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HomeMy WebLinkAboutApril 15, 2003CITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Visit Ottr Website at: www. ci.columbia-heights.mn.us HRA Commissioners: Dennis Ecklund Bobby Williams Bruce Nawrocki Tammera Ericson Bruce Kelzenberg Patricia Jindra HOUSING & REDEVELOPMENT AUTHORITY April 15, 2003 The following is the Agenda for the regular meeting of the Columbia Heights Housing & Redevelopment Authority (HRA) to be held at 6:30 PM on Tuesday, April 15, 2003, iD the Parkview Villa, Community Room B, 965 40th Avenue N.E., Columbia Heights, Minnesota. The HRA does not discriminate on the basis of disability in the admission or access to, or treatment or employment in, its services, programs, or activities. Upon request, accommodation will be provided to allow individuals with disabilities to participate in all HRA services, programs, and activities. Auxiliary aids for handicapped persons are available upon request when the request is made at least 96 hours in advance. Please call the HRA Secretary at 706-3670 to make arrangements (TDD/706-3676 for deaf or hearing impaired only). CALL TO ORDER/ROLL CALL PLEDGE OF ALLEGIANCE ELECTION OF OFFICERS CHAIR VICE CHAIR SECRETARY/TREASURER CONSENT AGENDA A. Approval of Minutes. 1. The Meeting of regular meeting of January 28, 2003 and the special meeting of March 10, 2003. MOTION: Move to approve the minutes of January 28 and March 10, 2003 meetings as presented in writing. REPORT OF MANAGEMENT COMPANY-William Jones, Housing Administrator CITIZEN FORUM .(At this time, citizens have an opportunity to discuss with the HRA items not on the regular agenda. The citizen is requested to limit their comments to five minutes. Please note, the public may address the HRA regarding specific agenda items at the time the item is being discussed.) ITEMS FOR CONSIDERATION 1. Sale of 4607 Tyler Street MOTION: Move to authorize staff to negotiate a purchase agreement with Minnesota Housing Resources, Inc. THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS Of DISABILITY IN EMPLOYMENT OR THE PROViSiON OF SERVICES EQUAL OPPORTUNITY EMPLOYER 2. Parkview Villa South Rent Recommendations MOTION: Move to approve the new rent structure as recommended by the Crest View Corporation. 3. New Management Bids for Parkview Villa North and South Buildings 4. Approve RHA Architects, Inc. Contract Addendum MOTION: Move to Approve the Contract Addendum with RI-IA Architects, Inc. in the amount of $750; and direct staff to process the payment when HUD approves the revision to the 2003 PHA Operating Budget. 5. Approve Contract Agreement with LBP Mechanical, Inc. MOTION: Move to Approve the Contract with LBP Mechanical Inc. for emergency replacement of Parkview Villa North Water Heaters in the total amount of $14,970; and furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same. ADMINISTRATIVE REPORTS ADJOURNMENT Cheryl Bakken, Community Development Secretary H: \HRA A~enda2003\4 ~15-2003 COLUMBIA HEIGHTS HOUSiNG AND REDEVELOPMENT AUTHORITY (HRA) Meeting off April 15, 2003 AGENDA SECTION: ORIGiNATiNG EXECUTIVE NO: DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Election of Officers BY: Robert Streetar BY: DATE: April 8, 2003 BACKGROUND: The City of Columbia Heights Housing and Redevelopment Authority (HRA) Bylaws specify that the authority shall select a Chair, Vice Chair and a Secretary/Treasurer from among its Commissioners. The current officers are as follows: Chair Vice Chair Secretary/Treasurer Vacant Dennis Ecklund, Jr. Vacant RECOMMENDATION: Move to cast a unanimous ballot nominating and appointing for Chair, for Vice Chair, and for Secretary/Treasurer. RECOMMENDED MOTION: Move to cast a unanimous ballot nominating and appointing for Chair, for Vice Chair, and for Secretary/Treasurer. Attachments HP~A ACTION: H:\HP~A consent Form 2003~HP~A Election of officers TRANSCRIPT OF PROCEEDINGS FOR ELECTION OF OFFICERS FOR 2003 FOR THE COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) The meeting of the Columbia Heights Housing and Redevelopment Authority (HRA) was called to order by the Executive Director, on Tuesday, April 15, 2003. Election of officers. The Executive Director stated that the order of business was election of officers. Commissioner nominated Commissioner as Chair. There being no further nominations, upon vote being taken, Commissioner was elected Chair. NOTE: The Chair thereupon assumes the office and presided over the meeting. Commissioner Commissioner nominated Commissioner as Vice Chair. There being no further nominations, upon vote being taken, was elected Vice Chair. Commissioner taken, Commissioner nominated Commissioner as Secretary/Treasurer. There being no further nominations, upon vote being was elected Secretary/Treasurer. HRA ELECTION PROCEDURES We will know have the Election of Officers. Nominations are know being taken for the office of Chair. (After a nomination is made) 1. has been nominated. 2. Are there any other nominations? 3. Are there any other nominations? 4. Are there any other nominations? 5. If NONE - All those in favor say aye. Opposed nay. 6. The chair declares elected as Chair. Nominations are know being taken for the office of Vice Chair. (After a nomination is made) 1. has been nominated. 2. Are there any other nominations? 3. Are there any other nominations? 4. Are there any other nominations? 5. IF NONE- All those in favor say aye. Opposed nay. 6. The chair declares elected as Vice Chair Nominations are know being taken for the office of Secretary/Treasurer. (After a nomination is made) 1. has been nominated. 2. Are there any other nominations? 3. Are there any other nominations? 4. Are there any other nominations? 5. IF NONE- All those in favor say aye. Opposed nay. 6. The Chair declares elected as Secretary/Treasurer. H:\HIL~Misc2002\HRA Election Procedures HOUSING & REDEVELOPMENT AUTHORITY REGULAR MEETING MINUTES OF JANUARY 28, 2003 CALL TO ORDER - The Regular Meeting of the Columbia Heights Housing & Redevelopment Authority (HRA) was called to order by Walt Fehst, Executive Director, at 6:36 p.m., January 28, 2003, in the Parkview Villa Community Room B, 965 40th Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Commission Members Absent: Staff Present: Julienne Wyckoff, Bruce Nawrocki, Bobby Williams, Dennis Ecklund Jr., Tammera Ericson, and Bruce Kelzenberg Walt Fehst, Executive Director Robert Streetar, Deputy Executive Director Randy Schumacher, Comm. Dev. Assistant William Jones, Parkview Villa Housing Administrator Cheryl Bakken, Secretary PLEDGE OF ALLEGIANCE OATH OF OFFICE/ELECTION OF OFFICERS- Nawrocld stated Kelzenberg, and Ericson had not been appointed by the Mayor and approved by City Council as listed in the HRA Bylaws. Fehst stated it is in the HRA enabling Resolution that they are automatically on the Board. Ericson read from the City Charter stating the Mayor could hold an emergency meeting at this time to appoint the commissioners and then continue with the HRA meeting. Wyckoff recommended, the meeting continue without the Oath of Office and Election of Officers until after the next City Council meeting where she would appoint Ericson and Kelzenberg to the Board. Last years Vice Chair, Ecklund, was asked to conduct the meeting from that point on. Wyckoff stated she would like to step down from the HRA board and allow Patricia Jindra to take her place. Fehst stated at the next City Council meeting she could resign from the HRA and appoint Jindra to fill the vacancy. Wyckoff directed staff to keep giving her an HRA meeting packet. Jindra was present at the meeting and stated she was interested in being on the HRA. She will let staff know if she still wants to be on the EDA prior to the next City Council meeting. CONSENT AGENDA Approval of Minutes Approve the Minutes of Regular Meeting of November 19, 2002. MOTION by Wyckoff, second by Williams, to approve the minutes from November 19, 2002, regular meeting as presented in writing. All ayes. Motion Carried. REPORT OF MANAGEMENT COMPANY Jones stated an ad was put in the newspaper for rental of the vacant unit at 4607 Tyler as requested in November. The unit was rented to a non-Columbia Heights resident for $600 per month for February. In the North building, apartments 504 and 905 had vacancies and have been rented out. In the South building apartments 118 and 419 have also been rented out for February. Housing & Redevelopment Authority Minutes January 28, 2003 Page 2 of 3 Nawrocla' asked if Jones had followed the proper procedures for rental of the unit at 4607 Tyler. Jones stated he went through the Columbia Heights residents list, then the non-resident list with no response. Fehst indicated Nawrocki was approached by a resident in regards to her heat not working property and asked Jones to explain how the heating system works. Jones stated that particular resident blocked the cool air vent, which caused problems with the heat flowing through the apartment. The air exchanger never worked at Parkview before and was recently turned on, which moves the air around in the apartments and hallways, eliminating stale air and cigarette smoke odors. CITIZEN FORUM Residents voiced their complaints that their apartments were too cold and when they ask dones to fix the problem, they get no response. Jones stated that at the Resident Council meeting the subject of heating was brought up and no one had any questions. He also offered to go with the residents after the meeting to their apartment to check on their heating problems. Fehst requested residents sign their name and apartment number to a piece of paper that he sent around. The list came back with five apartment numbers on it. He will work with Jones on solving the problems tomorrow. A resident suggested that someone like Bill Gault, Parkview Villa Maintenance man explain to residents how the heating system works and how to adjust it. Fehst stated staff will look into this. Another resident asked why two of the handicap units were rented to non-handicap residents when there are two residents that have the need for the units, but could not change apartments at the time they were available due to the $425 charge set by the HRA last year for changing apartments. Jones stated any resident that is interested in the handicap units should come to his office and he would see what can be done to accommodate their needs. Pat Bush, Unit 206, asked if Ecklund being on the HRA and President of the Resident Council was a conflict of interest, as he is on the HRA Board to represent the residents of Parkview. Ecklund stated he didn 't feel it was a conflict, but if the residents felt that way he would resign from his position of President of the Residents Council. Nawrocki stated Ecklund was selected by the City Council and HRA to be on the board per HUD regulations. Ecklund suggested this be discussed further at the Resident Council meeting in February. ITEMS FOR CONSIDERATION PARKVIEW VILLA SOUTH RENT STRUCTURE Streetar stated staff was directed to review the current rent structure for Parkview Villa South. The Capital Improvement Plan completed by TKDA shows $162, 000 in necessary updates over the next seven years. Staff reviewed rents from two perspectives: 1) senior buildings in Anoka County and 2) housing complexes available to all age groups. The average senior Housing & Redevelopment Authority Minutes January 28, 2003 Page 3 of 3 apartment in Anoka County is $595 without a garage space. The average one bedroom apartment for all ages is $719. Staff suggested a $30 per month increase for current residents and any new vacancies be charged $600 per month, effective January 1, 2004 to help differ the upcoming building improvement costs. Nawrocki asked what the current rents are in the South building. Jones stated there are thirty- nine, one bedroom units with a $250 minimum and $425 maximum rent and four, two bedroom units with a $325 minimum and a $500 maximum rent fee. Streetar stated the 2003 Fair Market Rent for a two bedroom is $811 with out utilities and $911 with utilities. Nawrocki remembered that years ago when the South building was built the rent structure was set at $100 above the highest rent paid in the North building and requested staff look for documentation of this. Fehst indicated that staff has looked for the documents but have not found anything. Fehst directed staff to look one more time. Motion by Nawrocki, second by Williams to table this item until the next meeting when staff can provide more information on the rent structure set and revenues for the South building. All ayes. Motion Carried. Fehst requested Shirley Barnes and Mark Nagel be present when the motion comes before the board again to answer any questions the commissioners may