Community Development Block Grant (cdbg) Commission - Regular Meeting

I will call the Dane County CDBG meeting to order at 05:01PM. Alright. We have roll. I will look for consideration the minutes from our November 2025. Do I have a motion to approve? I have a first from from commissioner Dancers. Do I have a second? Second. Second from commissioner Gage. Any discussion on this item? No discussion. All those in favor, aye. Aye. All opposed? None. Motion carries. Alright. Sorry. Moving between things. All right.

Then we will go down to reports. So we have the 2026 CDBG Home Funding Recommendations Report as revised, and staff will speak to that.

Sure. Let me share my screen real quick. Okay. So as you recall, at the November meeting, we finalized the twenty twenty six CDBG and home funding allocations for this coming year. And the committee also developed contingencies based upon whether or not there would be an increase or decrease in CDBG or home funding.

And so after we closed out our year of 2025, we averaged out our program income. And the program income is in addition to the estimated CDBG and HOME federal award that we are expecting to get this year. So we included let me just scroll down to that area. So oops, sorry. Bottom right corner, you can see that the CDBG projected grant award for 2026 would be just over $1,000,000 and the projected home award would be $500,000 The highlighted yellow row in that table is the estimated program income for 2026 based on 2025 numbers.

So we're expecting about $150,000 in CDBG funding and $50,000 in home funding as program income. And we are allowed to put that program income back into our programs for the year, and 15% of that can also go to public services. So based on those calculations and the contingencies that were set forth and voted on by this commission, we included the 15% of the program income into the public services. And so you'll see that based on the contingencies, legal action of Wisconsin and focus interruption would get up to their minimum. And then the remainder of the program income for CDBG went up to Project Home, major home repair, as well as access community health centers.

And then the program income for the HOME grant program went to Project HOME as well, because the commission voted to have the contingencies that Project HOME would get up to their minimum, and so that was the first thing that was done. So these items it's not an action item because we do have the contingencies put in place, so we're reporting on how we're utilizing the program income for 2026. So I'll also add that we expect our 2026 grant award to notified of our 2026 grant award probably in May. And so if that grant award is more or less than what we estimated, we'll probably have to make some adjustments again based on the contingencies, and that will happen probably closer to May or June. So any questions on that?

Questions?

Question in regard to public services, CDBG,

is

that showing a negative $5,500 on the bottom line there?

So that was when we did the funding allocations back in November, it just happened that we did go over because that's kind of how we allocated the funds. And with the expectation that we may have program income, which we always do, we just don't necessarily know how much. And I think moving forward, though, we might just put that into the initial allocations rather than put it in now, so that we can award out more funds on the front end rather than changing things every couple of months. So, Ron, that was that was from last November. So the final column is what you see on the far right with the highlighted 12,000.

Yeah.

Okay. Got it. Got it.

Yep.

So just so I understand the timing of what that could look like. So, when grant awards happen annually in May or June, going forward, what we could do is when we start talking about application process and budget for that, we can plug those numbers in when we're initially having those conversations as opposed to holding off until after the fact. Is that what I heard?

I think, if I'm understanding your question, I think it's the opposite. So we're not getting our 2026 grant award or notification of it until May. So we want to make sure that these programs or these agencies can start their grant year January 1. So it's kind of we get our grant award late.

Yeah.

And so it's hard to know exactly how much we should refund out to the agencies. And so we that's why we estimate. Yeah. And this is why, too, and I'll just scroll down, the consolidated plan is so important, because if so we have options later. If we do get more funding, we can go to our contingencies and allocate it that way. And then in future years, can think about if we want to switch that to program areas that aren't meeting those percentages. But for now, for 2026, we're putting that back into the agencies based on the contingencies that were set forth.

You're saying included in the estimate when we actually do the CDBG allocation instead of providing it as a contingency option with poor program income.

Yeah. It's just hard to know, though, in case it goes down.

Yep. That is that was Okay.

Yep. Where I was kind of

leaning towards. Yep.

Or we're better off to underpromising over Over deliver. Yeah. The other way around.

But I see Cindy's point then too, though, is that we're not allocating those when we're looking at the consolidated plan percentages when we're actually allocating funds, though, either. So is that then starting those contingencies? Or we always or maybe that's the way we look at it when we're allocating. We're looking at those consolidate plan percentages and then contingencies are where we feel like the gaps end up being in that year's information. Mhmm. I see it going both ways. Yep. Yep. Yep. Mhmm. Any other questions on the program income allocations? Alright. Moving on to presentation. The information, the CDBG commission home application and review process for the 2027 year already. We're just moving straight on through.

