2023-12-14-AC-min - Laserfiche WebLink

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12/14/2023 AC Minutes 2 Mr. Levine noted that a prior proposal to fund the construction of units on Vine St. for affordable housing did not go forward because $5.3 million for six units was seen as too high, and this moti- vated the request for the reconfiguration of LexHAB as a private nonprofit that could acquire and maintain affordable housing at a lower cost. Mr. Michelson suggested that LexHAB would not be prepared to use any funds until the legal ac- tion needed to enable its reconfiguration has cleared the legislature. Mr. Levine stated that the Cary Memorial Library (CML) lower floor renovation is expected to cost about $5.5 million, with $1.5 million to be provided by the Cary Memorial Library Foundation. The CPC allocated its remaining $2.3 million in cash after funding other projects, with the expectation that the Town would appropriate the remaining $1.7 from the General Fund. Mr. Levine suggested that the Committee could debate whether the CPC’s appropriation into the AHT should be reduced in favor of providing more funding for the more imminent CML project, or if the CPC might cover the cost of the CML project using debt. Mr. Bartenstein remained concerned that the annual appropriation to the AHT had risen from $1 million to over $3 million. Mr. Kanter reported that, at the CPC meeting this afternoon, they had confirmed that their intent is to bank the money to fund the future work of the AHT, without any specific plans to purchase prop- erties. Mr. Michelson stated that the estimated balance for the Housing community preservation reserve is around $2.4 million, with another $800,000 coming in this year. This total is close to the proposed $3.2 million CPC appropriation with money that can only be used for affordable housing. Ms. Kosnoff joined the meeting and responded to Mr. Bartenstein’s question about the use of funds for the AHT. She stated that the FY2025 budget appropriates estimated CPA revenue for the com- ing year. Appropriations will support the AHT as well as other requests from LexHAB and the Lex- ington Housing Authority. The CPC request for the AHT will consume the entire balance of the CPA Affordable Housing reserve. The requested funding for LexHAB and the Lexington Housing Authority would come from the CPC’s unallocated funds. Announcements from Ms. Kosnoff Ms. Kosnoff provided updates on several pending issues. Legislation regarding the treatment of opioid settlement funds was passed allowing, among other things, payments from such settlements to be deposited directly into a special revenue fund without appropriation and allowing those funds to be spent without appropriation. The Town will likely ask for a vote regarding the opioid settlement funds this year, and this will help transition to the new process that will no longer require an appropriation. The Finance Department recently filed tax recap information with the State, which will allow the tax rate to be set this week. The federal government provided a clarification regarding time limits on the use of ARPA funds. ARPA funds must be “committed” by December 31, 2024 and spent by December 31, 2026. The clarification stated that in order to be considered “committed”, projects must be under contract by December 31, 2024. This could affect items in the participatory budget for ARPA funds that may be unable to meet this deadline. For example, there is a desire for a dog park, but no site for such a park has been identified to date.