Wednesday, December 05, 2018

Mesa Conservative Mormon Republican Rusty Bowers In The News Again: At Least He's Not "Color-Blind"

. . . when it comes to a racist Zinger from Prescott Republican David Stringer: Incoming Arizona House Speaker Rusty Bowers dissolved the new House Recidivism and Sentencing Reform Committee after removing Rep. David Stringer as its chairman due to racist comments that recently came to light.
Bowers, R-Mesa, also removed Stringer as vice chairman of the Judiciary Committee, and removed him from the Education Committee. Stringer, R-Prescott, now has only one committee assignment, the Government Committee.
This is the second time that a committee tasked with criminal justice reform that was chaired by Stringer was dissolved over racist comments by the lawmaker.
Outgoing House Speaker J.D. Mesnard scrapped the House’s Ad Hoc Committee on Criminal Justice Reform in June over comments that Stringer made to the Yavapai County Republican Men’s Forum in which he said
Immigration poses an “existential threat” to the United States and that there “aren’t enough white kids to go around” in Arizona’s public schools.
Bowers’ announcement came just hours after the Prescott City Council voted 6-1 for a resolution urging Stringer to resign from the Legislature.
Gov. Doug Ducey, Arizona Republican Party Chairman Jonathan Lines and Yavapai County Sheila Polk, among others, have  called for him to step down.
The latest controversy erupted after the Phoenix New Times revealed audio recordings in which Stringer told Arizona State University students that African-Americans and other non-whites “don’t blend in” and that non-English speakers are a “burden” on public schools.
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Let's bring all this back-into-focus while we have Rusty Bowers in the spotlight: 
05 December 2018
What Is It That Conservative Mesa Mormon Republicans Just Don't Get About Equal Rights-Under-The-Law??
https://mesazona.blogspot.com/2018/11/what-is-it-that-conservative-mesa.html
Despite his decades-long record of opposing LGBTQ rights, Republicans selected Mesa state Rep. Russell “Rusty” Bowers (R) to be their new Speaker of the House.
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Bowers is in his second stint in state government:
> he originally served in the state House from 1993 to 1997,
> then served in the state Senate from 1997 to 2001 (where he served as Majority Leader). > After an unsuccessful 2010 Congressional campaign, he was elected to return to the state House in 2014.
Over that time, one thing has been constant:
he does not believe LGBTQ people deserve equal treatment under the law
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Blogger Note: Here in Mesa it appears that action on a proposed Anti-Discrimination Ordinance was put 'on the back-burner' during the first elected-term for Mayor John Giles after he stated publicly "It's the right thing to do".
Unlike the mayors in Arizona's two larger cities Phoenix and Tucson and Flagstaff, Giles has chosen instead not to exercise the necessary leadership skills to guarantee equal rights in employment or in public accommodations for everyone. He says he is 'waiting for guidance' from the State.That guidance he wants could be handed down by the Arizona Supreme Court in January:
Gay Wedding Invitation Card Lawsuit Heads To Arizona Supreme Court
Arizona’s new state House Speaker doesn’t believe LGBTQ people are equal under the law
Rep. Russell "Rusty" Bowers (R) led the charge for discrimination in the Copper State as early as 1994 and doesn't appear to have evolved.
by Josh Israel 29 Nov 2018 08:00am in THINK PROGRESS 
Though the midterm blue wave in Arizona helped Democrats pick up a U.S. Senate seat, one U.S. House seat, three other statewide offices, and three seats in the House of Representatives, Republicans still held the slimmest possible majority in that body, holding 31 seats to the Democrats’ 29.
 
