Today is Tuesday, March 17th, 2026.

And I officially called this meeting to order.

I would like to welcome our council colleagues in chambers, Councilmember Ramirez.

We can always count on you to be in person, my friend.

And staff representing Councilmember Castillo's office from District H, staff representing Vice Mayor Pro Tim, Peck's office from District A, and staff representing Councilmember Cayman's office from District C, and I will acknowledge council members or their representatives upon their arrival.

Today on our agenda, we will hear from the housing and community development department related to planning and grant reporting, public services, multifamily, public facilities, and finance.

And of course, we will close out with remarks from our director.

Good morning, director.

Good to see you.

You were in the uh throws of your notes.

I didn't want to interrupt you, but the floor is yours.

Thanks so much, Madam Chairwoman.

Today is a full agenda with a lot going on.

And one of the things that I like about today's agenda is you get to see a little bit about the future.

About the monies that have come in and what we're going to do with those.

So I really appreciate you the time and effort looking at these, and though I'm sure there'll be a great many questions.

We'll start with Amy Conley, who is our has a couple of jobs besides being my chief of staff.

She is now heading the planning and grant reporting department.

And we'll begin talking about the annual action plan for 2026.

Um again, this is a very important plan because it sets out what our what we're gonna do for 2026 and sends this on to HUD.

So Ms.

Conley, thank you.

Great, thank you.

And um appreciate the introduction, Mike.

Um, today we are requesting that this committee and council review and approve an ordinance authorizing submission of our program year 2026 annual action plan for our formula fund grants.

Um every year uh we receive funding through HUD.

Um you may have heard these called entitlement grants or formula funds, um, but these are the community development block grant, home investment partnership, housing opportunities for persons with AIDS, and emergency solutions grants.

So uh without further ado, um, I do want to mention before we go to the next slide that uh the public notice and comment period for these allocation of funds runs between March 9th and April 8th.

So we still have plenty of time to receive and take comment about our allocation that we are proposing.

The total amount that we are anticipating receiving from HUD at this point is 51,721 29,401 dollars and eighteen cents.

Uh but we do not yet say that three times.

Yeah.

51 million.

Uh we do not yet have our allocation.

Um, as you probably read, the T HUD bill has been it was delayed, passing through Congress.

Uh we do anticipate receiving that allocation in April or May.

And if any of those amounts are increased or decreased from what we are anticipating, we will change the budgets uh by the percentage allocation that you see in the tables.

Um so without further ado, we're gonna show you the slides for the four different grants that we are um putting forward in our annual action plan, and these include the anticipated allocation that we'll receive, the estimated program income is baked into the final number, and uh proposed line items.

So uh first up is um CDBGs and allocation.

And um, under CDBG we'll be funding public services, which includes essential services to nonprofits relating to homelessness, social services, special needs, economic development, which this year will be a payment for East End Maker Hubs interest for their 108 loan, uh ESG match, which is an annual match that we make to the ESG program, uh homeownership assistance, single-family home repair, lead-based paint, which is a matching funds for the health department's lead safe program, multifamily housing rehab, and program administration.

Total CDBG anticipated is 25 million five hundred and ninety-six thousand five hundred dollars and twenty cents.

This does include program income.

The allocations were very similar to last year's allocations with a small change, adding an economic development line item, and taking a little bit of that amount from multifamily rehab, but overall the allocations are almost exactly the same as program year 2025.

Next, going to the home slide, please.

Will go to single family acquisition, rehab, new construction.

This will also be CHODO and CHODO operating.

Total amount is 10 million dollars, 54,102.98 cents.

And next is our HOPA proposed allocation.

The line items include housing information services, which is counseling to assist on finding homes, uh operating costs, supportive services, project or tenant-based rental assistance, short-term rent mortgage and utility assistance, resource identification, grantee administration, which is the city administration of that grant, and sponsor administration, which is the sub-recipient administration.

Total amount is $13,918.

Same allocation as program year 2025.

And next is uh ESG allocation.

Uh we are proposing homelessness management information system, which is the database managed by our CRC COC.

Uh emergency shelter, which is shelter operations, homelessness prevention, rapid rehousing, which is funding to take people from street to housing, and administration.

Um allocation is exactly the same as last program year of $2 million.

$2,160,384.

So that is our proposal.

Um I do want to point out that we have two upcoming meetings.

Um, would we be very excited to uh take public comment on these allocations?

Uh the person the in-person meeting will be Tuesday, March 31st at 6 p.m.

at Alif Community Center, and um our uh housing chair will be there to host us, which we're very grateful for.

And there will be a virtual meeting if you can't make an in-person meeting on April 7th from 3 to 5 p.m.

And access to that teams meeting will be uh on our city website.

So the annual action plan is already uploaded to the city's website, and we've been taking comment on that since uh March 9th.

And so if you want to see the whole action plan, it's a large document, but uh very detailed information about what we're going to be submitting to HUD.

Um please read it if you have some time, and uh we'd be very excited to receive any comments on that.

Thank you very much.

Uh very good presentation.

A few questions.

One, I'm excited about welcoming HCDD to the West Side on March 31st.

The best side, so I'm gonna make sure our people show up.

Uh one, um, I know this past allocation, we reallocated code enforcement dollars, and I know we've gone back and forth about code enforcement with our entitlement funds.

How are we addressing that in another way through general funds because that was a substantial amount of I think we did a de-allocation of $800 and $800,000 that ultimately went to down payment assistance, which we love.

I love that, but then we still have a need for code enforcement that historically has come out of this allocation.

How is that being covered moving forward?

Um we did not cover it in this budget.

Um and um we have had many conversations.

I know Mike has had many conversations with Director Mocky about um what their funding needs were, and they have expressed to us that they are not needing additional funding from us.

Okay, and I and the reason why I I elevate that is because we are in the the midst of the apartment inspection ordinance, and we know that that's coming, and I know HCDD's involvement in that scope is limited depending on 9% tax credits, right?

Um, but I think it the more that we can ramp up that area because of the demand of that ordinance that's coming forward, it'll be helpful.

So it sounds like that may be a um CUS or general fund allocation, maybe.

My memory was that we were gonna have a some kind of meeting, get uh director Mackey to come visit with us.

Uh even publicly on that.

Sure, yeah.

We're and we're gonna bring it to a special call, but I know if we're putting a demand on departments to meet um, you know, timelines and get out to our high risk properties funding for code enforcement's key to that.