Yes. So let's see. I'll share my screen again, and then I'll put it in presentation mode. K. I put together this PowerPoint for everybody because we have so many new members, and I think it's a good opportunity, to dive into some of the processes that we do throughout the year when we make these determinations for our funding recommendations.

And so then, later, we'll vote if you'd like to join this committee, which is really fun. And so I encourage you all to join because it it is an important piece of our work, and so you have the opportunity to join if you'd like to. So the CDBG Commission has an application review team, and this is set forth in the Dane County ordinance. It's comprised of up to five members, but no fewer than two, that are appointed by the chair, who also accepts volunteers for this committee. Members serve a one year term, and the main function of the application review team is to review applications, score them, which which are submitted in response to the RFPs that we send out every year.

It also includes other RFPs that we issue throughout the year, and so we'll get to that. In addition, the scope with staff and CBBG Commission input is that we also review project areas for funding based upon the consolidated plan. We recommend RFP application evaluation criteria. And we can also discuss or determine other process items like funding limits, allocations, etcetera. We can determine if we'd like to do applicant interviews.

The ART also makes preliminary funding recommendations and holds the in person public meetings as well as public hearing meetings. And just to give you an idea of how much we receive solely through the CDBG and HOME grants it's not including the other grants we receive it's about $1,100,000 in CDBG and $500,000 in HOME annually. You can see we keep an administrative percentage for that. And then for CDBG, public services is always 15%, and that amount is set by HUD. And the other program areas that I mentioned, these are determined by mainly three things, and that's by our consolidated plan, by data.

So every year we report on how we did last year, and that's the CAPER or the Consolidated Annual Performance and Evaluation Report, and then also community input and needs. So throughout the year, we hold several public hearings, and it's an opportunity for the community to provide input and feedback on where they think these funds should go. On the left, you'll see the CDBG In Home project areas. These are the project areas that are in our consolidated plan currently, so these are the areas that we will focus our funding for the five years. And the amount that we allocate to these areas will vary every year depending on how many people apply or how we're allocating those funds to these project areas.

And on the right you'll see other programs and projects that the application review team will also be a part of or has been a part of in the past. In particular, you'll see the CDBG Pro Housing, which is a relatively new grant for us, and we're just now starting the process of thinking about what the RFPs will look like. And that process will start around the same time as the CDBG and HOME programs. Have some Baltazar is here, he can talk a little bit more about that if you have questions about that. But the application review team this year will also review the pro housing applications.

And these will mainly be submitted by municipalities. So it's a different way to look at how we're allocating the funds that we receive through our office. In the past, we've also looked at CDBG CV, which was the coronavirus, the home ARP, and the disaster recovery. And just as a reminder, we looked at this actually just a minute ago, but we looked at this back in November to, with the consolidated plan and the funding categories, we try to stick to this average percentage that is indicated in our consolidated plan. And so that's how we divide up our funding, is by taking the percentage of what our awards are.

So we try to stick pretty close to that percentage throughout the five years. And then it also gives us an opportunity in the next couple of years to determine where we want to prioritize our funds in a certain category if we're not meeting those outcomes or those goals. So I know the application process is a little confusing, and it's pretty daunting. It feels like it lasts all year long. I don't think we ever have a break.

But the program areas, like I just mentioned, they're determined by the staff, the consolidated plan, and approved by the commission. So throughout the next couple of months, you'll see things on the agenda that will talk about some of these bullet points on this list. The application evaluation criteria is also looked at by the Commission. Then applications are submitted by interested parties or agencies in OpenGov, so they apply directly through an online system after we issue the RFP. And when the applications are submitted through this online platform, the application review team reads these proposals and scores each application.

In the past, we've had applicant interviews, so it's an opportunity for the applicants to answer questions that the application review team has or provide additional information if needed. It's not mandatory that we do this. I'm just listing some of the things that we've done in the past.

Can I interrupt you for just a second, Sydney? So I was just doing some math. So for the application review team, I kind of if you spend approximately twenty to thirty minutes on applications, there's 25 applications this year. To be on the application, you probably will spend eight to twelve to fifteen hours before the before the committee meets to review the applications before the interviews. The interviews themselves probably take between eight to sixteen hours depending on how many applicants they meet.

So it is a time commitment when we look at the schedule later, but know that that's kind of what the time commitment ends up being, anywhere between eight to fifteen hours probably on the front end and then at least another sixteen in interviews and probably another three or four in just meetings to discuss what the allocation is afterwards. So it is not light. It is very important. Obviously, we were all through the process last November, but there is a lot of time commitment to being on that team. And I will hope to submit five people to be on that team, please.

