Loading...
CPC Subcommittee on Emergency Housing Relief 7-22-2020 MeetingBeverly Community Preservation Committee (CPC) Subcommittee on Emergency Housing Relief Meeting Notes -FINAL Meeting Date: July 22, 2020 at 9:00 AM CPC members participating: Heather Richter; Derek Beckwith; Thomas Bussone, II; Nancy Marino. Invited participant: Laura MacNeil, Executive Director, North Shore Community Action Programs (NSCAP) CPC Committee staff: Denise Deschamps As Chair of the Beverly Community Preservation Committee's Subcommittee Heather Richter called the meeting to order at 9:00 AM. Richter reads a description of changes to the Commonwealth's Open Meeting Law to accommodate remote meetings due to the COVID -19 pandemic, a description of the process by which public meetings are held remotely along with a description of how the public may access these meetings. Richter then asked that Committee staff, Denise Deschamps, call the roll. Deschamps calls the roll and asks Laura MacNeil to introduce herself. MacNeil introduces herself as Executive Director of North Shore Community Action Programs, frequently referred to as NSCAP. Richter begins the conversation with an overview of the CPC's efforts to create an Emergency Housing Relief Fund and the program parameters they have established. Richter states that the Subcommittee has developed some questions to ask Laura MacNeil to help direct the conversation. Laura MacNeil provided a description of NSCAP and its experience with managing city and state funds. They have the capacity to easily track funds and will not co- mingle funds. They understand the need of communities to track how the funds they contribute to a program are used. They currently manage similar housing assistance programs that are funded in part or in full with CPA funds, for Peabody and Salem. Derek Beckwith asks MacNeil to outline current emergency housing efforts in other communities. MacNeil states that NSCAP just signed a contract with Salem. NSCAP would be screening applicants, ensuring no fraud or duplication of applications. The City of Salem's program limits funding per applicant to $500 /month for a 2 -month period with an option to renew. Salem asks landlords to sign an agreement not to proceed with evictions after they receive rental assistance via the program. To date, no landlords have signed that agreement. This could change when the moratorium (on evictions) is lifted. Richter asks how the program would be administered. McNeil responds that every applicant will need to document income and rent. NSCAP will also ensure that if an applicant is eligible for other benefits they are made aware of programs available. This is particularly important if there are other funds to help with housing costs such as utilities and fuel assistance. Richter explains that CPA funds may be used for mortgage assistance if the home is deed restricted as affordable. MacNeil states that the current moratorium on eviction along with unemployment benefits are keeping people above water. She is worried that if people have stopped paying their rent during the moratorium they could conceivably have a debt of $10- 15,000.00 when the moratorium is lifted which could be insurmountable for many. Page 1 of 4 Beckwith asks if NSCAP negotiates with landlords. He is concerned that a landlord would move to evict as soon as the moratorium is lifted if the resident still owes rent. MacNeil mentions the provision that Salem has requested that landlords sign a proviso that would address this issue. To date, no landlord has signed it. Thomas Bussone proposes a scenario. A tenant owes $5,000.00. The tenant receives $3,600.00 in rental assistance. The landlord is willing to accept the $3,600.00 but will not sign the proviso. Would then NSCAP refuse to provide the rental assistance given the landlords refusal? Bussone expresses serious reservations about giving rental assistance to a landlord if it does not actually keep the tenant in his /her home. McNeil anticipates a significant surge in the virus in the fall season based on some things she is hearing from the medical community so it is very possible that unemployment will surge as well. Let us say the average rent in this area is $1,900 /month for lower income individuals. $3,600.00 could be a small percentage of the total arrearage. If the pandemic continues for an extended period of time what will ultimately happen to people that owe a very large amount of back rent. Question of how long you would hold a landlord to maintaining a proviso to not pursue an eviction. Bussone notes that not many people will have a first /last and security deposit to give a landlord to rent a new apartment. Beckwith states that this is an issue that should be explored further once the administering agency is selected. Likely, there should be an agreement that clearly states the period of time in which a landlord would not move to eviction for non - payment of rent. MacNeil will speak to the Housing Court attorney for some guidance. MacNeil understands the Committee's concerns. Richter asks MacNeil who within NSCAP would be communicating with the CPC /City staff regarding monthly reporting. MacNeil states that Program Director Heidi Williams would be the contact. MacNeil may also invite a member of their Finance staff to participate as well. Richter asks MacNeil about the types of data she would recommend to be included in the periodic reports to the City. MacNeil suggests including in a report the number of people receiving assistance, their income levels. Beckwith adds that it would be helpful to know the number of individuals that qualify but for the fact that they also qualify for assistance in other programs such as RAFT or other assistance. Richter asks if NSCAP would be comfortable receiving referrals from other agencies along with responding to individual requests for assistance. MacNeil states that NSCAP works with other agencies all of the time. Richter states that the CPC is looking towards a September 3 start date. Could NSCAP be ready in time? MacNeil states that NSCAP could meet that deadline. Richter asks MacNeil how NSCAP arrived at their administration