A lot will came up was around preventative measures, and so I think that just reinforces our commitment to quality housing, right?

Just making sure that our existing stock.

So I'm sure along the way we will figure that out, but I just I know that it's not in this allocation, and I and I know it'll often comes up about code enforcement, so I appreciate that.

Um, just a note about Hopwood.

This is for the entire region, correct?

Correct, yes.

We have a believe it's a five county region, nine county regions.

Nine county, right?

I thought it was like 10.

Okay, wonderful.

And it wouldn't be right if council member Ramirez was not in the queue, so I'm gonna yield to my colleague, Councilmember, you got it.

That's right.

Thank you, madam chair.

Thank you, Director Connolly, for the presentation and for all that y'all do.

Um I know you said that the the breakdown was uh largely as it was last year, but I do notice that the uh administrative uh costs are higher for the CDB G allocation.

Can you sort of explain why that is?

Uh I believe that the 20% is the same as last year, so percentage-wise it's the same.

Um, if there's any increase, it's probably due to program income calculating into because we we took last year's allocation and moved that forward, assuming that the funding levels would be exactly the same, but there was a slight increase in program income in CDBG, so that's probably why you're seeing the amount.

But I think the 20% is exactly the same as last year in terms of and do the guidelines allow for uh more to be spent on administration.

Right 20% is the limit for CDBG in terms of programming.

Relative to the other of the other programs that you've you've presented.

Yeah, they're all we've all maximized the amount of program administration that we're allowed to take.

Yeah.

Okay.

Um in any of what you've presented, are are y'all using the land trust model at all to put folks into housing.

Um let me see.

Um, in any anything that was provided.

Yeah, I think.

Whether C D BG, home, what have you.

Um, well, I believe that our home program um would be eligible, but I'm not sure we're able to put I I think we're using our home money for our Chow's.

So unless the CLT is a registered CHOTO, uh, they wouldn't be eligible to receive funding from home.

So that that would be the limitation.

We are obviously very supportive of the land trust.

Um, but and probably one of the best ways they can use it, and they do use it, is to make sure the folks who are going through that get the opportunity for the down payment assistance programs.

That's really how they best do that.

Again, we you know, the land trusts are very interesting because as we look at different entities, and I'm trying to get my arms around it, and I think we'll see that when we do the housing strategy a little more.

The land trust is done is really great for people even under the 60 percent AMI because that's a good good way for them to work through that.

But again, the the use of the down payment assistance is great.

Um, our department has spent a lot of time really focusing on AMI 80 and 60 percent below, and in the um my understanding of the land bank there looking at it uh larger incomes, 120 percent and below.

And so that's kind of how this is divided up.

Um, but again, the best use of our funds with the land trust is the um down payment assistance.

All right, thank you for that.

Thank you much.

No further questions, appreciate that.

And then to every also I want to acknowledge in the staff uh vice chair councilmember Davis is here, staff representing at large two, staff representing at large four, and council member Martinez District I getting my bearings, okay.

Everyone's on record.

Uh, and then so uh for everyone attending, I think it'd be important to extract the or include the link of the annual plan if you're if your constituents are unable to attend, so they can include their public comment in written form, which is really helpful for the department.

Um also as we send this up once this gets to council.

So definitely take advantage of that.

Thank you much.

Again, we look forward to comments from council from constituents from other directors as they look to this plan.

Uh we want to be responsive to the community.

Up next, we have public services.

Good morning.

So item 3A, the department is presenting a second amendment to the subrecipient agreement with Avenue Community Development Corporation, commonly referred to as Avenue CDC, providing up to an additional 125,000 in community development block grant funds for the continued administration operation of a housing education and counseling program.

This amendment will also extend the time of performance in the agreement to December 31st, 2026.

This program will serve an additional 340 low to moderate income households.

Now it should be noted that through the initial agreement and the first amendment, um the program was able to serve 709 clients.

126 were in pre-purchase counseling, 50 and post-purchase counseling or the post the post-purchase program.

And then 29 were served in the foreclosure intervention counseling.

And something that was noted to us by Avenue CDC is that the clients are facing an affordability gap of approximately $98,300 between what they can afford and the sales market prices.

Savony Avenue CDC remains committed to equipping clients with the knowledge of various down payment assistance programs that can better leverage and secure affordable housing.

As of January of 2026, Avenue CDC has expended approximately 85% of their allocated funding and served 90% of their overall client goal.

Avenue CDC has received funding through numerous contracts and agreements with the city since 2000.

No findings or concerns are reported during their last monitoring period.

And then 79 clients or households with positive resolutions from foreclosures.

So today we have Mary Lawler, president, and um CEO here, Nicole Cassier, Chief Strategy Officer, and Keanta Carter, the chief programs officer here in the audience.

Should there be any questions?

And this concludes my presentation.

No questions in the queue.

Thank you, Avenue, for what you do.

She's in the fight everywhere when it comes to making sure that people have affordable housing.

She takes some of the toughest projects on.

Um and we're really appreciative of her attitude and her winner and her commitment to I'll say it's to people, but it's also to the toughest projects financially.

So we're indebted to her and her organization.

All right, up next multifamily.

Mr.

Ryan Dills.

Good morning.

Good morning, Chair, Co-Chair, Council members, staff.

This first item, we are requesting a motion to establish a date for a public hearing to provide a resolution of no objection for two applicants seeking a 4% housing tax credit for two properties located in the city of Houston.

Both properties will both be rehabs renovation.

The first one is Sterlingshire Apartments, located at 192 Sterling Shar Street, located in Council District B for families, 200 units, one bedrooms, two bedrooms, three bedrooms, all that's 60% AMI built in 1971.

The second property is Mariposa at Reed Road, located at 2889 Reed Road and Council District D for seniors, 180 units, one bedroom, two bedroom, 30% AMIs, 50% AMIs, 60s and 80s built in 2008.

Next slide.

Texas Department of Housing Community Affairs administers the state's housing tax credit tax credit program per the Texas Government Code 2306, the governing body of the jurisdiction where the project is located, must hold a hearing before the developer can submit an application for non-competitive 4% tax credit.

Next slide.

The housing community development threshold review recommends a resolution of no objection for both properties, which will preserve affordable housing.

No funding from the city.

First step is motion to request a hearing, which will be on April 1st.

Second step will be the hearing, which will be April 8th, and then the resolution will be April 15th.

