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New Housing Funds, Candlewood Project Delays

Thursday, May 19, 2022 Austin Housing Finance Corporation (AHFC) Board of Directors Regular Meeting
  • Candlewood Project Withdrawn:

    A controversial proposal to fund renovations for the Candlewood permanent supportive housing project was pulled from this agenda, following public opposition regarding costs, security issues, and reported vandalism.
  • Millions for Affordable Housing:

    Over $9 million in loans were approved for five new affordable housing developments across Austin, including projects for seniors, families, and homeownership opportunities, funded by 2018 housing bonds.
  • Community Concerns Voiced:

    Residents expressed strong opposition to the Candlewood project, citing transparency issues and concerns over property damage and security. Objections were also raised about another development potentially concentrating poverty in one area.

Full Transcript

Austin Housing Finance Corporation (AHFC) Meeting Transcript – 5/19/2022 Title: ATXN-1 (24hr) Channel: 6 - ATXN-1 Recorded On: 5/19/2022 6:00:00 AM Original Air Date: 5/19/2022 Transcript Generated by SnapStream Please note that the following transcript is for reference purposes and does not constitute the official record of actions taken during the meeting. For the official record of actions of the meeting, please refer to the Approved Minutes. [1:36:44 PM] 1:36. I am going to convene the Austin housing finance corporation here on may 19th, 2022, we're in Austin city chambers. We have all the directors present. And we're -- the time is 1:36. We have some speakers that we're going to call. We're going to hear the speakers and then recess the Austin housing finance corporation meeting, go back into the Austin city council meeting and take the public communication speakers, and then break. Councilmember tovo, councilmember kitchen. >> Tovo: I apologize for interrupting you, but before we received and convened I was going to ask if we could postpone another item on the council agenda if it didn't cause concern from staff. I haven't heard back, but that might save us time. It's item 17 that was also scheduled to have some questions in executive session. >> Mayor Adler: Is staff okay -- >> Tovo: It would be inappropriate for me to mention it now, but I did want to wrap [1:37:46 PM] it up. >> Mayor Adler: Let's go into executive session, we can postpone it after we come back out. >> Tovo: I was trying to save our staff time here, but okay. >> Mayor Adler: Let's go to executive session. All right. But we're in the Austin housing finance corporation meeting. Please call the speakers that we have. We're not going to consider any of the items unless it's real fast on consent, in which case you can do that. But let's hear the speakers first. >> The first speaker is Shirley Crossland. >> Harper-madison: Are we going to hear from the speakers? Mandy Demayo is at the podium. >> Hello. >> Mayor Adler: Hang on one second. I would hear from the speakers first. If there's not going to be any debate or discussion and the consent agenda item can be handled in two minutes then I would handle it and pass it and then you can end the -- if there's any discussion, then hold it until aft lunch, [1:38:46 PM] because what you're wanting to do is get out of Austin housing finance to get back into our regular one so you can hear public communications and then take a break. Speakers, please, on ahfc. >> Shirley Crossland. >> Sorry, I lost connection. >> Not replace and repair a lot of things they were supposed to. For instance, the hotwater tanks and the air conditioners. And those will be an ongoing [1:39:48 PM] thing until the renovation starts. Thank you for your time. Again, I support this. >> Next speaker is Sanjay shadari. Sanjay? >> The next speaker is maury shadari. >> Hello, mayor and council, my [1:40:49 PM] name is Marie, owner of the Hampton and Homewood. I am against ahfc zero zero seven. First, the city spent 9.5 million to buy candlewood and now they want to give 3.9 million to family elder care to renovate. Has the city forgotten how much it will cost to repair damage from vandals? Probably a good million. All taxpayer money. Is there a shelter up yet? No. City says, shelter will be up in six months. How can that be when it's been sitting empty for nine months? Was security provided? No. Our wooden fences were damaged. Will city replace? We want this done immediately for our safety. No to candlewood. Thank you. >> Zenobia Joseph. >> Thank you, mayor, council, I'm Zenobia Joseph speaking on item 4, which is the juniper creek development. [1:41:49 PM] I'm opposed to this development because it concentrates poverty near breaker and north Lamar, route 392, 45 minutes to the west side. As it relates to item 7, $3.9 million from the American rescue plan act for candlewood, I oppose this item because you have not treated the permanent supportive housing development equitably. 151 units on Rutland with no bus and here you have only 78 units. I would like to know how much it is per individual at this cost. I would also mention, mayor, specifically that there are students near Rutland. And you have actually engaged staff to create a nonprofit to oversee the candlewood with family elder care. And you've not done the same with espero. May 3rd, you said there would be [1:42:52 PM] 50 units. May 18th you did a switcheroo with S.A.F.E. Alliance -- >> Your time has expired. >> Apple pie hotel. If you have any questions, I'll gladly answer them at this time. >> The next speaker is Sanjay shadari. >> Dear mayor and council, my name is Sanjay. I'm calling to oppose item ahfc zero zero seven. I manage businesses adjacent to candlewood in district 6. What happened recently to candlewood is unacceptable. However, it didn't happen overnight. And it was unfortunately predictable. Apart from the neighborhood not given notice or due process of the purchase of candlewood, one of our points was being given verbal promises that were not going to be kept. The promise of security didn't happen. Diana gray's apology is not [1:43:52 PM] acceptable. The city of Austin should be transparent and show the email or request for security. Whose fault was it, or was her statement an empty apology? You're discussing the renovation and management budget for the candlewood, but does it include the repairs to fix the damage? I think council should wait to vote on this item until you know -- [ buzzer sounding ] >> The full cost to repair and renovate. When what I have seen, without taking a tour, I think the extra cost will be close to an additional million dollars. Furthermore, I reluctantly don't think six months until it opens anymore. For that I think there should be a real apology to the neighbors and taxpayers. >> Thank you, speaker. Your time has expired. >> Okay. Thanks. >> That concludes all the speakers. [1:44:53 PM] >> Harper-madison: Thank you, clerk. If that is the conclusion of all our ahfc speakers, director -- I almost called you director truelove. Mandy, was there any additional information before we adjourn the ahfc meeting? >> Would you like me to go over the consent agenda? >> Harper-madison: Yes. >> We have six items on the agenda. I'd like to note that item number 7 has been withdrawn. There's late backup for item number 7 withdrawing that item and it is currently on the city agenda, city council jade agenda, number 85. The six items on the agenda include meeting minutes from April 21st and then we have five loans that we're requesting approval of. The first one is $750,000 for Arbors at creekside, 176-unit senior housing project in district 1. The second one is a [1:45:53 PM] $1.09 million loan for ownership, 23-unit housing project, 1905 in district 5. The item number 4 is $3.3 million for a rental project by foundation communities, a family project called juniper creek, 110 units. Item number 5, a $3 million loan for Saison north in district number 7, bringing the total loan to $6.2 million, 116-unit family project. Item number 6 is a $1 million loan for an ownership project called the ivory, that is also in district 1. And item number 7 has been withdrawn. And I'll note that five loans are all the result of the 2018 affordable housing bonds. And I offer all those items on consent. I'm happy to take any questions. >> Harper-madison: Colleagues, do you have any questions for the ahfc consent agenda? We need to vote on this, right? In which case I'll accept a [1:46:54 PM] motion. The motion is presented by councilmember pool. Can we get a second? By councilmember Ellis. We have a unanimous decision with mayor Adler, councilmember alter, and that's it, off the dais. With that, I think we will go ahead and conclude the ahfc meeting at 1:47 P.M. And resume the city council meeting at 1:47 P.M.