Aug 16, 2022 Town of Hilton Head Finance &amp; Administrative Committee

WOULD YOU CALL THE ROLL? YES, SIR.

EXCUSE ME, MR. BROWN HERE.

MR. HARKINS.

MR. STANFORD, MR. LENNOX.

I'LL PRESENT, SIR.

THE MINUTES FROM THE REGULAR MEETING OF JULY 19TH, 2022.

WE HAVE IN OUR PACKET,

[4. Approval of the Minutes]

ARE THERE ANY CORRECTIONS, ADDITIONS, OR DELETIONS THOUGH? THE ADOPTION IS WRITTEN SECOND.

ALL THOSE IN FAVOR, PLEASE SIGNIFY BY SAYING AYE.

AYE.

OPPOSED THIS SAME GOOD JOB.

SO THOSE WEREN'T EASY TO WRITE.

HAVE AN APPEARANCE BY ANY CITIZENS? YES, SIR.

DO WE

[5. Appearance by Citizens Citizens who wish to address the Committee concerning the items on the agenda, may do so by contacting the Town Clerk at 843.341.4701, no later than 4:30 p.m., Monday, August 15, 2022. Citizens may also submit written comments concerning any of the items on the agenda through the eComment portal Finance & Administrative Committee.]

WE DO TODAY.

SKIP HOAGLAND IS OUR CITIZEN WHO SIGNED UP TO SPEAK.

MR. LET'S SKIP HOAGLAND, WINDMILL HARBOR.

YOU'RE NOT IN FOR AIR COMPLIANCE.

MR. LENNOX, CAN YOU ANSWER THE FOLLOWING QUESTIONS FOR ME? SOUTH HARA, SOUTH CAROLINA INVESTIGATORS AND YOUR FUTURE DEPOSITIONS IN YOUR LAWSUIT.

WHY HAVE YOU ALLOWED THE CHAMBER AND ARIANA BERNICE TO PRESENT FRAUDULENT CHAMBER INDUSTRY PERFORMANCE METRICS IN ORDER TO HELP BILL MILES KEEPS STEALING MILLIONS OF EIGHT TAX FUNDS.

WHY DON'T YOU SCHEME AND ALLOW THE DRAFTING OF AN ILLEGAL CHAMBER DMO CONTRACT WOULD CROOKED TOWN.

LAWYER'S CALLED TRAIN TERRY FINGER CHAMBER LAWYERS.

WALTER NESTER.

DAVID TIG IS TO KEEP ALLOWING BILL MILES TO KEEP ILLEGALLY STEALING MILLIONS OF TAX FUNDS AS HIS SECRET SAUCE WITH ZERO FULL ACCOUNTING.

YOU MCCANNON HEARKENS CLAIM.

YOU WENT TO THE CHAMBER OFFICES TO SEE ACCOUNTING AND RECEIPTS FOR ATAC EXPENDITURES.

IS THIS CORRECT? AND YOU CLAIM YOU IN EVERYTHING LOOKED OKAY AND HONEST.

AND THIS WAS DONE IN AN HOUR INSPECTION.

IS THIS CORRECT? YOU COMMITTED FRAUD.

YOU LIED IS THAT'S CORRECT.

MR. LENNOX, IF THEY TAX FUNDS PAID FOR THE DMO APP AND WEBSITE WITH OVER 1,000,008 TAX FUNDS TAKEN TO CANADA, HOW'S IT POSSIBLE THAT BILL MILES CAN CLAIM HE OWNS THE DMO COMMUNICATION MEDIA PRODUCTS AND WHAT HAPPENS TO THE DMO APP AND WEBSITE? WHEN A NEW DMO IS HIRED UNDER PROCUREMENT, WHICH YOU'RE ALSO IN VIOLATION OF UNDER EIGHT TAX LAWS IN SOUTH CAROLINA, CONSTITUTIONAL LAWS.

YOU DO YOU THINK THE DMO CONTRACT YOU SIGNED FOR FIVE YEARS WITH BILL MILES WITH NO ACCOUNTING PROVISIONS IS LEGAL AND VALID FACT IS YOU KNEW IT WAS ILLEGAL AS WELL AS CROOKED LAWYERS, FINGER AND COLTRANE WHO SCHEMED THIS CHAMBER CRON WITH YOU AND AIMS FACT IS YOU CAN'T ISSUE TAX FUNDS TO BE ILLEGALLY USED BY BILL MILES FOR HIS 500,000 PAY PACKAGE, $2 MILLION HOUSE THAT DOES NOT BENEFIT TOURISM AND THE PUBLIC GOOD REASON AND USE THE CHAMBER AND BILL MILES.

CAN'T USE TAX FUNDS FOR PRIVATE PROFIT AND NOT PAY IRS NON-PROFIT TAX UBIT TAX TAXES FROM ADVERTISING SALES, MR. AMES, YOU CAN'T BE THIS STUPID TO ALLOW ALL THIS.

AND MR. MR. LENNOX, WE UNDERSTAND WHY YOU DO EIGHT TAX LAWS AND STATE A TAX, A TAX LAWS AND STATE AID TAX FUNDS ISSUED TO A CHAIN DMO CHAMBER MUST ONLY BE USED FOR THE HIGHER DMO TO PROMOTE AND MARKET THE DESTINATION ONLY.

WHERE DOES IT SAY THAT A HIGHER DMO CAN BE A HIRED NONPROFIT CHAMBER, CBB AND WORSE UPSELL ADVERTISING ON THE DMO APP AND WEBSITE AND POCKET ALL THE PROFITS AND VIOLATE OUR NONPROFIT TAX CODES, PERHAPS WHILE YOU'RE STANFORD CAN ANSWER THAT MR. LINUX, YOUR FRAUD AND TAX HEIST WILL END SOON.

WE LOOK FORWARD TO WATCHING ALL THIS UNFOLD AND MEDIA COVERAGE, LAWSUITS, DEPOSITIONS, AND DISCOVERY, ESPECIALLY THE HANDCUFFS AND ARREST IS WHAT I'M LOOKING FORWARD TO.

AND I DON'T KNOW WHO IS WORSE, BECKER OR LICHENS, WHO I DON'T KNOW WHO WE'RE GOING TO CHOOSE.

AND THIS IS A FACT THIS HORSHACK IS RUNNING FOR, FOR BE THE NEW MAYOR.

AND ALAN PERRY IS AN INSIDER CROOK.

ALLEN PERRY IS A CROOK AND I HAVE PROOF THAT HE'S A CROOK.

SO HE'S NOT GOING TO BE MAYOR IF I CAN HELP IT.

THANK YOU VERY MUCH, KRISTA, ANY OTHER PUBLIC COMMENT, ANY OTHER PUBLIC COMMENT, PUBLIC COMMENT.

TWO AGENDA ITEMS UNDER NEW BUSINESS.

WE HAVE

[6a. Discussion of Participation in the Beaufort-Jasper Counties Regional Housing Trust Fund]

THE FIRST IS A DISCUSSION OF PARTICIPATION IN THE BUFORD JASPER COUNTIES, REGIONAL HOUSING TRUST FUND.

MR. GRUBER.

[00:05:03]

GOOD MORNING, MR. CHAIRMAN MEMBERS OF THE COMMITTEE.

UH, WANT TO JUST GIVE YOU A KIND OF A BRIEF BACKGROUND ON THIS ITEM TO TEE UP OUR DISCUSSION FOR TODAY? UH, BEGINNING IN 2020, THE SOUTHERN LOW COUNTRY REGIONAL BOARD, WHICH IS A GROUP OF THE LOCAL GOVERNMENTS CONSISTING OF HARDY VILLE, BLUFFTON HILTON, HEAD BUFORT.

AND, UM, AT ONE POINT IN TIME RIDGELAND, UH, ALL OF THOSE ENTITIES COME TOGETHER ON A REGULAR BASIS TO DISCUSS MATTERS OF REGIONAL SIGNIFICANCE.

AND IN 2020, THEY BEGAN DISCUSSING THE POSSIBILITY OF CREATING A REGIONAL HOUSING TRUST AS AN OUTGROWTH OF THOSE DISCUSSIONS IN 2021, THE TOWN COUNCIL ADOPTED AS ONE OF OUR STRATEGIC INITIATIVES, THE ABILITY TO EXPLORE POTENTIAL PARTICIPATION WITHIN THIS REGIONAL HOUSING TRUST.

AND SO A LOT OF DISCUSSIONS HAVE OCCURRED WITHIN THAT REGIONAL BODY TO ULTIMATELY CULMINATE IN A DRAFT, A MEMORANDUM OR INTER-GOVERNMENTAL AGREEMENT THAT IS BEFORE YOU TODAY FOR CONSIDERATION AND IN ORDER TO HELP EXAMINE THE TERMS OF THAT DOCUMENT AND UNDERSTAND HOW THEY WOULD BE APPLIED.

AND THEN ALSO KIND OF, UM, WHAT THE ADDITIONAL ATTRIBUTES WOULD BE OF PARTICIPATING IN A REGIONAL HOUSING TRUST.

WE HAVE ASKED, UH, MS. TAMMY HOYT WHO'S THE DIRECTOR OF COMMUNITY WORKS AND COMMUNITY WORKS IS THE ENTITY THAT BUFORD COUNTY HAS IDENTIFIED TO WORK WITH HELPING TO OVERSEE AND MANAGE THIS REGIONAL HOUSING TRUST ONCE IT BECOMES FORMALLY CREATED.

SO WE'VE INVITED HER TO HERE COME TODAY TO PRESENT YOU WITH SOME INFORMATION AND THEN BE ABLE TO ANSWER QUESTIONS THAT YOU HAVE ABOUT THIS PARTICULAR PROPOSAL.

JOSH, WOULD YOU PREFER? WE HOLD OUR QUESTIONS UNTIL THE END OF TAMMY'S PRESENTATION.

I THINK THAT'D BE A GOOD IDEA.

AND THEN BOTH OF US WILL BE HERE TO HELP ASSIST IN ANSWERING THOSE TAMMY.

WELCOME TO PARADISE.

GOOD MORNING, EVERYONE.

HI, NICE TO SEE YOU.

I THINK I'VE ONLY SEEN YOU ON THE SCREEN WHEN WE'VE, UH, UH, IT'S UP HERE.

I SHARED WITH YOU THE ONE THAT WE LAUNCHED IN CHARLESTON CALLED THE LOW COUNTRY HOUSING TRUST FUND.

UM, WHEN WE'VE HAD THE SOLO CO MEETING, SO I'M GLAD TO BE HERE TODAY.

UM, JUST A LITTLE BIT ABOUT ME AND MY BACKGROUND, I'VE BEEN DOING AFFORDABLE HOUSING FOR ABOUT 25 YEARS, ACTUALLY LAUNCHED THE FIRST LOCAL HOUSING TRUST FUND IN CHARLESTON.

UH, WORKED UNDER MAYOR RILEY FOR MANY YEARS AND OVER THE TIME HAS LAUNCHED SEVERAL OTHER, UH, NONPROFIT LOAN FUNDS AND CURRENTLY THE CEO AT COMMUNITY WORKS.

SO, UM, YOU GUYS CAN LOOK INTO THAT.

JUST WANT TO GIVE YOU A LITTLE BIT OF BACKGROUND ACTUALLY, UM, HAVE BEEN, UH, IN THE LOW COUNTRY FOR QUITE SOME TIME.

UM, A LITTLE BIT OF WHAT I WANTED TO SHARE IS JUST A LITTLE REFRESHER.

I THINK PART OF THE QUESTIONS THAT CAME UP WAS A LITTLE BIT MORE JUST ABOUT HOUSING TRUST FUNDS AND JUST GENERALLY, UM, HOW THEY WORK AND HOW THEY OPERATE.

AND SO I THOUGHT IT WOULD BE HELPFUL JUST TO SHARE WITH YOU.

THERE IS ABOUT 47 STATES THAT HAVE HOUSING TRUST FUNDS.

UH, WE HAVE A STATE HOUSING TRUST FUND THERE'S LOCAL HOUSING TRUST FUNDS.

SO THERE WAS ABOUT A 750 HOUSING TRUST FUNDS ACROSS THE COUNTY, ACROSS THE COUNTRY.

MOST OF THEM ARE ENABLED THROUGH AME ENABLING LEGISLATION.

SO IN SOUTH CAROLINA, WE HAVE THE MESHER ACT, WHICH ACTUALLY WAS PASSED WHEN I WAS IN CHARLESTON, WORKING WITH SENATOR MESHER, WHO WAS IN THE BERKELEY DORCHESTER COUNTY AREA AT THE TIME TO ENABLE HOUSING TRUST FUNDS, TO CREATE, WHICH THEN ENABLES YOU ALL AS COUNCILS AND GOVERNMENT ENTITIES TO FUND THOSE FUNDS, THOSE TRUST FUNDS TO SUPPORT AFFORDABLE HOUSING.

SO THAT'S KIND OF HOW IT WORKS.

THEN LOCALLY AT THE LEGISLATIVE, AT THE ORDINANCE LEVEL, THEN YOU WOULD PASS AN ORDINANCE TO LIKE THE INTER-GOVERNMENTAL AGREEMENT OR AN ORDINANCE TO ACTUALLY FUND THE HOUSING TRUST FUND, LOTS OF DIFFERENT FUNDING SOURCES YOU CAN TAP INTO, YOU KNOW, IT'S ALL BASED ON STATE LAW AND WHAT YOU'RE ABLE TO ENABLE IT AT, YOU KNOW, PER STATE LAW.

SOME PEOPLE DO DEVELOPERS FEES.

SOME PEOPLE DO HAVE A PERCENTAGE OF YOUR TAX BASE PEOPLE.

SOME PEOPLE DO PERCENTAGES OF D RECORDING FEE.

SO THERE'S A LOT OF DIFFERENT WAYS THAT OUR FUNDING, I KNOW WE'RE TALKING HERE ABOUT ARPA-E FUNDS.

INITIALLY YOU CAN REALLY FOCUS ON ANY TYPES OF PROJECTS THAT YOU WANT.

UM, WHAT WE'RE LOOKING AT IS DOING LOANS AND GRANTS, AND I'LL TALK A LITTLE BIT MORE ABOUT, UM, AND THEN THE GOAL IS TO OBVIOUSLY TO LEVERAGE AND BE AS FLEXIBLE AS POSSIBLE.

THESE ARE NOT US HUD AND URBAN DEVELOPMENT FUNDING, RIGHT? THOSE ARE THE MOST STRICT RESTRICTED FUNDS THAT ARE OUT THERE.

THESE ARE REALLY MEANT TO BE FLEXIBLE TO MEET YOUR PRIORITIES, YOUR COMMUNITY PRIORITIES.

SO THEY'RE REALLY MEANT TO BE SUPER FLEXIBLE.

UM, HOUSING TRUST ONES THAT CURRENTLY EXIST IF YOU DIDN'T KNOW.

SO WE HAVE THE STATE HOUSING TRUST FUND THAT IS FUNDED THROUGH DEED RECORDING FEE.

SO EVERY TIME A TRANSACTION HAPPENS, ANY REAL ESTATE IN SOUTH CAROLINA, A CERTAIN PERCENTAGE OF THAT GOES TO THE STATE DEPARTMENT OF REVENUE.

AND THEN THE STATE HOUSING TRUST FUND MAKES THAT AVAILABLE ON A COMPETITIVE PROCESS TO NONPROFITS AND DEVELOPERS.

UM, IT'S NOT THE MOST EASIEST FUNDING SOURCES TO, UH, TAP INTO.

UM, BUT IT IS USUALLY ANYWHERE BETWEEN 10 AND $20 MILLION, DEPENDING OBVIOUSLY ON REAL ESTATE TRANSACTIONS.

