2005 Marks CDN’s 10 year anniversary! Please come celebrate with us at our 2005 Awards Banquet September 28, 2005 at the Oregon Zoo. U.S. Representative Earl Blumenauer will be the Master of Ceremonies.

Join your fellows from the community development and affordable housing fields for a fun night looking back over 10 years of CDN accomplishments and a glimpse forward to the next 10 years of CDN progress.

The 2005 Awards Banquet will be held on Wednesday, September 28, from 5:30 to 9 pm at the Oregon Zoo’s Cascade Banquet Center. Tickets to the Banquet are $50.  Tables are available at $500. To reserve your ticket, please contact Karen at 503-335-9884 or email karen@cdnportland.org by September 12.

Many thanks to our Rooftop Sponsor, Washington Mutual.

Would you like to show your support of CDN?

Become a sponsor for as little as $750 or as much as $5000.  You will receive 10 tickets to the Awards Banquet, recognition in the program and a sign proclaiming your sponsorship at your table.  For information call Karen at 503-335-9884 by September 1 to be included in the program.

For more information on the CDN Annual Awards Banquet, click here.

Washington Mutual Takes CDC’s Out to the Beavers Game August 16

For the second straight year, Washington Mutual is teaming with CDN to sponsor “Bring It Home,” a night at the Portland Beavers ballgame for the residents, staff and board of CDN member organizations. Thanks to the generous support of Washington Mutual, a section of the ballpark will be reserved for CDN member organizations.

“Bring It Home” is clearly a hit among CDN member organizations. All of the 600 tickets that Washington Mutual provided for the August 16 Beavers game versus the Salt Lake Stingers were reserved within a week of the CDN-Washington Mutual announcement that tickets were available.

“Bringing our resident to a Beavers game is a great summertime activity,” said Tyesha McCool, the Administrative/Homebuyer Assistant at Sabin CDC. “Going to the ball park is relaxing, it is a stress release. Our residents need a chance to get away every once in a while.”

For many of the families and individuals who live in CDN Member housing, having disposable income to go to a Beaver’s game is often not financial reality. Providing an opportunity for a fun night watching baseball for people who otherwise might not be able to see a game is one of the primary reasons that Washington Mutual wanted to sponsor the event.

"Washington Mutual is committed on many levels to supporting affordable housing in Portland, including helping get out a bunch of kids and families to see a ball game," said Brian Stewart, Washington Mutual Vice President and Community Development Manager. "It might seem like a small thing, but through the eyes of a 10 year old, an evening at the ballpark may well be the highlight of the summer."

Community Housing Fund of Wash Co awarded $125K by Meyer Memorial Trust

At its June 2005 meeting, the Trustees of the Meyer Memorial Trust awarded the Community Housing Fund of Washington County a three-year challenge grant of $125,000 to help build the organizational capacity of the Fund. The grant period runs from July 1, 2005 to June 30, 2008, and funds will be released in annual increments as matching funds are raised.

The Community Housing Fund (CHF) was created in 2003 as one of the first initiatives of the Washington County Vision West community planning process. CHF is a 501c3 non-profit corporation whose mission is “to combine public, private, and philanthropic resources to create a new source of capital that will leverage the financing for the construction and rehabilitation of rental and homeownership housing targeted to serve people neglected by the mainstream housing market.” The CHF is governed by a community board of 5 members.

To date, the Fund has distributed $100,000 in resources to housing projects in Washington County. Grants of $25,000 each were made to support an 84 unit development in Tigard for families with incomes below 50% of median income and a new 10 unit project for people with mental illness in Hillsboro, a project leveraged by at least $1 million in federal funding. This month, the Fund awarded two loans of $25,000,one to support a light-rail development of 86 units, 34 below 50% of area median and 8 below 20%, and a permanent housing project for homeless youth in Hillsboro.

The Fund will continue its community campaign to raise monies as match for the Meyer grant. Newly acquired funds, not dedicated to particular projects, will support additional staff resources to enhance the fundraising capacity of the CHF.

For further details on the Fund and/or the projects it has assisted, please contact Ramsay Weit, Acting Executive Director, at 503-846-5794 or by email at polwonks@comcast.net.