have. Other Business Nawrocla' stated he read that a resident was reimbursed for a vacuum cleaner that staff signed for and was lost. He requested to see the procedure that Crest View staff was following for receiving packages that was recently discontinued, asked who authorized the change in policy and felt that Crestview staff should be responsible for receiving packages. Streetar stated he authorized the payment and change in procedure. He also stated if the procedure was put back into place, there would have to be a determination of who would be responsible for lost or stolen packages. Fehst requested Jones write up a policy and provide to the board at the next meeting for review. ADJOURNMENT Motion by Nawrocki, second by Williams to adjourn thc meeting at 8:09 p.m. All ayes. Motion Carried. Respectfully submitted, Cheryl Bakken Recording Secretary H:~HRAMinutes 2003\1-28-2003 II II HOUSING & REDEVELOPMENT AUTHORITY SPECIAL MEETING MINUTES OF MARCH 10, 2003 CALL TO ORDER - Thc Special Meeting of thc Columbia Heights Housing & Redevelopment Authority (HRA) was called to order by Vice President, Dennis Ecklund Jr. at 6:47 p.m., Monday, March 10, 2003, in the City Halls, Conference Room 1,590 40th Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Patricia Jindra, Bobby Williams, Dennis Ecklund Jr., Tammera Ericson, and Bruce Kelzenberg Commission Members Absent: Bruce Nawrocki Staff Present: Robert Streetar, Deputy Executive Director William Jones, Parkview Villa Housing Administrator Cheryl Bakken, Secretary Mark Nagel, Housing Assistant PLEDGE OF ALLEGIANCE OATH OF OFFICE- Vice Chair, Dennis Ecklund Jr. administered the Oath of Office to Patricia Jindra, Tammera Ericson and Bruce Kelzenberg. ITEMS FOR CONSIDERATION RESOLUTION 2003-01~ CALCULATION OF PERFORMANCE FUNDING SYSTEM OPERATING SUBSIDY~ PHA/IHA BOARD RESOLUTION AND THE PUBLIC HOUSING ASSESSMENT SYSTEM (PHAS) MANAGEMENT OPERATIONS CERTIFICATION FORMS FOR HUD SUBMITTAL Jones stated that a Board Resolution is required on an annual basis for approval of the Calculation of Performance Funding System Operating Subsidy, HUD Form 52573 and 52574, and the Public Housing Assessment System (PHAS) Management Operations Certification, HUD Form 5007 along with the attached HRA Resolution 2003-01 and submitted to HUD for compliance purposes. Jindra asked what the $5.00 excess utility billing was for. Jones stated residents are charged $5.00 per month for the personal air conditioning unit or if they have a small refrigerator or freezer in their apartment. MOTION by Williams, second by Jindra, to Approve Resolution 2003-01, being a Resolution of the Columbia Heights Housing & Redevelopment Authority confirming approval of the Calculation of Performance Funding System Operating Subsidy, PHA/IHA Board Resolution and Public Housing Assessment System (PHAS) Management Operations Certification forms for 2003; and furthermore, to direct the Executive Director to forward same to the U.S. Department of Housing and Urban Development. All ayes. Motion Carried. ADJOURNMENT Vice Chair, Ecklund adjourned the meeting at 7:57 p.m. Respectfully submitted, Cheryl Bakken Community Development Secretary H:kHRAMinutes 2003\3 - 10-2003 II II Parkview Villa Housing Complex 965 N.E. 40th Avenue, Columbia Heights, MN 55421 (763) 706-3800 Fax (763)788-3978 DATE: April 7, 2003 TO: Bob Streetar; Community Development Director Shirley Barnes; Chief Executive Officer; Crest View Corporation Commissioners; Columbia Heights HRA Board of Directors; Crest View FROM: William Jones, Housing Administrator March Management Report for Parkview Villa & 4607 Tyler Effective April 1,2003 we will be accepting merchandise for the tenants of Parkview Villa. Effective April 1,2003 Residents can pickup Incident Reports in the Main Office LBP will replace the storage tanks on April 9,2003 the work will start at 8:00 A.M. Accepting bids for Elevator Maintenance for Parkview Villa. OCCUPANCY: 4607 Tyler All Units Rented NORTH BUILDING 409 OPEN ON MARCH 31,2003 606 OPEN ON MAY 1,2003 SOUTH BUILDING All Units Rented RENTED FOR APRIL 16,2003 RENTED FOR MAY 14,2003 * 3 residents needed increased services Waiting list totals are as follows: Parkview Villa North 20 CH Residents 39 Non-residents Parkview Villa South 24 CH Resident 16 Non residents 4607 Tyler 4 CH Residents 9 Non-residents MISC: Equal Housing Opportunity Agency Heights HRA Owned by the City of Columbia Managed by Crest View Management Services Rpr 09 03 O]:3Op Itl, everyone! It's great to be here. I look forward to getting to know aH of you. RESIDENT COUNCIL NEWS The next Resident Council meeting will be held Monday, April 14 2003 at 7:00pm in Community Room REAL ESTATE ASSESSMENT CENTER The scores for Park View Villa will be posted on the board by the elevator. PACKAGES We will be accepting merchandise for tenants of Parkview Villa effective April 1 2003. TAX ASSISTANTS Jim Kordiak will be at Parkview to help .anyone needing help with there CRP ON April 23, 2003 at 1:30 until 3:30 AARP TAX ASSISTANS AARP TAX-Aide volunteers will be here on April 9,2003 providing free tax assistance SMOKING Please remember there is no smoking in the common areas of this building. Also please remind all of your visitors of this rule. Parking Issues If someone is parked in your parking spot notify the office staff. Maintenance Issues If you have a maintenance issue after 5:00 p.m. you must call 763-706-380D thank you. LAUNDRY ROOM GUIDELINES Please be Sure'to clean both the washers and dryers when you are done using them. Don't leave a mess for the next person. COMMON AREA ~;UIDELINES Abmlutely,"no alc6holic beverages in the common areas. Be sure that your visitors are aware of this rule HUD SURVEy HUD will be mailing out their Customer Service and Satisfaction Survey complete then and return them ASAP PARKING LOT Please drive carefully when leaving the garage and driving in the parking lot. Anoka County Community Aeti0n Program Nancy Shaw will be here April 9,2003 from 9:45 to noon for lunch and answer any question you might have. CREST VIEW MANAGEMENT SERVICES REPORT FOR CITY OF COLUMBIA HEIGHTS APRIL 2003 PARKVIEW VILLA OCCUPANCY STATISTICS The occupancy for the period of 03/01/2002 to 03/01/2003 is as follows: Units Days Occupied Percent Occupied Parkview Villa North 101 36,966 36,542 98.853 Parkview Villa 45 16,470 16,040 97.389 South According to information from a local firm that conducts market research, typically a vacancy rate of 5% is considered equilibrium for independent senior housing. HUD SCORE The overall HUD score for Parkview Villa North was 96c on a 100-point basis. All of the scores received were above the national averages and were as follows: Score National Average Maintenance and Repair 94.5% 87.8% Communication 87.7% 74.6% Safety 81.6% 73.2% Services 96.7% 91.0% Neighborhood 87.8% 75.5% Appearance RESIDENT SATISFACTION SURVEY The overall satisfaction results for Parkview Villa North and South, based on the satisfaction survey delivered to residents in March 2003 are as follows: Average Satisfaction Rating was 3.4 on a scale of 1 - 4, with anything above 3 being satisfied. Rating given to the question, "I would recommend Parkview Villa to others," was also a 3.4 All of the questions had an average rating above 3.1, which is satisfied. There were no questions that had an average rating below 3.1. The highest average was 3.5. We are pleased with the results and also want to note that them were 88 respondents, which is 60% of all of the apartments at Parkview Villa. GENERAL INFORMATION We implemented an incident report policy for residents to use, in addition to contacting "911". This will encourage residents to complete the incident report and provide a mechanism for the Housing Administrator to follow~up with the concerned residents. We implemented a policy for accepting/signing for merchandise so that residents can conveniently receive their packages even if they are not at home when the package is delivered. MEMORANDUM TO: HRA BOARD OF COMMISSIONERS FROM: MARK NAGEL, HOUSING ASSISTANT DATE: APRIL 8, 2003 RE: MERCHANDISE DELiVERY PROCEDURE At the request of Commissioners at the last HRA meeting, please find attached a memorandum from the Crestview Corporation describing their policy for "Accepting/Signing for Merchandise." POLICY: PROCEDURES: CREST VIEW CORPORATION ACCEPTING/SIGNING FOR MERCHANDISE POLICYANDPROCEDURES It is a policy of Crest View Corporation to receive and/or sign for merchandise addressed to tenants, unless directed not to do so by them or a family member/responsible party. 1. Delivery persons attempting to deliver a package to a tenant are requested to contact the tenant via telephone 2. Upon written request of the tenant, office personnel will sign for a package delivery and hold the package for pick-up by the tenant. 3. Neither Crest View Corporation nor office personnel will be responsible for any package deliveries delivery to Parkview Villa. PPpkgdel Rev. 2/03 COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting off April 15, 2003 AGENDA SECTION: Items for Consideration ORIGINATING EXECUTIVE NO: I DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Sale of 4607 Tyler Street BY: Mark Nagel BY: DATE: April 10, 2003 BACKGROUND: Since the October, 2001 HRA Meeting, there have been a number of discussions on the above subject with the direction given in April, 2002 to obtain an appraisal and bids from non-profit and for-profit organizations. The 4-plex at 4607 Tyler Street NE, which contains 4-2BR units with outside parking spaces for each of the units, was purchased by the HRA in February 1995 for $80,000. An additional $86,395 of HOME ($40,000) and CDBG ($36,395) funds for needed rehabilitation resulted in a total development cost of $156,395. Since 1995, the rents have remained at $350/month until the HRA recently raised the rent for incoming tenants to $600/month, which is still less than the approximately $912 per month that could be charged under HUD guidelines. This amount includes rent plus all utilities except telephone. Because the HRA used HOME and CDBG funds, these would need to be paid back, if the rent guidelines were not followed by the buyer. A recent appraisal set the value of the property at $220,000, but was calculated as if the rents were not restricted to the HUD amount. The property with the rent restrictions is actually worth $162,000 according to the appraiser. Therefore, if the property were sold for $220,000 to a buyer that did not follow the HUD guidelines, the HRA would net $143,605 from the transaction once it paid back HOME and CDBG funds. It would also likely mean immediate rent increases for the tenants. Based on the goals of finding a buyer to keep the rents within the HUD and maximizing the sale price, a number of non-profit and for-profit companies were contacted. Below and attached are the three (3) bids received by the HRA, as of the Friday, February 28th deadline: 1. Minnesota Housing Resources, St. Paul, proposes to purchase the property for $160,000 cash. They would keep the rents at or below HUD guidelines. 2. Agape New Life Missions, Minneapolis, proposes to purchase the property for $102,000 cash. They would keep the rents at or below HUD guidelines. 