Travis County Commissioners Court
September 23, 2008
Item 37
>> now, 37 is consider and take appropriate action on request for funding to leverage $212,000 of federal funds for the blackland community development corporation. We discussed this item last week and I thought --
>> go ahead, judge.
>> but I thought it was the case manager -- actually when we look at the backup after our discussion last week, this really is sort of tantamount to a local contribution because they have 212,000 of federal funding, right, mr. Davis?
>> yes. Actually, we have communicate with ms. Headrick with the blackland community development corporation. As was stated last week we felt it was something that should come under the housing finance corporation and I think there is something under the housing finance corporation to actually look at this. And, of course, harvey, has there been anything different than what we're saying here today as far as what's being served as far as the elderly -- I mean, we're talking about some folks that -- senior citizens that are very low income. We're talking about six units. And have another unit for a family of -- median family income that will occupy -- we're talking about seven units and it's all in the big picture of, as the judge stated, as far as the language in the agenda item, as far as the federal leveraging these federal dollars of $212,000. So it's just basically a leverage standpoint. And, of course, if we have to amend the budget of the housing finance corporation, I think that would be more appropriate to do to make sure that these very low-income folks receive the leverage from the county. To move forward with the project.
>> I talked with the executive director yesterday and as far as I know there have been no changes in the proposal.
>> okay.
>> we do have a moratorium this the corporations. And we did notify all of those with capital requests in that there was a two-year moratorium.
>> right.
>> seems to me that this would be a no brainer if we had not put that moratorium in place. And with 200 plus thousand of federal money available, seems to me we ought to take it out of allocated reserve and get this done.
>> well, judge, I definitely would like to make a motion in that particular regard but let the source of funked come from allocated reserve.
>> I second that.
>> it makes a lot of sense. Common sense.
>> yeah, I guess the only concern that I might have is that there might be a legal restraint in doing this because this is for a capital type of project.
>> we'll get a legal opinion right now.
>> well, I'm not an attorney. I don't want to play one on t.v. Either. We had taken a look at this early in the budget process -- not earlier but when it was brought up in markup and felt it should be paid for by the corporations. There's some questions on if the general fund could pay for this because of their legal restriction to general fund reserves can be used. Whereas the corporations don't have those same restrictions. Typically capital projects from outside entities are paid for by corporation. And so it seems that's the appropriate funding source.
>> but with the advent that he brought up about the moratorium as far as the two-year time line, I understand that will maybe prohibit us from doing that.
>> could the court change their mind and make an exception?
>> let's approve it. Then take it from allocated reserve and we'll have it back on next week for a legal opinion or do you have one right now.
>> I don't have one right now.
>> if there is a problem with that, we'll look at other options. And I didn't know we were legally prohibit, I thought we went to the corporations because the capital items were just one time, and I thought that was a legitimate purpose of the corporation's funding rather than have them doing operating expenses because it would be a multi year commitment. If you take from the correspondence's budget one time, and even if you said half now and half later, still once do you that, that commitment is fulfilled. So I thought it was more of that than legal. But let's get a legal opinion next week. We'll have legal look at that for us. By the way, that was a good legal pin you gave.
>> [laughter] if we can take from allocated reserve, we'll do that. We'll have it back on the agenda next week in case we need it.
>> do we need to vote on that?
>> > why are we going to vote on it if we're waiting to see whether we can take it out of the corporation?
>> that way it won't be academic. Plus, I think we're keeping our words to the other --
>> this issue is on the corporation's agenda for this afternoon and we might be able to have a legal opinion by then.
>> we want a good legal opinion, mr. Davis. Not just a legal opinion. Really, it's keeping our commitment to the others. And some of them had -- but their requests were a lot larger. They were like 100,000, $200,000. But we sent that letter to about --
>> we had two that were 250,000.
>> so this is small compared to what we've done historically.
>> and it brings additional dollars.
>> and the benefit is outstanding. That's why I would approve it here. If the legal opinion is all right, then next week there won't be a need to pull it up. But if it's problematic, we'll have it posted.
>> so the approval is subject to.
>> right. That make sense? All in favor say aye? Shows Commissioners eckhardt, Davis, Gomez and yours truly voting in favor. Commissioner Daugherty voting against.
>> that's a f.y. '08 transaction that you just approved?
>> if it is, it will change my vote. Is it '08 or 9?
>> that's the question.
>> I was assuming it was '09.
>> it was a '09 question.
>> is it better to take it out of 2008?
>> I think it would be better to take it out of '09.
>> brings you a creative remedy.
>> thank you all.
>> let us know what action we took today.
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Last Modified:
Tuesday, September 23, 2008 3:05 AM