SO A LOT OF ORGANIZATIONS TAP INTO THAT.

SEVERAL OTHER OF THE REGIONAL HOUSING TRUST FUND BESIDES THIS ONE THAT WE'RE WORKING ON IN THE LOW COUNTRY IS THE MIDLANDS.

SO THE MIDLANDS IN COLUMBIA AREA HAS A MIDLANDS REGIONAL HOUSING TRUST FUND AS WELL.

AND SO THAT THEY LOOK AT ABOUT THE EIGHT COUNTY AREA OF THE MIDLANDS AREA.

SO THAT ONE HAS BEEN IN EXISTENCE FOR A WHILE.

[00:10:01]

UM, AND THEN WE HAVE A COMMUNITY WORKS, BEEN WORKING WITH FOLKS IN THE UPSTATE TO LAUNCH SEVERAL OTHER LOCAL HOUSING TRUST.

AND YOU CAN SEE HERE HOW THEY WERE INITIALLY FUNDED, UH, WHETHER THAT BE THROUGH GENERAL FUNDS OR DEVELOPER FEES.

UM, JOSH HAD ASKED ME TO SHARE WITH YOU, I SHARED WITH YOU THE MIDLANDS HOUSING TRUST FUND, WHICH IS LOCAL HERE IN SOUTH CAROLINA, BUT TWO OTHER, A PRETTY WELL-KNOWN REGIONAL HOUSING TRUST FUNDS ARE THERE'S ONE IN WASHINGTON WHERE THEY ACTUALLY HAD 15 CITIES COME TOGETHER.

SO YOU CAN IMAGINE HERDING THOSE CATS JUST GET 15 CITIES TO SUPPORT AFFORDABLE HOUSING IN THE REGION.

AND THEY ARE THE LONGEST STANDING REGIONAL HOUSING TRUST FUND IN WASHINGTON STATE, UH, COLUMBUS AND FRANKLIN COUNTY IN OHIO IS ANOTHER ONE.

UM, THAT ALSO HAS BEEN AROUND FOR QUITE SOME TIME.

SO THERE ARE OTHER EXAMPLES OF HOW THESE HOUSING FUNDS HAVE BEEN SUCCESSFUL IN PARTICULAR WHEN YOU'RE LOOKING AT A REGIONAL APPROACH.

UM, SO I, UM, I KNOW THAT YOU GUYS HAVE BEEN LOOKING AT THIS AS PART OF YOUR ASSESSMENT.

SO I KNOW RECENTLY, UM, THROUGH YOUR HOUSING TASK FORCE, YOU'VE LOOKED AT THIS AS A STRATEGY.

SO I JUST WANTED TO REITERATE, I KNOW THAT THIS HAS BEEN A COUPLE YEAR PROCESS AS PART OF THIS, UH, THE ASSESSMENT OF A REGIONAL FUND.

UH, AND OBVIOUSLY WE'RE KIND OF GETTING NOW TO THE POINT WHERE WE'RE READY TO LAUNCH.

UM, AND PART OF THE GOAL HERE IS THAT ALL THE SEVEN OR EIGHT, I THINK JOSH SAID PARTNERS WOULD COME TOGETHER AND EXECUTE AN INTER-GOVERNMENTAL AGREEMENT.

AND THEN EACH ENTITY WOULD THEN PUT A PERCENTAGE OF FUNDING INTO THE FUND THAT THEN COMMUNITY WORKS WITH ADMINISTER.

UM, ONE QUESTION THAT CAME UP WAS THE BENEFITS BETWEEN A REGIONAL AND A LOCAL HOUSING TRUST FUND.

AND WE CAN GET MORE IN THE WEEDS ON THAT, MR. LENNOX, IF YOU, IF YOU'VE GOT SOME SPECIFICS, BUT OBVIOUSLY WE'RE LEVERAGING CAPACITY, WE'RE LEVERAGING FUNDING.

UM, YOU KNOW, WE'RE LEVERAGING, UH, DEVELOPMENT PARTNERSHIPS, WE'RE ALSO LEVERAGING PRIORITY.

SO, YOU KNOW, YOU MAY HAVE A PROJECT THAT COMES UP FIRST.

YOU KNOW, YOU MAY HAVE A PROJECT THAT IS A PRIORITY, UM, THAT WE CAN PULL PEOPLE TOGETHER.

UM, OBVIOUSLY ADMINISTRATIVE WISE, YOU'RE, YOU'RE NOT EACH ENTITY IS NOT CREATING THEIR OWN, WHICH OBVIOUSLY IS A FINANCIAL BENEFIT TO HAVE ONE ORGANIZATION THAT'S DOING THAT.

SO THERE'S A LOT OF THINGS.

AND IF THERE'S SPECIFIC QUESTIONS, WE CAN, WE CAN TALK ABOUT THAT A LITTLE BIT ABOUT US, JUST SO YOU GET A BETTER FEEL FOR WHO WE ARE.

UM, SO WE ARE A NONPROFIT LOAN FUND.

WE'RE ACTUALLY CERTIFIED BY THE US TREASURY DEPARTMENT TO BE AN AFFORDABLE HOUSING LENDER.

UM, WE DON'T JUST DO AFFORDABLE HOUSING.

WE ALSO DO SMALL BUSINESS LENDING, SO WE'RE A MICRO-BUSINESS LENDER AS WELL.

AND WE REALLY FOCUS ON PROVIDING ASSET AND WEALTH BUILDING OPPORTUNITIES THROUGH SMALL BUSINESS AND ENTREPRENEURSHIP AND AFFORDABLE HOUSING.

IT'S REALLY CORE TO OUR MISSION.

UH, WE ARE STATEWIDE, UM, EVEN THOUGH WE'RE HEADQUARTERED IN GREENVILLE, UH, THIS IS HOW WE WORK AND THIS IS REALLY HOW THE HOUSING TRUST FUND WOULD WORK.

OUR GOAL IS THAT AS PUBLIC INVESTMENTS ARE FUNNEL INTO THE FUND, UH, WE LEVERAGE THAT WITH BANK INVESTMENTS.

UH, WE LEVERAGE THAT WITH REPAYMENTS.

SO AS LOANS ARE REPAID, WE THEN TURN AROUND AND RECYCLE THOSE FUNDS.

SO WE REALLY KIND OF CREATE THIS FUNNEL, UM, FOR AFFORDABLE HOUSING IN PARTICULAR, UH, LEVERAGING THOSE PUBLIC DOLLARS AS WELL.

UM, THIS IS OUR PRODUCTS AND I'VE GOT SOME STUFF I CAN LEAVE WITH YOU JUST A QUICK SNAPSHOT.

WE, AS I MENTIONED, WE DO MORE THAN JUST AFFORDABLE HOUSING AND COMMUNITY WORKS, AND WE'LL BRING THAT CAPACITY TO HILTON, HEAD INTO THE REGION.

UM, WE COULD DO SMALL BUSINESS LOANS HERE ALREADY.

WE COULD DO OTHER TYPES OF LOANS HERE, COMMUNITY FACILITIES.

SO WE'RE EXCITED ABOUT BEING MORE IN THE MARKET HERE TO SUPPORT THE NEEDS OF THE COMMUNITY.

UM, THIS IS ALL THE DIFFERENT PRODUCTS THAT WE OFFER.

SO FOR EXAMPLE, WHEN WE ADMINISTERED THE FUND IN PARTNERSHIP WITH BUFORD COUNTY, UM, ALL THESE PRODUCTS WILL AUTOMATICALLY BE OFFERED.

UM, NO MATTER HOW MUCH FUNDING YOU GUYS COMMIT.

UM, SO WE CAN DO ACQUISITION FUNDING, WE CAN DO DOWN PAYMENT ASSISTANCE WITH CERTAIN PARTNERS.

WE DO LINES OF CREDIT.

UM, THERE'S A LOT OF DIFFERENT THINGS THAT WE CAN DO TO FINANCE, UH, OR PRESERVE AFFORDABLE HOUSING.

AND THIS IS JUST KIND OF A SNAPSHOT OF THOSE, UM, KIND OF WHERE WE ARE NOW.

SO OUR RECOMMENDATION, UM, OBVIOUSLY BEING INTRODUCED TO YOU.

SO COMMUNITY WORKS AS A POSSIBLE ADMINISTRATOR OF THE PROGRAM, UM, AND, AND WORKING WITH REGIONAL PARTNERS TO PRIORITIZE WHAT IS BEST FOR YOU.

AND SO PART OF OUR GOAL IS MEETING WITH EACH OF THESE JURISDICTIONS TO SAY IS HOMEOWNERSHIP.

YOUR PRIORITY IS A REDEVELOPMENT OF EXISTING PROPERTIES.

YOUR, YOUR PRIORITY IS THE NORTH POINT PROJECT A PART OF YOUR PRIORITY.

AND SO HOW DO WE THEN PRIORITIZE WHAT EACH GOVERNMENT ENTITIES PRIORITIES WHAT'S GOOD FOR? HARTVILLE MAY NOT BE GOOD FOR HILTON HEAD.

WHAT'S GOOD FOR BLUFFTON MAY NOT BE THE SAME ZONING OR A LOT WHAT'S ALLOWED, RIGHT? YOU GUYS HAVE DIFFERENT ZONING AND PLANNING RESTRICTIONS.

SO REALLY US MEETING ONE-ON-ONE WITH EACH OF YOU TO DETERMINE WHAT ARE YOUR PRIORITIES AND WHAT WOULD YOU WANT TO FUND AND HOW WOULD YOU WANT TO FUND THAT? SO THAT'S PART OF WHAT WE'RE DOING NOW AND MEETING WITH THE OTHER THING IS THE MOU AND A, WHICH WE'RE WORKING WITH BUFORD COUNTY ON, AND OBVIOUSLY THE INTER-GOVERNMENTAL AGREEMENT, WHICH THEN ENABLES YOU GUYS TO DO THE HOUSING FUND AS THE NEXT

[00:15:01]

STEPS.

UM, WE ACTUALLY ARE HIRING A LOCAL PROGRAM MANAGER.

SO COMMUTE WORKS.

YES, WE ARE IN GREENVILLE, BUT WE ARE STATEWIDE, BUT WE RECOGNIZE WE'RE NOT HERE EVERY DAY.

IT IS A FOUR HOUR DRIVE, ALTHOUGH I LOVE TO COME.

UM, BUT WE'RE GOING TO HAVE A REGIONAL PROGRAM MANAGER WHO WILL BE HERE IN THE BUFORD AREA.

THEY ACTUALLY WILL.

UM, ONE OF OUR PARTNERS IS THE COASTAL COMMUNITY FOUNDATION AND THEY'RE GOING TO BE HOUSED IN THEIR OFFICES IN BUFORD.

SO THERE'LL BE CLOSE BY AS WELL.

UM, SO THAT'S KIND OF WHERE WE ARE.

WE'RE TRYING TO COORDINATE, UM, YOU KNOW, SOME OF THIS, UH, EFFORT AROUND THE HOUSING TRUST, WHEN IT, A LITTLE BIT OF HISTORY OF HOUSING TRUST WINS, GENERALLY WHAT'S HAPPENING ACROSS SOUTH CAROLINA WITH HOUSING TRUST FUNDS, AND THEN HOW THIS PARTICULAR FUND WOULD BE SET UP AND ADMINISTERED.

BUT I'M HAPPY TO ANSWER QUESTIONS.

I DID WANT TO JUST KIND OF GIVE THAT REFRESHER.

THANK YOU, TAMMY BILL, DID YOU GET THAT? I DID AN EXCELLENT PRESENTATION.

AND I'LL MAKE THIS AVAILABLE.

UM, I KNOW THAT YOU HAVE IT ON YOUR DESKTOP THERE AS WELL.

SO COMMITTEE, WHAT ARE YOUR COMMENTS OR QUESTIONS? I WILL GO FIRST, MR. CHAIRMAN, FIRST ACCEPTABLE.

THANK YOU FOR YOUR PRESENTATION.

THIS IS AN INTERESTING AND INTRIGUING IDEA IN CHARLESTON.

IS IT A CITY OF CHARLESTON ONLY FUND? YEAH, LET ME EXPLAIN.

SO WHEN WE LAUNCHED THE LOW COUNTRY HOUSING TRUST, IT WAS STARTED, UH, WITH THE CITY.

I WAS ACTUALLY A CITY EMPLOYEE.

UH, THE MAYOR HAD A REGIONAL TASK FORCE THAT CAME TOGETHER AND IDENTIFIED HOUSING ISSUES.

AND THEY REALLY UNDERSTOOD THAT EVEN THOUGH THE CITY WAS MAINLY A PENINSULA SURROUNDED BY WATER, THAT THE HOUSING ISSUE WAS, WAS ACROSS THE REGION.

SO WE QUICKLY BECAME A REGIONAL HOUSING TRUST FUND, WHICH IS WHY WE, UH, BECAME A LOW COUNTRY HOUSING TRUST.

AND NOW THEY'RE CALLED THE SOCCER AND LOAN FUNDS.

SO ALTHOUGH IT STARTED AT A CITY, IT ENDED UP BECOMING REGIONAL OVER TIME.

SO DO YOU HAVE MULTIPLE MUNICIPALITIES PARTICIPATING? THEY DID AT THIS TIME NOW THEY'RE UM, THEY HAD THE COUNTY NORTH CHARLESTON, THE CITY OF CHARLESTON WHERE THE FIRST THREE THAT CAME ON BOARD AND THEN OVER TIME THEY EXPANDED, WE LAUNCHED THAT FUND IN 2003.

UM, AND THAT'S WHEN WE PASSED THE MESHER ACT.

SOON AFTER THAT TO CREATE THE ENABLING LEGISLATION, WE TRIED TO PASS TWO PIECES OF LEGISLATION.

ONE WAS THE ENABLING LEGISLATION THAT ALLOWED HOUSING FUNDS TO EXIST AND BE FUNDED BY GOVERNMENT.

AND THE SECOND WAS AN INCREASE IN THE DEED RECORDING FEE.

SO THAT, THAT WOULD HAVE ALREADY BEEN IN LEGISLATION.

BUT I THINK I STILL HAVE SCARS FROM OUR REALTORS, BUT UNFORTUNATELY, BUT, UH, MAYBE IT'S A DIFFERENT WORLD NOW.

THEY'RE VERY WELL ORGANIZED AND YES, YES.

UM, SO YEAH, SO WE WERE NOT ABLE TO GET THAT CAUSE OBVIOUSLY THAT WOULD HAVE HELPED YOU HAVE ALREADY HAD A REVENUE SOURCE THAT WOULD HAVE BEEN ENABLED BY THE ENTIRE STATE.

SO NOW WE HAVE TO DO EACH ONE INDIVIDUALLY.

SO YOU WERE ASKING ABOUT WHAT OUR PRIORITIES ARE CLEARLY ONE OF OUR PRIORITIES OF WORKFORCE HOUSING, UM, AND THE CONCEPT OF GENERATING FUNDS FOR A WORKFORCE HOUSING IS VERY APPEALING.

WHEN I LOOK AT THIS REGIONAL ENTITY THAT'S BEFORE US, AND I SEE EIGHT DIFFERENT GOVERNMENTAL ENTITIES THAT ARE GOING TO BE PARTICIPATING.

I LOOK AT IT FROM THE POINT OF VIEW OF WHAT ARE THE DIFFERENCES BETWEEN THOSE, UH, GOVERNMENTAL ENTITIES.

WE MAY BE THE WEALTHIEST.

I THINK WE HAVE THE MOST EXPENSIVE LAND HERE.