Fellow commissioners elected Eric Parsons Chair of the Portland Development Commission (PDC) at the August 10 Commission election of officers. Parsons replaces Matt Hennessee who served as Chair since August of 2003, after being appointed to the Board by the Mayor in June 2002. Parsons has served on the PDC board since November 2003. The Commissioners also elected Doug Blomgren as Secretary and Mark Rosenbaum as Acting Secretary. Blomgren has served on the Commission since September 2000 and Rosenbaum was appointed in June of this year.

Parsons is currently President and Chief Executive Officer of Standard Insurance Company and StanCorp Financial Group, Inc. He began his career at Standard Insurance Company in 1968, leaving the company in 1979 for the real estate industry where he worked with Norris Beggs and Simpson, The Quadrant Corporation, Cornerstone Columbia Development and Weyerhaeuser. He returned to The Standard in 1990 where he has served in numerous roles including senior vice president and chief financial officer, vice president of investments, and president of the company’s mortgage and real estate subsidiaries.

Parsons earned his B.A. in political science and economics from Lewis & Clark College. He is a graduate of the School of Mortgage Banking at Northwestern University, a Fellow in the Life Management Institute of the Life Office Management Association and a member of the American Council of Insurers. Parsons currently serves on the Oregon Business Council, the Oregon Zoo Foundation Board of Trustees, and the Portland Opera Board.

His past affiliations and memberships include the Association for Portland Progress, the Library Foundation, the Multnomah Commission on Children and Families, the National Association of Industrial and Office Parks, Advisory Committees for the Oregon Department of Environmental Quality, the YMCA of the Columbia-Willamette and the METRO Business Advisory Council.

“I am pleased and honored to serve the PDC as Chair,” said Parsons. “It is truly a privilege. Throughout PDC’s 45-year history, the people who have filled this role and those who served with them have helped shape the Portland we know today. It is because of their efforts we enjoy a tremendous quality of life, a vibrant city and wonderful neighborhoods. I have tremendous hopes for what we will accomplish moving forward.”

“I've had an opportunity to talk with each of the members of the Commission and it is clear that we share an important and lasting commitment to serving the citizens of Portland in an open and transparent way. We will hold ourselves and our associates accountable to deal with our neighborhood and development partners with the highest level of integrity. We will work closely and collaboratively with City Hall and our other taxing jurisdiction partners. In short, we will focus not only on what we do, but how we do it, and we’ll be listening for feedback to ensure that we're on the right track.”

“I couldn’t be more pleased in the selection of Eric Parsons as Chair of the PDC,” said Mayor Tom Potter. “He has the experience, dedication and the good working relationships that this important position requires. He has my full support.”

PDC Commissioners are volunteer citizens, appointed by the mayor and confirmed by City Council to serve three-year terms. They oversee the work of the Commission staff, an annual budget of $265 million and oversight of PDC’s more than 400 projects and programs. The Commission holds regular public meetings on the second and fourth Wednesday of each month at the PDC offices, 222 NW Fifth Avenue, Portland.

With Parson’s election, the full Commission and its officers are:

Eric Parsons, President and Chief Financial Officer Standard Insurance Company and StanCorp Financial Group, Inc. (Chair)

Doug Blomgren, attorney Bateman Seidel Miner Blomgren Chellis and Gram, P.C. (Secretary)

Mark Rosenbaum, President Rosenbaum Financial LLC. (Acting Secretary)

Bertha Ferran, Senior Mortage Consultant, Windermere Mortgage Services

Sal Kadri, Owner, ValuCAD

Since 1995, housing prices have boomed. At the same time, rents have risen to their highest levels in decades. In a weak labor market, many renters spend more of their incomes on paying their rents. This has put many renters, who are disproportionately lower income families, in a bind. Many renters have a harder time moving into their own homes and must spend a growing share of their incomes on rising rents. Poor and minority renters in particular also must cope with worsening public education and transportation systems. A closer look at the data shows the following:

·       Since 1995, when the housing boom began inflation adjusted rents have risen to their highest level in thirty years.

·       Rising rents come at a time of lower inflation-adjusted renter incomes. The typical income for renter families fell by 8.4 percent from 1995 to 2003.

·       Minorities face added obstacles in the rental market due to persistent housing discrimination.

·       Mobility from renting to owning has slowed. The share of owners who were renters in the previous year declined by 13 percent from 1995 to 2003.

·       Renters live in worse neighborhoods and lower-quality homes than owners. Renters have also experienced worsening public education, and many renters, especially African-Americans and poor families, have seen higher costs associated with transportation. The deteriorations for renters were worse than for homeowners.

