Apr 22, 2025 Housing and Homelessness Solutions

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GOOD MORNING. IT IS APRIL 22ND. THE TIME IS 9:06.

[Housing and Homelessness Solutions on April 22, 2025.]

IS THERE A MOTION? THERE'S A MOTION AND A SECOND.

IS THERE ANY CORRECTIONS? ANY EDITS? HEARING.

NONE. ANY OPPOSED? OKAY. HEARING NONE. MOTION CARRIES.

WE'LL NOW MOVE TO BRIEFING ITEM B. BUT BEFORE WE DO THAT, WE ARE GOING TO OPEN IT UP TO PUBLIC SPEAKERS.

EACH SPEAKER WILL BE ALLOWED THREE MINUTES TO SPEAK.

THE CONVERSATION MUST STAY ON THE POSTED AGENDA ITEM.

AFTER WE HEAR FROM THE REGISTERED SPEAKERS, WE WILL THEN OPEN IT UP TO THE PUBLIC.

IT IS NOW 9:07 A.M. ON APRIL 22ND, 2025. THE HOUSING AND HOMELESSNESS SOLUTIONS COMMITTEE WILL NOW CONDUCT A PUBLIC HEARING TO RECEIVE PUBLIC COMMENTS RELATED TO AGENDA ITEM B, PROPOSED DALLAS HOUSING FINANCE CORPORATION AND DALLAS PUBLIC FACILITY CORPORATION.

PROGRAM STATEMENTS. PURSUANT TO SECTION 9.3 B OF THE CITY COUNCIL RULES OF PROCEDURES AND APPROVED BY THE MAYOR.

OKAY. ALL RIGHT. WE'LL NOW GO AHEAD. AND IF WE CAN READ OFF THE FIRST REGISTERED SPEAKER.

ALL RIGHT. GOOD MORNING. I'LL RECITE THE SPEAKER GUIDELINES.

SPEAKERS MUST OBSERVE THE RULES OF PROPRIETY, DECORUM, AND GOOD CONDUCT APPLICABLE TO MEMBERS OF THE COMMITTEE.

ANY SPEAKER MAKING PERSONAL, IMPERTINENT, PROFANE, OR SLANDEROUS REMARKS, OR WHO BECOMES BOISTEROUS WHILE ADDRESSING THE COMMITTEE, SHALL BE REMOVED FROM THE ROOM. AND WHEN YOU CALL, WHEN YOU COME UP, PLEASE RECITE YOUR NAME AND YOUR ADDRESS AS WELL.

FIRST SPEAKER ALAN NULL. HE IS NOT PRESENT. ALRIGHTY.

KATIE SLADE, WHO IS CALLING FROM ONLINE.

ALL RIGHT. NOT PRESENT. REINHARD HANSEN. YES.

GOOD MORNING. I AM REINHARD HANSEN, MORE FORMALLY KNOWN AS SWEDE HANSEN.

I LIVE AT 9925 LAKE DALE DRIVE IN DALLAS 75218.

I'M FOUNDER OF SMART LIVING RESIDENTIAL. WE DEVELOP HIGH QUALITY, WELL-DESIGNED HOUSING AT PRICES THAT PEOPLE CAN AFFORD.

I GREW UP IN DISTRICT TEN, CURRENTLY RESIDE IN DISTRICT NINE AND CURRENTLY HAVE DPFC SUPPORTED PROJECTS UNDERWAY IN DISTRICT THREE AND DISTRICT FOUR, WHERE WE ARE NEARING COMPLETION ON THE FIRST NON-TAX CREDIT MULTIFAMILY PROJECT EVER IN THE DISTRICT, MADE POSSIBLE ONLY THROUGH THE DPFC PROGRAM. WITH ALL DUE RESPECT TO CITY STAFF, WE BELIEVE THE PROPOSED CHANGES TO THE DPFC POLICY ARE MISGUIDED AND COUNTERPRODUCTIVE.

SPECIFICALLY, NUMBER ONE, THE REVISED INCOME MIX REQUIRING A GREATER CONCENTRATION OF UNITS BELOW 50% AMI.

AND NUMBER TWO, THE RESTRICTION TO HIGH POVERTY AREAS, MEANING AREAS WITH 20% OR GREATER IN POVERTY RATES.

THESE CHANGES WOULD MAKE PROJECTS FINANCIALLY UNVIABLE.

FROM EXPERIENCE, OUR DISTRICT THREE AND DISTRICT FOUR PROJECTS WERE ALREADY DIFFICULT TO UNDERWRITE UNDER CURRENT RULES.

IF THESE CHANGES WERE IN PLACE, NEITHER WOULD HAVE MOVED FORWARD.

MOREOVER, THESE POLICIES GO AGAINST WHAT I'VE CONSISTENTLY HEARD FROM SOUTHERN DALLAS COMMUNITIES.

THEY WANT QUALITY HOUSING AND MIXED INCOME DEVELOPMENTS, MEANING UNITS ABOVE 50% AMI.

SOUTHERN DALLAS HAS LONG BORNE THE CITY'S AFFORDABILITY BURDEN, POSSESSING A DISPROPORTIONATE SHARE OF HOUSING UNITS LESS THAN 50% AMI.

ARMY FURTHER. CONCENTRATING LOW INCOME HOUSING IN THESE NEIGHBORHOODS IS NOT ONLY INEQUITABLE, IT WILL FACE STRONG COMMUNITY RESISTANCE. FINALLY, WE BELIEVE THESE CHANGES CONTRADICT THE FINDINGS OF THE CHILD POVERTY ACTION LABS LATEST STUDY, WHICH DOES NOT RECOMMEND CLUSTERING LOW INCOME HOUSING IN POVERTY AREAS IN HIGH POVERTY AREAS.

I'M CONFUSED AS TO WHY WE WOULD OVERHAUL A PROGRAM THAT HAS BEEN STEADILY DELIVERING AFFORDABILITY AND RESPONSIBLE DEVELOPMENT IN UNDERSERVED AREAS.

I URGE THE COMMITTEE TO POSTPONE ADVANCING THIS POLICY TO COUNCIL AND ALLOW TIME FOR FURTHER DIALOG.

THANK YOU VERY MUCH. ALL RIGHT. THANK YOU. NEXT SPEAKER, RYAN GARCIA. ALL RIGHT. RYAN GARCIA. RYAN GARCIA IS NOT PRESENT. NEXT SPEAKER, DAVID ELLIS.

THANK YOU. MY NAME IS DAVID ELLIS. I SERVE AS THE DISTRICT TEN REPRESENTATIVE ON THE BOARD OF DIRECTORS OF THE DALLAS HOUSING FINANCE CORPORATION.

I WANTED TO MAKE A FEW COMMENTS REGARDING DALLAS HFC'S WORKFORCE, OR AS I LIKE TO CALL THEM,

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WE TARGET RESIDENTS THAT MAKE BETWEEN 80% AND 140% OF THE AREA MEDIAN INCOME, WITH SOME LOWER UNIT UNITS FROM PROJECT TO PROJECT.

I'VE OBSERVED QUESTIONS FROM COUNCIL MEMBERS ON WHY WE INCLUDE 140% AMI RESTRICTIONS ON SOME OF THE UNITS, AND DON'T INCLUDE DEEPER AFFORDABILITY WITH MORE 60% AMI OR LOWER RESTRICTIONS.

THE ANSWER IS THE MIDDLE INCOME PROJECTS IN HIGH OPPORTUNITY AREAS CAN ONLY SUPPORT RENT REDUCTIONS FOR HALF THE PROPERTY TO 80% AND BELOW RESIDENTS.

HOWEVER, HOWEVER, TO SATISFY STATE LAW, WE HAVE TO OFFER AN ADDITIONAL 40% OF THE UNITS AT A HIGHER MIDDLE INCOME BAND, PRIMARILY 140% EXCUSE ME TO QUALIFY FOR THE TAX EXEMPTION TO QUALIFY FOR THE TAX EXEMPTION, WITH THE ADDITIONAL BENEFIT THAT THE REMAINING UNITS ARE RESERVED FOR MIDDLE INCOME TENANTS WHOSE INCOME QUALIFIES. IF THEY WERE TO ACQUIRE ALL RESTRICTED UNITS TO BE BANDED TO 80% AMI RESIDENTS ARE BELOW, THEN THIS WILL NEGATE THE BENEFIT OF THE PROPERTY TAX ABATEMENT AND THESE PROJECTS WILL NO LONGER BECOME VIABLE.

MIDDLE INCOME PROJECTS ARE CAPITALIZED CONVENTIONALLY WITH PRIVATE SOURCES OF DEBT AND EQUITY AS OPPOSED TO TECH DEALS.

THE PROJECT ECONOMICS SIMPLY HAS TO BE ACCRETIVE TO THE NET PROFIT IN ORDER FOR CAPITAL TO A PRIVATE CAPITAL TO INVEST AT THE DALLAS HFC, WE DO ENSURE THAT SPONSORS RECEIVE ONLY 40 TO 30% OF THE BENEFIT OF THE TAX ABATEMENT, THAT THE REMAINDER GOES TO THE PUBLIC GOOD, EITHER IN THE FORM OF RENT SAVINGS TO THE TENANTS OR MONEY INTO THE HFC.

WE TARGET THESE PARTNERSHIPS IN HIGH OPPORTUNITY AREAS WHERE MORE UNAFFORDABLE AREAS OF THE CITY OF DALLAS.

LIHTC PROJECTS SIMPLY DON'T WORK IN THESE AREAS.

LIHTC PROJECTS ARE VERY EXPENSIVE DUE TO BOND ISSUANCE COSTS AND ADDITIONAL FEES THAT ARE NOT THAT ARE NOT EXPERIENCED IN NORMAL MARKET RATE PROJECTS.

GIVEN THIS, THE COST TO BUILD SOME OF THE MOST RECENT LIHTC PROJECTS HAVE RANGED BETWEEN 315 AND 335,000 PER UNIT, AND IS THE HIGHEST DEVELOPMENT PRICE THAT THESE TAX CREDITS, BONDS AND TAX EXEMPTIONS CAN SUPPORT ACROSS THE CITY.

BECAUSE THE RENT RESTRICTIONS WILL BE THE SAME EVERYWHERE IN THE CITY OF DALLAS.

THIS PRICE POINT IS ESTABLISHED ONLY BECAUSE THE LAND BEING SOLD IS AT 8000 TO 15,000 PER UNIT, BECAUSE MOST OF THESE PROJECTS ARE IN THE SOUTHERN SECTOR OF DALLAS, WITH A GREATER SHARE OF DEVELOPABLE LAND.

LAND AND DENSE INFILL LOCATIONS COST BETWEEN 20,000 TO 90,000 PER UNIT IN SOME CASES.

IN ADDITION, THESE SITES REQUIRE MORE URBAN STYLE CONSTRUCTION, WHICH IS SIGNIFICANTLY MORE EXPENSIVE THAN OUR LIHTC PROJECTS, SO LIHTCS IN THESE HIGH OPPORTUNITY AREAS WOULD COST AROUND 370,000 TO 450,000 PER UNIT, WHICH IS NOT CANNOT IS NOT FINANCIALLY VIABLE AND IS WHY YOU'RE NOT SEEING LIHTC PROJECTS IN THE MORE DENSE, HIGHER OPPORTUNITY AREAS.

CONTRAST THAT WITH AN ACQUISITION OF AN EXISTING PROJECT FOR WORKFORCE DEAL IN AN INFILL LOCATION.

THOSE PRICES ARE BETWEEN 170 AND $270,000 PER UNIT.

THOSE ARE JUST SIMPLY EASIER TO UNDERSTAND. THAT'S YOUR TIME.

SORRY. OKAY. THANK YOU FOR YOUR TIME. ALL RIGHT.

NEXT SPEAKER. MARIELLA ESTRADA. GOOD MORNING. THANK YOU FOR GIVING US THE OPPORTUNITY TO SPEAK TODAY. I JUST WANTED TO RAISE A BRIEF POINT ABOUT EXISTING PROJECTS THAT HAVE ALREADY BEEN APPROVED BY COUNCIL.

STAFF DID INFORM US THAT THESE PROJECTS WOULD BE GRANDFATHERED IN, BUT THERE IS NO EXPLICIT TEXT IN THE POLICY CHANGES STATING THAT THIS IS GOING TO HAPPEN.

SO WE JUST WANTED TO BRING UP THE POINT THAT POTENTIALLY WE COULD INCLUDE THOSE SO THAT PROJECTS THAT HAVE ALREADY BEEN APPROVED, THAT HAVE ALREADY SPENT SUBSTANTIAL AMOUNTS OF MONEY TRYING TO DEVELOP THE PROJECT AND GET IT READY, CAN MOVE FORWARD WITHOUT ANY ISSUES. SO I APPRECIATE YOUR TIME.

THANK YOU. THANK YOU. ALLEN DULLES. ALLEN.

DULLES. ALL RIGHT. NOT HERE. CARSTON LOWE.

GOOD MORNING. COUNCIL MEMBERS, CITY STAFF. MY NAME IS CARTSON LOWE, AND I'M AN AFFORDABLE HOUSING DEVELOPMENT MANAGER WITH JPI.

TODAY, YOU'RE GOING TO HEAR A NUMBER OF PERSPECTIVES THAT SPEAK ABOUT, JUST BROADLY, THE AFFORDABLE HOUSING POLICY IN THE CITY OF DALLAS.

AND TODAY, I WANT TO TAKE A LITTLE BIT OF A MORE DIRECTED FOCUS TOWARDS THE LOW INCOME HOUSING TAX CREDIT PROGRAM.

BUT BROADLY SPEAKING, THESE RECOMMENDATIONS WOULD ALSO APPLY FOR AFFORDABLE HOUSING AT LARGE.

THE CITY OF DALLAS AND TEXAS AT LARGE IS FACING AN AFFORDABLE HOUSING CRISIS, UNLIKE OF WHICH WE'VE EVER SEEN.

SOME OF THE CHALLENGES WE HAVE SEEN ARE DUE TO INCREASING POLICY OVERSIGHTS, RISING CONSTRUCTION COSTS, HIGHER OPERATING EXPENSES, AND SO THE BURDENS AND THE REQUIREMENTS THAT ARE LAYERED ON TO THE AFFORDABLE HOUSING PROGRAM ARE CONTINUING TO DRIVE CHALLENGES IN EACH INDIVIDUAL PROJECT. AND SO, BROADLY SPEAKING, I WOULD LIKE TO START BY SAYING TO EVALUATE EACH PROJECT ON A PROJECT BY PROJECT BASIS.

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AND SO AS IT RELATES TO CHALLENGES SUCH AS THE 20% OR HIGHER POVERTY ISSUE, THAT IS PROBLEMATIC BECAUSE, YOU KNOW, AS YOU LOOK AT THE LOW INCOME HOUSING TAX PROGRAM, THERE'S DIFFERENT FACETS, RIGHT? THERE'S THE 9% PROGRAM AND THE 4% PROGRAM, BOTH OF WHICH SEEK TO SERVE DIFFERENT NEEDS AND POPULATIONS.

AND THE FEAR OF THAT 20% POVERTY ISSUE, AS I'VE COME TO LEARN, HAS TO DO WITH POVERTY AT LARGE AND NOT CONCENTRATING POVERTY.

IN THE INSTANCE OF 9% DEALS, THEY'RE ALREADY HELD AT THE STATE LEVEL STANDARD TO BE AWARDED THOSE TAX CREDITS BY BEING UNDER THAT 20% POVERTY LEVEL.

HOWEVER, ON THE 4% TAX CREDIT SIDE OF THE PROGRAM, YOU'RE ABLE TO GO UP TO 40% POVERTY.

AND SO THE THING IS, IS THE TAX CREDIT PROGRAM IS A LIMITED RESOURCE THAT'S FUNDED BY THE FEDERAL AND STATE GOVERNMENTS.

AND SO THOSE ARE RESOURCES THAT ARE NOT BEING PAID FOR BY THE CITY OF DALLAS.

AND SO BY CREATING A PATHWAY FOR TECH DEALS TO BE PASSED IN WHATEVER DISTRICT IT MAY BE, CREATES THE MOST EFFECTIVE WAY OF CREATING AFFORDABLE HOUSING UNITS BY NOT BY NOT UTILIZING CITY DIRECTED FUNDS. AND THEN THE SECOND COMMENT IS GOING TO BE SIMILAR.

AND ON THAT 20% POVERTY ISSUE, I DO THINK THAT IF THAT IS A POLICY PRIORITY OF THE CITY, IT MIGHT BE WORTHWHILE TO ALLOW EACH CITY COUNCIL MEMBER TO PROVIDE A LETTER OF SUPPORT TO MITIGATE THAT ISSUE, BECAUSE THEY ARE THE ONES THAT KNOW THE NEEDS OF THEIR DISTRICT THE BEST.

REGARDING THE 50% AMI AND I WOULD SAY THE MARKET RATE REQUIREMENTS AS IT IS IN JUST THE CITY'S HOUSING PRIORITIES, LAYERING THOSE REQUIREMENTS WITHOUT LOOKING AT THE INDIVIDUAL NEEDS OF THE DEAL OR THE INDIVIDUAL ECONOMICS CAN POSE SERIOUS CHALLENGES AND PREVENT THE FLOW OF NEW AFFORDABLE HOUSING ON THE GROUND. SO ALL THAT TO SAY, WE APPRECIATE YOUR TIME, WE APPRECIATE YOUR SUPPORT, AND WE LOOK FORWARD TO WORKING WITH YOU AND CITY STAFF TO CREATE COMPREHENSIVE HOUSING REFORM.

THANK YOU. THANK YOU. NEXT SPEAKER HUNT NEWER. THANK YOU. OKAY. IT LOOKS LIKE HHS HAS GROWN THIS MORNING. GOOD MORNING, CHAIR MORENO, VICE CHAIR MENDELSOHN, COUNCIL MEMBERS GRACEY, WEST AND WILLIS AND HONORABLE MENTIONS COUNCIL MEMBERS RIDLEY AND SCHULTZ.

MY NAME IS HUNT NEARER 6042 DEL NORTE LANE, DALLAS, TEXAS.

75225. I WORK WITH THE AFFORDABLE HOUSING DEVELOPER SAVOY EQUITY.

I'M A LIFETIME RESIDENT OF DALLAS, AND I TAKE A LOT OF PRIDE IN WORKING CLOSELY WITH THE CITY OF DALLAS TO BUILD EQUITABLE HOUSING.

PRIOR TO THIS MEETING, I WAS A KEYNOTE SPEAKER AT THE DEVELOPER SYMPOSIUM AT SHACKLEFORD LAW FIRM'S OFFICE, AND I HAD A FOLLOW UP, A MORE PERSONALIZED MEETING WITH ROBIN BENTLEY, CYNTHIA ALEXSON, AND JACQUELINE SCHROEDER TO REVIEW THESE PROPOSED POLICY AND BYLAW CHANGES. IN SHORT, THE PFC HAS BEEN THE MOST EFFECTIVE TOOL TO BUILD HOUSING PERIOD AND LONG TERM AFFORDABLE HOUSING. RIGHT NOW, THE TOOL COUNTS FOR A LARGE STOCK OF THE NEW HOUSING BEING BUILT RIGHT NOW IN THE MIDST OF A VERY DIFFICULT FINANCIAL MARKET.

PFC WAS CREATED BY THE STATE AND IS NOW REGULATED BY THE STATE OF TEXAS, WAS VERY THOROUGH IN ITS REGULATORY LEGISLATION OF PFC, MOST RECENTLY UPDATED IN 2023.

THE ENCUMBRANCES BEING PROPOSED BY THESE BYLAW AND POLICY CHANGES, I CAN GUARANTEE WILL BE DETRIMENTAL AND DERAIL THE PROGRAM.

TRAVIS COUNTY IS NOT DOING IT. MCKINNEY IS NOT DOING IT.

DENTON IS NOT DOING IT. NO OTHER JURISDICTION IS PROPOSING ADDITIONAL ENCUMBRANCES TO WHAT'S ALREADY BEEN SAID FROM THE 2023 TEXAS LEGISLATIVE UPDATE.

AND SO THE FOUR MOST CRITICAL ITEMS THAT NEED TO BE REMOVED NUMBER ONE, LIMITING IT TO 20% POVERTY AREAS.

TWO REQUIRING TIF APPROVAL. THREE REQUIRING THE COMMUNITY MEETING.

AND FOUR REQUIRING 50% AMI UNITS WITHIN NEW CONSTRUCTION PROJECTS.

JUST A LITTLE BRIEF MORE CONTEXT ON THESE FOUR POINTS.

20% POVERTY AREAS. BY FAR THE LARGEST ISSUE, CHILD POVERTY ACTION LABS CONFIRMED WITH SAVOY THAT THIS POLICY IS CONSIDERED CONCENTRATING POVERTY. CPAL SAYS THAT DALLAS RANKS 11TH OUT OF 12 OF MAJOR METROS FOR AFFORDABLE UNITS WITHIN HIGH OPPORTUNITY AREAS. AREAS LESS THAN 20% IS WHERE DALLAS IS FAILING.

ONLY 17% OF OUR AFFORDABLE UNITS EXIST IN THESE NEIGHBORHOODS, AND LIMITING PFC WOULD SOLIDIFY THIS IMBALANCE FOR DECADES.

ADDITIONALLY, SOME NEIGHBORHOODS HAVE HUGE DEVELOPMENT ISSUES RIGHT NOW.

OUR PFC PROJECT IN THE CEDARS IS GOING TO REPLACE 3000FT OF SANITARY SEWER PIPE IMPROVE A 50 FOOT DEEP BELOW THE GROUND,

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AND THAT WOULDN'T BE POSSIBLE WITHOUT THE PFC REQUIRING TIF APPROVAL.

THIS WILL ADD SO MUCH TIME AND UNCERTAINTY GOING INTO A BLACK BOX FOR IRREGULARLY SCHEDULED MEETINGS.

AND BY THE WAY, THE PFC IS BETTER BEING A TIF THAN A TIF IS AT BEING A TIF.

LIKE I JUST SAID, WE'RE PLANTING TREES, SIDEWALKS.

THAT'S YOUR TIME. HOPEFULLY YOU REMEMBER THE LAST TWO POINTS I MENTIONED EARLIER.

ALL RIGHT. THANK YOU. NEXT SPEAKER, PHILIP KINGSTON.

WHO SET THIS UP? PHILIP KINGSTON, 5901 PALO PINTO.

GREETINGS, MR. CHAIR. THANK YOU SO MUCH FOR ALLOWING THE PUBLIC TO BE HEARD ON THIS.

I THINK THAT'S VERY BENEFICIAL IN A COMMITTEE LIKE THIS WHERE PEOPLE ARE REALLY INTERESTED IN WHAT YOU GUYS ARE DOING.

THIS IS A SOLUTION IN SEARCH OF A PROBLEM. I'M GOING TO TELL YOU WHY.

LEGALLY, YOU CAN'T DO THIS. WHY PRACTICALLY YOU SHOULD NOT DO THIS.

AND WHY, FROM A POLICY PERSPECTIVE, IT'S A BAD IDEA TO START WITH.

AND UNLIKE A COUPLE OF THE OTHER SPEAKERS, I'M NOT LOOKING FOR YOU TO DELAY CONSIDERATION OF THESE CHANGES.

I'M LOOKING FOR YOU TO ABANDON THEM 100%. A RECOMMENDATION OF THIS COMMITTEE TO COUNCIL.

TO DENY IN THEIR ENTIRETY. THE PROPOSED CHANGES IS WHAT I AM ADVOCATING FOR.

BECAUSE THE HFC AND THE PFC ARE TWO OF THE BEST BOARDS I WORK WITH, AND I WORK WITH ALL OF THEM MORE THAN I PERHAPS EVEN WANT TO LEGALLY. THESE TWO BOARDS EXERCISE FINANCIAL RESOURCES THAT THE STATE DID NOT GIVE TO THE CITY. YOU CANNOT EXERCISE THE KIND OF TAX ABATEMENTS OR BONDS THAT THESE TWO CAN.

IT'S NOT LEGAL. THE STATE CLEARLY REQUIRED INDEPENDENT BOARDS.

PUTTING A CITY STAFF MEMBER ON THESE BOARDS IS NOT CONSISTENT WITH WHAT THE LEGISLATURE SAID.

PRACTICALLY SPEAKING, WHAT THIS IS DOING IS TAKING DISCRETION AND CONTROL AWAY FROM COUNCIL, BECAUSE RIGHT NOW YOU ALL CONTROL THE MAKEUP OF THOSE BOARDS.

THEY ARE THERE, APPOINTED AND APPROVED THE EXACT SAME WAY YOU GUYS ARE USED TO.

