IURA Neighborhood Investment Committee

108 E. Green St. Ithaca, NY 14850 (607) 274-6565 AGENDA IURA Neighborhood Investment Committee (NIC) 8:30 am, Friday, March 13, 2020 Third Floor Conference Room City Hall, 108 E. Green St., Ithaca, NY 14850 I. Call to Order II. Changes/Additions to Agenda III. Public Comment IV. Review of Minutes – January 2020 (no February Meeting) V. New Business A. Action Item: Review/Discuss 2020 HUD Entitlement Funding Proposals (13-23) VI. Other Business A. IURA Grant Summary B. Staff Report C. Next Meeting: Friday, March 20, 2020 VII. Motion to Adjourn If you have a disability and require accommodation in order to fully participate, please contact the CITY OF ITHACA CLERK’S OFFICE at 274-6570 at least 72 business hours prior to the meeting. 108 E. Green St. Ithaca, NY 14850 (607) 274-6565 DRAFT MINUTES ITHACA URBAN RENEWAL AGENCY (IURA) NEIGHBORHOOD INVESTMENT COMMITTEE (NIC) 8:30 A.M., Friday, January 10, 2020 Third Floor Conference Room, City Hall, Ithaca, NY In attendance: Karl Graham, Chair; Fernando de Aragón; Tracy Farrell; Paulette Manos. Excused: Teresa Halpert. Staff: Anisa Mendizabal; Nels Bohn. Guest(s): Diane Cohen, Executive Director, Finger Lakes ReUse; Cheyenne Poindexter, Student, New Roots Charter School. I. Call to Order The Chair called the meeting to order at 8:36 a.m. II. Changes/Additions to Agenda Order of agenda items changed to accommodate speaker. III. Public Comment None. IV. Review of Minutes – November 2019 Moved by Farrell, seconded by Graham. Approved 4-0. V. New Business A. Action Item – Resolution - 2019 Action Plan Project #3 ― 2018 HUD Entitlement Program – 402 S. Cayuga Street (CHDO) – Reduction of Minimum Cash Contribution for 2-Bedroom Townhome The Committee discussed the proposed resolution. Mendizabal clarified that “grantee” in this case was the same as the Participating Jurisdiction (City of Ithaca). HUD Entitlement Program –2019 Action Plan Project #3 - 402 S. Cayuga Street (CHDO) – Reduction of Homebuyer Minimum Cash Contribution for 2-Bedroom Townhome Whereas, §92.254(f) of the 2013 HOME final rule requires the grantee to adopt written policies for: 1. Underwriting standards for homeownership assistance; 2. Responsible lending; 3. Refinancing loans to which HOME loans are subordinated; and 1  Whereas, pursuant to an executed agreement dated 2/14/13, the City of Ithaca authorized the IURA to act as lead agency to plan, administer, implement and monitor HUD Entitlement grant funds awarded to the City of Ithaca, and Whereas, on 2/27/14, the IURA adopted homebuyer policies developed in consultation with Ithaca Neighborhood Housing Services, Inc., who has operated a homebuyer education and lending program for over 20 years, and Whereas, IURA’s Homebuyer Policies specify a fixed amount of $2,500 for the homebuyer’s standard minimum contribution, and Whereas, INHS policies set 2% of the purchase price as its standard minimum homebuyer contribution, and Whereas, according to HUD CPD Notice 18-09, Participating Jurisdictions’ Homebuyer Program Policies may set either a fixed amount or a percentage of a the total purchase price as the homebuyer’s standard minimum contribution, and Whereas, 2% of the $115,000 anticipated purchase price for the affordable 2-bedroom townhome at 402 S. Cayuga Street yields an INHS minimum homebuyer contribution of $2,300, and Whereas, this unit’s INHS minimum