HomeMy WebLinkAboutMinutes Corpus Christi Community Improvement Corporation/Loan Review Committee - 03/15/2006 ISO
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CORPUS CHRISTI COMMUNITY IMPROVEMENT CORPORAT1OFT
LOAN REVIEW COMMITTEE
WEDNESDAY, March 15, 2006
12 NOON
STAFF PRESENT MEMBERS ABSENT
Hector G. Vallejo, NSD Program Manager Sylvia Ford
Dalia Garcia, NSD Housing Administration Supervisor Caroline Stahl
Judy Telge
Barry Lobell
MEMBERS PRESENT
Alice Vaughn
Alynda Asher
Ben Grande
Tiffany Hull
Raul Torres
David Cantu
Jesus Leija
Chairperson, Alice Vaughn called the meeting to order in the 1st Floor, Staff
Conference Room, 1201 Leopard St., City Hall, roll call was taken with seven members
present. Four members absent.
First order of business was to approve the minutes of the January 18, 2006 meeting. With
no corrections made to the minutes, Mr. Grande made a motion to approve the minutes.
Motion was seconded by Mr. Cantu. Motion passed unanimously.
SCANNED
The following loans were presented for review:
Martinez, Maria D. —4120 Angela:
The first loan application presented by Mr. Vallejo was under the Demolition and
Replacement Loan Program. Ms. Martinez will be receiving a two bedroom, one bath,840
sq ft house. She will be receiving a 0% Loan for $17,000, Minimum Deferred Loan for
$18,000 and a Deferred Forgivable Loan for$18,800. The Corporation will be in a first lien
position. Mr. Vallejo informed the Committee that the only concern on Ms. Martinez was
that she only has a monthly net income at $337. Her credit is rated good with a score of
668. This application is being presented contingent upon the title opinion coming back
from the attorney without problems. Ms. Martinez's monthly housing payment to income
ratio of 30% is okay, however her total monthly debt to income ratio is at 47% instead of
40%. Total appraised value after rehabilitation is $48,390.
Recommend approval based on the Corporation being in a first lien position; and zero
liabilities. Mr. Cantu noted that he did not receive a credit report on Ms. Martinez as well
as all of the members that were present. Mr. Torres questioned on page 2 of 4 that under
the present monthly fixed charges for life insurance, if it read right $2,500,000 or instead
should read $2,500.00. Ms Garcia informed the Committee it should read $2,500.00 and
that it will be corrected.
A motion was made by Mr. Cantu to approve the loan, motion seconded by Mr. Torres.
Motion passed unanimously.
Ordner, Blanca—4506 Anita:
The second loan application presented by Mr. Vallejo was under the Demolition and
Replacement Loan Program. Ms. Ordner will be receiving a two bedroom, one bath, 840
sq ft house. She will be receiving a 3% Loan for$35,000 and a Deferred Forgivable Loan
for $13,200. The Corporation will be in a first lien position. Mr. Vallejo informed the
Committee that Ms. Ordner has a monthly net income of$526. The title appears in her
name. Ms. Ordner's monthly housing payment to income ratio of 30% is okay, however
her total monthly debt to income ratio is at 68% instead of 40%. Total appraised value
after rehabilitation is $53,050.
Recommend approval based on the Corporation being in a first lien position; okay on the
30%total housing payment to income ratio; and she has zero liabilites. Several questions
arose from committee members regarding Ms. Ordner's loan application. In particular
length of her residency; demolition of her existing garage; family size; inheritance;
monthly house payment; and rehabilitating her current home versus a
demo/replacement. Committee members also expressed concerns whether Ms. Ordner
v
Ordner. Blanca—4506 Anita: (cont'd1
realizes she is going from a 1400 sq ft house to a smaller 840 sq ft house; also half the
size of the existing. Mr. Vallejo informed the committee that he will meet with Ms. Ordner
regarding the committee's concerns.
A motion was made by Mr. Cantu to approve the loan, motion seconded by Ms. Hull.
Motion passed unanimously.
Rivera, Santiago —2115 Coleman:
The third loan application presented by Mr. Vallejo was under the Demolition and
Replacement Loan Program. Mr. Rivera will be receiving a two bedroom, one bath 830
sq ft house. He will be receiving a 0% Loan for $17,000, Minimum Deferred Loan for
$18,000 and a Deferred Forgivable Loan for$12,546. The Corporation will be in a first lien
position. Mr. Vallejo informed the Committee that Mr. Rivera has a monthly net income at
$559. No credit history. The title appears in his name. He is within the 30% monthly
housing payment to income ratio and his total monthly debt payment to income ratio is
within the 40% limit. Total appraised value after rehabilitation is $47,525.
Recommend approval based on the Corporation being in a first lien position; he is within
the 30% and 40% ratios and he has zero liabilities.
A motion was made by Mr. Leija to approve the loan, motion seconded by Mr. Grande.
Motion passed unanimously.
Tipton, Roy and Shirley—2809 Minton:
The fourth loan application presented by Mr. Vallejo was under the Demolition and
Replacement Loan Program. Mr. and Mrs. Tipton will be receiving a two bedroom, two
bath, 904 sq ft house. They will be receiving a 3% Loan for $35,000 and a Deferred
Forgivable Loan for$20,000 with an owner's share of$740.00.The Corporation will be in a
first lien position. Mr. Vallejo informed the Committee that the Tipton's have a monthly net
income of$681.00. Their credit scores are rated good. Mr. Tipton's score is at 692,while
Mrs. Tipton's credit score is at 632. The title appears in their names. Their okay on their
monthly housing payment to income ratio of 30%, however their total monthly debt
payment to income ratio is at 67% instead of 40%. Total appraised value after
rehabilitation is $53,308.
Recommend approval based on the Corporation being in a first lien position; credit scores
being good;their monthly net income of 681; and they are within the 30% monthly housing
payment to income ratio.
b+ /11010
Tipton. Roy and Shirley-2809 Minton: (cont'dl
A motion was made by Mr. Cantu to approve the loan, motion seconded by Ms. Asher.
Motion passed unanimously.
Other Business:
Committee member Mr. Leija asked if there were any defaults. Mr. Vallejo informed the
Committee that there have been some homeowners that become delinquent and then
become current, but no recent foreclosures or defaults.
Mr. Vallejo informed the Committee that LULAC WEST PARK submitted an application
regarding the City's Rental Rehab Program for$100,000. LULAC WEST PARK currently
owns a 124 multi-family apartment complex located off Interstate 37. Mr. Vallejo
requested to the Committee if he could have Mr. Lobell and Mr. Torres assist him in
reviewing the financial aspect of the application. The Committee members indicated
approval.
Having no further business, motion to adjourn meeting was made by Mr. Cantu and
seconded by Mr. Torres. Motion passed unanimously and the meeting was adjourned.