Mhmm. And, you know, as I'm going through this list, and I these are listed here because this is what we've been doing for the past, I don't know however many years, but there are components in here if the application review team thinks like, let's do this or go this way or change this, that's totally fine. So if we're talking about a time commitment, there can be other meetings of the application review team prior, to doing the allocations to discuss some of these aspects of it. In fact, I will probably schedule some just so we're all on the same page. These are all public meetings, so it's not like we're meeting to determine the future of all this in a closed session.

But these are things that are typically done. But thank you for that, Taylor. That's important. So the application review team, they make preliminary funding recommendations. And for those of you that were here, it's probably last September, October, there's the first meeting where the art presents their recommendations.

And the commission can accept that, change that, send it back, whatever they decide to do. But then once it's voted on, the next meeting is a public hearing, where then the public can provide input on how they think the funds should be spent. All of these meetings are open to the public, and they can provide input at any time. But the public hearing is a requirement to go through this process. We also publish these recommendations in the Wisconsin State Journal, so there's an opportunity for others to see how we're allocating these funds.

And then, of course, it goes through the legislative process by resolution to the Board of Supervisors, which also takes a while. So this is why I have the timeline. Again, we don't have a break, so we're already starting for next year. But we appoint the application review team. We could look at how we did last year, and we determine our project areas. So we're kind of, like, working for the next year by looking at what what we did last year. Look at the evaluation criteria. We issue RFPs. And again, this year, we'll be issuing RFPs for the pro housing. And maybe later, Baltazar, you can speak to that.

It's a little bit different. We hold RFP workshops for the public. I encourage any of you to attend if you're interested, and it's just an open session. People can ask whatever questions they want. We go through a pretty thorough PowerPoint on how to apply for these funds.

So this is before the RFP is, we do one before sorry. We do one before the RFP is issued, and then we can hold other meetings if needed. And, again, the application review team reviews and evaluates the applications, holds meetings. The commission approves it, goes to public hearing, and then we go through the resolution and legislative process. So that's kind of a snapshot of the full year.

Other notes. I mentioned the legislative process. This could take several months depending on when the board meets and the committees meet. And then we go through contract drafting and signatures. This also takes at least a month or so, because we're also waiting for the county exec signatures after that.

And then, most importantly, we don't get notified of our federal grant until usually May. So at that point, we're able to kind of adjust funding, if needed, based upon if the grant awards increased or decreased. And once we're notified of our federal award, that's when we work on our annual action plan. So it's basically our application to HUD to say, here's what we're doing for the year, and this is how much money we're allotted but we're also applying for. So we have sixty days to turn that in.

And then HUD then takes another month or so to then approve that and then give us our funds through our grants management system. So the application review team will select the new committee tonight, and then we'll also talk about what those reviews would look like, have additional meetings throughout the year, and then I just mentioned the pro housing funds. We'll talk about that. Does anybody have any questions about the process? This is a very condensed version, but happy to answer questions before we start appointing committee members later.

Do we expect the CDBD Pro Housing applications to actually increase the amount of overall applications then?

It'll be a separate RFP. Okay.

Mhmm. Yep.

So your question is if there will be

So the review team isn't necessarily just focusing on 25. You should really be thinking about 25 plus

in pro housing. Yeah.

Just in case.

Yep. Yeah. Do you want to speak to the pro housing?

Yeah. Just really quick. And especially this year, we're looking into distributing $1,000,000 to five to seven municipalities. So obviously, we are going to be putting together an RFP, and that will increase the number. One thing that we were thinking is for that process to be maybe a little bit quicker than the typical one.

We are going to be we're planning on putting the RFP out there kind of the same time around May. But one of things that we wanted to try to talk to the team to see if we can then shorten that time. Because we already have a relationship with the municipalities, it's going to be a different type of RFP.

And do want to say a little bit about what this funding is for?

Yep. Yep, I can do that. And I have my notes here. And Joanna, if I'm making any mistakes, please, yeah, jump in. So yeah.

So the Tenthane County will receive our our division, the CDBG Home division received $7,000,000 from HUD to fund the pro housing CDBG program. Pro housing is obviously to remove obstacles to housing. We have until 09/30/2030 to be able to use those funds. Out of those $7,000,000.1000 dollars is going to zone and code reform, dollars 2,000 is to fund emerging developer capacity and then 1.7 to fund infrastructure and development. Obviously, there's a lot of more that goes into that, but this is a new program, and we're very, very excited to be launching it.

