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Home My WebLink About2014/02/04-Minutes-HEDC CITY OF FORT WORTH, TEXAS HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE February 4,2014 Present: Committee Member Joel Burns, Chairman Committee Member Danny Scarth, Vice Chairman Committee Member Betsy Price Committee Member Salvador Espino Committee Member Kelly Allen Gray Committee Member W. B. "Zim"Zimmerman Committee Member Jungus Jordan Committee Member Dennis Shingleton Committee Member Gyna Bivens City Staff: Fernando Costa, Assistant City Manager Peter Vaky, Deputy City Attorney Mary J. Kayser, City Secretary Jay Chapa, Housing and Economic Development Director Cynthia Garcia,Assistant Director, Housing &Economic Development Department Other City Staff in Attendance: Tom Higgins, City Manager 1. Call to Order—Joel Burns, Chair With a quorum of the committee members present, Chairman Joel Burns called the meeting of the Fort Worth Housing and Economic Development Committee to order at 3:57 pm, on Tuesday, February 4, 2014, in the Pre-Council Chamber of the Fort Worth City Hall, 1000 Throckmorton Street, Fort Worth, Texas 76102. 2. Approval of Minutes from the Meeting Held on January 7,2014— Joel Burns, Chair Motion was made by Committee Member Price and second by Committee Member Bivens to approve the minutes of the January 7, 2014, Fort Worth Housing and Economic Development Committee meeting. Motion passed 9-0. 3. Written Reports—Jay Chapa,Director,Housing and Economic Development Department • Memo on Hilton Parking Garage Lease Amendment • Memo on Amending Tax Abatement Agreement with AT Industrial Owner 7 LLC and Carolina Beverage Group, LLC to Modify the Timeline of Installation of New Business Personal Property • Memo on Proposed Request for Qualifications for Developers to Develop City Surplus Properties Along Lancaster Corridor • Memo on Request for Letter of No Objection to Expand Foreign Trade Zone 196 There were no questions on the written reports. CITY OF FORT WORTH, TEXAS HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE February 4, 2014 Page 2 of 5 4. Presentation on Trends Affecting Low Income Neighborhoods — Randle Harwood, Director, Planning and Development Mr. Harwood presented information on trends in the City of Fort Worth: median family income, population change, population growth, new construction, race and ethnicity, unemployment, crime statistics, housing complaints, education levels. Mr. Harwood reviewed the Council's strategic goals and what steps are being taken to achieve them. Central City Revitalization, Urban Villages,Neighborhood Empowerment Zones, Crime control and Prevention District. The Committee discussed the need for partnerships with the private sector to assist with revitalizing the neighborhoods and also partnerships with the ISDs and Tarrant County College. There was also discussion about the need for neighborhood engagement and communication and staying aware of the trends so that we can address them. There was no action required on this item. 5. Update on Homelessness and Directions Home, City's Homeless Plan — Otis Thornton, Human Services Manager,Housing and Economic Development Department Mr. Thornton reviewed the various Directions Home programs and reviewed the impacts of homelessness on the community, neighborhoods and individuals. He noted that proximity to permanent supportive housing strengthens neighborhoods, improves the self-sufficiency of the individuals, and is cost effective. He reviewed the challenges facing the programs working with the homeless: • Recession and policy impacts on low wage and low skill workers • Availability of dispersed quality, affordable and accessible housing • Decreases in Local State and Federal funding • Annual Federal match requirements increased. Mr. Thornton reviewed the goals and objectives of both Directions Home and the Advisory Commission on Ending Homelessness. He also reviewed the steps going forward: • Cold Weather Emergency Shelter Plan • M&C to fund Program year VI • City Departments will be meeting with the Near East Side Neighborhood to discuss order and public safety • Joint meeting of the City Council and Fort Worth Advisory Commission on Ending Homelessness The committee discussed the need for a joint meeting between the City Council and the Advisory Commission on Ending Homelessness that also includes the other stakeholders. They also discussed how we tie all the organizations and individuals trying to deal with the homeless issue together to gain a coordinated effort. There was no action required on this item. CITY OF FORT WORTH, TEXAS HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE February 4,2014 Page 3 of 5 6. Presentation on Proposed Amendments to Economic Development Incentives Policy in Regard to the Promotion