homebuyer contribution is $200 less than the IURA-specified minimum homebuyer contribution, and Whereas, IURA’s HOME Homebuyer Program Policies allow for a reduced homebuyer contribution, if approved by the IURA based on extenuating circumstances, and Whereas, the smaller of the two standard minimum homebuyer contributions will increase benefit to a low-to moderate-income homebuyer, therefore be it Resolved, that per its HOME Homebuyer Policies adopted 2/27/14, IURA hereby reduces the standard minimum homebuyer contribution from $2,500 to $2,300 for the 2-bedroom townhome at 402 S. Cayuga Street. Moved by Manos, seconded by Graham. Carried 4-0. B. NI Organizational Meeting #2 for 2020 HUD Entitlement Program Action Plan Mendizabal distributed materials for the second Organizational Meeting for the 2020 HUD Entitlement Program Action Plan. She noted that Organizational Meeting #1 took place at the December 2019 IURA Meeting, thereby meeting the statutory and Citizen Participation Plan requirements. Mendizabal described the method by which staff arrived at the anticipated award figures for 2020: $668,000 for CDBG and $297,000 for HOME. Each represent a 3% decrease from 2019’s funding level. Mendizabal reviewed the Action Plan schedule, drawing attention to the application deadline of February 28, 2020 at noon, and other dates of interest to NI Committee Members. <Insert charts/tables> 2  Ms. Cohen arrived at 8:56 a.m. C. 9:00 a.m. – Update and Discussion - 2019 Project #9 – Ithaca ReUse Center Acquisition with Diane Cohen, Executive Director. The Chair introduced Ms. Cohen, Executive Director of Finger Lakes ReUSe, who began her remarks by expressing the organizations appreciation for IURA’s early interest and guidance. Ms. Cohen reported that ReUse was able to complete the acquisition of their property with the assistance of the Nonprofit Finance Fund, which took the bulk of the loan ($1 million) and Alternatives Federal Credit Union (AFCU), IURA and Park Foundation, which were integral in providing gap financing. FL ReUse has paid down its former loan. Park adjusted the terms of its loan to interest-only payments for now. Ms. Cohen also credited Tompkins County Solid Waste for important partnership that has been vital to ReUse’s establishment and growth. Ms. Cohen shared key information about Finger Lakes ReUse. • Local revenue through FL ReUse’s businesses (retail locations, services, and consulting fees) was $8.7 million in 2019. • Sales grew 24% in 2019. • Donations grew 67% in 2019; from 2016-2019, donations grew from 8,000 donations to 35,000 donations. • Ithaca ReUse has finished its fourth full year at the Elmira Road location. • The organization employees 43 employees, 39 of whom are permanent, living- wage employees in 35.4 FTE positions. • Earned revenue amounts to more than 80% of the organization’s total support. The organization is making it a goal to get to 100% so it will not have to request operating funds. • The organization hosts 37 individual volunteers (not related to any group) per month. ReSET Job Training Program: ReSET was initiated to help the organization handle materials. ReUse now employs five paid apprentices; two are Tech Apprentices and three are in the Reentry Program. The next round of the ReSET Tech program begins in early February 2020 and will have 6 to 8 participants. Participants receive 10 weeks of initial training, then 