Right now, we sent we are trying to gauge interest of the municipalities to see how many of them are ready to start making some zone reforms. And yes, we sent an interest form last week. So far, we have received ten nine responses. And one of things that we are trying to do this time also to try to with ProHouse and especially with the municipalities, to try to set up some office hours and also try to set up some sessions where you know, if any of them need any technical assistance, we can then provide that even before the RFP. So by the time of the RFP, these folks Yeah.

Know, you know, how they are gonna be working on the application and and do they have the the plan. And also for us to know how many municipalities are there who are looking into doing this type of work and do we have enough funding or or not. And how also, how can we help partner them together if there

is

an opportunity? Anyway, partners of that is San Prairie, Monona, Fitchburg, Mount Hearth and the City Of Madison. They supported us with some letters of partnership, when when we applied for that funding.

Got it. So just to clarify then, this, pro housing, that is coming is, the people who will be filling out that application will be municipalities, I'm assuming, and not, like, organizations like Project Home. Is that correct?

Yes. Yeah. So so so so that will be municipalities, then we're gonna be doing another RFP for developers who are gonna be doing construction. But, yeah, it's most mostly municipalities.

And then all these meetings are public? Yeah. Does the the the commissioner that whatever. They don't evaluate confidence or anything else?

No. You when you read your applications and evaluate them, you'll be doing that on your own time, not in a meeting. That's the only But

all of your notes are public or are Well, your handwritten notes. Your handwritten notes aren't. But when you put notes into, like, the OpenGov system It's a record. That's what I'm trying to say. Yes. It's a record. So yes. Okay. Any other questions on the application our team, and the review process?

So I'm someone that likes to learn kind of, like, from experience. And I like kinda like putting myself kind of in the shoes of someone that would, like, fill out an application, would that be something that I, I or any of the commissioners could get just to kind of go through and see kind of, like, what it's like to kind of step into the shoes of someone kind of filling this out?

So that's something the application review team is they actually look through all of the questions for that will be issued the RFP process. So that's one of those things that you'll read through the questions and look at those as part of the application review team. I will say until after you're reading 25 of them, sometimes you realize that less is more. And that those are some of those comments. So that was even after we got done last year. There was a couple of things I sent to Cindy, and I was like, okay. I think these are additional things that could be looked at too. But, yes, that is part of the process, actually, is we're doing it.

Yeah. It looks like April is when we traditionally look

I at doing would say it is that is probably one of the most important steps that I don't think people realize, too, is looking at those applications before they're issued. And does it have the appropriate information to evaluate

them?

So any other questions? Alright. Then we will move on to the Main Street Homes project background.

Maltaza, are are you presenting first?

Yeah. Okay. So we can if we can bring

You want

me to

share that? Okay.

If we can bring them up.

I saw Sean's

online too. Sean.

Remote the other

Remote the other two. Yeah. Okay. While we start, I can go ahead and provide a little bit of a background about the Main Street Townhomes project. Dane County utilized a community development block grant disaster recovery funds for CTBGTR, funds designated to the state of Wisconsin to support the construction of Main Street townhomes.

The townhomes are new affordable rental housings in the village of Oregon. CDP GTR, also known as a disaster recovery, funds assist communities recovering from a presidentially declared disaster. In response to the twenty eighteen storms and flooding that impacted Dane County, Congress appropriated CTBGDR funds to support recovery. The funds addressed the increased housing cost burdens and a limited rental availability, that's a difficult word in English, resulting from the disaster. So with that, we have know, for our second public hearing, we have, Sean O'Brien and Scott Yingins.

They are gonna be talking a little bit about the the project. Scott, do you wanna introduce yourself?

Hello, everybody. I'm Scott Jennings from Veerbecker. Hopefully, you can hear me alright.

Yep.

I I came into the project here a little bit later on to assist with Northpointe and Sean and making sure that all the benchmarks for the grant administration, have been met. We've got to work with, meet and work with Beltazar. It's been very enjoyable. So I'm excited I was kinda excited to see this project progress through and get to its final stages. I

have a question. Is this the state, Doctor Bunny, and they just pushed it off on you?

We applied for it.

You Okay.

Okay. Alright.

Of course.

Technically, they push it off on us,

and we push it off

on Scott.

Okay. Just wanna just make sure we're all on the same page here. I just wanna know what money it is. Okay.

Hello, everyone. My name is Sean O'Brien. I'm with Northpoint Development. And I do have a handful of slides, just to give you a little more background about the project, kind of where we are and how we got there. So let me just share my screen.

Alright.

Can everybody see the presentation that I'm now sharing, hopefully?

Yes.

Yes. Yes.

