Community Development Advisory Committee

CDAC MINUTES DRAFT April 16, 2012 – 4:00 P.M. 23 Union St. – Basement Conference Room Members Present: Les King, Democles Angelopoulos, Robert McKeon, John Mathieu, Edward Derr, Lynn Norris Members Absent: Brian Eckenrode Others Present: Gary Evans and Susan Goldman Chairman Les King called the CDAC meeting to order at 4:04 p.m. Motion was made by Les King, seconded by John Mathieu to approve the minutes of the January 19, 2012 meeting. Motion carried unanimously. Motion was made by John Mathieu, seconded by Red McKeon to amend the order of the agenda to discuss agenda item #4 Greeneville NRZ Lighting Budget Adjustment after item #2. Motion carried unanimously. Greeneville NRZ Lighting Budget Adjustment Peter Procko & John Mercier Peter Procko explained that the cost of the street lights that were chosen by Greeneville NRZ is more than anticipated. They originally budgeted for 20 lights at $1,000/light fixture. The quote per fixture they received from NPU is $1,900. This means that they will have to reduce the number of lights installed on Central Avenue from 20 lights to 10. A map was provided with the locations that the 10 lights would be installed. Motion was made by John Mathieu, seconded by Demo Angelopoulos to approve the budget adjustment as presented. Motion carried unanimously. Norwich Police Department – $150,000: Downtown Security Camera System Captain Patrick Daley Cameras to be installed in the following locations:  Boswell Avenue from Bath Street north to Broad Street – 3 cameras.  City Landing/Railroad Place – 2 cameras. Camera mounted on the Rose Alley pump station covering the rear of Franklin Square and the Otis Library/Eastern Bank area. Additional camera mounted on telephone pole on Railroad Place covering the Parking Commission, Soup Kitchen and rear of Otis library.  Franklin Square – 1 camera  Richard Brown Park – 3 cameras. Camera coverage of Brown Park as well as limited coverage of the marina and waterfront area.  Courthouse Square – 1 camera. Camera on light pole to cover area of Shannon Corner and Main Street. Camera installation is approximately $15,000/site. The project is significantly more expensive on a per camera basis than the Greeneville project due to lack of utility poles to mount cameras to, underground utility paths are largely unknown/unmapped and absence of fiber network on Franklin St and Boswell Avenue requiring long runs from Broad St and Main St. All cameras used will be Pan Tilt Zoom models that can cover in excess of 150 ft in diameter. Captain Daley was asked which areas could be eliminated if funding was reduced. He stated that coverage of all proposed areas was equally important and eliminating any one of them would impact the welfare of the city as a whole. He was also asked how often the video would be monitored. Captain Daley stated that they would not be monitored in real time. However, if a call came in regarding a situation that was taking place in one of the areas where camera coverage was available it could be immediately monitored. The cameras have a 30 day storage capacity. Norwich Housing Authority - $115,000: JFK Heights I Roof Replacement Charles Whitty, Steve Garstka, Hector Baillargeon The project is needed in order to preserve and protect the integrity of the roofs and buildings at JFK I, which are over 60 years old. The project consists of removal and replacement of the old shingles with a 50 year Warranty shingle. Rotted sheeting will also be removed and replaced. New flashing, gutters and downspout ice shields will be installed. The total hard costs for this project are $230,000. The soft costs which will be paid by the Housing Authority consist of architectural and engineering fees, advertising, printing and environmental testing. The project will be executed in two phases JFK Heights I is a State Moderate complex consisting of 35 buildings/64 units and 193 residents. 91% of the residents are very low income and 29% are extremely low income. Almost one quarter of the families have an income under the Federal Poverty level. The committee asked for clarification regarding the PY37 grant. Mr. Whitty stated that last year’s funding is being used for a roofing project at JFK Heights II. The bids were very competitive and the project is ahead of schedule. Another question was posed regarding pursuing grants other than CDBG. Mr. Whitty stated they had a grant pending for funding to rewire electrical and fire alarms at the State elderly complex. When asked how reduced funding would affect the project Mr. Whitty stated that spreading the project out over more years would result in a projected increase in construction costs, as well as additional advertising, document preparation and other related expenses. He estimated an additional $15,000 in costs per bid. Mr. Baillargeon thanked the committee on behalf of the residents of the Norwich Housing Authority. United Congregational Church of Norwich - $179,867: Community Center Renovation Linda Lantz and Reverend John Lantz The application is being submitted on behalf of five organizations that utilize the lower level of the church. The funds will be used to renovate the downstairs portion of the church in addition to purchasing some equipment. Funding this project would be a cost effective way to provide a community center type setting. It fits in with the revitalization plan for downtown Norwich. The Church services many diverse groups. Bully Busters oversees an after school program where children have access to a library and computers. The NAACP maintains an office in the facility. Both groups also use space at the Salvation Army. In addition, The Chelsea Theater Group uses the facility. This location provides a healthy, nurturing space for the community. Furthermore, it is a safe venue with ample parking. The Committee expressed some concern regarding the issues raised in the 2009 audit. Reverend Lantz stated that prior to his arrival the Church record keeping was abysmal and he has made the necessary fiscal changes. The Committee asked if there was a more current audit and was told that 2009 was the last audit year available. The Committee also