FOR ALL OF YOUR OTHER APPOINTMENTS AND ANY ELECTED OFFICIAL WHO WOULD GIVE AWAY CONTROL AND OVERSIGHT THAT HIS OR HER CONSTITUENTS VOTED FOR HIM OR HER TO EXERCISE IS NOT TAKING FIDUCIARY DUTY SERIOUSLY.

IT IS NOT OKAY TO GIVE POWER FROM COUNCIL TO STAFF THAT UPSETS THE BALANCE THAT WE HAVE DOWN HERE.

BUT FROM A POLICY STANDPOINT, HERE'S WHY IT'S WRONG.

THESE TWO BOARDS HAVE DEMONSTRABLE POSITIVE IMPACT.

THEY HAVE PERFORMED BETTER THAN ANYONE REALLY THOUGHT THAT THEY WOULD.

HFC HAS BEEN MORE CREATIVE THAN ANYBODY THOUGHT THEY COULD GET.

AND PFC HAS HAD MORE DEMAND FOR ITS PROGRAMING THAN WE EVER THOUGHT WE WOULD GET.

SO THIS IS THIS IS A VERY CLEAR SITUATION WHERE SOMEONE IS ATTEMPTING TO MEDDLE IN SOMETHING THAT IS WORKING QUITE WELL AND OVER WHICH YOU ALL HAVE ULTIMATE CONTROL. DON'T GIVE THAT UP.

THIS IS WORKING. LET'S KEEP IT WORKING THE WAY IT IS.

THANK YOU. ALL RIGHT. THANK YOU. NEXT, SPEAKER, BRAD GRIGGS WILL BE JOINING US VIA VIDEO CALL.

HI. GOOD MORNING. THANK YOU ALL FOR ALLOWING ME TO SPEAK THIS MORNING.

I'VE BEEN IN THE REAL ESTATE BUSINESS FOR ABOUT 40 YEARS AND HAVE BEEN WORKING IN DALLAS UNDER THE DFC PROGRAM.

WE ALL KNOW WE'RE IN A HOUSING CRISIS RIGHT NOW, AND I WOULD JUST LIKE TO SAY A FEW WORDS.

I THINK, FIRST OF ALL, THE PROGRAM CURRENTLY WORKING WITH DFC IS WORKING QUITE WELL.

I WOULD ECHO THE COMMENTS OF THE LAST SPEAKER.

I ALSO ECHO THE COMMENTS OF SWEED EARLIER AND HIS COMMENTS.

I THINK THE ONE THING THAT WE HAVE TO BE AWARE OF IS THE FACT THAT WE TRY TO PROGRAM.

THEY'RE REALLY NOT GOING TO BE SUCCESSFUL. THIS PROGRAM THAT WE CURRENTLY HAVE IN PLACE IS WORKING QUITE WELL.

A COUPLE OF THE THINGS I WANT TO MAKE, JUST A QUICK COMMENT ON IS, I THINK FOR, FOR MANY REASONS THE ENCUMBRANCES THAT WE'RE TRYING TO PUT FORTH HERE FOR THE AFFORDABILITY FOR THIS PROGRAM REALLY ARE NOT GOING TO WORK.

IT'S HARD ENOUGH TO COMPETE ON THE, IN THE OPEN MARKET TO TRY TO ACQUIRE ASSETS.

AND WITH THESE NEW RESTRICTIONS AND SUCH, WE WILL NOT BE COMPETITIVE.

SECONDLY, PUTTING PROPERTIES INTO 20% POVERTY AREAS MAKES NO SENSE.

WHAT'S GOING TO HAPPEN IS, IS WE'RE GOING TO BE ACQUIRING ASSETS AT VERY OLD AGE, AND YOU'RE GOING TO HAVE CAPITAL INTENSIVE PROGRAMS THAT ARE BECOMING EVEN MORE

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I THINK WE SHOULD NOT CONFUSE THE ISSUES BETWEEN THE LIHTC PROGRAMS. WHAT THIS IS AND THIS PROGRAM, WHICH IS WORKING QUITE WELL. AND THE LAST POINT I'LL MAKE IS I THINK IT'S IMPORTANT YOU TRY TO FINANCIALLY MODEL THESE PROGRAMS OUT AND TRY TO SEE HOW THEY WORK IN TERMS OF THE, OF THE COMMON MARKETPLACE.

YOU CAN ACTUALLY BE COMPETITIVE AND ACQUIRING THESE ASSETS GOING FORWARD.

THAT YOU'RE GOING TO FIND THIS IS GOING TO DERAIL THIS PROGRAM AND DERAIL A SIGNIFICANT AMOUNT OF HOUSING THAT'S BEING PROVIDED RIGHT NOW TO THE CITY OF DALLAS.

THANK YOU. THANK YOU VERY MUCH. ALRIGHTY. THANK YOU.

NEXT SPEAKER, NATHAN HALL.

GOOD MORNING, DEAR CHAIR MORENO AND MEMBERS OF THE HOUSING AND HOMELESSNESS COMMITTEE.

MY NAME IS NATE HALL WITH WATERFORD PROPERTY COMPANY.

WATERFORD IS AN AFFORDABLE AND WORKFORCE HOUSING DEVELOPER INVESTOR WITH OVER 3 BILLION OF ASSETS UNDER MANAGEMENT, WITH A PRIMARY EMPHASIS IN PRIVATE PUBLIC PARTNERSHIPS.

AS EVERYONE IN THE ROOM IS AWARE, THE CITY OF DALLAS IS IN THE MIDST OF A HOUSING CRISIS.

ACCORDING TO THE CITY OF THE DALLAS BUSINESS JOURNAL, RENTS HAVE GROWN 48% IN 2012, OUTPACING OUTPATIENT MEDIAN INCOME GROWTH OVER THE SAME PERIOD DUE TO THE INCREASE IN RENTS. A LARGE PORTION OF THE CITY'S ESSENTIAL WORKERS, WHICH INCLUDE FIRST RESPONDERS, POLICE AND FIRE, SCHOOL TEACHERS, GOVERNMENT WORKERS, PUBLIC SAFETY EMPLOYEES, MEDICAL WORKERS, AND SERVICE EMPLOYEES ARE MOVING FURTHER AND FURTHER AWAY FROM THE CITY'S MAJOR EMPLOYMENT NODES.

THE DISPLACEMENT OF ESSENTIAL WORKERS AND DALLAS IS DETRIMENTAL TO THE CITY'S HEALTH.

THROUGH DISPLACEMENT OF ESSENTIAL, WORKERS ARE BEING FORCED TO DOWNGRADE THE QUALITY OF THEIR HOME OR INCREASE THEIR COMMUTE TIME, WHICH IS OFTEN MAKES THEM LESS LIKELY TO INVEST IN THEIR COMMUNITY FOR THE LONG TERM AND LOWERS THEIR QUALITY OF LIFE.

FOR EXAMPLE, WATERFORD HAS SEEN AFTER SCHOOL AND EXTRACURRICULAR ACTIVITIES.

WATERFORD HAS SEEN IN ITS PORTFOLIO THAT PARENTS ARE MUCH MORE ENGAGED WITH THEIR CHILDREN'S AFTER SCHOOL AND EXTRACURRICULAR ACTIVITIES WHEN THE COMMUTE TIME TO THEIR JOB IS 30 MINUTES OR LESS. THIS SHOWS THE HEALTH OF OUR COMMUNITY IS PREDICATED ON ATTAINABLE, UNATTAINABLE AFFORDABLE HOUSING. TO SOLVE THIS CRISIS, IT IS IMPERATIVE THAT THE PRIVATE AND PUBLIC SECTOR WORK IN UNISON TO STRUCTURE INNOVATIVE DEALS THAT ACHIEVE HOUSING GOALS OF THE CITY, WHILE PROVIDING HOUSING AT SCALE FOR THE FOR ESSENTIAL WORKERS.

THE CHALLENGE IS THAT MANY OF THESE HOUSEHOLDS EARN TOO MUCH TO QUALIFY FOR TRADITIONAL AFFORDABLE HOUSING.

BUT ARE HOUSING BURDENED BECAUSE THEY SPEND MORE THAN 40% OF THEIR MONTHLY INCOME ON HOUSING? THIS MEANS THAT THE CITY OF DALLAS NEEDS TO BE FORWARD THINKING IN ITS COMMITMENT TO PROVIDING QUALITY, WELL-LOCATED WORKFORCE HOUSING.

THE DALLAS HFC HAS BEEN EXTREMELY SUCCESSFUL AT FULFILLING THIS MISSION.

THERE IS NO GREATER POWER IN ADDRESSING THE HOUSING CRISIS IN DALLAS THAN HAVING PRIVATE AND PUBLIC SECTORS WORK HAND IN HAND.

HOWEVER, IF. IF. HAVING. HOWEVER, IF THE PROCESS BECOMES INUNDATED WITH RED TAPE AND BUREAUCRACY WITH NO REGARD FOR TIME OR ASSURANCES, THE ABILITY TO HAVE SUCCESSFUL PUBLIC PRIVATE PARTNERSHIPS BREAKS DOWN, WHICH ULTIMATELY ELIMINATES THE CREATION OF NEW WORKFORCE HOUSING.

THE AUTONOMY OF THE HFC IS EXTREMELY IMPORTANT BECAUSE THEIR JOB IS TO ACT AS THE BRIDGE BETWEEN THE PRIVATE AND PUBLIC SECTOR.

LASTLY, THERE HAS BEEN DISCUSSION REGARDING INCOME TARGETS THAT THE HFC SHOULD TARGET FOR ITS DEVELOPMENT AND ACQUISITIONS.

WHILE THE DEEPEST TIERS OF AFFORDABILITY ARE EXTREMELY IMPORTANT AND SHOULD BE A PART OF THE HFC'S MISSION, WORKFORCE HOUSING IS JUST AS IMPORTANT, IF NOT MORE IMPORTANT BECAUSE THE LACK OF TRUE, DEDICATED FUNDING SOURCES.

WATERFORD'S HOPE IS THAT THIS COMMITTEE WILL RECOGNIZE THE VITAL IMPORTANCE AND ROLE THAT THE HFC PLAYS IN PROVIDING INNOVATIVE FINANCING HOUSING SOLUTIONS TO THE CITY OF DALLAS THE CREATION OF AFFORDABLE HOUSING. I SINCERELY APPRECIATE THE OPPORTUNITY TO SPEAK TODAY, AND I HOPE I MAY BE OF ASSISTANCE TO THE CITY OF DALLAS AND THE HFC AS THEY PURSUE HOUSING POLICY.

WATERFORD VALUES ITS ROLE AS A TRUSTED PARTNER OF THE HFC AND THE CITY OF DALLAS.

THANK YOU. THANK YOU. NEXT SPEAKER. TREY CASTORES.

YEAH. GOOD MORNING. MY NAME IS TREY CASTORES AND I'M WITH THE ETHOS PROPERTY DEVELOPMENT. WE RECENTLY RECEIVED CITY COUNCIL APPROVAL ON A 322 UNIT, FIVE STORY PFC PROJECT IN THE HEART OF THE INTERNATIONAL DISTRICT OF DALLAS. THE PFC PROGRAM IS A FANTASTIC TOOL FOR ADDING ATTAINABLE AND AFFORDABLE HOUSING IN THE CITY OF DALLAS.

HOWEVER, LIKE ALL TOOLS, YOU NEED DIFFERENT VERSIONS FOR DIFFERENT SCENARIOS.

REAL ESTATE IS EXTREMELY SITE SPECIFIC. ALL SITES ARE DIFFERENT, AND ALL PRODUCTS VARY IN COST FOR BOTH CONSTRUCTION AND OPERATION.

A THREE-STORY GARDEN PRODUCT CAN COST HALF OF A FIVE STORY PODIUM PROJECT.

DENSITY IS NEEDED WHERE LAND IS SCARCE AND CRITICAL MASS IS NECESSARY FOR OPERATIONAL EFFICIENCIES.

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FOR INSTANCE, OUR PROJECT IS WELL OVER TWICE THE RENT SAVINGS OF ANY OTHER DALLAS PFC PROJECT AND HAS NO ADDITIONAL AFFORDABILITY.

WITH OUR RENTS, IT WOULD TAKE TEN YEARS TO BE FINANCIALLY FEASIBLE WITHOUT THE PFC PARTNERSHIP.

IT WOULD NOT BE ECONOMICALLY VIABLE WITH ADDITIONAL AFFORDABILITY.

THIS WOULD KILL AN OPPORTUNITY FOR ATTAINABLE AND AFFORDABLE HOUSING IN NORTH CENTRAL DALLAS.

THIS ONE, THERE IS ONE PFC PROJECT WITHIN A FIVE MILE RADIUS OF OURS, WHICH IS TWICE AS BIG AS OUR SUBMARKET.

OUR MARKET STUDY SHOWED WE'LL HAVE 360% AMI TENANTS COMPETING PER UNIT.

WE DELIVER IN OVER 5,080% AMI TENANTS COMPETING FOR EACH UNIT WE DELIVER.

THIS IS IN OUR SUBMARKET ALONE, ROUGHLY HALF THE FIVE MILE RADIUS.

WE WILL PROVIDE OPPORTUNITIES TO LIVE, WORK, PROTECT AND SUPPORT THIS INCREDIBLE CITY.

AS PART OF OUR PROJECT, THESE RESIDENTS COULD NOT FIND HOUSING WITHIN THE DISTRICT ELSEWHERE.

ANY ADDITIONAL AFFORDABILITY REQUIREMENTS FOR OUR PROJECT WOULD MAKE IT FINANCIALLY IMPOSSIBLE, AND THEN WOULD NOT ADDRESS ANY ATTAINABLE AFFORDABLE HOUSING NEEDS IN THE SUBMARKET, WHETHER IT IS RETAIL SUPPORT STAFF, FIREFIGHTERS, POLICE OR TEACHERS. WE MUST PROVIDE ATTAINABLE AND AFFORDABLE HOUSING FOR RESIDENTS THROUGHOUT THE CITY OF DALLAS SO IT CAN CONTINUE TO THRIVE.

THANK YOU ALL FOR YOUR SERVICE TO THE CITY AND CONSIDERING OUR CONCERNS.

ALL RIGHT. THANK YOU. THAT CONCLUDES THE REST OF YOUR PRE-REGISTERED SPEAKERS, MR. CHAIR. I'LL HAND IT OVER TO YOU. WE'LL GO AHEAD AND OPEN IT UP TO ANY SPEAKERS THAT WISH TO SPEAK THAT DID NOT HAVE AN OPPORTUNITY TO SIGN UP.

ALL RIGHT. OH. ALL RIGHT. YOU MAY BEGIN. PLEASE ANNOUNCE YOUR NAME AND YOUR ADDRESS. GOOD MORNING. I'M BARRET LINDBERGH, 5619 PURDUE.

I'M WITH SAVOY EQUITY PARTNERS. OUR FIRM PARTNERED WITH DALLAS PFC ON EIGHT PROJECTS WHICH WOULD NOT HAVE HAPPENED, BUT FOR THE PFC PROGRAM. I'M HERE WITH A STRAIGHTFORWARD REQUEST.

PLEASE KEEP THE PFC TOOL AVAILABLE CITYWIDE, NOT JUST IN AREAS ALREADY FACING HIGH LEVELS OF POVERTY.

THE PROPOSED BYLAW CHANGE LIMITING PFC PROJECTS EXCLUSIVELY TO RECAP AREAS OR NEIGHBORHOODS WHERE THERE'S GREATER THAN 20% POVERTY WOULD SEVERELY UNDERMINE HOUSING PROGRESS. DALLAS OWN RENTAL HOUSING NEEDS ASSESSMENT CONDUCTED BY CPAL CLEARLY UNDERSCORES WHY THIS RESTRICTION IS HARMFUL.

YESTERDAY, I REACHED OUT AND SPOKE PERSONALLY WITH ALAN COHEN, CPAL'S FOUNDER AND CEO, AND HE STRONGLY CAUTIONED THAT RESTRICTING PFC SOLELY TO THESE HIGH POVERTY AREAS WOULD CONCENTRATE POVERTY FURTHER.

PRECISELY WHAT WE MUST AVOID. HERE'S A DIRECT QUOTE THAT HE GAVE ME TO READ INTO THE RECORD.

IF THE STATED GOAL IS TO DECONCENTRATE POVERTY, THEN IT WOULD STAND TO REASON THAT PFCS SHOULD BE USED TO CREATE AFFORDABILITY IN CENSUS TRACTS WITH LOWER POVERTY RATES, THOSE BELOW 20%.

INSTEAD, THE POLICY PROPOSAL WOULD DO THE EXACT OPPOSITE.

IT RESTRICTS PFC ACTIVITIES TO HIGH POVERTY AREAS.

AS A RESULT, IT RISKS REINFORCING THE VERY DYNAMICS IT CLAIMS TO ADDRESS BY FURTHER CONCENTRATING AFFORDABLE HOUSING IN AREAS ALREADY BURDENED BY POVERTY. CPAL STUDY MAKES THIS ABUNDANTLY CLEAR.

LOCATION DETERMINES LIFE OUTCOMES. LITERALLY LIFE AND DEATH.

THE REPORT EXPLICITLY STATES WHERE YOU LIVE SHAPES YOUR FUTURE.

HOUSING IN HIGH OPPORTUNITY NEIGHBORHOODS DIRECTLY CONTRIBUTES TO BETTER HEALTH, EDUCATION, AND ECONOMIC OUTCOMES. LIFE EXPECTANCY CAN DIFFER BY DECADES BETWEEN NEIGHBORHOODS WITHIN THE SAME CITY.

HOUSING POLICY IS HEALTH POLICY. DALLAS IS ALREADY WAY BEHIND ITS PEERS.

IT RANKS 11TH OF 12TH, 11TH OUT OF THE 12 LARGEST US CITIES.

PROVIDING AFFORDABLE UNITS WITHIN GREAT NEIGHBORHOODS.

ONLY 17% OF OUR AFFORDABLE UNITS EXIST IN GREAT NEIGHBORHOODS.

LIMITING PFC USAGE WOULD SOLIDIFY THIS IMBALANCE FOR DECADES TO COME.

PFCS UNIQUELY ADDRESS OUR CRITICAL HOUSING NEEDS, AND WE SHOULDN'T HAMSTRING THE PROGRAM THAT'S WORKING SO WELL.

RENTS IN DALLAS KEEP GOING UP, FAR OUTPACING OUR INCOME GROWTH, AND USING THIS STATIC POVERTY MAP AS A GATING TOOL FOR NEW PROJECTS IS JUST A BAD IDEA. MY ASK TODAY. ALIGN CPAL'S EXPERT RECOMMENDATIONS USE THE POVERTY MAP AS A GUIDE, NOT A GATING TOOL.

ALLOW STAFF TO FLAG HIGH POVERTY AREAS IN A SCORING RUBRIC, BUT EVALUATE EACH PFC PROPOSAL ON ITS MERITS.

WE GO THROUGH FIVE LAYERS OF APPROVAL TO GET A PFC DEAL DONE.

[00:30:04]

RATHER THAN SAYING THAT A MAP IS A GATING TOOL OR A POVERTY AREA IS A GATING.

THAT IS YOUR TIME, SIR, FOR A PROJECT APPROVAL.

THANK YOU ALL VERY MUCH. THANK YOU. NEXT SPEAKER.

GOOD MORNING, I'M MICHAEL WILLIAMS, AND I'M SPEAKING ON BEHALF OF THE REAL ESTATE COUNCIL.

GOOD MORNING, CHAIRMAN MORENO AND COMMITTEE MEMBERS.

TREC STRONGLY SUPPORTS THE DALLAS HOUSING FINANCE CORPORATION AND DALLAS PUBLIC FACILITIES CORPORATIONS AS CRITICAL TOOLS TO DELIVER ESSENTIAL, AFFORDABLE AND MARKET RATE HOUSING TO ALL PARTS OF OUR CITY.

TREC HAS LEVERAGED ITS INDUSTRY EXPERTISE TO REVIEW THE PROPOSED BYLAWS WITH MEMBERS WHO HAVE USED THE HFC AND PFC TOOLS IN DALLAS AND ACROSS THE STATE. THEIR REVIEW WAS GROUNDED IN AN ANALYSIS OF THE BEST PRACTICES AND PRAGMATIC MARKET IMPLICATIONS.

AS A RESULT, WE ARE VERY CONCERNED ABOUT THE PROPOSED LANGUAGE TO ARBITRARILY LIMIT THE GEOGRAPHY AND TARGETED INCOME BANDS.

FOR EXAMPLE, THE PROPOSED INCOME RESTRICTIONS BELOW 50% AMI AND ADDED REFERENCES TO HOME OWNERSHIP ARE OUTSIDE BOTH PROGRAMS INTENDED SCOPE. GEOGRAPHIC RESTRICTIONS LIMITED TO HIGH OPPORTUNITY AREAS WOULD HINDER CRITICAL HOUSING REHABILITATION ACROSS DIVERSE NEIGHBORHOODS, WHICH COULD LEAD TO ECONOMIC SEGREGATION OR LIMITED USE OF THESE MODELS ACROSS THE BOARD.

ADDITIONALLY, DUPLICATIVE ENVIRONMENTAL REVIEWS AND ADDITIONAL NOTICE REQUIREMENTS MAY UNNECESSARILY DELAY PROJECTS AND INTRODUCE DISCRIMINATORY BARRIERS.

WE URGE RECONSIDERATION OF THESE CHANGES AND ADVOCATE FOR A COLLABORATIVE PROCESS TO PRESERVE THE EFFECTIVENESS AND EFFICIENCY OF THE DHS AND PFC PROGRAMS. WE WANT TO MEET IN PERSON TO DISCUSS HOW TO MOVE FORWARD.

INDUSTRY EXPERTS, HOUSING ADVOCATES, AND STAFF SHOULD COMMIT TO WORKING ON SOLUTIONS COLLECTIVELY AND BRINGING COUNCIL A COHESIVE RECOMMENDATION ON BEHALF OF TREK AND OUR MEMBERS. I THANK YOU FOR YOUR CONSIDERATION OF THESE CONCERNS.

THANK YOU. ALL RIGHT. THANK YOU. NEXT SPEAKER.

GOOD MORNING. CHAIR MORENO. VICE CHAIR MENDELSOHN.

MEMBERS OF THE COMMITTEE. THANK YOU FOR THE OPPORTUNITY TO SPEAK TODAY ON BEHALF OF THE DALLAS HOUSING COALITION, OUR 300 HOUSING ADVOCATES, COMMUNITY MEMBERS AND DEVELOPERS WHO ARE WORKING EVERY DAY TO SOLVE DALLAS HOUSING AFFORDABILITY CRISIS.

I'M SPEAKING IN STRONG SUPPORT OF THE DALLAS, PFC, AND HFC TODAY.

LET'S START BY LOOKING AT THE NUMBERS. THE DHFC HAS HELPED PRODUCE MORE THAN 7000 HOMES, WITH JUST OVER $8 MILLION IN CITY SUPPORT.

THAT'S JUST THE COST OF OVER 1000 HOMES PER UNIT.

DOLLARS PER HOME FROM THE CITY, WHILE NOW APPROACHING $1 BILLION IN ASSETS.

THERE'S NO OTHER HOUSING STRATEGY THAT'S PRODUCING THAT KIND OF RETURN.

THE DALLAS PFC HAS ALSO PLAYED A KEY ROLE IN BRINGING PROJECTS THAT ARE MIXED INCOME TO LIFE THAT WOULD NOT OTHERWISE HAPPEN.

TO DATE, 23 PROJECTS HAVE BEEN APPROVED OVER 1.2 BILLION IN PROJECTED COSTS, CREATING OVER 5286 HOMES.

IN TOTAL, 2767 AFFORDABLE. SEVEN OF THE 14 PROJECTS ON THIS MAP ARE LOCATED AT OR ABOVE 1430, IN HIGH OPPORTUNITY AREAS NEAR PUBLIC TRANSIT, CREATING VIBRANT, WALKABLE NEIGHBORHOODS THAT HAVE ECONOMIC RIPPLE EFFECTS BEYOND THE BUILDINGS FOOTPRINT THEMSELVES. THE CITY OF DALLAS BENEFITS FINANCIALLY FROM THESE DEALS THROUGH DEVELOPER FEES AND LONG TERM ECONOMIC GROWTH WITHOUT ASSUMING RISK, BECAUSE THE BONDS ARE PRIVATE CAPITAL. THE CITY IS NOT ON THE HOOK FOR REPAYMENT.

TOGETHER, THESE ENTITIES ARE UNLOCKING HIGH QUALITY HOUSING ACROSS THE CITY, BRINGING TO LIFE UNDERUTILIZED PARCELS AND CATALYZING PRIVATE INVESTMENT IN PLACES THAT NEED IT MOST. INCREASING OUR TAX BASE. COMBINED, THE HFC AND PFC ACCOUNTED FOR 73% OF ALL CITY DELIVERED AFFORDABLE UNITS IN 2023 AND 2024. WE REVIEWED TODAY'S MEMO THE CHANGES OUTLINED.

