SHA February 24, 2025 Board of Commissioners Meeting Minutes

MINUTES
REGULAR MEETING OF THE
BOARD OF COMMISSIONERS OF THE
SANFORD HOUSING AUTHORITY
MONDAY, FEBRUARY 24, 2024, AT 6:00 P.M.
317 CHATHAM ST. SANFORD NC 27330

The meeting of the members of the Sanford Housing Authority Board of Commissioners was held at 317 Chatham Street, Sanford, NC 27330, on Monday, February 24, 2025, at 6:00 p.m. in the central office conference room.

The meeting was advertised through the Sanford Housing Authority website, www.sha-nc.org.

Roll Call: The meeting was called to order at 6:00 p.m. by Chairwoman White on roll call. The following members were present:

Present

Chairperson Hope White
Vice Chairperson William Newby
Commissioner Holly Aeschliman
Commissioner Jackie Dalrymple
Commissioner Dianne Sinnamon
Commissioner Dr. Karen Wicker

Absent

Commissioner Erin Britton

SHA Staff present:

Dr. Michael C. Threatt, Chief Executive Officer
Ms. Deborah Kauba, Controller
Ms. Sherri Campanale, Director of Operations
Mr. Patrick Crook, PH Property Manager
Ms. Crystal Soriano-Silva, Interim HCV Manager
Ms. Tamesia Wright, Lead FSS & Resident Services Coordinator
Ms. Tabatha Ferguson, Housing Specialist
Ms. Renate Bennett, Housing Specialist
Ms. Sarah Hudson, Executive Assistant to the CEO/ Communications Coordinator

Also Present:

Mr. Walter Ferguson, City Councilman

Public Comments: None

Adoption of the Agenda: Dr. Wicker made a motion to approve the February regular board meeting agenda. Ms. Dalrymple seconded the motion. All were in favor; the motion passed unanimously.

Minutes: Dr. Wicker made a motion to approve the Regular Board Meeting Minutes for November 18, 2024. Ms. Dalrymple seconded the motion. All were in favor; the motion passed unanimously. Ms. Dalrymple made a motion to approve the Special Closed Board Meeting Minutes for January 22, 2025. Dr. Wicker seconded the motion. All were in favor; the motion passed unanimously. Dr. Wicker made a motion to approve the Regular Board Meeting Minutes for January 27, 2025. Ms. Sinnamon seconded the motion. All were in favor; the motion passed unanimously.

Old Business: None

New Business:

Resolution 2025-03: Resolution to Change the Name of Public Housing Authority: Mr. Newby made a motion to approve the resolution to change the name of Public Housing Authority to Central Carolina Housing Solutions. Ms. Aeschliman seconded the motion. Ms. Dalrymple and Ms. Sinnamon opposed the motion. The motion passed with a vote of 3 in favor and 2 opposed.
- Board members cited concerns related to changing the name of the public housing authority prior to resolving Sanford Housing Authority's performance issues, suggesting that improvements should be made before the name is changed.
Resolution 2025-04: Resolution to Approve Third-Party Property Management Company: Ms. Dalrymple made a motion to approve the resolution to award the Low-Income Housing Tax Credit (LIHTC) third-party property management contract to Royal American Management. Dr. Wicker seconded the motion. All were in favor; the motion passed unanimously.
Resolution 2025-05: Resolution to Approve Consulting and Shared Services Agreement: Ms. Dalrymple made a motion to approve the resolution to approve the Consulting and Shared Services between Sanford Housing Authority and Central Carolina Strategic Developers, with the correction of the word "Dothan" to the word "Sanford" in the agreement. Ms. Aeschliman seconded the motion. All were in favor; the motion passed unanimously.
Resolution 2025-06: Resolution to Approve Write-Offs for Q1 Oct. 2024 - Dec. 2024: Mr. Newby made a motion to authorize the write-off of collection losses in the amount of $6,047.05 for the period of October 1, 2024, through December 30, 2024. Ms. Dalrymple seconded the motion. All were in favor; the motion passed unanimously.
- Board members requested that future write-off approval requests related to vacated tenant account balances include the number of tenants or accounts included in the write-off amounts.
Resolution 2025-07: Resolution to Approve Name Changing for the 226 Linden Property: Ms. Dalrymple made a motion to approve the resolution to change the name of the housing complex currently known as 226 Linden to the Hope W. White Village in honor of SHA's Board Chairwoman Hope W. White. Ms. Aeschliman seconded the motion. All were in favor; the motion passed unanimously.
Resolution 2025-08: Resolution to Approve Annual Operating Budget for MGG from CCSD for FY2023-2024: Ms. Dalrymple made a motion to approve the resolution to approve the Operating Budget for FY2023-2024 for the MGG development. Mr. Newby seconded the motion. All were in favor; the motion passed unanimously.
Resolution 2025-09: Resolution to Approve Annual Operating Budget for MGG from CCSD for FY2024-2025: Mr. Newby made a motion to table the resolution to approve the Operating Budgets for FY2024-2025 for the MGG developments. Ms. Aeschliman seconded the motion. All were in favor; the motion passed unanimously.
- Board members requested that this budget be revisited and ready to vote on at the next Board meeting in March.