inquired about the Montessori School. They were told the school moved out due to lack of space in the facility. CD Office Programs – Gary Evans Gary Evans explained the concept of the Neighborhood Preservation Program which encompasses the following programs: Property Rehab, Home Ownership and Economic Development. He explained the Theory of Change which says that comprehensive stabilization occurs when we focus on business retention and expansion combined with job creation and financial self-sufficiency. As income and self-sufficiency increases, the housing stock and neighborhoods improve through increased property maintenance and homeownership. This improvement results in increased property values and tax revenue, ultimately leading to stabilizing both residential and commercial tax bases. Therefore, the City needs to invest in projects/programs that focus on business retention and expansion as well as neighborhood preservation. Community Development Office – $250,000: Property Rehabilitation Program Wayne Sharkey This program offers 0% interest loans to property owners to address code correction, energy efficiency, lead paint issues and overall safety issues. Owner occupants receive a 30 year payback period while investors repay over 10 years. Elderly homeowners receive a deferred loan that is repaid when they no longer reside at the premises or upon property title transfer. The parameters of the program are based on Need, Financial Feasibility and Property Benefit. Items that provide the largest impact for the funding available are addressed. Energy Efficiency upgrades provide a way to lower monthly housing costs. The property rehab funds will be used as a leveraged match in conjunction with the lead funds. 80% of the homes in Norwich were built prior to 1978 and have lead paint issues. 30 units will be assisted with Lead paint and/or rehab funds. The lead grant has a healthy homes component which will make funds available to address safety and other health related issues like mold, bug infestation, etc. The Committee asked about income eligibility for the program. Mr. Sharkey explained that income was based on the tenant’s income, not the landlord. The landlord is incentivized to make the necessary repairs by accessing this 0% interest loan. In the process the tenant becomes the beneficiary of a safer and healthier place to live. Community Development Office - $125,000: Home Ownership Assistance Program Gary Evans The purpose of the Home Ownership Assistance Program is to prevent de-stabilization through the reduction in the amount of vacant homes and/or promote financial security of participating homeowners. By placing stable homeowners into properties you help solve this need through increased maintenance of properties, decreased vacancy rates & blight, stabilized tax base/revenue, decrease in crime, change in value/belief system, increased assets for future and change in personal pride and community pride. This program will be available to owner occupant first time home buyers. The funds can be used towards down payment, interest rate reduction and closing costs. The program will partner with multiple institutions and train these partners on the policies and procedures that must be followed regarding the use of these funds. The CD office will underwrite all proposals in-house after lender approval to ensure program compliance. Individuals applying will be required to attend a first time homebuyer workshop through a HUD approved housing counseling agency. Approximately 18-25 residents will be served. 10-15 will be assisted directly by becoming new homeowners as a result of this assistance. An additional 8 – 10 will be assisted indirectly by referring them to programs that improve credit scores and improve knowledge around budgeting. Community Development Office - $110,000: Economic Development Job Creation/Retention Gary Evans Prior to formulating this program the CD Office did field research. The office interviewed financial institutions, employers, educators and employment counselors. Insufficient cash flow and collateral were two major barriers to job expansion. Employers are unwilling to expand using borrowed funds due to the negative effect this increase in debt may have on their company. This additional debt that is necessary in order to grow the business may cause their balance sheet to look less favorable. This program will bring employers, employment counselors, lenders and employment educators together to make scalable impact. This will be accomplished through following three activities: (1) Direct Funding to Businesses for Relocation/Expansion – Businesses would be funded based on the number of Full Time Equivalent Positions that they hire. The funds could be used for a variety of HUD regulated opportunities. (2) Partnership with Technical High School and other Youth Partners – The trade industry requires a specific number of hours in order to become a licensed apprentice. Achieving those hours is the single greatest barrier to a student who would like to attain this licensure. The top two obstacles an employer faces in hiring these newly graduated students are the cost of workman’s comprehensive insurance and apprentice-to-license ratios. These funds could be used to offset these two costs. (3) Leverage Business Development Knowledge and Government Incentives – This program will work with businesses as partners and find creative ways to attract new businesses and provide incentives in order to promote expansion of existing businesses. We will act as a matchmaker and provide an enhancement to other existing government programs. Studies have been done in Norwich within the last two years that point to the need for retaining educated and well trained employees between the ages of 18 to 35. This program begins that step by tying better paying entry level jobs to 18 year olds. The concept is to solidify deeper community roots with job opportunities. The end result is retaining a core talent pool in Norwich which stabilizes the tax base. Adjournment Motion was made by John Mathieu, seconded by Democles Angelopoulos to adjourn. Motion carried unanimously. The CDAC meeting ended at 5:45 p.m.