If there's any questions from the developer on the Miraposa deal.

No, appreciate rehabs.

We appreciate rehabs.

We know that those are tough projects to do.

And I'm going to just assume that the owners rep there in conversation with the council offices so that they can champion these projects and be in partnership to communicate accurately about this process because rehabs has been something that we have advocated for for a very long time.

And so while we love a new construction and love of 9%, but it rehabs, uh, keep our people housed.

I appreciate that.

Thank you so much.

Thank you.

Next slide, uh next two items that kind of go hand in hand, Chair.

Uh this next item here.

We are here to request a motion to establish a date for a public hearing to provide a resolution of no objection for one applicant seeking a 4% tax credit located in the extra territorial jurisdiction in the ETJ.

This project is a rehabilitation project.

This project is Mariposa at Ella, located at 16354 Ella Boulevard, located in the ETJ closest to District B.

It's 182 units, one bedroom, two bedrooms, 30% AMIs, 50% AMIs, 60% for seniors.

Next slide.

Again, this is some of the same information on previous deals, but Protects Government Code, the governing body of the jurisdiction where the project is located, must be hold held in the hearing before the developer can submit an application for a non-competitive 4% tax rate to move forward.

Again, this is a three-step process.

Uh April 1st, April 8th, and April 15th.

No funding from the city.

Developers here if there's any questions on that on that item as well.

Next slide.

And here we're just we're just recommending that uh uh that we move forward to recommending a resolution of no of no objection for this project as it will preserve affordable housing as well.

Next item.

Okay.

I'm gonna move on to the guidelines here.

Uh this next item we're recommending council approval for adopting 2024 uh Derecho and Hurricane Barrel DR24 multifamily housing program guidelines.

Next slide.

The city was significantly impacted by Derecho and Hurricane Barrel intense winds, flooding, power outages.

Both weather events resulted in extensive damage to homes, infrastructure, and businesses.

Next slide.

President of the United States approved the major disaster declarations following the storms of Derecho and Barrel.

Multifamily program budget for the community block grant.

Disaster recovery 2024 funding is approximately 50 million dollars.

The DR24 multifamily program will invest in projects such as new construction, renovation, rehabs, family seniors.

Next slide, please.

The focus will be to provide projects that has affordable rental to low-income renters and to address the unmet affordable rental housing need.

That's it for that item.

I was gonna go on to the guidelines for public.

Next item is next slide.

Yeah.

Okay.

Next item is uh DR24 Directro and Barrel Power Generation Guidelines for all districts.

Housing community development recommends council approval for an ordinance adopting the 2024 Derecho and Hurricane Barrel Recovery Power Generation Resilience Program Guidelines for resilient measures to mitigate the impact of future power outages.

Such measures will incorporate the installation of emergency power in the event of future disasters.

Next slide.

Both were catastrophic weather events, resulting in extensive damage to homes, infrastructure, and businesses.

Both had a significant impact throughout much of Texas, especially Houston.

Next slide.

Next slide.

Program activities will include protection of critical infrastructure for drinking water, wastewater, ensure capacity for fire and police stations, ensure the availability of multi-service centers and or libraries to serve as cooling and heating centers.

Next slide.

Other costs may include engineering and design services, installation of natural gas generators, connections slash switch switching mechanisms for generators.

That concludes my presentation.

Sure.

Then this.

So what URI with the 50 million, I think we did, and this is probably a Derek question, uh, two generators in B and then one in we did three total, one in J and then two in B.

And then I have one from a CIP coming from fiscal 25 that's in route.

So then these guidelines are the same as the guidelines approved for winter URI when we presented power generation guidelines.

Are these the same?

These are these are strict these are specifically for uh the DR24 funding that's gonna be allocated for multi-family use and so for multi-family okay.

So it's it's gonna be multi-family use the first set of guidelines, then the second set would be for it's coming out of our public facilities, the right.

So that's the generator piece that we're got it.

Right.

I'm clear, I'm tracking.

Okay.

We got a lot of stuff moving.

We got a lot of stuff going on over here.

Okay, I'm clear.

Wonderful.

Councilmember Ramirez.

Thank you, madam.

And uh hold on one second.

Yeah.

Thank you for that information.

Y'all, y'all certainly do have a lot of things going.

On the multifamily program guidelines, um, on on the slides, the the actual guidelines are not listed.

Can you send us a link or some of the guidelines to us?

Yes, no, great question, council member.

They uh they're they're um they're on our uh website, and I can get you the website of where they're they're located for public comments so we can take a look at those there.

Thank you.

And uh I I notice the slide says 50 million.

Uh is there a breakdown on how much goes to uh development of new uh multifamily uh versus uh renovation and preservation, uh et cetera, those those big buckets.

Do I have it allocated separate?

I'm uh the plan is to um the plan is to issue out a NOFA, and I'm gonna include uh uh developers that that want to partner us to do rehab and new construction.

That there's no there's no category broken out to separate the two.

Okay.

And on the power generation guidelines, uh same same request.

Can you send us the guidelines or a link to to where we can find them?

Yes and and on this uh power generation, will that be administered by HCD or will OEM play a role in that?

Yes, OEM is playing a huge role.

Actually, OEM, uh OEM uh fire department, um, police department, public works, GSD are all collaborating and they've all uh collaborated on on sites.

Uh the the housing department is gonna work with them to to fund um the hard cost on those sites.

And again, uh that's a significant amount of money going to that more than a hundred million dollars.

Uh and and uh if if it's available, uh a breakdown as well on on your bullet points.

Uh you know, are they going to uh you know water wastewater versus multi-service uh et cetera.

Sure, no, that's a great point.

I can work with Brian Mason, we can get that the breakout for you.

That'd be great.

Thanks.

Thank you all.

Thank you.

Wonderful.

Uh no other questions, but just one.

If you have to get this back to us later, that's totally fine.

So I know we have quite a few NOFAs that are possibly coming on the street, right?

So we have our 2026 HUD allocation, we have a multifamily allocation coming out of that, single family coming out of that.

We have DR24 coming out of this, and so it and and then you know uh Mrs.

Barr just talked about the affordability gap that 98 Delta.

Um developers are applying because it'll be very competitive, um, will they be able to go after home and DR24?

Well, it's gonna be a separate note uh NOFA.

So the DR24 will be working.

Um Derek is like, no.

Little money.

We want to keep the funding separate.

Sure, sure, sure.

Right, right.