3. An independent housing consultant, Curt Bennett, is offering $100,000 cash and would also keep the rents at or below HUD guidelines. The Minnesota Housing Resources bid would yield the most immediate cash and would net the HRA more than $143,605 in net proceeds, if the property were sold without restrictions. The HRA would also be able to keep the approximately $40,000 it has in reserve for building improvements. RECOMMENDATION: Staffrecommends the HRA begin negotiations for a purchase agreement for 4607 Tyler Street NE with the Minnesota Housing Resources, Inc., St. Paul. RECOMMENDED MOTION: Move to authorize staff to negotiate a purchase agreement with Minnesota Housing Resources, Inc. for consideration of final approval by the HRA. HRA Action: h:\Parkview villa2OO3/Disposition of 4607 Tyler Minnesota Housing Resources, Inc. January 31, 2003 Mr. Robert Streetar City of Columbia Heights Community Development Director 490 4th Ave. N.E. Columbia Heights, M 55421 Mr. Streetar, Minnesota Housing Resources, Inc. (MHR) is excited to work with the City of Columbia Heights to provide affordable family rental housing. MHR has extensive background and experience in working with tenants of low and moderate income properties. MHR has viewed the property at 4607 Tyler NE in Columbia Heights and is interested in acquiring the property and related assets. MHR Inc is proposing purchase of the property and assets for the sum of $160,000.00. MHR would commit to keeping rents at or below the HUD Section 8 rent limit, MHR's goal is to provide affordable and stable apartments for Columbia Heights residents. Thank you for your time and consideration of this proposal. If you have any questions please do not hesitate to call. Sincerely, Kristine Madson President 400 Selby Ave., Suite G-I * St. Paul, Minnesota 55102 Phone: 651-298-1903 * Fax: 651-298-1077 * Toll Free: 1-877-484-5614 www. mhrinc, net OPPORTUNITY Minnesota Housing Inc. Minnesota Housing Resources, Inc. (MHR) was incorporated in 1995 to provide information and referral, training, technical assistance and development expertise to organizations, individuals and municipalities. MHR offers a comprehensive array of housing related services, including: Development, marketing and management of specialized housing programs; Legal assistance in nonprofit formation, tenant and landlord law and fair housing compliance; Real estate acquisition, rehab and management; Organizational development and capacity building; Training in housing issues. MHR Staff Kristine L. Madson is the president of Minnesota Housing Resources, Inc. She is a housing professional and real estate licensee with experience in public housing acquisition and development, nonprofit development and has been a founder and/or advisor for four community land trusts. She also served on committees and the Board of Trustees of the Institute for Community Economics, the national organization serving community land trusts. She has worked extensively with low-income households and neighborhood groups. Michael L. Czamik is a licensed attorney with vast experience in affordable housing and expertise in rental housing issues. He was one of the developers of the HousingLink, a nonprofit organization created to assist residents displaced from public housing. He has worked extensively with nonprofit organizations and serves on a number of neighborhood and nonprofit boards and is a real estate licensee. D. David Engstrom is a housing professional with extensive background in public housing and is a real estate broker licensed in Minnesota and Wisconsin. He has served as advisor to community land trusts and holds Senior Professional Housing Manager and Public Housing Manager certifications. He is a former Washington County commissioner and HRA director. 400 Selby Ave., Suite G-1 e St. Paul, Minnesota 55102 Phone: 651-298-1903 e Fax: 651-298-1077 ~ T011 Free: 1-877-484-5614 www. mhrinc, net A GAPE NE W LIFE MISSIONS P.O. 80X580581 MINNEAPOLIS, MN. 55458-0581 To: Mr. Robert Streetar Community Development Director January-3-03 Agape New Life Homes is planning to purchase the property located at 4607 Tyler St. NE. from the City of Columbia Heights. We have met with Mr. Streetar and have had the opportunity to review the budget work sheet along with the property. The property is the type of building we have looked for during the last year. Agape has had its office located in Columbia Heights for over five years and has provided aid to orphans and others in need here, and around the world. In the last year we as a non-profit organization actively organized to raise the support to purchase a 4-unit building in this area, to provide low-income and assisted living housing that is located in best possible neighborhoods. That is how we became aware of this building. We believe we can continue the efforts that the city of Columbia Heights has initiated to provide low-income housing with this building. This can be accomplished as we maintain this building to help those in need, by the development of Agape New Life Homes. Agape has a board of directors that will oversee the management team that will manage the building and is committed to keep the rent low, to meet the needs of the present occupants along with new residents. Mr. Streetar shared with us that at the very least you would accept is $102,000.00. We are prepared to offer this amount and willing to negotiate the changes as needed. This amount makes it possible to commit to keep the rent low plus work with new renters in helping to meet their needs by considering their income. We ask you to help us to help others by selling the building to us. Please let us know if there's a need for further negotiations on sale price and the terms of sale. We are prepared to purchase it as is. Thank you for your consideration and your time. Rev. Terry Stacey, Agape New Life Homes January 13, 2003 Bob Streeter 590 40'h Avenue N.E Columbia Heights, MN 55421 Dear Bob Please accept this as my letter of intent to purchase the rental property located at 4607 Tyler Street NE in the City of Columbia Heights. My decision to pursue an interest in this property was when I was informed that seniors were renting the property. As you now a large percentage of my current work for GMHC is in the area of senior housing; providing such services as housing regeneration, (the purchasing of single family homes from seniors, providing rehab services and reselling the property as affordable housing in the City of Roseville), in addition to construction rehab consultations and loans for Minneapolis and its surrounding suburbs including the City of Columbia Heights. While working in the housing industry over the last 25 years as a project manager in the privat..e an.d public sector and as the owner ora General contracting firm I obtained extensive experience in the construction a~d property management of single-family homes, town homes, and apartment buildings for the public and private sector. In addition to my construction experience, the ability to manage this type of property comes from the ownership of my own rental properties while living out state. This experience has provided additional skills and experience needed to manage the current and future maintenance and capital expenditures of this type of housing. At this time in an effort to maintain the rents at there current rate and to maintain this housing as a source of quality senior housing in the City of Columbia Heights, for the long term, I would like to offer a price of $100,000.00 to purchase this property. Thank you again for the opportunity to help the seniors in the City of Columbia Heights. Curt Bennett COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 15, 2003 AGENDA SECTION: hems for Consideration ORIGINATING EXECUTIVE NO: 2 DEPARTMENT: Community DIRECTOR Development APPROVAL ITEM: Parkview Villa South Rent BY: Robert Streetar BY: Recommendations DATE: April 8, 2003 BACKGROUND: When Parkview Villa South was built, the rents were set at an amount that would not exceed 30% of the resident's gross annual income. Subsequently, this could eventually result in expenditures exceeding revenues. For year 2003, the expected revenue is $220,000; the expected expenditures are $206,000. If expenses were to increase at a rate of 3% a year for the next three years, and revenues remain unchanged, expenditures would exceed revenues by approximately $5,000. The HRA has requested a recommendation for a rent structure whereas rental income would continue to cover the cost of operating the building well into the future. City staff requested the Crest View Corporation, the management company, provide rent comparisons for similar buildings in this market area and recommend an appropriate rent structure. The Crest View Corporation has determined, from their review of comparable buildings to Parkview Villa South, that rents for a 1-bedroom ought to be $463, and a 2-bedroom $636. Crest View reviewed "The Willows" and the "Savannah Oaks" both owned and operated by the Anoka County Housing and Redevelopment Authority (HRA). The following are the monthly rents charged by the HRA and depend of the size of the unit. Willows Savannah Parkview Villa South One Bedroom $541 to $715 $614 to $757 $250-$425 Two Bedroom $758 to $887 $887 $325-$500 Crest View recommends that these new rents be phased-in over the next two and one half years. Beginning January 1, 2004 rents for all one and two bedrooms would increase to $425 and $500 respectively. This is the maximum allowed under the current rent structure. Then beginning January 1, 2005 rents would increase to $450, and $525. Then beginning January 1, 2006 rents would increase to $463, and $636 plus inflation respectively. Then for each year after, rents would be adjusted in relation to operating expenses. New Recommended Rent Structure Date of Implementation 1 Bedroom January 1, 2004 $425 January 1, 2005 $450 January 1, 2006 $463 + inflation 2 Bedroom $500 $525 $636 + inflation Crest View Chief Executive Officer, Shirley Barnes will be available at the meeting to answer Board Member questions. RECOMMENDATION: Staffrecommends implementing the new rent structure as recommended by Crest View above. RECOMMENDED MOTION: Move to approve the new rent structure as recommended by the Crest View Corporation. Attachments HRA ACTION: H:\HRAconsent Form2003~PVVS Rent Recommendatims PARKVIEW VILLA SUMMARY OF RENT INCREASES Current total is equal to $184,512 on an annual basis If rents were increased as proposed the totals would be as follows: 2004 2005 2006 $233,100 or $48,588 additional revenue on an annual basis $246,600 or $62,088 additional revenue on an annual basis $266,124 or $81,612 additional revenue on an annual basis There are a total of 45 apartments in Parkview Villa South. Currently there are two of the two bedrooms at the maximum rent of $500 per month. There are two of the two bedrooms with rents ranging from $438 - $442 per month. Currently there is nine of the one bedroom at the maximum rent of $425 per month. There is twelve of the one bedroom at the minimum rent of $250 per month. The numbers of one bedroom at various ranges are as follows: Two at the range of $256 - $258 Three at the range of $272 - $286 Three at the range of $289 - $329 Three at the range of $305 - $322 Three at the range of $348 - $363 Three at the range of $380 - $392 Three at the range of$411 - $423 COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 15, 2003 AGENDA SECTION: Items for Consideration ORIGINATING EXECUTiVE NO: 3 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Request for Management Bids for BY: Mark Nagel BY: Parkview Villa North and South DATE: April 10, 2003 BACKGROUND: Please find attached a draft of the RFP for management services for Parkview Villa North and South, as well as 4607 Tyler Street. The RFP contains a very short timeline, because the current agreement with Crestview ends on June 1st. As a result at least 2 additional HRA meetings will need to be scheduled in order to complete the process. The draft RFP will need to be approved at the meeting in order to finish the process by the June 1 deadline. Also, on a related staffhas been working with the Metropolitan Council HRA and the Anoka County HRA to determine their interest and ability to take over the ownership and management of Parkview Villa North and South from the Columbia Heights HRA. Anoka County has expressed a sincere interest in owning and managing both Parkview Villa North and South. Staffhopes to bring forth a draft proposal at the July meeting. RECOMMENDATION: Recommend the HRA approve the attached RFP for Property Management Services and direct staffto begin the search process. Alternatively, recommend continuance of the contract with Crestview, if the HRA intends to sell PVVN and PVVS. RECOMMENDED MOTION: Dependent on which recommendation is selected. Attachment HRA ACTION: h:\HP~ Consent2003\Request for Mgmt Bids PV~ & S REQUEST FOR QUALIFICATIONS FOR PROPERTY MANAGEMENT SERVICES FOR THE CITY OF COLUMBIA HEIGHTS PUBLIC HOUSING Issue Date: Proposal Due Date: Proposal Due Time: April 18, 2003 May 14, 2003 4:00 p.m. Proposal Opening Place: COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY 590 40TM Avenue NE Columbia Heights, MN 55421 Direct Inquiries To: Robert Streetar Deputy Executive Director (763) 706-3670 City of Columbia Housing & Redevelopment Authority Walter R. Fehst, Executive Director Request for Qualification for Property Management Services Table of Contents Section I_. II.._: III~ IV. Title General Information Terms and Conditions Submission Requirements General Requirements of Management Agent List of Potential Property Groupings VI. Disclaimer REQUEST FOR QUALIFICATIONS I. GENERAL INFORMATION A. Introduction/Background The Columbia Heights Housing & Redevelopment Authority (HRA), hereinafter referred to as the Agency or Owner, is requesting qualifications from one or more qualified companies, hereinafter referred to as the "Proposer," to provide property management services for various public housing developments currently owned by the Agency. It is the Agency's intention to solicit qualifications from Respondents, evaluate their qualifications, conduct oral interviews, verify the information presented, and to award a contract to the top ranked Proposer(s). The Agency will enter into a one-year contract for property management services. These management services will include, but not be limited to, the following: 1. Apartment leasing (following screening and referral by the Agency's Central Leasing Office. 