Committee Report CR-2

The Housing Committee held a public hearing on August 4, 2010 beginning at eleven o'clock and twenty minutes A.M. in the Ackermann Room for the purpose of receiving an update from the Cambridge Housing Authority.

Present at the hearing were Councillor Marjorie C. Decker, Chair of the Committee, Vice Mayor Henrietta Davis, and D. Margaret Drury, City Clerk.  Also present were Robert W. Healy, City Manager, Gregory Russ, Cambridge Housing Authority (CHA), John J. Woods, Deputy Director of Planning and Development (CHA), Terry Dumas, Director of Planning and Development (CHA)Anna Dolmath, Housing Planner, Community Development Department (CDD), Cassie Arnaud, Housing Planner/Acting Director of Housing, (CDD), and Linda Prosnitz, Housing Planner, (CDD),

Councillor Decker convened the hearing and explained the purpose.  She invited Mr. Russ to begin the CHA presentation.  Mr. Russ provided the following documents for the record:

Mr. Russ stated that the much-needed replacement of 60 existing units with 70 new units at Lincoln Way and the rehabilitation at Jackson Gardens could not have been done without the funds provided by the Affordable Housing Trust (AHT).  The AHT provided $7.16 million of Trust/CPA permanent funds.  This funding commitment enabled the CHA to leverage more than $50 million in additional financing for this project.

Mr. Russ then reported on the ARRA grants that the CHA successfully pursued (see Attachment A).  He said the CHA has used ARRA funds in the Lincoln Way/Jackson Gardens rehab.  He said that with the LBJ comprehensive modernization, the CHA established a template for measuring the economic impact on the local economy.  The CHA has received $66 million in ARRA funding.  The total will be about $109 million.  The economic impact indicator shows $136 million of local economic activity associated with the project.

Thereafter Mr. Russ reviewed the progress that the CHA has been making with regard to its capital plan. Part of the plan involves transferring projects from state to federal ownership.  The goal is to transfer as many of the state properties as possible, because the operating subsidies paid by the state do not cover the maintenance costs of the housing or capital repairs. The funds are not sufficient to enable the CHA to borrow money to do the necessary capital repairs and pay back the loan from a portion of operating expense money.

Mr. Russ said that he hopes that the CHA will be able to federalize the Manning senior housing next year.  That building can be a poster child for the cost savings that investments in energy saving improvements can bring about.    The second phase of the capital improvement plan will include fixing the leaks at Millers River, and the last phase will focus on the state-owned portion of Jefferson Park.  The CHA does not believe that the buildings can be saved; it will be planned as demolition and reconstruction.  Mr. Russ said that they are taking a great deal of care to make sure that the transition to federal housing does not adversely impact any tenants.

Councillor Decker asked about the expected timeline.  Ms. Dumas said that the CHA is taking steps to get their applications in the pipeline for tax credit funds from the state Department of Housing and Community Development.  They plan to start working with the neighbors in the fall.  Many tenants will need to be relocated during the rehab. Mr. Russ said that he is committed to using some of the funds for expiring use units, which would involve converting some vouchers to "sticky" vouchers.  The CHA is employing 25 tenants as construction coordinators.  The CHA is holding a job fair in the fall.

With regard to the aging in place issues that are the subject of increased conversation in Cambridge, Mr. Russ said that the CHA has established supported service floors in Millers River and LBJ so that elders can stay in their building and neighborhood.

Mr. Russ then reported on the status of CHA new construction projects. The Temple Street Apartments is a permitted project for 42 new affordable family rental units on the site of the Cambridge YWCA's pool building in Central Square.  The abutters, Elaine Cohen and Judge Arnold Ginsberg are challenging the issuance of the variance.  They have appealed every step of the way where there was an opportunity to appeal.  Councillor Decker made the following motion:

ORDERED: That the City Manager be and hereby is requested to keep the City Council informed with regard to the progress of the lawsuit challenging the variance issued for the 11 Temple Street affordable housing development and any other obstructions to construction of the much needed affordable housing for families.

Mr. Russ noted plans for other new developments including 78-80 Porter Road, a 26 unit building in Porter Square, which will be transitioned to affordable housing, and the old Cantabrigia Nursing Home on Prospect Street.  He also described plans for significant energy saving upgrades in several CHA projects, including installation of solar panels and systems where feasible.

Councillor Decker asked the City Manager for an update on the plans for relocation of the CHA offices, the Multi-Service Center and the Community Learning Center to the former police station in Central Square.  Mr. Healy said that his team is close to completing the financial analysis and they believe that the model will work.  He said that the issue will come to the City Council for adoption of a loan order as soon as it is clear that the project will work.  Councillor Decker said that the synergy of uses in that building will be great.  Mr. Russ said that he is very pleased about the possibility of having so nearby two of the agencies with which the CHA works on a regular basis.