But once the bid hits the street, to be able to compete and submit a project for that.

Oh, yeah.

Then it wants to any and then DR24 opens again.

Correct.

Can I compete for that?

Can I capital stack all the bids is what I'm asking?

We don't want to we don't do it all the same.

Separate my cue for good.

It's such a it's such a good question, Madam Chairwoman.

It's uh one of the things that I've been more impressed with as I learn about this is how efficient these multifamily dollars are.

Yeah.

And the reason it's so efficient is the developer gets in here and they try to develop a project, and there is a gap.

And we're able to fill that gap.

And by filling that gap, we get additional affordable units.

More than the gap more than the dollars would buy on an open market.

And that's really the beauty in this situation is that these funds can fill the gap and force that developer into more affordable units than if they we were just on there buying them unit by unit.

No, absolutely.

And so when I came in, I was I was always irritated at the cost of these units.

But the reality is that the way we do it, we're getting more than our fair share for the dollars.

Yeah.

And so I I like it.

I like this system.

I think it's better than we've had in the past when you were trying to say, okay, let's build one unit with just city money.

Right.

And it's it's both expensive and you don't get that extra um land gap with that.

No, for sure.

I no, I appreciate this, and I appreciate those who choose to do business with us to advance our housing goals with multifamily.

And then as this progresses, if y'all can just keep in front of us to your point, director, the gap.

So I it's another opportunity to educate on how expensive it is and how, and although a hundred million dollars is a lot of money to those of us who ain't got it.

Uh, but when we look at the gap in the marketplace and in affordability, you know, fifty million dollars will go just like that.

And um, so it's important that we keep these dollars in front of uh these opportunities so we can stay competitive and keep affordability um um in front in front of us.

So if you can keep that information so we can keep realize that there is a gap in order to get this done, and these dollars are efficient and effective to make sure that we can preserve affordability would be really, really helpful.

Councilmember Martinez is in chambers, and then staff from um at large three as well.

Thank you for joining us.

And staff from Mayor Pro Tim, Martha Castic's Tatum office is with us as well in chambers.

Next up, the money lady.

For the lack of sometimes.

Good morning.

T uh TJ has a one of her um top people, Beverly Um McFarland.

McFarland, excuse me, has a big old sign on her window that says, We ain't got no money.

Um I deeply appreciate TJ's work.

She is uh often the uh least popular person.

When you think the money person should be the most popular, she's sometimes the least popular, but we're we're very indebted to her for her service.

Good morning.

So I have a couple of items.

Um first, let's go through our substantial uh proposed substantial amendment to our fiscal year 26 TURS appropriation.

I was just here a couple of months ago asking for council approval for the appropriation, and now I'm requesting council approval to amend that appropriation.

Um we are requesting council approval to reappropriate five million dollars from our disaster recovery program and homelessness categories to the multifamily and public facilities activities category for any direct program activities, specific contracts will be brought to city council for allocation in accordance with local procurement rules.

So if we go to the next slide, I will explain.

On our disaster recovery program, we originally had $7 million appropriated.

We are proposing that we decrease that amount by three million dollars, leaving four million dollars in that category.

And our homelessness category, we originally had $2.7 million appropriated.

We are requesting to reduce that by $2 million, leaving $100,000 in that category.

And then the multifamily and public facilities activity category, we originally had $100,000.

We are requesting the $5 million decrease from the other two categories to increase in this category, remaining in the category now $5.1 million to be used for multifamily and public facility activities, including but not limited to rehabilitation, new construction, maintenance, utilities, and activity delivery cost.

So just to provide some additional context, what we are looking for is to have these funds readily available for use for the purposes as as described, including the public facilities that help to provide homeless housing for our most vulnerable populations.

We do not intend to use these funds all at one time.

So I want to make that clear.

What we are requesting, we realize that over the next number of years, whether that's five years or seven years, we need to have funds readily available to us in the event something happens and we need to have funds readily available for that purpose.

Um specific contracts will be brought back to city council.

We'll work with GSD and SPD as we normally do.

Um but we we now know the process to make an amendment and to have funds pre-positioned in a certain category for an intended purpose, does take time.

So what we're trying to do is at least do that administrative part first and then let the procurement rules apply to what comes next.

Um and any funds that are not used are gonna come back to you for reappropriation.

So we want to make sure that that happens as well.

Okay, can you walk me back to sort of tracking?

This is not 2409.

This is 20, this is fund 240.

This is 2409.

This is specifically fund 2409.

So out of our 249, which is normally like 17 million or so.

Correct.

So then we're gonna say we're gonna take this five million out of the out of our 17, we have all these categories.

Correct.

We're gonna take this five, and then we're gonna put this in the new fund that was created.

No, no, no, it will still be in the fund 24.09.

Yes, it's just in the multifamily and public facilities line items.

So this is not the new one.

This is not the new one.

Got it.

The new one is completely separate.

Not even not even talking about the new.

Sure.

So we're 2409, and then we have new category.

This allows flexibility for us then to do repairs, assist with the service providers that are helping us with homelessness with XYZ.

Correct.

So then with the funds, so if we're gonna back out the funding for housing subsidy, where do we cover that gap?

So if you go back to that slide and the de-allocation, three slide 37.

Right.

So if we go to homelessness at 22.7, right?

We're gonna decrease two million, we're gonna have 700,000, and that's efforts leading to permanent homes for homeless individuals and families.

Then what's how do we so that would while it would still be covered in within some of the multifamily and public facility because it would really apply to some of the public facility because it's all efforts that are relating here because it's homeless housing.

Got it.

So it's not just about a capital expense.

Correct.

Got it.

Yes.

And so as we worked with legal and really work through what does this mean, it's really about providing those services within a public facility.

Got it.

And so when you start talking strictly services, then we move into our new fund.

Got it.

And so trying to make sure that we keep everything clean and delineated.

Got it.

So that's what we see by the light.

Everybody still happening.

The effort is the effort is still happening.

All things is interrupting at nothing is interrupted at all.

It is purely where is it, where does it, where did where does the expenditure most live correct?

Got it.

So the example that I'd like to give is um when we when the city opened up the navigation center, it had a problem with its roof.

That has been a couple of years.

We have yet to fix the problem with the roof.

And it's a big leak.

And there just wasn't money for it.

This would allow us to do things in a more timely manner.

We don't have it, we don't have any we've got money for that, so that's not coming out of that.