UNFORTUNATELY, MOST OF THESE CHANGES ONLY WALK BACK THE MOST EXCESSIVE ADMINISTRATIVE PROPOSALS FOR OVERSIGHT.

THE MOST CONCERNING RECOMMENDATIONS, AS YOU'RE HEARING TODAY REMAIN.

THESE ARE MAJOR POLICY SHIFTS WITH REAL CONSEQUENCES.

YET WE'VE SEEN NO DATA DRIVEN EVIDENCE SHOWING THAT THESE RESTRICTIONS ARE NECESSARY TO PREVENT THE CONCENTRATION OF POVERTY.

NOR PROOF THAT DEALS WOULD STILL PENCIL UNDER THESE RESTRICTIONS.

AT MINIMUM, STAFF SHOULD BE REQUIRED TO PROVIDE THAT DATA AND SURVEY OUR DEVELOPMENT COMMUNITY ON WHETHER OR NOT THEY WOULD STILL USE THESE TOOLS IF THESE CHANGES ARE IMPOSED.

THE FEW MINOR CONCESSIONS IN TODAY'S MEMO SHOULD NOT EASE YOUR CONCERNS, OR THOSE OF THE HFC BOARDS AND DEVELOPERS AND PFC THAT YOU'RE HEARING FROM TODAY.

[00:35:07]

FROM OUR UNDERSTANDING, EVERY MEETING HAS BEEN INITIATED BY THE PFC AND HFC CHAIRS AND NOT STAFF, WITH THE EXCEPTION OF ONE MEETING IN JANUARY WHEN THESE FULL LIST OF RECOMMENDATIONS WERE BROUGHT TO THEM WITHOUT PRIOR COLLABORATION OR INPUT.

THAT'S NOT HOW YOU BUILD TRUST. IT'S CERTAINLY NOT HOW YOU BUILD POLICY THAT'S MEANT TO ATTACK OUR MOST URGENT CHALLENGES.

WHAT'S AT STAKE IS NOT JUST THE FUTURE OF THESE CORPORATIONS, BUT THE CREDIBILITY OF OUR CITY'S COMMITMENT TO HOUSING AFFORDABILITY.

THANK YOU. SORRY. ALL RIGHT. THANK YOU. NEXT SPEAKER WHO WAS REGISTERED EARLIER.

ALAN NULL. HELLO, ALAN NULL, 3899 MAPLE AVENUE.

SO I'VE GOT A SLIGHTLY DIFFERENT PERSPECTIVE ON THIS, BUT WE'RE MAINLY IN THE NURSING HOME BUSINESS, AND YOU MAY NOT REALIZE THIS, BUT THEY'RE REALLY AFTER COVID, THERE'S REALLY BEEN A BIT OF A CRISIS IN THE NURSING HOME BUSINESS, AND IT RELATES TO WORKERS. THE LAST BUILDING WE BUILT, NURSING HOMES ALL OVER THE STATE.

THE LAST ONE WE BUILT IN THE CITY OF DALLAS WAS ABOUT 15 YEARS AGO.

AND WHAT'S BEEN HAPPENING FOR A LOT OF DIFFERENT REASONS HOUSING AVAILABILITY IS, IS ONE OF THE BIGGEST THINGS WE HEAR.

WE'RE LOSING GREAT HEALTHCARE WORKERS TO THE SUBURBS WHERE HOUSING IS MORE AVAILABLE.

NURSING HOMES ARE CLOSING DOWN IN URBAN AREAS ALL OVER THE COUNTRY.

SO WE'RE CURRENTLY BUYING THREE NURSING HOMES IN THE CITY OF DALLAS.

TWO OF THOSE WERE GOING TO SHUT DOWN, AND A BIG PART OF IT HAS TO DO WITH AVAILABILITY OF WORKERS.

SO I WOULD JUST ENCOURAGE YOU, I'M NO EXPERT ON PFC OR HFC, BUT THESE ARE GREAT TOOLS.

WE CAN'T AFFORD TO LOSE ANY TOOLS THAT WE HAVE.

SO ANYTHING THAT THE CITY CAN DO THAT WILL HELP HEALTHCARE WORKERS, PEOPLE TALK ABOUT, YOU KNOW, GENERIC WORKERS ALL THE TIME. WE DEAL WITH THEM EVERY DAY.

AND IF THEY DON'T HAVE CHILDCARE, IF THEY CAN'T GET TO WORK, WE CAN'T TAKE CARE OF OUR ELDERLY LOVED ONES.

IT'S VERY IMPORTANT. AND IT'S REALLY I WAS JUST THINKING, I KNOW OF SIX NURSING HOMES IN THE CITY OF DALLAS THAT HAVE SHUT THEIR DOORS.

AND THIS IS A BIG REASON WHY. SO I WOULD JUST ENCOURAGE YOU TO THINK OUTSIDE THE BOX.

DON'T LOSE ANY TOOLS THAT YOU HAVE BECAUSE THESE ALL ADD UP AND HELP US DO OUR JOBS.

THANK YOU VERY MUCH. ALL RIGHT. THANK YOU. NEXT SPEAKER.

GOOD MORNING. MY NAME IS SUMMER GREATHOUSE. I AM THE LAWYER FOR THE DALLAS PUBLIC FACILITY CORPORATION.

I JUST WANT TO SAY THANK YOU FOR THE OPPORTUNITY TO TALK THIS MORNING ABOUT A MATTER THAT'S REALLY IMPORTANT TO YOUR CITY.

IN TERMS OF GOVERNANCE AND AFFORDABLE HOUSING INITIATIVES, I THINK THERE ARE SEVERAL LEGAL AND PUBLIC POLICY CONSIDERATIONS AT STAKE WHEN WE'RE LOOKING TO MODIFY THE OPERATIONS OF THESE IMPORTANT TOOLS.

I THINK IT'S FIRST IMPORTANT TO UNDERSTAND OUR ENVIRONMENT. AND I THINK I'M PROBABLY NOT TELLING YOU ANYTHING YOU HAVEN'T ALREADY HEARD. OTHER PEOPLE HAVE SAID THIS MORNING, WE'RE IN A HOUSING CRISIS. HOUSING AT ALL LEVELS. THERE WAS AN ARTICLE THAT CAME OUT THIS MORNING IN THE TEXAS TRIBUNE, THE STATE OF TEXAS HAS A DEFICIT OF AT LEAST 320,000 UNITS.

ALL LEVELS. THAT WAS A REPORT THAT WAS RELEASED BY THE TEXAS COMPTROLLER EARLIER THIS YEAR.

I THINK IT'S REALLY IMPORTANT TO KEEP THIS IN MIND WHEN WE'RE MAKING LONG REACHING POLICY CONSIDERATION CHANGES.

THE DALLAS PUBLIC FACILITY CORPORATION WAS ESTABLISHED WITH A CLEAR MISSION TO FACILITATE THE DEVELOPMENT OF AFFORDABLE AND WORKFORCE HOUSING TO SERVE CRITICAL NEEDS OF DALLAS RESIDENTS. THIS MISSION REQUIRES SPECIALIZED EXPERTISE, DEDICATED FOCUS, AND THE ABILITY TO MAKE DECISIONS BASED ON LONG TERM COMMUNITY BENEFITS.

THROUGH THE LENS OF INSTITUTIONAL KNOWLEDGE AND EXPERIENCE, THERE'S A LOT OF REASONS WHY MAINTAINING THESE BOARDS IS INDEPENDENT IS ESSENTIAL.

THE PFC AND HFC BOARDS DO CONSIST OF MEMBERS THAT ARE APPOINTED BY THE CITY COUNCIL.

THESE FOLKS HAVE SPECIALIZED KNOWLEDGE IN AFFORDABLE HOUSING, FINANCE, REAL ESTATE DEVELOPMENT, AND PROVIDE INFORMED DECISION MAKING THAT COULD OTHERWISE BE DILUTED IF A MORE GENERALIZED GOVERNANCE STRUCTURE IS PUT INTO PLACE, OR IF OVERLY PRESCRIPTIVE POLICY REQUIREMENTS ARE MANDATED, AN INDEPENDENT BOARD CAN RESPOND QUICKLY TO DEVELOPMENT OPPORTUNITIES AND MARKET CHANGES.

THE ABILITY TO ACT DECISIVELY ON TIME SENSITIVE PROJECTS IS CRUCIAL IN THE COMPETITIVE REAL ESTATE MARKET OF DALLAS, WHERE DELAYS MEAN LOST OPPORTUNITIES AND LOST HOUSING.

[00:40:03]

SO THERE IS THE OPPORTUNITY FOR THAT OVERSIGHT.

AND THIS IS A PRACTICE THAT'S BEEN FOLLOWED SINCE THE INCEPTION OF THESE ENTITIES. I BELIEVE AN EARLIER SPEAKER MENTIONED KEEPING A PROJECT BY PROJECT EVALUATION PROCESS TO ALLOW DISTINCT NEEDS OF THE COMMUNITIES TO BE TO BE MET ACROSS YOUR DIVERSE COMMUNITIES BY PUTTING INTO PLACE VERY RESTRICTIVE REQUIREMENTS.

YOU'RE LIMITING NOT ONLY THE BOARDS, BUT ALSO THE CITY COUNCIL MEMBERS ABILITIES TO RESPOND TO THE NEEDS OF EACH OF THEIR RESPECTIVE DISTRICTS.

THE PFC AND HFC HAVE ALSO ESTABLISHED VALUABLE RELATIONSHIPS WITH DEVELOPERS, FINANCIAL INSTITUTIONS, AND COMMUNITY ORGANIZATIONS. THESE PARTNERSHIPS THRIVE ON STABILITY AND CONSISTENCY IN GOVERNANCE.

PARTNERS NEED CONFIDENCE THAT THEIR AGREEMENTS AND PROCESSES WON'T BE SUBJECT TO POLITICAL SHIFTS.

HOUSING DEVELOPMENT REQUIRES LONG TERM PLANNING THAT SPANS ELECTORAL CYCLES AND POLITICAL SHIFTS.

AN INDEPENDENT BOARD PROVIDES CONTINUITY OF VISION AND EXECUTION THAT CAN TRANSCEND CHANGES IN CITY LEADERSHIP.

THE STABILITY IS ESSENTIAL FOR MULTI. THAT IS YOUR TIME.

THANK YOU. THANK YOU. NEXT SPEAKER.

ALL RIGHT. HELLO. KATIE SLADE WITH MINTWOOD REAL ESTATE.

I'M HERE. A LOT OF THE SPEAKERS HAVE SAID THINGS THAT RESONATE WITH MY TALKING POINTS.

THE LENS THAT I'M HERE TO OFFER TODAY IS THAT WE OWN A BUILDING THAT IS A PUBLIC FACILITY CORPORATION, AND THE RESIDENTS IN THAT BUILDING ARE EXACTLY WHAT WE HAVE TALKED ABOUT FOR YEARS.

THANKS TO THE COUNCIL'S SUPPORT AND THE PUBLIC FACILITIES CORPORATION SUPPORT, THOSE RESIDENTS ARE WORK FOR DART.

THEY WORK FOR THE POLICE DEPARTMENT. THEY'RE TEACHERS. THEY ARE ALL THE PEOPLE THAT WE WANT TO BE ABLE TO PROVIDE HOUSING ACCESS TO.

AND MOST IMPORTANTLY, THOSE PEOPLE WANT TO BE IN GREAT NEIGHBORHOODS.

AND SO RESTRICTING THE PUBLIC FACILITY CORPORATION OR THE HOUSING FINANCE CORPORATION TO AREAS THAT ARE AT 20% POVERTY IS DOING EXACTLY WHAT WE'VE SPENT YEARS TALKING ABOUT IN MANY INVESTMENT COMMUNITIES ABOUT HELPING TO PROVIDE ACCESS FOR PEOPLE TO BE LIVING IN AREAS WHERE THEY WANT TO BE, WHERE THEY OTHERWISE WOULDN'T BE ABLE TO AFFORD IT.

AND SO THAT'S A REALLY IMPORTANT POINT FOR US TO CONSIDER.

THE SECOND POINT THAT I OFFER IS ON BEHALF OF SOMEBODY WHO IS CURRENTLY TRYING TO RAISE MONEY TO BUILD THE NEXT PUBLIC FACILITY CORPORATION, AND THE FEEDBACK THAT I CONTINUE TO GET RIGHT NOW FROM INVESTORS IN NEW YORK THAT ARE VERY EXPERIENCED WITH AFFORDABLE HOUSING INVESTMENT, IS THEIR CONCERN THAT THIS IS NOT A PREDICTABLE AND RELIABLE GROUP FOR THEM TO CONTINUE TO MAKE INVESTMENTS HERE.

THAT'S A HUGE RISK THAT WE'RE FACING WHERE WE CONTINUE.

THERE'S A STATE ISSUE AND THAT'S NOT WHAT WE CAN CONTROL, BUT WHAT WE CAN CONTROL HERE IN THE CITY IS BEING PREDICTABLE AND RELIABLE GROUPS TO DO BUSINESS WITH. AND SO I ENCOURAGE YOU ALL TO MAKE DECISIONS THAT CONTINUE TO PROVIDE THAT PREDICTABILITY.

THANK YOU. THANK YOU. NEXT SPEAKER.

GOOD MORNING. I'M BEN BREUNIG WITH COPPER REAL ESTATE, AND WE'RE A CURRENT DEVELOPER OF A PFC PROJECT ON EIGHTH STREET IN THE BISHOP ARTS DISTRICT. AND I JUST WANT TO SPEAK TO JUST THE SUCCESS OF WHAT THE PROGRAM INTENDED TO DO AND WHAT'S ABLE TO DELIVER THEIR PREVIOUSLY THERE WAS 61 RESIDENTIAL UNITS ACROSS.

I THINK IT WAS 16 DIFFERENT LOTS THAT WERE ASSEMBLED TO PUT THE PROJECT TOGETHER.

AND THAT STOCK WAS AN AGING STOCK, BUT IT WAS AT WHAT MIGHT BE DEEMED AN IN PLACE, AFFORDABLE LEVEL WITHOUT RENT RESTRICTIONS.

WHAT WE'VE BEEN ABLE TO DO IS NOW DELIVER A 232 UNIT PROJECT WHERE 118 UNITS IN PLACE OF THE 61 EXISTING UNITS ARE NOW AT AN AFFORDABLE LEVEL, AND THOSE ARE COMING IN AT 80% AND 60% AFFORDABILITY LEVELS.

AND SO WE LOOK AT THAT AS A GREAT SUCCESS. AND THEN WE'RE ALSO DELIVERING 114 MARKET RATE UNITS.

SO AS WE THINK ABOUT THE ECOSYSTEM OF THE NEIGHBORHOOD WITH ONE OF THESE EMERGING NEIGHBORHOODS, WE JUST THINK THAT'S GREAT. WE'RE ACTUALLY DELIVERING MORE OF WORKFORCE HOUSING THAN WHAT WAS IN PLACE BEFORE.

PLUS WE'RE BRINGING MARKET RATE UNITS, AND THEN THE DENSITY THAT THAT CREATES IN THE NEIGHBORHOOD IS BEING RECEIVED REALLY WELL.

I MEAN, WE ON EIGHTH STREET ALONE, WE HAVE A FLORIST.

WE HAVE A CANDLE SHOP. WE'VE GOT A BOUTIQUE THAT HAVE ALL REACHED OUT TO US BECAUSE THEY'RE SO EXCITED FOR US TO OPEN, BECAUSE IT BRINGS MORE FOOT TRAFFIC TO THEIR SHOPS AND HELPS THE WHOLE NEIGHBORHOOD, THE ECOSYSTEM OF THE NEIGHBORHOOD, PLAY OFF EACH OTHER. SO WE'RE JUST EXCITED ABOUT THAT.

AS YOU GUYS KNOW DEVELOPMENT IS HARD. EVERYONE IN HERE WILL SAY IT'S HARD.

[00:45:03]

AND SO TO ADD ANY FURTHER LAYERS OF BUREAUCRACY INTO IT JUST MAKES IT VERY DIFFICULT.

AND SO IT'S DIFFICULT FOR US TO GO PUT THOSE TOGETHER WITH LAND SELLERS, WITH INVESTORS, EVERYTHING ELSE.

AND SO I THINK WHAT THE DFC HAS ALREADY ESTABLISHED IS A REALLY GOOD PROGRAM.

AND I WOULD JUST ENCOURAGE YOU GUYS TO STAY WITH THAT PROGRAM AND NOT LOOK TO MAKE THESE WHOLESALE CHANGES.

SO THANK YOU. THANK YOU. NEXT SPEAKER.

JAKE WALKER, 5840 GOLIAD AVENUE, 75206. I'M A MANAGING PRINCIPAL WITH THE BOULEVARD GROUP.

WE ARE A AFFORDABLE HOUSING MULTIFAMILY INVESTMENT GROUP THAT OWNS 40 ASSETS IN 17 STATES, COAST TO COAST CALIFORNIA, ALL THE WAY TO PROVIDENCE, RHODE ISLAND. AND THAT EQUATES TO ABOUT 6000 UNITS.

5500 OF THOSE UNITS ARE UNITS THAT ARE SERVING 60% AMI RESIDENTS AND BELOW.

SO WE PRIMARILY ARE WHAT WE CALL A CAPITAL, A AFFORDABLE HOUSING PROVIDER.

WE CARE DEEPLY ABOUT INCREASING PRESERVING THE AFFORDABLE HOUSING STOCK ACROSS THE COUNTRY.

SO I COME AT THIS FROM A SLIGHTLY DIFFERENT ANGLE.

WE HAVE PROGRAMS THAT HAVE BEEN HIGHLY EFFECTIVE.

BUT AS WE OPERATE COAST TO COAST, WE HAVE ACCESS TO MARKETS WHERE WE'VE SEEN AFFORDABILITY JUST COMPLETELY ESCAPE OUR GRASP WHEN THE THINGS THAT WE'RE DOING AREN'T MAKING A DENT IN THE PROBLEMS IN THOSE AREAS.

AND WHAT I'M TALKING ABOUT IS THESE COASTAL MARKETS AND WHAT THEY'VE DONE IS WITH WELL-INTENDED, WELL INTENTIONED, GOOD INTENTIONS, THEY'VE CREATED OVERSIGHT AND BUREAUCRACY THAT MAKES IT COMPLETELY INEFFICIENT TO PROVIDE AFFORDABLE HOUSING UNITS TO THE MARKETPLACE, AND THAT IS SIMPLY DRIVEN UP COSTS. SO WHAT I WOULD SAY IS WE OWN TWO MIDDLE INCOME PROPERTIES, WORKFORCE HOUSING PROPERTIES. WE WORK WITH SIX DIFFERENT STATES WITH PROGRAMS SIMILAR TO THE PFC AND HFC PROGRAM.

AND FROM WHAT WE'VE SEEN BY FAR THAT THIS THESE TWO PROGRAMS ARE THE MOST SUCCESSFUL AND THE MOST EFFICIENT PROGRAMS AT DELIVERING ESSENTIAL HOUSING TO COMMUNITIES THAT WE'VE SEEN IN THOSE SIX STATES THAT WE THAT WE WORK WITH.

SO I WANT TO TALK ABOUT TWO POINTS, PRIMARILY ONE, THAT 20%, YOU KNOW, REQUIREMENT AND THEN DIPPING INTO THE LOWER AMI INCOME LEVELS AGAIN FROM A GROUP THAT PRIMARILY FOCUSES ON THAT.

TO TRY TO TARGET THOSE TWO DISPARATE INCOME CATEGORIES WITH ONE PROGRAM IS EXTREMELY DIFFICULT AND EXTREMELY INEFFICIENT.

THERE ARE ALREADY PROGRAMS THAT PROVIDE THAT WE TAKE ADVANTAGE.

WE PARTNER WITH THOSE PROGRAMS TO PROVIDE THOSE HOUSING, THAT HOUSING TO GROUPS.

NOW, I THINK A CHANGE AND SOME CHANGES THERE PROBABLY NEED TO BE MADE.

BUT WE NEED TARGETED APPROACH APPROACHES. AND THIS IS A TARGETED APPROACH.

AND THE ROLE OF A CENTRAL HOUSING IS TO PROVIDE THOSE HOUSING UNITS AND HIGH OPPORTUNITY AREAS, AREAS WHERE OTHERWISE THEY WOULD NOT BE ABLE TO LIVE IN THOSE COMMUNITIES.

SO ALLOW THESE CENTRAL WORKERS TO WORK AND LIVE IN THE COMMUNITIES THAT THEY SERVE.

I THINK THAT IS EXTREMELY IMPORTANT. AND FINALLY, AGAIN, BECAUSE WE'RE IN THOSE MARKETS, I'M A TEXAS RESIDENT, BORN AND RAISED HERE, BUT WORKING IN THOSE COASTAL MARKETS, WE HAVE A UNIQUE INSIGHT INTO EXACTLY HOW TO MAKE HOUSING UNAFFORDABLE AND TAKE IT OUT OF REACH OF THE AVERAGE RESIDENT IN YOUR COMMUNITY.

AND IT IS THROUGH WELL-INTENDED OVERSIGHT, MANY LAYERS THAT CREATES.

SORRY, THAT IS YOUR TIME DELIVERY. THANK YOU FOR YOUR TIME. THANK YOU.

ALL RIGHT. ARE THERE ANY REMAINING SPEAKERS IN THE AUDIENCE? GOOD MORNING CHAIR MORENO, VICE CHAIR MENDELSOHN.

MY NAME IS AARON QUINTO. I'M THE GENERAL MANAGER OF THE DALLAS HOUSING FINANCE CORPORATION.

I DON'T OFTEN GET THE CHANCE JUST TO SPEAK FREELY.

SO THIS IS THIS IS KIND OF A NEW FOR ME, BUT I AM UP HERE, AND I'M GRATEFUL TO ACTUALLY BE A PART OF THIS.

YOU CAN SEE THERE'S VERY MUCH INTEREST ON ALL SIDES.

AND, YOU KNOW, I APPRECIATE THE EFFORTS OF BOTH COUNCILS, HOUSING STAFF AND THE HFC AND PFC BOARDS.

YOU KNOW, THIS IS SOMETHING THEY CARE DEEPLY ABOUT, OBVIOUSLY, AND AS WELL AS THE DEVELOPMENT COMMUNITY.

I JUST WANT TO, YOU KNOW, POINT SOMETHING OUT JUST FROM MY PERSPECTIVE.

SO MY BACKGROUND. SO I GOT A MASTER'S DEGREE IN REAL ESTATE DEVELOPMENT.

AND THEN I'VE WORKED FOR SEVERAL PRIVATE DEVELOPERS, FAIRFIELD RESIDENTIAL, BERKADIA ON THE LENDING SIDE ON THE DEVELOPMENT SIDE.

THEN I CAME AND WORKED WITH THE CITY AND IT'S A VERY DIFFERENT INDUSTRY.

I THINK IN THE LAST MEETING IN OCTOBER, I THINK WHEN WE FIRST KIND OF KICKED OFF THIS REVIEW OF THESE CORPORATIONS, THE QUESTION WAS ASKED, WHY AREN'T MORE MAJOR DEVELOPERS PARTICIPATING IN THIS PROCESS?

[00:50:06]

JUST TRYING TO BLINDLY TRUST THESE THINGS THAT HAVE COME, COME BEFORE YOU.

AND SO WHAT I WANT TO TALK ABOUT IS YOUR BOARD MEMBERS AND YOUR STAFF HERE.

YOUR BOARD MEMBERS ARE HIGHLY SKILLED IN THIS. AND LIKE I SAID, IT TOOK ME 3 OR 4 YEARS OF DOING THIS EVERY SINGLE DAY TO UNDERSTAND THE NUANCES OF THE PROGRAMS AND THE INS AND OUTS OF HOW TO GET A PROJECT DONE.

IT'S VERY DIFFICULT. AND SO YOU HAVE BOARDS HERE THAT HAVE DEDICATED THEIR OWN PERSONAL TIME AND, AND THEIR OWN RESOURCES TO EDUCATE THEMSELVES TO LEARN ABOUT THIS.

AND I SPEAK WITH THEM DAILY. I SPEAK WITH THEM WEEKLY.

YOU KNOW, THEY DELIBERATE THESE PROJECTS ON A VERY INTENSE MANNER IN PUBLIC MEETINGS.

IT'S SOMETHING THAT IS ADMIRABLE, RIGHT? THEY'RE NOT GETTING PAID FOR THIS.

AND SO WHAT I WANT TO SAY IS HAVE TRUST IN YOUR BOARDS.