UM, AND THEN, AND SO THEREFORE THE DOLLARS DON'T GO AS FAR HERE AS THEY WOULD IN HARTSVILLE IN OUR COMPREHENSIVE PLAN, WE DO TALK ABOUT REGIONALISM AND I SEE A VALUE IN REGIONALISM, UH, FOR THE TOWN OF HILTON HEAD ISLAND.

BUT I HAVE TO BALANCE THOSE SCALES BETWEEN THE PARTICIPATION AND THE LIKELIHOOD OF PROJECTS ACTUALLY BEING BUILT HERE.

I SEE THAT THE DOCUMENT IS CURRENTLY DRAFTED, UH, WOULD FUND UP TO 100% AMI, WHICH WAS SOMETHING THAT WAS FOUGHT OVER RECENTLY BECAUSE THERE WERE MANY THAT WANTED IT LOWER.

EMPLOYEES, WORKERS WHO COME HERE FROM OFF THE ISLAND, WE KNOW THAT RIGHT, AND MANY OF THEM COME FROM RD VILLE.

AND I WOULD OBSERVE TO YOU THAT OBVIOUSLY AMI IS AN AVERAGE OVER THE ENTIRE REGION AND WE ARE THE SKEW ON NEAR THE TOP, IF NOT AT THE TOP OF THAT ARRAY.

AND SO WILL THE TOWN OF HILTON HEAD ISLAND BENEFIT FROM A REGIONAL TRUST FUND, THEN YOU GO FURTHER AND YOU SEE IN THE DOCUMENT A PREFERENCE FOR THOSE CLOSER TO 60% OF AMI.

SO AGAIN, WILL THE TOWN OF HILTON HEAD ISLAND PARTICIPATE OR ENJOY PARTICIPATION AND BENEFIT FROM THIS? ONE OF THE ARGUMENTS THAT I HEAR IS THAT WE HAVE

[00:20:01]

I MAY HAVE THEM COME FROM OTHER AREAS.

WE DON'T HAVE ANY WAY TO KNOW THAT.

AND WE DON'T KNOW THAT WE JUST GENERALLY HAVE THAT IDEA.

AND SO WHAT I'M STRUGGLING WITH IS WHAT IS GOING TO BE THE BENEFIT TO OUR CITIZENS IN THIS COMMUNITY, FROM PARTICIPATING IN THIS TRUST FUND, VERSUS FOR EXAMPLE, CREATING OUR OWN TRUST FUND, WHERE WE SET ASIDE FUNDS AS IT'S BEEN SUGGESTED HERE.

SO I'M HAVING TROUBLE WITH THE BALANCING OF THIS AND UNDERSTANDING THE BENEFIT OF THE TOWN OF HILTON HEAD ISLAND, PARTICIPATING IN THIS ROUGH SPOT TO ANSWER A COUPLE OF THINGS AND UNDERSTAND THOSE CONCERNS.

I THINK, I THINK THE NUMBER ONE BENEFIT IS THE ABILITY TO LEVERAGE SIGNIFICANT MORE FINANCIAL RESOURCES, AS WELL AS THE CAPACITY TO DELIVER, UM, ON THE TYPES OF HOUSING THAT YOU WANT.

I THINK PART OF THE STRATEGY IS TO IDENTIFY WHAT IS THE PRIORITY.

SO YOU'RE RIGHT.

I KNOW, CAUSE I WAS AT THE MEETING PRESENTING ABOUT THE 150.

YOU GUYS WANTED 150% OF AMI.

UM, BUT AGAIN, I THINK THE PRIORITIZATION OF 60% AND BELOW IS REALLY TO SUPPORT SOME OF THE HOSPITALITY TYPE WORKERS, WHICH IS A LITTLE BIT LOWER WAGE.

AND SO TO, TO REALLY TRY TO CREATE MIXED INCOME HOUSING FOR ALL INCOMES IS, IS PART OF THAT STRATEGY.

SO I UNDERSTAND WHY 60% WAS PUT INTO THE DOCUMENT.

UM, I WOULD SAY THAT IT DOESN'T PRECLUDE YOU FROM TRYING TO DO 150% OF AMI AND SOME PROGRAM THAT YOU MIGHT WANT TO DO SEPARATE OF THE HOUSING TRUST FUND.

UM, I THINK, UM, YOU MAY DECIDE TO DO THAT.

FOR EXAMPLE, WE ARE ALREADY WORKING WITH THE CITY OF BUFORD TO DO A DOWN PAYMENT ASSISTANCE PROGRAM FOR THEIR FIRST RESPONDERS.

THEY'RE DOING THAT ALREADY OUTSIDE OF PARTICIPATING IN THIS REGIONAL FUND, WE'RE DOING THE SAME THING WITH YOU FROM MEMORIAL HOSPITAL, THEY ARE USING DOWN PAYMENT ASSISTANCE TO SUPPORT THEIR EMPLOYEES TO LIVE AND WORK WITHIN A 15 MILE RADIUS OF ANY ONE OF THEIR CAMPUSES, RIGHT? SO THERE ARE SOME CREATIVE THINGS THAT WE CAN DO.

UM, BUT I THINK IN TERMS OF SOME OF THE PROJECTS THAT I SAW IN YOUR TASK FORCE DOCUMENT, UM, NORTH POINT AND SOME OTHERS, IF YOU'RE TALKING ABOUT SIGNIFICANT FINANCING AND BEING ABLE TO DO MILLIONS OF DOLLARS IN ACQUISITION, CONSTRUCTION, REHAB, GAP, FINANCING SUBSIDY, I THINK YOU'RE GOING TO HAVE A MUCH BETTER OPPORTUNITY TO LEVERAGE WITH A REGIONAL TYPE APPROACH.

BECAUSE AGAIN, I THINK OBVIOUSLY THE ADVISORY COMMITTEE, WHICH YOU GUYS WILL HAVE A SEAT ON, OR THE OVERSIGHT BOARD, UH, WOULD ACTUALLY IDENTIFY AND PRIORITIZE, PRIORITIZE PROJECTS.

UM, SO I DO, AND I THINK YOU'RE ALSO LEVERAGING THEN OF COURSE, THE ADMINISTRATIVE CAPACITY OF THAT AS WELL.

YOU KNOW, I KNOW THAT YOU'VE GOT TOWN STAFF, BUT I'M SURE THAT THEY'RE BUSY WITH OTHER THINGS, BUT HOW DO YOU THEN LEVERAGE THE ABILITY TO HAVE THE ADMINISTRATIVE SUPPORT AND THE EXPERTISE TO, UM, YOU KNOW, TO DELIVER? I KNOW THERE'S AN RFQ OUT THERE RIGHT NOW WITH SOME POTENTIAL DEVELOPMENT PARTNERS.

UM, SO I DO THINK THAT THE REGIONAL, UH, OUTWEIGHS, I DO ALSO THINK THAT, YOU KNOW, FROM A FUNDING STANDPOINT, THERE ARE SOME THINGS THAT WE CAN TAP INTO.

WE MIGHT NOT BE ABLE TO TAP INTO JUST AS ONE MUNICIPALITY OR ONE LOCAL ENTITY ON ITS ON ITS OWN.

SO I THINK THERE IS SOME SCALE SCALABILITY, BUT YOU HEAR MY STRUGGLE ABOUT WHAT, WHAT IS THE BENEFIT TO THE CITIZENS OF HILTON HEAD ISLAND? AND THE MOST I CAN COME UP WITH THERE IS THAT MANY OF THE EMPLOYEES WHO ACTUALLY WORK HERE ON THE ISLAND LIVE IN THESE OTHER COMMUNITIES WHERE HOUSING PROJECTS LIKE THIS MIGHT BE BUILT, BUT I DON'T SEE A HIGH PROBABILITY OF A PROJECT BEING BUILT HERE BECAUSE OF ECONOMIC FACTORS.

NOT BECAUSE SOME WAYS DISCRIMINATING AGAINST US, BUT JUST THE FLAT ECONOMICS, YOU CAN PUT, BUILD MORE HOUSING AND BILL FOR A CERTAIN AMOUNT OF DOLLARS, THEN YOU CAN ON HILTON HEAD ISLAND.

SO I GET THAT.

UM, BUT THIS, THIS IS A REAL STRUGGLE FOR ME, BUT THANK YOU.

I'M IMPRESSED BY YOUR PRESENTATION.

I'M IMPRESSED WITH YOU WITH YOUR PROGRAM.

AND IF WE DON'T PARTICIPATE IN THIS, WE MAY COME BACK TO YOU TO HELP US WITH OUR OWN PRODUCTS.

ABSOLUTELY.

WELL, AND AGAIN, I REALLY, UH, I HEAR WHAT YOU'RE SAYING AND I KNOW IT IS DIFFICULT, YOU KNOW, YOU GOTTA TRUST ME.

I MEAN, WE HAD A BRIDGE IN CHARLESTON, RIGHT? SO LIKE WHY WAS OUR TRUST FUND FUNDING MOUNT PLEASANT DEALS? WELL, BECAUSE WE DID SEE THE FACT THAT PEOPLE WERE LIVING IN MOUNT PLEASANT AND WORKING IN DOWNTOWN CHARLESTON, RIGHT.

OR LIVING IN NORTH CHARLESTON OR JOHNS ISLAND OR SOME OF THE OTHER AREAS AND COMING IN.

SO I UNDERSTAND THAT.

I MEAN, WE HAVE THE SAME, YOU KNOW, IN, UM, YOU KNOW, IN, IN THE MIDLANDS RIGHT.

WHERE IT'S A LITTLE BIT DIFFERENT, CAUSE YOU YOU'RE JUST CROSSING HIGHWAYS, YOU'RE NOT CROSSING BRIDGES.

AND SO, UM, BUT AGAIN, LIKE YOU SAID, YOUR WORKFORCE AND I THINK THAT'S INTERESTING DATA.

I'D LOVE TO LOOK INTO THAT AND TRACKING THE PERCENTAGE OF EMPLOYEES THAT DO.

I THINK THERE'S A HUGE OUT IN, IN COMMUTE FOR SURE.

AND THE DATA THAT I'VE SEEN, BUT, UM, I THINK THAT'S PART OF IT AND THEN THINKING ABOUT, WELL, HOW DO WE INCENTIVIZE EMPLOYEES TO LIVE ON THE ISLAND IF WE CAN, WHETHER THAT'S DOWN PAYMENT ASSISTANCE PROGRAMS OR THINGS LIKE THAT.

SO I THINK WE HAVE TO THINK CREATIVELY.

THANK YOU FOR YOUR PRESENTATION.

THANK YOU, MR. LENNOX FOR MR.

[00:25:01]

UM, I WILL SAY THAT I'M TRULY EXCITED ABOUT HAVING THIS CONVERSATION, UH, BOTH REGIONALLY AND LOCALLY.

AND, UM, AND I SEE SOME POSITIVES I'M, UH, PLEASED THAT WE'VE, UH, ENGAGED WITH SOMEONE IF YOU'RE TYPE OF KNOWLEDGE BASE.

T TOWN OF HILTON HEAD, UM, ON AN ONGOING BASIS.

UM, BUT I WANT TO OFFER OUT LOUD THAT, UH, YOU KNOW, FEEL FREE, UH, TO OFFER TO US YOUR NEGATIVE EXPERIENCES ALSO WHEN IT COMES TO HOUSING TRUST FUNDS IN YOUR EXPERIENCE.

I THINK THAT'S IMPORTANT FOR US.

UH, YOU MENTIONED THAT YOU HAD SCARS FROM DEALING WITH THE REALTORS, UM, WITH ANY OTHER SCARS THAT YOU, UH, ANY OTHER SCARS THAT YOU COULD, UH, YOU KNOW, UM, MENTIONED TO US ALONG THE WAY.

I THINK IT'D BE IMPORTANT.

UM, I'VE GOT A FEW, UH, QUESTIONS THAT I'LL TRY TO GO, UH, ONE AT A TIME, UM, THE, UM, THE LIST OF CURRENT, UH, HOUSING FARMS THAT YOU MENTIONED EARLIER, THOSE ARE THE ONLY ONES IN THE STATE.

AND ALSO JUST, COULD YOU GIVE US SOME INDICATION OF WHAT THOSE BUDGETS LOOK LIKE? ARE THEY, UH, BUDGETS THAT ENDED UP EVEN AT THE END OF THE YEAR, WAS THERE ROLLOVER AT THE END OF THE YEAR? WELL, CURRENTLY NONE OF IT BESIDES THE STATE HOUSING TRUST FUND, UM, NONE OF THESE HAVE A TRUE DEDICATED REVENUE SOURCE AS OF YET.

SO, UM, AND I WOULD SAY THE LOW COUNTRY HOUSING TRUST IS ACTUALLY NOW THE SOVEREIGN TO THE LOAN FUND, WHICH I FOUND IS NOW MORE, UH, STATEWIDE AND REGIONAL AND NOT AS MUCH GETTING GOVERNMENT FUNDS.

SO THEY'VE THEIR $40 MILLION IN ASSETS NOW.

I MEAN, THEY'VE GROWN OUTSIDE OF JUST THAT, UM, THE STATE HOUSING TRUST, WHICH IS THE DEED RECORDING FEE.

SO THEY GET A SLIVER OF THAT EVERY YEAR AND THEIR BUDGET DOES CHANGE.

I'M NOT SURE WHAT IT IS RIGHT NOW, UM, BECAUSE OF THE CURRENT ECONOMY, UM, THE, BOTH THE GREENVILLE HOUSING FUND AND THIS FARMER HOUSING FUND WERE ONLY JUST RECENTLY LAUNCHED AS YOU SAW.

AND I THINK THE GREEN BOND HOUSING FUND IS NOW UP TO ABOUT 10 MILLION.

SO GREENVILLE COUNTY AND THE CITY OF GREENVILLE.

SO EVEN THOUGH IT WAS LAUNCHED WITHIN THE CITY, IT WAS A CITY INITIATIVE, JOHN CASTEEL, WHO WAS A CITY MANAGER AT THE TIME AND THE MAYOR LAUNCHED IT ORIGINALLY.

AND THEN THE COUNTY CAME ON BOARD LATER.

SO THEY JUST, THEY JUST COMMITTED $7 MILLION TO THE FUND.

SO THEY HAVE GROWN.

THIS IS JUST HOW THEY WERE LAUNCHED AND THEN PHILANTHROPY ADDED BECAUSE THEY, UM, BECAUSE IT WAS A SEPARATE ENTITY, UH, THE SAME WITH THE SPARTANBURG FUND, IT WAS FUNDED INITIALLY WITH A ONE POINT MILLION DOLLAR DEVELOPER FEE, UH, FOR A PROJECT IN THE CITY OF SPARTANBURG.

AND NOW THE COUNTY IS COMING ON BOARD.

UM, SO AGAIN, NOT A WHOLE LOT OF HISTORY THERE TO, TO SHARE WITH YOU ON, ON THAT.

SOME OF THE OTHER, UM, NATIONAL ONES THAT HAVE EXISTED HAVE EXISTED FOR 20 PLUS YEARS.

AND HAVE YOU USED ACCOMMODATIONS TAXES? THEY'VE USED THE, YOU KNOW, MILLAGE, THEY'VE DONE BONDS.

SO A LOT OF THEM WILL DO A BOND OR BOND REFERENDUM, WHICH TYPICALLY COMES FROM THE COUNTY.

UM, SO THAT'S A BENEFIT IF THE COUNTY DECIDES TO DO THAT.

UM, SO THERE'S OTHER WAYS TO LEVERAGE THOSE RELATIONSHIPS AND, UH, THE, THE, UH, THE OPPORTUNITY FOR SOME FLEXIBILITY WITH FUNDING, I THINK IS IMPORTANT WITH DEVELOPING THIS NON PROFIT.