Alright. So Boltazar gave a little bit of a background on the project, and I'm just gonna move my little picture icon out of the way so I can read what's on my slides. But this this, this project all started, when we were working with the village. They had a site, that they had currently owned on Main Street. It was two two forty nine North Main Street.

And they've owned that for a little bit of time, and there's been a couple of different proposals that, we're going to utilize that space, one of which was going to be the community library that ended up getting moved. And so then the the village was looking for, RFPs to develop this site. And so we we approached the village with a a plan to develop 24 townhomes, and I'm sorry. It says four two story buildings that ended up being three. But we we ended up building three two story townhomes with twenty four three bedroom units.

And one of the things I think is really neat about this project is just the the unit type that we created. So in Dane County, certainly, there's a lot of apartment development that's going on right now. Certainly, a need for workforce and affordable housing, so we kinda check that box. But when you see a lot of these larger apartment buildings that go up and and create new homes for to people to live in in Dane County, you're seeing a mix of studios ones and twos. So what we thought was, you know, really cool about this project were that we would be creating, you know, an entire community of of three bedrooms.

So, basically, building a new neighborhood. All of the units all of the units are townhomes, so they're two story. They all come with their own garage, single car garage for the tenants and included with a a washer and dryer, dishwasher, all of the common appliances that would come along with the housing. And so we're really excited about it. Of the 24 units, we have five units that are set aside at thirty, ten at 50% CMI, and nine at 80%.

So we do have a range of incomes. For the CDBG Doctor, all of the units are considered CDBG eligible units, because the the test there is, you know, 50% or 51 of the total project has to be, leased to, you know, families that are at or below 80% of CMI. So we're able to really kind of, you know, hit, that mark pretty well. The project also has significant green space. So part of what we did with the village, we bought just a portion of the site, probably about two thirds.

And then the remaining, three fourths of an acre is it has been dedicated back to the village. And one really kind of neat note is, one of the things that we really had to work through with the community that they're really interested on was how we were gonna save these two beautiful oak trees that are over a 100 years old. And so, you know, we're three months into completion, and those oak trees are still alive. So I feel like I did a good job. Mhmm.

But, that that park is, you know, gonna be such a great amenity for the tenants that are are living there, but also for the village as a whole. Our project also has, an MOU with Lutheran Social Services to provide supportive services at the property. And this site is just it's really well located, you know, across the street, basically. I mean, across the street and behind, you know, row of homes is, two of the elementary schools in the village. The high school isn't too far away and, just a short walk to kind of, like, the main downtown area.

We did, also, I would just kind of highlight on the green building focus. So we did work with Focus on Energy for their design assistance program. We did get a Wisconsin Green Build Home certification on the project, and we're certified for ENERGY STAR and EPA Indoor Air Plus. We opened the project in November 2025, so just a few months ago. We already have 19 of the 24 units occupied, and have names, and applications for the remainder of the units, which is really exciting.

It kind of shows that need and kind of filling that need, especially during the winter months, you know, to be able to fill up those townhomes so quickly. Just a part of the you know, just kinda finishing up here with the project, we did not have any relocation of residents or businesses. I know that that is has been a question that has popped up on some other projects, and certainly, something that we were to happy happy not to have to deal with. Again, it was vacant land. And then one of the other added benefits, most of our, you know, contractors and subcontractors are all local.

And we're able to through this grant or this loan, the CDBGDR, we were able to pay Davis vacant wages to all of our contractors and subcontractors, which is what Scott has been so helpful in verifying that all that paperwork, you know, is in order. And then, you know, just a couple of other quick highlights. Our total development cost is about 10,700,000.0. Townhome construction has gotten a little bit more expensive than when I started doing development about five years ago, but we had significant county assistance enabled to make that work. You know, I I remember a few years ago sitting in front of this committee requesting our $200,000 in home funds, But then, you know, really, the CDBG Doctor of the 1,500,000.0, really kind of came came in and and saved the day and and made the project what it is.

So we're certainly appreciative of that. And then, you know, here was our original site plan. You know, as I talk about the schools, they're kind of right over right here. So, really, just across the street, downtown is is right down here, and then the grocery store and some other, you know, I said quick food options are maybe a half a mile, north of our site. And so here was our site plan, three buildings.

The park is down here. Here are two big trees that we were able to save. And then here is the the finished product. So I know that we had a handful of folks, from the committee join us for our kind of little soft opening, but you can see, you know, not only does it really kinda fit well into the neighborhood, but it also I think it looks pretty sharp. And, you know, some other quick, you know, up close photos of a couple of the buildings.

