Travis County Commissioners Court
March 24, 2009,
Travis County Housing Finance Corporation
Good afternoon let's call to order the Travis County housing finance corporation.item no.
1 is to take appropriate action 1.
consider and take appropriate action on request to approve payment for foreclosure data from foreclosure listing service, inc.
we are requesting authorization to purchase a one year prescription to foreclosure listing service incorporated at a cost of about $500.
this will get us two things.
this will get us a monthly list of all of the properties that are actuality posted for foreclosure, also a report, in other words,
>> [indiscernible] disposition of the properties afterwards, so we can actually track an inventory by how many properties are also taken back by the lenders.
this will help us with our program which we hope to submit an application for November and our corporation and our cdbg office to just develop more housing strategy or just the housing needs in Travis County.
the -- the specific vendor was selected because of the data format it was in, it was pretty beneficial to us and -- and in comparing with what the city of Austin is also doing.
>> so you assure us that you will use this information once you receive it?
>> we have a lot of -- a lot of uses for the information that's going to help us not just in reporting requirements for programs that we are doing now, but also future planning to identify housing needs in the county.
>> so you assure us that you will use --
>> I assure you that we will use this data completely.
>> move approval.
>> second.
>> discussion?
all in favor?
that passes by unanimous vote.
2.
consider and take appropriate action on the preparation and submission of a community development block grant project proposal application to Travis County community development block grant office to fund homeownership assistance program.
>> we have been collaborating with our Travis County cdbg office on this to -- to apply for a $528,000 in assistance to assist up to 35 households.
the application deadline is March 31st.
and the funds probably will be available in December of this year.
this will allow us to do a home ownership assistance program similar to the programs that we are operating now.
the two benefits to it is that first because of the timing that it will allow us to always have a program available or more time to have funding available.
for example our home grant was real successful.
that's currently out of funds and it's going to take a while for us to apply for more money.
this is just another source of funds to use to have home buyer assistance programs available.
the other thing, the way the application is structured is there's going to be two types of assistance that we offer.
the first will be a shared appreciation gap financing, that's going to be really targeted for families under 60% of a.m.i.
that would actually provide funding to fund the gap between what a household at that income level can actually afford on the mortgage and the actual cost of the house.
the other type of assistance that we'll offer is down payment assistance program which is pretty much what we do now is to help cover the closing cost and provide down payment assistance.
shared appreciation, it's a newer model, we haven't done this before.
the idea is with this type of assistance, it's -- it would be good to be able to recoup that to use that in the future to provide more affordable housing options in the future.
so the idea is that the household as assisted, they agree to share in part of the appreciation over time.
when that house is actually sold, we can actually recoup more funds for affordable housing activities and that can be used for another family.
the benefit of doing it this way is the alternative would be you tie that one specific property, you put a requirement that that specific house needs to be sold to a low income qualifying household.
instead of doing that, doing a shared appreciation, you will pull the money out and actually have it portable so the new low income family can pretty much pick anywhere they want to live, there is still funding available.
there is on your attachment a, there is a correction that's -- that assistance is actually going to be from the cdbg office, Travis County.
and the application is an attachment in the backup.
>> so this is the same program that we discussed previously that caused us to convert the half time position to full-time?
>> no, it's not.
that's -- the nsp, neighborhood stabilization program, which is a grant that we will be applying for in April.
>> this is separate half million dollars.
>> this is separate.
>> questions.
>> move approval.
>> second.
>> any discussion of the motion?
all in favor?
that passes by unanimous vote.
number 3 is to consider and take appropriate action on request for proposal to provide homebuyer education to families participating in various affordable housing programs.
not everybody at once.
>> [laughter]
>> this is on the home buyer education?
this is -- this is -- we have used consumer credit counseling for several years to do our home buyer education.
and I -- what I would like to do is, with your approval, to do an r.f.p.
for home buyer education.
the reason is that we've had requests from other providers wanting to -- to -- to solicit our services and then also that we're -- we're having additional programs, you know, we've -- we've had many grants from the -- from the states for home buyer education and -- but now we have the nsp and we possibly will have the cdbg funds so that we would be providing home buyer education over several programs.
so --
>> is there a way to identify the local firms that provide this service?
>> yes, in your backup there's a list of eight -- eight providers that have -- that have had the -- had the h.u.d.
certification and would be eligible to buy -- to provide the service.
we would be -- we would send the r.f.p.
to all eight and -- and of course publish a notice in the Austin chronicle.
i also am asking permission that the committee to evaluate the responses that consist of myself, mike gonzalez, chris
>> [indiscernible] and peter einhorn and that that committee then make a recommendation to the board.
>> so h.u.d.
certification is required?
>> yes.
less easy to get?
>> well, it's -- not -- it's somewhat easy to get.
they have to take a course and pass a test and I think it's about a week process.
>> h.u.d.
certification is required if you use federal money.
but if you use money from another source, is h.u.d.
certification required?
i ask this because I know that there will be several inquiries from -- from agencies probably not certified by h.u.d.
>> well, all of our sources that we would fund -- funds that we would be using, the home buyer education is federal sources or state funds, that's h.u.d.
home funds, nsp is cdbg, and then if we -- if we were successful in our cdbg application, that's h.u.d.
funds, too.
so --
>> we're not criticizing h.u.d.
here y'all.
>> [laughter] move approval.
>> second.