UM, BUT ONE OF THE, I GUESS, STRUGGLES WITH THE, IN A GOVERNMENT AGREEMENT, UM, IS THE REPRESENTATION ON THE BOARD WHERE I CAN APPRECIATE NOT HAVING ELECTED OFFICIALS THERE BECAUSE IT COULD BECOME SOMEWHAT POLITICAL.

UM, BUT WHEN YOU ARE SOLD, UH, SO BRAND NEW AND NOT HAVE A WHOLE LOT OF FINANCIAL HISTORY, UM, THERE MAY BE SOME, UH, SOME HESITANCY FROM ELECTED OFFICIALS TO OFFER UP FUNDING, NOT UNDERSTANDING WHAT BUDGETARY RESPONSIBILITIES AND OUTFLOW IS GOING TO BE.

SO I'M NOT SURE, I MEAN, WE'VE GOT TIME TO KIND OF THINK THROUGH THAT A LITTLE BIT.

IT'S A GREAT QUESTION.

WE DID TALK A LOT ABOUT THAT OVER THE LAST YEAR OR WHATEVER WE'VE BEEN DOING, THE INTERGOVERNMENT AGREEMENT ABOUT ELECTED OFFICIALS OR NOT.

I WILL TELL YOU THAT WHEN I LAUNCHED THE LOW COUNTRY HOUSING TRUST FUND, YOU KNOW, MAYOR RILEY WAS VERY ADAMANT THAT IT WOULDN'T BE A LOT OF ELECTRIC OFFICIALS BECAUSE THEN THE WHOLE BOARD WOULD BE ELECTED OFFICIALS.

AND, YOU KNOW, SO WE DECIDED NOT TO GO THAT ROUTE.

I WILL SAY IN GREENVILLE, WHEN WE LAUNCHED THE GREENVILLE HOUSING FUND, IT WAS ONLY THE CITY AND THE COUNTY, AND THERE WAS AN APPOINTED PERSON FROM, UM, THE CITY AND THE COUNTY.

SO EVERYONE HAS DONE IT A LITTLE BIT DIFFERENT.

UM, I WOULD SAY PART OF THE OVERSIGHT BOARD BEING YOUR SELECTION, HILTON HEAD WOULD HAVE A SELECTION.

SOMEONE IN THE COMMUNITY THAT YOU GUYS FEEL ARE REAL REALTOR, HOME BUILDER THAT HAS EXPERTISE IN THIS FIELD.

AND THEN ALSO YOU FEEL CONFIDENT ABOUT WOULD BE YOUR REPRESENTATIVE REPRESENTATION, BUT THEN WE'D ALSO BE DOING OBVIOUSLY ONGOING REPORTING TO YOU AS COUNSEL, YOU AS FINANCE COMMITTEE, YOU AS

[00:30:01]

I THINK THAT'S PROBABLY MORE IN OUR AGREEMENT WITH ADMINISTERING THE PROGRAM.

SO I THINK THAT TYPE OF OVERSIGHT CAN STILL EXIST, BUT I THINK THE CHALLENGE HAS ALWAYS BEEN HOW MANY ELECTED OFFICIALS, IF THAT THEN THE WHOLE COMMITTEE IS LIKE THAT OFFICIALS AND, AND THEN THE ELECTED OFFICIAL DOESN'T GET REELECTED, THEN YOU'RE STARTING ALL OVER.

SO THERE'S, THERE'S SOME OF THAT THAT DOESN'T CREATE CONSISTENCY.

AND IN THIS TYPE OF AN INITIATIVE, YOU REALLY WANT CONSISTENCY AND YOU REALLY WANT THE EXPERTISE TO REPRESENT YOUR COMMUNITY.

FOR SURE.

I THINK THE, UH, THE REPORTING OR THE INTERRELATIONSHIP, THE COMMUNICATION BACK AND FORTH IS KEY.

AND, YOU KNOW, HOW YOU, UH, CONCRETE THAT IN THE AGREEMENT, UM, IS IMPORTANT BECAUSE WE CAN'T ALWAYS MEASURE, UM, YOU KNOW, THE EFFECTIVENESS OR THE LACK OF BY NUMBERS, RIGHT? UM, THERE ARE OTHER WAYS TO MEASURE THAT.

I THINK THAT'S IMPORTANT THAT THAT COMMUNICATION CONTINUES TO COME BACK TO ELECTED OFFICIALS AS WE ARE MAKING DECISIONS ALONG THE WAY.

UM, THE, THE OTHER THING WAS, UM, YOU WERE TALKING A LOT ABOUT, YOU KNOW, HILTON HEAD BEING A, A DOUGHNUT COMMUNITY, SO TO SPEAK AND DONOR COMMUNITY.

AND, UM, YOU KNOW, THERE IS SOME, UH, CONCERN ABOUT OUR RETURN ON OUR INVESTMENT WHEN IT COMES TO THIS JUNCTURE.

UM, BUT YOU MENTIONED A COUPLE OF THINGS THAT I WOULD JUST WANT TO BE CLEAR.

UM, THEY AWESOME ITEMS THAT RUN ACROSS THE COUNTY OR THE REGION.

UM, HOMELESSNESS IS ONE THAT COMES TO MIND, UH, REHABILITATION OF, UH, CURRENT UNITS THAT ARE ON THE GROUND, PARTICULARLY THOSE THAT ARE RELYING ON HUD FUNDING, WHICH DOES NOT ALLOW THEM TO TAP INTO FUNDS TO KEEP THE PLACES UP.

UM, THIS COULD POTENTIALLY HELP WITH THAT.

AM I CORRECT? RIGHT, RIGHT.

I MEAN, WE COULD TRY TO TWEAK IT'S HAPPENED TO OTHER FUNDING SOURCES THAT COULD BENEFIT THE REGION, LIKE YOU'RE SAYING AS A MORE REGIONAL APPROACH.

SO YES.

I MEAN, IT COULD BE FUNNY THAT WE DON'T CURRENTLY ACCESS NOW FOR HILTON HAD, THAT COULD BE BENEFICIAL OR WE COULD OFFER, UH, PROGRAMS THAT THOSE ARE PRIORITIES.

I KNOW THERE WAS A DISCUSSION IN THE STUDY IN THE TASK FORCE AROUND REHAB REHABILITATION, EXISTING HOMES.

WE KNOW HEIRS PROPERTY IS AN ISSUE, UM, IN THE ISLANDS, FOR SURE.

IT WASN'T ISSUE IN CHARLESTON.

SO YEAH, I THINK THE GOAL THE WAY I SEE IT, NEXT STEPS, IF THERE, IF HILTON HEAD PARTICIPATES IN THIS REGIONAL EFFORT IS WE WOULD SIT DOWN WITH YOUR PLANNING TEAM, YOUR COMMUNITY, YOU KNOW, YOUR, YOUR STAFF, AS WELL AS, UM, WHOEVER WHOMEVER ELSE AND PRIORITIZE BASED ON WHAT YOU GUYS DID WITH THAT FORCE AND SAY, CAUSE YOU MENTIONED WORKFORCE HOUSING SPECIFICALLY, UM, WHICH WHEN YOU SAID ABOUT WHAT ARE THINGS THAT, UH, ARE NEGATIVES OR CONCERNS A LOT OF TIMES IT'S ABOUT HOW WE TALK ABOUT AFFORDABLE HOUSING AND THE WHOLE, THE NIMBY, NOT IN MY BACKYARD AND HOW WE REALLY, UM, THOSE ARE SOME, SOME CHALLENGES, UH, THAT WE SOMETIMES FACE ON THE TYPE OF HOUSING, YOU KNOW? SO I THINK WE'D WANT TO MAKE SURE THAT WE'RE PRIORITIZING THOSE AREAS, BUT YOU'RE RIGHT.

WE COULD LEVERAGE SOME OTHER RESOURCES COUNTY-WIDE, UM, THAT MAY, WE MAY NOT BE ABLE TO TAP INTO JUST INDIVIDUALLY OR MAYBE HAVE THE POLITICAL WILL THE, BECAUSE OF NIPPY.

I MEAN, SO NOT YOU AS ELECTED OFFICIALS, BUT JUST COMMUNITY COMMUNITY-WIDE RIGHT.

SO, SO, UM, THE HOMELESSNESS, UM, YOU KNOW, THE COUNTY HAS CONTINUED TO, UH, REPORT THAT WE DON'T HAVE A WAY TO, UH, TO PUT METRICS AROUND THE NUMBER OF HOMELESS FOLKS IN THE COUNTY BECAUSE WE DON'T HAVE A SHELTER.

AND, UM, IN THIS CASE, UM, YOU KNOW, LOOKING DOWN THE ROAD, MAYBE THERE'S OPPORTUNITY FOR A SHELTER, UH, VERSUS US JUST CONTINUING TO SAY WE CAN'T COUNT BECAUSE WE DON'T HAVE ONE, KNOWING THAT THERE IS A HOMELESSNESS FACTOR HERE ON HILTON HEAD AND THROUGHOUT THE REGION.

UM, ANY IDEAS AS TO HOW THE GREEN SPACE REFERENDUM IDEA WOULD PLAY INTO SOMETHING LIKE THIS, YOU KNOW, WHEN YOU START TO TALK ABOUT HOUSING AND AFFORDABILITY, IT ALL GETS BACK TO SUPPLY AND DEMAND IN MY MIND.

OR UNUSED FACILITIES, COMMUNITY FACILITIES, THINGS LIKE THAT, THAT CAN BE TRANSFORMED INTO AFFORDABLE HOUSING.

UM, THE MORE SUPPLY YOU HAVE, HOPEFULLY THE DEMAND CAN CATCH UP AND WE GET RENTS THAT, UH, UH, SENSIBLE, RIGHT.

UM, ANY THOUGHTS ON HOW, UH, YOU KNOW, THE ACQUISITION OF, OF, OF RAW LAND OVER TIME WOULD BENEFIT OR NOT BENEFIT THIS PROGRAM? WELL, YOU CERTAINLY COULD USE SOME OF THE FUNDING TO LAND BANK, RIGHT.

AND I KNOW YOU GUYS HAVE SOME LAND THAT YOU'RE LOOKING AT REPURPOSING FOR AFFORDABLE HOUSING.

I THINK, YOU KNOW, UM, THE OTHER WORD THAT MAY OR MAY NOT BE A GOOD WORD HERE IS, YOU KNOW, MORE DENSITY ON CERTAIN PARCELS THAT MAKE SENSE ALONG CERTAIN CORRIDORS IN CERTAIN AREAS.

I'D ALSO SAY, I'M NOT SURE, YOU KNOW, WHAT KIND OF LAND INVENTORY HAS BEEN EVALUATED THROUGH FAITH-BASED ORGANIZATIONS, WHICH IS A GREAT STRATEGY TO SUPPORT AFFORDABLE HOUSING.

UM, BECAUSE A LOT OF TIMES THERE WAS LAND

[00:35:01]

SO I THINK THERE'S SOME CREATIVE THINGS WHEN YOU TALK ABOUT, UM, YOU KNOW, MINIMAL LAND ABILITY.

UM, AND CERTAINLY, UM, I KNOW THERE'S SOME CHALLENGES CAUSE JOSH AND I HAVE TALKED ABOUT COMMERCIAL PROPERTIES AND HOW DO YOU REPURPOSE COMMERCIAL PROPERTIES IN A WAY THAT COULD BE USED FOR AFFORDABLE HOUSING? SO I THINK IT IS ABOUT THAT EVALUATION OF THOSE DIFFERENT AREAS.

UM, AND I KNOW CONSERVATION AND GREEN SPACE IS REALLY IMPORTANT, YOU KNOW, TO THE LIVELIHOOD HERE IN HILTON HEAD.

AND SO BALANCING THAT IS CERTAINLY, UM, UH, AN ISSUE THAT YOU GUYS FACE, BUT I THINK ARE SOME CREATIVE WAYS TO THINK ABOUT OTHER LAND OPPORTUNITIES AS WELL.

SURE.

THANK YOU, MS. JANET.

UM, THOSE ARE MY QUESTIONS.

I JUST WANTED TO MENTION THAT WITH THE, UH, THE AMOUNT OF FUNDING THAT IS BEING PROPOSED BY MUNICIPALITY WITH OUR CONTRIBUTION BEING, UH, YOU KNOW, JUST UPWARDS OF A MILLION DOLLARS OVER NINE YEAR PERIOD, UM, AND US WANTING TO CONTINUE TO BE REGIONAL PLAYERS, UM, AND THE FACT THAT THIS IS GOING TO OFFER UP MORE FLEXIBILITY FOR US.

UM, AND RIGHT NOW WE DON'T HAVE A WHOLE LOT OF OPTIONS.

UH, SO, UM, I'M INCLINED TO, UM, TO MOVE THIS ALONG SO WE CAN HAVE A DISCUSSION WITH THE FULL COUNCIL, UM, ON THIS TOPIC.

SO THANK YOU.

WELL, YOUR THOUGHTS AND WHAT WOULD YOU HAVE TO GET? UH, I HAVE SOME COMMENTS THAT, UH, I WOULD LIKE TO OUR, UM, OUR GUESTS TO, UH, UH, TO WEIGH IN ON, UH, FROM MY PERSPECTIVE, I DON'T VIEW THIS AS A, UM, A BINARY DECISION.

WE EITHER FUND A REGIONAL, OR WE FIND A LOCAL, UH, I CAN SEE THE REAL VALUE OF DOING BOTH.

UH, AND WHEN YOU LOOK AT THE AMOUNT OF THE CAPITAL CALL ON US OVER A 10 YEAR PERIOD, IT, UH, IT'S REALLY NOT A LOT OF MONEY FROM OUR PERSPECTIVE.

UH, AND AT THE SAME TIME, A LOT OF GOODWILL AND A LOT OF GOOD, UH, PRODUCT I THINK CAN COME FROM THIS.

SO MY QUESTION, UH, MY FIRST QUESTION IS, UH, IF WE CHOSE TO PARTICIPATE IN A REGIONAL PROGRAM, WHICH, WHICH I'M INCLINED TO DO, UH, W W WOULD IT BE POOR FORM ON OUR PART TO ALSO, UH, DEVELOP A LOCAL PROGRAM THAT WE FUND AND CONTROL, UH, AT A HUNDRED PERCENT LEVEL.

SO I GUESS IT WOULD DEPEND, AND I'D MENTIONED TO THIS BRIEFLY TO JOSH AT THE MEETING, UM, IF THERE IS A PRIORITY, FOR EXAMPLE, THE 150% OF AMI, AND YOU'VE GOT A TARGET PROGRAM OR PRODUCT THAT YOU WANT TO OFFER, UM, I THINK YOU COULD SET THAT ASIDE, UM, TO SUPPORT LIKE CITY OF BUFORD, THEY SET ASIDE A HUNDRED THOUSAND DOLLARS FOR DOWN PAYMENT ASSISTANCE FOR FIREFIGHTERS POLICE, THAT KIND OF THING TO LIVE WITHIN THE CITY OR WITHIN A CERTAIN MILE RADIUS, BECAUSE THEY KNOW THAT THEY MAY BE LIVING IN THE COUNTY.

UM, SO I THINK THAT THERE IS SOME CREATIVITY THERE, MR. HARKINS, THAT WE COULD THINK ABOUT IF YOU WANTED TO KEEP SOME FUNDING AND I DON'T KNOW, DO YOU ALL GET CDBG? AND YEAH.