For the full report from the Center for American Progress, go to: http://www.americanprogress.org/site/pp.asp?c=biJRJ8OVF&b=913109

While Seniors in Workforce Increase, Needs Remain to Make Ends Meet

Nancy Ross is part of a growing trend of senior Americans who are working longer, either by choice or economic necessity.  People 65 or older make up approximately 3 percent of the U.S. workforce.  Nancy, 64, had to find another job after getting laid off when the St. Vincent DePaul Thrift Store was purchased by Goodwill Industries.  In six months she was hired part-time by Wal-Mart.

“If I don’t get what I want, I look for what I can have, and what else is out there,” said Nancy.

Working part-time means she has a hard time paying her utility bills and she needs help to keep up her home.  In September 2004 she found help from REACH Community Development’s Community Builders Program, which provides small home repair for seniors and disabled homeowners at no charge to them. On Saturday, August 6^th Nancy’s overgrown yard will be cleaned up by volunteers as part of REACH’s 16^th Annual Paint-a-thon.  In addition to Nancy Ross, ten other senior households will benefit from the work of over 250 volunteers. REACH will also celebrate painting the program’s 150^th house.    

Nancy’s positive attitude has come in handy at Wal-Mart.  “When I asked for a job sitting down, there weren’t any. So I am a cashier. I like interacting with people. At the thrift store I worked in the bookstore and people liked the way I organized it and helped them out.” Nancy hopes to work full-time by September and imagines she won’t retire until age 70, when her social security checks increase.  For now she’s grateful to swap shifts this Saturday so she can greet and thank the volunteers at her home.  “I tell every senior I know about REACH. I can’t say enough good things about them.”

REACH Community Development is a private, non-profit community development corporation founded by community activists in 1982.  REACH develops and manages affordable housing, with a portfolio of 988 units, primarily in Southeast Portland.  The Paint-a-thon, one of REACH’s community-based programs, will celebrate the painting of its 150 house on August 6th.

Event Sponsors - Washington Mutual, Bank of the West, Starbucks Make Your Mark, Milgard Windows, Miller Paint, Nationwide Insurance. Yard Sponsors - Burgerville USA, Bryan Potter Design, FLIR Systems, NW Natural, SAFECO, RBC Dain Rauscher. Paintbrush Sponsors - Ankrom Moisan Associated Architects, Clark/Kjos Architects LLC, Geffen Mesher, Oil Filter Service, Pat McMahon International (PMI)**, RE/MAX Signature Properties, Rosendin Electric, Tom & June Berry. Other Donors - PACE Community Credit Union, Bolliger Insurance. National Builders Hardware. Major In-Kind Donations – Bryan Potter Design, Burgerville USA, KXL Radio, Miller Paint, & Starbucks Coffee. Community Partners – Lents Town Center Urban Renewal Project, ROSE Community Development Corporation, & the Portland Bureau of Housing and Community Development. 

REACH’s mission is to develop and maintain a permanent resource of affordable housing, promote healthy neighborhoods, and provide opportunities for low-income people through partnerships and community involvement.  For more information about the Paint–a-thon and photo opportunities contact Laurel Lyon at 503-231-0682 x134 or visit REACH’s website, www.reachcdc.org.

Low-income Oregonians should apply this summer if they want to qualifyfor extra financial assistance to reduce or eliminate costs associated with the new federal prescription drug program that starts next year.

Oregonians enrolled in or covered by Medicare and Medicaid, SSI, or a Medicare Savings Program automatically qualify for extra help, which can be used to cover the new program's monthly premiums and deductibles. People found eligible could save as much as $3,600 per year.

Those with incomes under $14,355 a year and resources under $10,000 are most likely to qualify for the extra help. Resources are defined as savings, investments, and real property other than a home.

Those who are married and living with spouses may qualify as well if they have incomes under $19,245 a year and resources under $20,000. Resource limits are higher if money is to be used for burial expenses; $1,500 per person is allowed.

The Social Security Administration is sending applications to more than 260,000 Oregonians who may qualify for this extra help. Letters and applications are being mailed through the middle of August.

Those who do qualify may also be eligible for other forms of financial help, such as a Medicare Savings Program, said James Toews, DHS assistant director for Seniors and People with Disabilities.

The new Medicare drug coverage begins January 1, 2006. To learn more about the program, to receive an application for extra help, or to get assistance filling out the application, contact Social Security. The toll-free number is (1-800) 772-1213 or TTY (1-800) 325-0778 between 7 a.m. and 7 p.m. Monday through Friday.