 
By Will Stone, Lauren Gilger Published: Thursday, November 29, 2018 - 1:20pm
Arizona’s highest court is set to decide whether a Phoenix law aimed at prohibiting businesses from discriminating against LGBTQ people violates the state’s constitution.
The case centers on a Phoenix business that argues designing wedding invitations for same sex weddings goes against their religious beliefs.
KJZZ’s Will Stone has been covering this story and joined The Show to talk about it.
More Stories From KJZZ
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His bigotry was on display as early as his first term in the legislature. In 1994, angry that Phoenix passed a 1992 ordinance prohibiting discrimination based on sexual orientation for city employees and large city contractors, Bowers authored a proposed amendment to Arizona’s state constitution to prohibit localities from adopting gay rights laws.
His reasoning: he believed homosexual behavior to be bad for society. “When a public entity endorses a behavior (through ordinances), it is very dangerous,” he said at the time. “It legitimizes it.” 
Two years later, the U.S. Supreme Court struck down a similar Colorado ban as a clear violation of the constitution’s equal protection clause.
. . .
In 2001, Bowers helped to initially torpedo nondiscrimination protections for gay Arizonans who work for the state government, arguing that “Tolerance does not require abandoning one’s standards or one’s opinions on political or public choices, especially policy choices… Tolerance is a way of reacting to diversity, not a command to insulate it from examination.”
Days later, when the senate reconsidered and passed the bill, he decried it as “an anarchy of values.”
Such protections, he predicted, would “be extremely disruptive of employment in this state.”
Later that same year, Bowers also vociferously opposed a repeal of the state’s unconstitutional sodomy ban and laws that prohibited sex not intended to produce children. “We have a culture war here,” he proclaimed, terming the bill a “direct attack on the family.” “It’s because people don’t exercise more self-discipline that more laws are required,” he added.
Though times have changed and public opinion has enormously shifted in favor of recognizing basic rights for LGBTQ people, it does not appear that Bowers has evolved, even during his 13 years away from government.
He signed onto a 2018 amicus brief urging the state Supreme Court to review a lower court ruling that a business that makes wedding invitations must provide equal accommodations to same-sex couples under Phoenix’s public accommodation laws. The brief asks the state’s highest court to examine “whether public accommodation laws can force speakers to convey messages contrary to their faith” — a request the court granted last week. And as he ran for re-election, he completed a candidate questionnaire for the notoriously anti-LGBTQ Center for Arizona Policy. Not only did he tell them that he opposes adding sexual orientation, gender identity, and gender expression to the state’s existing nondiscrimination law, he also vowed to support “[p]rotecting a parent’s right to seek professional counseling for their minor child with same-sex attraction or gender identity issues to help them reach their desired outcome,” endorsing the harmful and ineffective practice of forcing LGBTQ kids to endure conversion therapy. This scam practice is banned in 14 states and the District of Columbia because of the damage it can cause.
ThinkProgress reached out to Bowers to ask whether his view on any of these issues has changed; he did not respond.
While Bowers has apparently stood still, Arizona has made progress.
> The state just elected the first openly bisexual woman to be a United States Senator.
> The Republican mayor of Bowers’ hometown, Mesa, endorsed a proposed statewide employment nondiscrimination law for LGBTQ Arizonans last year, and the measure has bipartisan support in the legislature.
And a poll in February by ONE Community found 77.8 percent of likely Arizona voters — and 62.3 person of self-identified conservatives — backed employment protections for gay and transgender people.
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https://thinkprogress.org/arizona-republicans-rusty-bowers-speaking-leading-homophobe-8e797977f1e0/ 
 
 
 

The City of Mesa "Mulls" Drafting New Rules For Threats and Risks To Public Safety 10 Months After They Were Visible??