But we don't have a plan yet for how to use this.

This is just a better place to put the money.

Again, we may be coming back to you to reallocate it.

Sure.

And every this is also key, every project will get council approved.

Sure, sure, sure, sure.

So but this is the flexibility.

We're removed, we are getting ahead of a thing.

Trying to trying to administratively, so we'll prepare for the moment.

That's exactly not in panic and rushing the council and doing right.

If our operator at Harmony House uh of Harmony House Navigation cost me one more time and talks to a thole in the roof, I've got a problem.

So we're these are things we want to do as we move forward with uh these number of projects.

Yes.

Um on the effort leading to permanent homes for homeless individuals and families, that is what we're all doing.

Sure.

Yes.

And we have a multifaceted program to get that done, not just 419, but also with our partners at the coalition for the homeless to do that.

So I think over time you'll see, in fact, over the next month, you'll see that program more clearly delineated.

Okay.

Sounds good.

Councilmember Ramirez, thank you all so much.

Thank you, Madam Chair.

So if I understand correctly, it sounds like the two million dollars in the homeless bucket really is still going to help the homeless.

It's just not going to housing personally.

You got you got it.

Yeah.

Okay.

You got it.

And on the disaster recovery, uh, three million uh in program costs that were uh found to be not eligible by by the federal government, I I presume.

Do do we know what what those program costs were and were they covered by other funds somewhere?

So those costs, those costs do still exist, so we will have to plan for those in future years.

What we've done is prioritize the need for these services at this moment.

And so as we close out some of our Harvey grants, we've been able to work specifically the Harvey grant.

And as we work to close out some of our other disaster grants, either we have received an extension, so the need to cover those disallow costs may not be as high of a priority at this moment, um, or we're continuing to work with our grantor to either have those costs be re-evaluated so that way we can continue to work through them to see if we can recover those.

Okay.

Uh, but but if they're costs, so we've already uh we've already purchased the goods or incurred, you know, that that that debt, if you will, maybe debt's not not the right word.

So so we have to pull funding from elsewhere, right, to cover those costs if if if I'm reading the the slide correctly.

You're correct.

Yeah, okay.

Um and I'm just curious, is there uh any sort of uh line item accounting where we can see where all the TURS dollars go and how they get used and where they end up in uh in our housing?

Absolutely.

If if your office would like to reach out to um our office, my team tracks this in a meticulous level of detail.

Okay, great.

And so we can show you back from when we started receiving the tours increment, and you can see all of the program areas by year, by category.

And we can put that on our notes to follow up and make sure we get that to the committee so it's not isolated and we'll share broadly.

Absolutely.

Thank you for that.

No problem.

Vice Chair.

Thank you, madam chair.

Just want to make sure I I'm just kind of get all of this in my mindset.

On the two million dollar, it's still within the general uh allocation, right?

That is correct.

But it's just being removed, the higher dollar, two million of it being removed, but just earmarked for the lead into permanent homes and homeless individuals.

I would you are correct.

I would I would say it is being realigned to a category that best that better suits the nature of the expenditure.

And so it's still moving to in an effort to assist individuals that are going to permanent homes and assisting individuals with our homeless housing, it's just through a public facility.

So it's still assisting individuals that are experiencing homelessness, it's just the nature of the expenditure is through a public facility.

So when we look at trying to make sure that our tours dollars are used consistently with the statute, the expenditure more closely aligns with how we use the definition of public facility dollars versus the expenditure of how we're using it with the homelessness dollars.

Okay.

But ultimately, they are serving the same population of our citizens.

Okay, got it.

Okay.

I'm clear.

Thank you.

It is a little it it is it is very confusing.

We struggled with the wording and how to be able to articulate this for several weeks.

Councilmember Martinez.

Thank you, Chairwoman.

Uh and mine specifically to the uh five a little bit over five million dollars now in multifamily.

Sounds like there's already a project in queue, the navigation center.

Do you all have other projects?

Because I know we have we don't lack projects to have to, you know, facilities that we need to maintain.

My memory is the navigation center is in a different category.

Um do you remember what where it was?

How we're C'est regular C BG.

Regular C D V G is going to pay for the navigation.

Okay.

So we do not have a exact, we don't have a project in this amount right now.

Okay, so you haven't allocated or have an idea of where these dollars are going to be.

Uh because it also says new construction.

So is any idea?

I know y'all are saving this just in case, but I know we don't lack projects.

Yeah, I don't see any, I don't I don't have any new construction, and I think when the lawyers wrote this, they wanted it as broad as possible.

That's correct.

But again, everything comes back to council.

But I don't know any new construction that would be.

That's correct.

And so typically what will happen is the program area teams will put together their NOFAs.

NOFA's also flow through finance as well.

And there will, I will say maybe seven out of ten times.

I'm looking back at Ryan and team will come back and say, TJ, I am at 9.8 million dollars.

Do you have extra 200,000 dollars or something?

Do you have an extra one point?

I think when it came back, do you have an extra 1.1 or something of dollars that are flexible that I could use as gap funding for or a myriad of reasons?

Uh you know, just to be able to fill in this would allow us the flexibility to plug in those dollars to easily fill it and make our NOFAs uh a nice round number.

So this allows us lots of flexibility to do that.

Perfect.

I appreciate appreciate that.

Yep.

No other questions in the queue.

Okay.

Thank you.

Thank you.

Director, the floor is yours.

Yep.

We will cover the DR 17 update.

Uh yes, please.

Thank you.

It's just a small update.

We are this is just a contract update.

You can see we are working through, but if you flip to the next slide, working through this is as of yesterday.

I wanted to just provide the committee just a snapshot of where we are.

We are um busy working with the general land office.

We hope to receive closeout letters for our economic development program, our hope program, as well as our single family new home development program um here in the immediate future.

Uh but for our H for our HBAP 2.0, which is our home buyers 2.0 program, we have had considerable progress over the last month.

I do want to make the committee aware.

Since last month, we have submitted over 1.1 million dollars in reimbursement requests.

So that program is is moving like hot cakes.

Um, and we have received just under a million dollars and approvals from the general land office.

So you can see um very popular program, and we are continuing to see the success there with the general land office.

They've been a great partner of ours.

Okay.

That concludes my presentation.

I remember when this slide would have red parentheses all over.

It would have red lots and lots of red over it.

So we have made considerable progress.

We are looking forward to the end of that.

Indeed, we are.

Yes.

