The City Council of the City of Columbia, Missouri, met for a special meeting at 6:10 p.m., on Monday, September 22, 1997, in the Council Chamber of the City of Columbia, Missouri. The roll was taken with the following results: Council Members CAMPBELL, KRUSE, COFFMAN, HINDMAN, and JANKU were present. Members COBLE and CROCKETT were absent. The City manager, City Counselor, and City Clerk were also present.
Mayor Hindman explained that this special meeting had been called in order to adjourn to a closed meeting.
Mr. Campbell made the motion that the Council adjourn to a closed meeting to discuss legal causes of action and litigation as authorized by Section 610.021 RSMo. The motion was seconded by Mr. Kruse with the vote recorded as follows: VOTING YES: CAMPBELL, KRUSE, COFFMAN, HINDMAN, JANKU. VOTING NO: NO ONE. ABSENT: COBLE, CROCKETT. Motion passed.
The special meeting reconvened at 7:10 p.m. with the roll recorded as follows: PRESENT: CAMPBELL, KRUSE, COFFMAN, HINDMAN, JANKU. ABSENT: COBLE, CROCKETT. The City Manager, City Counselor, and City Clerk were also present.
APPROVAL AND ADJUSTMENT OF AGENDA
Mayor Hindman noted that R150-97 would be added to the agenda.
The agenda, as amended, was approved unanimously by voice vote on a motion made by Mr. Campbell and a second by Mr. Kruse.
R149-97 Authorizing an agreement with Freedom House II for construction and operation of
housing for the disabled and authorizing payment from contingency funds.
The resolution was read by the Clerk.
Mr. Beck explained that this issue had been discussed at the last Council meeting. The City had been asked for assistance to make up a shortfall in funding a 12 unit apartment facility for the disabled in Columbia. He said the Council had requested the staff examine any alternatives that might be available. Mr. Beck noted that he and Mr. Hancock had looked through the CDBG funds and other various funds to see what could be utilized. In order for action to be taken before September 30th, when the firm commitment on the grant expires, the Council would have to look to funds that have already been appropriated that can be approved by a resolution at tonight's meeting.
Mr. Beck stated the Council has some discretion on the appropriation of contingency funds, which are about at year's end. He said it appeared the funding should ultimately come from some type of housing affiliated funds the City already has in place. One possibility is utilizing funds from the rental rehabilitation program, which is separate from CDBG funds. He said this program had been initiated some years ago in which the City made loans for rental rehabilitation purposes and some of those funds are paid back. Mr. Beck said there was an accumulated amount of about $108,000 in that special account. He said money from the rental rehabilitation program had not been appropriated, and it would take two Council meetings to enact an ordinance doing so.
Mr. Beck reported this resolution would authorize the agreement with Freedom House and, in turn, the City would provide the $54,486.00 prior to September 30. He then explained that the second bill on the agenda would transfer the rehabilitation program money to the general fund account (contingency fund being a general fund account). Mr. Beck said he was assured by HUD that this project could move forward if the Council appropriates the needed money. In addition, Mr. Beck had also been reassured by several groups that this type of housing is needed in Columbia.
Mr. Kruse pointed out that Mr. Beck's memo noted that removing these funds would prevent the City from matching future HOME monies in the amount of $163,000. The memo said if private funds were raised for the project, they could be put toward replenishing the rental rehabilitation fund. Mr. Kruse understood the City could not be assured that would happen. Mr. Beck said that was correct; however, in discussions with HUD representatives, it was indicated there have been situations where private funds have been raised to make up this type of shortfall. He said there was no requirement that the loan would be paid back, or that any effort would be made to do so.
Mr. Janku asked how the City would replenish the rental rehabilitation account. Mr. Hancock said it was hoped that continued pay back performance on the loans would be received. He said these funds get paid back in a couple of years, and that would be one way to replenish the account and build it back to a good level. Mr. Janku asked if general revenue and CDBG funds could be appropriated for a matching HOME project. Mr. Hancock said they could not.
Mayor Hindman was fearful that the Freedom House II project might disappear altogether if the September deadline is not met. He said the process would have to begin anew, and there is no guarantee the money would be awarded to Columbia again.
Diane Miller, Chairperson of Freedom House, thanked the Council and staff for all of their hard work and consideration. She said they would do their utmost to initiate a fund raising project to provide some sort of pay back. She said this project meant a great deal to a lot of people.
Mr. Campbell said he would vote in favor with some reluctance because, during his term in office, one of the Council's priorities had been the attempt to help stabilize and enhance the low income area north of Broadway. He said the fund that is to be utilized was established for the rehabilitation program. Mr. Campbell strongly urged that as much as possible of the money be returned so the Council could continue to provide those loans to encourage home ownership and development in the target areas of the City.
Mr. Janku explained that the funds to be utilized are pay backs from rental landlords who took out loans years ago, but the funds now go to homeowners for rehabilitation. He said there had been a turnaround of sorts as to the nature of the program.
Mayor Hindman noted that he had talked to Mrs. Crockett today and she had said she was very much in favor of the project.
The vote on R149-97 was recorded as follows: VOTING YES: CAMPBELL, KRUSE, COFFMAN, HINDMAN, JANKU. VOTING NO: NO ONE. ABSENT: COBLE, CROCKETT. Resolution declared adopted, reading as follows:
funds as an operating transfer from CDBG program income to the general
The bill was given first reading by the Clerk.
an agreement with Farrel G. Pride and Midwest Environmental Technologies,
The resolution was read by the Clerk.
Mr. Beck explained the terms of the agreement.
Mr. Coffman pointed out that Mr. Pride and his company would not be able to bid for another contract with the City.
The vote on R150-97 was recorded as follows: VOTING YES: CAMPBELL, KRUSE, COFFMAN, HINDMAN, JANKU. VOTING NO: NO ONE. ABSENT: COBLE, CROCKETT. Resolution declared adopted, reading as follows:
The meeting adjourned at
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