SO, YOU KNOW, LIKE YOUR CDBG AND HOME FUNDS THAT YOU GET ALREADY FROM THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, IT COULD BE THAT JUST THIS, MAYBE YOU PAIR THIS WITH THAT MONEY IN SOME FORM OR FASHION WHERE CDBG IS NOT BENEFICIAL.

I KNOW YOU USUALLY USE IT FOR INFRASTRUCTURE A LOT OF TIMES, RIGHT.

UM, OR HOME FUNDS.

UM, YOU PAIR THIS UP WITH THAT, SO YOU COULD DO THAT.

AND THEN YOU WOULD JUST ADMINISTER IT THROUGH YOUR STAFF THAT IT CURRENTLY ADMINISTER CDBG AND HOME.

SO THEN YOU DON'T HAVE AN ADDED STAFF CAPACITY.

I THINK THE BIGGEST THING WITH THIS, MR. BROWN, AS YOU MENTIONED, IS THE, THE BENEFIT OF, OF A HUNDRED THOUSAND DOLLARS PER YEAR.

YOU WOULDN'T BE ABLE TO HIRE A PERSON FOR A HUNDRED.

YOU KNOW WHAT I'M SAYING? I MEAN, I'M JUST BEING HONEST AND CANDID ABOUT THAT BECAUSE IT'S DIFFICULT TO FIND THE EXPERTISE THAT YOU NEED.

AND THEN LEVERAGE THAT A HUNDRED THOUSAND WITH BANG FINDING, YOU KNOW, WE GET CRA INVESTMENTS BECAUSE WE'RE A CFI, YOU KNOW, SO WE HAVE BANKING RELATIONSHIPS.

SO I THINK THOSE REGIONAL APPROACH ALLOWS YOU TO LEVERAGE SOME OF THAT STAFFING CAPACITY, BUT IT DOESN'T PRECLUDE YOU TO SET ASIDE FUNDING JUST LIKE YOU WOULD IN YOUR NORMAL BUDGET FOR SOMETHING THAT YOU SPECIFICALLY WANT TO PRIORITIZE.

UM, I THINK THAT THAT'S, THAT'S ABSOLUTELY POSSIBLE.

WELL, UH, JUST CONTINUING ON THIS TRAIN OF THOUGHT, UM, WOULD IT BE POSSIBLE AND WOULD IT MAKE SENSE TO YOU IF, UH, WE, WE JUMPED INTO THE POOL WITH THE MULTI-COUNTY EFFORT, UH, AND CONTRIBUTED OUR A HUNDRED K A YEAR AND, UH, GAVE THAT OUR

[00:40:01]

BEST EFFORT.

AND AT THE SAME TIME WE CONTRACTED WITH YOU OR A COMPANY LIKE YOU, UH, TO, UH, UH, HELP US WITH A SHARP FOCUS ON HILTON HEAD ISLAND.

I MEAN, I THINK THAT'S, THAT'S POSSIBLE IF YOU NEEDED OUR ASSISTANCE OR CONSULTING SUPPORT, OR, I MEAN, OBVIOUSLY WE'RE ALREADY GOING TO BE HERE.

AND IF YOU'RE A PART OF THE MULTI-REGIONAL EFFORT, WE HAVE AN AGREEMENT THAT WE SENT TO ERIC GREENWAY TO EVALUATE TO, UM, FOR US TO ADMINISTER THE REGIONAL FUND.

UM, AND IF THERE'S SOMETHING SEPARATE THAT YOU WANTED FROM COMMUNITY WORKS, OR FROM, YOU KNOW, FROM US, THEN WE COULD CERTAINLY HAVE THAT DISCUSSION.

IF THERE'S SOMETHING YOU'D LIKE US TO EVALUATE OR SUPPORT OR COMPLIMENT YOUR STAFF.

CAUSE YOU'RE, YOU KNOW, I KNOW YOU HAVE STAFF THAT ARE ALREADY RUNNING SOME PROGRAMS, BUT THAT'S CERTAINLY A POSSIBILITY.

FOR HOMEBUYERS OR SOMETHING.

AND, UH, YOU WERE MENTIONING, UH, EARLIER, UH, HOW DIFFICULT IT IS TO HERD CATS, IF YOU WILL, UH, IN REFERENCE TO ANOTHER COMMUNITY, UH, BRINGING US, UH, I DON'T THINK WE HAVE A STERLING RECORD FOR, UH, WORKING TOGETHER ON A REGIONAL BASIS.

AND I THINK, UH, I THINK THIS IS ONE EXAMPLE OF, OF, OF A REGIONAL EFFORT THAT T I THINK YOU USE YOUR WORDS OR THE WORDS IN THE REPORT REALLY REFLECTS BEST PRACTICE, UH, BECAUSE, UH, I THINK WORKING TOGETHER, UH, IS GOING TO IN EUROPE TO THE BENEFIT OF ALL OF US, BUT I THINK IF WE, AND THIS IS PROJECTION, BUT I THINK WE'RE READY TO CHOOSE NOT TO JOIN IN THIS.

I THINK WE MAY BE PUTTING A WET BLANKET ON OTHER INITIATIVES, UNRELATED TO THIS THAT COULD, UM, UH, RISE AND BENEFIT THE ENTIRE WILD-TYPE COUNTY AREAS.

SO I THINK THAT'S MORE OF A POLITICAL COMMENT, UH, TO, TO MOVE IN THIS DIRECTION, GETTING BACK TO GETTING BACK TO THE HERDING OF CATS.

UH, ANYTIME YOU GET A GROUP TOGETHER FROM TIME TO TIME, PEOPLE WILL NOT GET ALONG.

UH, THERE'LL BE CONFLICT.

YOU HOPE IT'S HANDLED IN A MATURE, POSITIVE WAY, BUT, UH, CONFLICT IS PART OF LIFE.

AND WHEN THAT OCCURS, HOW IS IT RESOLVED IN THIS KIND OF ORGANIZATION THAT WE'RE WE'RE DISCUSSING TODAY? YEAH.

SO THERE, THERE IS IN THE AGREEMENT.

I DON'T HAVE IT IN FRONT OF ME, BUT, UH, IT'S A GREAT POINT.

I MEAN, OBVIOUSLY YOU CAN TERMINATE THE AGREEMENT.

I MEAN, THERE'S SOME LANGUAGE IN THERE ABOUT THAT.

THERE'S ALSO SOME, UH, DISCUSSION AROUND HOW TO MITIGATE CERTAIN ISSUES.

SO, I MEAN, I THINK IF THERE WAS A COMPLAINT OR SOME ISSUE, THEN WE'D HAVE TO LOOK AT THE TERMINATION OR MITIGATING ANY SPECIFIC ISSUES SPECIFICALLY TO THAT INTERGOVERNMENTAL AGREEMENT.

AND I'M SURE, UM, THAT YOU HAVE OTHER INNER GOVERNMENTAL TYPE AGREEMENTS THAT, YOU KNOW, EITHER HAVE BEEN SUCCESSFUL OR NOT SUCCESSFUL.

LIKE YOU'RE SAYING THERE'S SOME HISTORY THERE.

UM, BUT OBVIOUSLY THERE IS AN OUT, UH, IN, IN THAT AGREEMENT.

AND THEN I WOULD ASSUME AS LONG AS THERE'S NO FUNDING DEPLOYED INTO A SPECIFIC PROJECT, UM, FUNDING WOULD THIS THEN BE RETURNED TO, WITHOUT READING THE DETAILS AND NOT BEING A LAWYER, UM, THAT THE FUNDS WOULD BE RETURNED TO HILTON HEAD OR NOT DISPERSED TO A PROJECT OR SOMETHING.

SO I'M SURE THAT WOULD HAVE TO, WE HAVE TO UNWIND THAT, UM, UH, AS WELL.

AND MY LAST QUESTION MAY NOT BE A FAIR ONE, BUT JUST SPECIAL.

JUST CONSIDER YOURSELF AS OUR, UH, HEAD OF PR THE TOWN OF HILTON HEAD FOR A MOMENT.

AND THE TOWN OF HELM HAS DECIDED TO JOIN THIS MULTI-REGIONAL EFFORT IN AT THE SAME TIME.

IT HAS DECIDED IN CURRENTLY TO HAVE A, UH, A LOCAL HILTON HEAD EFFORT AT THE SAME TIME.

HOW COULD YOU STYLIZE THAT? SO IT WOULD BE WELL ACCEPTED AND UNDERSTOOD IN THE COMMUNITY.

UH, I THINK, I THINK, WELL, I THINK IT'S TWO PRONGED STRATEGY.

ONE IS, UM, HILTON HEAD IS COMMITTED TO THE REGION, TO THE SOUTHERN LOW COUNTRY REGION TO SUPPORT AFFORDABLE WORKFORCE HOUSING.

UM, UM, IS PART OF THE MESSAGING.

AND PART OF THAT COMMITMENT IS INVESTING FINANCIAL RESOURCES, NOT ONLY IN HILTON HEAD, BUT IN OUR NEIGHBORING PARTNERING COMMUNITIES TO MAKE SURE WE HAVE A SUCCESSFUL REGION.

THE SECOND PIECE COULD BE, BUT TO PRIORITIZE SOMETHING THAT'S VERY IMPORTANT TO HILTON HEAD, WE ARE LAUNCHING THIS SPECIFIC PROGRAM IN HILTON HEAD IN ADDITION TO OUR INVESTMENT IN THE REGION.

AND SO YOU BECOME A TWOFER.

YOU'RE NOT ONLY FOCUSED ON THE REGION AND THE REGIONAL BENEFIT OF AFFORDABLE WORKFORCE HOUSING FOR THE COMMUNITY.

AND SO I KEEP LOOKING UP, UM, BUT YOU'RE ALSO SAYING, BUT WE ALSO PRIORITIZE THIS SPECIFIC THING, WHATEVER THAT IS, MR. HARKINS, I'M NOT EXACTLY SURE.

LIKE, LIKE DOWN PAYMENT ASSISTANCE

[00:45:01]

I DON'T KNOW WHAT THAT, I'M JUST USING THAT AS AN EXAMPLE, SINCE IT'S THE TWO RECENT ONES WE'VE DONE ALREADY, UH, IS AN OPPORTUNITY.

I WOULD ALSO SAY YOU SAW IN THE GREENVILLE MODEL PHILANTHROPY PUT IN A MILLION DOLLAR.

SO WHEN THE CITY SAID, WE'RE GOING TO DO THIS, PHILANTHROPY SAID, WELL, WE'LL DO IT IF YOU DO IT RIGHT.

IT WAS KINDA LIKE TIT FOR TAT.

AND SO I ALSO THINK THAT THE COASTAL COMMUNITY FOUNDATION, WHICH IS A FUNDER IN THE REGION, AND THEN I'VE ALSO TALKED WITH SCOTT OVER AT LOW COUNTRY, UM, ABOUT THE HOUSING FUND MODEL.

YOU KNOW, WE CAN HOPEFULLY LEVERAGE SOME OTHER PARTNERS TO INVEST IN WHETHER IT BE THE REGIONAL PRIORITY OR LOCAL PRIORITY, BUT, UM, I'M NOT A COMMUNICATIONS EXPERT.

I WAS A POLITICAL SCIENCE MAJOR BECAUSE EVERYTHING'S POLITICAL, AS YOU ALL KNOW.

AND, UH, AND SO, BUT I WOULD S I WOULD IMAGINE THAT WOULD BE THE, UM, THE STORY WOULD BE TELLING WE'RE COMMITTED TO THE REGION.

THIS IS HOW WE'RE COMMITTED TO THE REGION.

BUT IN ADDITION, WE KNOW THAT WE HAVE SOME SPECIAL NEEDS POSSIBLY IN HILTON HEAD THAT ARE A LITTLE BIT DIFFERENT THAN THE REGION.

AND SO WE'RE COMMITTING TO BOTH.

I'M DELIGHTED YOU THINK TODAY.

THANK YOU, BILL.

UH, BEFORE I GET INTO MY COMMENTS AND QUESTIONS, I THINK, UH, A COUPLE OF HOUSEKEEPING ITEMS ARE APPROPRIATE.

IT'S NOW 10 45.

WE ARE ON A HARD FINISH TIME OF ABOUT, UH, 1125, BECAUSE THERE'S AN 1130 MEETING IN THIS SAME ROOM, AND WE'VE GOT ONE MORE AGENDA ITEM.

AND IT'S JOHN PRESENTATION OF OUR, UH, FISCAL YEAR END.

UH, SO THAT BEING SAID, UH, I'LL MOVE QUICKLY.

BUT, UH, TAMMY, I WAS IMPRESSED WHEN YOU PRESENTED TO SO LOCO AND I AM MORE THAN IMPRESSED WITH YOUR PRESENTATION TO US.

UH, YOUR PRESENTATION, UH, GENERATED A COUPLE OF QUESTIONS, AND THEN I HAVE SOME HOUSEKEEPING ITEMS ON THE INTERGOVERNMENTAL AGREEMENT AS WELL.

UH, DO YOU HAVE THE CAPACITY TO TAKE ON ANOTHER TRUST FUND? YOU MEAN IN TERMS OF THIS, THE REGIONAL EFFORT, UM, DO YOU, DOES COMMUNITY WORKS, HAD THE CAPACITY TO TAKE US ON? YES.

I MEAN, WE ARE COMMITTED TO THIS REGIONAL EFFORT.

UM, WE ARE ACTUALLY, I HAVE, UH, ALREADY LOOKING TO HIRE SOMEONE WHO WILL BE HERE LOCALLY.

SO WE'RE, WE'RE ALREADY FINANCIALLY INVESTING IN THE EFFORT.

AND I WOULD SAY THAT WE'D BE DOING THAT BECAUSE WE CARE ABOUT THE REGION.

SO HILTON HEAD DOESN'T COME ON BOARD, WE'RE STILL GOING TO HIRE THIS PERSON.

AND WE'RE STILL GONNA MOVE FORWARD WITH TRYING TO SUPPORT AFFORDABLE HOUSING IN THE REGION.

UH, YES, IT IS GOOD.

THE MIDLANDS, A HOUSING TRUST FUND IS A REGIONAL TRUST FUND.

IT IS MORE THAN ONE COUNTY.

UH, IT IS IT'S IT'S LEXINGTON RICHLAND, AND THEN IT'S THE SURROUNDING CITIES IN THE AREA.

I'M NOT EXACTLY SURE.

ALL EIGHT.

I WOULD NEED TO TALK WITH JEFF MORE, BUT I CAN FIND OUT, BUT ONE OF OUR CONCERNS HAS ALWAYS BEEN, UH, THE REASON THERE'S NOT VERY MANY REGIONAL HOUSING TRUST FUNDS IS THEY'RE VERY DIFFICULT TO FORM AND MANAGE.

AND I'M SO GLAD TO HEAR THAT THERE'S ONE PRETTY CLOSE TO US THAT WE CAN FIND OUT MORE FROM, UH, THE WASHINGTON STATE HOUSING TRUST FUND WITH 15 CITIES.

IS THAT MORE THAN ONE COUNTY? OKAY.

THAT'S A GREAT QUESTION.

I DON'T KNOW, OFF THE TOP OF MY HEAD.

I THINK IT MAY JUST BE KING COUNTY IF I'M CORRECT.

SO IT COULD BE JUST ONE COUNTY WITH THE 15 CITIES IN THE WASHINGTON AREA.

THAT'S WHAT IS JUMPING OUT AT ME.

AND MOST OF THE TRUST FUNDS THAT I'VE SEEN, UH, ARE A SINGLE COUNTY LIKE GREENVILLE IN THE CITY OF GREENVILLE.

UH, I WAS REALLY PLEASED TO HEAR YOU SAY THAT AT SOME POINT IT'S POSSIBLE TO TRACK EMPLOYEES, UH, COMING FROM ACROSS THE BRIDGE ONTO THE ISLAND.