Champagne on me when we do it.

Yes.

All right.

I may buy a couple of things.

That's right.

Moet on the direct director.

Director, the floor is yours.

I I love that comment, and again, I do agree with TJ.

The GLO's been, you know, they they are strict and they are as worried about HUD as anybody, maybe worse more so.

Um, but overall, they've been very, very well with this.

Uh in fact, we had a little snap food last week where the they sent something to Mayor for an immediate meeting, and they just missed some emails from us, and they said, Oh, we made a mistake.

And it was it was great.

It was lovely to have people um comment, but good again, good projects.

Um about 419 emancipation, just a quick update on that.

Uh 419 project continues to advance with strong momentum, very strong.

Uh, this initiative is a critical component of the broader Houston Harris County homeless response strategy.

Uh the facility will complement existing investments and outreach, behavioral health, shelter, permanent housing by serving as a centralized access point for individuals experiencing homelessness, the way I think of it myself as triage treatment and transformation with 222 beds that could grow up to uh nearly 320.

The facility designed to provide easy entry and coordinated care, offering space for triage treatment and transition, along with clear pathways to housing and long-term stability.

Uh, we anticipate prevent uh presenting the selected 501c3 nonprofit to city council for approval in mid or late April, along with the public service programs guidelines in the uh DR24, because they have to go together.

As you remember that uh 30 million dollars will be allocated over a three-year period for for uh 419 emancipation.

Um we're still working on a on an opening date.

Um my calendar says um no later than mid-June.

Uh obviously we'd like to get it open earlier.

Um in conversations with the mayor recently, he said, Mike, it's not like old times.

If you need to speed up something, tell me.

And we did, thanks to Josh Sanders and his team, the DR24 program was approved by HUD much faster than we thought, and that sends a good signal to us that they're willing to work with us on this project.

Um we're literally over there every day with uh partners, and the big news will be when we announce the uh the operator.

Um we expect to have that as uh part of the part of a uh the publication process has to be 30 days before we get to council, so you'll see that in the very near future.

Again, very excited about that announcement, and it will come within days.

Um Director, on this before you move forward.

So there was uh uh a bid for operator for 419?

There was a okay, there was a bid.

There was an OFA for that.

We had really great competition.

And we will give you in fact, I will be able to be able to tell you that in the next few days before the publication.

Sure, I appreciate that.

And then just as an aside, I know um I'm excited for 419, and I know uh there's some others who are as well, and others that may not be.

But I think in order what I'm really interested in is because we are investing deeply in services on site, the timeline for when we can move them throughout the entire continuum.

And so is their conversation about if we're gonna be able to leverage special population vouchers uh once they meet, like you know, after 18 months, 20 months, and it's you know, we've gotten them to a certain uh point where they have case management and consistency.

Um do we have agreements in place while we are working through this?

Very important to us again to get them placed out of that.

Right.

We're in ongoing discussion discussions with the coalition because that's the the 70 million dollars that they get from HUD and this continuum of care, most of that goes to permanent housing.

Um so that's big.

We have we're continuing uh conversations with philanthropy, because since the major philanthropists who want to add to that, that should be an announcement in the very near future.

Okay.

Um and then we will continue to to make sure we do that.

One of the things I whispered to Josh Sanders as we have these visitors from HUD coming, I think could if I could wave a magic wand and change something, it'd be that Houston would get its fair share of vouchers.

You need them.

Just the fair share, not more.

Yeah.

Just the fair share because the my understanding, and I'm I apologize if you don't have the detail, is that those the decisions on how they're delivered, how many to delivered are based on very old census communities.

The form, yeah, the formal is out there.

And and again, Houston and Phoenix, you know, are two cities that have grown dramatically in the last 30 or 40 years and don't have the their fair share.

So we're very interested in that.

Jamie Bryant and I talk about this all the time.

We will have some agreements on that.

Okay.

Because that's an important part of the case.

Yeah, I think the only way for us to really see the the long-term success, because I know there and there is interest, and I know on the West side I've expressed interest of having a facility on the West to address our growing population in need.

But in order for it to all make sense and tell a complete story, we need those vouchers to move through the continuum.

And so I don't want it to be well, we opened it and we were excited, and then five years later, it's the same population of 230, 300 folks that we haven't been able to move, and then we've just we're just housing people with treatment versus getting them through to the navigation center, then to uh PSH, then to you know, stable life.

And so I think um if you can keep us abreast of that, that would be important because I think that's the the real feather in its hat.

Councilmember Martinez.

Thank you, Chairwoman.

Uh I'm also excited about this as well.

Um, you know, and and I appreciate uh all the legwork that has been done, even currently as we're waiting for the facility to open up.

Uh, definitely want to give a shout out to Satterwhite and Terry who've been out in the community consistently, day in, day out.

Um, you know, because there were concerns from the community, uh, and there still are some concerns, I would say.

Sure.

Uh, but to speak to that in the homeless strategy, uh, once once we get the key to the door, uh, there's an operator.

Um, at what point do you see community being able to go out and doing the site visit as well?

Because that was part of the conversation as well, director.

Um I'd like to come back to you on that.

I'm trying to try to think what is it better when it's open or or before it's open uh with the operator.

But I think the next step, the next step is the community should be able to meet with the operator.

Correct.

And I think that will give you a really just tremendous, tremendous comfort because um the operator that was chosen, really both operators that applied, had great experience with people with mental health issues and substance issues, and long-term homelessness issues.

Um as we see this facility, uh, and and this is very unscientific.

I expect, Chairwoman, more than a thousand people would get through that facility in a year.

And the reason for that is how they would be triaged.

Uh again, the the entity that's chosen has an expertise in assessment.

And what we've seen is if you have that, and again, we've had great um expertise in housing assessment.

This is mental health and other assessments.

So a number of people who will come through there will be very short-term people who have not been on the street very long and need just some advice and help, family reunification, all sort of issues, small dollars that will move quickly.

Another group will need more significant psychiatric care, some as significant as Harris County Psychiatric Center and Dunn Center, some less so is 6160 South uh 60 on 610.

They'll need less, and that will be how they move forward.

Uh and then some will be there for a while, but which will need training, additional treatment.

And the object is, as you say, how do we get them into that permanent housing with again housing with subsid with um services, wrap around services.

And how fast we do that is really the success.

Um and I will say the same thing with the navigation center.

It is slowed down dramatically.

We have to figure out, and we have to get some dollars speeding that up.

