San Antonio Housing Trust

Posted on 11/15/2022 at 11:05 AM AGENDA A Regular Board Meeting for: SAN ANTONIO HOUSING TRUST will be held at Municipal Plaza B-Room 100 Military Plaza, San Antonio, TX 78205 and virtually via ZOOM: https://us02web.zoom.us/j/86906181175?pwd=cDvJMvC1Bmv408gFFFa1TJ0rMeSmgl.1 DIAL-IN NUMBER: 1-346-248-7799 MEETING ID: 869 0618 1175 PASSWORD: 745227 on Friday, November 18, 2022 beginning at 2:00 p.m. NOTICE: A quorum of the board of directors will be physically located at 114 W Commerce St., San Antonio, TX 78205 at 2:00 p.m. One or more of the Directors may attend this meeting by video conference pursuant to the requirements set forth in the Texas Open Meetings Act. An electronic copy of the agenda packet may be accessed at the San Antonio Housing Trust website under the CALENDAR/Board Meeting date page prior to the meeting. NOTICE: This meeting of the Board, being held for the reasons listed below, is authorized in accordance with the Texas Government Code, Sections 551.001 - 551.146. Verification of Notice of Meeting and Agenda are on file in the Office of the Executive Director. 1. Call to Order and Roll Call 2. Discussion and possible action to approve minutes of February 15, 2022 3. Public Comment – Interested speakers will have 3 minutes each to address the Board on agenda items or housing policy related matters. 4. Briefing on the San Antonio Housing Trust Fund 5. Adjournment Executive Session. The San Antonio Housing Trust reserves the right to adjourn into Executive Session at any time during the course of this meeting to discuss any of the matters listed on the posted agenda, above, as authorized by the Texas Government Code, Sections 551.071 (consultation with attorney), 551.072 (deliberations about real property), 551.073 (deliberations about gifts and donations), 551.074 (personnel matters), 551.076 (deliberations about security devices), and 551.087 (economic development). ANY ITEM DISCUSSED IN EXECUTIVE SESSION MAY BE ACTED ON IN OPEN SESSION Attendance by Other Elected or Appointed Officials: It is possible that members City boards, commissions and/or committees may attend the open meeting in numbers that may constitute a quorum. Notice is hereby given that the meeting, to the extent required by law, is also noticed as a meeting of any other boards, commissions and/or committees of the City, whose members may be in attendance in numbers constituting a quorum. These members of other City boards, commissions, and/or committees may not deliberate or take action on items listed on the agenda. [Attorney General Opinion – No. GA-0957 (2012)]. This facility is wheelchair accessible and accessible parking spaces are available. Requests for accommodations or interpretative services must be made 48 hours prior to this meeting. Please contact Nicole Collazo, for concerns or requests, at (210) 735-2772 or FAX (210) 735-2112.  San Antonio Housing Trust Agenda Item 2 This item includes the approval of minutes from the February 15, 2022 meeting.  MINUTES DATE: Tuesday, February 15, 2022 TIME AND PLACE: The San Antonio Housing Trust met in session at 4:00 p.m., via Zoom and in person at 100 Military Plaza, San Antonio, Texas 78205. PRESENT: Antoinette Brumfield, Councilwoman Teri Castillo, Eric Cooper, Councilman John Courage, Jordan Ghawi, Rachell Hathaway, Councilman Jalen McKee-Rodriguez, Marinella Murillo, Jane Pacione, Councilwoman Adriana Rocha Garcia, Councilwoman Phyllis Viagran, and Mark Carmona ABSENT: None STAFF/VISITORS PRESENT: Pedro Alanis- Executive Director San Antonio Housing Trust Public Facility Corporation; Nicole Collazo- Director of Operations San Antonio Housing Trust Public Facility Corporation; Lauren Bejaran- Sr. Administrative Assistant San Antonio Housing Trust Public Facility; Edward Muniga- D4; Ileana Sandoval- D9; Maria Lina- SEFLA Interpreter, Summer Greathouse- Attorney Bracewell, Jim Plummer- Bond Counsel Bracewell, Clarissa M. Rodriguez- Attorney DNRBZ; 1. CALL TO ORDER AND ROLL CALL: The meeting was called to order by Councilwoman Dr. Adriana Rocha Garcia and the roll was called by Nicole Collazo. 2. APPROVAL OF BOARD MEETING MINUTES FOR MAY 27, 2021. Councilwoman Viagran motioned, and Councilman Courage seconded for approval of the minutes with the correction from May 27, 2021. AYES: 12 NAYS: ABSTAINED: THE MOTION PASSED. 3. CITIZENS TO BE HEARD-INTERESTED SPEAKERS WILL HAVE 3 MINUTES EACH TO ADDRESS THE BOARD ON AGENDA ITEMS OR HOUSING POLICY RELATED MATTERS; A TOTAL OF 15 MINUTES WILL BE PROVIDED. Citizens to be Heard speakers: Kayla Miranda, resident of Alazan-Apache Courts. Peggy Pe𝐧 ̃a, resident of District 3. Steven Poppoon. 