Minutes, September 15, 2020

Minutes from the September 15, 2020 Clarksville CDC Monthly Meeting

In support of citywide efforts to reduce the spread of coronavirus (COVID-19), the September 15, 2020 Monthly Meeting was held via Zoom.

Board Members present: Aly Byatt, Aubrey Carter, BJ Friedman, Malcolm Greenstein, Paula Hern, Kim O’Brien, Mary Reed, Chris Thomas, Gregory Tran

Others present: Rose Gabriel, CCDC Director of Property & Finance

1.    On a motion by Paula, seconded by Aubrey, the minutes from the August 18, 2020 monthly board meeting were approved.

2.    BJ presented the monthly financial reports. As of August 31, 2020, our checking account was $8955, saving account was $177,669. We showed a net loss for the month of $5,077. Income was down due to a vacancy, and expenses were high due to the make ready of 1720B W. 11th and the replacement of 2 water heaters.  

Minutes from the September 10, 2020 Finance Committee meeting appear at the end of these minutes.

3.    Rose Gabriel, Director of Property and Finance, presented her monthly report. At the board’s request, Rose’s reports now contain additional information, including a list of accomplished tasks, a master list of on-going projects, challenges that she is facing, issues that need board input, and tenant news.

Rose gave an update on the progress on the 2 projects the board voted to use the OWANA housing funds for:

1) egress at 1011 Charlotte and 1708 W. 10th: she is having trouble finding a contractor who can handle the job. She will meet with Aubrey to discuss options;

2) water meter splitters: she has received 1 bid, is awaiting another, and had one plumber say it would be “almost impossible to do what we want.” She is awaiting another bid. She will come back to the board with the bids, along with alternative solutions to this problem.

Rose is instituting “office hours”: M, T, W 9-noon, 1-2:30, Th 2-5, and F 9-11:30. She will respond to emergencies beyond these hours; should something arise that needs immediate attention, best to reach out to her via text. Both Rose and the board recognizes that this change likely will require some adjustments. Everyone agreed to try it for a few months and see how it works.

4.    BJ presented a report which detailed the financial effects of COVID-19 on the CCDC. We saw a total rent loss of $7,695.50 ($3,761.50 in April, $2,772 in May, $1,162 in June) due to partial or total rent waivers to tenants who were out of work due to COVID. We applied for and received $7,500 in PPP grants, which was used to cover Rose’s salary for these months. Additionally, we applied for and received $7500 in EIDL funds. We have decided to return these monies. We will owe interest accrued while we held the funds. EIDL additionally provided a $1,000 grant which we can keep. This will be used to cover the accrued EIDL interest. In the end, we will see no COVID-related effect on our financial bottom line.

5.    BJ presented the proposed FY 2020-21 budget, prepared by the Finance Committee. Included are construction expenses related to the new house at 1611 W. 10th. A note of interest: 3 years ago our monthly rents averaged $16,000. They now equal approximately $13,000 per month—a significant change to our bottom line. On a motion by Aubrey, seconded by Kim, the board approved.

Kim asked that the board revisit our budget process in the spring and make changes to the way we develop, present, and adopt future budgets.

6.    In response to the operations of the CCDC growing more complex and time consuming, the Board approved the creation of the Finance and Operations Committee. Membership will be comprised of 4 members of the board—BJ Friedman, Paula Hern, Mary Reed, and Chris Thomas, as well as Rose Gabriel, CCDC Director of Property and Finance. This committee will take over the duties currently performed by the Finance Committee. Creation of the committee was unanimously approved on a motion made by BJ, seconded by Aly.

7.    Rose reported that the American YouthWorks students have begun meeting at the 1611 W. 10th Street work site; picnic tables on the property are for their on-site learning. Original plans submitted to the City were rejected due to the design being 6% over the building coverage allowance. The architect has made a redesign which will be submitted next week. And we are getting closer to closing on the property.

8.    Regarding improvements to the Haskell House, Rose reported that Kim McKnight, Program Manager, Historic Preservation and Heritage Tourism, Austin Parks and Recreation Department, did not approve the alternate roofing materials. Another sample has been submitted for their approval. Due to the slow process of the grant money being turned over to us, the contractor who was going to do the repairs is no longer available. Rose is in the process of finding another contractor.  

9.    No Other Business was discussed.

10.                  The board met in Executive Session to discuss 2 tenant-related issues.   

Minutes from Finance Committee Meeting on September 10th, 2020

Attending: BJ Friedman, CCDC Treasurer, Mary Reed, CCDC President, Rose Gabriel, CCDC Director Property and Finance

BJ and Mary reviewed the financials for August and asked Rose for several clarifications.

BJ compared the CCDC’s August bank statement against deposit slips, debit transactions and receipts for that month.

 BJ, Rose and Mary reviewed the draft 2020-2021 FY budget Rose had prepared. BJ and Mary asked questions and requested some changes. For example, Mary asked for an expense for printing to be added. BJ offered to finalize the draft budget and address some formatting issues.

Rose provided an update on the status of rents for September and on any financially significant repairs she anticipated. She reported that all tenants are able to pay their rent and that aside from the cost of addressing a floor problem by the back door at 1009B Charlotte, which will only cost $600 to address, she did not expect any expensive repairs this month.

Mary asked Rose about the status of the OWANA-funded projects that the board voted as priorities in July. No progress to date. Mary also asked about where things stood with the removal of the large branch hanging over the yard of the home next to the Haskell House. Rose reported that she had contacted a tree person to remove the branch, but he cannot get to the job immediately.

BJ asked about the status of the PPP paperwork required to get the loan forgiven. Rose said that she had not had time to complete it so BJ offered to do fill out the form.

Rose reported on her efforts to get a pay-off amount for the EIDL money the board voted to return to the SBA. So far, she said that her efforts have been frustrating and have mostly involved being on hold. She will keep trying.