actions Previously Taken by the Corporation, the General Partner or the Partnership in Connection with the Loans to the Partnership from Bank of America, N.A., for the Financing for the Race Street Lofts Project (Agenda Item 7) Mr. Jay Chapa, Assistant General Manager, advised the Corporation that this resolution was basically further housekeeping on the Race Street project for the Corporation. He added that Bank of America requested a specific resolution ratifying approval of entering into the loan with the bank. He stated that the loan amount was $4.2 million on the project and $1.365 million in equity for construction. Mr. Chapa advised that there were previous resolutions granting the partnership the ability to enter into all the lease agreements but as part of closing, the bank wanted specific language related to their actual loan. President Hicks opened the floor for discussion on this issue. Director Espino requested that Mr. Chapa explain exactly what entities were involved with this project. Mr. Chapa stated the Fort Worth Housing Finance Corporation (HFC) was a General Partner in partnership with NRP Holdings, LLC, who created the partnership that was developing the project. He added that HFC owned the property and was leasing the property to the partnership to construct the project and pointed out that the partnership also included the tax credit buyer. There being no further discussion, President Hicks opened the floor for a motion. MOTION: Upon a motion made by Director Espino and seconded Moss, the Board voted unanimously nine (9) "ayes" and zero (0) "nays ", to approve Resolution No. FWHFC- 2011 -18. The motion carried. Adopt Resolution Authorizing a Development with NRP Holdings, LLC, to Act as Co- Developer of the Terrell Homes I Project and for the Corporation to Act as Guarantor for the Project (Agenda Item 8) As noted by Assistant City Manager Susan Alams on page 2, this item would be continued to a further meeting date. CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 6 Adopt Resolution Approving Actions of the Corporation as Sole Member of Terrell Homes, GP, LLC, the General Partner of Terrell Homes, Ltd.; Approving All Actions Necessary for the Acquisition, Financing and Development of the Terrell Homes I Development, and Ratifying All Acts Previously Taken by the Corporation, the General Partner or the Partnership in Connection with the Proiect (Agenda Item 9) As noted by Assistant City Manager Susan Alanis on page 2, this item would be continued to a further meeting date. Director Jordan advised that he had filed a Conflict of Interest Affidavit with the City Secretary, would recuse from any action on the next two items and left the meeting. Adopt Resolution Approving a Natural Gas Lease with Chesapeake Exploration, LLC, for 2510, 2512, 2514, 2516 and 2518 Sheraton Drive (Agenda Item 10) Adopt Resolution Approving a Natural Gas Lease with Chesapeake Exploration, LLC, for 2607 Clinton Avenue (Agenda Item 11) Ms. Jean Petr, Gas Lease Program Manager, Planning and Development Department, advised the Corporation that her presentation would include Agenda Items 10 and 11. Using a PowerPoint Presentation, Ms. Petr advised the Corporation of the Natural Gas Lease Request as follows: • Chesapeake Exploration, LLC, requested leases on HFC properties. • Lease Terms o $3,000.00 per acre bonus. 0 25% Royalty. o Two (2) -year term. o No surface use. Ms. Petr displayed an aerial view of the properties relative to Agenda Item 10 described as the Anderson Unit, Sheraton Addition, Block 2, Lots 5 -9. She stated that the properties were vacant lots and displayed a map of the specific location in District 5. She provided the following information pertaining to the Anderson Unit: CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 7 Adopt Resolution Approving a Natural Gas Lease with Chesapeake Exploration, LLC, for 2510, 2512, 2514, 2516 and 2518 Sheraton Drive (cont'd) Adopt Resolution Approving a Natural Gas Lease with Chesapeake Exploration, LLC, for 2607 Clinton Avenue (cont'd) • 2510 -2518 Sheraton Drive. • Sheraton Addition, Block 2, Lots 5 -9 • 0.792 acre, more or less. • $2,376.00 total bonus (Agenda Item 10) (Agenda Item 11) Ms. Petr then displayed an aerial view of the property relative to Agenda Item 11 described as Sooner Unit, M.G. Ellis Addition, Block 37, Lot 4. She added that the property was in District 2 and was also a vacant lot. She displayed a map of the location and providing the following information pertaining to the Sooner Unit: • 2607 Clinton Avenue. • M.G. Ellis Addition, Block 37, Lot 4 • 0.20 acre, more or less. • $600.00 total bonus Ms. Petr advised that the recommendation of staff was that the Corporation execute the leases at the standard City of Fort Worth lease terms (terms are current market). President Hicks opened the floor for discussion on this issue. There being no discussion, President Hicks opened the floor for a motion. MOTION: Upon a motion made by Director Zimmerman and seconded by Director Moss, the Board voted eight (8) "ayes" and zero (0) "nays ", with Director Jordan absent, to approve Resolution Nos. FWHFC- 2011 -19 and FWHFC- 2011 -20. The motion carried. Executive Session (Agenda Item 12) President Hicks stated that she had been advised that an Executive Session was not necessary to discuss the following items: CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 8 Executive Session (cont'd) (Agenda Item 12) A. Seek the advice of its attorneys concerning the following items that are exempt from public disclosure under Article X, Section 9, of the Texas State Bar Rules, as authorized by Section 551.071 of the Texas Government Code: (i) legal issues concerning any current agenda item; B. Discuss the purchase, sale, lease or value of real property, as authorized by Section 551.072 of the Texas Government Code. Deliberation in an open meeting would have a detrimental effect on the position of the Corporation in negotiations with a third party; and C. Discuss or deliberate negotiations relating to any economic development negotiations, as authorized by Section 551.087 of the Texas Government Code. This agenda item was passed over. Requests for Future Agenda Items (Agenda Item 13) President Hicks opened the floor on requests for future agenda items. No requests were made by Board members. Adiourn (Agenda Item 14) With no further discussion, President Hicks adjourned the called — special session of the Fort Worth Housing Finance Corporation Board at 2:36 p.m. on Tuesday, August 2, 2011. These minutes approved by the Fort Worth Housing Finance Corporation Board of Directors on the _4`h _ day of _October , 2011. APPROVED: Kath een Hicks President CITY OF FORT WORTH, TEXAS FORT WORTH HOUSING FINANCE CORPORATION CALLED — SPECIAL SESSION TUESDAY, AUGUST 2, 2011 PAGE 9 ATTEST: Frank Moss Secretary Pre ared and respectfully submitted by: �- ��lli�► onald P. Gonzale T C /CMC Assistant City Secretary