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Council tables Family Promise CHDO rehabilitation plan after extensive questions on cost and accountability
Summary
Family Promise presented a CHDO project to acquire and rehabilitate a multi‑unit property to create 11 affordable units and on‑site services. Councilmembers expressed concern about construction cost estimates, long‑term compliance and safeguards for federal funds and voted to table the request for further review.
Family Promise of Lawton asked the City Council to approve a HUD‑CHDO (Community Housing Development Organization) project to acquire and rehabilitate a vacant building at 1308 Southwest D Avenue into 11 residential units and an on‑site case management office. Executive Director Sarah Sebec and Board President Michael Town presented the program, called “Promise Kept,” which they said would provide transitional housing, intensive stabilization and an eventual pathway to homeownership.
Project outline and funding Family Promise estimated the total rehabilitation cost at about $540,000 to restore 11 residential units plus office and laundry space; the group said the city has already agreed to a $300,000 contract and that using one site reduces per‑unit costs to approximately $41,000. Presenters described the project as meeting HUD’s 20‑year affordability requirement through recorded mortgage and land‑use covenants and said the Preeti Foundation has pledged funding to sustain case management through 2026.
Council concerns and action Council members pressed for greater certainty on construction costs, contingency plans for cost overruns, organizational capacity and protections for public (federal and local) funds. Several council members recited recent examples when the city had to return HUD funds after projects failed to meet requirements. Councilmember Randy Warren and others said the city must require clear, enforceable monitoring and reporting to avoid repeat problems.
After back-and-forth with Family Promise about contingency options, grant drawdowns and the CHDO set‑aside, Councilmember Randy Warren moved to table the request to allow staff and the applicant to develop more detailed cost estimates, a clearer succession/operations plan and explicit monitoring/reporting requirements. The motion to table was seconded and carried on roll call (7–0).
Why it matters: Family Promise said the project would convert a long‑vacant property into affordable housing for families and reduce reliance on scattered‑site models. Council members said they support the goal but need stronger cost and compliance assurances before committing CHDO or other grant funds.
Ending: The council’s tabling motion gives Family Promise and city staff time to produce a refined development budget, engineering and structural assessments, and defined reporting and monitoring steps for council review.
