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Commissioner Harris discussed with staff the reasons why agencies had not applied in the past for the available HOME funds. Mr. Erickson indicated that it depended on the eligibility of projects, noting that agencies that have applied for funding were not necessarily eligible for HOME funds. He also noted that HOME funds can be used for new construction, acquisition, and rehabilitation project. Chairperson Stark confirmed the funds had to be used for housing-related projects and activities. Commissioner Stark further discussed with Mr. Erickson: 1) the requirement of an Agreement with HOUSE, Inc., should the Commission allocate funds; 2) whether funding this project would help meet the Commission's RHNA obligation; and 3) the concern that the agency attempt to leverage additional funding from other sources. Mr. Erickson indicated he would need to further research the question regarding RHNA but felt the project would create additional units that could be counted, albeit a small number. He also explained that HOME funds provided to the agency in the past have been in the form of a deferred loan. When HOUSE, Inc., sold its property on Harvest Road in 2003, the City received its entire loan amount back plus approximately $50,000 in program income through the increase in equity. These funds were all put toward the purchase of the agency's Tanager Drive property in 2006. Commissioner Stazk was interested in having HOUSE, Inc., obtain the greatest return on money they received, and also discussed with staff the timeliness issue of using the HOME funds. The meeting was opened for input from HOUSE, Inc., represented by Julie Testa. Ms. Testa shared with the Commission information about the residences operated by HOUSE, Inc. She advised that 19 residents are housed in the six properties owned by the agency in Pleasanton (3) and Livermore (3). Supporting documents with the agency's history, mission statement, and financial background were provided to all members of the Commission. Ms. Testa indicated that zero funds are paid to staff and all funds received are used to help the HOUSE, Inc. residents. She also noted that all monies received from the City of Pleasanton have remained within Pleasanton. The Commission was advised by Ms. Testa that past funds received by HOUSE, Inc., from Pleasanton have grown and been returned to the City. She also discussed the growing need to provide housing for married couples with developmental disabilities. Commissioner Harris asked whether HOUSE, Inc., clients are provided with care by their families. Ms. Testa indicated that tenants needed to qualify for assistance from the Regional Center of the East Bay, the agency that oversees the developmentally disabled. HOUSE, Inc., volunteers work directly with caregivers and caseworkers provided through the Regional Center. Ms. Testa asked the Commission to recognize that funds allocated to HOUSE, Inc., are always well used. Page - 2 -