CEO Report:

Human Resources Audit: Sigma Cogent: Dr. Threatt highlighted that Sigma Cogent has been engaged by Sanford Housing Authority and has begun to perform a full HR audit, which includes interviewing staff and reviewing files, and to assess HR performance with 14 indicators outlined for Board Members in the meeting packet.

File Review: US Housing Consultants: Dr. Threatt highlighted that US Housing Consultants has begun the file review of Public Housing sites and will review Low-Income Housing Tax Credit (LIHTC) files once that is completed. Dr. Threatt emphasized the importance of ensuring both sets of files are in compliance, particularly ahead of the pass-off of the property management for LIHTC sites.

The Board requested that additional help be provided to the property manager of the LIHTC sites to help prepare these files ahead of the review, citing long-standing issues related to files for these sites not being complete.

NSPIRE Inspection Results: US Inspection Groups: Dr. Threatt highlighted the results of the recent NSPIRE inspection performed by US Inspection Groups, which assesses expected performance on HUD's upcoming NSPIRE inspection. These results included failing scores for all Public Housing sites. The Board discussed properties at which Capital Fund monies were spent already to help achieve inspection compliance, and Mr. Crook and Ms. Campanale highlighted smoke detectors, carbon monoxide detectors, mold remediation, and roof purchases totaling more than $214,000.00 that were made across all Public Housing sites for this reason. Ms. Campanale further addressed the failing scores for Public Housing sites, citing unpaid bills to vendors and the inability to purchase supplies needed to make improvements required for inspection compliance. The Board requested confirmation that a plan is in place to resolve issues with vendors and to make the needed improvements to the sites, and Ms. Campanale confirmed that there is a plan and that relevant team members have been made aware of the plan.

Physical Needs Assessment (PNA): Dominion Due Diligence Group (DG3): Dr. Threatt highlighted the physical needs assessments already taking place and scheduled to be performed by Dominion Due Diligence Group, which will inform whether Sanford Housing Authority (SHA) should develop, demolish, rehabilitate, or otherwise how to proceed with the units and overall properties assessed. Dr. Threatt emphasized the importance of these assessments related to HUD's recovery agreement with SHA. Dr. Threatt confirmed that SHA will have the results of the assessment before the next Board meeting in March. The Board suggested that the results of the assessment be shared with the City of Sanford in public comment when completed.

FSS and ROSS Grant Closeouts/Social Bridge Case Management Software: Dr. Threatt highlighted FSS and ROSS grant funds that were unused by Sanford Housing Authority and were recaptured by HUD at the closing of their grant cycles. The Board questioned the reason for these funds being unused, and Ms. Campanale cited a lack of hiring and training for ROSS and FSS staff, for which these funds are allocated. Dr. Threatt highlighted the process moving forward for how these funds will be managed, including monthly drawdowns for salaries and training. Dr. Threatt also highlighted the Social Bridge TAAG software which SHA will be utilizing to gather data that illustrates needs and to execute case management related to the services Social Bridge provides. The Board discussed whether adequate training would be provided for SHA staff to effectively use the software, and Dr. Threatt affirmed that staff training would be part of the software onboarding.

Reframe Comprehensive Housing Software/SACS Software: Dr. Threatt highlighted SHA's transition from using the SACS software to the Reframe software, which would allow SHA's financial tracking and transactions to be integrated and updated in real-time across Reframe and the other standard platforms used, such as for payroll, payroll benefits, direct deposits to landlords, procurements, and more. Dr. Threatt also highlighted other features and benefits of the Reframe software, including inventory tracking, live budget tracking, dashboards to keep projects and tasks on track, a higher level of cybersecurity, and the fact that the cost of the Reframe software is the same as the cost for SACS. The Board discussed whether the software is user-friendly and whether SHA staff will have the hardware needed to utilize the software. Dr. Threatt affirmed that the software is user-friendly and modern, and that SHA has made progress with a hardware purchase from Lenovo which will ensure SHA staff are able to utilize the software upon implementation in the next 60 days.

Appraisals for Stewart Manor & 1000 Carthage Street: Dr. Threatt highlighted appraisals that will be performed in March on both Stewart Manor and the former SHA Administrative Building located at 1000 Carthage Street in Sanford. Dr. Threatt explained that once the results of the physical needs assessment for Stewart Manor are received, SHA will be able to determine the next steps related to the development of that property, such as obsolescence and demolition. Dr. Threatt explained that once the appraisal for the 1000 Carthage Street property is completed, SHA will be able to apply for a loan for the restoration of the building, which will include mold testing and abatement. Dr. Threatt also added that the group NC Works is interested in renting the bottom floor of the building and would like to partner with SHA on workforce development initiatives.