2. Lease execution. 3. Rent collections. 4. Lease enforcement. 5. Full maintenance responsibilities. 6. Full responsibility for hiring and firing of staff, and staff training. 7. Annual income reviews and housekeeping inspections per requirements of HUD. 8. Unit turnover. 9. Capital repairs, as directed by the Owner. 10. Purchasing of all required supplies and services. 11. Full financial management responsibilities. 12. Ensuring that the entire complex is safe and secure for all residents. C. Housing Involved The Columbia Heights Housing and Redevelopment Authority (HRA) is requesting formal proposals for providing housing management/maintenance services for the Parkview Villa Housing Complex (PVHC) and 4607 Tyler Street N.E. four-plex. In the PVHC complex there are 146 apartments of which one is occupied by the Resident- Caretaker couple. The complex includes the 101 unit U.S. Department of Housing and Urban Development (HUD) assisted Parkview Villa North (PVN) Public Housing Project (nine story facility occupied in 1975) for seniors and handicapped/disabled adults. Also included in the complex are 45 units in the Parkview Villa South (PVS) addition, which provides housing exclusively for seniors. The 45 unit, four story addition, was completed and occupied late in 1991. The 4607 Tyler Street N.E. facility has four (4) two bedroom apartments. The building was renovated in 1996 and designated for housing low-income person with at least one member over 55 years of age. The PVHC includes congregate dining services available to the residents, which are provided by the Volunteers of America six days a week. D. Submission Package An unbound original and nine (9) unbound copies (a total often) of the complete submission package must be received by the Agency by May 14, 2003 at 4:00 PM. The original and all copies of the submission package must be submitted in a sealed envelope. On the outside of the envelope should be the Proposer's name, address, phone number, the due date of Friday, May 14, 2003, and the project title "Request for Qualifications for Property Management Services for Parkview Villa Public Housing Development" to Columbia Heights Housing & Redevelopment Authority, 590 40th Avenue NE, Columbia Heights, MN. The submission package must be signed by an officer of the Respondent who is legally authorized to enter into a contractual relationship in the name of the Respondent. In the absence of a corporate seal, the submission package must be notarized by a Notary Public. E. Pre-submission Conference A Pre-submission Conference will be held onMonday, May 6, 2003 at 3:00 P.M. in the Agency's Conference Room 1,590 40th Avenue NE, Columbia Heights, MN 55421. Attendance at the Pre-submission Conference is voluntary. F. Anticipated Schedule of Events The anticipated schedule for the RFQ and contract approval is as follows: 1. RFQ available for distribution- April 18, 2003 2. Pre-submission Conference- May 6, 2003 3. Selection of finalists- May 14, 2003 4. Final selection- May 21, 2003 5. Board of Commissioners approval- May 21, 2003 6. Contract start date- June 1, 2003 G. Expense of Submission Package All expenses involved with the preparation and submission package to the Agency shall be born by the Respondent. H. Contact Person The contact person for all inquiries is Robert Streetar, Deputy Executive Director, (763) 706-3670. I. Process The Agency intends to contract for the management of 146 public housing units, representing three different developments. Selected Respondents must be prepared to assume management responsibilities by June 1, 2003. The Agency will utilize the following selection process: First, the Agency will ask for qualifications from prospective Respondents. Second, respondents may be asked to appear for an interview at one of the agency's properties and will also be asked to submit price quotes. Selection will be made based on those who score the highest in qualifications, price, and the results of the interviews. The Agency is looking for price-competitive Respondents with demonstrated, successful property management experience and knowledge of the local property management business. Although all HUD and state regulations must be obeyed, the Agency is prepared to allow Respondents the maximum flexibility possible in providing management services. There are some matters for the Respondents to consider, however, when submitting their packages. These special considerations include: 1. Unlike private market housing or some other federally-subsidized programs, the "total revenue" available for each public housing development is largely fixed. Revenue cannot be increased as a result of rent or subsidy increases. Therefore, Respondents must be fully confident that they can provide the services they claim they can provide, given the "total revenue" assigned to the development. 2. The Agency will retain the responsibility for screening and assigning residents. That function will be performed by the Agency's leasing office. Although the Agency has future plans for decentralizing more of the responsibilities for applicant screening to its site managers, Respondents cannot expect that such functions will be decentralized during the first year of the contract. 3. Although the contracting owner is a public agency, Respondents will be expected to uphold the same fiduciary and professional responsibilities and courtesies that they would have for a private owner. 4. Public housing regulations require some reporting requirements that are unique to public housing and differ from other subsidized housing programs. Respondents may be required to submit management or financial reports in formats somewhat different than they may otherwise utilize. For example, Respondents will be expected to use the HUD chart of accounts for financial reporting. 5. Public housing regulations governing lease and grievance procedures require some procedures that are unique to public housing. These include, but are not limited to, the right of all public housing residents to a grievance heating for actions that adversely affect them and a 30-day grace period before maintenance charges can be assessed. Public housing lease and grievance rules are governed by 24 CFR Part 966. 6. The selected respondents will be required to abide by all applicable procurement procedures. Federal Rules now authorize small purchase procures for up to $100,000; formal public bidding will be required for all contracts that exceed that amount. 7. Public housing regulations require public housing authorities (PHAs) to pay HUD-determined wages for maintenance mechanics and laborers. A schedule of these wage rates will be provided upon request. The respondents will be bound by these same regulations. 8. Respondents will be provided with essentially the same amount of operating funds to manage as the Agency receives. The exact amount of the operating budget will be made known to all bidders at the Pre-submission Conference. Respondents should be aware that, as a public housing authority, the Agency does not pay real estate taxes but instead pays a payment in lieu of taxes (PILOT), which represents approximately 10 percent of the rent roll. The Agency also has no debt service payments. Additionally, the Respondent will be responsible for marketing of units and the screening of residents. The Agency believes that the revenue available to manage these properties is sufficient for effective, professional management, including the management fee. Selected firm can anticipate that they will be able to use the agency's existing computer hardware and software system for property management reporting (work orders, vacancies, rent collections, etc.). However, the agency's financial reporting system may not interface with the respondent's financial management system. J. Agency Options 1. The Agency may, at its sole and absolute discretion, reject any and all, or parts of any and all, proposals; re-advertise this RFQ; postpone or cancel, at any time, this RFQ process; or waive any irregularities in this RFQ or in the proposals received as a result of this RFQ. Also, the determination or the criteria and process whereby proposals are evaluated, the decision as to who shall receive a contract award, or whether or not an award shall ever be made as a result of this RFQ, shall be at the sole and absolute discretion of the Agency. In no event shall any challenger or protestor of these determinations or decisions be awarded a contract for the services described in this RFQ. 2. In no event will the Agency permit modification to a proposal after the submission deadline. J. Qualification Statements Open to Public Prospective Respondents are hereby notified that all information submitted as part of, or in support of, qualification statements will be available for public inspection in compliance with state and federal laws. Only financial information requested as part of this solicitation to confirm a Respondent's financial soundness will be kept confidential. II. TERMS AND CONDITIONS A. Rules, Regulations, and Licensing Requirements The Respondent and staff must possess all required occupational license(s). In addition, the Respondent shall comply with all laws, ordinances, and regulations applicable to the services contemplated herein, especially those applicable to conflict of interest. Respondents are expected to be familiar with all federal, state, and local laws, ordinances, codes, rules, and regulations that may in any way affect the services. Information on these various requirements will be available at the Pre-submission Conference. B. Term of Management Agreement The term of the management agreements to be awarded shall be for one year, anticipated to begin on June 1, 2003. The management agreement will include a provision for termination of the agreement "at will" by the Respondent or Owner with 30-day notice. The agreement will also outline situations where the successful Respondent can be terminated immediately "for cause." C. Assignment The successful Respondent(s) shall not enter into any subcontracts, retain consultants, or assign, transfer, convey, sublet, or otherwise dispose of the ensuing contract, or any or all of its rights, title, or interest therein, or its power to execute such contract, to any person, company, or corporation without the prior written consent of the Agency. D. Equal Opportunity Employment Respondents agree that there will not be discrimination as to race, sex, religion, color, age, creed, or national origin in regard to obligations, work, and services performed under the terms of any contract ensuing from this RFQ. Respondents must agree to comply with Executive Order No. 11246, entitled "Equal Employment Opportunity" and as amended by Executive Order No. 11375, as supplemented by the Department of Labor Regulations (41 CFR, Part 60). E. Personnel In submitting their proposals, Respondents are representing that the personnel described in their proposals and submission packages shall be available to perform the services described, barring illness, accident, or other unforeseeable events of a similar nature, in which case the Respondent must be able to provide a qualified replacement. Furthermore, all personnel shall be considered to be, at all times, the sole employees of the Respondent under its sole direction, and not employees or agents of the Agency. IlL SUBMISSION REQUIREMENTS A. Respondent Qualifications Respondents shall provide the following as evidence of Respondent qualifications in the order listed: 1. A listing of all public and private multi-family housing currently managed by Respondent, with the name and contract representative of the property owners (who may be contacted as references), of locations, and brief descriptions of the properties. The Respondents should indicate properties that are/were federally- or locally-subsidized, and the nature of the subsidy, and also properties in the same area as Columbia Heights. Very large management companies (more than 1,000 units) may chose to aggregate this property data and submit information in a more condensed format. 2. Resumes and position descriptions of senior management and maintenance staff members who would be assigned to oversee the projects (for example, the regional property manager). Show an organizational chart of your staffing structure, including regional office locations. 