HomeMy Public PortalAboutCommunity Preservation Committee -- 2018-10-10 Minutes •:1
r 1 1_r-1
\\\\\\\\\11111111111111f11///j//// ;m•• l"'^J
E W Y 09 i
o ° 9 ' 2198 Main Street APPROVED : 10/24/18
rn
_ Brewster, Massachusetts 02631 - 1898 '
/°OOH//i/i E Rye°R�Bo° \\ (508) 896 - 3701
VOTE : 8 -0-0
FAX (508) 896 - 8089
COMMUNITY PRESERVATION COMMITTEE
Held a Regular Meeting
on Wednesday, October 10, 2018 at 4 : 45 p.m .
at The Brewster Town Office Building, 2198 Main Street, Brewster, MA
MEETING MINUTES FOR OCTOBER 10 , 2018
Present : Chair Paul Ruchinskas, Faythe Ellis, Elizabeth Taylor, Diane Pansire , William Klein,
Roland Bassett, Sharon Marotti , and Peggy Jablonski (arrived at 5115 PM)
Absent : Barbara Burgo
Also Present : Donna Kalinick and Jill Scalise
Chair Paul Ruchinskas called the meeting to order at 4 : 50 pm .
Recording or Taping Notification : ` As required by the Open Meeting Law we are informing you that the Town 11411
be videotaping and/or audio taping this public meeting In addition, if anyone else intends to either video or audio tape
this meeting they are required to inform the chair. " We request that all cell phones be turned off or to vibrate.
1 . Revote of 9/ 12/ 18 authorization to borrow for the Long Pond open space acquisition
MOTION to authorize the borrowing for the Long Pond open space acquisition .
MOVED by Faythe Ellis , Seconded by Rollie Bassett
VOTE : 7-0-0
2 . Revote of 9/ 12 recommendation of $200 , 000 award to Habitat for Humanity with
conditions for Phase 2 of Paul Hush Way community housing development .
MOTION to recommend to Town Meeting a $200 ,000 award for Habitat for
Humanity ' s community housing request for Phase II of Paul Hush Way with conditions
similar to Phase I and with Diane Pansire serving as liaison .
MOVED by Rollie Bassett, Seconded by Sharon Marotti
VOTE : 7-0-0
3 . Treasurer ' s Report
Sharon distributed an updated report to the Committee which reflect the actual balances
in the accounts at the end of FYI (FYI 9 Forecast as of October 9, 2018) .
Unfortunately, this represents all the revenue that should have been distributed to the
1
Community Preservation Committee Minutes : October 10, 2018
various accounts which all ended up in the 30 % fund . Paul met with Lisa Souve today to
see about reallocating the funds to the proper accounts . At this point, the balances
provided at the meeting are what the Committee has to work with . Sharon also provided
some potential adjustments to accounts . These amounts include any re-appropriations
from the 30% fund to the other accounts as well as some anticipated revenues such as
from BCT for the Meeting House Project and a grant from MA DOR. If and when all
those adjustments are received and credited back to the accounts , those amounts are
reflected in those total anticipated amounts listed . The Chair explained that regarding the
unreserved funds listed, after meeting with Lisa, she confirmed that the roughly
$ 1 . 15million of CPA funds that were received are sitting in the 30% fund . Those funds
need to be reallocated at Town Meeting through a budget transfer article . The Chair
further explained that after meeting with Lisa he was informed that some of the
anticipated revenues they are expecting will likely go into a CPA Revenue Account and
at the end of the year that account is closed out and the funds go into their respective
places . This means that the roughly $ 500 , 000 of anticipated Open Space funds would not
be available until July 1 , 2019 . Regarding the FYI unexpended professional
services/admin to reserves , Lisa was going to check with Barbara Costa to see what could
be done with those . Town Meeting warrant article states that they should go back to the
respective funds but that has not been done . However, Barbara Costa has to complete
working on the other accounts before looking at CPC again . Paul stated that as far as
their voting purposes , they should use the FYI Estimated Unreserved Fund Balance as
of 10/09/2018 that Sharon provided to the Committee because that is what being shown
in the account books right now despite the changes that will happen at Town Meeting in
December.