Dream Center Memorandum of Agreement (MOA): Ms. Wright highlighted a drafted MOA between SHA and Life Springs Dream Center (LSDC). The Board questioned what responsibilities LSDC would have or what benefits would be provided by LSDC in their partnership with SHA. Ms. Wright affirmed that LSDC would primarily be liaising between SHA residents and organizations which provide mental health services and support. The Board questioned why SHA staff are not able to liaise with these providers themselves. Ms. Wright added that there are other services which LSDC would be providing to SHA residents, including cleaning and transportation. Chairwoman White requested that Ms. Wright meet with her after the Board meeting so Ms. White can share contacts related to these services, which the SHA Resident Services team can liaise with to ensure we are able to provide these benefits in-house, rather than through a partnership with LSDC. Ms. Campanale highlighted that she believes HUD encourages FSS programs to establish partnerships and related MOAs with outside groups, and the Board stated that this was not how one of SHA's past FSS coordinators conducted community partnerships. Dr. Threatt stated that MOAs are needed with certain groups and that SHA will ensure the partnership benefits SHA. The Board reminded Ms. Wright that the MOA should include a requirement for completed photo releases for anyone whose photo is taken during a LSDC activity and will be shared publicly.

February HUD Recovery Report: The report was included in the Board Packet materials provided to Board Commissioners; however, an in-person report was not given at the meeting, in the interest of time.

Department Reports:

Public Housing and Maintenance Reports: The Board questioned rent payment amounts carried over from the previous month in the report and requested clarification, which Mr. Crook provided. Mr. Crook highlighted that SHA Property Managers will begin performing monthly inspections of all units due to the failing NSPIRE inspection results, noting that even with the monthly inspections, difficulty related to obtaining funds for materials could still prevent some improvements being made if that difficulty is not resolved. Chairwoman White questioned whether the application for Public Housing is on the Sanford Housing Authority website and whether SHA staff are providing necessary accommodations for those who are unable to complete the online application themselves. Ms. Campanale affirmed that the application is online and that SHA staff are providing the necessary accommodations as needed, including personally helping applicants who face technology difficulties complete the online application onsite at the SHA office.

RAD PBV/ LIHTC and Maintenance Reports: Ms. Campanale highlighted that this report included the same rent payment amounts carried over from the previous month in the report, which Mr. Crook had already clarified in the Public Housing report. Property Manager Ms. Tilghman was not present at the meeting, and no additional comments or questions related to her report were made.

Housing Choice Voucher (HCV) Program Report: The Board questioned when the HCV Waitlist will reopen, and Ms. Soriano-Silva said that she is unsure, as there are 1,300 applicants still on the waitlist. Ms. Campanale added that SHA had stopped issuing vouchers in October of 2024, when the waitlist reached 1,500 applicants, and that SHA will begin issuing vouchers again in March 2025. The Board questioned why SHA had stopped issuing vouchers in October, and Ms. Campanale affirmed that this is because SHA's program was "over-leased" and therefore costing more funding than it was bringing in.

Resident Services Report: Ms. Wright highlighted upcoming SHA events, including a housekeeping workshop and Easter-themed party. The Board discussed attendance numbers at SHA's events and made suggestions, including that SHA should either avoid scheduling events to take place during regular business hours or after daylight hours when possible, that SHA should make clear to residents participating in the FSS program that there is a requirement for them to attend certain workshops, and that SHA should make housekeeping workshops a mandatory event for residents who have recently failed a housekeeping inspection.

Human Resources Report: Dr. Threatt highlighted new SHA employees, including Deborah Kauba, a Controller, and Tabatha Ferguson, an HCV Specialist. Development Report: Development updates were given by Dr. Threatt in the CEO Report.

Financial Report: The Board requested that Ms. Kauba let Dr. Threatt know whether she needs assistance in getting SHA's financial needs and planning caught up, and if so, the details of what is needed, such as hiring a part-time employee to assist her. Ms. Kauba affirmed that she would like to have a team member that can help do data entry, and that Dr. Threatt agreed Ms. Montan, SHA Receptionist/Intake Specialist, could help with data entry. The Board questioned whether Ms. Kauba has seen SHA's internal control policy, noting that it is outdated. Ms. Kauba affirmed that she has seen the policy; however, will be implementing changes to improve SHA's current policies and procedures, including involvement in the Reframe software setup and onboarding. Ms. Kauba highlighted her recent progress with making payments on outstanding balances to SHA's vendors. The Board questioned whether outstanding balances to utility companies for the Matthews Garden Gilmore developments had been paid yet, and Ms. Campanale affirmed that these balances had not been paid yet and utilities remain cut off in some units. Ms. Kauba emphasized that financial reporting between the SHA Finance Department and SHA Board of Commissioners will be clear and as frequent as wanted by the Board, noting that it will take some time to gather anticipated reports.

Closed Session: The Board did not go into closed session during this meeting.

Adjournment

Ms. Dalrymple made a motion to adjourn the regular meeting for the Board of Commissioners for Sanford Housing Authority; Ms. Aeschliman seconded the motion. All were in favor; the motion passed unanimously.

Minutes prepared by Sarah Hudson

Approved:

Hope W. White, Chairwoman SHA Board of Commissioners
Secretary, Dr. Michael C. Threat