Hey! How long does it take for the city officials to get a grip on threats and risks and dangers to public safety from conditions they allowed here to benefit Vulture/Venture start-ups making billions on the collection or personal data from unsuspecting users of e-bikes and e-scotters dumped on the sidewalks of downtown??
Your MesaZona blogger first reported on this abuse of the public right-of-way months ago.
In fact that was first on February 15, 2018 - the bikes were clearly visible right across Main Street from City Hall.
Any reasonable person might ask if the people whose salaries are paid by taxpayers even bother to get-out-of-their-bubble?
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15 February 2018
NO, dear readers, IT'S PREMATURE OVERKILL! These self-propelled two-wheeled machines, funded by privately-owned Chinese VCs [venture capitalists[ are getting free parking on the public sidewalks - or maybe we should call it "foreign direct investment" in our hyper-local "Donut-Hole" where we now see more bikes than people who might use them on the streets of our downtown community where not everyone is affluent enough to own a Smartphone to download the app on these bikes to pay to rent them                         
Now seeing a second and third company dumping on public sidewalks here this time dockless bikes that you can find all around to use and drop off any time and anywhere you like - if you use a Smartphone there's an app you can download to rent the bike. What they don't tell you is that you rent at the same a GPS tracker that can track everything you do and collect your data: that's the money-maker to get "big data" - your data - start-ups can capitalize on in the new Sharing Economy to deliver back dollars to initial funding investors. It's got to be on an a big scale-up quickly, ca-chinging transactions and getting your data. Oro bikes, seen in the image to the right, is offering free rent for February. 
They just need your butt on the seat . . .
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There are more posts published on this blog that readers can access below after this report from KJZZ yesterday . . . that's 10 months after my reporting right here!
They might vote on some regulations next year.
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Mesa Mulls Dockless Bike, Scooter Regulations
By Mariana Dale    Published: Tuesday, December 4, 2018 - 5:07pm
Updated: Tuesday, December 4, 2018 - 5:08pm
Valley cities are increasingly looking at new rules for scooters and bicycles you rent with a smartphone.
Mesa council told staff this week to draft regulations for the vehicles that could be voted on in early 2019.
Mesa Transportation Department Director RJ Zeder says where the vehicles are parked when someone isn't riding them can be the source of problems.
“Because it’s dockless, literally folks could leave the bikes and now scooters anywhere,” Zeder said. . .
The rules could include an annual license and fees for having to relocate or impound the vehicles.
“We’re not looking to make money off the scooter companies,” Zeder said.
The money would pay to help manage the vehicles within the city.
Zeder says companies such as Lime and Bird have been cooperative with the city.
See the report from KJZZ > click here 
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RELATED CONTENT ON THIS BLOG:
9 months ago, the City of Mesa tried to put the blame on the companies, shirking any responsibilities at all for allowing these VCs to dump dockless bikes and scooters in the public rights-of-way.
Here's the announcement dated March 22, 2018 from MesaNow about what started on February 14, 2018: THIS IS ALL THE CITY'S NEWSROOM HAS TO SAY:
Dockless Bicycles in Mesa
March 22, 2018 at 2:31 pm
"Dockless bike share companies have begun operations in Mesa and have placed bicycles around the city. These bike share companies are privately owned and operated and are not affiliated with the City of Mesa. The companies and their customers are responsible for obeying all state laws and city ordinances when using and parking bikes. If you have a concern about a bike's location, it's best to contact the appropriate company directly. Below is contact information for the companies currently operating in Mesa, or they can also each be contacted through their associated smartphone app:
LimeBike (Green bikes with yellow fenders)
support@limebike.com
Call or text: 888-546-3345
Ofo (Yellow bikes)
support@ofobike.com
The Mesa City Code states "no person shall park a bicycle upon a street other than upon the roadway against the curb or upon the sidewalk in a rack to support the bicycle or against a building or at the curb in such manner as to afford the least obstruction to pedestrian traffic." (Title 10, Chapter 1, Section 14). "
 
This is OUTRAGEOUS:
Why are these bikes getting dumped downtown now in February? It's Spring Training season for a few weeks. The bikes might be rented to get from bus stops or Valley Metro Light Rail station platforms to get to Sloan Park . . .  
LimeBike is a bicycle-sharing company headquartered in San Mateo, California. It operates dockless bicycle-sharing systems in several cities and college campuses across the United States, using a mobile app for reservations. The founders are Brad Bao, Toby Sun who re-tweeted this just hours ago - they just got $70,000,000 more bucks yesterday! 
Retweeted
Thrilled to announce $70M series B extension round on Valentine's day and Lunar New Year! Look forward to partnering with leading real estate focused fund Fifth Wall Venture to bring more family products to more users!
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20 October 2018 
Threats To Public Safety Here in Downtown Mesa: Dumping E-Scooters On Public Sidewalks
Don't know about you, dear readers, but your MesaZona keeps his eyes open walking around our shared public spaces and sidewalks downtown.
There were some obstacles in the way the other day in what was otherwise a wonderful day: 2 e-scooters.
Where  did they come from and why are they here? They didn't look  like personal property with corporate logos, attached gizmos and "Start for Only $1". 
 
Some money-making scheme under the guise of furthering personal freedom, mobility and protecting the environment?
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That's exactly what it is, once again - 'a foil' disguised as a good thing.The first question any reasonable person might ask is if the city government had knowledge in advance of these plans (not just one but two companies) and approved their dockless distribution and dumping on downtown sidewalks without any evaluation or any kind of public information or public notice ahead of time.
Each and every one of them are endangering the health, safety and welfare of riders, pedestrians and the general public.  
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Typical of way too many things in a city where the public is not engaged, people in other cities are taking action:
INNOVATIONS
Class-action lawsuit accuses e-scooter companies of ‘gross negligence’ 
 
 

What Is It That Conservative Mesa Mormon Republicans Just Don't Get About Equal Rights-Under-The-Law??