fee. MacNeil responds that 10% is the fee NSCAP typically charges to administer a program. They take out benefits. Look at number of people required to work on the project. NSCAP has sufficient staff currently to administer the program. No new hires required. They may pull from other appropriate departments if additional assistance is needed. If no one applies for assistance then NSCAP does not charge a fee. Bussone comments that he likes this approach. Page 2 of 4 Richter asks MacNeil if she has any thoughts on the number of applicants that might apply. MacNeil responds that she really doesn't have a strong sense of it because there has not been significant money available in the past to assist Beverly residents with a similar program. NSCAP will certainly reach out to local /area agencies to help get the word out about the program. Richter asks MacNeil to estimate how many applications might receive funding. MacNeil states that it could be 60 %. She notes that some applicants from Salem did not complete the applications they started. She reiterated that unemployment benefits have helped to keep people afloat so it is difficult to say what the level of demand will be. MacNeil asks the Subcommittee members if applicants need to have a lease. Bussone responds that he does not believe a lease is necessary. Beckwith adds that the landlord must recognize the applicant as their tenant, in writing. There is a limit of one application per household. MacNeil states that people with no lease, no bank account, possibly working under the table are at high risk. Nancy Marino states that McNeil's comments have been very insightful. Marino adds that the program conceived by the CPC is purely transactional. However, applicants can certainly chose to avail themselves of NSCAP's services. Marino then asked what questions would be included on the application. MacNeil responded that it might include some questions to help NSCAP determine whether or not the applicant might be eligible for other types of assistance. MacNeil also reiterated that NSCAP sets up separate accounts for every new funding stream. They do it all the time. All audits of their files are very complimentary. Marino stated that it is likely that there will be applicants who are completely unfamiliar with applying for assistance so she is concerned that the application not be intimidating. Marino expressed confidence in NSCAP's ability and appreciated comments about their experience managing multiple funds sources. Bussone notes that he has been very satisfied with NSCAPs' responses to Subcommittee questions. He adds that it has been an impressive interview. MacNeil stated that she would send samples of the forms they use in the intake process. She will also consult with attorney Lori Fonseca regarding how to approach landlords about potential eviction who wish to accept the funds. Members of the Subcommittee thanked MacNeil for joining them on a call to answer questions. MacNeil left the meeting. Richter asked the Subcommittee members if they would like to have a conversation now regarding the selection of an administering agency based on the conversations with representatives from Beverly Bootstraps and NSCAP. Subcommittee members agreed to take time now to discuss a possible recommendation. Bussone stated his preference for NSCAP given MacNeil's responses to the questions including their experience and ability use existing staff. He also thought the fee associated with NSCAP's administration was reasonable. Marino agreed with Bussone's assessment adding that it is routine for NSCAP to manage this type of program and the fee seems reasonable and fair. Beckwith agrees with Bussone and Marino. Beckwith noted the important role that Beverly Bootstraps plays in the Beverly community. However, NSCAP seems ready to go. They are experienced in this area. Richter states that Beverly Bootstraps has a lot of knowledge regarding the various types of assistance available but the focus of the CPA - funded program is housing relief and that is NSCAPs' area of expertise. Page 3 of 4 Marino notes that after hearing the conversation amongst Subcommittee members she is more inclined than ever to recommend NSCAP. Beckwith agreed that everyone has made very good points. Beverly Bootstraps has a different model. NSCAP already has a model in please that matches the needs of the new program. Bussone commented that Beverly Bootstraps might have more of a history of negotiating with landlords, not necessarily administering housing assistance programs. He stated that the new program would be better served by NSCAP. Beverly Bootstraps plays a very important role and Beverly and they will understand where the Committee is coming from. Beckwith stated that NSCAP is ready to launch the program on September 1. They already have at least one other similar program up and running. Marino agrees with Beckwith. Bussone states that he is favor of recommending NSCAP. Richter asks if the Subcommittee members are ready to provide a recommendation to the full CPC. They answer in the affirmative. Bussone makes a motion to recommend NSCAP, to the full CPC, as the administering agency. Marino seconds the motion. Richter asks Deschamps to call the roll. The vote in favor of recommending NSCAP to the full CPC is unanimous. Richter then turns the Subcommittee's attention to the review and approval of minutes from Subcommittee meetings that took place on June 25, 2020, July 13, 2020 and July 17, 2020. Bussone makes a motion to accept the July 17, 2020 Subcommittee meeting minutes with edits as proposed by Derek Beckwith in an email. Marino seconds the motion. Richter asks Deschamps to call the roll. All are in favor. Minutes approved as amended. Bussone makes a motion to accept the July 13, 2020 Subcommittee meeting minutes as provided. Marino seconds the motion. Richter asks Deschamps to call the roll. All are in favor. Minutes approved. Bussone makes a motion to accept the June 25, 2020 Subcommittee meeting minutes as provided. Marino seconds the motion. Richter asks Deschamps to call the roll. All are in favor. Minutes approved. The meeting adjourned. Page 4 of 4