of Affordable Housing - Jesus Chapa, Director, Housing and Economic Development At the January 7, 2014, Housing and Economic Development meeting staff recommended reviewing current housing programs and policies and provide recommendations and changes to better align with affordable housing goals. Mr. Chapa provided the following recommendations: • Provide Developers and alternative in the incentive policies to meet City affordable housing policy goals by offering an option to substitute unites for funding. • Charge $200 per unit/per year for term of incentive agreement, to be paid out of the incentive proceeds or directly by development if tax abatement. • Total annual amount deposited directly into the housing trust fund administered by the Fort Worth housing Finance Corporation • Purpose of funds would be for FWHFC to fund projects to decrease disparity of affordable housing units as they exist in Fort Worth. Next steps would be: • Place an M&C on the March 4, 2014, City Council Agenda to amend the City's Neighborhood Empowerment Zone Policy and General Tax Abatement Policy • Begin providing the alternative option to developments being recommended for Chapter 380 Grant Amendment since no formal amendment of the policy is required There was no action required on this item. 7. Presentation Regarding the Sale Process of Tax Foreclosed Properties—Cynthia Garcia, Assistant Director,Housing and Economic Development Department This item will be deferred to the March meeting. 8. Presentation on Resolutions for Submission to the Texas Department of Housing and Community Affairs for Housing Tax Credit Developments—Jesus Chapa, Director, Housing and Economic Development Department On January 7, 2014, staff provided recommendations for award of HOME funds to Zenstar Development and Columbia at Renaissance Square Staff agreed to provide resolutions of support to the other developments that submitted a RFP for HOME funds upon request. Staff has received additional requests from developers to provide resolutions of support for housing tax credit applications that did not seek funding from the City: Churchill at Champions Circle Reserve at Boat Club Road Sabine place Apartments CITY OF FORT WORTH,TEXAS HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE February 4, 2014 Page 4 of 5 Staff expressed the following concerns: • A resolution of support for all developments could lead to City funded projects facing stiffer competition from other FW projects • For developments that will require additional City Council approval,resolution of support may be construed as support for all approvals such as zoning, variances, etc. • Conversely, supporting only City funded projects limits the pool of potential competitive Fort Worth projects being awarded credits (Regional competition covers 19 counties) The staff recommendations are: • Provide resolutions of support for developments that have evidence that they will receive a firm commitment of local political funding and zoning compatible to proposed development • Recommend resolutions of"no objection" for developments that seek City support, but do not have local political funding and appropriate zoning • February 18, 2014, staff will bring forward an M&C for Council consideration for resolutions There was no action required on this item. Chairman Joel Burns adjourned the regular meeting of the Fort Worth Housing and Economic Development Committee into Executive Session at 5:28 pm and convened into Executive Session at 5:40 pm. 9. Executive Session - The Housing and Economic Development Committee will conduct a closed meeting to: • 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: legal issues related to any current agenda items; and • 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 City in negotiations with a third party; and • Discuss or deliberate negotiations relating to any economic development negotiations, as authorized by Section 551.087 of the Texas Government Code. Chairman Joel Burns adjourned the Executive Session at 6:16 pm, on Tuesday, February 4, 2014. Chairman Joel Burns reconvened the regular session of the Housing and Economic Development Committee at 6:16 pm, on Tuesday, February 4, 2014. CITY OF FORT WORTH, TEXAS HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE February 4, 2014 Page 5 of 5 10. Requests for Future Agenda Items There were none. 11. Date of Next Regular Meeting: March 4, 2014 12. Adjourn—Joel Burns, Chairman With no further presentations or discussions, Chairman Burns adjourned the regular meeting of the Housing and Economic Development Committee at 6:16 pm, on Tuesday, February 4, 2014. These minutes approved by the Housing and Economic Development Committee on the 4th day of March, 2014. APPROVED: el Burns, Chairman Minutes Prepared by and Attest: ar J. a e tary