Arizona’s new state House Speaker doesn’t believe LGBTQ people are equal under the law
Rep. Russell "Rusty" Bowers (R) led the charge for discrimination in the Copper State as early as 1994 and doesn't appear to have evolved.
by Josh Israel 29 Nov 2018 08:00am in THINK PROGRESS 
Though the midterm blue wave in Arizona helped Democrats pick up a U.S. Senate seat, one U.S. House seat, three other statewide offices, and three seats in the House of Representatives, Republicans still held the slimmest possible majority in that body, holding 31 seats to the Democrats’ 29. Despite his decades-long record of opposing LGBTQ rights, Republicans selected Mesa state Rep. Russell “Rusty” Bowers (R) to be their new Speaker of the House.
__________________________________________________________
Bowers is in his second stint in state government:
> he originally served in the state House from 1993 to 1997,
> then served in the state Senate from 1997 to 2001 (where he served as Majority Leader). > After an unsuccessful 2010 Congressional campaign, he was elected to return to the state House in 2014.
Over that time, one thing has been constant:
he does not believe LGBTQ people deserve equal treatment under the law
_______________________________________________________________
Blogger Note: Here in Mesa it appears that action on a proposed Anti-Discrimination Ordinance was put 'on the back-burner' during the first elected-term for Mayor John Giles after he stated publicly "It's the right thing to do".
Unlike the mayors in Arizona's two larger cities Phoenix and Tucson and Flagstaff, Giles has chosen instead not to exercise the necessary leadership skills to guarantee equal rights in employment or in public accommodations for everyone. He says he is 'waiting for guidance' from the State.That guidance he wants could be handed down by the Arizona Supreme Court in January:

Gay Wedding Invitation Card Lawsuit Heads To Arizona Supreme Court
By Will Stone, Lauren Gilger Published: Thursday, November 29, 2018 - 1:20pm
Arizona’s highest court is set to decide whether a Phoenix law aimed at prohibiting businesses from discriminating against LGBTQ people violates the state’s constitution.
The case centers on a Phoenix business that argues designing wedding invitations for same sex weddings goes against their religious beliefs.
KJZZ’s Will Stone has been covering this story and joined The Show to talk about it.
More Stories From KJZZ
_______________________________________________________________
His bigotry was on display as early as his first term in the legislature.
In 1994, angry that Phoenix passed a 1992 ordinance prohibiting discrimination based on sexual orientation for city employees and large city contractors, Bowers authored a proposed amendment to Arizona’s state constitution to prohibit localities from adopting gay rights laws.
His reasoning: he believed homosexual behavior to be bad for society. “When a public entity endorses a behavior (through ordinances), it is very dangerous,” he said at the time. “It legitimizes it.” 
Two years later, the U.S. Supreme Court struck down a similar Colorado ban as a clear violation of the constitution’s equal protection clause.
. . .
In 2001, Bowers helped to initially torpedo nondiscrimination protections for gay Arizonans who work for the state government, arguing that “Tolerance does not require abandoning one’s standards or one’s opinions on political or public choices, especially policy choices… Tolerance is a way of reacting to diversity, not a command to insulate it from examination.”
Days later, when the senate reconsidered and passed the bill, he decried it as “an anarchy of values.”
Such protections, he predicted, would “be extremely disruptive of employment in this state.”
Later that same year, Bowers also vociferously opposed a repeal of the state’s unconstitutional sodomy ban and laws that prohibited sex not intended to produce children. “We have a culture war here,” he proclaimed, terming the bill a “direct attack on the family.” “It’s because people don’t exercise more self-discipline that more laws are required,” he added.
Though times have changed and public opinion has enormously shifted in favor of recognizing basic rights for LGBTQ people, it does not appear that Bowers has evolved, even during his 13 years away from government.
He signed onto a 2018 amicus brief urging the state Supreme Court to review a lower court ruling that a business that makes wedding invitations must provide equal accommodations to same-sex couples under Phoenix’s public accommodation laws. The brief asks the state’s highest court to examine “whether public accommodation laws can force speakers to convey messages contrary to their faith” — a request the court granted last week.
And as he ran for re-election, he completed a candidate questionnaire for the notoriously anti-LGBTQ Center for Arizona Policy. Not only did he tell them that he opposes adding sexual orientation, gender identity, and gender expression to the state’s existing nondiscrimination law, he also vowed to support “[p]rotecting a parent’s right to seek professional counseling for their minor child with same-sex attraction or gender identity issues to help them reach their desired outcome,” endorsing the harmful and ineffective practice of forcing LGBTQ kids to endure conversion therapy. This scam practice is banned in 14 states and the District of Columbia because of the damage it can cause.
ThinkProgress reached out to Bowers to ask whether his view on any of these issues has changed; he did not respond.
While Bowers has apparently stood still, Arizona has made progress.
> The state just elected the first openly bisexual woman to be a United States Senator.
> The Republican mayor of Bowers’ hometown, Mesa, endorsed a proposed statewide employment nondiscrimination law for LGBTQ Arizonans last year, and the measure has bipartisan support in the legislature.
And a poll in February by ONE Community found 77.8 percent of likely Arizona voters — and 62.3 person of self-identified conservatives — backed employment protections for gay and transgender people.
________________________________________________________________________
https://thinkprogress.org/arizona-republicans-rusty-bowers-speaking-leading-homophobe-8e797977f1e0/