BECAUSE ULTIMATELY, AT THE END OF THE DAY, ALL THEY WANT TO DO IS BE RESPONSIVE TO THEIR COUNCIL MEMBERS AND WHAT THE NEEDS ARE FOR THEIR COMMUNITY.

AND THAT'S THE OTHER THING I WANT TO POINT OUT. YOU KNOW, WE HAVE CITY STAFF, WE HAVE THESE DEVELOPERS.

THEY MAY NOT BE RESIDENTS OF DALLAS. YOUR BOARDS ARE RESIDENTS IN THE COMMUNITIES WHERE THEY ARE APPROVING THESE PROJECTS.

AND SO THEY NOT ONLY HAVE THE EXPERTISE TO LOOK AT THESE THINGS, THEY ALSO HAVE THE PERSONAL, I GUESS, COMMITMENT AND THE PERSONAL BUY IN TO MAKE SURE THAT THE PROJECTS THEY'RE APPROVING IN THEIR OWN COMMUNITIES ARE SOMETHING THAT IS GOING TO BE GOOD FOR THE LONG TERM. SO THANK YOU. THANK YOU. ARE THERE ANY OTHER SPEAKERS OUT THERE IN THE AUDIENCE? IF NOT, WE HAVE A SPEAKER, ANTHONY PAGE, WHO WILL BE JOINING US ONLINE.

MR. PAGE, YOU MAY BEGIN. YOU HAVE THREE MINUTES TO SPEAK.

THANK YOU, CHAIR MORENO AND MEMBERS OF THE COMMITTEE.

MY NAME IS TONY PAGE 3210 CARLYLE STREET, DALLAS AND I SERVE AS BOARD SECRETARY OF THE DALLAS HOUSING FINANCE CORPORATION.

I AM GRATEFUL FOR THE OPPORTUNITY TO SPEAK WITH YOU TODAY.

AS APPOINTEES OF THE MAYOR AND CITY COUNCIL, THE HFC BOARD IS COMMITTED TO UPHOLDING THE TRUST PLACED IN US TO ADVANCE THE CITY'S HOUSING OBJECTIVES. WE SHARE THE SAME ULTIMATE GOAL AS THIS COMMITTEE AND THE COUNCIL, EXPANDING ACCESS TO HIGH QUALITY, AFFORDABLE HOUSING ACROSS DALLAS IN A MANNER THAT IS LEGALLY SOUND AND FINANCIALLY SUSTAINABLE.

OVER THE PAST SEVERAL YEARS, THE DFC AND ITS PARTNERS, WORKING CLOSELY WITH THE CITY COUNCIL, HAVE HELPED BRING FORWARD THOUSANDS OF AFFORDABLE UNITS ACROSS 12 COUNCIL DISTRICTS, LEVERAGED OVER $1 BILLION IN INVESTMENT WITH ONLY A MODEST PUBLIC COST.

THIS SUCCESS REFLECTS NOT JUST OUR MISSION, BUT THE VITAL PUBLIC PRIVATE MODEL THAT COUNCIL ENTRUSTED US TO IMPLEMENT.

AS I OUTLINED IN MY RECENT SURVEY RESPONSES AND FOLLOW UP CORRESPONDENCE, WE HAVE SERIOUS CONCERNS ABOUT ASPECTS OF THE HOUSING DEPARTMENT'S PROPOSED GOVERNANCE CHANGES. WE BELIEVE THAT ANY CHANGES SHOULD BE GUIDED BY COLLABORATIVE, TRANSPARENT AND DATA DRIVEN PROCESS.

MANY OF THE RECOMMENDATIONS WOULD SIGNIFICANTLY WEAKEN THE STATUTORY INDEPENDENCE THE DFC AND DFC WERE CREATED TO MAINTAIN.

UNDER CHAPTERS 394 AND 303 OF THE TEXAS LOCAL GOVERNMENT CODE, THEY WOULD ALSO PLACE OUR BOARD MEMBERS, WHO ARE APPOINTED BY THE MAYOR AND CITY COUNCIL, IN THE UNTENABLE POSITION OF BEARING FIDUCIARY RESPONSIBILITIES FOR ACTIONS OVER WHICH THEY WOULD HAVE NO CONTROL BEYOND THE LEGAL AND GOVERNANCE ISSUES.

SEVERAL OPERATIONAL PROPOSALS RISK MAKING FUTURE AFFORDABLE HOUSING PROJECTS FINANCIALLY INFEASIBLE.

DEVELOPERS AND LENDERS NEED PREDICTABILITY AND A REASONABLE REGULATORY ENVIRONMENT TO MOVE FORWARD.

LAYERING ON REDUNDANT APPROVAL STEPS AND RIGID AFFORDABILITY FORMULAS AND NOTICE REQUIREMENTS WITHOUT PROVIDING CORRESPONDING FUNDING MECHANISMS WOULD SHRINK THE VERY PIPELINE OF PROJECTS THAT THE CITY URGENTLY NEEDS.

THESE CONCERNS ARE SERIOUS, BUT THEY ARE NOT INSURMOUNTABLE. WE BELIEVE THAT ANY CHANGES IN DFC AND DFC GOVERNANCE SHOULD BE GROUNDED IN A COLLABORATIVE, TRANSPARENT AND DATA DRIVEN PROCESS DEVELOPED AMONG THE BOARDS, DEVELOPERS, CITY STAFFS AND YOU, THE ELECTED OFFICIALS. SUCH AN APPROACH WOULD NOT ONLY STRENGTHEN PUBLIC CONFIDENCE, IT WOULD MAXIMIZE OUR COLLECTIVE ABILITY TO DELIVER REAL, LASTING, AFFORDABLE HOUSING RESULTS FOR DALLAS FAMILIES.

THE DHFC AND DFC BOARDS, WITH YOUR SUPPORT, HAVE REPEATEDLY OFFERED TO WORK IN PARTNERSHIP WITH THE HOUSING DEPARTMENT TO REFINE AND STRENGTHEN OPERATIONAL PRACTICES. THAT OFFER REMAINS OPEN. I RESPECTFULLY URGE THE COMMITTEE TO TAKE THE TIME NEEDED TO FULLY REVIEW THESE IMPORTANT ISSUES AND TO ENSURE THAT ANY GOVERNANCE CHANGES PROTECT THE STATUTORY FRAMEWORK THAT UNDERPINS OUR ABILITY TO SERVE THE CITY'S RESIDENTS EFFECTIVELY.

[00:55:04]

ALRIGHTY. THANK YOU. ARE THERE ANY REMAINING SPEAKERS OUT THERE IN THE AUDIENCE THAT WOULD LIKE TO ADDRESS THE MEMBERS OF THE COMMITTEE.

SEEING NONE. MR. CHAIR, I WILL REFER BACK TO YOU.

THANK YOU. THE HOUSING AND HOMELESSNESS SOLUTIONS COMMITTEE HAS COMPLETED ITS PUBLIC HEARING IN ACCORDANCE WITH SECTION 9.3 B OF THE CITY COUNCIL RULES OF PROCEDURES, AND AT 10:02 ON APRIL 22ND, 2025, THE COMMITTEE HAS CLOSED ITS PUBLIC HEARING.

ALL RIGHT. IT WAS IMPORTANT FOR ME TO PLACE THIS ITEM AS A PUBLIC HEARING ON OUR AGENDA.

THIS HAS GIVEN OUR STAKEHOLDERS AN ADDITIONAL OPPORTUNITY TO MAKE THEIR VOICE HEARD BY BOTH THE COMMITTEE AND BY STAFF.

ON TOP OF THE MULTIPLE MEETINGS THAT I'VE HAD WITH MANY OF YOU HERE IN THE AUDIENCE TODAY, THIS COUNCIL HAS HAD A LOT OF DISCUSSIONS ON HFCS AND PFCS.

I DO BELIEVE THAT THIS IS A GREAT TOOL. HOWEVER, THEY MUST ALIGN AND FOLLOW OUR OWN HOUSING PRIORITIES AND POLICIES.

I APPRECIATE EVERYONE FOR COMING OUT TODAY AND BEING PART OF THIS IMPORTANT DISCUSSION.

I ALSO WANT TO EXTEND MY APPRECIATION TO CITY STAFF FOR DILIGENTLY WORKING TO GET THIS PUBLIC HEARING AND A POSSIBLE VOTING ITEM TODAY TO CYNTHIA, THOR, AND DORAN AND ALL THE OTHER HOUSING AND COMMUNITY DEVELOPMENT STAFF WHO HAVE WORKED TIRELESSLY TO BRING CITY SERVICES TO OUR CONSTITUENTS EVERY DAY.

I'M SORRY FOR THE WAY THAT YOU HAVE BEEN TREATED.

YOU HAVE ENGAGED WITH THE COMMUNITY ON HFCS AND PFCS AS REQUESTED, AND I'M SATISFIED WITH YOUR WORK.

A LOT HAS BEEN SAID ABOUT YOU, ABOUT YOU ALL, AND IT'S VERY UNFORTUNATE.

I WILL REMIND MY COLLEAGUES THAT TODAY WE ARE HERE TO DISCUSS POLICY, WHICH FIRST AND FOREMOST, BENEFITS OUR CONSTITUENTS. WHILE IT IS IMPORTANT TO WORK WITH THE DEVELOPER COMMUNITY, THEY CANNOT BE OUR FIRST FOCUS.

LIKE ANY POLICY INITIATIVE AT THE CITY OF DALLAS, HFCS AND PFCS MUST BE REGULARLY SCRUTINIZED AND IMPROVED UPON AS NECESSARY.

FOR TOO LONG, THE CITY OF DALLAS HAS BEEN SHOULDERING MUCH OF THE RESPONSIBILITIES THAT THE HFC AND THE PFC MUST CARRY TO IMPROVE THE INDEPENDENT NATURE OF THESE CORPORATIONS, WE MUST REVIEW AND POSSIBLY AMEND PROCESSES TO RELY LESS ON THE CITY AND MORE ON THEIR OWN ABILITIES.

THIS IS NOT A DECISION THAT WE TAKE LIGHTLY. WE HAVE HAD PUBLIC COMMENT AVAILABLE FOR MONTHS NOW, AND AFTER AN INTENTIONAL DELAY IN THE CITY'S, ENGAGED THE COMMUNITY IN MANY WAYS.

AS THEY WILL EXPLAIN, THERE MAY BE SOME DISAGREEMENT ON THE NEED TO REVIEW AND IMPROVE THE FUNCTIONS OF OUR CITY ENTITIES, BUT I AM NOT ONE OF THEM. I BELIEVE NOW MORE THAN EVER THAT WE MUST THAT WE HAVE TO ENSURE THAT OUR CITY AND ITS PARTNERS ARE WORKING AS INTENDED.

WE HAVE TO WORK TOGETHER TOWARDS THE GOALS THAT THIS COUNCIL MEMBERS AND AS REPRESENTATIVES OF THE PUBLIC SET.

I HOPE TODAY WE CAN CONTINUE TO CONTINUE THAT IMPORTANT WORK.

I WILL NOW GO TO ITEM B AND THE TEAM CAN COME UP FOR THAT ITEM. AND CYNTHIA, DURING YOUR PRESENTATION, IF YOU COULD PLEASE SPEAK TO THE OUR PRIORITIES THAT THIS COUNCIL HAS SET WITHIN THE HOUSING POLICY.

AND IF THIS COUNCIL HAS ADOPTED THE CHILD ACTION POVERTY LAB.

THANK YOU. I WILL. CYNTHIA ELLICKSON, DIRECTOR FOR THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT.

I ALSO HAVE UP HERE MARCY HELFAND, WHO IS THE BOARD CHAIR FOR THE DALLAS HOUSING FINANCE CORPORATION.

AND WE HAVE KEITH POMYKAL, WHO IS THE BOARD CHAIR FOR THE DALLAS PUBLIC FACILITY CORPORATION, AND THEN CITY STAFF. THOR AND JACQUELINE. SO, YES, LET US START WITH HOW THIS ALL GOT TO THIS POINT. IN OVER THE PAST FEW YEARS, THE HOUSING DEPARTMENT HAS HAD TO SPEAK TO MANY QUESTIONS THAT HAVE COME FROM THE COUNCIL AND VARIOUS COUNCIL MEMBERS FROM TIME TO TIME ON THEIR PROJECTS IN THEIR DISTRICTS, EVEN CONCERNED ABOUT SOME OF THE DECISION POINTS THAT WERE MADE IN THOSE PROJECTS.

AND AFTER GOING THROUGH ALL OF THE QUESTIONS AND CONCERNS THAT WERE PRESENTED TO US IN VARIOUS TIMES, WE COLLABORATED, PULLED ALL THOSE QUESTIONS TOGETHER, AND DID A PRESENTATION IN OCTOBER OF 2024 TO SHOW WHAT THOSE WHAT THOSE MAIN POINTS WERE. AND THE MAIN POINTS, LET ME PULL THOSE UP HERE QUICKLY WERE CENTERED AROUND THE LOCATION OF PROJECTS. REVENUE THAT THE PFC AND HFC RETAIN APPROVAL PROCESS FOR, HOW THEY LOOK AT THEIR PROJECTS AND HOW THE CITY IS INVOLVED OR NOT INVOLVED IN THE PROCESSING OF THOSE,

[01:00:04]

AFTER DISCUSSION IN OCTOBER, THE COMMITTEE ASKED US TO BRING BACK RECOMMENDATIONS ON HOW TO ADDRESS THESE PARTICULAR TOPICS THAT ARE OF CONCERN. AND WITH THAT, IN JANUARY, WE BROUGHT FORWARD THE RECOMMENDATIONS THAT WE FELT COULD START US IN THE CONVERSATION TO DETERMINE WHAT WORKS BEST TO MANAGE THESE PROJECTS AND THE AND TO WORK WITH OUR PARTNERS AND WHAT CONCERNS GET ADDRESSED OR STILL DO NOT GET ADDRESSED WITH THE COMMITTEE.

SO WITH THAT, WE PRESENTED THE RECOMMENDATIONS AND DIDN'T HAVE A LOT OF DISCUSSION IN THEM BECAUSE CHAIRMAN MORENO WANTED TO STEP BACK A MINUTE AND HAVE THE COMMUNITY ENGAGE WITH THE DISCUSSION ON THESE PARTICULARS AND THEN COME UP WITH SOME CONSENSUS ON HOW WE MOVE FORWARD WITH THAT.

WE HAVE CONTINUOUSLY WORKED WITH THE BOARD. WE HAVE ALSO LISTENED TO OUR STAKEHOLDERS, DEVELOPERS, REALTORS, PROPERTY OWNERS AND ALL OF THESE PROJECTS.

WE HAVE ALSO WORKED WITH OUTSIDE LEGAL THAT WORK IN THESE AREAS, AS WELL AS OUR OWN CITY ATTORNEYS TO DETERMINE WHAT WE CAN AND CAN'T DO TO ADDRESS THESE CONCERNS. AND WE THE BOARD AND HOUSING STAFF HAVE COME A LONG WAY IN OUR DISCUSSIONS AND IN OUR DECISION POINTS BY ACCOMMODATING WHAT IT IS WE NEED TO DO WITH PROCESSING THESE DEVELOPMENT PROJECTS AND IN WORKING IN PARTNERSHIP WITH HOW WE GET TO THE POINT OF MAKING DECISIONS ON WHAT WE'RE GOING TO SUPPORT.

HOWEVER, THAT STILL LEAVES FOUR AREAS THAT HAVE STILL NOT BEEN FULLY ADDRESSED AND AGREED UPON.

SO ADMINISTRATIVE. IN MY MEMO FOR APRIL 22ND, WE HAVE RECAPPED THE FOUR AREAS THAT WE STILL FEEL.

IS IT 4125 AREAS? I'M SORRY THAT WE STILL FEEL ARE ARE STILL UNCOMFORTABLE TO OUR PARTNERS AND OUR BOARD MEMBERS AS WELL, AND TO CITY STAFF. SO THOSE AREAS OF CONCERN ARE ADMINISTRATION CAPS.

WE'VE HEARD FROM OUR BOARDS WHERE ADMINISTRATION CAPS ARE CONCERNING BECAUSE THEY ARE CORPORATIONS THAT SHOULD MANAGE THEIR OWN ADMINISTRATION. AND WE UNDERSTAND THAT WE MANAGE OUR OWN ADMINISTRATION IN OUR OWN DEPARTMENT, IN HOUSING AS WELL AS OTHER DEPARTMENTS. HOWEVER, THE CONCERN FOR UTILIZING REVENUE APPROPRIATELY IS STILL IN QUESTION.

HOW DO WE MAKE SURE THAT REVENUE THAT THEY EARN, THAT THE CITY DOES NOT MANAGE IS STILL UTILIZED APPROPRIATELY, AND THAT OVERUSE OF ADMINISTRATION FUNDING IS NOT TAKEN FOR GRANTED? THE NEXT ITEM IS LOCATION. YOU'VE HEARD FROM SEVERAL DEVELOPERS AND WE TOO HAVE QUESTIONS ABOUT LOCATION.

AND LET ME TELL YOU HOW LOCATION CAME ABOUT. OVER SEVERAL MEETINGS AND CONVERSATIONS AT THE COUNCIL LEVEL.

WE HEARD COUNCIL MEMBERS SPEAK TO HOW SUSTAINABLE IS IT TO CONTINUE TO DO TAX EXEMPTIONS AT THIS LEVEL, THIS AMOUNT OF TAX EXEMPTION FOR EACH OF THESE PROPERTIES? AND ONE OF THE WAYS THAT WE COULD ADDRESS THAT IS BY LIMITING WHERE OUR DEVELOPMENTS GO SO THAT WE CAN GET MORE AFFORDABILITY OUT OF THEM, AND WE CAN ADDRESS ISSUES OF CONCERN THAT ARE IN THOSE COMMUNITIES.

NOW THAT ONE OF THOSE AREAS BEING RECAP AREAS, RECAP AREAS HAVE DIFFICULTY GETTING NEW DEVELOPMENTS AND THEY HAVE A HIGH POVERTY LEVEL. SO ONE OF THE SUGGESTIONS IS IN LOCATION TO ASK OUR PUBLIC FACILITY CORPORATION TO FOCUS ITS EFFORTS IN THOSE AREAS TO HELP BRING UP THOSE INCOME LEVELS AND STABILIZE THOSE VERY LOW INCOME AREAS BY PROVIDING MIXED INCOME HOUSING. WHEREAS, ON THE FLIP SIDE, OUR HOUSING FINANCE CORPORATION IS ASKING FOR WAIVERS IN THOSE HIGH POVERTY AREAS, AND WE'RE ASKING FOR THEM NOT TO CONTINUE TO DO THAT, BUT RATHER TO DO DEVELOPMENTS IN HIGH OPPORTUNITY AREAS WHEN POSSIBLE.

THE NEXT AREA OF CONCERN IS ARMY CAPS. AGAIN, TRYING TO ADDRESS THE CONCERNS OF ARE WE GETTING ENOUGH OUT OF THESE

[01:05:06]

COMMUNITY INPUT. COMMUNITY INPUT CAME ABOUT WHEN SEVERAL COUNCIL MEMBERS HEARD FROM THEIR CONSTITUENTS IN THEIR AREAS THAT THEY WERE NOT AWARE OF DEVELOPMENTS THAT WERE GOING ON, THAT WERE GETTING A PUBLIC A PUBLIC BENEFIT.

AND OUR COMMITTEE MEMBERS ASKED US TO PLEASE BRING THIS FORWARD, TO ASK TO SEE IF WE CAN GET BETTER COMMUNITY INPUT BEFORE THE DEVELOPMENTS GET TO THE COUNCIL LEVEL. AND THEN THE EX-OFFICIO MEMBER CAME ABOUT WHEN THERE WAS DISCUSSION ABOUT STAFF NOT BEING AWARE OF SOME OF THE CONVERSATIONS THAT GO ON AT THE AT THE BOARD LEVEL WHEN BOARD MEETINGS ARE, ARE TAKING PLACE. AND SO ONE OF THE SUGGESTIONS FROM OUR LEGAL SIDE IS TO HAVE AN EX-OFFICIO MEMBER, JUST LIKE WE DO ON SEVERAL OTHER BOARDS, THAT WE HAVE TO ADDRESS THAT ABSENT.

SO WITH THAT, YOU CAN SEE ALL OF THE THINGS THAT WE HAVE ALREADY WORKED ON AND WORKED THROUGH AND THAT WE'RE GOING TO CONTINUE TO WORK THROUGH THESE THINGS BECAUSE WE ARE PARTNERS AND WE DO WORK HAND IN HAND ON A VERY OFTEN BASIS.

IF I DON'T SPEAK WITH THE BOARD MEMBERS, I'M SPEAKING WITH AARON, I'M SPEAKING WITH SAM.

I'M SPEAKING WITH THE STAFF THAT HAVE PROJECTS COMING FORWARD THAT WE HAVE TO ADDRESS QUESTIONS ON, AND WE CONTINUE TO WORK ON THESE PROCESSES TO BETTER ALIGN WHO SHOULD MAKE DECISIONS AND HOW THOSE DECISIONS SHOULD BE MADE.

SO WITH THAT I WILL ASK OUR BOARD MEMBERS TO PLEASE SPEAK ON THEIR POINTS.

GOOD MORNING. GOOD MORNING. MY NAME IS KEITH POMENKAL.

I'M PRESIDENT OF THE DALLAS PUBLIC FACILITIES CORPORATION.

I LIVE AT 3001 SOUTH STREET. NUMBER 409, IN DALLAS, TEXAS.

I'M A DISTRICT 14 APPOINTEE AND A PROUD MEMBER OF DISTRICT 14.

THANK YOU. PAUL RIDLEY, I APPRECIATE IT. HONORABLE MEMBERS OF THE CITY COUNCIL AND HOUSING AND HOMELESSNESS SOLUTIONS COMMITTEE.

CHAIR MORENO VICE CHAIR MENDELSOHN MEMBER GRACEY, MEMBER WEST, MEMBER WILLIS.

I APPRECIATE THIS OPPORTUNITY TO SPEAK TO THE COUNCIL.

HOUSING AND HOMELESSNESS SOLUTIONS COMMITTEE. I DO WISH I WOULD HAVE HAD THE OPPORTUNITY FOR A FULL BOARD TO MEET WITH THE HOUSING STAFF AND THE CITY ATTORNEY'S PER FOR MY DISCUSSION WITH CHAIR MORENO IN FEBRUARY, BUT THAT MEETING IS NOT SCHEDULED UNTIL MAY 9TH.

HAD WE HAD THAT OPPORTUNITY, PERHAPS WE COULD HAVE FURTHER COMMUNICATED AND COLLABORATED AND NARROWED THE CONTESTED AREAS FURTHER BEFORE COMING AND USING THE VALUABLE TIME OF THIS DISTINGUISHED COMMITTEE. NONETHELESS, WE GREATLY RESPECT AND APPRECIATE THIS CHANCE TO RAISE A FEW KEY POINTS, AND I'LL KEEP THEM AS BRIEF AS MY TEXAS ACCENT WILL ALLOW.

I WOULD LIKE TO POINT OUT THAT IF YOU HAVE QUESTIONS RELATING LEGAL ISSUES, OUR COUNSEL, SUMMER GREATHOUSE, AS YOU'VE SEEN, IS HERE TODAY. I'D ALSO LIKE TO POINT OUT THAT OUR SECRETARY, RON STINSON, WHO MANY OF YOU KNOW IS ALSO IN THE AUDIENCE TODAY.

I WOULD LIKE TO STATE THAT OUR REGULARLY SCHEDULED BOARD MEETING IS THE FOURTH TUESDAY OF EACH MONTH AT 12 NOON.

SO WE TOOK THE LIBERTY TO MOVE TODAY'S MEETING FROM 12 NOON TO 1:00.

ITEM NUMBER ONE ADMINISTRATIVE CAPS. THE IDEA THAT THE DPFC BUDGET SHOULD BE CAPPED BY ANY ENTITY OUTSIDE THE BOARD OF DIRECTORS CONTRADICTS THE PROVISIONS OF CHAPTER 303 OF THE TEXAS LOCAL GOVERNMENT CODE. THE AUTHORITY TO CREATE AN ANNUAL BUDGET IS A SIGNIFICANT RESPONSIBILITY THAT SHOULD REMAIN WITH THE DPFC BOARD OF DIRECTORS. ITEM TWO, REVIEW BY CITY STAFF.

THE LEGISLATIVE INTENT BEHIND THE CREATION OF THE PUBLIC FACILITIES CORPORATION WAS TO PROVIDE PUBLIC SECTOR ENTITIES WITH THE FLEXIBILITY TO OPERATE IN THE PRIVATE SECTOR WITHOUT THE CONSTRAINTS OF EXCESSIVE GOVERNMENTAL DELAY.

