CCSD August 25, 2025 Board of Directors Meeting Minutes
MINUTES
REGULAR MEETING OF THE
BOARD OF DIRECTORS OF THE
CENTRAL CAROLINA STRATEGIC DEVELOPERS
MONDAY, AUGUST 25, 2025, AT 6:00 P.M.
317 CHATHAM STREET SANFORD, NC 27330
The regular meeting of the members of the Central Carolina Strategic Developers Board of Directors was held at 317 Chatham Street, Sanford, NC 27330, on Monday, August 25, 2025, at 6:00 p.m.
The regular board meeting was advertised on the Sanford Housing Authority website, www.sha-nc.org.
1. Roll Call: The meeting was called to order at 8:25 p.m. by Chairwoman Dr. Wicker on roll call. The following members were present:
Present
- Chairwoman Dr. Karen Wicker
- Vice Chairman Jacquelyn Dalrymple
- Commissioner Erin Britton
- Commissioner Diane Sinnamon
- Commissioner Crystal Williams (virtual)
Also Present:
- None
Staff Present
- Dr. Michael Threatt, Chief Executive Officer
- Deborah Kauba, Chief Financial Officer
- Renate Bennett, Interim Director of Rental Assistance
- Tabatha Ferguson, Interim Business Services Manager
- Danielle Tilghman, Interim Director of Asset Management
- Tonya Davis-Buie, Asset Manager
- Jeffrey Gorley, Lease Enforcement Safety Coordinator
Public Guest
- None
2. Approval of Agenda: Chairwoman Dr. Wicker called for a motion to approve the agenda. Commissioner Britton made a motion to approve the agenda. Vice Chairwoman Dalrymple seconded the motion. All were in favor; the motion passed unanimously.
3. Old Business: None
4. New Business: None
5. CEO Report:
A. Rent Increase Letters:
Dr. Threatt reported that four regulatory rent increase letters were issued for RAD PBV and PBV properties, as required under HUD guidelines. These letters were sent to the Sanford Housing Authority, which serves as the Contract Administrator for the Section 8 program. He explained that such increases are routine and occur annually for the RAD PBV and PBV developments. The rent adjustments will be reflected in the next budget and are intended to support the establishment of operating accounts to cover repairs, facility maintenance, and general property operations. Dr. Threatt emphasized that these increases are budgetary and will not affect residents' rent contributions, as they will still pay between 30% and 40% of their annual adjusted income (AJI). Additionally, Dr. Threatt noted that case management services have not been provided for the 226 Linden Avenue property, which is a PBV development for supportive housing. However, with the recent staffing updates, the Authority now has a competent Resident Services team available to deliver these services. The Board can expect to see related budget allocations and program updates in upcoming meetings.
6. Department Reports:
A. Asset Management
RAD PBV (LIHTC)/PBV and Maintenance Reports
Ms. Tilghman presented the current status of work orders across the MGG and 266 developments. She noted a recent increase in work orders, primarily due to HVAC issues and inspection findings, which often lead to additional maintenance needs. She provided an overview of tenant account balances, explaining that some amounts remain high due to pending legal actions against tenants who have not paid rent. These cases are progressing through the court system, and the Board should expect to see updated balances in the next reporting cycle. There are currently 39 vacancies, and staff are actively working to move approved applicants into units. These numbers are expected to improve in the next month.
Safety Report
Mr. Gorley's safety report mirrored the structure of the SHA report and included updates on:
- Incident tracking
- Lease violations
- Community meetings
- Security operations
- Staff training
- Access control systems
- Community relations
- Goals and objectives
Vice Chairwoman Dalrymple shared a resident's concern regarding a noise complaint. She advised the residents to contact Mr. Gorley directly. The Board discussed appropriate steps for resolving such issues, including:
- Encouraging residents to communicate directly with neighbors when possible
- Referring to the local noise ordinance
- Escalating to law enforcement if necessary
B. Finance Report: The CCSD finance report was covered during the SHA board report. These reports
will require separate documentation in the future, as this was a CCSD audit finding that included
having separate minutes.
7. Directors' Comments: None
8. Public Comments: N/A
9. Closed Session:
Note Regarding Jurisdiction of Closed Session Discussion: The matters discussed during this closed session pertain specifically to the operations and personnel of the Sanford Housing Authority (SHA). As such, this session should have been held under the SHA Board of Commissioners. A formal vote by the CCSD Board will be required to authorize the transfer of this closed session summary to the official SHA Board Minutes for proper recordkeeping and governance alignment.
Chairwoman Dr. Wicker called for a motion to enter Closed Session at 8:38 p.m., pursuant to North Carolina General Statute § 143-318.11(a)(6), to discuss personnel matters, internal administrative challenges, and resident concerns. Vice Chairwoman Dalrymple made the motion, seconded by Commissioner Britton. The motion passed unanimously.
The Board entered closed session to address a range of interconnected issues affecting the Sanford Housing Authority's operations, staff performance, and resident services.