>> discussion?
who do we refer these inquiring parties to?
you, mr.
davis?
>> yes, they should contact me at 854-4743.
>> discussion?
you sound more and more like an elected official giving out your phone number there.
all in favor?
that passes by unanimous vote.
4.
consider and take appropriate action on a $50,000 grant request by frameworks cdc to provide foreclosure prevention counseling services during a 12-month period to 112 families in Travis County.
>> good afternoon.
framework community development corporation has submitted a request for a $50,000 grant to support a foreclosure prevention counseling services during a 12 month period.
during that period they plan to help 112 families in the Travis County area, but outside the city limits of Austin, to -- by actually providing them foreclosure prevention counseling.
frameworks represented that they would actually hire an additional counselor to help meet capacity.
back in March 13th, staff actually conducted an off-site review to assess their process and to get an idea if they have the capacity to actually meet the obligation.
pretty much what we found is that they are pretty familiar with the -- with the loss mitigation process that the bank follows.
not too long ago the loan loss mitigation department and banks was a pretty small and not really standardized process.
given all of the foreclosure activity that's happening over the last year and a half to two years, that has really changed.
what frameworks actually does is people who are in foreclosure, they would come in and provide them counseling services.
a lot of this is actually interacting with the bank and most banks have a -- a workout packet.
it's a -- pretty extensive documents that has to be filled out by the homeowners.
this is really I think a good benefit for frameworks that they offer, offer that technical knowledge of how -- how to fill out the packet and how to actually write the letter stating, you know, why they are in that position.
the -- again, based on our assessment, they are pretty familiar.
they are very familiar with the process, I think more importantly, too, they have established personal contacts at each bank with -- with their loss mitigation department so they can really expedite the process for the family.
on your attachments, you have the -- you have the foreclosure solution options for framework cdbg website and attachment b is the actual grant request that they have submitted.
we do have representatives here from frameworks who probably will, if you have any specific questions can be directed to them.
i would -- it would be appropriate to get direction for staff to draft an actual agreement that highlights some of the details of how this would work and at that time staff could bring back that agreement for final approval to the board.
>> I will add that the city of Austin has an -- I have talked to the city and they have an r.f.p.
out for foreclosure prevention but they are in the process of selecting somebody.
>> we discussed this during our work session on -- I guess basic needs and -- property, foreclosure, home ownership, et cetera.
we think that there will be this much need in the unincorporated areas of Travis County?
>> that's correct.
i think there is ample need for this type of service.
>> okay.
we did hear that presentation in work session, plus before that -- before that in offices.
>> there was a -- a 1-800 number on television I was noticing.
in fact I noticed it a couple of times that actually advertise to assist persons that are maybe in the -- in the jaws of foreclosure, a possibility of getting into the jaws of foreclosure.
and I'm just wondering if anyone -- what their track record -- I really don't know.
just appears there seems to be other folks trying to get the business of -- of trying to prevent foreclosures from happening not only of -- and assisting those particular persons who are at the heels of foreclosure.
i'm just kind of curious to see how many folks in the community are -- are feeding into that arena.
and I guess there's no way to tell, but there's definitely advertisement coming across the media, coming across the screen, the television, suggesting assistance in that regard.
so just something that I just wanted to bring to the attention of y'all.
>> and one issue you do see a lot of -- of advertisements for foreclosure solutions, all of them are actually invest stores who are obviously -- investors obviously just trying to get investments, that's why I think some of their marketing framework points out I actually want to buy your house, keep it.
really what they offer, you know, they don't offer financing or anything like that.
but they offer counseling services to discuss the different foreclosure prevention options that are available to -- to families.
another good point about frameworks is that they actually kind of stay abreast of the current legislation that's coming down from the federal government and translating to that how that can help -- current families who are facing foreclosure, so that's -- that's a pretty -- pretty time intensive process, it's not just here's a form.
fill it out and we'll -- good luck to you.
it's actually one on one counseling services are provided.
>> Commissioner Eckhardt.
>> I just wanted to make a point here that I think this kind of service that we would be getting from them, from frameworks is a necessary part of our economic enhancement policy I believe.
along with many of the other things that we have been discussing in terms of our economic development subcommittee.
one of the biggest things that we can do in terms of maintaining our economic stability is to maintain the stability of home ownership.
so -- so I applaud you for -- for going and investigating this.
>> move that staff be directed to put together an appropriate agreement.
>> second.
>> and that we have performance measures there and I guess we tie funding to -- to performance in whatever way we can.
>> when would they come back as far as --
>> I would say two or three weeks.
>> two or three weeks, okay.
>> that was seconded by director Davis?
>> uh-huh.
>> any more discussion?
all in favor?
that passes by unanimous vote.
thank you all.
looking forward to working with you.
okay.
5.
consider and take appropriate action on request to execute partial release of liens on one lot owned by Austin habitat for humanity, inc., 4500 acers lane.
>> and this is part of the $100,000 grant that the corporation made in 2006, which we helped them buy eight lots.
we released six of the eight, this would be the seventh.
i do represent that the home buyer of the lot fulfills the requirement in our contract with Austin habitat.
and recommend that you approve the release.
>> so move.
>> discussion?
>> second.
>> all in favor?
that passes by unanimous vote.
>> move adjourn.
>> second.
>> discussion?
all in favor?
that passes by unanimous vote.
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Last Modified:
Tuesday, March 24, 2009 8:13 PM