I feel good about that coming in the next few months.

We've you know, we hadn't had it in the last six months, but I feel feel better about it in the next six months.

On the neighborhood, uh obviously those neighborhood meetings were very painful to me personally.

Um, and that's what it should be, because they were asking hard questions.

Um, and what we promised the neighbors is their life will be safer and there'll be less um disturbances than there are today.

Um we've got uh you know the big news is we uh we had the hot team in the facility yesterday.

Uh they'll be moving into that, I think with eight or ten officers that'll be in that facility, which will make a huge difference to that community.

Yeah.

Um we recognize the community needs additional pull uh law enforcement, and that's why again, Chief Saddle White's been such a great partner.

So that's part of it.

And again, I want to keep saying success, you're right, Madam Chairwoman, success is getting people into permanent housing because just moving people to a different neighborhood is deadly.

And we cannot do that.

I'd just like to say that as you and I think maybe before y'all start operating, uh the facility would be probably best so that way there's an opportunity where uh they're able to have this this more in-depth conversation of the continuum of services.

Uh when you talk about the respite site at 610, and you talk about the navigation center, where that uh uh 419 is is that first step to try and get them into permanent housing ultimately.

But having that very honest, transparent conversation with community, and then to have the hot team there, I think it would be a huge uh uh help as well.

So um just if you can keep us posted, we'd love to partner with you.

I know Councilman Castillo's office um has also been uh very involved in the in the conversations in the neighborhood, and so if we could hold something in uh alongside the housing department, it would be great.

We'll very much need to do that, and again, in the very near future.

Um the other the other addition is uh um we still have I don't call them dreamers, but we still have great um anticipation for other projects.

One of the things is we know uh about 10,000 individuals are released from prison every year into Houston alone, and the Houston Harris County are counties.

About a quarter of the population released overall from um the Department of Corrections in the state.

Uh that doesn't include what happens in Harris County.

So this idea of what happens with re-entry is a big issue.

We're working closely with them.

We are excited about potential Department of Justice grants to work on that.

That's going to be a big issue and a very success.

The other is respirate health care.

We have a couple of grants being proposed on respite health care, which will help people coming out of the hospital who are home who are experiencing homelessness that doesn't that don't have this return return return to the hospital.

Keep us posted on the on the uh re-entry because as you all know, um Greyhound has a contract with TDCJ and they're landing right in middle of Magnolia Park.

Um and so we really want to make sure that uh my team, my office is involved in those conversations to make sure that we're able to get those folks into the right spaces that they need to once uh serving their time as well and making sure that they have an opportunity to have a re-entry uh process that is uh worthy of of being a community resident again as well.

It's not my favorite thing to get beat up, but it's a very educational for me.

We had a meeting with the East Side Management District uh focused on that issue, and it's again it's a great education for me, and it helps me get my attention to the right place.

That's okay, Director builds character vice chair Davis.

Thank you.

Um Madam Chair, um, Brother Rector, thank you for uplifting this information, and I don't think it's gonna be a huge challenge to get a thousand uh through there.

I I really don't, and when we calculate the number of people that are coming out of Department of Corrections and may add the veterans population that we often talk about that is a great number of homeless.

We we actually think the veteran population would be well served by this.

As you know, um we have dollars for veterans to move them into permanent housing.

Right.

And the ones that are on the streets, the ones that had the most severe psychiatric or uh substance issues, and so we think this will be a major way to get them to that house to get that last group into housing.

Correct, correct.

And then, of course, with Dr.

Jones, we just recently did the town hall meeting and so many groups that were attendants, and we get that call all the time, and our participation with veterans.

Um other thing I wanted to ask is on the sub on the partners process.

Because you may know, I get quite a bit, you've addressed the minister advisory group.

We get a lot of fate leaders who are asking questions and people in the fake community about the support um process, uh how that works in terms of them participating and getting involved.

So, how do that what what do they need to do in order to get information in terms of how they get into that process?

By uh competing in a bid to help to participate as an operator to do business or to volunteer and supplement service.

Okay.

Um well, the again, the operator will be chosen, they will need partners and they will probably bring those partners on.

Yeah.

Um, you know, the the biggest partner we is going to be Harris Health, um, and and they hopefully will provide these health care services, and but again, nonprofits will be very valuable.

The other issue is, and I think we've seen this a lot, is uh people in the community want to say we have a neighbor or friend, somebody sleeping on the street, what do you do to help them?

Uh, we will have a process for that for those people to be have a entry into 419.

Um, when you go visit 419, one of the rooms you'll see is a is a room with uh probably 20 or 30 desk.

And our vision is that nonprofit service providers will be right there.

Um they will be there to literally pick and choose candidates for their programs.

And so if you're somebody who, if uh open door mission that requires you to have a uh sobriety for two years, if you see a person that fits that group, they're gonna have somebody right there being able to bring that person in.

Uh yesterday we got a call from a one of the ministers' group who said he had he was working with a number of people experiencing homelessness who need jobs.

Right.

And we have that ready to go as part of this process.

So we think 419 will be a better and more efficient way, sure, to work with all of the entities that provide services to homelessness.

It is a large group, but what the reason we need it 419 is we needed a facility that would take anybody at any time.

Yeah.

Um I say that because we can we won't be any people with um who who are sex offenders there, won't be children, so it's not quite anybody at any time.

Sure.

And to vice uh vice chair, and I don't want to speak for him, but I I do think it may be advantageous for us, similar to how we do before our pre-bid, we have conversations with developers so we can understand barriers to compete and why they don't apply for our funds.

I think for uh the faith community that have an operation that have a certain threshold, it may be helpful um for there to be some type of learning opportunity for them if they have never submitted to do business with the city in this way, and and because we are uh adopting this model and looking at other front doors throughout the city, if they are prepared for the next time or to interface with the prime in a particular way, then you know they can have their negotiations, but if there's some type of way where we can um do some level setting with them that may be helpful, um uh you're right.

But if there's some type of way where we can um do some level setting with them that may be helpful, um uh you're right.

That's exactly right.

And may I add that process, which is what's being asked about too from a contract perspective.

But you're right, madam chair.

The majority of these faith leaders are coming that talking about the volunteer process.

You know, what can we do?

How can we be involved in the process?

Who do we need to talk to?

And you know, we meet, as you know, brother direct, and you came and addressed us, we meet once a month, and we get those questions asked all the time, you know.