4 . Discussion and possible vote of recommendation with conditions of Brewster Affordable
Housing Trust ' s $ 100, 000 community housing funding request.
Donna Kalinick explained that a municipal affordable housing trust was created at the May 2018
Town Meeting . All the trustees were appointed by mid-July and there have been several
meetings already . When the trust was created a decision was made not to apply for CPC funds in
tandem with the creation of the trust and allow the trust to be formed and then have the trustees
decide what direction they wanted to go in in terms of applying for CPC funding and also
looking at potential sources through the town . That discussion took place at the first meeting and
the only source of income that the trust currently has is the $ 87, 000 that was transferred initially
from the old affordable housing fund that is not restricted however it is common for municipal
affordable housing trusts to apply to CPC for funding. Since this trust is in the initial goal setting
stage , they are not specifically saying exactly what they plan to do with the money other than to
lay out the guidelines that they are using from the housing production plan . If there are
opportunities where they want to start the process of forming programs , they provided some
examples . Donna further explained that the trust has to start somewhere . They decided that
$ 100, 000 was an appropriate request at this point in time . They are also asking the town for
$ 50, 000 though because of the current financial situation of the town, it is likely that that request
2
Community Preservation Committee Minutes : October 10, 2018
and likely all requests will go to the Spring Town Meeting and potentially will not be heard at all
at this upcoming Town Meeting ,
The Chair stated that the recommendation from the CPC Housing Sub - Committee was to
recommend the $ 100, 000 for the purpose of the Millstone pre- development expenses and the
remainder for any CPA eligible activity and that there be a grant agreement . They are
recommending that the funds would be transferred to the trust within thirty days of the execution
of the grant agreement and they would be able to use the funds as they see fit assuming they are
CPA eligible . They would be required to provide reports to the CPC quarterly . The funds would
need to be used within two years . The grant agreement can be extended by mutual agreement .
Also , Diane Pansire would serve as liaison .
Donna explained that the trust is required to report back to CPC on whatever money that they use
that came from CPC funding . The trust has to track those expenditures separate from other
expenditures that are not CPC funds .
MOTIONmade to award the $100,000 to the Brewster Housing Trust for Millstone pre-development
expenses along with other opportunities that may arise with the exception of administrative expenses.
The grant agreement should have a condition that funds be spent by December 31 , 2020 and the CPC
will give the funds within thirty days of the execution of the grant agreement. There should also be
reports to the CPC from the Trust every three months, Diane Pansire will serve as liaison, and the
funds should come from the Housing Reserve and/or the 30 % Reserve funds.
MOVED by Diane Pansire, Seconded by Rollie Bassett
VOTE : &0-0
5 . Discussion and possible votes on the funding source (s) for the following CPC Town Meeting
recommendations :
a . Habitat for Humanity
b . Cape Rep Theatre
c . Brewster Affordable Housing Trust
a) MOTION made to take the full $200 ,000 award for Habitat for Humanity from the 30 %
account.
MOVED by Sharon Marotti, Seconded by Rollie Bassett
VOTE : &0-0
b) MOTION made to split the award for Cape Rep with $ 150 ,000 coming from the
Historical account and $260 ,000 from the 30 % account.
MOVED by Faythe Ellis , Seconded by Rollie Bassett
VOTE : &0-0
c) MOTION made to split the award for the Brewster Affordable Housing Trust with
$50 , 000 coming from the Housing account and $50 ,000 coming from the 30 % account.
MOVED by Rollie Bassett, Seconded by Sharon Marotti
VOTE : &0-0
3
Community Preservation Committee Minutes : October 10, 2018
6 . Discussion and possible votes on conditional award letters for the following :
a . Habitat for Humanity
b . Cape Cod Museum of Natural History
c . Cape Rep Theatre
a) A discussion was held to add language regarding reimbursement as well as the requirement
for quarterly reports to the conditional award letter for Habitat for Humanity .
MOTION to approve the conditional award letter for Habitat for Humanity to be sent with
the discussed changes .
MOVED by Rollie Bassett, Seconded by Faythe Ellis
VOTE : 8-0 -0
b) VOTE will be taken at the next CPC meeting.
c) VOTE will be taken at the next CPC meeting.