WELL, I'D BE INTERESTED IN LOOKING INTO THAT.

I DON'T KNOW IF WE CAN, BUT I THINK IT'D BE INTERESTING DATA ANALYSIS TO EVALUATE 'CAUSE.

I, I TOTALLY AGREE WITH ALEX AND I, I THINK THERE'S A LOT OF VALUE IN PROCEEDING WITH THIS, BUT EMPIRICALLY IT'S DIFFICULT TO, TO PROVE TO SOMEONE THAT WE KNOW THAT THERE ARE PEOPLE LIVING IN THE DEVELOPMENT, HARDY, A BILL THAT THIS TRUST BOND BUILT AND THEY'RE WORKING ON THE ISLAND.

WE KNOW THAT'S TRUE, BUT AT THIS POINT EMPIRICALLY, WE CAN'T PROVE IT WONDERING ABOUT THE EMPLOYERS THAT WE COULD ENGAGE TO HAVE THOSE CONVERSATIONS ABOUT IT WAS WORTH PURSUING.

I THINK SO.

HOW ARE THE NEEDS OF EACH JURISDICTION DEFINED BY THE JURISDICTION OR BY THE TRUST FUND, BY THE JURISDICTION.

EXCELLENT.

UH, TO THE IGA, UH, QUICKLY, UH, UH, IN SECTION ONE, A IT'S CONSPICUOUS IN THAT IT SAYS, UH, 60% AND LOWER AMI, UH, WILL BE RECEIVED PRIORITY CONSIDERATION.

UH, SO, UH, I'LL MENTION WHERE THAT MAY COME IN CONFLICT WITH, UH, A LATER PARAGRAPH IN THE RGA, UH, SECTION TO SEE, UH,

[00:50:01]

UH, AND WHAT ARE EXAMPLES OF QUOTE MEETING IMPORTANT STRATEGIC GOALS FOR HOUSING LOCATION? UNQUOTE? SO, I MEAN, I THINK THAT'S GOING TO BE BASED ON PRIORITIZATION, SIMILAR TO YOUR SECOND QUESTION, WHICH IS AROUND EACH JURISDICTION, DEFINING WHAT THOSE PRIORITIES ARE, BECAUSE I KNOW IN CERTAIN COMMUNITIES, DENSITY IS NOT AN OPTION, UM, BECAUSE PLANNING RULES AND THINGS LIKE THAT, BUT IN SOME AREAS, IT MAKES SENSE IN THE CITY OF BUFORD, RIGHT? SO I THINK IT'S ABOUT DEFINING WHAT THOSE KEY PRIORITIES ARE.

AND CAN YOU GO BACK OVER IN, IN SECTION TWO D UH, THERE IS MENTION OF TOOLS AND RESOURCES AVAILABLE TO THE HOUSING TRUST FUND.

AND IF YOU GO TO THE S CURL ROBINSON, UH, STUDY THAT WAS DONE FOR THE COUNTY, THEY MENTIONED FIVE OF THEM.

AND THE FOURTH OF THE FIVE IS UNDERSTANDING THE AVAILABLE TOOLS AND RESOURCES.

SPECIFICALLY MENTORS MENTIONED PARTNER WITHIN CDFI, WHICH IS WHAT WE ARE.

AND IS, IS THERE CONTINUING TO BE C R A VALUE TO LENDERS? YES.

SO COMMUNITY WORKS AND I'M HAPPY TO SEND FINANCIALS ARE ABOUT $29 MILLION IN ASSETS.

WE HAVE CURRENTLY ABOUT $10 MILLION AVAILABLE TO LEND INTO PROJECTS THAT COULD BE HERE IN THIS REGION.

PART OF THOSE INVESTMENTS ARE THROUGH CRA INVESTMENTS FROM, WE JUST GOT INVESTMENT FROM UNITED COMMUNITY BANK.

I KNOW THEY'RE HERE FIRST CITIZENS BANK, TD BANK.

UM, THOSE ARE ALL PARTNERS OF OURS THAT WE WOULD BRING TO THE KEY.

THOSE INVESTMENTS WOULD COME WITH THE RELATIONSHIP.

SO THOSE C R A RELATIONSHIPS ARE ALREADY ESTABLISHED.

EXCELLENT.

SECTION THREE C WHAT ARE OTHER SOURCES OF PUBLIC FUNDS THAT COULD BE LAWFULLY USED AFTER YEAR ONE? SO, UM, THOSE ARE, I THINK WE WOULD EVALUATE THOSE, BUT A LOT OF FOLKS DO BONDS.

CHARLESTON DID A BOND, UH, TWO BONDS OVER THE YEARS.

ONE.

UM, THEY DID A $10 MILLION AND A $20 MILLION BOND, UM, OVER TIME.

SO, I MEAN, I THINK THAT THERE'S, SOME PEOPLE DO INCREASE THEIR MILLAGE, UM, TO SUPPORT AFFORDABLE HOUSING.

UM, SOME USE SOME FEAR TAX DOESN'T THE STATE LAW PROHIBIT THAT, UM, NOT IF YOU'RE CURRENTLY ALLOW, ALLOW TO DO IT.

UM, I DO NOT THINK SO, BUT, UM, BUT I KNOW CURRENTLY ACCOMMODATIONS HOSPITALITY, THOSE ARE NOT ELIGIBLE.

ALTHOUGH OTHER COMMUNITIES ACROSS THE COUNTRY, DO YOU USE THOSE BECAUSE THEY TIE IT TO WHAT MR. STANFORD, SAN WORKFORCE HOUSING.

WE DID AN ANALYSIS OF THAT WITH FRANCIS CANTWELL AT THE CITY OF CHARLESTON MANY YEARS AGO, AND LOOKED AT THE LEGAL NEXUS AROUND THAT.

UM, BUT WE NEVER REALLY PURSUED IT.

WE WERE PURSUING MORE OF THE D WE'RE TRYING TO TIE REAL ESTATE WITH REAL ESTATE IS WHAT WE WERE TRYING TO DO.

AND WE DID THE DEED RECORDING FEE.

SO I THINK THAT'S A DISCUSSION FOR THE TOWN OF HILTON HEAD TO DECIDE WHAT MAKES THE MOST SENSE FOR YOU.

WELL, THE TRUST FUND HAVE AN ANNUAL AUDIT.

GOING BACK TO THE HOMELESS DISCUSSION, UM, ALL THE WAY UP TO MARKET RATE.

SO COMMUNITY WORKS.

WE GET ANNUAL AUDITS ALREADY, AND WE GET ALSO AN, A 1 33 AUDIT BECAUSE WE GET FUNDING FROM TREASURY AND, UM, DEPARTMENT OF HOUSING, URBAN DEVELOPMENT, SEVERAL CODRAL.

SO WE DO, WE DO GET AUDIT AND THIS WOULD BE A FUND UNDER US.

SO WE'D BE, IT'D BE A FUND WITHIN, UM, COMMITTEE WORKS.

OH, OKAY.

UH, SECTION THREE F HERE'S WHERE I THINK, UH, THE CONFLICT MAY DEVELOP.

IT SAYS PREFERENCE MUST BE GIVEN TO A PROJECT, WAS SERVED THOSE LESS THAN 100% OF THE AMI.

HOWEVER PRIORITY CONSIDERATION IS TO BE GIVEN AT, OR BELOW 60% OF AMI.

IS THAT TOUGH TO RECONCILE IN A MULTI-JURISDICTIONAL FUND WHERE YOU'VE GOT MULTI PROJECTS COMING TO THE TABLE AT THE SAME TIME? UM, I THINK, I THINK IT COULD BE, I MEAN, I THINK WHEN WE PRIORITIZE, I MEAN, I THINK THE CHALLENGE WILL BE TO IDENTIFY HOW WE PRIORITIZE PROJECTS.

UM, I DO KNOW THAT, YOU KNOW, BASED ON THE DISCUSSION THAT WE HAD, THAT THAT'S WHAT THE STUDY HAD RECOMMENDED.

SO I THINK THAT'S WHY A LOT OF PEOPLE FELT REALLY, UH, ADAMANT ABOUT SUPPORTING THAT.

NOT TO MENTION THAT THOSE ARE, ARE, ARE, ARE REALLY WAGE WORKERS THAT, YOU KNOW, TYPICALLY EARN 60% AND BELOW.

UM, I THINK WE ALSO HAVE SEEN A LOT OF SUCCESS WITH MIXED INCOME DEVELOPMENTS THOUGH, MR. LENNOX, WHICH HAS ENABLED, UM, LOWER AFFORDABILITY.

UM, A PROJECT THAT I DID IN SPARTANBURG FOR EXAMPLE, WAS 90 UNITS.

AND WE HAD AMS FROM 30% OF AMI

[00:55:01]

SO I THINK THAT WE CAN RECONCILE THAT WITH THE TYPES OF PROJECTS THAT WE PRIORITIZE IN CERTAIN COMMUNITIES AND THAT'S GOING TO HAPPEN.

AND THE VERY NEXT PARAGRAPH, UH, TIES INTO THAT.

AND THAT'S A SECTION THREE, I, IT SAYS, UH, A PROJECT WILL BE CONSIDERED BASED ON ITS MERITS.

UH, AND HOW DOES THAT NOT CONFLICT WITH, UM, UH, A PROJECT BEING VALUED AND EVALUATED ON THE LOCATION OF THOSE PROJECTS AS THEY VARY FROM YEAR TO YEAR.

SO THE WAY THAT WE, SO WE UNDERWRITE EACH PROJECT, UM, FINANCIALLY JUST LIKE A BANK.

SO WHEN WE TALK ABOUT MERIT, WE TALK ABOUT THE FINANCIAL FEASIBILITY OF THE PROJECT TO BE SUCCESSFUL.

UM, AND THEN I THINK WE'D ALSO PROBABLY EVALUATE, LIKE YOU'RE SAYING BASED ON PRIORITY, WHAT, WHAT THAT MAY CHANGE OVER TIME, YOU KNOW, THE AMI IS GOING TO CHANGE.

SO YOUR PRIORITIES MAY CHANGE.

I THINK WE'D HAVE TO EVALUATE THAT ON AN ONGOING BASIS FOR SURE.

IS IT POSSIBLE TO JUSTIFY AND APPROVED THROUGH THE FUND A PROJECT THAT WOULD HAVE AN ALL-IN COST OF $300 A FOOT ON THE ISLAND VERSUS A PROJECT THAT WOULD HAVE ALL IN COST OF $150 A FOOT IN JASPER COUNTY? I THINK, WELL, THE GOOD NEWS IS WE'RE NOT TIED TO THOSE TYPES OF RESTRICTIONS.

THINK AS LONG AS IT'S DELIVERING THE AMI, THAT WE WANT IT TO DELIVER THE COST PER SQUARE FOOT, I DON'T THINK WILL MATTER.

IT DEPENDS ON HOW WE'RE USING THE FINANCING.

SO UNLIKE STATE HOUSING AND OTHERS WHO ARE RESTRICTING HOW MUCH YOU CAN SPEND PER SQUARE FOOT, THAT'S NOT SOMETHING THAT THIS FUND NEEDS TO DO BECAUSE IT CAN BE FLEXIBLE, BUT ULTIMATELY IT ENTERS INTO WHAT KIND OF CASH FLOWS NECESSARY TO SUPPORT THE INVESTMENT.

EXACTLY.

SO YOU MAY HAVE TO SUBSIDIZE THAT PROJECT MORE WITH OTHER TYPES OF FUNDING SOURCES OR DONATION OF LAND OR OTHER THINGS TO KIND OF REDUCE THOSE SOURCES AND USES.

AND DOES THIS REGIONAL PRESS FUND HAVE A BUDGET IN AND OF ITSELF OR IS IT PART OF YOURS? UM, IT DOES NOT HAVE A BUDGET AT THIS POINT.

WE HAVE BEEN WORKING ON A BUDGET FOR JUST THE REGIONAL, SO NO, UH, YES, IT WILL.

SO WHAT WE'RE DOING NOW IS WE'RE DOING A PER COST EMPLOYEE ANALYSIS.

SO FOR EXAMPLE, MY TIME, OUR CFO'S TIME, OTHER, YOU KNOW, WE HAVE 18 STAFF MEMBERS AT COMMUNITY WORKS.

UM, THEN THERE'LL BE A PERSON THAT WE HIRE HERE.

SO WE'RE WORKING ON THAT RIGHT NOW.

GOOD.

AND WHEN THAT BUDGET IS FINALLY COMPOSED, SHOULD IT BE SUBJECT TO THE PARTY'S APPROVAL? I DON'T KNOW.

THE RGA IS SILENT ON THAT.

IT'S SOMETHING TO CONSIDER.

I MEAN, I THINK WHAT WE WOULD DO IS PRESENT A BUDGET THAT WOULD OUTLINE THE COSTS ASSOCIATED WITH THE REGIONAL FUND AND PRESENT THAT I WOULD SAY THAT I, I'M NOT SURE YOU GUYS WOULD APPROVE THAT YOU WOULD APPROVE THE PROJECT PART OF IT, BUT THAT'S A GREAT QUESTION.

UH, IN, IN THE, IN THE AGREEMENT THAT WE SENT TO ERIC, WHICH IS THE AGREEMENT TO HIRE COMMUNITY WORKS TO ADMINISTER THIS THERE'S A LITTLE BIT MORE DETAILED, AND I'M NOT SURE MR. LENNOX, THAT YOU HAVE SEEN THAT YET.

AND SECTION SIX, IT TALKS ABOUT, UH, THE FISCAL AGENTS CONTRACT, IS THERE A SAMPLE CONTRACTS SHOWING WHAT THE RESPONSIBILITIES OF THE FISCAL AGENTS IS AND IS THE FISCAL AGENT AND ADMINISTRATIVE OPERATING CONTRACTOR? ONE OF THE SAME, YES.

AND I CAN ACTUALLY SEND YOU THAT DRAFT THAT I'VE SHARED WITH ERIC AND KURT TAYLOR OF WHAT THAT OUTLINES.

CAUSE THAT WOULD BE THE AGREEMENT BETWEEN COMMUNITY WORKS AND THE REGIONAL FUND.

AND IT WOULD OUTLINE EVERYONE'S RESPONSIBILITIES.

THAT WOULD BE GOOD.

AND AT THIS STAGE, THE WAY IT'S WRITTEN, JUST FOR CLARITY, IT'S TWO IT'S THE COUNTY, BUT IT REFERENCES THAT THE INTERGOVERNMENT AGREEMENT AND THOSE THAT ARE A PARTNER INTERGOVERNMENT AGREEMENT HAVE TO AGREE UPON THIS CONTRACT.

AND THE ATTACHMENT B ONE TALKS ABOUT FINANCIAL REPORTING.

I THINK THE FINANCIAL REPORTINGS SECTION SHOULD CLEARLY DEFINE THE LEVEL OF REPORTING I SAID REQUIRED BY THE PARTIES, BUT THAT MAY NOT BE APPLICABLE, BUT MY INITIAL FEELING WAS THE PARTIES WOULD WANT TO HAVE A SAY IN WHAT SORT OF FINANCIAL REPORTING WE ALL RECEIVED.

I MEAN, I THINK THAT WE CAN ADD THAT IF IT, IF IT'S NOT AS SPECIFIC IN THERE.

I KNOW WE HAD SOME LANGUAGE IN THERE ABOUT LIKE WHAT PROJECTS WERE FUNDED, WHERE THEY WERE FUNDED, HOW MUCH WAS FUNDED, THAT KIND OF THING.