4. DISCUSSION AND POSSIBLE ACTION FOR ELECTION OF OFFICERS. Pete briefed to the board that all the board members currently sitting on the board can all vote for President, Vice President, and Secretary for the San Antonio Housing Trust Board. Jordan Ghawi asked Pete if only Councilmembers are allowed to vote for the appointment of officers for the San Antonio Housing Trust Board. Pete replied that all the members on the board, including Councilmembers and Community Board members are allowed to vote for officer positions. Pete opened the floor up for discussion of nominations for the stated open officer positions. Pete recommended to the board for the elected officials to serve 1 fiscal year terms, and the officers elected on February 15, 2022, meeting serve out the remainder of the current fiscal year. Councilman Courage recommended the first term be extended until fiscal year 2022-2023, an 18-month term, and then officers  elected in FY 2022-2023 will serve the 1 fiscal year term. Councilman Jalen McKee-Rodriguez nominated Councilwoman Phyllis Viagran for Vice President, and Councilman John Courage nominated Jane Paccione for Vice President for the SAHT Board. The board took a vote on the subject matter and Jane Paccione was elected to serve as Vice President. Councilwoman Viagran and Councilman Jalen McKee-Rodriguez nominated Jordan Ghawi for the position of Secretary. MINUTES COMMISSION ACTION: The board voted to appoint Adriana Rocha Garcia for President, Jane Paccione for Vice President, and Jordan Ghawi for Secretary for the San Antonio Housing Trust. AYES: 12 NAYS: ABSTAINED: THE MOTION PASSED. 5. DISCUSSION AND POSSIBLE ACTION TO APPOINT BOARD MEMBERS TO SAN ANTONIO HOUSING TRUST FOUNDATION BOARD. Pete recommended to the board to appoint Jalen McKee-Rodriguez, Phyllis Viagran, Dr. Adriana Rocha Garcia, Teri Castillo, John Courage, Antoinette Brumfield, Eric Cooper, Jane Paccione, Marinella Murillo, Rachell Hathaway, Jordan Ghawi, and Mark Carmona to the Housing Trust Foundation Board. MINUTES COMMISSION ACTION: Jordan Ghawi motioned, and Councilman Jordan McKee-Rodriguez seconded to appoint Jalen McKee- Rodriguez, Phyllis Viagran, Dr. Adriana Rocha Garcia, Teri Castillo, John Courage, Antoinette Brumfield, Eric Cooper, Jane Paccione, Marinella Murillo, Rachell Hathaway, Jordan Ghawi, and Mark Carmona to the Housing Trust Foundation Board. AYES: 12 NAYS: ABSTAINED: THE MOTION PASSED. 6. DISCUSSION AND POSSIBLE ACTION FOR APPOINT COMMITTEE ASSIGNMENTS. Councilwoman Rocha Garcia briefed to the board about Jane Paccione and Councilman McKee- Rodriguez interest serving on the Governance and Policy Committee. Pete stated that Councilwoman Teri Castillo is also interested in serving on the Governance and Policy Committee. Councilman Courage, Marinella Murillo, and Jordan Ghawi expressed their interest to be assigned to the Finance and Audit Committee. Councilwoman Viagran stated she is interested to being assigned to the Finance and Audit Committee as well. Councilman John Courage recommended to the board that five board members be assigned to each committee, in the event of board members being absent during the committee meetings. Pete agreed with Councilman Courage and stated more than five board members to each committee could cause quorum quandary. One Councilmember and one community board member must be assigned to each committee, however, Pete suggested to the board that it would be beneficial to have two Councilmembers and three community board members on each committee instead. Pete stated that there would be more opportunities to join new committees in the future. Councilwoman Rocha Garcia read Pete’s committee recommendations out to the board. For the Governance and Policy committee, Pete recommended, Eric Cooper, Mark Carmona, Jane Paccione, Councilman McKee Rodriguez, Councilwoman Teri Castillo, and Councilwoman Phyllis Viagran.  