HomeMy WebLinkAbout10/19/1998 Work Session
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MINUTES OF THE WORK SESSION MEETING OF
THE SPRINGFIELD CITY COUNCIL HELD
MONDAY, OCTOBER 19,1998
The city of Springfield council met in work session in the Jesse Maine Room, 225 Fifth Street,
Springfield, Oregon, on Monday, October 19, 1998, at 6:00 p.m., with Mayor Morrisette
presiding.
ATTENDANCE
Present were Mayor Morrisette, Councilors Ballew, Beyer, Dahlquist, Leiken, Maine and Shaver.
Also present were City Manager Michael Kelly, Assistant City Manager Gino Grimaldi, City
Attorney Joe Leahy, Senior Management Analyst Rosie Pryor, City Recorder Julie Wilson and
members of the staff.
1. Reallocation ofCDBG Funds for HIV Alliance (Formerly AIDS Hospice Service).
Housing Program Specialist Kevin Ko presented the staff report on this issue. The city of
Springfield allocated $20,000 in CDBG funds in 1992 to assist with the purchase of an AIDS
hospice home in Eugene to serve residents of both communities. The home has recently been
sold by HIV Alliance. In order for the Agency to fulfill its contractual obligation to the city, it
must, at the city's option: (i) repay $21,500 to the city, or (ii) continue to provide services to
Springfield residents. HIV Alliance is requesting that the city of Springfield allow the agency
to use the funds to continue to provide housing and supportive services to HIV/AIDS affected
Springfield residents.
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In 1992 the city granted $20,000 in CDBG funds to HIV Alliance (formerly AIDS Hospice
Services, Inc.) to purchase and rehabilitate a single family unit in Eugene to be used for
assisted housing for HIV and AIDS affected persons. The city of Eugene also participated in
the project, the terms of Eugene's CDBG grant have since expired. The Springfield CDBG
grant agreements has a 10 year term and expires May 18, 2002. The CDBG obligation was
attached to the property by the recording of a Memorandum of Grant Agreement.
Due to the changes, which have occurred in recent years regarding the treatment ofHIV/AIDS
patients, the agency has found that demand for hospice care has greatly diminished, while
demand for support services in a more independent living environment has increased
proportionately. Because of this shift in the care and treatment of the target population, HIV
Alliance, with the mutual consent of the city of Springfield and the city of Eugene, recently
sold the hospice and wants to use the proceeds from the sale to provide housing and support
services more in keeping with the current trend. In order to facilitate the sale of the property,
and with full assurances from the Agency that it will fulfill its CDBG obligation to the city,
the Memorandum of Grant Agreement was released. The agency can,fulfill contractual
obligations by either repaying $21,500 t9 the city or provide HIV/AIDS affected Springfield
residents with continuing housing assistance and other housing related services. The value of
such services shall equal or exceed $21,500.
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HIV Alliance has proposed to allocate $18,275 to housing assistance and related housing
services for the benefit of HIV / AIDS affected Springfield residents for two years. The agency
also proposes to use the remaining $3,225 for HIV prevention and outreach programs. As
noted in the report, staff recommends that these programs be administered to best benefit
Springfield residents.
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Work Session Meeting Minutes
October 19, 1998
Page 2
Mr. Ko discussed specifics of the agreement. Councilor Shaver said it was encouraging to see
the progress that has been made to date regarding HIV/AIDS. He said there is never an end to
service needs. He said as one sector may improve and do better, other needs arise. He said
there is a request for funding of a court school, which will be discussed during the regular
meeting. He askedifBlock Grant funds could be used to assist in the funding of a court
school. Mr. Ko said it is an option to allow mv Alliance to use a portion of the funds for one
thing and use another portion of funds for other needs.
Councilor Maine asked why the city of Springfield opted for a 10-year contract and the city of
Eugene executed a five-year contract. Mr. Ko replied it has been Springfield policy to execute
10-year contracts versus shorter duration contracts. He also said he was not employed with
Springfield when the last contract was processed. He said historically, CDBG contracts are for
a term of 10 years. He also discussed the option of the city being able to enter into separate
agreements with HIV Alliance. Mr. Ko said the only way the city could require mv Alliance
to return funds would be as a result of a sale of CDBG assets. HUD would then support the
fact that those are CDBG funds. If the funds are recaptured, it is as a direct result ofthe sale
of a CDBG facility. If mv Alliance is allowed to retain the funds, then the CDBG contract is
complete. The city has the option of entering into a separate agreement with mv stating they
are being allowed to retain funds but still want services to be provided to Springfield citizens.
If the city allows them to keep the funds to be used for ongoing services, the money does not
have to be treated as CDBG funding. We are entering into a non-CDBG agreement. The
money would no longer be subject to CDBG monitoring.
Mr. Ko introduced mv Alliance members Bill Avery, President of the Board and Jim
Shoemaker, Director of Client Services. They provided information regarding Springfield
resident use of the facility and its service. The funds were intended for and are being used for
housing.
Councilor Maine, Shaver and Beyer were in favor of the recommendation. Councilor
Dahlquist and Liken did not have an objection. Staff would forward the agreement to the City
Manager and City Attor,ney for execution.
ADJOURNMENT
The meeting was adjourned at 6:45 p.m.
Minutes Recorder - Julie Wilson
Bill~
Mayor Pro Tern / Council President
Greg Shaver
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