title
Presentation, discussion, and possible action on previously tabled recommendation to debar Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher, relating to Riverside Heights Senior Living AKA Legacy Riverside Senior Living Community (HTC #20613 / Bond #20613B / CMTS 5659)
end
RECOMMENDED ACTION
recommendation
WHEREAS, in 2020, TX Riverside Seniors, LP was issued 4% bonds to build and operate Riverside Heights Senior Living a/k/a Legacy Riverside Senior Living Community (HTC #20613 / Bond #20613B / CMTS 5659) (the Property);
WHEREAS, Rise Residential Construction Riverside, LLC and Melissa Fisher are considered to be Responsible Parties, as defined by 10 TAC §2.102. Rise Residential Construction Riverside, LLC is the general contractor for the construction of Riverside, and is controlled by its manager, Melissa Fisher;
WHEREAS, Sonoma Housing Advisors, LLC and James R. (Bill) Fisher are considered to be Consultants, as defined by 10 TAC §2.102. Sonoma Housing Advisors, LLC is the Consultant for the bond application and construction of Riverside, and is controlled by its manager, James R. (Bill) Fisher;
WHEREAS, 10 TAC §10.401(b)(5) requires the submission of quarterly Construction Status Reports (CSR), including the submission of a third-party construction inspection report;
WHEREAS, on October 10, 2024 at 5:18pm, Bill Fisher submitted to the Department a quarterly CSR on behalf of Melissa Fisher, including a materially altered Construction Progress Report No. 042 dated September 25, 2024, from CA Partners, Inc., the third-party inspector (Submitted CSR);
WHEREAS, the materially altered third-party inspection report was also submitted by Melissa Fisher via FTP server upload to the Department at 7:44pm on October 10, 2024;
WHEREAS, intentionally or negligently providing material misrepresentations with regard to documentation submitted to the Department by a Responsible Party or a Consultant is a violation of 10 TAC §2.401(a)(5), and is grounds for discretionary debarment under 10 TAC §2.401(a)(5);
WHEREAS, on February 14, 2025, the Department notified Melissa Fisher, Rise Residential Construction Riverside, LLC, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher that they were being referred to the TDHCA Enforcement Committee for debarment pursuant to 10 TAC §2.401(a)(5);
WHEREAS, on March 25, 2025, representatives for Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher attended an informal conference with the TDHCA Enforcement Committee;
WHEREAS, on April 11, 2025, the TDHCA Executive Director issued a debarment determination notice recommending a six-month debarment term for Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher;
WHEREAS, Responsible Parties appealed the debarment recommendation to the Department Governing Board (Board) on April 25, 2025;
WHEREAS, the Department issued a Notice of Possible Additional Evidence Relating to Debarment Recommendation on May 30, 2025, incorporating additional altered 2024 quarterly CSRs previously submitted to TDHCA by Melissa Fisher/Rise Residential Construction Riverside, LLC, as evidence;
WHEREAS, the additional altered 2024 quarterly CSRs are not alleged to have been caused or filed by James R. (Bill) Fisher or Sonoma Housing Advisors, LLC;
WHEREAS, the Department issued a Notice Regarding Debarment Appeal Determination on June 9, 2025, permitting Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher to submit additional appeal documentation;
WHEREAS, Melissa Fisher and James R. (Bill) Fisher submitted additional appeal documentation on June 16, 2025;
WHEREAS, on July 10, 2025, the Governing Board considered and tabled the debarment appeals of Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher until September 4, 2025;
WHEREAS, at the July 10, 2025 board meeting, the Governing Board also requested that TDHCA staff explore the possibility of alternative voluntary nonparticipation agreements with the Responsible Parties with the results to be presented to the Board at the September 4, 2025, meeting;
WHEREAS, pursuant to 10 TAC §2.401(i)(5), the Department has the authority to permit corrective action for discretionary debarment referrals, including such corrective action as entering into an agreement by and between the Department and Responsible Parties, in which the Responsible Parties agree not to participate or apply for any new Department Programs during a specified period of time;
WHEREAS, on August 21, 2025, the Department sent a proposed Voluntary Non-Participation Agreement (VNA) to Responsible Parties, in which the Department represented that if the Responsible Parties agree to the terms of the VNA, the Executive Director and staff will change their posture regarding the Responsible Parties’ debarment appeals to neutral, yet the board would retain its authority to determine the merits of their tabled appeals at the September 4, 2025, meeting. As of the date of Board Book posting, the Responsible Parties have not agreed to the terms of the VNA; and
WHEREAS, staff has based the above six-month debarment recommendation on the Department’s rules for debarment and an assessment of each and all of the material factors identified at 10 TAC §2.401(j) that are to be considered in determining a recommended period of debarment, applied specifically to the facts and circumstances present in this case.
