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HomeMy WebLinkAbout04 APCHA Budget.SupplementRqst.BOCC.5.9.17Aspen Pitkin County Housing Authority APC HA MEMORANDUM TO: Board of County Commissioners FROM: Mike Kosdrosky, Executive Director DATE: May 4, 2017 MEETING DATE: May 9, 2017 RE: BUDGET SUPPLEMENTAL REQUEST APCHA staff is requesting BOCC approval of an amendment to the APCHA 2017 budget. This amendment of the 2017 budget increases total expenditure appropriations by $125,300 to $3.2 million. Of this $125,300 increase, $17,400 relates to carry forward items. The balance of $107,900 is a new request. The exhibit below outlines the supplement requests impact on the overall appropriation authority. See the Exhibits for the details on the individual reports. 2017 Supplemental Request Description Amount Location 2017 Adopted Budget $3,108,660 See Exhibit A Total New Requests: $107,900 See Exhibit B Operational Carry Forward: 17,400 See Exhibit C Total Budget Requests: $125,300 See Exhibit A This increase will not affect the budgeted subsidy of $259,200 approved in Pitkin County's 2017 Budget. The increase will be taken from the existing cash balance. The increase will be taken into consideration during the 2018 budget cycle in establishing the 2018 subsidy between the City and County. 2017 Supplemental Budget Request Page 1 EXHIBIT A APCHA & SEPARATE COMPONENT UNIT 2017 BUDGETS Fund Name Housing Administration Fund Smuggler Housing Fund Truscott II Fund APCHA Development Fund Total Total 2017 Revenue 2017 Amended Total 2017 Expense 2017 Amended Opening Revenue Supplemental Revenue Balance Budget #1 Budget $1,910,705 $1,959,690 $20,000 $1,979,690 $265,037 $74,570 $0 $74,570 $1,013,740 $1,019,100 $0 $1,019,100 $1,085,711 $0 $0 $0 $4,275,193 $3,053,360 $20,000 $3,073,360 Expenditure Budget $2,069,780 $61,440 $977,440 $0 $3,108,660 Supplemental #1 $125,300 $0 $0 $0 $125,300 Expense 2017 Ending Budget Balance $2,195,080 $1,695,315 $61,440 $278,167 $977,440 $1,055,400 $0 $1,085,711 $3,233,960 $4,114,593 Midland Park Place Condominiums located at 110-821 Midland Park Place. The project was developed as one of the first deed -restricted projects in Pitkin County. The project was constructed in 1978 and consists of 37 units. The units are all Category 4 and consist of 8 one -bedroom, 14 two - bedroom and 15 three -bedroom units. 2017 Spring Supplemental Exhibit B New Requests Request Title Request Justification 620 - Housing Administration Fund Workforce Housing Compliance and Enforcement Officer - estimated start date of May 15, 2017 Interim Database $57,850 Full-time Housing Compliance and Enforcement Officer - APCHA staff and the Board want to cut down on non-compliance so that deserving workers can get housing. APCHA strongly believes that increased enforcement is critically important and that there is substantial value in opening a noncompliant unit for a deserving working household relative to the cost of building a new affordable housing unit. There's no better example of an ounce of prevention is worth a pound of cure. Staff has requested creating a full- time housing compliance and enforcement officer. Background: Additional staff is needed to address affordable workforce housing compliance issues and negative public perceptions. APCHA has never had a full-time compliance and enforcement person on staff to oversee and enforce the rules of the Workforce Housing Program and its nearly 3,000 deed restrictions. Less than one quarter of the current Housing Qualifications Specialist's time (less than 1/4 FTE employee) is dedicated to compliance and enforcement. With so many units in the inventory, APCHA believes the time has come to increase resources and personnel dedicated to enforcing new policies and rules, and associated deed restrictions, to safeguard the program's integrity, improve efficiency, and increase public trust. APCHA's long term goal is 100% compliance for the program, but without additional resources to enforce the rules, that will be difficult to achieve. The annual labor cost is $78,830 and the training and materials are another $6,350 for a total of $85,170. 2017 will be funded from fund balance and 2018 split 50%/50% by increased subsidy to the City and the County. This is an on -going request. $30,050 Perform advanced interim database design, building, testing and advanced -level data collection, data cleaning, and training - This request is for resources; both professional services from a database consultant and an intermittent Housing Assistant in 2017. Background: Currently seeking proposals for a new housing enterprise system. While waiting for this project to start and subsequently come to completion, APCHA is taking steps to develop and use an interim database solution. The interim database solution will assist APCHA operations in the near term, while also gathering, cleaning, and centralizing key existing data for future migration into a new housing management enterprise system. The work to prepare the data for future migration to the new system is a critical task that must be completed anyway so that existing key data can be migrated efficiently, effectively, and accurately into the new housing management enterprise system. Completing a major portion of this cleanup work now will save APCHA a significant amount of time and money when it is ready to set up the final major system, without overloading staff resources. The interim database design and build effort is directly and collaboratively supported by staff from APCHA, the Quality Office, a consultant, IT staff, GIS staff. One -Time request. 1 of 2 2017 Spring Supplemental New Requests Request Title Request Justification Exhibit B Professional $20,000 100% reimbursed by the Developer - APCHA unexpectedly had to pay for consulting Contracted Services services (PVCMI) for land use review work associated with the Housing Credits Program. It for Housing Credit anticipates it will need to contract for further professional services to review regulatory Compliance and marketability standards associated with Housing Credits' Program referral projects. APCHA anticipates getting reimbursed by developer for these costs, but cannot float these funds at the expense of other professional service needs already budgeted at the outset of the year / APCHA must negotiate a developer's agreement with the first applicant looking to use Housing Credits Program on a multi -family conversion project. It is important that APCHA have the funds to pay for professional services to advise on this upcoming project. One -Time request. $107,900 READING $107,900 2 of 2 2017 Spring Supplemental Operational Carry Forwards Department / Project Exhibit C Request 620 - Housing Administration Fund Work Stations - A yearly allocation is made for the replacement of workstations. All unspent authority is carried forward into the following fiscal year for the departments to address the replacement as needed. $17,400 $17,400 TOTAL OPERATIONAL CARRY FORWARD REQUESTS $17,400 1 of 1