Tuesday, December 04, 2018

2 Updates: Market Changes in LIHTC Financing > Impact on Mesa TBD

All kinds of new issues, challenges and opportunities have emerged after this year's changes in new tax laws and tax incentives. Here in Mesa we do have an affordable housing crisis that city officials are starting to recognize. How that will all get addressed locally is impacted by this report by Donna Kimura just a few days ago that include the health-and-housing connection, historic preservation, and mixed-use housing. Fannie Mae and Freddie Mac are back after getting out of receivership.
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To keep it "local" first, here's a report from Gary Nelson writing in Monday December 3rd's online edition of the East Valley Tribune:
Story image for mesa az from East Valley Tribune
East Valley Tribune-Dec 3, 2018
Primarily, according to a report prepared by a prominent Valley economist, Mesa faces a growing need for low-cost housing as a hefty portion of its population . . .
A sea of challenges awaits Mesa as it seeks to guide the development of its housing stock over the next decade.
Primarily, according to a report prepared by a prominent Valley economist, Mesa faces a growing need for low-cost housing as a hefty portion of its population struggles with low incomes.
The city is gathering data and public feedback for its next housing master plan, which will go to the City Council in early 2019. The document will serve as Mesa’s framework for evaluating proposed housing projects across all income spectrums. . .
The new policies will be guided in large part by an extensive study of Mesa’s economic and housing conditions conducted by Elliott D. Pollack & Co., a leading Arizona economic analysis firm.
Despite Mesa’s relative affordability, according to the Pollack analysis, underlying economic conditions suggest many residents will continue to struggle on the housing front.
Based on numbers dating from the middle of this decade, Pollack said:
> Mesa’s household incomes are lagging - READ THE DATA
In 2000, Mesa’s average median household income was 5.6 percent higher than the statewide median.
By 2015, Mesa incomes had fallen to 4.5 percent below those of Arizona as a whole and a stunning 12.2% lower than those in Maricopa County.
> More than 81,000 Mesa residents were living in poverty – more than 17.2% of the city’s population.
> Mesa had lower percentages of residents with college degrees, and of residents with jobs in higher-paying fields, than its neighboring cities.
> While the overall cost of living rose 12 percent between 2010 and 2015, the cost of rent went up more than 21 percent.
 A very low vacancy rate was pushing rents even higher.
Those factors spell trouble, Pollack said, for households earning less than $25,000 a year. As the report was written, Mesa needed about 30,000 more units to accommodate that cohort.
While the private sector meets the demand for Mesa’s middle-income and executive-level housing, government is left with the task of filling the gaps in its low-income stock. . .
NEXT CHANCE FOR PUBLIC INPUT: December 11, 2018
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AFFORDABLE HOUSING FINANCE
Industry Rides LIHTC Market Changes
Syndicators, investors discuss market changes, income averaging, costs
By Donna Kimura    Published 27 Nov 2018
Activity in the low-income housing tax credit (LIHTC) market gained momentum in the second half of 2018 after a sluggish start caused by the uncertainty created by the tax reform legislation.
After people did figure out what their tax liability was they sort of came back into the market in a stronger way,” said Tony Bertoldi, executive vice president of CREA. However, there’s still a big separation between pricing expectations in terms of what investors are expecting and what developers need to make deals work, he said at AHF Live: The Affordable Housing Developers Summit in November.
Despite the market changes, a number of investors and syndicators reported being on pace to have their best year, including Bank of America Merrill Lynch, CREA, and WNC.
The reason for this is the lion’s share of the investments continue to be driven by the need for banks to meet Community Reinvestment Act obligations. In addition, banks continue to be profitable and still have tax liability, which is contributing to the competitive market, said Scott Hoekman, president and CEO of Enterprise Housing Credit Investments. “The question is what happens next year,” he added, noting that some investors are expecting their yields to rise because interest rates are going up.
However, Hoekman does not expect to see a big dip in pricing at the deal level going into 2019.
Several syndicators and investors noted being very active in 4% LIHTC deals with tax-exempt bonds even though these transactions are more highly leveraged than 9% LIHTC transactions.
“Having been in the business as long as we have been, and we have a lot of deals that have gone through the 15-year compliance (period), we don’t find the 4s any more risky than the 9s,” said Christine Cormier, senior vice president at WNC.
Fannie, Freddie return
A few economic LIHTC investors, such as insurance companies, retreated from the market after tax reform and have not come back.
However, the return of Fannie Mae and Freddie Mac has helped fill that hole, said Bertoldi during the Tax Credit Equity Outlook Power Panel at AHF Live.
The government-sponsored enterprises were out of the LIHTC market for about a decade while under conservatorship but returned as housing credit investors in 2018.