3. An actual or prototypical budget and income and expense report for a property managed by the Respondent as evidence of the Respondent's financial reporting systems and expertise in operating matters. 4. An actual or prototypical management plan as evidence of the Respondent's knowledge of property management. 5. Provide a signed proposal with the per unit/monthly/annual fee quoted. 6. Staff to be assigned to management and maintenance services and their experience and qualifications should also be identified. 7. A list of at least three references from persons familiar with the professional qualifications of the Housing Manager and/or the Contractor. 8. Additional services to be provided. B. Provide Description of Company's Affirmative Action Policy and Accomplishments Provide a description of your company's affirmative action policy and accomplishments related to ownership, personnel, and pumhase of goods and services to this end. C. Describe Respondent's Status as Minority Business Enterprise Describe and document your Respondent's status as an minority business enterprise (MBE) and/or a women business enterprise (WBE), or your plans to maximize the utilization of such firms in this management effort. D. Describe Respondents' Plan for Meeting Section 3 The Respondents shall disclose the activities that they intend to undertake to comply with the Section 3 training and employment preference or to Section 3 contracting preference, or both, if applicable. E. Selection Criteria The respondents will be evaluated based on the materials submitted in III.A. Staff will present a written recommendation to the Columbia Heights HRA, which will make the final decision. The Columbia Heights HRA will then forward the Agreement to HUD for their concurrence. IV. GENERAL REQUIREMENTS OF MANAGEMENT AGENT Respondents will be responsible for the full range of services customary of a property management company. In the performance of these duties, the Respondent must comply with all applicable federal, state, and local laws. The following is a description of some of the major duties of the management company: A. Rent Collection The selected Respondent shall be responsible for the collection of rents and maintenance of rental collection records, including records of delinquencies; the safekeeping of rental receipts prior to their transmittal to a depository of the Agency; as well as producing and mailing the monthly rent statements to tenants. B. Compliance with HUD Regulations Because the properties listed in this document are public housing developments receiving assistance from the federal govemment, HUD roles and regulations apply to the management of this complex. The authority will delegate the responsibility of complying with these requirements to the Respondent, but will monitor compliance as part of its responsibilities under the annual contributions contract with HUD. C. Tenant Selection The Agency will screen potential applicants and assign these families to the development for final selection according to its Admissions and Continued Occupancy Policy, which is available upon request. It should be noted that the Agency is committed to thorough resident screening to assure that all residents have the ability and willingness to abide by the lease, and also to achieve a broad range of social and economic groups. D. Rent Determination and Recertification The Respondent will be responsible for recertifying each family annually in compliance with HUD regulations. Resident rents must also be computed according to HUD regulations. E. Inspections HUD requires that each unit be inspected at least annually in accordance with housing quality standards. F. Drug-Free Workplace The Respondent must certify that it agrees to provide a drug-free workplace for employees. In addition, all Respondents must assure that all employees hired by the Respondents under this contract pass a drug test and receive a police background check. G. Lease and House Rules The Respondent will be responsible for executing leases. A copy of the Agency's lease is available upon request. The Respondent may propose a new lease for this development, but such lease is subject to public review as well as HUD and Agency approval. H. Purchasing and Contracting Respondents' contractors must comply with HUD purchasing regulations and applicable laws of Hometown, USA. All contracting and purchasing must remain within the approved operating budget. All materials pumhased will be of equal or better standards. All workmanship will be per industry standards and material manufacturers' recommendations. All single purchases over $15,000 must be approved by the Agency. In the performance of those duties, the Respondent must comply with all applicable federal, state, and local roles regarding procurement and contract administration. I. Financial Management The Respondent must provide monthly income and expense reports for the subject property. An annual operating budget must be prepared. The properties awarded to successful Respondents will also be required to be audited annually under the provisions of the Single Audit Act. Accounting procedures must conform with applicable Agency requirements. The Respondent will be required to use the HUD account classification in financial reports provided to the Agency. All public housing funds handled must be fully cotlateralized or insured in a method acceptable to the authority, in accordance with HUD rules. J. Security The Respondent will be required to manage in such a way as to maximize the safety and security of the residents and to minimize crime. K. Personnel Respondents will have the sole responsibility for all hiring and firing of Respondents' employees. Respondents have the option of employing current employees assigned to a development or recruiting new employees. It will be the responsibility of the Respondent to provide for payment of all wages, benefits, and payroll taxes for all employees of the development, subject to any HUD regulations. Presently, HUD-determined technical wage rates must be paid to maintenance mechanics and laborers. These regulations may establish certain wage rate levels for maintenance and administrative staff. L. Resident Involvement The Agency is committed to resident participation in all major decisions affecting their development. Respondents will be required to work with the Resident's Council to plan and coordinate meetings on a monthly basis to resolve daily management and resident issues, as well as ways to strengthen the resident organization. Respondents must comply with the Agency's uniform by-laws for the organization and operation of recognized resident councils. In addition, the Agency presently has staff who assist resident groups to organize and aid in making social service referrals. The Respondent will work cooperatively in these areas. Further, it is expected that, if existing social service agencies provide services on-site, these services will continue under private management. Any change in such arrangements must be mutually agreed to by the Agency and the Respondent. M. Grievance Hearings All residents of public housing are entitled to a grievance hearing for matters that adversely affect them. A copy of the Agency's grievance procedures is available upon request. The Respondent must comply with these procedures. N. Insurance, Bonding, and Hold Harmless Agreement The Agency will inform the Respondent of insurance to be carried with respect to the property and its operations, and the Respondent will cause such insurance to be placed and kept in effect at all times. Premiums will be treated as operating expenses. All insurance will be placed with companies, or conditions, in amounts, and with beneficial interests appearing thereon as shall be acceptable to the Agency, provided that the same will include public liability coverage, with the Respondent designated as one of the insured, in amounts acceptable to the Agency as well. The Respondent will promptly report to the insurance company all accidents, claims, and potential claims for damage relating to the Project, and will cooperate with the Owner's insurers in connection therewith. The Respondent will request the insurance company to furnish an annual report to the Respondent and Owner listing all claims paid or reserved for payment. For general liability coverage, the management Respondent shall provide the Agency with a certificate of insurance that names the Agency as an additional insured. Additionally, the Respondent agrees that it will hold the Agency harmless for any acts of negligence on behalf of its staff, agents, and employees, and from any and all claims or liability for any injury or damage to any person or party occurring in, on, or about the premises or any part thereof, resulting from the negligence of the Respondent, its employees, agents, or personnel. The Respondent will provide owned and non-owned automobile liability insurance and workmen's compensation insurance meeting the State of Hometown's statutory amount. In addition, the Respondent wilt be required to provide a fidelity bonding acceptable to the Agency. All of the above shall be provided for the full term of the management contract. O. Section 3 Requirements Section 3 of the Housing Community Development Act of 1968, as amended, requires that the Agency, contractors, and subcontractors shall make their best effort to give training and employment opportunities to residents of the housing developments. Respondents will be required to comply with the Section 3 requirements. P. Evictions The selected Respondent will be required to handle all aspects of evictions proceedings, and shall be required to keep the Agency informed of such proceedings. All residents have a right to grievance hearings, which are anticipated to be handled by the Agency in cooperation with the Respondent. Q. Maintenance The selected Respondent shall be responsible for all routine, preventive, and non-routine maintenance. The selected Respondent shall use the existing maintenance service contracts through the end of the current contract period unless there is a cancellation clause and the Respondent feels that it is in the best interest of the owner to rebid. After that time, the Respondent must procure its own service contracts. These contracts should run concurrently with the management agreement. R. Performance Goals The Agency is responsible for compliance with management standards established by the HUD under the Public Housing Management Assessment Program (PHMAP). Any Respondent selected to manage Agency developments will be required to provide performance reports regularly on its compliance with those management standards. S. Capital Planning The operating budget to be approved for each site does not generally include funds for planned and extraordinary capital repair and replacement items. The properties managed by each Respondent, however, will have available capital funds to the same extent and priorities as other properties owned by the Agency. The Agency receives certain funds from HUD for capital repair and modernization efforts, and is required each year to submit a Capital Spending Plan, with an updated five-year rolling base. As such, each year the Respondent will be expected to present an annual capital plan and request. Each year the Agency will determine the list of capital projects that the respondent wilt be responsible for administering. V. LIST OF POTENTIAL PROPERTY GROUPINGS The three properties being considered for private management under this solicitation include: Parkview Villa North 965 40th Avenue NE Columbia Heights, MN 55421 Parkview Villa South 965 40th Avenue NE Columbia Heights, MN 55421 HRA Owned 4 Plex 4607 Tyler Street NE Columbia Heights, MN 55421 VI. DISCLAIMER The Agency reserves the right to refuse and reject all bids and not award any contract. The Agency also reserves the right to award some but not all contracts. Further, except for the date of acknowledgment and date of proposal as due, the Agency is not obligated to meet the schedules contained in this solicitation, but fully intends to do so. Scoring Sheets COLUMBIA HEIGHTS HOUSiNG & REDEVELOPMENT AUTHORITY RFQ FOR PROPERTY MANAGEMENT SERVICES Committee Evaluation Form Name of Firm: Date of Evaluation: Evaluator: Stage I Category 1: Demonstrated Successful Experience in Managing Multi-Family Housing (10 points) Guidelines: Firms with little or no experience managing multi-family properties should receive few points. Firms with extensive experience managing portfolios of multi-family housing for major property owners or institutions should receive high scores. Firms that have managed multiple properties for multiple owners should receive high points. Score: __ (0-10) Basis for Score: Category 2: Quality and Strength of Management Reporting and Systems (10 points) Guidelines: Firms which have submitted very clear and concise financial statements, management reports, management plans, and other related documents, should receive high scores. Firms with average reporting systems should receive average scores. Firms with minimal reporting capabilities should receive low scores. Score: (0-10 points) Basis for Score: Category 3: Capability and Experience of Personnel Managing the Firm & Properties (10points) Guidelines: Firms with very experienced senior and regional management staffwho have extensive experience managing multi-family housing, particularly for large and institutional owners, should receive high scores. Firms which resumes of senior staff with limited multi- family experience should receive low scores. Length of employment in a firm can also be considered. Score: (0-10 points) Basis for Score: Category 4: Experience Managing Similar Properties (10 points) Guidelines: If the firm has substantial experience managing urban properties, federally or state subsidized housing, or has significant experience managing properties of similar size and condition to those being contracted by Columbia Heights Housing & Redevelopment Authority, the firm should receive a high score. Firms which manage a small number of properties similar to those the PHA is contracting for should receive moderate scores. For example, a firm that only has experience with luxury condomoniums or cooperatives should receive a low score. Score: (0-10 points) Basis for Score: Category 5: Strength of the Firms MBE/WBE and Section 3 PHAs (5 points) Guidelines: Firms with an excellent record of contracting with minority-owned and women- owned businesses and at hiring public housing and other low-income community residents should receive high scores. Firms with no record of provision of these opportunities should receive low scores. Score: (0-5 points) Basis for Score: TOTAL SCORE, STAGE ONE: (0-45 PO1NTS) COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY RFQ FOR PROPERTY MANAGEMENT SERVICES Committee Evaluation Form Name of Firm: Date of Evaluation: Evaluator: Stage II Category 6: Interview and Walk-Through of a PHA Property (25 points) Guidelines: Firms that have clearly done their homework about the property, understood and had insight about trouble areas, and were able to answer both technical and general questions with ease should be highly scored. Likewise, firms that had not visited the site before appearing for the interview, had little insight, and had trouble answering general and specific questions should be ranked at the low end of the scale in this category. General rapport and a good give-and-take between the committee and the firm is important in scoring here. Score: __ (0-25) Basis for Score: TOTAL SCORE, STAGE ONE: TOTAL SCORE, STAGE TWO: CUMULATIVE SCORE (BEFORE FEES): (0-70 points) (0-45 POINTS) (0-25 POINTS) MANAGEMENT AGREEMENT This Agreement is made this 1st day of June 2003 between the Columbia Heights Housing & Redevelopment Authority (HRA), hereinafter called "Owner," a public agency with principal offices located at 590 40th Avenue NE, Columbia Heights, MN, and , hereinafter called "Managing Agent," with principle offices located at The Owner appoints the Agent as exclusive managing and leasing agent for the premises described in Number 2 below, and the Agent accepts the appointment subject to the terms and conditions set forth in this agreement. 2. Property: NAME: Parkview Villa Housing Complex 4 Plex ADDRESS: 965 40th Avenue NE, Columbia Heights, MN 55421 4607 Tyler Street NE, Columbia Heights, MN 55421 It OF UNITS: 146 4 3. Management Plan: The Managing Agent agrees to provide to the Owner within 60 days of execution of this agreement a Management Plan for the Project that provides comprehensive and detailed description of the policies and procedures to be followed in the management of the Project. The content and form of that plan will be prescribed by the Owner. The Management Plan must be approved by the Owner before its implementation. In many of its provisions, this Agreement briefly defines the nature of the Managing Agent's obligations, with the intention that reference be made to the Management Plan for more detailed policies and procedures. Accordingly, the Owner and the Managing Agent will comply with all applicable provisions of the Management Plan, regardless of whether specific reference is made thereto in any particular provision of this Agreement. The Managing Agent will continually review the Management Plan for the purpose of keeping the Owner advised of necessary or desirable changes, At least sixty (60) days before the end of the first contract year, the Managing Agent shall submit a Management Plan for the second contract year. 4. On Site Management Office: Owner shall provide adequate space on the Premises for a management office. Owner shall pay from the operating budget all expenses related to such office, including, but not limited to, furnishings, equipment, postage, office supplies, electricity, computers, telephone, answering service, and security monitoring services, if any. 5. Property Information: As soon as possible, but not more than 30 days after the commencement of this Agreement, the Owner will furnish the Managing Agent with a complete set of building Page 2 of 11 plans and specifications, as well as existing maintenance contracts. Also, the Owner will provide copies of all manufacturer's preventative maintenance schedules, guarantees and warranties pertinent to the fixtures, mechanical equipment, and appliances used in the operation of the subject property. With the aid of this information and inspection by competent personnel, the Managing Agent will become thoroughly familiar with the character, location, construction, layout, plan, and operation of the Project, and especially of the electrical, heating, plumbing, air conditioning, and ventilation systems, the elevators, and all other mechanical equipment. Rentals: The Managing Agent will offer for rent and will rent the dwelling nnits in the Project. The following provisions will apply: a. The Owner will be responsible for the initial screening and referral of prospective residents to the Managing Agent for assignments of public housing units. b. The Managing Agent will be responsible for all home visits. c. The Managing Agent will follow the resident selection policy described in the Management Plan and will show the premises to prospective tenants, as referred by the Owner's central leasing office. d. The Managing Agent will prepare and verify eligibility certifications and re certifications in accordance with the guidelines established by the Owner. 7. Leasing and Occupancy: The Managing Agent will carry out all leasing and placement activities necessary to offer housing oppommities to all applicants referred by the Owner in accordance with HUD guidelines. 8. Security Deposits: The Managing Agent will collect, deposit, and disburse security deposits in accordance with the terms of each resident's lease. The amount of each security deposit will be as specified in the Management Plan, which was previously approved by the Owner. The collection and disbursement of security deposits will also be governed by applicable state and local laws. All resident security deposits will be placed in a bank account separate from all other accounts and funds of the Managing Agent and/or the Owner. Said account will be established at a bank or other financial institution whose deposits are insured by an agency of the United States Government. This account will be carded in the Managing Agent's name and designated on record as (Property Name) "Security Deposit Account." The balance of the account must at all times be equal to the total amount collected from the families then in occupancy, plus any accrued interest. The Managing Agent must comply with any applicable state and local laws concerning interest payments on security deposits. Page 3 9. of I1 Collection of Rents and Other Receipts: The Managing Agent will collect when due all rents, charges, and other amounts receivable on the Owner's account in connection with the management and operation of the Property. Such receipts (except for residents' security deposits, which will be handled as specified in Subsection 8 above) will be deposited in an account, separate from all other accounts and funds, with a bank or other financial institution whose deposits are insured by an Agency of the United States Government. This account will be carried in the Managing Agent's name and designated on record as (Property Name) "General Operating Account." 10. Enforcement of Leases: The Managing Agent will use its best efforts to ensure full compliance by each resident with the terms of the lease. Voluntary compliance will be emphasized. The Managing Agent will counsel residents and make referrals to community agencies in cases of financial hardship or under other circumstances deemed appropriate by the Managing Agent. Involuntary termination of tenancies should be avoided to the maximum extent consistent with the pertinent procedures prescribed in the Management Plan. The Managing Agent may lawfully terminate any tenancy when, in the Managing Agent's judgment, sufficient cause (including, but not limited to, nonpayment of rent) for such termination occurs under the terms of the resident's lease. For this purpose, the Managing Agent is authorized to consult with legal counsel to bring actions for eviction and to execute notices to vacate and judicial pleadings incident to such actions; provided, however, the Managing Agent keeps the Owner informed of such actions and follows such instructions as the Owner may prescribe for the conduct of any such action. Attorneys' fees and other necessary costs incurred in connection with such actions will be paid out of the General Operating Account as Property expenses. 11. Maintenance and Repair: The Managing Agent will maintain the Property in good repair in accordance with the Management Plan and local codes, and in a condition at all times acceptable to the Owner. This will include, but not be limited to, cleaning, painting, decorating, plumbing, carpentry, grounds care, and such other maintenance and repair work as may be necessary, subject to any limitations imposed by the Owner in addition to those contained herein. The Owner will take note of the existing condition of the units and property and subject to availability of funds, give establish goals for bringing all units up to appropriate quality standards. Expenses associated with maintenance and repair will be paid out of the general operating account and will be treated as project expense. Incident thereto, the following provisions will apply: a. The Managing Agent will complete preventative maintenance activities in the most cost-effective and efficient matmer possible. b. The Managing Agent will contract with qualified independent contractors for the maintenance and repair of air conditioning systems and for extraordinary repairs beyond the capability of regular maintenance employees. Page 4 of 11 c. The Managing Agent will systematically receive and investigate all service requests from residents, take such action thereon as may be justified, and will keep records of the same. Emergency requests will be received and serviced on a 24-hour basis. Serious complaints will be reported to the Owner after investigation. d. The Managing Agent is authorized to pumhase all materials, equipment, tools, appliances, supplies, and services necessary for proper maintenance and repair. e. Notwithstanding any of the foregoing provisions, the prior approval of the Owner will be required for any expenditure which exceeds $10,000 in any one instance for labor, materials, or otherwise in connection with the maintenance and repair of the Property. This limitation is not applicable for recurring expenses within the limits of the operating budget or emergency repairs involving manifest danger to persons or property, or that are required to avoid suspension of any necessary service to the Property. In the latter event, the Managing Agent will inform the Owner of the facts as promptly as possible. f. The Owner agrees to pay Agent 5 percent of the gross capital cost of any construction, fire restoration, remodeling, or renovation, for services involved in managing, bidding out, coordinating, and supervising any such work, providing such work is not funded from the regular operating budget. All such work must have Owner's prior written approval. 