The Oregon Department of Human Services can provide information and assistance to anyone unable to contact Social Security. Call DHS at 1 (877) 585-0007 between 8 a.m. and 5:30 p.m. Monday through Friday.

On July 27, Senators Barbara Mikulski (D-MD), Paul Sarbanes (D-MD), Jack Reed (D-RI) and Christopher Bond (R-MO) introduced S. 1513, a bill to reauthorize the HOPE VI program (see Memo, 7/15). The bill would reauthorize the program through 2011 at $600 million annually.

A press conference was held the same day to announce the bill’s filing, at which Senators Mikulski and Sarbanes expressed their dedication to getting the bill passed. Renee Glover, Executive Director of the Atlanta Housing Authority; Jackie Massey, Resident Leader of Wheeler Creek HOPE VI project in Washington, DC; Richard Baron, President of McCormack Baron Salizar in St. Louis, MO; and Brian Tracey, Senior Vice President of Community Development Banking at Bank of America also spoke in support of the bill.

The existing HOPE VI statute, enacted in 1998 with some changes incorporated in 2003, is set to expire on September 30, 2006. S. 1513 would make several changes to the existing program and reflects, according to Senator Mikulski, a program that is “reformed, refreshed and reinvigorated by codifying best practices and correcting weaknesses.” Senator Mikulski said she is dedicated to reauthorizing the HOPE VI program because, “where it has been most successful, it has transformed communities and lives.” Both Senator Mikulski and Senator Sarbanes highlighted several new components of the bill including connecting HOPE VI with local school revitalization, ensuring that grantees make the best use of federal dollars, and improving the relocation and support services for residents.

The bill has been referred to the Committee on Banking, Housing and Urban Affairs.

NLIHC, as well as many other national housing organizations, has been asked to endorse S. 1513. While the bill makes substantial improvements to the program, NLIHC is not going to endorse the bill at this time. Rather, NLIHC will continue to work with the bill’s sponsors to attempt to make further improvements.

Traps for the Unwary: TACS Breaksdown Conflicts of Interests for Nonprofits

by Kay Sohl

The IRS and the U.S. Senate Finance Committee are turning concerns about conflict of interest in charities into a hot button issue. Fortunately, Oregon law (ORS Chapter 65) has provided pretty clear direction about conflicts of interest for board members for many years.

Good Intentions = Sticky Problems

Conflict of interest concerns pose difficult problems for nonprofit boards of directors. Why? Because so many conflict of interest situations arise from the genuine desire of board members and staff to help their nonprofit organization. How can good intentions translate into sticky problems? Here are some recent examples from calls to the Nonprofit Helpline and questions at accountability workshops around the state.

Conflictual Examples:

(a) A nonprofit providing meals for senior citizens realizes that it needs new computers, and help to develop a website and learn how to use email. Funding is very tight. The Chair of the Board’s husband has a home business helping friends purchase and set up computer systems and develop websites. The Chair arranges for her husband to provide the same service to the nonprofit at a very low fee. She announces the plan at a board meeting and board members thank her for making the arrangements.

(b) A large donor who is also a very active volunteer for a nonprofit is self employed and has had difficulty obtaining health insurance. He asks the Board chair if it would be ok for him to make an additional contribution to the nonprofit which would be used to cover the cost of adding him to the nonprofit’s group health insurance plan. The Board chair agrees and the donor adds a bit of extra funding to cover any administrative costs which may be involved in adding him to the plan.

(c) A board member of a social service organization is an employee of a separate nonprofit social service provider in the same community. The two nonprofits often compete for government contracts to provide similar services. The board member is present for a report by the Executive Director about new program strategies which the county funding staff seem to find very attractive. The board member reports the strategies to his supervisor at work, suggesting that they might improve services at their agency.

All three examples involve individuals who are clearly trying to help nonprofit organizations. All three also involve conflicts of interest. A key question for each organization above, and for your nonprofit as well, is – Do You Have a Conflict of Interest Policy which will provide guidance for how you will handle conflicts as they emerge?

What is a conflict of interest? Ultimately only a court can determine whether any particular transaction or relationship constitutes a conflict of interest, but some pretty straight forward principles form the basis for recognizing and dealing with conflicts.