Michelle Norris, executive vice president at National Church Residences, quizzes syndicators and investors during the Tax Credit Equity Outlook Power Panel at AHF Live.
Each enterprise will have an annual investment limit of $500 million, less than a 5% market share for each. Within this funding cap, any investments above $300 million in a given year are required to be in areas that have been identified as markets that have difficulty attracting investors. These investments are designed to preserve affordable housing, support mixed-income housing, provide supportive housing, or meet other affordable housing objectives. A focus for both Fannie Mae and Freddie Mac has been rural deals.
So far, their re-emergence has not had a big impact on the overall LIHTC market, according to several syndicators.
"I think we’re going to have plenty of investors and plenty of deals,” said Ronne Thielen, executive vice president at R4 Capital.

Income-averaging option
One of the biggest changes to hit the LIHTC program recently is the addition of the income-averaging option.
The Consolidated Appropriations Act of 2018 established income averaging as a third minimum set-aside election.
Income averaging allows LIHTC-qualified units to serve households earning as much as 80% of the area median income (AMI) as long as the average income limit at the property is no more than 60% of the AMI.
> A project using the income-averaging option must make at least 40% of its units affordable to eligible households.
Previously, housing credit units were restricted to households earning no more than 60% of the AMI. The prior minimum set-asides called for having 20% of the units targeted to no more than 50% of the AMI or 40% of the units at no more than 60% of the AMI, and these options remain part of the federal program. However, income averaging offers another alternative for developments.
“From a social, policy (perspective), it makes so much sense. The real issue for us is the underwriting,” said Hal Keller, president of the Ohio Capital Corporation for Housing.
“... The devil is in the details. We’re in favor it, but we’re very curious about the financial impact.”
> A few income-averaging deals have closed in California, but many developers, investors, and housing finance agencies are still figuring out specifics, especially around compliance issues.
> Another hitch is that each housing finance agency is putting a slightly different spin on income averaging, so the option is not uniform from state to state.
Overall, investors have not wanted to see a lot of market-rate units in their LIHTC deals because they do not receive housing credits for those units and they bring market risk to the properties.
Now, with the option for some LIHTC units to go up to 80% of the AMI, everyone will need to test those rents against market-rate apartments in the area and make sure there’s a discount, said Hoekman, noting that he thinks investors will accept the option as long as there’s strong underwriting in place.
Income averaging could be a good tool for not only making deals work but for also accomplishing what the industry wants to do in the greater communities, Hoekman said.
Cost containment
The LIHTC industry is also trying to figure out how to contain rising development costs.
Thielen said R4 Capital recently closed on the financing for an 84-unit development in downtown Los Angeles that will be constructed with purpose-built shipping containers from China. This design is expected to significantly reduce the hard costs of constructing the community, which will be home to people who have been homeless.
“It’s something that’s new, and it’s very unique at this point,” Thielen said.
Victoria O’Brien, senior vice president at Key Community Development Corp., added that KeyBank invested in a deal that had a modular construction component. “A lot of the risk in that is making sure that the off-storage materials are secured,” she said.
In that instance, the developer was able to avoid the Davis-Bacon wage requirements, which helped keep costs down, according to O’Brien.
Session moderator Michelle Norris, executive vice president at National Church Residences, noted that a recent study prepared by Abt Associates for the National Council of State Housing Agencies found that the development for a housing credit development was only slightly higher than for a market-rate property.
“This is a social program as well as a real estate program,” Norris said.
“That’s a hard thing to try to explain to people—that there is cost for that social program.”
New moves
The panel also discussed the LIHTC program’s role in preserving affordable housing as well as in bolstering the health-and-housing connection.
CREA is working on closing its first assisted-living LIHTC deal.
 “I think it’s a product that we’ll be seeing much more of particularly with the aging population,” Bertoldi said, noting that these are very complex projects, and operating an assisted-living development is a different business than that of managing conventional affordable housing properties.
Bank of America Merrill Lynch has been involved in financing supportive housing developments for a number of years, said Susan Moro, senior vice president at the bank.
"These deals have evolved to serve more integrated populations and do carry hard debt. As a result, it’s important to understand the funding streams, project reserves, and service providers, she said.
Longtime syndicator WNC recently closed a California preservation fund, Cormier said.
Preservation also continues to be high on Bank of America Merrill Lynch’s radar, with the company completing a number of notable Rental Assistance Demonstration deals, according to Moro.