Interior wise, you know, I I think we did a really nice job to build a nice home. As you can see, the stainless steel appliances, backsplashes, quartz countertops. All of our, apartments except for the ADA accessible have all three bedrooms upstairs, so there's that nice, you know, split of space. And then here are just some other photos of, like, a bathroom and one of the bedrooms. Again, washer and dryer are included.

And, yeah, so that's all that I had to share as part of my presentation, and, certainly, both are I'm I'm here to answer any questions, if the committee has any, but, you know, really appreciate the partnership. I think we, you know, built something that, at least I'm very proud of. Hopefully, y'all can be as well. And, yeah, I'm here to answer any questions.

Thank thank you very much, Sean. And before we go into questions, I'm gonna just talk a little bit about the the continuous need of housing in our community. But before I go there, you know, really, from from my perspective, thanking you and Scott for all the work that you folks have done through that project. I love that project, and I think it is amazing to see when we were there and folks started getting coming into the project, some of the tenants when we were finalizing some things. But I also want to recognize the leadership of Joanna Cervantesen, Caleb, who have everything ready by the time I can be came in and really help to really push this and, you know, this this commission that really jump into the the opportunity for that.

So I just wanna talk a little bit about, you know, the the need of housing as part of this public second hearing. According to the N County, regional housing strategy keeping up with, first, forecasted growth through 2040 will require about 7,000 new housing units per year, including 3,300 owner units and 3,700 renter units, with annual targets of seventeen sixty five affordable rented units and 300 affordable senior units. And I know these are a lot of numbers. Today, there's also a major affordability gap. The county needs 13,300 additional rental units affordable to households at hour or below 30% area median income, generally households earning under $35,000 There are 18,860 renter households under 30% area median income, but only 5,550 units affordable to them.

As a result, one in four households is a housing cost burden, and over 40% of these are severally cost burden, spending more than half their income on housing. And even though the need continue being a response, the Housing Access and Affordability Division continues to play an important role in this work in partnership with this commission, municipalities, nonprofits, developers such as North Point, the ten county regional housing strategy network, the state of Wisconsin, you know, through which these funds were aborted, had another community stakeholders. Some of the programs that are helping, to ease this burden are programs such as pro housing, which, you know, we are deploying this year, new construction, home building, major home rehabilitation, minor home repair, mortgage reduction, and TEBRA, our tenant based rental assistance program and also housing stability. These tools that help expand supply, preserve existing housing, and support households working to stay established and housed. So that was all about the need of housing in our community, and now we'll take it back to you, folks.

I just wanted to comment that some of you might have been able to attend the, I guess, soft opening of the Main Street townhomes. And Sean, Scott, you did a really nice job. I think that area is perfect for this type of housing, and I was really impressed by the structure, the layout, the interior. So thank you. Good job.

Thank you.

Alright. Any other questions?

So these are loans. Right? Deferred Yeah. And secured by mortgages. I'm assuming anything else. Okay. So what happens when, they're repaid? You know, again, this doesn't do and typically, a developer won't repay them because it's zero interest and everything else. But let's say the building sold or another investor comes in. Does that money get recycled then back into that program, or do does it go back to the original funder?

What happens with that?

Joanna, do you wanna speak to that?

Yeah. Hey. Hello. Good question. So what happens is it becomes program income, and then we have to report that back to the state. And then it's the state's prerogative whether if they want us to reissue those funds or if they want to collect on that money. And so it is not intended that it's 100% Dane Counties. We'd have to check back with the state on what their wishes are.

Okay. And then is this particular funding tranche, this is there is no more money in this. Right? The disaster relief?

We received just shy about just shy of $2,000,000. It was, like, $1,997,000 and some change, if I'm not mistaken. 1.5 went as a loan to Northpointe, and that was in the development construction of the project. We have just shy of $500,000. That is helping to pay for, like, staff time.

So it's a administrative cost that we're able to pay. How we're able to pay for it is Bardasad is a part of the project in, like, the in the compliance of the program, and so that's where the salary is eligible. The other part is we're currently in discussion with the village, North Point, and the stage as to how can we spend down the remainder of the funds. And so there's some things in the works that I'm just not comfortable speaking in a public setting quite yet until we have, finalized, you know, what the final goal is on those funds. But we are we are in talks of of, like, potential ideas on how to spend it down.

If if that isn't successful, well, then what happens is we give the money back to the state, and then the state does what they wanna do with it since it is their their funding directly from HUD.

Alright. And then this pool of pro money that's coming for the coming year, that's a different pool of money with different uses.

Correct?

Yeah. So that's a different pool of money, different usage. This money is coming directly through the state, and the other money is different usage. The other money we have until 2030 to spend. This money we have until the end of this year, October, to spend.