Councilwoman Viagran asked Pete if the board members could go back and vote to change the committee assignments from five to three to four members per committee if the board members decide to no longer serve on certain committees. Councilwoman Viagran also stated that the Ad hoc committee would still need board members assigned to it and is not sure how board members would manage being on several committees at a time. Pete responded by saying the board president would be the one appointing board members to the committees and has the authority to remove board members from the committees. The recommendation for the Ad Hoc committee would include board members, members of the disability community in San Antonio, and nonprofit builders to create sustainable and universal design guidelines and standards for new multi family developments. Councilwoman Teri Castillo stated she is withdrawing her interest of being assigned to the Governance and Policy committee and is now interested in being on the Ad Hoc Committee. Jane Paccione also stated she wants to be on the Ad Hoc Committee instead of the Governance and Policy Committee. President Adriana Rocha Garcia declared Eric Cooper, Mark Carmona, Councilman McKee-Rodriguez, and Councilwoman Viagran, to the Governance and Policy Committee. Toni Brumfield, Jordan Ghawi, Marinella Murillo, Councilman Courage, and Councilwoman Viagran were declared to the Finance and Audit Committee. Jane Paccione, Councilwoman Teri Castillo, and Rachell Hathaway were declared to the Universal Design Committee. No motion needed. 7. DISCUSSION AND POSSIBLE ACTION FOR APPOINTMENT AND ENGAGEMENT OF A GENERAL COUNSEL Pete briefed to the board about the need for General Counsel and legal services for the San Antonio Housing Trust. The Trust began their search for General Counsel last summer of 2021 and anticipated having the board realignment around August 2021. Pete stated the proposal evaluations were postponed until the board realignment was completed. The evaluation team consists of: Frank Garza, a partner of Davidson Troilo Ream & Garza, Jameene Williams, current City Attorney, Leslie Hyman, Litigation and Business Attorney for Pulman, Cappuccio, & Pullen, LLP, Timothy Alcott, Chief Real Estate & Asset Management Officer for the San Antonio Housing Authority, and Pete and Nicole from the San Antonio Housing Trust. The Trust received 6 proposals in total and were evaluated by the evaluation team throughout several meetings. The evaluation team recommended to select Clarissa Rodriguez from Denton Navarro Rocha Bernal & Zech to serve as General Counsel for the San Antonio Housing Trust, San Antonio Housing Trust Foundation, San Antonio Housing Trust Public Facility Corporation, and the San Antonio Housing Trust Finance Corporation. Clarissa Rodriguez introduced herself to the board and stated she is a partner at Denton Navarro Rocha Bernal & Zech. The firm’s sole purpose is to focus on governmental law and working with Governmental entities. Denton’s founding partner was a former city attorney under Former Mayor Henry Cisneros. The firm has worked with other Public Facility Corporations and Housing Authorities in the past. Pete recommended to the board to appoint Clarissa Rodriguez, a partner of Denton Navarro Rocha Bernal & Zech, for General Counsel. MINUTES COMMISSION ACTION: Jordan Ghawi motioned and seconded by Councilwoman Viagran to approve the Evaluation Committee’s recommendation to appoint Clarissa Rodriguez from Denton Navarro Rocha Bernal & Zech for General Counsel.  AYES: 12 NAYS: ABSTAINED: THE MOTION PASSED. 8. DISCUSSION AND POSSIBLE ACTION TO ADOPT A “CONFLICT-OF-INTEREST” POLICY Pete briefed to the board about the bylaws that require all four entities within the San Antonio Housing Trust, INC. adopt a Conflict-of-Interest Policy. The Policy’s purpose is to protect the organizations tax- exemption interest when contemplating an action that might benefit and officer or director. The policy defines: interested person, financial interest, duty to disclose, determination if conflict exists, procedures for addressing the conflict, and violations of conflicts of interested party. Pete recommended to the board to adopt the Conflict-of-Interest Policy for the San Antonio Housing Trust. MINUTES COMMISSION ACTION: Eric Cooper motioned and seconded by Marinella Murillo to approve the adoption of the Conflict- of-Interest Policy for the San Antonio Housing Trust. AYES: 12 NAYS: ABSTAINED: THE MOTION PASSED. 9. ADJOURNMENT Councilwoman Rocha Garcia adjourned the meeting. There being no further business, the meeting adjourned at 4:58 p.m.  San Antonio Housing Trust Agenda Item 3 Public Comment Interested speakers will have 3 minutes each to address the Board on agenda items or housing policy related matters; a total of 15 minutes will be provided. Instructions to sign up for Public Comment via Zoom video conference. • To sign up for Public Comment please call 210-735-2772 24 hours prior to this meeting to place your name on the list.  