Deep Dive + A Plunge: More Warnings Sound About Wobbly Truces & World Markets

Jonathan Swan has a story to tell just 3 hours ago:
Trump jumps the gun again saying things the Chinese never said > phony promises + gobbledygook galore.
The markets take another nose-dive
Michael Pillsbury is worried Trump's negotiations with China are unraveling. The hawkish former Pentagon official — who Trump has called "probably the leading authority on China" and who reportedly huddled with Trump in the Oval the day before Trump left for his G20 meeting with President Xi — said "there's a risk the deal will come undone."
Why it matters: Pillsbury said he's "getting warnings from knowledgeable Chinese about the American claims of concessions" that the Chinese have said they never made.
(These contradictions include U.S. claims that the Chinese agreed to "immediately" address their most egregious industrial behavior, to "immediately" restart purchases of U.S. agriculture, and to slash tariffs on American cars.)
What he's saying: "I have advised the president's team that for the past 40 years the American side avoids disclosing Chinese concessions before the final agreed written statement is released," Pillsbury told me in a phone interview today.
 
Between the lines:
  • Bloomberg has tabled the flurry of confusing and contradictory statements that Chinese and U.S. officials have made since their working dinner in Buenos Aires on Saturday.
  • The Washington Post has a longer piece on the mass confusion over the China negotiations, and how markets appear to be losing faith in Trump's willingness or capacity to strike a deal with Beijing.
  • And we reported yesterday on how the White House took the better part of a working day to publicly clarify when the 90-day truce with China began. (It began on Dec. 1. Trump's top economic adviser Larry Kudlow told reporters, yesterday, the 90-day freeze on new tariffs would begin on Jan. 1.)
See > https://www.axios.com
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Dow tumbles as Wall Street sees another selloff
 [from Axios report]  The Dow Jones Industrial Average closed down 799 points, while the S&P 500 and the Nasdaq Composite dropped over 3% on Tuesday. The slump comes one day after investors cheered the meeting between President Trump and China's Xi Jinping, and bringing the S&P 500 to roughly 1.5% below where it closed on Friday.

Mesa City Council Study Session - Mon 03 December 2018

HEADS UP ON THIS!
Looks like the City Council will have a nice long break for "The Holidays", moving up the last Study Session of the year from the 3rd Monday of-the-month to the 2nd Monday.
Some controversial issues are up >>>> for a change some people are speaking up
Mike Pombier gets caught fudging the support for traffic enforcement cameras....this meeting last about an hour-and-a-half to covering two agendas for two meetings in one swoop.
WATCH for the details

BEA News: Gross Domestic Product by State and Personal Income by State, 3rd Quarter 2025

  BEA News: Gross Domestic Product by State and Personal Income by S...