Oct 15, 2004 By Paul Sunyak 4 min read

The Fayette County Housing Authority executive director sought board approval Thursday for a $136,550 “donation” from the public agency’s coffers to start up a nonprofit corporation dedicated to building new senior housing. But Thomas L. Harkless was told, in an effort spearheaded by Chairwoman Angela M. Zimmerlink, that too many unanswered questions remain about the Fayette Housing Development Corp. and how it would operate.

Zimmerlink said all that’s known about the nonprofit is that four of its five board members are in place – Harkless as chairman, FCHA board member Nancy Sutton, former Uniontown redevelopment authority administrator Stephanie King and Uniontown resident Kenneth “Randy” Murray.

Zimmerlink said she wants answers to several questions, including who the fifth board member will be, what the nonprofit intends to do, whether any conflicts of interest would exist between the nonprofit and the FCHA, and who the attorney from the nonprofit is.

“I think the nonprofit should get its act together before the housing authority gives them $136,000,” said Zimmerlink. “The, ‘I don’t knows’ (about all this) is what bothers me. I think there’s too many unanswered questions on it.”

Adding to her concern, said Zimmerlink, is the fact that when she did a state corporation bureau check on the nonprofit, she found that former FCHA Executive Director John M. Marra – under whose administration it was formed in 1992 – was still listed as its CEO.

Zimmerlink said that current FCHA department head Lora Beth DiDominic was listed as the secretary/treasurer and former FCHA deputy director James Caton was listed as a board member.

Solicitor Gary Frankhouser, subbing for regular FCHA legal advisor John M. “Jack” Purcell, said that the routine filing of a docketing statement would resolve the issue of nonprofit board membership.

FCHA board member William “Trip” Radcliffe asked how the nonprofit’s board members are appointed, and was told that it’s basically a self-appointing board, in that those currently sitting on it get to name any replacements.

FCHA board Vice Chairman James V. Bitonti agreed that the nonprofit should meet – another of Zimmerlink’s recommendations – before the next housing authority meeting, to answer these questions. Bitonti also said that the nonprofit needs to have fill out its board roster and assign titles before asking the authority for money.

However, as a matter of principal Bitonti said he favors the idea of starting the nonprofit so it can help municipalities fill a need for new senior citizen housing.

Harkless’ $136,500 request represents seed money to build 25 to 35 duplex units in Perryopolis, on the site of the authority’s current Washington Mill housing project.

“There are no (U.S. Department of Housing and Urban Development) funds available for additional units,” said Harkless of a money source that has essentially dried up.

Harkless has maintained that if the authority intends to meet the housing needs of the community it serves, it must seek new and creative methods like the nonprofit.

“For all intents and purposes, the housing authority is going to be the administrative arm of this nonprofit,” said Harkless.

However, Zimmerlink said that she does not support the proposed Perryopolis development, even though she knows she’ll likely be the only dissenter should it come to a vote. If the demand is there, said Zimmerlink, it’s logical to assume that the private sector would meet that housing need.

Zimmerlink also cited a Georgia case in which a HUD audit basically prohibited housing authority staff from doing work for a nonprofit. Harkless said that if Zimmerlink was referring to the same case he had in mind, the situation was more complicated than that.

Of the $136,500 requested by Harkless, $65,000 was for architect services, $20,000 was for a market study and $25,000 was for site acquisition.

The latter would be needed because the nonprofit would essentially buy 4 acres of land from the authority’s State Housing Program, which is poorly named because the state has no real control over it.

While taking no official action on the request for funds, the board directed Harkless to convene the nonprofit as soon as possible so the matter could come up again for a FCHA vote, perhaps as early as next month’s meeting.