Yeah. And how this project was selected, you know, North Point had gone through two separate RFP process on the same project, one through the home process and then the other one through the affordable housing development fund project. When the state first approached the county, they told us, you know, we have approximately $1,500,000. We are looking for a project that is shovel ready that can be complete construction by 2026, and we need ideally in the vicinity of Oregon. And it was almost like a perfect fit.

The fact that this Main Street Townhomes had already gone through two separate RFP processes. We were already invested ourselves through the funding with the affordable housing development fund. And so when we applied together, the state came back and said yes. And so it it was initially, it was supposed to be one point five, and then they came back at, you know, close to another half $1,000,000 more. So in a word, now navigating, you know, how do we how do we spend down the remainder of the funds? And it worked out for all parties. As Sean mentioned, it helped it helped the project significantly. And then on on our end, yes, we are incurring costs, but we're able to build that back to the state. And so it wins it's a win for everyone.

Thank you.

So about Faizaar, Sean, and Scott, thank you guys again for working on this project. What are your kind of, like, next steps for kind of your project, and what types of reportings are gonna mean need to be on taken?

For for this project? Yeah. The the state has we do we do report and all the work that we report at the Davis Bacon. We report and the type of wages that they receive. We report on all the data.

But yeah. So it's just like every every other I think twice a year, we have to provide report. This second hearing is part of, you know, a requirement for us to be able to make sure that that we comply. The other thing is that one thing that we need to do is make sure that there is a fair housing, that we promote fair housing. That the place, the Main Street townhomes, they also follow all of those requirements as well.

Got it. So you don't actually have to report anything to HUD directly. The state will do that for you. Is that correct?

Yes. So we this this funding was a little bit different from the typical funding that we received through through HUD. This one, we receive it directly through the state, and we do the reporting directly to the state. We submit invoices to the state.

Yeah. Well, I wanna comment. So I feel like in Dane County and where we live, obviously, Madison has its own kind of issues with housing. But something that I've noticed a lot of the times is that especially where, where the project was built, Oregon, Fitchburg, and Verona tends to be kind of like areas where it's just single bed homes, a single bed, or studio apartments solely to kinda encompass the epic campus and all of the employees kinda moving there. So it's really awesome to kinda see kind of the money being invested to kind of diversify kind of funds for housing, especially since Dane County is not anymore kinda just like a college kind of like, Madison and Dane County is not just a college town.

A lot of families, particularly in Oregon, want to move there and benefit from the really good school district over there.

And if I may add to some something there. One one of the reasons why I personally really love this project is you know, one one of the reasons why I personally love this project is because it's near downtown of, Oregon. You know? And I think that's one of the things that Northpoint, has done a great work, you know, bringing our community into the downtown, into the heart of Oregon. So I think that's that's really, really cool. It's really special.

Any other questions or discussion on this?

I just was interested in how you decided on the the unit mix.

That's Tashan. Are you talking still about the 30%, 50, 80%? Correct.

Yep. So we are using what's called income averaging. And so, I wanna say about four, five, six years ago, some of the rules changed for what's can be deemed as affordable for low income housing tax credit projects. Previously, it was anything at 60% of CMI or below. Now you can you can income average to 60%, so you'll see that, you know, some of the units are at 30, some are 80, some are at 50.

There's other grants that we applied for that also kinda drove the unit mix, but I think our average is about 57% of CMI, which is just right under the the the requirements that that HUD established. You know? So, you know, nine nine of, no. Let's see. There would be 15 units that are at 50% or below and then nine units that are, at 80% of income.

Thank you.

And one one thing that I just need to mention, you know, I think that the work that we do, we just enter and and I think, Sean, that does the same. We just don't build and then, you know, leave. We have annual Inspire inspections. And for those who do not, you know, Inspire's inspection services nationwide, which we go back every year to make sure that the units are safe safe for our the people who are gonna be living there. So that's one of the things that we just know, we we make sure that that we continue doing that.

And we do that with all the properties where Tain County, our division, has provided any type of loans. So again, not just build it and let us see what happens. Now we continue working to make sure that the places are in great conditions, not just basic conditions, in great conditions for our community who are going to be living in those communities. Any

other questions? Alright. Then we will move on to the public hearing. So, I will open the public hearing, on the CDPG Doctor project at 05:52PM. There were no people that registered online.

There was one more registering after I sent out the report, but they are

Okay. I'll just say to Sean, I'm glad that you guys could utilize these funds. I'm so glad that Dane County took on utilizing these funds from the states. Nice little story there with that too. So glad that the project's built and the money's used in Dane County. That is thrilling. Alright. With no comments, then I will close the public hearing at 05:53PM. Alright. Thank you, Sean, and thank you, Scott.