The primary elements in conflict of interest questions are:

(1) Nonprofit board members have both a Duty of Loyalty and a Duty of Care. Very simply stated, the Duty of Loyalty requires the board member to put the interests of the nonprofit above any other interests, including their own personal financial interests or of those of family members. The Duty of Care requires the board member to exercise the same level of care and attention which they would use to make a decision about their own personal or business finances.

(2) Any time a nonprofit corporation engages in a financial transaction with a board member, officer, or person in a position to strongly influence or control the organization (like a very major donor), there is a potential for a conflict of interest based in the fact that the individual with power over the nonprofit may influence the nonprofit to do something that is not in its best interest.

In conflict of interest situations, the entire board must take steps to be sure that any transaction involving the nonprofit purchasing goods or services from a board member, officer, or other person with strong influence or control, is based on payment of no more than the fair market price for the goods or services. Nonprofit boards must document the ways in which board members who do not have a conflict of interest have determined that a conflict of interest transaction is fair to the nonprofit.

Beyond meeting the requirements for dealing with actual conflicts of interest, boards must also deal with situations that are perceived as conflicts of interest even if they don't meet the technical legal definition of a conflict.

In response to growing concerns about conflicts of interest, Cynthia Cumfer, an attorney specializing in nonprofit law, drafted a sample Conflict of Interest Policy as part of the 4th Edition of The Oregon Nonprofit Corporation Handbook (a cradle to grave guide for Oregon nonprofits).

Questions? Need help to work through potential conflict situations? Contact Carol Cheney, Coordinator of TACS Nonprofit Helpline at 503.233.9240 in Portland, or 1.888.206.3076 in Oregon, Washington, and Alaska, or info@tacs.org.

Enterprise On Line Training Series on Green Communities™ Continues Aug 24

The Enterprise Foundation offers an online training ‘Green Communities™ Criteria: Location and Neighborhood Fabric’ on Wednesday, August 24, 2005, at 11:00 am. The fourth in a nine-part training series, the August 24 session will address the questions: what does “Location and Neighborhood Fabric” have to do with our mission and how can we pay attention to this and keep housing affordable?

Locating housing within or next to existing communities reduces overall household expenses for families, decreases time spent in the car, and creates vibrant neighborhoods with better access to employment centers, transportation systems, schools, shopping, general services and civic amenities.  It redevelops valuable and under-utilized land while conserving farmland, wetlands, open space and important resources.  Developing projects that are thoughtfully designed, compact, and located on sites with existing infrastructure are smart ways to conceive and market affordable and mixed-income housing.  Successful projects have used comprehensive neighborhood design strategies that work to create environmentally sound, safe and pedestrian-friendly streets, and help to strengthen and revitalize a sense of community.

Learn about the vital Location and Neighborhood Development section of the Green Communities™ Criteria. Develop tools to assist you in evaluating and choosing development sites, and strategies to make your projects environmentally thoughtful, healthier, diverse, more equitable, and efficient to finance and construct.  Discover ways to use L&NF as an environmental protection and economic development strategy for making projects and neighborhoods more marketable and viable.  We’ll share best practices and two case studies of excellent projects that took L&NF to heart. 

Prior Knowledge

Please familiarize yourself with the Green Communities program:  www.GreenCommunitiesOnline.org, or access the 3/24/05 Green Communities archive: www.enterprisefoundation.org/resources/trainingconf/training/elearning/green1.asp

The workshop will be presented by Jennifer Henry, LEED-ND Program Manager, U.S. Green Building Council, and Daniel Hernandez, Managing Member, Topology, LLC

The U.S. Green Building Council is the nation's foremost coalition of leaders from across the building industry working to promote buildings that are environmentally responsible, profitable and healthy places to live and work. Jennifer manages the development of the new LEED for Neighborhood Development rating system, which will integrate the principles of green building, smart growth, and urbanism.  http://www.usgbc.org

Topology is a real estate development and project management firm that focuses on urban redevelopment and environmentally sound development and business projects.  Topology’s mission is to create healthy, vibrant, well-designed communities that conserve resources, respect the natural environment, and create long-lasting value.  The firm specializes in development planning, finance & implementation, strategic environmental project assessment, marketing and communications for businesses and public agencies. http://www.topologyllc.com.

This event is not about the financial products available from the Green Communities™ program.  To learn more about grants, loans and equity available through Green Communities, go to http://www.GreenCommunitiesOnline.org.

To participate in this event, contact Kathy Holmes at 410.772.2411 or kholmes@enterprisefoundation.org.