THIS ALLOWS FOR MORE EFFICIENT AND EFFECTIVE PROCESS.

HOWEVER, OPPOSING THIS ADDITIONAL REQUIREMENT WILL INEVITABLY LINCOLN THE APPROVAL TIMELINE AND RESULT IN FEWER AFFORDABLE HOUSING UNITS BEING CREATED.

WHILE HOUSING STAFF PRIORITIES SHOULD CERTAINLY BE A FACTOR IN THE DPFC EVALUATION OF PROPOSALS,

[01:10:03]

HOUSING EX OFFICIAL SEAT. FIRST, THIS CHANGE WOULD JEOPARDIZE THE DPSCS.

INDEPENDENCE. PUBLIC FACILITIES CORPORATION ARE DESIGNED BY STATE STATUTE TO OPERATE INDEPENDENTLY FROM THE CITY'S ADMINISTRATIVE STRUCTURE.

INTRODUCING A DIRECT LINK BETWEEN THE DPFC BOARD AND THE HOUSING DEPARTMENT WOULD CREATE A LACK OF CLARITY REGARDING THE GOVERNANCE OF THE CORPORATION, WHICH IS DETRIMENTAL TO THE DPSC'S ABILITY TO FUNCTION EFFECTIVELY BY MERGING GOVERNMENT GOVERNANCE RESPONSIBILITIES.

THE DPFC AUTONOMY WOULD BE DIMINISHED, NEGATIVELY IMPACTING OUR OPERATIONS AND DECISION MAKING.

AN EXAMPLE HAS GIVEN BY MANY OF THE ECONOMIC DEVELOPMENT DEPARTMENT, HAVING EX OFFICIO STAFF BOARD AS A MEMBER.

BUT I DON'T THINK THAT'S A VALID EXAMPLE AS FAR AS I'M AWARE, BECAUSE THE ECONOMIC DEVELOPMENT COMMITTEE IS NOT SET UP BY TEXAS STATE STATUTE.

FINALLY, THE PROPOSED CHANGE COULD CREATE A SIGNIFICANT CONFLICT OF INTEREST.

THE HOUSING DIRECTOR, AS BOTH A PAID CITY EMPLOYEE AND A POTENTIAL BOARD MEMBER, COULD HAVE COMPETING PRIORITIES BETWEEN CITY'S OBJECTIVES SINCE THEY ARE PAID FOR BY THE CITY AND THE DPFC'S MISSION. THIS DUAL ROLE COULD RESULT IN BOTH THE REAL AND PERCEIVED CONFLICTS OF INTEREST, PARTICULARLY IF THE INTERESTS OF THE CITY'S HOUSING DEPARTMENT DIVERGE FROM THOSE OF THE DPSC.

I HAVE A FEAR OF LOSING OUR STATUTORY INDEPENDENCE, ESPECIALLY IF WE COUPLE THIS ITEM THREE, WITH ITEM NUMBER FOUR BEING ITEM NUMBER FOUR OF DEPARTMENT APPROVAL OF REVENUE.

REVENUE USE. I DO HAVE VERY SERIOUS CONCERNS ABOUT THE HOUSING DIRECTOR HAVING APPROVAL AUTHORITY OVER DPFC REVENUES.

THE STATE LEGISLATION GOVERNING PFCS CLEARLY DEFINES ITS OPERATION AS INDEPENDENT FROM THEIR GOVERNING BODY.

WE STRONGLY URGE COUNCIL MEMBERS TO FULLY UNDERSTAND AND RESPECT THIS DISTINCTION.

ALL POWERS OF THE DPFC ARE VESTED IN ITS BOARD, INCLUDING THE AUTHORITY TO DETERMINE THE DISBURSEMENTS OF ITS REVENUE.

WHILE THE DPFC IS OPEN TO COLLABORATING WITH THE HOUSING DEPARTMENT ON HOW ITS REVENUES SHOULD BE USED, THE LIMITATION OUTLINED ABOVE UNDERMINES THIS OPPORTUNITY FOR COLLABORATION AND FAILS TO ACKNOWLEDGE THE LEGAL SEPARATION BETWEEN THE CITY AND THE DPFC, WHICH OPERATES AS A DISTINCT CORPORATION WITH STATUTORY GRANTED AUTHORITY.

FURTHER, AS AN INDEPENDENT CITY COUNCIL, CITY COUNCIL BOARD APPOINTED BOARD WILL NEED TO FURTHER REVIEW IF THESE POLICY CHANGES HAVE TO RESULT IN COMMINGLING THE AUTHORITY AND ITS REVENUE OR APPEARANCE OF IT, AS THE APPROVAL COULD VERY WELL OPEN UP THE DOOR TO.

TO THE BELIEF AND THE PUBLIC MIND THAT THE THAT THE REVENUE OF THE DPFC.

IS AUTHORITATIVELY CO-MINGLED, AND THEN HENCE BE SUBJECT TO THE RECENT CHARTER AMENDMENTS, AS IT MAY BLUR THE DISTINCTION BETWEEN THE REVENUE OF AN INDEPENDENT ENTITY AND THE REVENUE OF THE CITY OF DALLAS.

IF THIS IS VALIDATED, IT WOULD BE CATASTROPHIC AND BE AN END TO THE GREAT OPPORTUNITY TO THE AFFORDABLE HOUSING TOOL.

THE DPFC IS IN THE CITY OF DALLAS. ITEM FIVE BUILDING IN AREAS OF POVERTY.

THE PROPOSED CHANGE WOULD SEVERELY IMPACT OUR ABILITY TO CREATE NEW AFFORDABLE HOUSING UNITS AND IN EFFECT, REDUCE THE DPFC TO AN ASSET MANAGEMENT CORPORATION.

THERE ARE LIMITED OPPORTUNITIES TO DEVELOP IN NEW MARKET AND NEW MARKET RATE UNITS IN THESE CENSUS TRACTS.

AND WE HAVE WE'VE SEEN WITH OUR DEVELOPMENT PARTNERS HERE TODAY, IT TAKES A TEAM.

IT TAKES A TEAM OF OUR CITY. STAFF OF THE CITY COUNCIL OF THE BOARD AND ALSO, IT TAKES THE DEVELOPERS WHO WITH THEIR PRIVATE FUNDS WILL BUILD THESE.

AND CITY FUNDS WILL BUILD THESE DEVELOPMENTS.

AND SO IF THEY ARE SAYING EN MASSE AND I HAVEN'T HEARD ONE DEVELOPER SAY IT WOULDN'T WORK, IF THEY ARE SAYING IN MASS THAT THIS WILL REDUCE AFFORDABLE HOUSING.

THEY ARE THE ONES THAT HAVE TO PARTNER WITH US.

AND I HAVEN'T HEARD ONE OF THEM TODAY SAY THAT THIS WOULD HELP INCREASE AFFORDABLE HOUSING IN OUR GREAT CITY.

SO I REALLY I APPRECIATE CHAIR MORENO OPENING THIS UP TO PUBLIC COMMENTS.

I THINK THAT REALLY, REALLY DID HELP. BECAUSE WE GOT TO HEAR FROM EVERYONE IN THE AUDIENCE TODAY, AND I APPRECIATE THE OPPORTUNITY TO SERVE ON THIS BOARD AS A REPRESENTATIVE OF DISTRICT 14 AND IN TURN AFTER MR. GRACEY RESIGNED AND BECAME A CITY COUNCILMAN.

I GOT THE PLEASURE TO BE PRESIDENT OF THE DPFC, SO THANK YOU VERY MUCH.

AND IF YOU HAVE ANY QUESTIONS, I'M AVAILABLE.

MISS HILLFORD. HONORABLE

[01:15:02]

CHAIR JESSIE MORENO, VICE CHAIR CARA MENDELSOHN, COUNCIL MEMBER ZARIN D GRACEY, CHAD WEST AND GAY DONNELL WILLIS I TOO THANK YOU FOR THE OPPORTUNITY TO SPEAK TODAY ON BEHALF OF THE BOARD OF DIRECTORS.

I KNOW THAT YOU HAVE RECEIVED INPUT TODAY FROM STAKEHOLDERS OF OUR PROGRAM, AND I HOPE THAT YOU WILL GIVE STRONG CONSIDERATION TO THEIR INPUT.

WHAT I WOULD LIKE TO DO WITH MY REMARKS IS TO STEP BACK AND TAKE WHAT I USED TO CALL A BIRD'S EYE VIEW OF OUR CORPORATION AND ITS MISSION.

BUT IN ORDER TO BE MORE UP TO DATE, I WILL CALL IT A DRONE CAMERA VIEW.

THE DFCC WAS SET UP TO WORK WITH PRIVATE DEVELOPERS TO CONSTRUCT AND RENOVATE HOUSING AFFORDABLE TO LOW AND MODERATE INCOME HOUSEHOLDS.

THE BEAUTY OF THE PROGRAM IS THAT THE CITY CAN TAKE ADVANTAGE OF THE EXPERTISE AND FACILITIES OF THESE DEVELOPERS, INSTEAD OF ATTEMPTING TO BE IN THE REAL ESTATE BUSINESS ITSELF.

BUT AS YOU HAVE HEARD TODAY, THOSE DEVELOPERS CANNOT PARTNER WITH US IF THEY DON'T HAVE TWO THINGS.

WHAT ARE THOSE TWO THINGS? FIRST, THEY NEED THE FUNDS TO DO THE CONSTRUCTION AND RENOVATION.

AND THEN THE FUNDS TO OPERATE THE PROPERTIES.

AND FOR THAT SECOND PIECE, THE FUNDS TO OPERATE THE PROPERTIES, THEY HAVE TO BE ABLE TO DO THAT EVEN THOUGH THEY ARE GETTING BELOW MARKET RENTS.

SO THE MORE THEY HAVE TO LOWER THE RENTS, THE MORE SUBSIDY THEY NEED.

AND WHERE WILL THAT SUBSIDY COME FROM? AS I THINK YOU ALL ARE AWARE, WE DON'T HAVE A LOT OF CITY FUNDS AVAILABLE TO GIVE THOSE SUBSIDIES. SECOND, THEY NEED TO BE ABLE TO PURCHASE THE PROPERTY AND THEN COMPLETE THEIR CONSTRUCTION WITH AS LITTLE DELAY AS POSSIBLE BECAUSE THOSE PURCHASES ARE GOVERNED BY A CONTRACT AND THOSE CONTRACTS HAVE TIME LIMITS.

OUR CONCERNS WITH THE PROPOSALS BEING CONSIDERED BY THIS COMMITTEE TODAY CENTER AROUND THE IMPEDIMENTS THEY WILL PROVIDE TO THESE TWO CRITICAL COMPONENTS OF OUR PARTNERSHIPS.

IN KEEPING WITH MY DRONE CAMERA VIEW, I WANT TO REMIND THE COMMITTEE OF THE GOOD WORK THESE CORPORATIONS HAVE DONE TO DATE.

THE PIPELINE REPORT, WHICH IS GIVEN AT EVERY SINGLE MONTHLY MEETING THAT WE HAVE, SHOWS THAT WE CURRENTLY HAVE 35 PROPERTIES EITHER OPERATING OR UNDER CONSTRUCTION, REPRESENTING HOMES FOR 7668 HOUSEHOLDS AND $1 BILLION OF INVESTMENT IN OUR CITY.

LAST YEAR, THE DPFC APPROVED SIX NEW PROPERTIES REPRESENTING HOMES FOR ANOTHER 1552 HOUSEHOLDS AND $412 MILLION OF INVESTMENT IN OUR CITY. OF THE 4616 COMPLETED UNITS, 3613 SERVE THOSE AT 80% AMI OR BELOW. 317 SERVE THOSE AT 50% AMI OR BELOW.

AND 3891 ARE AFFORDABLE UNDER THE STATE DEFINITION OF AFFORDABILITY.

OF THE 3352 UNITS UNDER CONSTRUCTION, 3115 SERVE THOSE AT 80% AMI OR BELOW AND 1417 SERVE THOSE AT 50% AMI OR BELOW. IF THE CITY ADOPTS POLICIES THAT PREVENT OUR PRIVATE DEVELOPERS FROM PARTNERING WITH US, HOW WILL THE CITY CREATE THESE AFFORDABLE UNITS GOING FORWARD AND AT WHAT COST? THE CITY SUBSIDY, AND I WANT TO MAKE IT CLEAR THAT WE ARE USING THE WORD SUBSIDY, BUT IT IS NOT A CASH SUBSIDY, BUT RATHER AN EXEMPTION FROM REAL ESTATE TAXES.

THE SUBSIDY FOR THE UNITS WE HAVE CREATED SO FAR AVERAGES $925 PER YEAR PER UNIT, AND THE TOTAL TAX EXEMPTIONS TO DATE REPRESENT $6 MILLION A YEAR, WHICH IS ONE TENTH OF 1% OF THE CITY BUDGET.

NOW LET'S LOOK AT HOW THESE PROPOSALS COULD STYMIE OUR WORK GOING FORWARD.

FIRST, RESTRICTIONS ON NON-HIGH-TECH UNITS. IT IS UNCLEAR WHETHER STAFF HAS NOW REVISED THIS ITEM TO CHANGE FROM THE FORMULA LISTED TO A CAP ON THE NUMBER OF NON LIKE NON TECH PARTNERSHIPS ANNUALLY. ASSISTANT CITY MANAGER BENTLEY SAYS IN HER MEMO AS FOLLOWS.

INSTEAD OF UTILIZING THIS FORMULA AND THE FORMULA, BY THE WAY, WAS ECONOMICALLY UNWORKABLE FOR OUR DEVELOPER PARTNERS, LIMIT THE NUMBER OF NON TECH PROJECTS TO TWO PROJECTS THAT THE DHFC CAN PERFORM ANNUALLY.

HOWEVER, THE CHART ATTACHED TO THE MEMO SEEMS TO KEEP THE FORMULA IN PLACE AND INSTEAD OF REMOVING THE FORMULA, IT SAYS STAFF ALSO RECOMMENDS LIMITING TO NO MORE THAN TWO LIHTC PROJECTS ANNUALLY.

OUR ASK IS TO CLARIFY THAT THE FORMULA WILL BE REMOVED, AND THEN TO DECIDE WHETHER YOU REALLY WANT TO INSTITUTE THIS CAP ON THE NUMBER OF PROJECTS. THERE ARE TWO REASONS TO FURTHER CONSIDER THIS CAP.

THE FIRST IS THAT DIFFERENT PROPOSALS WOULD HAVE DIFFERENT NUMBERS OF UNITS.

SO BY USING A CAP THAT GOES ACCORDING TO THE NUMBER OF PROPERTIES, YOU MIGHT END UP HAVING A BIG DISPARITY IN THE NUMBER OF UNITS CREATED IN ANY GIVEN YEAR.

[01:20:01]

IT JUST SO HAPPENS THAT BECAUSE OF THE RELATIVELY HIGH INTEREST RATES RIGHT NOW, PROPERTY SELLERS ARE MORE AMENABLE TO SELLING TO THESE PARTNERSHIPS, WHICH TAKE A MUCH LONGER TIME TO CLOSE. BUT THAT CIRCUMSTANCE COULD CHANGE, AND THERE WON'T BE ANY WORKABLE NON LIHTC PARTNERSHIPS.

IT SEEMS THAT THE BETTER COURSE OF ACTION IS TO GIVE THE DFC A LIST EACH YEAR OF SOME CRITERIA FOR THE DFC TO USE IN ORDER TO DECIDE WHICH PROPOSALS TO BRING FORWARD TO THIS COMMITTEE AND THEN TO THE FULL COUNCIL. THOSE CRITERIA SHOULD NOT BE LIMITED TO THE PERCENTAGE OF UNITS THAT CAN MEET CERTAIN AMI LIMITS, BUT SHOULD INCLUDE GEOGRAPHIC PREFERENCES AND PREFERENCES IN REGARD TO THE QUALITY OF CONSTRUCTION.

NEXT RESTRICTIONS ON UNIT LOCATIONS. THE DHFC.

WE WERE TOLD THAT THE DHFC SHOULD NOT REQUEST WAIVERS FOR LIHTC IN RECAP AREAS IN DALLAS OR AREAS WITH 20% POVERTY OR HIGHER, UNLESS IT IS A REDEVELOPMENT OF AN EXISTING LOW INCOME PROPERTY.

IT IS ALREADY EXTREMELY DIFFICULT TO MAKE LIGHT TECH PROJECTS WORK FOR DEVELOPERS IN DALLAS.

AS YOU HAVE HEARD, DUE TO THE HIGH INTEREST RATE ENVIRONMENT AND THE HIGH COST OF CONSTRUCTION, WHICH BY THE WAY, COULD GET MUCH HIGHER WITH THE TARIFFS THAT HAVE COME INTO PLACE.

THE DEVELOPERS WHO ARE TRYING TO CONSTRUCT NEW AFFORDABLE RENTAL HOMES HAVE TO HAVE CASH SUBSIDY TO MAKE THEM WORK.

THERE IS VERY LITTLE CASH SUBSIDY AVAILABLE TO GIVE THEM.

RIGHT NOW THERE ARE CDBG AND HOME FUNDS, BUT THOSE ARE ALREADY LIMITED AND COULD GET EVEN MORE LIMITED IF THE FEDERAL GOVERNMENT RESTRICTS THE BUDGETED AMOUNTS GOING FORWARD, WHICH WE THINK IS VERY MUCH SOMETHING THAT MIGHT HAPPEN.

THERE ARE ALSO VERY LIMITED FEE AND LIEU FUNDS FROM THE CITY.

SO THE DHFC WOULD ASK THAT THE CITY CONTINUE ITS CURRENT POLICY OF LOOKING AT THESE LOCATIONS ON A CASE BY CASE BASIS, SO THAT THE CITY CAN WEIGH THE LIKELIHOOD OF CONCENTRATING POVERTY AGAINST ITS INTEREST IN HAVING ENOUGH AFFORDABLE UNITS AVAILABLE FOR ITS RESIDENTS.

NEXT REQUIRED NOTICES. IT IS TRUE THAT FEDERAL AND STATE GUIDELINES HAVE COMMUNITY ENGAGEMENT REQUIREMENTS, AND OF COURSE, THOSE WILL BE FOLLOWED. BUT TO REQUIRE ADDITIONAL NOTICES TO BE GIVEN BY THE DHS JUST ADDS ANOTHER POTENTIAL DELAY TO THE PROJECT.

AND JUST AS IMPORTANTLY, IT REPRESENTS A CITY OUTLOOK THAT THERE IS SOMETHING ABOUT A PROPERTY HAVING LOWER INCOME HOUSEHOLDS THAT IS DIFFERENT FROM A PROPERTY THAT SERVES HIGHER INCOME HOUSEHOLDS. THE FAMILIES SERVED BY DHFC PARTNERSHIPS INCLUDE, AS YOU HAVE HEARD, POLICE OFFICERS, FIREFIGHTERS, TEACHERS, NURSES AND RESTAURANT EMPLOYEES.

WHY WOULD THE CITY TREAT THOSE RENTAL HOUSEHOLDS DIFFERENTLY THAN OTHERS? WHEN WE ASKED THIS QUESTION, WE WERE TOLD THAT THE DIFFERENCE WAS THAT THESE HOUSEHOLDS ARE GETTING CITY SUBSIDIES.

THE ONLY CITY SUBSIDY THAT THESE HOUSEHOLDS ARE GETTING FROM THE DFC IS A TAX EXEMPTION.

THAT IS A TAX EXEMPTION GRANTED BY THE STATE OF TEXAS, MUCH LIKE THE TAX EXEMPTION GRANTED TO A DISABLED VETERAN.

DOES THE CITY REQUIRE THAT NEIGHBORS BE NOTIFIED IF A HOME IS GOING TO BE OCCUPIED BY A DISABLED VETERAN? WE REALLY DON'T UNDERSTAND THE CITY REQUESTING THIS ADDITIONAL PROCEDURE.

ALL OF OUR BOARD MEETINGS ARE PUBLIC AND WE ALWAYS ENTER INTO A MEMORANDUM MEMORANDUM OF UNDERSTANDING WITH A DEVELOPER BEFORE WE GO FORWARD WITH THE PARTNERSHIP.

SO AT A POINT EARLY ON IN THE PROCESS, IF A COUNCIL MEMBER HAS ANY CONCERNS ABOUT THE PROPOSAL AND WANTS TO GET INPUT FROM THEIR CONSTITUENTS, THEY CAN CERTAINLY EITHER ASK THE DEVELOPER TO HAVE A COMMUNITY MEETING OR THEY CAN CALL ONE THEMSELVES.

THE NEW NOTICE PROVISION IS AN UNNECESSARY DELAY THAT WILL NEGATIVELY IMPACT WHETHER THESE UNITS GET CREATED OR THEY DON'T.

NEXT, HOUSING DEPARTMENT CONTROL OVER CORPORATE FUNCTIONS.

THE DHFC HAS CONCERNS ABOUT THE HOUSING DEPARTMENT STAFF BEING GIVEN CONTROL OVER THE CORPORATION'S BUDGET, ADDING EX OFFICIO MEMBERS TO THE BOARD, AND HAVING CONTROLS OVER USES OF REVENUE.

I WOULD DIRECT THE COMMITTEE TO WRITTEN MATERIALS SUBMITTED IN THIS REGARD BY OUR BOARD SECRETARY, TONI PAGE, WHO YOU HAVE HEARD FROM TODAY, AND OUR LEGAL COUNSEL, WHO HAS ALSO SUBMITTED INFORMATION IN THIS REGARD.

BASICALLY, OUR CONCERNS ARE IN REGARD TO CIRCUMVENTION, CIRCUMVENTION OF OUR STATUTORY STRUCTURE, BREACHES OF FIDUCIARY DUTIES OF OUR DIRECTORS, AND POTENTIAL VIOLATIONS OF SECTION 51.002 OF THE LOCAL GOVERNMENT CODE.

ACM BENTLEY'S MEMO STATES THAT THESE ISSUES ARE BEING REVIEWED BY THE CITY ATTORNEY'S OFFICE, SO IT SEEMS THAT IT IS PREMATURE TO HAVE THEM CONSIDERED BY THIS BODY UNTIL THOSE REVIEWS HAVE BEEN COMPLETED.

AS A FINAL COMMENT, I HOPE THAT THIS COMMITTEE WILL KEEP IN MIND THAT THE CITY OF DALLAS COMPETES WITH SURROUNDING COMMUNITIES FOR OUR ESSENTIAL WORKERS, AND IT WILL BE DETRIMENTAL TO THE CITY IF THEY ARE FORCED TO LIVE IN OUTLYING AREAS.

OUR HOSPITAL'S POLICE FORCE, FIREFIGHTERS, SCHOOLS AND OFFICES NEED THESE WORKERS, AND WE NEED TO MAKE IT AFFORDABLE FOR THEM TO LIVE HERE.

NOT TO MENTION THAT IF THOSE WORKERS LIVE IN THE CITY, THEY CONTRIBUTE TAX DOLLARS TO OUR GENERAL FUNDS.

[01:25:06]

WE APPRECIATE THE SUPPORT THAT WE GET FROM YOU AND THE CITY STAFF, AND WE HOPE THAT YOU WILL SUPPORT WHAT ACM BENTLEY SAID AT THE END OF HER MEMO THAT HOUSING WILL CONTINUE TO WORK WITH THE CORPORATION BOARDS TO CLARIFY AND POSSIBLY REDEFINE PARAMETERS AROUND THE RECOMMENDATIONS.

AND WE'RE READY FOR QUESTIONS. THANK YOU. MERCY AND KEITH, THANK YOU FOR YOUR VOLUNTEERISM AND FOR YOUR LEADERSHIP.

TO CYNTHIA, THANK YOU AGAIN TO YOU AND YOUR TEAM FOR WORKING ON THIS.

I KNOW IT'S NOT BEEN EASY, BUT YOU HAVE SHOWN THAT YOU'RE WILLINGNESS TO COMPROMISE ON A NUMBER OF ITEMS. AND I ASKED STAFF TO PREPARE THIS DOCUMENT. THEY WERE AHEAD OF ME ALREADY, THOUGH.

I WANTED TO MAKE SURE THAT WE WERE PROVIDING THE FEEDBACK THAT WE HAD RECEIVED, AND EVEN THOUGH WE MIGHT NOT STILL AGREE FROM A STAFF PERSPECTIVE TO MOVE FORWARD ON SOME OF THOSE RECOMMENDATIONS, THEY'RE STILL NOTED ON HERE.

WE'RE GOING TO START TO MY LEFT WITH COMMITTEE MEMBERS FIRST.

AND THEN AFTER ALL COMMITTEE MEMBERS SPEAK, WE WILL THEN ENTERTAIN NON COMMITTEE MEMBERS.