So, and then of course, uh Director Siderwhite has been addressed us as well.

So that we'll put it on our list to follow up with the department to just give additional guidance as his team works through how do we make that connection of interest, Councilman Davis, and I hadn't thought about it this way, but uh the uh federal administration is really wanting to work more closely with the faith-based community.

Yeah, and maybe we will need to make sure we get you in touch and find out how to do that because that's a good that's a major issue.

It is, it is, and uh and I appreciate that.

Thank you.

Sure, absolutely.

Councilmember Ramirez.

Thank you, madam chair.

Very quickly, uh directors.

Seems like you've been teasing the announcement of this operator forever, so uh I'm anxious to hear who who it is.

But uh I think I appreciate all the efforts y'all are putting into this and look forward to this facility coming online.

I think it has the potential to help a lot of people and really make uh a dent in our uh homelessness issues.

I will say uh recently I've I've received more complaints about the midtown area.

And so I had a conversation with Director Satter White uh a few days ago, and he said that that those folks there would be one of the populations we would most try to get into uh the facility when it opened.

So we see that in midtown, and I obviously see it from just my I live you have to go through there every day, and there are some issues there, and we'll continue to look at that.

I there must be some changes, something changed in midtown, and which we don't I don't know what that is yet.

Something about the services that are provided there changed, and I just have to find that out.

And we spoke about that a little bit as well.

So I've got a theory, but I'll I'll keep it to myself.

But thank you all.

Thank you, Councilmember.

Um, we have two.

Is there anything else?

We do have two public speakers signed up.

Oh, I do have a lot of people.

Oh, I'm sorry.

I think we interrupted your whole presentation.

This that was very important.

I'm I brought Amy Kindley up uh unprepared.

Amy, will you just give them give the group uh the committee a update on the housing strategy, just where we are and what they can expect?

Yes, absolutely.

Um so we're in about month four of our housing affordability strategy.

This is a joint city-county housing affordability strategy that is funded entirely by our philanthropic partners.

Um, and um we are we've had uh two meetings.

They've been uh our consultants, HRA have been here twice.

Um they've done and completed the housing needs assessment uh and the ecosystem uh assessment, and um now they're developing uh back at their offices um you know strategies that we're gonna look at.

Uh we have also launched um, and many of the folks on the advisory committee and people in the community have received emails about serving on a working group, and the working groups um are starting to uh meet that we believe they'll be meeting in April, probably mid to late April.

Um, and then the the strategy will continue uh development um over the summer with the idea that we should be having a draft around October of uh uh next year.

This year, sorry, this year.

So um we're we're getting close, we're just working really hard on it.

Um again, we believe that this is probably the first housing county-city housing strategy in the United States, which is pretty exciting that we've got such great partners at the county that we can work together on this.

So, yeah.

Thank you.

Uh, real quickly, um I'm gonna again announce the spring 2026 meeting with our terrific council member Tiffany Thomas being there.

Uh those are great meetings, and we look forward to seeing you there March 31st.

Next slide.

Um this is just a let you learn learn recap, partnering for recovery with the Historic Point Chapel Methodist Church.

Again, great group there with uh councilwoman there.

Um next slide.

Uh just a quick update on program process with uh down payment assistance program 2.0 and DR21.

Um again, we're moving, we have a lot of applications.

We are moving quickly to make sure that money is distributed.

I wish that uh it was easier for people to uh to get this, but it's it it does at least it requires a the application before you start doing anything again.

Uh total awarded under the 2.0 is seven million dollars at this point.

Director, as a follow-up, can you provide language around the inactive the 306 just so in just in case there needs to be uh communication as we promote this program to make sure that residents have everything they need so that if they're not if they're submitting in that you know incomplete applications or whatnot, but if there's something particular around the inactive ones, that would be helpful.

Thank you.

Great quiet.

I do not know that answer.

That's a good question.

Um again, upcoming trainings.

Next slide.

Uh May 13th and May 20th.

Again, very important trainings for realtors and lenders on the 20th and applicants on the 13th.

Uh, again, we really want people involved in listening closely.

Uh next slide.

Um the 360 Road to Ownership Program.

Um, we have a uh assistance hours on uh March 19th is the next one from 6 to 7:30.

Uh again, we think those those are very important.

Next slide.

Um just a picture of HCD in the community um with our partners out uh wherever their meetings we want to have a table there, we want to be a role there.

Thank you for the invitations from the various city council people.

Uh next slide.

This is this is the chairwoman's favorite part, just updates on the rushmore on uh on highway six.

Uh again, 68 percent completed.

We're moving quickly on that, and we hope it moves even more quickly.

Um Boulevard, next slide, Boulevard 61 on Richmond, 84 percent completed.

Uh estimated completion is October 26th, can't get done quickly enough.

Uh New Hope Housing Avenue C project again, 95% completed, and we have a ribbon cutting on May 28th.

Hopefully, the new Hope people have invited everybody to that.

Uh last is our slide that hopefully you will send to your constituents about staying informed.

And do we have something that we're supposed to hand out on the spring meeting?

You have that council meeting?

We're sending out me and all the council members that I have flyers.

Thank you.

So you'll get some fly flyers before you leave, and media kits are going out.

Please tell your constituents to come.

We really do listen, and they it's a very valuable meeting.

And now we'll give this back.

Thank you, Mr.

Director.

Um, great meeting, great information, lots of follow-up.

Uh my team has been taking notes.

We'll get with your team and make sure that any of the requests that you've made of the department that we will turn that around um and share outwardly with the committee.

Um, I'm sorry, hold on.

Before we do that, we do have public comment.

Shannon Hunter, I'm sorry.

I was trying to get us up out of here.

Good morning, madam chair, vice chair, uh members and staff.

I signed up to be able to fill any questions on these beautiful preservation and rehab deals.

Mariposa at El Arone and Mighty Plus I had Reed Road.

Do you have any questions?

No, we are excited about rehabs.

Hearing none, I will not get in the way of you in lunch.

Thank you much.

We appreciate you.

And Dominic Mazak, I didn't see Dominic.

Dominic Mazok.

Uh-uh.

I'm offended.

He didn't show up.

Okay.

I'm offended.

Okay, Vice Chair, it's on you.

Just like to remind everyone that uh next I'll be meeting will be April 1st at 10 a.m.

And we'll be sending our dish information.

And uh with that, Chair.

Thank you so much.

Y'all go back to work.