AND THEN IN ADDITION TO THE, BUT IF THERE'S SOME ADDITIONAL THINGS THAT NEED TO BE WELL, IF WE COULD SEE WHAT YOU'RE DOING NOW, THAT'D BE REALLY GOOD START.

THE PARTIES RESOLVED? UH, AND THE SECOND QUESTION IS, UH, IF, UH, LESS THAN EIGHT PARTIES, UH, UH, ARE A PART OF THIS IGA, UH, DOES THAT MEAN THE FUNDING IS RECALCULATED? I WOULD ASSUME IT WOULD HAVE TO BE RECALCULATED.

I'M SURE IT'S FINE.

AND TWO GENERAL QUESTIONS, UH, AND I THINK YOU ADDRESSED, UH, THE FIRST ONE ALREADY, AND THAT WAS HOW ARE CONFLICTS AMONG

[01:00:02]

I MEAN, IF, IF, SO YOU'RE SAYING IF THE CITY OF BUFORD DECIDES NOT TO DO IT, SO THEN I THINK IT WOULD JUST, WE JUST ELIMINATE THE FUNDING SOURCE ASSOCIATED WITH THE CITY OF ABUSE AND RE AND RECALCULATE.

WHAT THE TOTAL WOULD BE.

I KNOW THAT FORMULA CAME OUT OF THE ORIGINAL STUDY, SO I WAS NOT AS INVOLVED IN THE CALCULATION OF THE FORMULA.

SO TAMMY, I CONTINUE TO HAVE A LOT OF CONFIDENCE ON, I'M EXCITED TO MOVE THIS TO THE NEXT LEVEL.

WHAT I'D LIKE TO DO NOW IS TO, UH, READ AGAIN WHAT THIS COMMITTEE IS BEING ASKED TO DO, UH, AND THEN ASKED FOR A MOTION AND A SECOND, AND THEN OPEN IT UP TO PUBLIC COMMENT, BRING IT BACK TO THE DIAZ FOR FINAL COMMENTS, UH, AND, UM, MOVE ON THE MOTION.

UH, THIS COMMITTEE IS ASKED TO RECOMMEND AT THE TIME COUNCIL THAT IT EITHER ONE AGREE TO THE PROPOSED ITEMS CONTAINED WITHIN THE DRAFT DOCUMENT AS PRESENTED THE DRAFT DOCUMENT, BEING THE RGA, OR TO PROPOSE AMENDMENTS TO THE DRAFT DOCUMENT AS A CONDITION OF ITS PARTICIPATION IN THE IGA OR THREE DECLINED TO PARTICIPATE IN THE AGREEMENT AT THIS TIME.

IS THERE A MOTION FROM THE COMMITTEE? UH, AS MR. CHAIR, I WOULD MOVE THAT.

UM, WE, UH, WE, UH, SEND US A PROJECT TO CON TOWN COUNCIL, UH, FOR, UM, FOR, FOR THEIR APPROVAL AND I WOULD BE, UM, SUPPORTING, UM, THE NUMBER ONE, UH, OPTION THAT YOU DISCUSSED EARLIER FOR STUDY.

YOU HAVE THE MOTION.

YES, SIR.

I BELIEVE I DO.

THAT WAS A MOTION TO FORWARD TO TOWN COUNCIL FOR CONSIDERATION AND APPROVAL.

THE FIRST RECOMMENDATION, WHICH WAS TO AGREE TO THE PROPOSED DOCUMENTS WITHIN THE PACKAGE.

IS THERE A SECOND? THANK YOU, MR. BROWN.

UH, I AM NOW OPEN THE DISCUSSION TO THE PUBLIC.

ANY COMMENTS MR. HUSBAND, I'VE LIVED HERE FOR 47 YEARS.

THE FACT IS OUR PROBLEMS. HOUSING TRAFFIC OVERDEVELOPMENT HAVE BEEN CAUSED BY NO MASTER LAND PLAN.

THANK YOU, MR. HARKINS FOR THAT FOR THE LAST 45 YEARS, NO MASTER LAND PLAN, STEVE RILEY AND KICKED THE CAN DOWN THE ROAD.

POLITICIANS HAVE CAUSED THIS.

IT'S ONLY GOING TO GET WORSE AS BLUFFTON CONTINUES.

IT'S AT A CONTROL DEVELOPMENT PROVED 300 YEAR, 500 YEAR.

IT JUST NON-STOP.

WE HAVE ONE ROAD IN ONE BRIDGE THAT ON 95, IT DOES NOT WORK FOR WHAT WE HAVE ALLOWED.

YOU HAVE THE, THE LAST 40 YEARS OF ELECTED OFFICIALS HAVE DESTROYED HILTON HEAD ISLAND.

MR. STANFORD, DO YOUR POINT.

THERE IS NO BENEFIT TO HILTON HEAD ISLAND.

IT'S TOO LATE SIX POUNDS IN A FIVE POUND BAG, AND WE'RE HEADING TO 10 POUNDS BECAUSE OF THE INFLUX OF PEOPLE FROM ALL OVER THIS COUNTRY, MOVING TO THIS AREA, IT'S JUST NOT GOING TO WORK.

MANY WORKERS CAN FIND THE SAME JOBS DOWN IN BLUFFTON.

HARTVILLE WOULD THEY'RE AN OUT OF CONTROL DEVELOPMENT AND THEY CAN FIND THEY CAN FIND AFFORDABLE HOUSING THERE AS WELL.

ALSO, THE GULLAH COMMUNITY ADULTS IS JUST BEEN SEVERELY IMPACTED.

I DON'T, I'VE BEEN HERE FOR 47 YEARS.

I USED TO ENJOY MANY THINGS WITH MANY OF THE GULLAH NATIVE COMMUNITY, AND I CONSIDER MYSELF ALMOST A NATIVE AND, UH, THESE POLITICIANS HAVE, HAVE HEARTS, YOUR COMMUNITY, YOUR GULLAH COMMUNITY, AND NATIVE COMMUNITY AS WELL.

AND I THINK YOU KNOW THAT, AND I'M GLAD YOU'RE SITTING UP THERE AND YOU NEED TO START SPEAKING UP ON THAT A LOT LOUDER.

THANK YOU VERY MUCH.

ANY OTHER COMMENT FROM THE PUBLIC? IF THERE ARE NONE, I'LL BRING IT BACK TO THE DIS ANY FURTHER DISCUSSION AMONG

[01:05:01]

THE COMMITTEE.

I CANNOT SUPPORT THIS MOTION MOVING FORWARD, UNLESS, AND UNTIL I RECEIVED, UM, FURTHER INFORMATION, PREFERABLY DATA THAT WOULD SHOW BENEFIT TO THIS COMMUNITY OF PARTICIPATING IN THE REGIONAL TRUST FUND VERSUS I'M NOT OPPOSED TO THE IDEA OF CREATING A TRUST FUND.

IT'S THE REGIONAL CONCEPT AND THE BENEFIT TO OUR CITIZENS.

THAT'S MY CONCERN.

ANY OTHER COMMENT? IF THERE IS NONE KRISTA, PLEASE CALL THE ROLL.

YES, SIR.

MR. BROWN, MR. HARKINS.

MR. STANFORD.

MR. LENNOX MOTION CARRIES, SIR.

THANK YOU, TAMMY.

GOOD, GOOD JOB.

YEAR END IS JUNE 30TH AND WE HAVE REVIEWED FINANCIAL PERFORMANCE UP TO THE END OF MAY.

I'LL FOLLOW UP WITH THE TEAM HERE ON ANY OTHER ITEMS OR QUESTIONS THAT MAY COME UP AFTER AFTERWARDS AS WELL.

[6b. Town of Hilton Head Island Financial Update]

JOHN'S PREPARED TO TALK ABOUT THE PERFORMANCE THROUGH THE END OF JUNE, AND THESE WILL BE OUR UNOFFICIAL UNOFFICIAL JUNE 30TH, 2022 NUMBERS.

THEY ARE.

THANK YOU, MR. CHAIR.

UH, YES, WE'RE PUTTING THIS TOGETHER TRYING TO BE AS TIMELY AS POSSIBLE, SO YOU CAN GET AN EARLY LOOK WITHOUT HAVING TO WAIT, UM, FOR THE MORE FORMAL REPORTS LATER.

AND THEN YOU GET A SENSE OF HOW TO, HOW DID THE TOWN TURN OUT? HOW DID WE DO, UM, AND I'M COGNIZANT OF THE TIME.

AND SO I'LL MOVE FORWARD.

UH, AS USUAL, UM, WE CONTINUE TO MONITOR REVENUES, HAVE CONTINUED TO CONTROL EXPENDITURES AND ADJUST WHERE WE NEED TO, AND WE'RE ON THE HOMESTRETCH.

AND SO WE'VE GOT MOST OF OUR YEAR-END ADJUSTMENTS IN THERE'S A FEW MORE YET TO DO, BUT, UM, I THINK WE CAN PRESENT A PRETTY GOOD, UM, EARLY LOOK AND GIVE YOU A SENSE OF, UM, OUR FINANCIAL PICTURE.

AND SO WE CONTINUE TO BENEFIT ON THE TOWN COUNCILS, PREVIOUS ACTIONS.

SO BUILD RESERVES, VERSIFY REVENUE STREAMS, AND INVEST IN THE ISLAND.

THOSE THREE THINGS THAT REALLY BENEFITED THE TOWN UP TO THIS POINT.

AND, UM, UH, WE'RE REAPING THE BENEFITS JUNE, UH, YEAR TO DATE WE'D BEAT THE LAST THREE YEARS YEAR TO DATE.

UM, OUR COLLECTIONS FOR THE GENERAL FUND WERE 47 MILLION COMPARED TO OUR BUDGET OF 44.

AND SO WE WERE COMFORTABLY ABOVE BUDGET, SO WE CAN, UM, BE GLAD TO REPORT THAT NEWS, UM, REVENUE PREVIEW.

UM, WE TALKED A LOT THIS YEAR ABOUT SEASONALITY AND WHAT'S, UM, EARLY IN THE YEAR, LATE IN THE YEAR, AND SOME OF THE DIFFERENCES BETWEEN THE YEARS ON THAT DIFFERENT SEASONALITY, BUT A MORE COMPLETE PICTURE IS, UM, A FULL YEAR PRESENTED.

AND SO WHAT WE HAVE AT YOUR DATE JUNE, 2022, JUST THIS SAMPLE, IT'S NOT ALL OUR REVENUES, BUT JUST THE SAMPLE THAT WE'VE BEEN LOOKING AT EACH MONTH, UM, 99, 9 COMPARED TO LAST YEAR'S 86 6.

AND SO A VERY HEALTHY 15% ABOVE, UM, VERY FEW THAT ARE ON THE NEGATIVE SIDE.

IF YOU LOOK AT THE NEGATIVE SIDE REAL ESTATE TRANSFER FEE LAST YEAR WAS A RECORD YEAR.

AND SO IT WOULD BE 2.4% BELOW A RECORD YEAR IS, IS AN EXCELLENT YEAR.

UM, ELECTRIC FRANCHISE FEE.

WE'VE HAD A NUMBER OF DISCUSSIONS WITH OUR FRIENDS AT PALMETTO ELECTRIC AND THEIR TOTAL REVENUE IS DOWN JUST A LITTLE BIT.

AND SO OUR FEE ON THAT IS, IS DOWN JUST A LITTLE BIT.

SO WE'RE NOT, UM, DIFFERENT THAN THAT ROAD USAGE FEE WAS PAUSED BY TOWN COUNCIL.

AND SO, UM, THAT IS OUR NEGATIVE REVENUE AND PERMITS LAST YEAR.

OUR PERMITS WERE, I THINK IT WAS A RECORD YEAR, BUT IT WAS A, IT WAS, UH, AN EXCEPTIONAL YEAR, LAST YEAR.

AND SO TO BE ONLY 5.9% BELOW, UM, A VERY EXCEPTIONAL YEAR LAST YEAR, UM, I, I WOULD CHARACTERIZE THIS AS ALL, UM, UH, REALLY GOOD NEWS PROPERTY TAXES, UM, 20 21 15 9, 20 22 16 3.

AND SO WE'RE, UM, BEATING BUDGET OR BEATING EXPECTATIONS.

SO WE'RE GLAD ABOUT THAT.

THAT IS DIRECTLY RELATED TO, UH, REAL ESTATE TRANSACTIONS AND HOME VALUATIONS, UM, REAL ESTATE TRANSFER FEE.

[01:10:01]

UM, A LITTLE BIT LESS THAN 2021, UM, SUBSTANTIALLY MORE THAN 2020.

AND SO IF YOU LOOK AT, UM, FEBRUARY, MARCH, APRIL, MAY, AND JUNE, THE GREEN NUMBERS HAVE INCREASED EVERY SINGLE MONTH.

AND SO THAT'S, UH, IN SPITE OF INTEREST RATES GOING UP, OUR NUMBERS ARE STILL GOING UP MONTH BY MONTH BY MONTH.

UM, AND THE BLUE BEING LAST YEAR'S, UM, BARS, UM, WERE A RECORD YEAR.

AND SO WE'RE SLIGHTLY BEHIND LAST YEAR'S, BUT, UM, CONTINUES TO BE POSITIVE.

AND IT IS SOMETHING THAT AS INTEREST RATES RISE, OUR FEDERAL RESERVE HAS BEEN, UH, VERY AGGRESSIVE IN RAISING INTEREST RATES.

WE'LL SEE HOW THAT AFFECTS OUR LOCAL ECONOMY, LOCAL REAL ESTATE ECONOMY.

YEAR-TO-DATE COLLECTIONS.

YOU CAN SEE THE YELLOW LINE IS, UH, FISCAL 20.

UM, THE BLUE IS A 2021, AND WE'RE JUST BELOW THAT, UM, WITH THE GREEN LINE, UH, BUSINESS LICENSES, WE'VE HAD A LOT OF TALK ABOUT THAT, AND THIS IS A COLLECTION OF BOTH THE STATE AND THE LOCAL, AND YOU CAN SEE 2020, WE HAD A REDUCTION FOR, UH, THE START OF COVID.

AND SO THAT, UM, IMMEDIATE IMPACT 2020 WAS REALLY A STRONG YEAR UNTIL THE SHUTDOWN HAPPENED AT THE START OF COVID.

AND THEN YOU CAN SEE IT TURNED INTO A DROP FROM 97 TO EIGHT SEVEN, UM, AND WE CAN BE THANKFUL.

IT WASN'T WORSE THAN THAT BECAUSE OF THE STORY OF THE YEAR WAS SO STRONG, 20, 21 BOUNCE BACK AND BOUNCE BACK SUBSTANTIALLY UP TO TEN FIVE, AND YET, UM, WE DID EVEN BETTER THIS YEAR.

UM, WE CAN SEE THE SPLIT BETWEEN THE LOCAL AND THE STATE.

I THINK THIS IS, UH, SIGNIFICANT THAT IT BOTH SECTIONS ARE, ARE SHOWING INCREASES.

THE STATE COLLECTIONS REDUCE MORE THAN OUR LOCAL ECONOMY, BUT THEN THEY'VE BOUNCED BACK AND THEY'RE VERY COMPARABLE TO OUR LOCAL.

AND SO, UM, BOTH PIECES PERFORMING WELL, UM, TO LOOK IN THE NUMBERS A LITTLE BIT, LOCAL 36% UP OUR MAC OR COLLECTIONS 33% UP.

AND SO THAT DIFFERENCE OF 3%, THIS IS NOT A SCIENTIFIC CALCULATION, BUT IF WE WERE TO TRY TO PUT A MEASURE TO THE DIFFERENCE BETWEEN THE STATE COLLECTIONS AND LOCAL COLLECTIONS OF 3%, UM, THAT TIMES OUR LOCAL COLLECTIONS IS 222,000.