Dr. Threatt provided an update on the FSS case involving Ms. McNeill, for which he is serving as the informal hearing officer. He acknowledged Ms. McNeill's frustration and confirmed that she should have been grandfathered into the FSS program and allowed to graduate based on the goals created for her by the previous Resident Services team before he arrived. Dr. Threatt explained that she would also be a candidate for the HCV Homeownership Program. However, the outdated HCV Homeownership Action Plan policy and inaccurate audit data have created barriers.
He committed to resolving the case within days and making a hearing decision based on its findings. Dr. Threatt emphasized that 90 other FSS participants are in similar positions due to inherited systemic issues. He also reiterated the EnCompliance consultant's Assessment, Findings, and Recommendation of the FSS Program in April 2025 that revealed these issues that Ms. McNeill experienced, along with the lack of case management, escrow, Individual Training & Services Plans (ITSPs), and other FSS regulatory requirements.
The discussion revealed that prior administrations failed to distinguish between FSS Action policies and standard operating procedures (SOPs), leading to confusion and mismanagement. Dr. Threatt shared that staff updates have been implemented to serve residents better and align program operations with HUD expectations and regulations.
Dr. Threatt also addressed the same issue of combining policies and SOPs in the outdated HCV Homeownership Program Action Plan, last revised in 2017. He explained that the board approves policies, the staff creates SOPs based on those policies, and that the two should not be combined.
Dr. Threatt discussed meeting with Brick Capital CDC to clarify the difference between operating a program and maintaining compliant policies, and the plan to update the HCV Homeownership Program Action Plan. He stressed the urgency of updating these documents to support residents effectively and ensure program integrity.
The conversation shifted to the Finance Department, where Ms. Kauba is currently managing operations on her own, with inadequate financial staff support. Dr. Threatt emphasized the need for experienced professionals to implement strong internal controls and reduce risk.
Chairwoman Dr. Wicker raised concerns about quality control and financial oversight, which Dr. Threatt addressed by outlining plans to implement SOPs and strengthen internal controls. He clarified that Sigma-Cogent is not handling finance or payroll but is assisting with operational HR cleanup, implementing best practices, improving employee relations amid the terrible culture his administration inherited, and resolving legacy issues.
Dr. Threatt highlighted the critical role of the HR Consultant in managing employment hearings and mitigating legal and financial risks. These efforts are designed to protect the SHA from potential liabilities and allow staff to focus on core operational areas. Vice Chairwoman Dalrymple inquired whether the time spent on unemployment hearings was necessary.
Dr. Threatt responded that the outcomes of these hearings have been instrumental in validating the performance deficiencies of the previous administration, which directly contributed to the deterioration of SHA's PHAS score for FYE2023 and to SHA's being under a HUD Recovery Agreement. He emphasized that these hearings not only serve a legal purpose but also provide insight into the systemic issues that must be addressed to rebuild operational integrity and restore public trust.
The Board discussed the need for employee retention strategies, including training and role clarity. However, the lack of HR infrastructure has made it challenging to implement these changes. He noted that the agency had moved beyond a period of experimentation that previously led to a HUD Recovery Agreement, and that SHA is now focused on sustainable, compliant operations. Commissioner Britton stated that she understood not pursuing individuals who lacked the experience to fill the current roles at this time, given the agency's capacity constraints.
Dr. Threatt emphasized that SHA must build a solid foundation with committed staff who have the housing experience and skill set to help the agency turn the corner.
In response to questions about staff turnover, Dr. Threatt explained that transformational leadership had introduced accountability measures, resulting in both voluntary and involuntary departures. He reiterated his commitment to protecting the Board's integrity and reputation, noting that the agency had come dangerously close to HUD receivership due to the previous administration's lack of transparency.
He reiterated his commitment to protecting the Board's integrity and reputation, as well as avoiding public embarrassment. All of the commissioners thanked Dr. Threatt for his dedication to this.
Chairwoman Dr. Wicker also addressed concerns raised during public comments, including poor customer service and residents being left outside due to security measures. Dr. Threatt acknowledged these issues and reaffirmed his commitment to improving service delivery.
He concluded that new policies will be presented to the Board in the coming month to strengthen compliance, improve resident outcomes, restore public trust, and meet HUD Recovery Agreement requirements, including the procurement and Admissions & Continued Occupancy Policy (ACOP).
Chairwoman Dr. Wicker called for a motion to end the closed session at 9:06 p.m. Vice Chairwoman Dalrymple made the motion, seconded by Commissioner Britton. The motion passed unanimously.
10. Adjournment:
Chairwoman Dr. Wicker requested a motion to adjourn the regular meeting. Vice Chairwoman Dalrymple motioned to adjourn the regular board meeting. Commissioner Sinnamon seconded the motion. All were in favor, and the motion passed unanimously. The regular board meeting was adjourned at 9:08 p.m.
Minutes prepared by Dr. Michael C. Threatt, Secretary
Approved:
- Dr. Karen Wicker, Chairwoman
- Dr. Michael C. Threatt, Secretary