15 weeks or 525 hours of apprenticeship. After much research, Anise Hotchkiss, ReSET Program Director, determined that in order to be effective in reentry programming , the program needed to be able to pay participants immediately and for participants to be able to start as soon as they were ready, not to wait for a program “start date.” Reentry participants can stay as few as three months or as long as up to a year. The organization has budgeted for seen apprenticeships at any given time. Right now, they have five, so they could have two more. Since ReSET started in 2013, 175 people have attended. The program has a 78% retention rate. So far 34 apprenticeships have been funded, including 7 for people in reentry. 3  Donations, Materials, and Sales: The organization is working to streamline processes related to donations and sales. After much discussion, it suspended donation pick-ups during summer 2019 only; pick-ups were reinstituted in fall 2019 because the organization recognizes this is an important way to obtain high-value items. Graham asked about FL ReUse’s deconstruction program. Ms. Cohen stated the last home the organization deconstructed was on Albany Street. It sold the high value items reclaimed through reconstruction, but the lumber ended up deteriorating outside, because the organization had no alternative means of storing it. Since instituting “Donation Drop Off (DDO)”, 4,092 people have dropped off donations amounting to 534 pallets worth of items. Of these pallets, • 133 pallets were small household items, which FL ReUSe estimates will translate into $500,000 in revenue. • 40 pallets were construction materials • 51 pallets were clothing • 39 pallets were books Donations of textiles donations now surpass donations of construction materials; ReUse is now focusing on ways to gain capacity and efficiently palletize textile donations for sale in secondary markets. Construction material donations have remained level. Lumber sells quickly; they can’t keep it in stock. Building materials are still in demand; small contractors know about ReUse and come to ReUse. Large contractors don’t. Facility space has always been an issue. Constuction: Whether to build a materials storage facility or to realize plans related to the establishment of affordable housing on site, Ms. Cohen reported that she and the organization now see and recognize that any kind of on-site construction will shut-down their operation at the Ithaca ReUse (Elmira Road) site. So, they are looking for a second site elsewhere in Ithaca that they could use as a temporary site during construction at Elmira Road location. Then, this second site would transition to a permanent third location for ReUse. Should Committee Members have suggestions for a temporary/eventual third site locations, she’s very interested. ReUse has explored a few options. Farrell asked whether ReUse does much work with Thrifty Shopper. Ms. Cohen responded that she sees their leadership yearly, but the organizations do not work together. Cohen has talked to Shannon McCarrick of Habitat for Humanity of Tompkins-Cortland Counties about Habitat’s opening the Habitat version of ReUse (called “ReStore”) because Habitat works closely with Home Depot and Lowe’s, and therefore would likely have ability to access/divert from waste stream materials ReUse could not. Similarly, ReUse works with Historic Ithaca in the