Travis County Commissioners Court
October 19, 2004
Housing Finance Corporation
Let call to order the Travis County housing finance corporation. We have
been disod pull number 1 -- we have been asked to pull number 1. May need
that again, may not. Mr. Davis will put it back on if we do. 2. Consider and
take appropriate action on request to approve changes to the program design
for the homebuyer assistance program funded with a grant from the Texas department
of housing and community affairs.
>> good afternoon, I’m harvey Davis, manager for the corporation.
And as you well know, we have a $300,000 grant from Texas department of housing
and community affairs to provide 60 forgivable loans to first-time home buyers.
To date we have closed on 10 of the 60 loans. And our time period for originating
the remaining 50 is until December 31st, 2005. I’m asking the board to --
today to approve three changes to our program design and in your backup is
-- is a letter -- to the Texas department of housing and community affairs
requesting approval for those changes and a -- and an amended memorandum of
understanding with -- with consumer credit counseling. Briefly, the three
changes are: consumer credit counseling has requested that the home buyer
instead of paying them directly, the -- the $75 fee for the home buying counseling,
we have contracted with consumer credit counseling to -- to provide the required
8 hour class. They have requested that -- that the home buyer pay the corporation
instead of consumer credit counseling, the reason that they have made this
request is that -- that in -- their interpretation of the h.u.d. Guidelines
for the use of home funds at a -- that the -- that the entity that is providing
the home buyer counseling cannot receive the funds directly from the home
buyer. And again in your -- in your backup is an amended memorandum of understanding
that we have with consumer credit counseling that incorporates this change.
The second change is that -- that in reviewing the program design, I realize
that we had made a mistake in saying that the $1,250 match contribution from
the builder would be a third lien and it was -- it's not a third lien, it's
a grant, that's the way that we have treated the 10 that we have closed so
far and so that change just correct this error in the program design. And
finally the third change is that we are saying that the -- that we are reimbursing
the home buyer the $75 fee for the home buyer counseling as part of the --
of the builder's contribution. So the home buyer is being refunded the home
buyer counseling through the builder contribution. And so with that, I --
I’m open to any questions that you all might have.
>> so is our very streamlined housing finance corporation
staff able to receive 50 more $75 payments and process them.
>> yes, we are.
>> as requested?
>> yes.
>> so these three changes make sense to you?
>> well, it makes it a little more difficult in that we have
a few more checks to write, but we can still accommodate this and hopefully
the -- the state will approve these changes, you know, the letter does ask
them to approve the changes and hopefully they -- I think they should -- I
think it improves the program a with a bit.
>> you recommend all three.
>> yes, sir.
>> that's why I move approval. Discussion? All in favor?
That passes by unanimous vote. With director Davis away. Let us know if you
encounter any unexpected problems on that. Okay?
>> okay. 3. Consider and take appropriate action on request
to approve payment to any baby can of Austin, inc.
>> I’m asking the board to approve the third and final payment
to any baby can in the amount of $166,666. The backup does say $667. But it's
-- this will make it an even $500,000.
>> every dollar matters, doesn't it, mr. Davis?
>> sure does, we wouldn't want to overpay them. Again this
is the third payment of a $500,000 contract. The provision -- the principal
provision in the contract is that they have to use the funds to pay on their
mortgage and I do represent to the board that the prior two payments they
have in fact done that and they are required to show documentation within
30 days after this payment.
>> if I can just very quickly say, I know that it was a huge
leap of faith, three almost four years ago, when the Commissioners court meeting
as the housing finance corporation took on this particular project, but if
dr. Leila karl were here and all of the folks that benefited at any baby can,
this truly was an investment that made a difference to this social service
agency and it allows them to spend more money on direct services and take
off some pressure related to the police where they are. So -- to the place
where they are. I want to say thank to you all current and past members of
the Commissioners court/housing finance corporation who helped make this possible.
>> second the motion. Any more discussion? All in favor?
That passes by unanimous vote.
>> move adjourn.
>> second.
>> all in favor? That passes by unanimous vote, also.
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Last Modified: Wednesday, October 26, 2005 3:30 PM