VICE CHAIR MENDELSOHN. WELL THANK YOU CHAIR. FIRST I WANT TO SAY THANK YOU FOR HAVING THE PUBLIC HEARING.

I THINK IT'S VERY IMPORTANT THAT THE DEVELOPMENT COMMUNITY BE ABLE TO WEIGH IN A LITTLE BIT DISAPPOINTED, MAYBE THAT TYPICAL AVERAGE CITIZENS HAVEN'T SPOKEN UP BECAUSE THIS GREATLY IMPACTS THEM AS WELL.

I WILL NOTE, HOWEVER, THE TIMING OF THIS DISCUSSION SINCE WE ARE IN ELECTION SEASON AND I THINK IT'S A LITTLE BIT PROBLEMATIC, I KNOW I'VE SPOKEN TO YOU ABOUT THIS. SOME OF THE PEOPLE IN THE AUDIENCE, MANY OF THE PEOPLE WATCHING ARE DONORS TO THE COUNCIL MEMBERS AND CANDIDATES.

SOME OF US HAVE RECEIVED ENDORSEMENTS FROM SOME OF THE ORGANIZATIONS, EITHER THAT HAVE SPOKEN TODAY OR AGAIN, ARE WATCHING AND CONCERNED ABOUT THIS ISSUE. AND SO I HOPE THAT WE WILL NOT TAKE ACTION DURING AN ELECTION SEASON AND INSTEAD WAIT TO CONTINUE THIS CONVERSATION SO THAT WE CAN FULFILL OUR DUTY TO NOT HAVE THAT INFLUENCE.

I WOULD ALSO WANT TO REMIND COLLEAGUES AND THE PEOPLE HERE AND THE PEOPLE WATCHING WHAT OUR ROLE IS, AND OUR ROLE IS NOT TO HELP YOU DEVELOP. OUR ROLE IS ACTUALLY TO LOOK OUT FOR OUR CITY AND TO BE GOOD STEWARDS OF OUR CITY, OUR FUTURE. AND THAT MAY INCLUDE INCENTIVIZING DEVELOPMENT, BUT IT'S NOT OUR PRIMARY ROLE.

OUR PRIMARY ROLE IS GOVERNANCE OVER THE CITY.

AND SO I APPRECIATE EVERYTHING THAT HAS BEEN SAID AND THE DEVELOPMENT COMMUNITY HAS BEEN KEY TO DALLAS.

AND THERE'S SO MUCH OPPORTUNITY HERE. I MEAN, THERE'S NO BETTER MARKET IN THE ENTIRE COUNTRY THAN RIGHT HERE IN DALLAS.

YOU KNOW, THERE'S COMMENTS THAT HAVE BEEN MADE ABOUT DEVELOPMENT BEING HARD.

AND I'LL JUST SAY, I DON'T KNOW, A LOT OF JOBS THAT AREN'T HARD.

BUT WHAT I DO KNOW ABOUT DEVELOPMENT IS IT IS EXTREMELY FINANCIALLY REWARDING.

AND WHAT WE'VE ASKED FOR, OUR PFCS AND OUR HFC'S AND OUR CITY STAFF IS TO MAKE SURE THAT WE ARE LOOKING AT THESE ORGANIZATIONS WITH AN EYE FOR CONTINUOUS QUALITY IMPROVEMENT.

WHEN WE APPROVED AT LEAST THE PFC, THAT WAS THE PROMISE THAT WE WOULD CONTINUE TO BRING THIS BACK AND MAKE THOSE REFINEMENTS AND LEARN FROM WHAT HAD HAPPENED AS WE WENT FORWARD. SO IT'S NO SURPRISE TODAY TO ME THAT THE DEVELOPERS AND THEIR ATTORNEYS AND STAFF ARE SAYING THINGS LIKE, WE WANT LESS OVERSIGHT BY THE CITY AND THE CITY COUNCIL STAFF SHOULD BE COMMENDED FOR CARRYING OUT THEIR UNIQUE RESPONSIBILITY OF PROTECTING THE CITY'S INTERESTS, NOT THE FOR PROFIT DEVELOPER'S INTERESTS.

AND I KNOW IT'S PUT YOU IN THE CROSSHAIRS. I AM ONE OF THE PEOPLE WHO ASK YOU A LOT OF QUESTIONS, A LOT OF TOUGH QUESTIONS. BUT WHAT YOU'VE DONE AND WHAT YOU'VE SHOWN WITH THIS WORK IS YOUR WILLINGNESS TO NOT JUST LISTEN TO THE DISCUSSION THAT'S HAPPENING AT THE HORSESHOE, BUT TO GO BACK AND LOOK AT WHAT IS IN THE CITY'S INTEREST, WHICH IS, AGAIN, SOMETHING YOU SHOULD BE COMMENDED FOR BECAUSE THAT IS YOUR UNIQUE ROLE. SO THERE'S NO QUESTION WE NEED MORE HOUSING.

WE NEED HOUSING AT EVERY PRICE POINT. AND THE DATA DOES REPEATEDLY SHOW THAT THERE'S A MARKET FOR EVERY SINGLE PRICE POINT.

[01:30:03]

JUST GO DO IT, BECAUSE THE CITY DOES NOT NEED TO PARTICIPATE IN EVERY SINGLE DEVELOPMENT.

AND THERE SEEMS TO BE SOME CONFUSION BECAUSE THIS IS THE CITY OF DALLAS, NOT THE BANK OF DALLAS.

AND SO GO TAKE CARE OF BUSINESS. I AM GENERALLY SUPPORTIVE OF THE STAFF RECOMMENDATIONS.

I THINK ALL OF US COULD SPEAK AT LENGTH TO EACH INDIVIDUAL ITEM.

I'M NOT GOING TO DO THAT TODAY. BUT THERE ARE CERTAIN ITEMS I JUST WANT TO RUN THROUGH PRETTY QUICKLY.

I WANT TO SAY THAT I DO APPRECIATE THE APPOINTEES, THE HFC AND THE PFC AND THE TIME THAT THEY GIVE EVALUATING AND READING THESE DEALS, SITTING IN MEETINGS. IT'S A LOT. AND I THINK YOU SHOULD BE COMMENDED AND RECOGNIZED.

BUT THERE'S AN ACCOUNTABILITY IN THESE TAX EXEMPTIONS THAT IS VERY, VERY SIGNIFICANT.

AND THAT ACCOUNTABILITY SHOULD NOT REST WITH APPOINTED PEOPLE WHO, FRANKLY, I MEAN, WE APPROVE APPOINTEES ALL THE TIME WITHOUT VERY SIGNIFICANT INSPECTION WHEN IT'S FROM ANOTHER COUNCIL MEMBER.

WE JUST TRUST EACH OTHER TO APPOINT GOOD PEOPLE.

BUT THE TRUTH IS, WE HAVE AARON, WHO WAS A LEADER IN OUR HOUSING DEPARTMENT, TALKING ABOUT HIS MASTERS AND HOW MANY YEARS IT TOOK HIM TO REALLY UNDERSTAND THIS. I WOULD NOT EXPECT THAT MOST OF OUR APPOINTEES ARE AT YOUR SAME LEVEL.

AND SO THAT ACCOUNTABILITY HAS TO REST WITH THE ELECTED OFFICIALS.

AND I THINK THAT WHAT YOU SEE IS STAFF SAYING WE HAVE TO HAVE THAT ROLE.

AND I AGREE. SO THERE WAS A DISCUSSION ABOUT A CAP THERE.

THERE IS A DISCUSSION ABOUT THE CAP ON THE NUMBER OF PROJECTS.

AND I THINK, MARCY, YOU MAKE A GOOD POINT ABOUT THE SIZE OF PROJECTS VARIES AND DIFFERENT MARKET CONDITIONS.

AND I THINK THAT THE METRIC IS WRONG. IT'S PROBABLY NOT A NUMBER OF PROJECTS.

IT'S PROBABLY THE VALUE OF THE TAX EXEMPTION.

SO I WOULD LOVE TO SEE THAT SWITCH TO A DOLLAR AMOUNT THAT WE WOULD SAY IS A CAP THAT WE WOULD EXEMPT ANNUALLY, AS OPPOSED TO A CERTAIN NUMBER OF PROJECTS. AT THIS POINT, WE HAVE UNLIMITED DOLLARS BEING REMOVED FROM OUR TAX ROLLS, AND $6 MILLION IS ACTUALLY A LARGE AMOUNT OF MONEY IN OUR GENERAL FUND BUDGET.

IT'S SIGNIFICANT. IT IS NOT SOME DECIMAL POINT.

IT'S NOT A CUP OF COFFEE. IT'S A BIG THING. AND WE CANNOT CONTINUE TO AFFORD WHAT WE'VE BEEN DOING, IN MY OPINION. AS FAR AS THE FIVE ITEMS THAT WERE OUTLINED IN YOUR MEMO, CYNTHIA.

I WILL JUST SAY PFC AND HFC, IT'S PROBLEMATIC TO ASK FOR LESS.

CITY COUNCIL AND STAFF OVERSIGHT. SO I AGREE WITH WHERE YOU'RE HEADED AND APPRECIATE THAT.

ADMINISTRATIVE CAPS. YES. LOCATIONS. YES. ARMY CAP.

YES. WE ABSOLUTELY HAVE TO HAVE UNITS AT THAT 50% AFFORDABILITY LEVEL.

THESE ARE THE PEOPLE WHO ACTUALLY NEED THE PUBLIC BENEFIT AND THE INVESTMENT.

THAT'S WHAT WE SHOULD BE GIVING UP THE TAX ABATEMENT FOR, NOT FOR 140% ARMY.

COMMUNITY INPUT. GOSH, IF WE HAVEN'T LEARNED THAT IN THE LAST TWO YEARS, I DON'T EVEN KNOW WHAT TO SAY.

WE HAVE GOT TO BE TALKING TO OUR COMMUNITIES MORE.

SO THANK YOU FOR THAT. HAVING STAFF BE EX OFFICIO AT THE END OF THE DAY, WE PAY YOU AND WE TRUST IN YOU TO BE THAT CONSTANT PROFESSIONAL THAT IS LOOKING OUT FOR THE CITY.

YOU SHOULD ABSOLUTELY BE PART OF THAT. THE INTEREST I DID HAVE THOUGHT IT WAS VERY INTERESTING TO TALK ABOUT LIMITING DEVELOPERS TO ONE PROJECT AT A TIME. AND I THINK THERE'S A CASE TO BE MADE THAT THERE COULD BE MORE THAN JUST ONE AT A TIME, BUT ONLY WHEN THEY'RE PROVEN. SO IF YOU DO A PROJECT AND YOU DELIVER IT ON TIME, NO EXCEPTIONS.

LIKE, WILL THIS EXTRAORDINARY EVENT HAPPEN? BUT HERE'S YOUR PROJECT, AND YOU DELIVER.

WELL, MAYBE THEN YOU GET TO BE ABLE TO HAVE TWO.

AND IF YOU CAN HANDLE TWO AND DELIVER THOSE ON TIME.

AGAIN NO EXCEPTIONS BECAUSE EVERY SINGLE PROJECT SEEMS TO HAVE THE WELL THIS PERMIT.

AND THEN THIS HAPPENED AND WE DIDN'T KNOW ABOUT THAT.

IF YOU CAN ACTUALLY DO YOUR JOB THE WAY YOU SAY.

THEN I CAN'T UNDERSTAND WHY THEY SHOULDN'T BE ABLE TO HAVE MORE PROJECTS.

[01:35:04]

GUESS WHAT? YOU FALL BACK TO ONE AND YOU GOT TO EARN IT BACK AGAIN.

SO LET'S ALLOW ORGANIZATIONS THAT ARE ABLE TO DELIVER TO DO MORE, BUT NOT JUST OPEN THAT WIDE UP.

THE NEXT THING I'D LIKE TO SAY IS THE USE OF THE CORPORATION'S REVENUE.

I WOULD LOVE TO SEE A DISCUSSION ABOUT ALLOWING THAT USE FOR INFRASTRUCTURE AND PUBLIC SAFETY IMPROVEMENTS WITHIN A HALF MILE OF THE DEVELOPMENT, AND WHAT WE KNOW IS THAT THE NUMBER ONE CRIME LOCATION IN DALLAS IS ALWAYS APARTMENTS.

IT'S WITHIN THE APARTMENT, IT'S ON THE APARTMENT PROPERTY, AND WE HAVE TO HAVE THE KIND OF INVESTMENT THAT'S GOING TO DEFRAY THAT.

WE CAN'T SIT HERE AND SAY WE WANT TO BE THE SAFEST CITY IN AMERICA, AND PUBLIC SAFETY IS OUR NUMBER ONE, BUT WE KEEP DEVELOPING MORE APARTMENTS. THESE THINGS ARE IN CONFLICT, SO WE NEED TO ASK FOR THOSE DOLLARS TO HELP ADDRESS THOSE KINDS OF PUBLIC SAFETY ISSUES. THE THERE WAS A COMMENT MADE ABOUT DALLAS NEEDING TO HAVE PREDICTABLE AND RELIABLE DEVELOPMENT, AND I 100% AGREE. I HAVE REPEATEDLY SAID THE SAME THING, WHICH IS WE MUST MASTER PLAN SOUTHERN DALLAS AND WE HAVE TO ALIGN OUR INVESTMENTS AND INFRASTRUCTURE WITH THAT MASTER PLAN. WE NEED TO HAVE THE COORDINATED LAND USE.

WE NEED TO HAVE THE EFFICIENT USE OF OUR TAX EXEMPTIONS, ALIGN IT WITH ECONOMIC DEVELOPMENT, ALIGN IT WITH LIVABILITY AND TRANSPORTATION AND ENVIRONMENTAL PROTECTIONS.

BUT IF WE DON'T DO THAT, WE'RE JUST ONE OFFING ALL OF THESE DEVELOPMENTS.

AND THEN WHAT ARE WE LEFT WITH? THE PROMISE OF SOUTHERN DALLAS IS OUR FUTURE.

AND IT'S GOT THE LAND. IT'S GOT BEAUTIFUL VISTAS, TREES, HILLS AND CITY FACILITIES.

SO I HOPE THAT THAT WILL BECOME PART OF THIS DISCUSSION.

AND I THINK THAT'S PLENTY. THANK YOU. THANK YOU CHAIR GRACEY.

THANK YOU. AND THANK YOU ALL FOR THIS WORK. I'LL START BY SAYING THAT WHEN I, YOU KNOW, WAS ASKED TO BECOME THE CHAIR OF THE PFC, I WAS EXCITED ABOUT IT. AND I WAS EXCITED ABOUT IT FOR FIRST AND FOREMOST, THE OPPORTUNITY THAT IT WOULD PROVIDE IN TERMS OF, OF ADDITIONAL HOUSING TO ADDRESS THE HOUSING.

THEN I STARTED GETTING EXCITED ABOUT THE IDEA THAT IT WOULD GIVE PEOPLE.

AND I'VE SHARED THIS STORY A LOT OF TIMES WHERE I USED TO SEE PEOPLE UPGRADE IS WHAT I CALL IT. THEY GET TO EVOLVE FROM THEIR LIVING CONDITIONS.

THEY GET TO MOVE, YOU KNOW, THEY STAYED HERE.

BUT, YOU KNOW, ALL THOSE NEW APARTMENTS ARE BEING BUILT. THEY GET TO MOVE OVER THERE. Y'ALL LUCKY, YOU KNOW. I REMEMBER WATCHING PEOPLE EVOLVE.

SO THAT'S WHY I'VE APPRECIATED HAVING THESE IN THERE, BECAUSE IT CREATES AN OPPORTUNITY IN A COMMUNITY FOR PEOPLE TO REALLY EVOLVE THEIR LIVING CIRCUMSTANCES FROM THERE. AND THEN THE LAST PIECE I STARTED GETTING EXCITED ABOUT IT WAS BECAUSE OF WHAT THE POTENTIAL REVENUE COULD DO AND HOW IT COULD BE USED TO IMPACT THE REST OF THE CITY. SO THAT'S WHERE I AM. I'VE ALWAYS APPRECIATED THESE, BUT THIS IS SOMETHING WHERE I WANT TO MAKE SURE, MR. CHAIR, AS WE'RE GOING THROUGH MAKING THESE DECISIONS.

BECAUSE I CAN APPRECIATE ALL OF THESE CIRCUMSTANCES.

WHILE I CAN APPRECIATE THE PFC. I ALSO APPRECIATE THE FACT THAT AS A COUNCIL MEMBER, I WANT TO KNOW WHERE MY TAX BASE IS BEING IMPACTED, BECAUSE IF I'M ACTIVELY TRYING TO GROW MY TAX BASE ON ONE SIDE, PARTICULARLY IN SOUTHERN DALLAS, WHERE THAT'S NOT ALWAYS WE'RE TRYING TO MOVE THAT TAX BASE UP IN THE RIGHT DIRECTION.

I WANT TO KNOW WHERE THE AREAS ARE BEING IMPACTED, AND I WANT TO BE ABLE TO HAVE A SAY.

WELL, I DON'T KNOW. I THINK THIS MAY HAVE SOME LITTLE BIT MORE VALUE OR I'M TALKING TO OTHER DEVELOPERS ABOUT THIS. WHATEVER THE CASE, I DON'T I THINK THERE NEEDS TO BE SOME COMMUNICATION. LET ME JUST SAY IT THAT WAY. THERE NEEDS TO BE SOME COMMUNICATION BETWEEN THE PFC AND THE COUNCIL BEFORE A DECISION IS MADE.

I'M NOT SURE WHAT THAT LOOKS LIKE YET, BUT IT HAS TO BECAUSE OF WHAT? CHAIR MENDELSOHN JUST SAID, IT'S GOING TO IMPACT OUR TAX BASE, AND THAT CANNOT BE A DECISION THAT'S MADE BY OUR APPOINTED REPS AND STAFF.

WE NEED TO KNOW THAT AS WELL. SO WHATEVER THAT LOOKS LIKE, WE NEED TO WORK THROUGH THAT PIECE. THE LOCATIONS. I DON'T KNOW THAT I COMPLETELY LIKE THIS IDEA OF IT BEING, YOU KNOW, IN A, IN A HIGH POVERTY AREA.

I CAN APPRECIATE THE INTENT BEHIND IT. BUT AGAIN, WHEN I LOOK AT THIS LIST AND ALL OF THIS, I CAN'T HELP BUT START WONDERING, WELL, WHERE ARE THE LOCATIONS AND WHO'S MAKING THOSE DECISIONS, AND HOW DO DEVELOPERS GO OUT AND START TRYING TO FIND THESE AREAS?

[01:40:02]

BUT WE JUST DID A PFC DEAL WHERE WE FLIPPED THE PROPERTY.

I DON'T REALLY KNOW HOW I FEEL ABOUT IT, BUT WE USE THAT TO CREATE AFFORDABILITY IN A PLACE WHERE IT DIDN'T EXIST.

AND SO, AGAIN, I WASN'T SURE HOW I FELT ABOUT IT, BUT I COULD APPRECIATE IT BECAUSE IT CREATED AN OPPORTUNITY FOR PEOPLE TO HAVE AN OPPORTUNITY TO LIVE DOWNTOWN WHO OTHERWISE WOULDN'T NECESSARILY CREATE THAT. SO I SEE ALL OF THESE PIECES AND HOW THEY WORK TOGETHER.

WHICH AGAIN, I THINK IT'S IMPORTANT TO DO THAT.

BUT AGAIN, I ALSO WANT TO MAKE SURE AS DEVELOPERS, YOU ALL ARE LOOKING THROUGHOUT THE CITY TO CREATE THESE OPPORTUNITIES FOR EVERYONE.

WHEN I LOOK AT THIS SHEET AND I DON'T KNOW IF THIS IS ONE, IT'S NOT VERY MANY NORTH AND I'M NOT TRYING TO MAKE THIS A NORTH DALLAS AND THE SOUTHERN DALLAS THING. I'M REALLY NOT. I GUESS WHAT I'M TRYING TO SAY IS, IF YOU ALL ARE ASKING AND ASKING FOR THIS FLEXIBILITY, THEN I WANT YOU ALL TO BE A LITTLE BIT. I DON'T THAT SEEMS LIKE I'M SHAKING MY FINGER.

I WANT US TO BE MORE RESPONSIBLE IN TERMS OF HOW WE GO TO IDENTIFY THESE LOCATIONS, SO THAT IT'S SPREAD THROUGHOUT THE CITY, SO THAT EVERYBODY, JUST BECAUSE IT'S NORTH DALLAS, DOES NOT MEAN THAT PEOPLE CAN'T BENEFIT FROM THOSE AND HAVE THOSE OPPORTUNITIES TO UPGRADE THEIR LIVES WHILE STILL WORKING IN NORTH DALLAS.

THAT'S THE POINT I'M TRYING TO MAKE. I WANT YOU ALL AS DEVELOPERS TO BE RESPONSIBLE, TO MAKE SURE AND NOT JUST SEE THAT WE HAVE ALL OF THIS LAND, BECAUSE ON THE OTHER SIDE OF THIS, MY RESIDENTS ARE SAYING, I HAVE SOME THAT ARE SAYING NO MORE APARTMENTS.

THAT'S NOT REALISTIC, I KNOW THAT, BUT WHAT THEY'RE REALLY SAYING IS WE WANT TO KEEP THIS LAND SO WE CAN HAVE SINGLE FAMILY HOME DEVELOPMENTS AS WELL.

SO AGAIN, I WANT THIS TO BE SPREAD OUT THROUGHOUT THE CITY.

SO AGAIN, I DON'T KNOW THAT THIS WHOLE LOCATION OF THE POVERTY.

I CAN APPRECIATE THE INTENT OF IT. BUT THAT'S ONE OF THOSE WHERE IT BECOMES JUST A IT GOES ON AUTOPILOT AND NEXT THING YOU KNOW, THAT BECOMES THE AREA. AND NOW IT'S NO LONGER HAS THE POTENTIAL THAT IT ONCE HAD WHEN THIS ONE PROJECT DROPPED IN OR THIS PROJECT DROPPED IN OVER THERE, IT JUST BECOMES INUNDATED. LET'S SEE.

AND LET'S GO HOME. AND TALK ABOUT THE DIALOG.

SORRY, MR. CHAIR. I'M TRYING TO MAKE SURE I GET EVERYTHING. OH, AND THEN THE REVENUE USE FOR THE REVENUE.

THIS IS SUCH A GENERAL STATEMENT. I UNDERSTAND THIS IS THE BEGINNING OF THIS CONVERSATION.

THERE. AND THIS HAS BEEN SOME REALLY GOOD FEEDBACK FROM THERE.

BUT I DEFINITELY WANT TO MAKE SURE THAT THAT THE PFC AND ALL OF THOSE FOLKS ARE TALKING.

BUT AS FAR AS THE REVENUE IS CONCERNED, I'M JUST GOING TO THROW THIS OUT THERE.

IF SOME OF THAT FLEXIBILITY IS WANTING TO BE KEPT IN PLACE BY THE I'M SORRY, I'M ALL OVER THE PLACE FOR THE REVENUE.

I WANT TO BE ABLE TO USE THAT FOR HIGH POVERTY AREAS, LOW INCOME.

AND I ACTUALLY LIKE FOR SINGLE FAMILY HOMES. BUT I ALSO LIKE WHAT CHAIR MENDELSOHN SAID ABOUT USING IT WITHIN A CERTAIN DISTANCE OF THE PROJECT TO KEEP EVERYTHING SAFE.

I CAN AGREE WITH THAT. THERE. BUT I THINK THERE ARE A LOT MORE OPPORTUNITIES WE CAN USE TO DEVELOP SINGLE FAMILY HOMES WITH THAT REVENUE, OR USE IT TO DEVELOP SINGLE FAMILY HOMES IN THOSE HIGH POVERTY AREAS.

SO THAT AGAIN, IF WE'RE IF YOU'RE PUTTING IF WE'RE LOSING TAX BASE OVER HERE, AT LEAST I CAN REPLACE IT WITH SINGLE FAMILY HOMES THAT WEREN'T THERE BEFORE.

SO THAT'S HOW I'M THINKING ABOUT THIS. AS DEVELOPERS, AS YOU ALL COME AND TALK TO ME, I WANT YOU ALL TO KIND OF SEE WHERE MY MIND IS.

I AGREE WITH THESE, AND I THINK THE ULTIMATE INTENTION BEHIND THIS TOOL IS TO PROVIDE HOUSING IN A HOUSING CRISIS, AND WE CAN DO IT. BUT I WANT TO MAKE SURE WE'RE DOING IT THOUGHTFULLY.

NOT JUST BY LOCATIONS, BUT OVERALL PLANNING AND HOW IT IMPACTS THE OVERALL AREA.