NOW, therefore, it is hereby
RESOLVED, that a Final Order of Debarment for a six-month term through March 4, 2026, for Rise Residential Construction Riverside, LLC and Melissa Fisher, substantially in the form presented at this meeting, and authorizing any non-substantive technical corrections, is hereby adopted as the order of this Board; and,
RESOLVED, that a Final Order of Debarment for a six-month term through March 4, 2026, for Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher, substantially in the form presented at this meeting, and authorizing any non-substantive technical corrections, is hereby adopted as the order of this Board.
end
BACKGROUND
The TDHCA Executive Director issued a debarment determination notice on April 11, 2025, recommending a six-month debarment term for Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher, after the Enforcement Committee held an informal conference with the affected parties on March 25, 2025, and recommended debarment in accordance with 10 TAC §2.401(a)(5) for submitting a materially altered quarterly construction status report to the Department on October 10, 2024. The affected parties submitted multiple appeals, which were considered by the Governing Board on July 10, 2025. Enclosed at Attachment 3 is a complete copy of the Board Action Request from July 10, 2025, along with all associated exhibits.
After extensive discussion on July 10, 2025, the Governing Board tabled the debarment appeals of Rise Residential Construction Riverside, LLC, Melissa Fisher, Sonoma Housing Advisors, LLC, and James R. (Bill) Fisher, and expects to address them at the September 4, 2025, meeting. The Governing Board also asked Department staff to explore the possibility of an alternative voluntary nonparticipation agreement with staff findings to be presented during the September 4, 2025, meeting.
Staff is therefore presenting for consideration the tabled Final Order of Debarment, now separated into two separate Orders at Attachments 1 and 2, and staff findings regarding the offer of a Voluntary Nonparticipation Agreement between the Department and Responsible Parties. The Department initially offered a two-year term for the Voluntary Nonparticipation Agreement, consistent with the offer made by Melissa Fisher and remarks made by board members during the July 10, 2025 board meeting. Edits were circulated, and the most recent versions proffered by the Department are at Attachments 3 and 4. The parties have not reached an agreement as of this Board Book posting, but this does not preclude finalizing the agreements prior to consideration by the Board. Melissa Fisher and Bill Fisher have also submitted the corrective action plans at Attachments 5 and 6.
RECOMMENDATION: After consideration of all appropriate factors, the Enforcement Committee and Executive Director recommend the issuance by the Board of Final Orders of Debarment for a six-month term of debarment for all four Responsible Parties, beginning September 4, 2025, and ending March 4, 2026. The recommended Orders include language that would permit the Board to consider supplemental funding applications for existing engagements on a case-by-case basis during the debarment term so that current awarded construction projects are not adversely impacted.
Attachments:
1. Final Order of Debarment for Melissa Fisher and Rise Residential Construction, Riverside, LLC
2. Final Order of Debarment for James R. “Bill” Fisher and Sonoma Housing Advisors, LLC
3. Voluntary Nonparticipation Agreement for Melissa Fisher and Rise Residential Construction, Riverside, LLC
4. Voluntary Nonparticipation Agreement for James R. “Bill” Fisher and Sonoma Housing Advisors, LLC
5. Corrective Action Plan by Melissa Fisher and Rise Residential Construction, Riverside, LLC
6. Corrective Action Plan by James R. “Bill” Fisher and Sonoma Housing Advisors, LLC
7. Board Action Request from July 10, 2025, including the following Exhibits:
1. Key Alteration Excerpts
2. TDHCA Blackline of 2024 Q3 CSR
3. March 6, 2025 Written Response by Melissa Fisher
4. April 25, 2025 Appeal by Melissa Fisher
5. April 25, 2025 Appeal by Bill Fisher
6. TDHCA Blackline of Altered Pages from 2024 Q1 CSR
7. TDHCA Blackline of Altered Pages from 2024 Q2 CSR
8. 2024 Q1, Q2, and Q3 CSRs, as submitted to TDHCA
9. 2024 Q1, Q2, and Q3 Construction Progress Reports, as prepared by CA Partners
10. June 6, 2025 Supplemental Information from Melissa Fisher
11. June 16, 2025 Supplemental Information from Melissa Fisher
12. June 16, 2025 Supplemental Information from Bill Fisher