SO WE, WE TALKED A LITTLE BIT ABOUT THAT.

IT'S LIKE, OKAY, HOW MUCH IS THAT? UM, DIFFERENCE AT 3% ON THE LOCALS WOULD BE ABOUT $200,000, UH, EXPENDITURES YEAR-TO-DATE SPENDING 43, 6 90 8% OF BUDGET.

WE'LL TALK A LITTLE BIT MORE THAN THAT.

AND 6.5% MORE THAN ONE YEAR TO DATE.

AND SO WHAT WE SAW IS IN JUNE, UM, PEOPLE CAUGHT UP, PEOPLE CAUGHT UP WITH, UM, THE INVOICES, THE VENDORS, THE BILLING, AND ALL THE ACCRUALS.

AND SO, UM, JUNE AS NORMAL IS A HIGHER EXPENDITURE MONTH AND JUST JUNE WAS NO DIFFERENT.

UM, AND YOU CAN SEE OUR TOTALS YEAR TO YEAR COMPARISONS BETWEEN THESE CATEGORIES.

UM, THE ORGANIZATION IS A LITTLE BIT DIFFERENT, BUT I THINK THE TOTAL IS WHAT WE WANT TO TALK ABOUT FOR JUST THE TOWN'S BASIC OPERATIONS, SIX AND A HALF PERCENT INCREASE IN SPENDING.

UM, HOW DID THAT COMPARE TO BUDGET 98%, 98.7% OF OUR TOTAL BUDGET FOR THE GENERAL FUND.

AND SO WE'RE SPENDING, UM, ALMOST ALL OF THE BUDGET.

YOU CAN SEE IT SEVERAL 90 NINES THERE ON THE ACTUAL AS A PERCENT OF BUDGET.

UM, SOME INITIAL COMMENTS HERE'S, UM, OUR OTHER FUNDS, HAVE YOU PUT THAT SERVICE AND STORM WATER OUT THERE THAT SERVICE AT 99.9%, UM, STORMWATER 86%, UM, AND PUT THESE TOGETHER AT 98% OF SPENDING OF APPROVED BUDGETS YEAR BEFORE LAST COUPLE OF YEARS, WE HAVE BEEN CONCERNED ABOUT COVID THE LAST COUPLE OF YEARS WE HAVE KIND OF PURPOSELY HELD BACK AND, UH, OF SPENDING AND THIS YEAR WAS MORE, UH, WE DID A COUPLE OF THINGS, ONE, UM, HELD BACK THE BUDGET AS MUCH AS POSSIBLE.

AND SO WHAT YOU SEE IS A LITTLE BIT TIGHTER BUDGET, AND, UH, WE WERE LESS CONCERNED WITH, UM, SPECIFICALLY HOLDING BACK FOR COVID JUST BECAUSE OUR REVENUE COLLECTIONS WERE GOOD AND LET'S GO AND DO WHAT WE'RE SUPPOSED TO DO AS A TOWN.

AND SO I THINK THIS IS TELLING WITH, UM, THE GENERAL FUND MORE FULLY UTILIZED HOW'S THAT COMPARE COMPARING WHAT WE BROUGHT IN VERSUS WHAT WE SPENT 47 MILLION IN 43, 6

[01:15:01]

OUT.

AND SO NET GENERAL FUND ACTIVITY, UH, COUNCILMAN BROWN, YOU ASKED, ARE WE GOING TO GAIN OR LOSE HERE'S OUR NUMBER THREE, THREE, UM, BACK TO THE GENERAL FUND BALANCE.

AND SO THAT HELPS US IN SEVERAL DIFFERENT WAYS.

AND WE'RE HAPPY TO REPORT THAT AND THEN ADDS JUST A BETTER FINANCIAL POSITION FOR THE TOWN DEBT SERVICE.

HOW DO WE DO, UM, WE BROUGHT IN 19 FIVE, WE SPENT 19 THREE AND NET DEBT SERVICE FUND UP 144,000.

AND SO ONE OF THE THINGS THAT COUNCIL MY BROWN ASS IS, OH, WHAT ARE WE GETTING FOR OUR MONEY? AND SO A PIECE OF THAT IS, IS THAT WE'RE PAYING DOWN OUR DEBT 15 FIVE, AND WE CAN BE CELEBRATING THAT OUT OF THIS.

AND, UM, OUR INTEREST RATE, OUR INTEREST PAYMENTS OF $3.8 MILLION.

IT SHOWS THAT WE'RE, UM, UH, INTEREST IS A SMALL PORTION OF OUR PRINCIPAL, WHICH I THINK IS VERY, VERY FAVORABLE, UM, STORM WATER SERVICES.

HOW DO WE DO THERE? UM, BRINGING IN $5.1 MILLION SPENT 4.7, UM, AND IT SAYS NET GENERAL FUND ACTIVITY.

AND THAT'S MY MISTAKE, BUT IT'S REALLY NET STORMWATER ACTIVITY 360.

WE DO HAVE A COUPLE MORE ENTRIES BECAUSE STORMWATER IS PRESENTED A LITTLE BIT DIFFERENT THAN OUR NORMAL FUNDS, BUT YOU CAN SEE FROM BASIC OPERATIONS, THERE'S A SMALL SURPLUS THERE, AND WE'RE NOT REALLY LOOKING FOR SURPLUS AND STORM WATER.

IT JUST ADDS TO THE CAPACITY OF WHAT WE'RE ABLE TO DO IN THE FUTURE.

AND SO THESE FUNDS CAN BE, UM, TURNED AROUND AND REDEPLOYED, UM, FOR FUTURE STORM WATER PROJECTS, UM, CIP HOW'D WE DO, THIS IS ANOTHER BIG ANSWER TO, UH, COUNCILMAN BROWN'S QUESTION IS WHAT ARE WE GOING TO GET FOR THAT? UM, A BIG PIECE OF OUR BUDGET IS CAPITAL IMPROVEMENTS PROJECTS.

WE STARTED LAST YEAR WITH 28 MILLION.

UH, THERE WAS CARRY FORWARD OF A FEW PROJECTS TO BRING IT UP TO 32 IN OUR BUDGET PROCESS.

WHAT WE TALKED ABOUT FOR THOSE PROJECTS IS THAT THERE WOULD BE A, ABOUT A $22 MILLION CARRY FORWARD, JUST BECAUSE OF PLAN DESIGN AND, UH, OF JUST YOUR NORMAL PROGRESSION OF PROJECTS.

AND SO THAT WOULD LEAVE A PLANNED EXPENDITURE OF NINE, NINE ACTUAL EXPENDITURES TURNED OUT TO BE ABOUT SEVEN, SIX.

AND SO WE'RE SPENDING A LITTLE BIT UNDER WHAT WAS EXPECTED, BUT CLOSE.

AND SO ONE OF THE THINGS THAT WILL WE PLAN TO DO IS WE WOULD ASK COUNCIL FOR PERMISSION TO USE THE CA USE THESE UNSPENT MONIES ON JUST BASICALLY FINISHING THE SAME PROJECTS INTO THE NEW YEAR.

SO YOU'LL SEE THAT REQUEST FOR ACTION LATER, BUT IT'S NOT ANY CHANGES TO THE PROJECT, NOT ANY CHANGES TO THE PROJECT TOTALS, JUST CHANGING THE YEAR IN WHICH IT WAS GOING TO BE SPENT BEACH FEE.

ONCE AGAIN, UM, A STRONG COLLECTION YEAR, YOU CAN SEE JUNE IS OUR HIGHEST MONTH AND, UM, COMFORTABLY AHEAD OF LAST TWO YEARS, UM, YEAH, BEACH FEE THAT 11 OUT OF 12 MONTHS WAS BETTER THAN LAST YEAR.

AND SO COMFORTABLY IN HOSPITALITY.

ANOTHER, THIS IS JUNE IS OUR HIGHEST COLLECTION MONTH.

UM, CONTINUED STRONG COLLECTIONS.

UM, HERE IT IS ON AN ANNUAL BASIS.

2022 IS BETTER THAN THE LAST TWO YEARS REVENUE DIVERSITY.

THIS HELPS, UM, THIS IS A LOT TO READ, BUT IT'S A FOUR YEAR LOOK AT THE SAME REVENUES THAT WE HAVE BEEN LOOKING AT JUST AS OUR REPRESENTATIVE OR SAMPLE.

UM, AND YOU CAN SEE WITH JUNE, 2020 AT THE START OF COVID, OUR COLLECTIONS FOR THESE SPECIFIC RUNS WERE ALMOST A MILLION DOLLARS LESS THAN THE PREVIOUS YEAR.

UM, IF YOU LOOK AT JUNE, 2021 SIGNIFICANT BALANCE BACK OF 17 MILLION UP FROM THE PREVIOUS YEAR FROM 68, 8 86.

AND SO JUNE 21 REALLY, REALLY STRONG NUMBERS.

AND YET WE TURN AROUND AND, UM, BEAT THAT AGAIN IN JUNE, 2022.

SO TO GO FROM A MINUS 1% TO A PLUS 25%, AND THEN ON TOP OF THAT 25%, A 15% INCREASE FOR THIS YEAR, UM, VERY FAVORABLE.

UM, IF YOU'D LOOK AT, UH, THIS IS JUST DIFFERENT CHART FOR THE SAME THING, BUT CERTAINLY SHOWS UPWARD TREND.

AND I ABSOLUTELY NEEDS TO THANK OUR REVENUE SERVICES.

PEOPLE WHO WORK REALLY, REALLY HARD TO, UM, COLLECT EVERYTHING THAT TOWN IS OWED.

AND SO THEY'VE DONE A GREAT JOB AND YOU CAN SEE THE RESULTS ARE CERTAINLY SHOWING ON THE BOOKS.

UM, COME BACK TO COUNCILMAN STANFORD'S QUESTION.

WE'VE TALKED A LITTLE

[01:20:01]

BIT ABOUT THIS, BUT HERE'S OUR BUDGET AND OKAY.

IF THE FEDERAL RESERVE HAS A PURPOSELY TRYING TO BRING US TOWARD A RECESSION, UM, HOW ARE WE GOING TO MANAGE? YOU CAN SEE STORM WATER UTILITY.

I THINK WE WOULD PROBABLY WANT TO STILL DO THAT.

CAUSE THAT HELPS US IN A NUMBER OF WAYS THAT SERVICE, WE HAVE TO PAY GENERAL FUND.

THERE ARE LEVERS THAT WE CAN DO, BUT I THINK OUR PRIMARY LEVER WOULD BE IN THE CAPITAL PROJECTS.

UM, BUT, UM, IF WE HAD TO, UH, I THINK THERE'S A LOT OF BENEFIT TO MOVING FORWARD.

A LOT OF BENEFIT.

I, I WOULD VIEW THE CAPITAL PROJECTS AS INVESTMENTS IN THE ISLAND.

AND SO, AS WE INVEST IN, WE'RE HOPEFUL THAT IT ENCOURAGES OTHER PEOPLE TO INVEST IN OUR ISLAND AND IT HELPS EVERYBODY.

AND SO AS MUCH AS WE CAN PROMOTE THAT, I THINK THAT'S VERY FAVORABLE.

UM, HOW ARE WE GOING TO SUMMARIZE THIS RATHER THAN THESE ARE STRONG TOWN OPERATIONS IN BUDGET, CAPITAL PLANS, MOVING FORWARD, WE ADDED TO GENERAL FUND BALANCE.

WE REDUCED THE DEBT.

AND ONE OF THE THINGS YOU'LL SEE IN THE, IN THE FINANCIAL SAVINGS, I DIDN'T TALK ABOUT THIS, BUT FOR, UH, THE CAPITAL IMPROVEMENTS PROJECTS AS THEY MOVE FORWARD, WE'RE PAYING CASH PRIMARILY FOR THESE PROJECTS.

AND SO YOU WILL SEE IT JUNE, 2022, AN INCREASE IN OUR FUND BALANCES AND THAT'S, UH, TEMPORARILY.

SO IT'S, WE PLAN 22 MILLION, BUT IT'S REALLY 24, 25 ISH.

UM, OUR FUND BALANCES RAISE AND THEN FUND BALANCES, REDUCE BACK AS THOSE PROJECTS MOVE FORWARD.

AND SO THAT'S THINGS WE DON'T CARRY A LOT OF FUN BALANCE IN THE CIP, BUT YOU'LL SEE FUND BALANCE AND BEACH FUND BALANCE AND H TAX IN FUND BALANCE IN CIP AS WELL.

AND SO LOOK FOR THAT, AS YOU LOOK AT OUR FINANCIAL STATEMENTS AND, AND IT'S VERY PURPOSEFUL AND AS WE GAIN FUND BALANCE IN THOSE DIFFERENT FUNDS AND THAT PROVIDES FOR CIP, UM, HERE WE ARE.

AND SO, UH, WHAT ELSE CAN WE LOOK FORWARD? WE'RE ALREADY STARTING 20, 23.

WE WILL SEEK A CARRY FORWARD BUDGET AMENDMENT COMING SOMETIME IN THE NEAR FUTURE, JUST TO CONTINUE THOSE PROJECTS THAT WERE ALREADY APPROVED.

UM, WE WANT TO FURTHER INVEST IN THE ISLAND AND, UH, YEAH, TO COUNCILMAN BROWNS, UM, STATEMENTS.

I THINK WE'RE GOING TO CHANGE OUR EMPHASIS ON WHAT WE REPORT AND TRY TO SAY A LITTLE BIT MORE ABOUT THE VALUE, WHAT ARE WE GETTING FOR OUR TAX DOLLARS? AND I THINK THAT'S A REALLY GOOD QUESTION.

AND SO WE'LL, WE'LL TRY TO ANSWER IT.

UM, SO THIS IS WHAT WE'RE GOING TO CONTINUE TO DO STARTING UP.

AND WE ARE, UM, YEAH, WE'LL, WE'RE NOT FAR AWAY.

WE'LL GIVE YOU, UM, FINANCIAL STATEMENTS FOR JUNE.

THOSE ARE GONNA BE PRE CLOSED, BUT IT'S, UM, WE'RE RIGHT ABOUT AT THE TIME THAT WE WOULD PUT TOGETHER OUR INFORMATION FOR THE AUDITORS AND THEN LET THE AUDITORS WORK ON IT.

SO JOHN, FOR THE COMMITTEE, LET ME ASK IF YOU SEE ANY ON A FAVORABLE TRENDS, I FEEL LIKE THIS IS A REALLY POSITIVE WE'RE ONE IN A REALLY POSITIVE POSITION.

UM, OUR STEP, IF YOU LOOK AT, FROM JUNE 30TH, 2021, JUNE 30TH, 2022, I THINK, UM, ABSENT THE PAUSE OF THE ROAD USAGE FEET.

UM, EVERYTHING ELSE IS POSITIVE.

AND SO THANK YOU.

I WILL OPEN IT UP FOR PUBLIC COMMENT OR QUESTIONS AND THEN ADJOURN AT 1130.

I DID ONE SAY ONE ITEM BEFORE WE GET ONTO THAT IS THAT WE HAVE COMMUNICATIONS FROM THE COUNTY, UM, ABOUT SOME ARPA-E MONEY THAT'S COMING IN THE AMOUNT OF HALF A MILLION DOLLARS.

AND SO, UM, MARK IS DOING A LITTLE BIT OF RESEARCH AND WE'LL MAKE A FUTURE RECOMMENDATION ON HOW, HOW HE WOULD, UM, PROPOSE TO SPEND THOSE COUNTY FUNDS.