SO THANK YOU SO MUCH FOR THIS. THANK YOU FOR YOUR WORK. THANK YOU ALL, DEVELOPERS, FOR BEING HERE.

AND BOTH TO THE CHAIRS. THANK YOU ALL FOR YOUR DEDICATED WORK TO HURTING THIS OR SHEPHERDING THIS THROUGH.

ALL RIGHT. THANK YOU, COUNCILMEMBER WILLIS. THANK YOU.

WE'VE COVERED A LOT OF TERRITORY HERE, SO I'VE NUMBERED ALL MY NOTES, AND I HOPE I CAN PULL IT TOGETHER COHESIVELY.

BUT THANK YOU. MISS ROGERS ELLICKSON, FOR BRINGING UP THE GENESIS OF THIS, THAT IT SOUNDS LIKE, YOU KNOW, THIS WAS COMING FROM A PEPPERING OF QUESTIONS BY COUNCIL AND THAT, YOU KNOW, IT CAME TOGETHER IN THIS DOCUMENT.

I LIKE THE WAY THAT YOU'VE OUTLINED THIS AND RAN THROUGH IT WITH US.

THANK YOU. BUT TO A POINT THAT THE CHAIR MADE, WE NEED TO FOLLOW OUR OWN HOUSING PRIORITIES.

AND SO THAT IS SOMETHING THAT STAFF DOES AND COUNCIL DECIDES, STAFF DOES, BUT ALSO OUR BOARDS,

[01:45:05]

AND OUR APPOINTEES, WE HAVE TO HOLD THEM ACCOUNTABLE FOR ALL ROWING THE SAME DIRECTION ON OUR HOUSING ISSUE.

I KNOW WE ALWAYS MAKE THE POINT ABOUT WE HAVE A TREMENDOUS HOUSING, A NEED FOR HOUSING.

WE'VE GOT A HOUSING CRISIS. WE NEED IT AT EVERY PRICE POINT.

YOU KNOW, IF WE WERE APPROACHING EVEN REMOTELY CONQUERING THAT, MAYBE THAT'S THE TIME THAT WE WOULD GET IN AND START ADDING MORE LAYERS TO A PROGRAM, BUT RIGHT NOW WE HAVE THIS MASSIVE ISSUE TO CONTEND WITH.

AND ONE OF THE POINTS RAISED ABOUT THE HFC AND PFC DELIVERING 73% OF THE CITY'S AFFORDABLE HOUSING UNITS IN 23 AND 24.

THAT'S A STAGGERING NUMBER. AND WHAT IF THAT WASN'T HAPPENING? I MEAN, THAT'S WHERE I AM. SO, YOU KNOW, THAT'S NOT INSIGNIFICANT.

THREE QUARTERS OF THAT AFFORDABLE HOUSING IN ONE YEAR COMING THROUGH THESE TWO BOARDS.

SO, YOU KNOW, I TOO THOUGHT THE PRESENTATIONS THE PEOPLE WHO CAME TO SPEAK.

THANK YOU SO MUCH FOR DOING SO. BUT IT WAS, YOU KNOW, KIND OF ONE SIDED.

IT DIDN'T NECESSARILY HAVE EVERYONE'S VOICE HERE.

BUT WE TALKED TO OUR CONSTITUENTS. WE KNOW WHAT THEY'RE SAYING TO US.

EVERYONE GOT THEIR LITTLE LOVE NOTE FROM THE COUNTY THIS PAST WEEK TO UNDERSTAND WHAT THEIR PROPERTY VALUE IS OR WHAT THAT APPRAISAL IS.

AND I KNOW WHAT SOME PEOPLE WOULD SAY. THEY'RE CONCERNED ABOUT RISING HOUSING COSTS, WHAT IT DOES TO THEM.

THEY SEE WHAT IT DOES FOR THEIR KIDS AND THEIR GRANDKIDS AND THEIR EMPLOYEES AND THEIR COWORKERS.

THEY FREQUENTLY BRING UP HOMELESSNESS AND ALL OF THESE THINGS STITCH TOGETHER IN THIS QUILT.

THERE'S NO MISTAKING THAT THEY DO. SO IF THEY MIGHT BE CONCERNED ABOUT TAX EXEMPTION, THEY WOULD QUICKLY COME AROUND.

I THINK IF THEY REALIZED THAT TO THE POINT THAT MISS HEFLIN MADE, THAT THE CITY DOESN'T HAVE THESE MASSIVE FUNDS TO GIVE WHAT WE WHAT CAN WE GIVE, WHAT'S IN OUR TOOLBOX, WHAT WE CAN GIVE THIS TAX EXEMPTION.

AND SO WE NEED TO TRUST OUR BOARDS AND AUDIT THEM.

WE DON'T WANT ANYTHING TO GO OFF THE RAILS BECAUSE THEY DON'T POINT AT YOU.

THEY POINT AT US. SO WE WANT IT TO RUN CORRECTLY.

BUT I DON'T THINK WE WANT TO SLOW DOWN A MACHINE THAT IS WORKING AT BEING EFFECTIVE.

YOU KNOW, AND CYNTHIA, YOU AND I HAVE TALKED ABOUT DO WE CHANGE THE TAX EXEMPTION LEVEL? AND YOU WENT THROUGH AND DID YOUR RESEARCH AND SHARED WITH ME.

AND MAYBE YOU SHARED WITH EVERYONE SOME REASONS WHY THAT CANNOT WORK STRUCTURALLY, STRUCTURALLY.

BUT I WOULD LIKE TO EXAMINE THE REVENUE REDIRECTION.

AND THAT COULD BE A TOPIC OF DISCUSSION ON IS IT 10% OF A REVENUE? WHAT IS IT? BECAUSE WE KNOW THAT THESE PROPERTIES ARE STILL CONSUMING POLICE AND FIRE AND CODE.

AND WE'VE GOT A PARKS AND WE'VE GOT TO KEEP LIBRARIES OPEN AND ALL OF THAT.

SO I DO THINK THERE'S WE SHOULD LOOK AT THAT BECAUSE THE PUBLIC BENEFIT DEFINITELY IS KEEPING PEOPLE HOUSED SO THEY CAN GO TO WORK AND RAISE A FAMILY AND CONTRIBUTE TO THIS COMMUNITY. BUT WE DO KNOW THAT RESOURCES ARE BEING CONSUMED.

AND SO I WOULD LOVE TO BETTER UNDERSTAND THAT PUBLIC BENEFIT SIDE AND WHETHER THAT'S GOOD ENOUGH OR ABOUT THE REVENUE REDIRECTION POTENTIAL.

AND AS FAR AS THE COUNTY, THE HOSPITAL DISTRICT, THE SCHOOL DISTRICT, DALLAS COLLEGE DISD YEAH, I MEAN, THEY DERIVE BENEFIT FROM THIS AS WELL.

I KNOW IT TAKES TAX AWAY FROM THEM. EVERYONE WANTS THE DOLLARS IN THE COFFER, BUT BY HAVING FAMILIES BE ABLE TO LIVE CLOSE TO OUR ALREADY EXISTING SCHOOLS, THAT HELPS BUY OUR COLLEGES. SO THERE IS SOME BENEFIT THERE.

I KNOW THIS IS TOUGH TO WRAP OUR ARMS AROUND, BUT I DON'T THINK WE CAN WHOLESALE SAY THIS IS NOT OF BENEFIT TO THOSE ENTITIES AS WELL.

LET'S SEE, I BELIEVE MR. PAGE TALKED ABOUT HAVING A COLLABORATIVE, TRANSPARENT AND DATA DRIVEN PROCESS.

OF COURSE, THAT SHOULD DICTATE THE WAY THE BOARDS OPERATE.

I SENSE THAT'S WHERE WE ARE. I TALK WITH MY REPRESENTATIVES TO UNDERSTAND CERTAIN PROJECTS THAT ARE COMING UP.

AND BY THE WAY, D13 NORTH DALLAS HAS A PFC PROJECT.

THANK YOU. AND WE'LL BE VOTING ON ANOTHER ONE TOMORROW. SO ON SOME OF THE KEY POINTS.

YOU KNOW, ADMINISTRATION CAPS. AGAIN, I APPRECIATE THE CONCERN.

AND YOU KNOW, YOU ALL KNOW THE STAFF KNOWS WE COME TO YOU.

AND SO THIS IS YOUR BEARING THE RESPONSIBILITY AS WELL.

BUT THIS IS WHERE AN AUDIT CAN COME IN. AND CHARGING OUR CHAIRS AND OUR OWN APPOINTED MEMBERS TO MANAGE THIS, TO READ THE MINUTES, TO BE A PARTICIPATING MEMBER, TO NOT JUST CHECK A BOX AND GO INTO THESE MEETINGS.

I MEAN, THIS IS A BOARD I WOULD EXPECT HIGH ENGAGEMENT ON, ON LOCATIONS.

I'M HEARING BOTH SIDES OF THIS AND I JUST THINK IT NEEDS THE EXPLORATION.

[01:50:01]

SO I'M LOOKING FORWARD TO THE OUTPUT ON THAT.

A COUPLE OF OTHER ISSUES JUST ON THE ARMY CAPS, I HEAR THAT I WANT TO HEAR THE OUTCOME FROM THIS MEETING AS WELL.

AND THEN ON COMMUNITY INPUT, THIS IS A FINE LINE BECAUSE PEOPLE HEAR AFFORDABLE AND THEY WANT TO THROW UP A STOP SIGN.

AND WE WE NEED WE NEED THIS. SO I'M I BELIEVE IN COMMUNITY ENGAGEMENT.

IT MAY BE MORE OF COMMUNITY INFORMING ABOUT A PROJECT THAT HAS BEEN VETTED BY A COUNCIL MEMBER, BY COUNCIL APPOINTEES. AND SO WE NEED TO THINK ABOUT HOW THAT THAT LOOKS.

IT MIGHT NOT BE A STANDARD MODEL FOR SOMETHING LIKE THIS BECAUSE OF MISINFORMATION OR MISINTERPRETATION.

AND THEN, YOU KNOW, ON THE BOARD AS EX OFFICIO MEMBERS OR HAVING STAFF MEMBERS, I MEAN, AGAIN, THAT'S SOMETHING I WANT YOU ALL TO EXPLORE MORE ABOUT WHY DO WE FEEL LIKE WE NEED THAT? WHY DO YOU FEEL LIKE THAT IS, YOU KNOW, HARSHING YOUR MELLOW? I DON'T KNOW. I MEAN, I WANT TO UNDERSTAND WHAT'S GOING ON ALL OF THAT, BUT I APPRECIATE THAT YOU ALL ARE GOING TO COME TOGETHER AND WORK ON THIS, AND I LOOK FORWARD TO THE OUTCOME OF THAT MEETING. AND I WOULD PREFER THAT WE DON'T TAKE ANY ACTION UNTIL WE HAVE ALL OF THESE LEARNED MINDS IN THE SAME ROOM TO COME FORTH WITH SOME RECOMMENDATIONS FOR US. THANK YOU. CHAIR WEST, THANK YOU.

I'VE GOT A QUESTION FOR MISS HELFAND. WHEN DID YOU GET THE RECOMMENDATIONS FOR TODAY FROM STAFF? WE DIDN'T SEE ACM BENTLEY'S MEMO UNTIL FRIDAY.

WHEN? WHEN IT WAS PUBLICLY PRODUCED. YES. SAME QUESTION, MR. POMENKAL. IT WAS THE SAME TIME. OKAY. WHEN HAVE BACK TO MISS HELFAND? THERE WERE 25 RECOMMENDATIONS PRESENTED BY STAFF AT THE JANUARY 28TH COUNTY COMMITTEE MEETING.

WHEN DID YOU HAVE AN OPPORTUNITY TO MEET WITH CITY STAFF REGARDING THOSE 25 RECOMMENDATIONS? SO MY FIRST MEETING WITH ASSISTANT CITY MANAGER BENTLEY AND DIRECTOR ELLICKSON ABOUT THOSE RECOMMENDATIONS.

I SAW THEM AT THE MEETING. SINCE THAT MEETING TIME IN JANUARY, HAS THERE BEEN ANY MEETINGS BETWEEN YOU AND CITY STAFF REGARDING ANY OF THE RECOMMENDATIONS? AND IF SO, WHO INITIATED THOSE? I BELIEVE WE INITIATED ALL OF THOSE.

WE REQUESTED THAT WE MEET WITH THEM. AND SO BUT YOU HAVE NOT HAD AN OPPORTUNITY ON THE LATEST SET OF RECOMMENDATIONS.

NO. AND IN FACT WE DID HAVE A CONVERSATION WITH DIRECTOR ELLICKSON.

AND ASSISTANT CITY MANAGER BENTLEY WAS GOING TO BE IN THAT CONVERSATION ON THE 15TH.

BUT SHE COULDN'T GET AWAY. 15TH OF WHAT? OF APRIL.

THANK YOU. AND WE WERE TOLD THAT THINGS WERE GOING TO BE CHANGED, BUT WE DIDN'T SEE THOSE CHANGES UNTIL FRIDAY.

MR. PALMER, SAME QUESTION. HAVE YOU HAD AN OPPORTUNITY TO MEET WITH STAFF SINCE THE JANUARY 28TH COMMITTEE MEETING? YES. I MET WITH CHAIR MORENO CITY ATTORNEY'S OFFICE AND MISS BENTLEY ON I BELIEVE IT WAS IN FEBRUARY. JUST A MEETING OF JUST A FEW OF US AND CHAIR MORENO'S OFFICE.

OKAY. WERE ANY OF YOUR RECOMMENDATIONS OR THE PFC CORPORATION'S RECOMMENDATIONS INCORPORATED INTO THE RECOMMENDATIONS FROM STAFF WE GOT ON FRIDAY? NO. OKAY, WELL, THIS IS FOR CYNTHIA. I MEAN, YOU MENTIONED THAT YOU HAVE CONTINUOUSLY BEEN WORKING WITH THE BOARD.

I'M NOT HEARING THE SAME THING FROM THE BOARD CHAIRS.

SO HOW DO WE. WE HAVE WORKED WITH THE BOARD, AND, AS I MENTIONED, MET WITH AARON AND MET WITH VARIOUS PEOPLE ON THE DISCUSSION. AND WE DID GO TO THE MARCH 9TH MEETING.

WE WERE THERE. STAFF WAS THERE TO HEAR THE DEVELOPERS.

WE WERE THERE TO HEAR MARCY AND KEITH WERE THERE.

WE HAVE HAD CONVERSATIONS HERE AND THERE ABOUT WHAT'S GOING TO BE ON THE AGENDA.

AND I DID MEET WITH MARCY ON LAST WEEK, I BELIEVE, TO GO OVER EACH OF THESE ITEMS AND TO TALK ABOUT

[01:55:10]

I ALSO DID REMIND KEITH OF THE CHANGES THAT WE WERE MAKING, BUT THE MEMOS THAT WE DO ARE NOT PUBLIC UNTIL THEY'RE PUBLIC, AND THEREFORE I CAN'T HAND THEM A MEMO. I CAN TALK TO THEM ABOUT THE ITEMS THAT I'M CHANGING.

AND WE WERE IN AGREEMENT THAT THESE ARE THE ITEMS THAT WE AGREED TO, WHICH ARE PROCEDURAL.

OKAY. SO BUT YOU HAVE A MEETING COMING UP ON MAY 9TH WHERE EVERYONE WILL HAVE THE OPPORTUNITY TO SIT DOWN AND MEET.

OKAY. SO THAT'S THE ONE THING I'VE HEARD THAT GIVES ME HOPE.

WE WILL COME TOGETHER ON A FEW MORE OF THESE.

WHEN WE FIRST MET, WE'RE BRIEFED BY YOU, CYNTHIA, IN OCTOBER OF LAST YEAR, YOU ASKED FOR AN ACTION STEPS FROM COUNCIL TO PROVIDE SOME INFORMATION ON RESPONSES TO THE 13 QUESTIONS.

SOME OF US DID THAT. AND ONE OF THE MAIN THINGS THAT CAME OUT OF THAT DISCUSSION LATER IN 2024, WAS THAT THERE SHOULD BE MORE COLLABORATION. AND I'M HEARING THAT IT'S SORT OF COMING TOGETHER AT THE END HERE, BUT UP UNTIL VERY RECENTLY I'VE BEEN HEARING THE OPPOSITE.

THAT THERE HASN'T BEEN COLLABORATION. THERE HASN'T BEEN COMMUNICATION, PEOPLE LISTENING TO THE DEVELOPMENT COMMUNITY OR TO THE CORPORATIONS.

SO MY HOPE IS EVERYBODY UP HERE TODAY. AND THANK YOU, CHAIR, FOR BRINGING EVERYBODY TO THE TABLE, THAT WE'LL ACTUALLY SEE THAT COLLABORATION AND HOPEFULLY AS MUCH UNITY AS POSSIBLE OVER THE NEXT COUPLE OF WEEKS.

DO YOU FEEL THAT THAT'S REASONABLE. YES. GREAT.

ALL RIGHT. SO I DO WANT TO TURN TO SOME DATA, BECAUSE WE'VE BEEN TALKING A LOT ABOUT COUNCIL MEMBER COMMENTS AT THE HORSESHOE AND HOW THIS POLICY IS REALLY COMING FROM THAT. I THINK WE NEED TO TURN BACK TO USING DATA AS PART OF OUR, POLICY MAKING. ACCORDING TO BUSH INSTITUTE DATA, WHICH RECENTLY CAME OUT BY CULLUM CLARK, THE NUMBER OF FULLY AFFORDABLE HOUSING NEW BUILDS IN MOST CITIES INCREASED FROM 2010 TO 2023.

DALLAS, BY CONTRAST, IS AN OUTLIER. AFFORDABLE NEW BUILDS FELL BY 88% FROM 2016 TO 2023.

ALSO, NEW LIHTC UNITS PER CAPITA IN DALLAS FROM 2010 TO 21 ARE LOWER THAN MOST MAJOR METROPOLITAN AREAS IN THE SOUTH AND MOUNTAIN WEST, AND THE LOWEST OF ALL THE FIVE TEXAS MAJOR METROPOLITAN AREAS.

WE'VE GOT TO TURN THE TIDE ON THAT, AND I WANT TO REITERATE WHAT MISS WILLIS SAID, THAT THESE PROGRAMS ARE WORKING.

IT'S LAST YEAR, 73% OF OUR AFFORDABLE NEW BUILDS CAME OUT OF THESE TWO CORPORATIONS.

AS CHAIR MORENO SAID. OUR RESIDENTS SHOULD BE OUR PRIORITY, NOT OUR FOR PROFIT DEVELOPERS.

HOWEVER, I BELIEVE THAT OUR RESIDENTS INCLUDE THOSE WHO ARE DESPERATELY SEEKING AFFORDABLE HOUSING.

AND BEFORE WE START PUTTING ROADBLOCKS AND START PUTTING SPEED BUMPS IN THE PATH OF OUR PROGRAMS THAT ARE WORKING, WE NEED TO BE HONEST, AND WE NEED TO BE TRANSPARENT ABOUT WHAT CITY POLICIES RELATED TO HOUSING ARE ACTUALLY PRODUCING.

LAST YEAR, THE HFC PRODUCED 1466 AFFORDABLE UNITS.

THE PFC PRODUCED 485. IN COMPARISON, OUR LAND TRANSFER PROGRAM PRODUCED 64.

LAND BANK 17. SO YEAH, I MEAN, IF WE'RE GOING TO PUT IF WE'RE GOING TO PUT ROADBLOCKS, WE'RE GOING TO PUT SPEED BUMPS IN PLACE OF THESE PROGRAMS. THE DEVELOPERS ARE GOING TO MOVE ON. THEY'RE GOING TO MOVE ON TO DO MARKET RATE UNITS.

WHO'S GOING TO END UP SUFFERING? IT'S GOING TO BE OUR RESIDENTS WHO ARE GOING TO END UP SUFFERING.

BEFORE STAFF PLACES, SOME SWEEPING CHANGES IN THE PATH OF OUR PRODUCTION.

WE NEED TO BE USING DATA FOCUSED EVIDENCE, AND STAFF NEEDS TO PROVIDE THE FOLLOWING.

ONE EVIDENCE THAT 9% AND 4% LIHTC AFFORDABLE HOUSING PROJECTS WILL FURTHER CONCENTRATE POVERTY IN DALLAS NOT JUST COUNCIL MEMBER COMMENTS, BUT ACTUAL DATA. TWO, EVIDENCE THAT MITIGATING FACTORS SUCH AS RISK OF GENTRIFICATION, LOSS OF NATURALLY OCCURRING AFFORDABLE HOUSING IN AN AREA ARE NOT SUFFICIENT TO JUSTIFY LOCATING A PROJECT IN A HIGHER POVERTY AREA.

THREE EVIDENCE THAT THE AMI PERCENTAGE AND LOCATION RESTRICTIONS AND RECOMMENDATIONS 2A DOUBLE I, DOUBLE I, AND TWO A TRIPLE I WILL NOT DIMINISH THE CURRENT AFFORDABLE UNIT PRODUCTION LEVELS FOR EVIDENCE THAT THE PROJECTS WILL PENCIL, GIVEN THE INCREASED LAND COSTS AND LOWER MARKET RENTAL REVENUE.

AND FIVE EVIDENCE THAT DEVELOPERS WILL NOT REDUCE THEIR USAGE OF THESE PROGRAMS.

[02:00:06]

WE CANNOT SLOW DOWN OUR MOMENTUM NOW. ACCOUNTABILITY IS GOOD.

BUT TODAY SOME OF THE COMMENTS I'VE HEARD ARE READ MORE LIKE AN ATTACK ON THE PRODUCTION OF AFFORDABLE HOUSING THAN ON A MEASURE OF ACCOUNTABILITY.

THANK YOU. OKAY. COUNCILOR. OKAY. COUNCILMAN SCHULTZ.

THANK YOU, MISTER CHAIR, FOR INCLUDING ME. AND I KNOW WE'RE RUNNING LATE, SO I'LL GET RIGHT TO THE POINT.

MY FIRST QUESTION FOR HOUSING IS THE WITH YOUR CURRENT ROLE.

ARE THE PROBLEMS THAT YOU'RE SEEING THAT CAUSED A LOT OF THIS DISCUSSION? WERE THOSE GENERATED BY COUNCIL OR BY STAFF? COUNCIL.

THANK YOU. AND THE OTHER QUESTION IS ARE THERE OTHER ARE THERE OTHER USES? ARE THERE? THE QUESTION REGARDING THE COMMUNITY MEETING IF THERE'S NO ZONING CHANGE NEEDED? I DON'T UNDERSTAND HOW THIS IS DIFFERENT FROM IF A MARKET RATE APARTMENT WAS GOING IN BY RIGHT SOMEWHERE.

DO WE REQUIRE COMMUNITY MEETINGS, OR IS THIS SOMETHING THAT HAS TO DO WITH THE AFFORDABILITY ISSUE OF IT? WE REQUIRE COMMUNITY MEETINGS FOR OUR FUNDING SOURCES THAT WE USE.

IT IS IT'S REQUIRED FOR LIHTC. IT'S, YOU KNOW, IT'S JUST VARYING ENTITIES THAT WANT COMMUNITY MEETINGS FOR PUBLIC BENEFITS.

AND THEN THE PFC AND HSC, I THINK YOU ALSO HAVE SOME FOR COMMUNITY ENGAGEMENT ON THESE.

IS THAT CORRECT? IS THERE ANY KIND OF COMMUNITY ENGAGEMENT REQUIRED? I THOUGHT I HEARD YOU SAY THAT. YES. IT'S REQUIRED FOR LIHTC, JUST FOR LIHTC.

OKAY. OR FOR THE FEDERAL FUNDING LIKE THE CDBG AND THE HOME.

GOT IT. OKAY. AND THEN ALSO DOES ON THE IS OUR OR THE FINANCE CORPORATIONS BOTH.

ARE THOSE MEETINGS OPEN TO THE PUBLIC? SO THERE'S NO REASON THAT STAFF CAN'T ATTEND THOSE MEETINGS.

CORRECT? THEY'RE OPEN TO THE PUBLIC. YES. NOT ONLY THAT, BUT I WANT TO POINT OUT THAT IN OUR BYLAWS, IT IS STATED THAT IF OUR IF OUR STAFF IS NOT A CITY STAFF, WHICH WE JUST RECENTLY TOOK OUR STAFF OUTSIDE OF THE CITY, THAT THE CITY HAS A LIAISON THAT THEY APPOINT, IT'S IN THE BYLAWS THAT THEY APPOINT A LIAISON TO ATTEND ALL BOARD MEETINGS.