Alright. So then we will move on to action items. So to the appointment of the application review team, I kind of and I told staff this. Sun Prairie is planning on department is planning on applying for the pro housing grant, so I'll have a conflict of interest on sitting on the application review team this year. So I am out on myself. Before commissioner Dancer left, he did ask to be nominated for that committee. Are there any other people that would like to be on that committee? I would love there to be five.

Let's aim for five. Yes. Because

and also one thing to think about because this happens is kind of look if you want do you want to pull up that who we gave funding to? If you think that you have a conflict of interest in being on a board of any specific entity that has applied in the past, that's probably a good indication to not be on the application review team, to make sure that you don't have any conflicts of interest. That has come up before. Sometimes, organizations do apply. I know a Legion, group applied a few years ago, and, we had somebody that was a member of HealthLegion, and he had to recuse himself from being on the application review team. But just so I

think you can recuse yourself from just and you might have just said this, but just from reading and scoring that application. True. Yes. Not from the whole entire committee. Gotcha. Gotcha. Gotcha.

Or if you volunteer in organizations? Because I I volunteer at WIVIT, for example.

I think volunteering, I think, is is fine. I mean, that's a of

a financial instance.

Yes. Yeah. If you're in charge of allocating their funds or their budgets or something, I would say that would be probably

no. Okay. So Tim is raising his hand too, but I'll just

Yes. I'm willing to be on the committee.

Thank you.

This is Kathy Camp. I also would volunteer.

I'll take an alternate even if there's more people that wanna be on the committee too.

I'll do it.

You will do? Alternate. Yep. Okay.

Are you gonna do

want me to for yeah.

Yeah. Yeah.

We'll split it up. How about that?

Yeah. We'll split it. Okay. I'm really looking for one more at least. And I know, like, supervisor Glaser, I don't think is on tonight. He was on the committee last year, so he might be saying no. I'd be interested. Okay. There we go.

That's an amazing learning opportunity

It is. For everybody's

It is.

Yeah.

You I don't think you really understand what this committee does until you've done the whole application review team process.

Sorry. I don't wanna see it.

You know?

You say Kathy is an alternate or Kathy on the

Kathy, would you prefer to be an alternate or on the committee, actually?

I I can be on the committee. That's

fine. Okay. Perfect.

Whatever you need. Okay.

So right now, I have wait. Do I have six? Did I miss six?

I think there's six.

I did. Thomas. Yeah. Yes. I did.

See.

You right? You said yes? Yeah. Okay. I'm right right now. I was like

Now my schedule is kind of a mess. Could I appoint myself? Or I don't know if if you do appointments, but could I recommend me being the alternate of the group?

Sure. Yeah.

Because I don't know. Coming into 2026 with political work, I don't know if I

Yep.

Can really give a lot of Yep. You can. Moment. But I would I do wanna, like, see the application all in all of its bureaucratic glory. Yes.

Alright. So for I have nominations for commissioner Dantzler, commissioner Keft, commissioner Camp, commissioner DeGaullen, and commissioner Gunderson with an alternate being commissioner Dare. Alright. I'm gonna make that motion to appoint those people to the application review team. Can I get a second?

I'll second.

Second by Jeremiah. Any discussion, questions on that? All right. All those in favor, aye. Aye. Those opposed? None. Motion carries. Thank you so much, everybody, for being on that application review team. Alright. And then the last action item is reviewing the 2026 CDBG calendar. Don't I don't see any issues with it. Does anybody see any holidays that maybe meetings are overlapping with or something that got missed potentially? No? Alright. Then, otherwise, does everybody I'll make a motion to approve this 2026 CDBG commissioner meeting calendar. Do I have a second?

Second.

Second. Commissioner DeGaullen. Alright. Discussion? None? All those in favor, aye. Aye. Those opposed? None. Motion carries. Awesome. Alright. And then our last item. So our next meeting is February 3 and the team has moved. We have moved. So the meetings will no longer be here. They will be at the Dane County Job Center, 1801 Ayberg Avenue in Madison.

Does everybody know where the job center is of Ayberg?

Okay. Alright. And I'll actually be gone, so permission to go and will be chairing that meeting for me. So alright. Alright. Can I

They're putting on their best behavior?

Yes. For sure. Can I get a motion to adjourn?

Motion to adjourn.

To go in first. Do I have a second? Second. Second by commissioner Gage. All those in favor, say aye. Aye. Those opposed, none. Mission carries. Meeting is done at 05:58PM. Thank you, everybody.