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CHC 02-12-98CALL TO ORDER Meeting was called to order at 2:00 p.m. Members Present: Jill Collins, Sylvia Machamer, Kathy Robinson, Dick Schuster and Orrin Mahoney Members Absent: None Staff Present: Vera Gil Others Present: Mary Ellen Cheil, Georgia Bacil, Gertrude Welch, Terry Ward and Jan Straka Approval of Minutes: Postponed until all members were present. Written Communications: None Oral Communications: None OLD BUSINESS: 1. Consideration of Silent Second Program Terry Ward explained how the silent second program operates. Mr. Ward proceeded to review some of the tables which were included in the housing committee packet. One of the tables illustrates the return on investment that the bank and the city would receive. Essentially, the city and the participating lender would provide equal amounts of funding for the second mortgages. The bank would see a higher rate of return on investment since its risk is greater. Program objectives are set by the city with Northbay Ecumenical Homes (NEH) acting as the city's agent and administering the program. Part of the Northbay Ecumenical Homes responsibility is to stay in touch with individual borrowers to encourage the borrowers to pay off the silent second at the earliest opportunity. This is beneficial to the homeowner and the city. -- Committee members discussed the program specifics with Mr. Ward. A consensus was reached by the committee that staff should explore this program further with Mr. Ward. Kathy Robinson made a motion that staff further explore the silent second program. Jill Collins seconded the motion. Vote: 4-0 NEW BUSINESS 2. Election of officers for 1998 Dick Schuster nominated Sylvia Machamer for chair person and Jill Collins for vice-chair. Kathy Robinson seconded motion. Vote 4-0 3. Review 1998-99 CDBG applications for funding from Cupertino Community Services, Senior Adult Legal Assistance and Sunnyview Lutheran Homes. 1. CDBG Hearing: Vera Gil stated that the City received five funding requests for the 1998-99 funding cycle. Ms. Gil proceeded to summarize the five proposals as well as the staffing costs. Mary Ellen Cheil represemed Cupertino Community Services and provided information on her agencies three funding requests. Georgia Bacil followed CCS's presentation with infurmation on Senior Adults Legal Assistance and Jan Straka represented Sunnyview Lutheran Homes. Following the presentations, the Committee proceeded to discuss the staff recommendations. Dick Schuster expressed his concern regarding the amount of funding for staff support. His concerns was that the city general fund should pay for some of the staffing costs so that the CDBG funds could be maximized. Dick Schuster moved to approve all staff recommendations regarding disbursement of CDBG funds with the exception of the rehab transfer to cover staffing, the expenditure tbr a new computer and the public service implementation staff costs. Sylvia Machamer seconded. The Committee approved the following allocations: Agency Request Housing Committee Rec. CCS - Rotating Shelter 20,000 14,565 CCS - Affordable Housing Placement 25,000 12,803 CCS - Greenwood Court Rchab. 8,780 0 Senior Adults Legal Assistance (SALA) 5,000 4,853 Sunnyview Lutheran Homes Dining Room 50,000 50,000 Program Administration 15,000 15,000 Public Service Implementation 8,000 0 Urban County Rehabilitation Services 15,000 15,000 Equipment Acquisition 2,500 0 Affordable Housing Fund Total SUBMITTED BY: Vera Gil, 0 0 Plarmer II VOTE: 4-0 Adjournment: Meeting adjourned to regular meeting of March 13, 1998 APPROVED BY: Syria Machamer, Chair ATTEST: Kimberly Smith,City Clerk c/windows/housing/ath21398