7 . Discussion and vote on requested amendments to the award letter for Cape Cod Village and
other amendments , including authorization for liaison to approve condition 4) of the award letter
on behalf of the CPC .
In early September, Cape Cod Village started what are called "closing calls" with all the attorneys
involved in the funding of the developments . The Chair listened in on the first call and one of the
things that came out of that call was that with one of the conditions in section 4 which states that
before they release any funds they have to execute a contract with a licensed social service agency,
that actually does not get executed until the project is completely done and people are already in
there . All the other funders on the call said this is a "post-closing" item. Therefore, this is
something that Cape Cod Village cannot satisfy for the release of CPC funds . The Chair suggested
they take this condition out of section 4 and move it to section 8 which states that they are basically
withholding the last $ 10, 000 of the award until the occupancy permits for the 15 units are in place .
This would be a second condition before the release of the final $ 10, 000 . The Chair also offered to
go through the documents as they come in to "check- off ' each one as the liaison rather than the
documents all being sent to each CPC member for review.
Finally, the last change would be in section 7 to have Donna Moberg replaced with Sarah Plebes as
to who the funding request should go to .
The Chair checked with Town Counsel who agreed that another amended award letter could be
inserted into the grant agreement and that would become the updated grant agreement.
Sharon located a typo on the award letter that requires correction as to who the funds will be made
available to . Currently, it states Cape Rep but should read Cape Cod Village .
MOTION made to accept the discussed amendments to the award letter for Cape Cod Village.
MOVED by Elizabeth Taylor, Seconded by Rollie Bassett
VOTE : 8-0-0
4
Community Preservation Committee Minutes : October 10, 2018
8 . Discussion and possible vote on $ 30, 000 housing buy- down request
Jill explained that they have a request for a buy-down grant of $ 30 , 000 which is for an affordable
deed-restricted home in Brewster that is on their subsidized housing inventory right now . The
local family that is looking to purchase the home does meet the financial eligibility guidelines
and are first time homebuyers . They also have a pre-approval for a mortgage . The cost of the
house is $ 187 ,240 . They also provided a home inspection which found a major defect in the roof
so the roof would need to be replaced . The estimated cost to replace the roof is about $ 7 , 000 .
They were unable to get a firm cost of the roof replacement as they do not yet own the home and
so were only given a basic estimate . $23 , 000 of the requested grant would go towards buying
down the purchase price of the home and the remaining $ 7, 000 would go into an escrow account
that would be paid to the homeowners at the time the roof is replaced . If the grant is given, the
family will still be paying over 30 % of their gross income for their housing expenses . Without
the grant, they will be paying closer to 38 % of their gross income for housing expenses .
Elizabeth asked about the deed-restriction and whether a new one would be placed in perpetuity.
Jill explained that this home would have a new deed restriction that would go in to perpetuity .
Jill further noted that this particular home did receive buy-down funds earlier as there was a lot
of work that needed to be done on this home and it was actually a collaborative effort by the
Department of Housing and Community Development and the CPC to have some work done that
was needed and bring down the cost because of the gap with the original deed and the way resale
percentage was calculated that made it unaffordable at that time . This deed restriction will
continue to survive foreclosure .
Faythe stated that there are two ways that buy- downs are typically used . One way is to reduce
price and the other is to reduce payments . This particular buy- down would be a price reduction .
Jill confirmed that this buy-down would be to reduce price and stated that the resale amount for
the future would be based on the reduction in price . This would be a benefit for a future buyer as
well .
Jill also stated that since they redid the buy- down application and greater marketing of the
program they do have three applications on the waitlist who all meet the eligibility criteria . This
is the first family on the waitlist to come forward with a purchase and sale agreement .
The Chair asked if the family has the funds to cover the difference should the roof cost more than
$ 7 , 000 to replace to which Jill replied yes . The Chair then asked if the roof only cost $ 6 , 000
where the remaining $ 1 , 000 would go . Jill stated that she would ask that any remaining funds
could go towards repairing other defects that were identified in the home inspection . Otherwise
the funds would be returned . The attorney is willing to hold these funds in escrow.