12. Utilities and Services: In accordance with the Management Plan, the Managing Agent will make arrangements for water, electricity, gas, sewage and trash disposal, vermin extermination, decorating, laundry facilities, and telephone service. Subject to the Owner's prior approval, the Managing Agent will make such contracts as may be necessary to secure such utilities and services, acting as Managing Agent for the Owner. 13. Employees: The Management Plan prescribes the number, qualifications, and duties of the personnel to be regularly employed in the direct management of the Property. All such personnel will be employees of the Managing Agent and will be hired, paid, supervised, and discharged through the Managing Agent. Additionally, all employees of the Managing Agent must meet all qualifications, licensing, and code requirements applicable to completing assigned task, except where provisional or probationary status is permitted by regulation. It is understood that all direct costs associated with employees working "on site" will be borne by the owner, to include their direct salary. Social Security taxes, employment taxes, medical insurance, Pension Plan, Worker's Compensation and housing allowance (if applicable). Such reimbursement will be paid out of the General Operating Account and will be treated as a project expense. Maintenance staff must be paid in accordance with HUD-determined technical wage rates. Agent employees who work off site or in the Managing Agent's office will be paid directly by the Managing Agent out of the $22 PUM management fee paid for the project. 14. Disbursements from General Operating Account: a. From the funds collected and deposited by the Managing Agent in the General Operating Account pursuant to Section 9 above, the Managing Agent will make the following disbursements promptly when payable: Page 5 ofll (1). Reimbursement to the Managing Agent for compensation payable to the employees specified in Section 13 above, and for the taxes and assessments payable to local, state and federal governments in connection with the employment of such personnel. (2). All sums otherwise due and payable by the Owner as expenses of the Property authorized to be incurred by the Managing Agent under the terms of this Agreement, including compensation payable to the Managing Agent, pursuant to Section 25 below, for its service hereunder. Except for the disbursements mentioned in Subsection 14 a above, funds will be disbursed or transferred from the General Operating Account only as the Owner may from time to time direct in writing. In the event the balance in the General Operating Account is at any time insufficient to pay disbursements due and payable under Subsection 14 a above, the Managing Agent will inform the Owner of that fact and the Owner will then remit to the Managing Agent sufficient funds to cover the delinquency. In no event will the Managing Agent be required to use its own funds to pay such disbursements, or any other disbursements concerning the operation of the property. 15. Budgets: Annual operating and capital budgets for the Property will be approved by the Owner. Except as permitted m~der Subsection 11 e above, annual disbursements for each type of operating expenses itemized in the budget will not exceed the amount authorized by the approved budget. The Managing Agent will prepare a recommended operating and capital budget for each fiscal year begi~ming during the term of this Agreement, and will submit the same to the Owner at least 60 days before the beginning of the fiscal year. The Owner will promptly inform the Managing Agent of any changes incorporated in the approved budget, and the Managing Agent will keep the Owner informed of any anticipated positive or negative variance of 5 percent or more for each major budget category stated in the approved budget. 16. Records and Reports: In addition to any requirements specified in the Management Plan or other provisions of this Agreement, the Managing Agent will have the following responsibilities with respect to accounts and reports: a. The Managing Agent will establish and maintain a comprehensive system of records, books, and accounts in a manner satisfactory to the Owner. All records, books, and accounts will be subject to examination at reasonable hours by any authorized representative of the Owner. b. With respect to each fiscal year ending during the term of this Agreement, the Managing Agent will have the property audited in accordance with the provisions of the Single Audit Act, OMB Circular A-133 by a certified public accountant. The report will be prepared in accordance with generally accepted accounting Page 6 of 11 practices, and submitted to the Owner within 60 days after the end of the fiscal year. The preparer's services will be paid for out of the General Operating Account as an expense of the Property. c. The Managing Agent will furnish information as may be requested by the Owner from time to time with respect to the financial, physical or operational condition of the Property. d. By the 12th day of each month, the Managing Agent will furnish the Owner with a monthly management report, a statement of receipts and disbursements, a balance sheet, and any other financial information reflecting the status as of the end of the previous month, as required by the Owner. e. Except as otherwise provided in this Agreement, all off site bookkeeping, clerical, and other management overhead expenses (including, but not limited to, costs of office supplies and equipment, postage, transportation for managerial personnel, and telephone services) will be borne by the Managing Agent out of its own funds and will not be treated as Property expenses. 17. Fidelity Bond: The Managing Agent will place the property on a master fidelity bond, which provides blanket coverage equal to two (2) months' gross rent potential. The bond will provide coverage for all principals of the Managing Agent and all persons who participate directly or indirectly in the management of the Property and its assets, accounts and records. The premiums for such a bond will be paid from both the Managing Agent's management fee and from property income, to be pro-rated proportionately to persons covered. Specifically, coverage for the Managing Agent, including all applicable persons in the Central Office, will be paid from management fees, and coverage for the Owner' personnel, if applicable, will be paid from Property income. 18. Bids, Discounts, Rebates, or Commissions: The Property Owner and Managing Agent agree to make every reasonable effort to obtain contract materials, supplies and services at the most advantageous cost to the property and to secure and credit to the property all discounts, rebates and commissions obtainable with respect to purchases, service contracts, and all other transactions on behalf of the Property. The Property Owner and Managing Agent agree that all goods and services purchased from individuals or companies having an identity of interest with the Property Owner or Managing Agent shall be purchased at costs not in excess of those that would be incurred in making arms length purchases on the open market. The Managing Agent shall solicit written cost estimates (i.e., bids) from at least three contractors or suppliers for any work item that the Property Owner estimates will cost $2,500 or more and for any contract of ongoing supply or service arrangement that is estimated to exceed $25,000 per year. The Managing Agent agrees to accept the bid that represents the lowest price, taking into consideration the bidders reputation for quality of workmanship or materials and timely performance, and the time frame within which the services or goods are needed. The Managing Agent must make every reasonable effort to assure that the Property is obtaining services, supplies, and purchases at the most advantageous cost. The Managing Agent must make a written record of any verbal estimate obtained. Copies of all required bids and documentation of all other written or verbal cost comparisons made by the Managing Agent shall be made part of the Page 7 of 11 Property's records and shall be retained for three (3) years from the date the work was completed. This documentation shall be subject to inspection by the Owner or its designee and the Managing Agent agrees to submit such documentation upon request. The Managing Agent further agrees to include the following clause in any contract entered into with an identity of interest firm for provision of goods or services to the Property, the cost of which services are to be paid from Property funds: "Upon request by the Property Owner or Managing Agent, (name of contractor or supplier) will make available to same at a reasonable time and place (name of contractor or supplier's) records that relate to good services provided to the Property." The Managing Agent agrees to request such records from the contractor or supplier within seven (7) days of receipt of a written request from the owner. The Managing Agent agrees to make available to the owner, when requested, all records of the Managing Agent's management company and its identity of interest company(ies), if any, which relate to the provision of goods or services to the Property whenever Property funds have been used to pay for such goods and/or services (other than management services). 19. Resident Services Program: The Managing Agent will be responsible to the Owner for carrying out any resident services program described in the Management Plan. The Resident Services Director of the Owner, or other designated on site or Central Office personnel, will be the liaison with the Agent on such matters. 20. Resident Management Relations: The Managing Agent will encourage and promote resident involvement, and will abide by the Owner's overall policies regarding recognition of resident bodies. 21. Insurance: The Owner will inform the Managing Agent of insurance to be carded with respect to the Property and its operations, and the Managing Agent will solicit quotes and, after approval from the Owner, cause such insurance to be placed and kept in effect at all times. The Managing Agent will pay premiums out of the General Operating Account, and the premiums will be treated as operating expenses. All insurance will be placed with such companies, on such conditions, in such amounts and with such beneficial interests appearing thereon as shall be acceptable to the Owner and Managing Agent, provided that the same will include public liability coverage, with the Managing Agent designated as one of the insured, in amounts acceptable to the Managing Agent and the Owner. The Managing Agent will promptly report to the insurance company all accidents, claims, and potential claims for damage relating to the property, and will cooperate with the Owner's insurers in connection therewith. The Managing Agent will request the insurance company to furnish an annual report to the Agent and Owner listing all claims paid or reserved for payment. Page 8 of I 1 All such insurance policies shall provide that notice of default or cancellation be sent to Owner as well as Managing Agent, at least 30 days in advance of the effective date of any such default or cancellation. 22. Compliance With Governmental Orders: The Managing Agent will take such action as may be necessary to comply promptly with any and all governmental orders or other requirements affecting the Property, whether imposed by federal, state, county, or municipal authority, subject, however, to the limitation stated in Subsection 11 e with respect to repairs. Nevertheless, the Managing Agent shall take no such action so long as the Owner is contesting, or has affirmed its intention to contest, any such order or requirement. The Managing Agent will notify the Owner in writing of all notices of such orders or other requirements within 72 hours from the time of their receipt. 23. Nondiscrimination: In the performance of its obligations under this Agreement, the Managing Agent will comply with the provisions of any federal, state, or local law prohibiting discrimination in housing on the grounds or race, color, religion, sex, age, marital or familial status, national origin, or disability (applicant must have capacity to execute a legal contract). 24. Status of Manager: Nothing contained herein shall be deemed to render the Managing Agent and the Owner as joint ventures or partners of each other, and neither shall have the power to bind or obligate the other, except in accordance with the terms of this agreement. 