09-05-2023 HRA MIN - Laserfiche WebLink

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Housing and Redevelopment Minutes Page 2 September 5, 2023 6.1 HRA Housing Rehabilitation Loan Update Mr. Mollan presented the staff report. 6.2 2024 Budget Mr. O'Neil presented the staff report. Commissioner Ovall stated he was not in favor of increasing the amount of the budget allocation line item for Property Acquisitions from $200,000 in 2023 to $255,000 for 2024, especially considering the cash balances. He questioned the need for an increase at all but would defer to the rest of the commission. Commissioner Larson -Vito commented that considering the cash balance, she supported the budget as it's written but could be convinced either way. Commissioner Wagner stated she supported what was proposed and felt there was an opportunity with some properties as the HRA looks to redevelop other areas, stating it felt important to be prepared to do so. She felt the HRA was good at holding the line the past few years since the pandemic and while no one prefers a budget increase, it does have a future redevelopment purpose. Chair Chuba stated he tends to agree with Commissioner Ovall but noted they have not had a budget increase in the past few years. He supported the increase, noting you never know what opportunities might come up. Commissioner Ovall stated they do have a cash balance on the balance sheet and noted there are other ways to fund and repay, or borrow money, for future property acquisition, noting there was no right or wrong way. Commissioner Wagner asked if Commissioner Ovall wanted to offer a different option to the budget. Commissioner Ovall stated his alternate option would be to keep the same amount as the 2023 budget so there would be no levy increase, decrease the property acquisition fund to maintain that balance and lower it by $108,000 to build a cash reserve. Even though the HRA knows what the fund will be used for, they don't have a specific site or plan chosen with a variety of different initiatives but no clear path. The HRA discussed options with decreasing the Property Acquisition Fund and considering the funds coming in from the sale of Main and Gates. Commissioner Larson -Vito would support a decrease as Commissioner Ovall suggested. Commissioner Wagner would also consider it but doesn't want to pigeon -hole the commission where they can't make a move on a property that becomes available. She asked staff for figures to make the budget remain the same as 2023 and does that affect staff s work for 2024. Mr. O'Neil commented that it's prudent to keep a reasonable cash balance and explained the I01EBEI I r��ru��