Diane stated that if the bank is aware (through an appraisal) that the roof needs to be replaced
they usually hold back 1 . 5 times the cost of the work. Jill explained that there is no appraisal in
this home sale because the price is determined by the deed restriction and the multiplier . Diane
also asked if the buy- down was like the family signed a contract that says the purchase price is
lower or if it is like down payment assistance . Jill explained that the resale price of the home
5
Community Preservation Committee Minutes : October 10, 2018
with the multiplier was $ 187, 240 which is with the resale fee to Housing Assistance Corporation .
The grant check would go to the closing attorney and used however they use it in the cost. For
the purposes of the sale price of the home for the Department of Housing and Community
Development it is seen as a reduction in the cost.
MOTION to approve the $30 ,000 housing buy-down request.
MOVED by Rollie Bassett, Seconded by Peggy Jablonski
VOTE : 8-0 -0
9 . Update on Town Meeting warrant and meetings
The draft of the first three awards that were made have been sent to Susan Broderick . The award
for the housing trust will have to be added . Typically, these come back to the Committee for
everyone to look at and approve . The issue is that the current deadline for the final warrants is
October 19 . The Chair is hoping for a few days ' extension to draft the warrant articles . Donna
Kalinick stated that she would encourage sticking with October 19 because there is the possibility of
changes after legal reviews . She stated that there is a good chance that the legal review changes will
be provided prior to the next CPC meeting of October 24 .
CPC has been asked to go before the Select Board on October 29 . A date has not yet been set to go
before the Finance Committee .
10 . Preparation for the required annual public hearing on CPA needs - November 14 , 2018 .
A discussion was held regarding the required annual public hearing on CPA needs which will be
held on November 14, 2018 . The Chair will be sending a legal ad to Sarah to be submitted into
the Cape Codder on October 19 and October 26 . Additionally, Sarah will send the legal notice
by email to appropriate individuals . The list of individuals from last year will be sent to
Committee members for review, additions , and deletions . Sarah will then work from that
updated list to send out this year ' s legal ad .
11 . Vote to approve minutes of September 12 , 2018 CPC meeting and vote to approve minutes of
September 25 , 2018 housing sub -committee meeting.
MOTION to approve the minutes of the September 12 , 2018 CPC meeting with discussed
revisions .
MOVED by Rollie Bassett, Seconded by Diane Pansire.
VOTE : &0-0
MOTION to approve the minutes of the September 25 , 2018 CPC Housing Sub -Committee
meeting with discussed revisions .
MOVED by Faythe Ellis , Seconded by Diane Pansire
VOTE : &0-0
6
Community Preservation Committee Minutes : October 10, 2018
12 . Announcements J
Faythe provided an update on the Cape Housing Institute . She provided a summary of the
changes from the last Housing Institute which includes updates and summaries of each session
topic . This was requested information in the grant agreement. Faythe also provided Elizabeth
with an invoice .
Donna stated that the Town Administrator ' s search committee and consultant has been formed.
The Select Board is holding a public listening session on Wednesday, October 17, 2018 at 7 : 00
PM . They hope for members of the public to attend and provide input of what they are looking
for in the next Town Administrator .
13 . Items that the Chair could not reasonably anticipate .
The Chair requested authorization for the officers to submit to Sue Broderick for the warrant
article budget transfer for the request that the appropriate funds within the 30% account be
moved into the respective Open Space and Housing Accounts .
MOTION to authorize officers submit a budget transfer article to Sue Broderick for funds
to be moved from the 30 % account to the respective Open Space , Historic, and Housing
Accounts .
MOVED by Sharon Marotti, Seconded by Diane Pansire
VOTE : 8-0 -0
14 . Next meeting : Wednesday, October 24 , 2018 at 4 : 45 PM
MOTIONto adjourn .
MOVED by Rollie Bassett, Seconded by Sharon Marotti
VOTE : &0-0
Respectfully su mitted by,
J:
Sarah L . Plebes , Recording Secretary
Items used at the meeting :
• Habitat for Humanity Award Letter
• Cape Cod Village Award Letter
• CPC Buy- Down Funding Request
• Cape Cod Village Letter to CPC to Amend Items
• CPC FY19 Forecast as of October 9, 2018
7
Community Preservation Committee Minutes : October 10, 2018
• Cape Housing Institute Progress Report
8
Community Preservation Committee Minutes % October 10, 2018