architectural salvage arena. ReUse is contantly looking for opportunities to keep things out of the waste stream, that’s their mission. Therefore, they try not to be competitors; they try to realize there is more than enough material out there that myriad enterprises could work toward diverting. VI. Other Business 4  A. IURA Grant Summary The Committee noted the two slow-moving projects, Neighbor to Neighbor and the Advocacy Center and Mendizabal updated them on recent contact. B. Staff Report Tabled. VII. Motion to Adjourn Farrell will be absent in Feburary. Motion to adjourn by Graham, seconded by Manos. Meeting adjourned at 10:05 a.m. 5  IURA Grants Summary February 2020 ON TOTAL # SCHEDULE HUD ENTITLEMENT ACTIVITIES SPONSOR BUDGET UNEXPENDED % SPENT 2017 HOME Activities 2767 canceled 3.0 402 South Cayuga Street17 Habitat for Humanity 80,000.00 0.00 100% 2768 complete 4.0 Housing Scholarship Program11 The Learning Web 63,980.10 0.00 100% 2769 complete 5.0 Security Deposit Assistance Catholic Charities 42,750.00 0.00 100% 2770 complete 21.0 828 Hector Street (CHDO) 23 INHS 41,378.00 0.00 100% 2771 complete 20.0 HOME Admin IURA 27,565.10 0.00 100% 2807 complete Unallocated 2017 HOME12, 17, 23, 24 N/A 19,977.80 0.00 N/A complete Home Admin (PI)22 N/A 0.00 0.00 100% ok Recaptured Funds (HP)15 N/A 0.00 3,808.14 N/A ok Unanticipated Program Income (PI)8 N/A 0.00 21,545.00 N/A Total 275,651.00 25,353.14 89% 2018 CDBG Activities 6002 NO 1.0 Neighbor to Neighbor Home Rehab Love Knows No Bounds 40,000.00 40,000.00 0% 6003 complete 2.0 Chartwell House Tompkins Community Action 75,000.00 0.00 100% 6004 ok 8.0 Ramp Loan Program FLIC 22,740.00 5,729.56 77% 6005 complete 9.0 Mini Repair INHS 32,500.00 0.00 100% 6006 complete 11.0 Hospitality Employment Training Program GIAC 110,000.00 0.00 100% 6007 ok 13.0 Volunteer Worker & Job Skill Training Finger Lakes ReUse, Inc. 40,300.00 15,291.22 79% 6008 ok 14.0 Work Preserve Job Training Historic Ithaca 66,760.00 6,316.85 91% 6009 ok 16.0 Targeted Urban Bus Stop Upgrades TCAT 13,500.00 13,500.00 0% 6010 complete 19.0 Immigrant Services Catholic Charities 30,000.00 0.00 100% 6011 ok 20.0 Work Preserve Job Readiness Historic Ithaca 20,000.00 6,913.81 65% 6012 complete 21.0 2-1-1 Info and Referral Human Services Coalition 20,000.00 0.00 100% 6013 complete 22.0 Housing For School Success Year #3 Ithaca City School District (ICSD) 27,005.00 0.00 100% 6014 complete 23.0 CDBG Admin IURA 137,214.00 0.00 100% 6015 complete 25.0 Economic Development Loan Fund IURA 26,052.00 0.00 100% 6016 complete 17.0 Final Phase: Heating & Roofing 25 DICC 0.00 0.00 100% 6017 NO 18.0 Domestic Violence Center Renovation 25 Advocacy Center 0.00 9,960.72 0% ok Unallocated 2018 CDBG N/A 25,000.00 2,607.89 N/A Total 686,071.00 100,320.05 88% 2018 HOME Activities 8002 ok 3.0 402 South Cayuga Street INHS 150,000.00 150,000.00 0% 8003 ok 4.0 Housing Scholarship Program2 The Learning Web 65,592.00 27,513.57 58% 8004 complete 5.0 Security Deposit Assistance 24,2 Catholic Charities 18,250.00 0.00 100% 8004a complete 6.0 Security Deposit Inspections 24 TCA 1,058.00 0.00 100% 8005 ok 7.0 INHS Scattered Site 2 (CHDO) 24 IURA 0.00 10,000.00 90% 8006 complete 10.0 Additional Reserve (CHDO) 24, 26 TBD 97,022.70 0.00 N/A 8007 complete Home Admin IURA 36,880.30 0.00 100% ok 2018 HOME Unallocated2 N/A 0.00 12,729.74 N/A Total 368,803.00 200,243.31 52% 2019 CDBG