SO THIS WOULD BE REDUNDANT. ARE YOU ARE YOU ASKING FOR LESS OVERSIGHT OR MAINTAINING CURRENT LEVELS? IS THE HOUSING ASKING TO MAKE. SORRY. THE FCS ARE ASKING TO MAINTAIN CURRENT LEVELS OF OVERSIGHT, AND THERE ARE SOME COUNCIL MEMBERS OR OTHER PEOPLE WHO ARE ASKING FOR MORE OVERSIGHT.

IS THAT CORRECT? NO. SO THE OVERSIGHT IS THE OVERSIGHT HAS NOT.

OKAY. SO IT'S VARYING OVERSIGHT THAT HAS TO GO ON.

RIGHT. AND SO BY ESTABLISHING SEPARATION OF RESPONSIBILITIES WE CAN CREATE OVERSIGHT.

WHAT HASN'T BEEN HAPPENING IS THERE'S NOT BEEN A LOT OF OVERSIGHT GOING ON IN THE AFFORDABILITY SIDE OF PROJECTS.

SO WHEN PROJECTS ARE DEVELOPED, THEY SIT OUT THERE, RIGHT? NOBODY WATCHES THEM. ADDITIONALLY, MY TEAM HAS BEEN WORKING IN THE HFC AND NOT OVERSEEING THE CITY SIDE OF THINGS, SO THERE'S NOT BEEN CLEAR OVERSIGHT OF WHO SHOULD BE DOING WHAT.

SO WE'RE TRYING TO WORK THROUGH ESTABLISHING THOSE SEPARATIONS OF RESPONSIBILITIES.

AND YOUR QUESTION TO YOUR FIRST QUESTION, I ANSWERED IT TOO FAST.

SO SOME OF THE CHANGES THAT HAVE COME FORWARD AREN'T JUST COUNCIL.

THEY ARE ALSO COMING FROM THE DEPARTMENT. BECAUSE OF THIS, I NEED CLEAR, DEFINED LINES OF WHO DOES WHAT SO THAT WE AS STAFF CAN OVERSEE WHAT'S GOING ON, WHERE WE NEED TO AND HAVE THOSE CHECKPOINTS WHERE WE NEED TO.

SO WE'RE NOT ASKING. WE'RE JUST ASKING FOR OVERSIGHT IN GENERAL BETWEEN THE TWO ENTITIES.

AND THAT IS WHAT YOU'RE HOPING TO CLARIFY ON MAY 9TH.

WELL, WE'VE WORKED THROUGH QUITE A BIT OF THOSE THINGS.

NOW, AS YOU KNOW, THE CORPORATIONS ARE HIRING STAFF AND THINGS LIKE THAT.

SO WE'VE WORKED THROUGH SOME OF THOSE THINGS WHERE WE'RE HOPING TO HEAR AT THE MEETING IS FOR THESE ITEMS THAT WE HAVEN'T BEEN ABLE TO COME TO A CONCLUSION ON, WHAT ARE WE WORKING? HOW ARE WE GOING TO WORK ON THOSE THINGS? SO YOU'RE OKAY. GOT IT. THANK YOU. TWO LAST THINGS, IF I MAY, MR. CHAIR. HAVE THE FINANCE CORPORATIONS BEEN IN THE CITY'S INTEREST? I'M SORRY. REPEAT. YOU BELIEVE THAT THE ACTIVITIES OF THE HFC AND THE PFC HAVE BEEN IN THE CITY'S BEST INTEREST.

[02:05:03]

SO I'LL JUST VERY QUICKLY OR I GUESS I DON'T KNOW IF IT'LL COME TO COUNCIL BEFORE WHILE I'M STILL THERE, BUT I BELIEVE THAT THE ADMINISTRATIVE CAP ISSUE CAN BE WORKED OUT BETWEEN Y'ALL.

I THINK THE LOCATION THIS IDEA OF US OVERSEEING LOCATION IS IN NOT IN THE BEST INTEREST.

THERE'S ONLY ONE OR MAYBE TWO COUNCIL MEMBERS THAT ARE INTERESTED IN THAT, AND I DON'T THINK IT WILL PENCIL.

THE AMI CAPS. I BELIEVE WE KNOW THAT UNTIL THERE'S MORE HOUSING, HOUSING IS GOING TO CONTINUE TO BE EXPENSIVE.

SO WE NEED IT AT EVERY PRICE POINT. THERE'S NO REASON TO DO THESE CAPS, THE COMMUNITY INPUT, I BELIEVE, OUGHT TO BE IN PARTNERSHIP WITH THE CITY COUNCIL MEMBER FOR THE DISTRICT FOR THAT IF THEY WANT THERE TO BE THEY WANT A COMMUNITY MEETING ON THIS, WORK WITH THEM TO HAVE A COMMUNITY MEETING AND THEN THE STAFF ON BOARD.

I DO BELIEVE THAT YOU ALL WILL BE ABLE TO WORK THAT THROUGH ON MAY 9TH.

I DO NOT BELIEVE THERE SHOULD BE ANYTHING OTHER THAN WHAT'S ALREADY IN THE BYLAWS FOR THOSE THINGS, AND I BELIEVE THOSE ARE THE LAST FIVE OF THE BIG ISSUES THAT ARE THERE.

THE FINAL THING THAT I JUST WANT TO SAY IS THAT WE'VE GOT 80,000 PLUS UNITS THAT WE GOT TO BUILD IN DALLAS.

THIS IS A MARATHON. IT'S NOT A SPRINT. AND SO NOT GOING NO ONE'S GOING TO RUN A MARATHON IN STILETTOS.

WE HAVE TERRIFIC RUNNING SHOES WITH THESE PROGRAMS THAT ARE HERE.

THE EVIDENCE TO THAT IS INDISPUTABLE. AND SO WHY WOULD WE HOBBLE OURSELVES? I'D LIKE MORE CLARITY FROM THE POLITICAL AND THE PROFESSIONAL LEADERSHIP ON WHY THESE CHANGES ARE NEEDED, AND HOW THESE PROPOSED CHANGES THAT YOU'RE ASKING IS ACTUALLY GOING TO ADD TO OUR HOUSING STOCK.

IF IT'S NOT GOING TO ADD TO OUR HOUSING STOCK, THEN WE OUGHT TO JUST KEEP THINGS THE WAY THAT THEY ARE BECAUSE THEY'RE MOVING FORWARD.

THANK YOU, MR. CHAIR, FOR ALLOWING ME TO BE INCLUDED.

CHAIR RIDLEY. THANK YOU, MR. CHAIR. THANK YOU TO EVERYONE WHO SPOKE TODAY FROM THE AUDIENCE.

IT WAS VERY INFORMATIVE AND I REALLY APPRECIATED YOUR INPUT, PARTICULARLY FROM THE DEVELOPMENT COMMUNITY.

AND I ALSO APPRECIATE THE STATEMENTS MADE BY MISS HEFLIN AND MR. PAMLICO, BECAUSE THEY WERE VERY HELPFUL. AND WHAT I LEARNED FROM THAT WAS THAT YOU ARE CHAIRING PROGRAMS THAT HAVE BEEN GREATLY SUCCESSFUL IN ACHIEVING HOUSING DEVELOPMENT, THAT WOULD NOT BE BUILT BY THE PRIVATE MARKET, ABSENT THE EFFORTS OF YOUR BOARDS.

THE STATISTICS SPEAK FOR THEMSELVES. 73% OF OUR AFFORDABLE UNITS HAVE BEEN CREATED BY YOUR TWO BOARDS.

THAT LEADS ME TO THE GENERAL CONCLUSION WE SHOULDN'T BE TAMPERING WITH SUCCESS.

I HAVE NOT HEARD ANY REFUTATION OF THOSE STATISTICS BY STAFF OR ANYONE ELSE, NOR HAVE I HEARD AS WE'VE JUST HEARD IN RESPONSE TO A QUESTION FROM THE PANEL THAT THERE HAS BEEN ANY DEFALCATION NEGLIGENCE, MISUSE OF FUNDS OR REVENUES BY EITHER ONE OF THESE BOARDS.

AS FAR AS I CAN TELL, YOUR ACTIONS HAVE BEEN EXEMPLARY IN ACHIEVING THE GOALS THAT YOU HAVE BEEN CHARGED TO MEET.

AND SO, ONCE AGAIN, I HAVE NOT SEEN ANY COMPELLING JUSTIFICATION FOR SIGNIFICANT CHANGES IN YOUR POLICIES OR PROCEDURES.

I APPRECIATE MANY OF THE COMMENTS THAT I'VE HEARD FROM COMMITTEE MEMBERS, PARTICULARLY MRS. WILLIS, MR. WEST AND MISS SCHULTZ. I THINK THEY'RE ON POINT, AND PARTICULARLY WITH THE ULTIMATE CONCLUSION THAT THIS COMMITTEE SHOULD NOT BE TAKING PREMATURE ACTION TODAY TO ADOPT POLICY INITIATIVES BEFORE THIS MAY 9TH MEETING BETWEEN STAFF AND THE BOARD REPRESENTATIVES TO HAVE AN OPPORTUNITY TO MUTUALLY DISCUSS WHAT ARE THE BEST OPTIONS AND HOW BEST TO WORK TOGETHER.

BECAUSE ULTIMATELY, YOU MUST WORK TOGETHER MUCH CLOSER THAN YOU WILL BE WORKING WITH COUNCIL.

AND SO I THINK IT'S CRITICAL THAT WE NOT TRY TO IMPOSE OUR POSITION AT THIS POINT ON YOU BEFORE YOU HAVE AN ADEQUATE OPPORTUNITY TO TRY TO WORK THAT OUT FOR YOURSELVES AND HOPEFULLY PRESENT TO US A CONSENSUS THAT WE CAN ADOPT.

THOSE ARE MY COMMENTS TODAY. THANK YOU. CYNTHIA, ON ONE B, WHAT IS THIS, THE TIME AND THE INVESTMENT THAT STAFF IS PUTTING FORWARD? DO YOU HAVE A DOLLAR AMOUNT? ON ONE B, SO CITY STAFF, WHEN YOU GUYS ARE WORKING WITH THE HFCS AND PFCS, HOW

[02:10:03]

AND SO I WOULD SAY AT LEAST. HALF OF MY TIME IS SPENT ON HFC AND PFC RESPONSES, QUESTIONS DISCUSSIONS FROM THE STAFF HOW WE MOVE FORWARD ON POLICY.

I MEAN, IT'S A LOT GOING ON WITH PFC AND HFC AND THEN ON 2 A3 AND 2A OR III4 I GUESS. CAN YOU TALK TO ME? JUST EXPLAIN.

I THINK THERE'S SOME CONFUSION ON THE 20% THAT YOU KNOW, THE CONCENTRATION INTO POVERTY FOR ONE AND NOT THE OTHER.

HELP ME UNDERSTAND A LITTLE BIT BETTER. YES. SO IN RESPONSE, AGAIN, TO UTILIZING THE HFC AND PFC MORE EFFECTIVELY AND MAKING SURE THAT WE STILL ADDRESS FAIR HOUSING, NOT CONCENTRATE POVERTY AND PRODUCE AFFORDABLE HOUSING, THE TWO RECOMMENDATIONS THAT WE MADE IS ONE, TO ASK OUR HFC TO PRODUCE MORE IN HIGH OPPORTUNITY AREAS AND TO NOT ASK FOR WAIVERS AND HIGH POVERTY AREAS, MOSTLY BECAUSE THEY ARE LIHTC ACTIVITIES THAT ARE ALREADY GOING TO HAVE VERY LOW INCOMES.

AS, AS A DEFAULT IN THE PROGRAM. RIGHT. WE ALSO ASKED THAT OF OUR 9% APPLICATIONS.

AND THEN ON THE PFC SIDE. WHAT WE'RE ASKING IS THAT THEY HELP US FOCUS MORE DEVELOPMENT AND BRING UP INCOME LEVELS IN HIGH POVERTY AREAS, SO THAT WE CAN THEN HELP BALANCE THOSE AREAS AND BRING MORE OPPORTUNITY TO THEM.

THOSE ARE THE TWO RECOMMENDATIONS THAT WE MADE REGARDING HIGH POVERTY AREAS AND HIGH OPPORTUNITY AREAS.

OKAY. THANK YOU FOR THAT. AND ON 2D. HOW IS A NEIGHBOR SUPPOSED TO KNOW THAT THERE IS A POSSIBLE HFC OR PFC COMING INTO THEIR NEIGHBORHOOD? IS THERE A PUBLIC NOTICE? IS THERE IS NO NOTICE UNLESS THEY'RE DOING A ZONING CHANGE? THEN IT'S A ZONING CHANGE NOTICE. BUT THERE IS NO NOTICE THAT IS DONE IN ADVANCE OF, OF THE PROJECT COMING TO COUNCIL, COMES TO COUNCIL, IT COMES TO HHS IN A MEMO.

WE ANNOUNCE IT AND THEN IT COMES TO COUNCIL IN IN THE ACCEPTANCE OF THE PROJECT.

I THINK COMMUNITY INPUT IS CRITICAL TO, TO ANY PROJECT, ESPECIALLY WHEN WE'RE WHEN WE ARE GIVING UP A BENEFIT FOR THE CITY.

AND SO, I MEAN, YOU KNOW, I GUESS, YOU KNOW, WE'VE SAID AROUND THAT IF THERE'S CONCERN ABOUT A CONCERN WITH THE COMMUNITY ON THE PROJECT, THEN THERE WILL BE A PUBLIC MEETING.

BUT IF THE NEIGHBORS DON'T KNOW THAT THERE IS A PROJECT, HOW DO WE KNOW THAT THERE'S A CONCERN OR NOT A CONCERN? RIGHT. OKAY. SO BEFORE I GO TO ROUND TWO WHAT I'VE HEARD IS THAT WE PLAN ON TAKING NO ACTION TODAY. IN THE INTEREST OF TIME I AM GOING TO OFFER A SECOND ROUND, BUT WE'RE GOING TO BE LIMITING IT TO THREE MINUTES.

AND THIS TIME I'M GOING TO START TO MY RIGHT.

IF ANYONE HAS ANY ADDITIONAL COMMENTS WITH THE CHAIR WEST.

THANK YOU SO MUCH. I'M GOING TO ASK THIS AS CYNTHIA CAN ANSWER THIS OR MAYBE AARON.

WHAT TYPE OF MONITORING DO WE HAVE IN PLACE FOR LIHTC PROJECTS? BECAUSE IT'S COME UP, UP HERE THAT THERE'S NO MONITORING OF THE AFFORDABILITY LIKE THERE ARE MONITORING.

SO THE MONITORING THAT WE'RE TALKING ABOUT ARE WHEN THERE ARE AFFORDABLE UNITS THAT WE HAVE TO MONITOR.

SO FOR INSTANCE, WHEN WE HAVE A DEVELOPMENT THAT HAS FEDERAL MONEY IN IT AND IT HAPPENS TO BE A LIHTC OR HAPPENS TO BE A MARKET RATE PROPERTY THAT WAS REDEVELOPED AND IT'S IN A PARTNERSHIP WITH HFC OR PFC.

WE AS THE CITY MONITOR THOSE UNITS FOR AFFORDABILITY.

WHAT'S WHAT WE HAVE PROPOSED TO DO IS SEPARATE THOSE RESPONSIBILITIES AND HAVE OUR STAFF MONITOR FOR AFFORDABILITY AND HAVE THE PFC AND HFC DO THEIR MONITORING THAT THEY DO FOR THE DEVELOPMENT OF THE PROJECT.

WHAT TYPES OF OVERSIGHT DOES TDHCA PROVIDE IN OUR AFFORDABLE HOUSING? TDHCA REVIEWS THE LURA. THEY MANAGE THE LURA THAT'S ON THE PROPERTY.

[02:15:02]

MISS HELTON, I SAW YOU NODDING AND YOU HAVE ANYTHING TO ADD? THE TDHCA FOR SURE MONITORS THE INCOME LEVELS AND WHETHER THE WHEN SHE SAYS THE LURA, IT'S NOT JUST THE SOCIAL SERVICES, IT'S THE ACTUAL INCOME LEVELS THAT THAT HAVE TO BE COMPLIED WITH.

IN OTHER WORDS, IF SOMEONE'S OVER, IF THERE'S SUPPOSED TO BE 60% AMI AND THEY EARN MORE THAN 60% AMI, THEN THE TDHCA MONITORS THAT AND MAKES SURE THAT THEY COMPLY WITH ALL THOSE INCOME LEVELS.

THAT'S MY UNDERSTANDING. ALL RIGHT. QUESTION FOR CITY ATTORNEY.

WE HAVE WE'VE BEEN TALKING ABOUT COMMUNITY MEETINGS AND NOTICES TO THE COMMUNITY FOR THIS TYPE OF PROJECT.

DO WE DO SPECIAL COMMUNITY NOTICES FOR ALL FOR EVERY TYPE OF BENEFIT AND EVERY DEPARTMENT THAT THE CITY DOES.

SO FOR PROCUREMENT ITEMS, WHEN WE ISSUE A CONTRACT FOR SERVICES, FOR PROCUREMENT, SOMETHING WITH THE CONVENTION CENTER, DO WE DO SPECIAL. DO WE HOLD SPECIAL COMMUNITY MEETINGS FOR THOSE TYPES OF SITUATIONS? YEAH. YEAH. GOOD MORNING. HANNAH PEACOCK, ASSISTANT CITY ATTORNEY.

NOT ACROSS THE BOARD, BUT IT WOULD DEPEND ON WHETHER, LIKE, A STATE LAW, FOR EXAMPLE, WOULD REQUIRE IT.

SO IS THERE ANY STATE LAW OR REQUIREMENT AT THIS POINT FOR THE PFC OR HFC DEVELOPMENT PROJECTS WHERE WE WOULD NEED TO HOLD A COMMUNITY MEETING AS A REQUIREMENT? SO FOR THE LIHTC PROPERTIES, I BELIEVE THAT WOULD BE A REQUIREMENT. WHO REQUIRES IT? THE STATE THE STATE OF TEXAS REQUIRES COMMUNITY MEETINGS FOR LIHTC PROJECTS? CORRECT. OKAY. AND THEN FOR ZONING PROJECTS, WE ALSO REQUIRE THEM.

IS THERE ANY STATE REQUIREMENT IN PLACE FOR PFC OR HFC PROJECTS THAT YOU ARE AWARE OF? I WOULD NEED TO LOOK INTO THAT FURTHER AND GET BACK TO YOU ON THAT. OKAY.

I THINK THE I GUESS MY POINT WITH THIS IS WE HAVE A LOT OF DEPARTMENTS ACROSS THE CITY WHERE WE'RE ISSUING CONTRACTS OR DEALS THAT HAVE SOME TYPE OF PUBLIC BENEFIT.

I DON'T KNOW WHY WE WOULD BE ADDING IN A SPECIAL MEETING JUST FOR THIS TYPE OF, OF DEVELOPMENT.

I FEEL LIKE I HAVEN'T HEARD JUSTIFICATION FOR THAT, AND I'D LIKE TO HEAR THAT AT SOME POINT.

OTHER THAN THAT, I THINK MY QUESTIONS WERE ANSWERED. THANK YOU.

COUNCIL MEMBER. WILLIS. CHAIR. GRACEY. YEAH, I THINK THAT'S THE ONE I WANTED TO GO BACK TO AND SPEAK ON WAS THE NOTICES.

AND THE WHERE IT COMES FROM, I'LL SAY IS AGAIN IN SOUTHERN DALLAS YOU'VE HAD AN INFLUX OF LOW INCOME APARTMENTS THERE. SO MUCH SO AGAIN, YOU HAVE IT TO A POINT WHERE PEOPLE SAY, YOU KNOW, I JUST DON'T WANT ANY MORE APARTMENTS BECAUSE WE GOT ALL OF THESE OLD ONES HERE.

AND THEN YOU HAVE THESE NEW ONES THAT ARE TAKING UP SPACE.

SO NOW I HAVE OLD ONES AND NEW ONES TAKING UP SPACE WHERE SINGLE FAMILY COULD GO.

HOWEVER, I THINK IT'S AGAIN THE PIECE I WANTED AS WE GO THROUGH THIS.

I DON'T WANT TO PUT PARAMETERS ON THIS TOOL IF WE DON'T HAVE TO, BUT I DO WANT US ALL TO BE RESPONSIBLE.

AND PART OF THAT RESPONSIBILITY IN SOME CASES, IS LETTING HAVING THAT TOUGH CONVERSATION, BECAUSE IF YOU DON'T HAVE IT, WE GOT TO HAVE IT ANYWAY.

SO I THINK IT'S IMPORTANT THAT WE ALL GO AND HAVE THOSE CONVERSATIONS.

BECAUSE AGAIN, FROM SOME PERSPECTIVES, WHEN YOU'VE HAD NOTHING BUT THAT INFLUX OF LOW INCOME, REGARDLESS OF HOW YOU DEFINE IT AND, YOU KNOW, FOR ALL OF THAT, TO THEM IT'S LOW INCOME.

AND TO THEM THEY'VE NEVER HAD AN OPPORTUNITY TO HAVE ANY FEEDBACK.

YES, SIR. YES. COUNCIL MEMBER GRACEY. ONE THING THAT WE DO THAT I BELIEVE THE PLANNING AND ZONING COMMISSION DOES TOO, IS THAT AS CHAIR, A LOT OF TIMES I'LL DEFER OR I'LL ASK IMMEDIATELY ASK THE REPRESENTATIVE FROM DISTRICT, WHATEVER. HAVE YOU HAVE YOU SPOKEN TO THE DEVELOPER ON THIS ISSUE? AND IF THEY HAVEN'T, THEN WE SAY, WELL, YOU KNOW, WHY NOT? AND WE ALSO WE ALSO WILL ASK IN THE COURSE OF JUST A STANDARD MEETING HAVE YOU SPOKEN TO YOUR CITY COUNCIL PERSON,

[02:20:05]

WHAT'S THE NEXT STEP? YOU KNOW, THEN DO YOU CALL A MEETING OR SOMETHING ON IT OR WHAT HAVE YOU? BUT WE ARE VERY COGNITIVE THAT WE NEED TO MAKE SURE THAT THE CITIZENS KNOW.

AND THAT'S THE WAY WE'VE BEEN DOING IT, IS BY GOING THROUGH THE OUR REPRESENTATIVES ON OUR BOARD, AND THEN THEY GO BACK TO THEIR CITY COUNCIL MEMBER.

OKAY. ALL RIGHT. WELL, AGAIN, THE POINT HERE IS JUST MAKING SURE THAT AS WE'RE DOING THIS, IT'S NOT SOMETHING WHEN WE TRY TO PUT THESE PRODUCTS INTO A COMMUNITY WITHOUT TELLING THEM, YOU DEFEAT THE PURPOSE OF WHAT WE'RE TRYING TO ADDRESS HERE AND THAT'S THE HOUSING SIDE.

AND ALL OF THAT GETS LOST. SO AGAIN, AS WE HAVE THESE CONVERSATIONS, THERE HAS TO BE SOME WAY THAT IT'S COMMUNICATED TO THERE.

AND I APPRECIATE THAT PROCESS. BUT AGAIN, THAT RESPONSIBILITY OF MAKING SURE THAT'S THAT TRANSPARENCY AND EVERYTHING THAT THEY'RE ASKING ABOUT, WE ALL HAVE TO BE RESPONSIBLE WITH THAT TRANSPARENCY. ABSOLUTELY. WE WANT NO SURPRISES.

THAT'S THE LAST THING YOU REALLY WANT IN A COMMUNITY IS TO HAVE A SURPRISE COME IN FROM THE PFC OR CITY HALL.

ALL RIGHT. THANK YOU. COUNCIL MEMBER WILLIS, DID YOU HAVE ANOTHER? NO, I HAVE NO OTHER COMMENTS. CHAIR MORENO. YOU COULD HAVE GONE ANOTHER MINUTE IF YOU'D LIKE, MR. GRACEY. I HAVE NO ADDITIONAL COMMENTS.

THANK YOU. THANK YOU, EVERYBODY, FOR JOINING US TODAY.

I THINK THIS WAS VERY HEALTHY AND VERY PRODUCTIVE.

PLEASE SEND ANY ADDITIONAL COMMENTS TO MYSELF AND TO CYNTHIA AND ROBIN SO THAT WE CAN MAKE SURE THAT WE ARE DOCUMENTING ALL OF THAT INFORMATION.

WITH THAT BEFORE WE MOVE TO THE NEXT ITEM, WE ARE GOING TO TAKE A FIVE MINUTE RECESS TO ALLOW OUR AUDIENCE TO GO ON WITH THEIR DAY IF THEY DECIDE TO. OR THEY CAN STAY HERE WITH US.

AND ALSO TO GIVE MY COLLEAGUES AN OPPORTUNITY TO TAKE A QUICK LITTLE BREAK.

SO RECESS FOR FIVE MINUTES. WE'LL BE BACK.

* This transcript was compiled from uncorrected Closed Captioning.