San Antonio Housing Trust Agenda Item 4 Briefing and presentation of the Trust funds by the City of San Antonio Finance Department. Summary The San Antonio Housing Trust (the "Trust”) is a fund established in 1988 with a $10 million corpus by the City of San Antonio governed by a Board of Trustees appointed by the San Antonio City Council. The Trust fund is managed by the City of San Antonio Finance Department. The reserve requirement is set at $10 million dollars. In FY 2005, the Trust determined that each year SAHTF will set aside the interest received on notes funded by the Trust up to 1% of the loan portfolio balance due for the purpose of funding any future loan losses. The remaining interest and principal payments received each year are to be paid to the Trust. The City Finance Department presented a report on the FY 2022 status of the Fund along with an FY 2023 outlook to the SAHT Finance and Audit Committee on November 9th. An amount of $331,281 was accrued for the year ending September 30, 2021 and paid to the Trust in FY 2022. In addition, the Trust earned approximately $70K on investments for FY 2022. The amount available at the end of the fiscal year September 30, 2022, was $665,827 above the $10M corpus. The investment portfolio is summarized in the attached document. Note this reflected amount does not include the additional $233,533 “San Antonio Housing Trust Corpus Match Contribution” provided by City Council in their FY 2023 Adopted Budget. The Finance and Audit Committee requested that the City’s Finance Department assess whether it would be financially feasible to sell the $4.8M Federal Home Loan Bank Security which is only producing a .6% yield (interest rate) for a discount and reinvest the proceeds into a higher yielding security. This may not be feasible due to the deep discount necessary for a buyer to buy the bond, but the Finance Department will provide an analysis to the Executive Director. No action required for this briefing. Attachment: SAHT Trust Fund Report  City of San Antonio Housing Trust Fund Amount Available for Funding for Fiscal Year 2022 1 Fund Balance as of 10/01/21 10,264,047.01 Revenues: Interest Earned on Pooled Investments 10,607.10 2 Interest Earned on Investments 59,963.67 San Antonio Housing Trust Finance Corporation Contribution 331,281.00 Total Revenues 401,851.77 Expenditures & Encumbrances: Expenditures Encumbrances Total Reserve Requirement 10,000,000.00 0.00 10,000,000.00 Other Contractual Services 71.78 0.00 71.78 Total Expenditures & Encumbrances 10,000,071.78 0.00 10,000,071.78 Current Fund Balance as of 9/30/22 665,827.00 Amount Available at 9/30/22 $ 665,827.00 1 Fund balance adjusted for fair value investment adjustment of $55,346.70. 2 Interest Earned on Pooled Investments through 09/30/22. City of San Antonio, Department of Finance  City of San Antonio Housing Trust Fund Schedule of Interest Earnings for Fiscal Year 2022 Investment Portfolio at 10/01/21: *Interest Cash Total Cost Earned Received Type of Maturity Settlement Maturity Discount Coupon Premium/ Total Accrued Including through through Security Amount Date Date Rate Rate Price Yield (Discount) Cost Interest Accrued Interest 09/30/22 09/30/22 1 T-NOTE 2,500,000.00 02/02/21 02/28/22 1.8750% 101.91406300 0.0879414% 47,851.56 2,547,851.56 20,070.79 2,567,922.35 943.58 23,437.50 2 T-NOTE 2,500,000.00 02/02/21 02/28/23 1.5000% 102.85937500 0.1177710% 71,484.38 2,571,484.38 16,056.63 2,587,541.01 2,987.03 37,500.00 3 FHLB 4,840,000.00 02/12/21 02/12/26 0.6000% 100.00000000 0.6000000% - 4,840,000.00 - 4,840,000.00 29,040.00 29,040.00 9,840,000.00 119,335.94 9,959,335.94 36,127.42 9,995,463.36 32,970.61 89,977.50 Earnings on Reinvestment *Interest Cash Total Cost Earned Received Type of Maturity Settlement Maturity Discount Coupon Premium/ Total Accrued Including through through Security Amount Date Date Rate Rate Price Yield (Discount) Cost Interest Accrued Interest 09/30/22 09/30/22 1 FHLB 2,500,000.00 04/12/22 04/12/24 2.3000% 100.00000000 2.3000000% - 2,500,000.00 - 2,500,000.00 26,993.06 - 2,500,000.00 - 2,500,000.00 - 2,500,000.00 26,993.06 - Interest Earned Through 09/30/22 59,963.67 Total Interest Earned through 9/30/22 59,963.67 *Interest Earned represents Accrued Income, Cash Received, Amortization for Premium, and Accretion for Discount **Interest to be Earned represents Accrued Income on actual reinvestment City of San Antonio, Department of Finance