Activities 6022 ok 1.0 Homeowner Rehab INHS 67,594.32 67,594.32 0% 6023 ok 2.0 Small Repair Program INHS 21,110.00 32,500.00 0% 6024 ok 6.0 Finger LakesReUse Job Skills Training Finger Lakes ReUse, Inc. 95,529.00 95,529.00 0% 6025 ok 7.0 Work Preserve Job Training Historic Ithaca 67,500.00 67,500.00 0% 6026 ok 8.0 Hospitality Employment Training Program GIAC 110,725.28 110,725.28 0% 6027 complete 9.0 Ithaca ReUse Center Acquisition Finger Lakes ReUse, Inc. 100,000.00 0.00 100% 6028 complete 10.0 Economic Development Loan Fund IURA 0.00 0.00 100% 6029 ok 11.0 Black Girl Alchemists Public Art Mosaic CAP 7,500.00 7,500.00 0% 6030 ok 12.0 Housing For School Success Beverly J. Martin Elem 15,700.00 15,700.00 0% 6031 complete 13.0 2-1-1 Human Services Coalition 0.00 0.00 100% 6032 ok 14.0 Work Preserve: Job Readiness Historic Ithaca 20,000.00 20,000.00 0% 6033 ok 15.0 A Place To Stay Catholic Charities 20,000.00 20,000.00 0% 6034 ok 16.0 Immigrant Services Catholic Charities 25,059.00 18,794.25 25% 6035 ok 17.0 CDBG Admin IURA 137,679.40 110,844.24 19% Total 688,397.00 566,687.09 31% 2019 HOME Activities 8011 ok 1.0 Homeowner Rehab INHS 42,151.58 42,151.58 0% 8012 ok 3.0 Immaculate Conception School Redev INHS 98,668.22 199,900.00 0% 8013 ok 4.0 Housing Scholarship Program The Learning Web 70,560.00 70,560.00 0% 8014 ok 5.0 Security Deposit Assistance-Vulnerable Households Catholic Charities 63,995.00 52,019.00 19% 8015 ok 18.0 HOME Admin IURA 30,597.20 20,307.94 34% Total 305,972.00 384,938.52 5% Page 1 of 2  IURA Grants Summary February 2020 ON TOTAL # SCHEDULE HUD ENTITLEMENT ACTIVITIES SPONSOR BUDGET UNEXPENDED % SPENT Total Unexpended Funds Unexpended CDBG Entitlement Funds 666,507.14 Unexpended CDBG Program Income Committed to Action Plan Activities 500.00 CDBG Revolving Loan Fund Balance (#02 Bank Balance excluding interest) 143,753.32 Unexpended HOME Entitlement Funds 610,534.97 Unexpended HOME Program Income 0.00 HOME Program Income Unassigned 0.00 Total Unexpended HUD Funds 1,420,795.43 1.5 CDBG Spend Down Ratio Analysis (must be less than 1.5 by June 1st of each year): CDBG Spend Down Ratio = total unexpended CDBG funds/most recent annual CDBG award Most Recent Annual CDBG Award: 688,397 1.5 x Most Recent CDBG Award: 1,032,596 Current Unexpended CDBG Funds: 810,260 Current CDBG Spend Down Ratio: 1.18 Compliance With 1.5 CDBG Spend Down Ratio: Yes Amount Required to be Expended by 6/1 to Meet CDBG Spend Down Ratio: -222,335 Page 2 of 2  IURA Job Readiness, Training, & Placement Programs: Comparative Outcomes Summary (PY2013‐2018) Last Updated: 2/3/20 Note: IURA‐funded programs report outcomes in significantly different ways/formats and levels of detail (even one Program Year to the next). Figures below represent best effort to aggregate/compare data. 2013-14 Program Year Historic Ithaca (Work Preserve) GIAC (HETP) Finger Lakes ReUse (ReSET) * Learning Web (Learning by Doing) TOTALS/AVGS. Goal/Activity: Skill‐Building/Job Readiness Job Training & Placement Skill‐Building/Job Readiness Placement at Cayuga Med. Ctr./Post‐Placement Support Amended Goal: n/a n/a n/a Skill‐Building/Job Readiness & Placement Numeric Objective: 20 LMI individuals 10 LMI individuals │ 5 placements n/a 7 LMI youth placements at CMC IURA Funding: $78,500.00 $86,000.00 n/a ($0.00) $52,776.00 $217,276.00 Cost per Enrollee: $3,413 $5,733 n/a $1,599 $3,582 Prior to Entry ‐ Unemployed: n/a n/a 26 n/a Enrolled: 23 15 34 33 105 Completed: 19 11 30 18 78 Retention Rate: 82% 73% 88% 54% 74% Secured Full‐Time Employment: 2 7 9 18 [2 (CMC), 7 (career‐path), 9 (non‐career path)] 36 Met Job‐Placement Goal by: n/a 140% n/a *not IURA‐funded (included for comparison purposes) 2014-15 Program Year Historic Ithaca (Work Preserve)* GIAC (HETP) Finger Lakes ReUse (ReSET) TOTALS/AVGS. Goal/Activity: Skill‐Building/Job Readiness Job Training & Placement Skill‐Building/Job Readiness Numeric Objective: 20 LMI individuals 20 LMI individuals │ 5 placements 16 LMI individuals │ 3 Appren ceships IURA Funding: $82,500.00 $92,495.00 $26,330.00 $201,325.00 Cost per Enrollee: $2,115 $4,624 $907 $2,549 Prior to Entry ‐ Unemployed: n/a n/a 17 Enrolled: 39 20 29 88 Completed: 27 15 23 65 Retention Rate: 69% 75% 79% 74% Secured Full‐Time Employment: 5 11 10 26 Met Job‐Placement Goal by: *operated Dec. 2014‐Feb. 2016 2015-16 Program Year Historic Ithaca (Work Preserve) GIAC (HETP) Finger Lakes ReUse (ReSET) TOTALS/AVGS. Goal/Activity: Job Readiness & Placement Job Training & Placement Skill‐Building/Job Readiness Numeric Objective: 20 LMI individuals │ 3 placements 16 LMI individuals │ 4 placements 21‐33 LMI individuals │ 3 Appren ceships IURA Funding: $87,500.00 $109,372.86 $23,759.00 $220,631.86 Cost per Enrollee: $5,468 $6,835 $678 $4,327 Prior to Entry ‐ Unemployed: n/a n/a 20 Enrolled: 16 51 35 102 Completed: 8 28 33 69 Retention Rate: 50% 55% 94% 66% Secured Full‐Time Employment: 5 17 13 35 Met Job‐Placement Goal by: 166% 425% 433% 341% 2016-17 Program Year Historic Ithaca (Work Preserve) GIAC (HETP) TOTALS/AVGS. Goal/Activity: Job Readiness & Placement Job Training & Placement Numeric Objective: 20 LMI individuals │ 4 placements 16 LMI individuals │ 4 placements IURA Funding: $87,500.00 $100,000.00 $187,500.00 Cost per Enrollee: $4,375 $5,263 $4,819 Prior to Entry ‐ Unemployed: 15 13 28 Enrolled: 22 19 41 Completed: 12 17 29 Retention Rate: 55% 89% 72% Secured Full‐Time Employment: 5 13 18 Met Job‐Placement Goal by: 125% 325% 225% 2017-18 Program Year CCE (Food Entrepreneurship) GIAC (HETP) Historic Ithaca (Work Preserve) TOTALS/AVGS. Goal/Activity: Skill‐Building & Micro‐Enterprise Job Training & Placement Job Readiness & Placement Numeric Objective: 8 LMI micro‐enterprises 20 LMI individuals │ 14 placements 20 LMI individuals │ 6 placements IURA Funding: $36,191.01 ($395.99 unused.) $100,000.00 $87,500.00 $223,691.01 Cost per Enrollee: $3,016 $5,000 $4,167 $4,061 Prior to Entry ‐ Unemployed: 10 14 17 41 Enrolled: 12 20 23 55 Completed: 8 20 15 43 Retention Rate: 66% 100% 65% 77% Secured Full‐Time Employment: 8 16 4 28 Met Job‐Placement Goal by: 100% 114% 67% 94% 2018-19 Program Year Finger Lakes ReUse (Job Skills Training) GIAC (HETP) Historic Ithaca (Work Preserve) TOTALS/AVGS. Goal/Activity: Skill‐Building/Job Training & Placement Job Training & Placement Job Readiness & Placement Numeric Objective: 20 LMI individuals │ 4 placements 17 LMI individuals │ 12 placements 20 LMI individuals │ 6 placements IURA Funding: $71,800.00 $110,000.00 $87,500.00 $269,300.00 Cost per Enrollee: $3,264 $5,000 $3,500 $3,921 Prior to Entry ‐ Unemployed: 23 20 25 68 Enrolled: 23 20 25 68 Completed: 12 14 15 41 Retention Rate: 52% 70% 60% 61% Secured Full‐Time Employment: 3 13 5 21 Met Job‐Placement Goal by: 75% IN PROGRESS (59% EXPENDED) 116% 83% IN PROGRESS (66% EXPENDED) 91%