25. Managing Agent's Compensation: The Managing Agent will be compensated for its services under this Agreement by monthly fees to be paid out of the General Operating Account and treated as Property expenses. Such fees will be payable on the first day of each month for the term of this Agreement. a. Each such monthly fee will be in an amount of $22 per unit per month. Except, however, ifa dwelling unit remains vacant for 30 calendar days or more, the Managing Agent will not be entitled to the monthly fee for any such vacant unit, providing said vacancy is not the result of physical damage to the unit, or Owner's leasing and referral system, as determined by the Owner. Specifically, all vacant units under approved modernization programs will be treated for fee purposes as if they are occupied as determined by the Owner. The agreed upon management fee listed above shall be paid at a rate of 150 percent only for the first two months of this contract in order to compensate the Managing Agent for additional effort associated with the start-up of operations. b. Additionally, the Managing Agent will be compensated in accordance with paragraph 11 (f). Page 9 of 11 26. Terms of Agreement: This Agreement shall be in effect for a period of one year beginning on June 1, 1996, and ending on May 31, 1997, subject, however, to the following conditions: a. After the initial term, this Agreement shall automatically renew for additional periods of the same terms and conditions as are herein contained, unless on or before 30 days prior to the expiration of any period, either party hereto notifies the other in writing that it elects to terminate this Agreement, b. This Agreement may be terminated by either of the Principal Parties as of the end of any calendar month, provided that at least 30 days advance written notice thereof is given to the other party. c. In the event that a petition in bankruptcy is filed by or against either of the Principal Parties, or in the event that either makes an assignment for the benefit of creditors to take advantage of any insolvency act, the other party may terminate this Agreement as provided for in "a" above. d. Upon termination, the Managing Agent will submit to the Owner any financial statements required and, after the Principal Parties have accounted to each other with respect to all matters outstanding as of the date of termination, the Owner will furnish the Managing Agent security in form and principal amount satisfactory to the Managing Agent against any obligations or liabilities that the e. Managing Agent may properly have incurred on behalf of the Owner hereunder. All of the Property's cash trust accounts, investments, and records will be turned over to the Owner within 30 days of the date the Management Agreement is terminated. f. Termination for Cause: The Owner shall have the right to terminate this Agreement immediately if it determines in its sole discretion that the Managing Agent's perfommnce of this Agreement or the activities of the Managing Agent or its employees are so unsatisfactory or improper as to constitute a hazard to the occupants of the Property, a threat to the continued viability or safety of the buildings, or the Owner. 27. Managing Agent's Indemnification: Notwithstanding any provision of this Agreement or any obligation of Managing Agent hereunder, it is understood and agreed: a. That the Owner has assumed and will maintain its responsibility and obligation through the term of this agreement for the finances and the financial stability of the Property, and b. That the Managing Agent shall have no obligation, responsibility, or liability to fund authorized Property costs, expenses, or accounts other than those funds generated by the Property itself or provided to the Property or to the Managing Agent by the Owner. In accordance with the foregoing, the Owner agrees that the Managing Agent shall have the right at all times to secure payment of its compensation, as provided for under Section Page 10 ofll 25 of this Agreement, from the General Operating Account, immediately when such compensation is due and without regard to other Property obligations or expenses, provided the Managing Agent has satisfactorily discharged all duties and responsibilities under this Agreement. Moreover, the Owner hereby indemnifies the Managing Agent and agrees to hold it harmless with respect to Property costs, expenses, accounts, liabilities, and obligations during the term of the Agreement, and further agrees to guarantee to the Managing Agent the payment of its compensation under Section 25 of this Agreement during the term of this Agreement to the extent that the Property's Operating and Maintenance Account is insufficiently funded for this purpose. Failure of the Owner at any time to abide by and to fulfill the foregoing shall be breach of this Agreement entitling the Managing Agent to obtain from the Owner, upon demand, full payment of all compensation owed to the Managing Agent through the date of such breach. 28. Section 3 Requirements: The Managing Agent is required to comply with Section 3 of the Housing Act of 19687, as amended. 29. Interpretative Provisions: a. At all times, this Agreement will enure to the benefit of and constitute a binding obligation upon the Principal Parties and their respective successors and assigns. b. This Agreement constitutes the entire Agreement between the Owner and the Managing Agent with respect to the management and operation of the Property, and no change will be valid unless made by supplemental written Agreement. c. This Agreement has been executed in several counterparts, each of which shall constitute a complete original Agreement, which may be introduced in evidence or used for any other purpose without production of any of the other counterparts. Page 11 ofll IN WITNESS THEREOF, the Principal Parties (by their duly authorized officers) have executed this Agreement on the date first above written. MANAGING AGENT: OWNER: Columbia Heights Housing & Redevelopment Authority (HRA) BY: BY: ITS: ITS: Chair BY: ITS: BY: ITS: Executive Director APPROVED: U.S. DEPARTMENT OF HOUSING & URBAN DEVELOPMENT BY: ITS: DATE: H:~Parkview Villa~vlanagement Agreement Form COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 15, 2003 AGENDA SECTION: Items for Consideration ORIGINATING EXECUTiVE NO: /4 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Approve RHA Architects, Inc. Contract BY: Mark Nagel BY: Addendum DATE: April 3, 2003 BACKGROUND: As you know from the Green Sheet updates, the re-roofing project at PVVN is near completion with just the final inspection left to finish. The project is on budget and the contractor, Omni Roofs, Inc., has given the HRA an excellent finished product. One of the remaining items that needs to "cleaned up" is the approval of an addendum to the RHA Architects, Inc. contract in the amount of $750. The addendum is for the additional work necessary to re-bid the PVVN re-roof project in October of 2002. The re-bid was caused by notice publication problem of the project in the Focus, which was no fault of the architect. As a result, bid packages, needed to be redone, another pre-construction conference needed to be held, another bid opening needed to be conducted, and the consultant attended another HR& meeting. The price of the additional process negotiated was a very reasonable $750, as staff did some of the work required to conduct the re-bid. As you know, the end result was a savings of about $80,000 over the first low bid. The overall contract amount is $4,550, which is still thousands of dollars below cost of other architect's bids to do the project. Finally, the reason it has taken some time to get this addendum before the HRA is the necessary approvals by HUD, as that is the source of payment. Attached is a copy of the original contract and the signed addendum for your review. RECOMMENDATION: Staff recommends approval of the RHA Architects, Inc. contract addendum in the amount of $750, given the concurrent approval of HUD to the 2003 PHA Operating Budget. RECOMMENDED MOTION: Move to Approval of the Contract Addendum with RHA Architects, Inc. in the amount of $750; and direct staffto process the payment when HUD approves the revision to the 2003 PHA Operating Budget. Attachment HRA ACTION: H:\Park~iew Villa2003\RHA Contract Addendum Date: April 1, 2003 Mr. Ron Hummerding RHA Architects, Inc. 104 East Germain Street St. Cloud, MN 56304 RE: Parkview Villa North Re-Roofing Project Dear Ron: As per our Agreement dated August 23, 2002 relative the above project, the Scope of Services called for the specifications and bidding for one time. As a result of questions in the bidding process, the project was re-bid causing additional expenses on the part of RHA Architects, Inc. in the amount of $750, which were not part of the contract. As per the agreement, a contract addendum is necessary to pay the additional amount, which must be signed by both parties and approved for payment by HUD. RHA Architects, Inc. (Contractor) By:. Its: Date: City of Columbia Heights Housing and Redevelopment Authority (HRA) By: Its: Date: By:. Its: Date: H:~Parkview Villa 2003\RHA Addendum Agreement COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 15, 2003 AGENDA SECTION: Items for Consideration ORIGINATING EXECUTIVE NO: 5 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Approve Contract Agreement with LBP BY: Mark Nagel BY: Mechanical Inc. DATE: April 10, 2003 BACKGROUND: The 20 year old, 200-gallon hot water heaters at PVVN were in poor shape. One of the tanks was completely shut down and could not be repaired, another was leaking badly, and the third was not performing up to standards. After having a couple of contractors look at the heaters and discussing the options, staff decided to solicit bids for the replacement of the heaters with two, 350 gallon heaters. HUD was informed of the emergency and has been working with staff to facilitate a much quicker process. Since the cost of the work was under $15,000, written bids were solicited from plumbing and heating contractors in Columbia Heights, but the three declined, saying the work was beyond they're capabilities. The low bidder LBP Mechanical could also replace the heaters in a timely manner. The attached contract was agreed to by LBP Mechanical prior to the completion of the work on April l0th. RECOMMENDATION: Concur with staff assessment of the emergency situation and approve the attached agreement with LBP Mechanical, Inc. in the amount of $14,970. RECOMMENDED MOTION: Move to Approval the Contract with LBP Mechanical, Inc. for emergency replacement of Parkview Villa North Water Heaters in the total amount of $14,970; and furthermore, to direct the Chair and Executive Director to enter into an agreement for the same. HRA ACTION: h:\Parkview Villa2003\LBP Contract LBP LBP Mechanical, Inc. Service & Construction 315 Royalston Avenue North Janua~ 2,2003 Minneapolis, Minnesota 55405 (612) 333-1515 Fax: (612) 333-6122 Crestview 444 Reservoir Boulevard N.E. Columbia Heights, MN 55421 Attn: William Jones RE: Replacing Hot Water Storage Tanks at 965 40t~ Avenue South Park View Villa Estates Dear William: We are pleased to offer, for your consideration, the estimated sum of $14,970.00 to do the following work: 1. Demolish three (3) hot water tanks and remove them from the building. 2. Install two (2) new 325 gallon glass lined tanks. 3. New piping with valving and new aquastat. 4. Insulate tanks and piping. We trust this meets with your approval. Please contact me if you have any questions. Sincerely, LBP Mechanical Inc. Paul Schneider Project Manager An Equal Opportunity Employer/Contractor . . . Propo~! , J, '. Gilbert Mech~ical C~ontractets, ~ Encompass Company, will provide the necessary labor a~d materials to complete the following revisions: Plumbing: · Peri.it · Provide and install thr~e new 200 gallon fiberglass linal water storage tanks · Remove exi~n; ~ and dispose ofpro!~'rl¥ · Provide ri~ing for liRi~g new tanks t~ roof · Pipe new ticks wi~h by-pass · Provide and install ~ pipe, valv~ and fittings ass requital · Incl~es $~nuary l' price increase on tanks Price Eighteen Thousand Eight Hundred Eight Five and no/100 (518,885.00) ' Paym~t terms: Project will be invoiced monthly a~ work progresses. Invoice terms ar~ net 30 days. Pricin~ is valid for 30 days. l~_leasa call me if_you have any, questions. Thank you. F_,xclusiom: 1. Ovenim,, labor. 7. Interior roof dr~/ns or overflow roof drains. 2. Asb~tos removal 8. Insulation of existing pipes. 3. Toilet ~ccessorias. 4. El"c~cal work 5. Soil correction, rock excavation, dc-watering, frost excavation. 6. SAC, WAC, utility..work?r charges. _ Proposed By: ~Aceepted By: Gilbert Mechanical Contractors, lnc. Date; ,,. Date: John Flag~ i~oject M~ag~r Print name: PROPOSAL P&D MECHANICAL CONTRACTING CO. 4629 41" AVE. NORTH ROBBINSDALE MN 5~4221 (763) ~33-2218 FAX (763) 53~2240 Jaauary 7, 2003 Cre~view Corporation Attu: Bill G~mll R~: lZarkvlew Villa Homing Complex We prepose to furnish all labor and material to install ~ .: robinS. Price to with new tmdu. Priee includes wirtus, haulin! old tanks! ~ff lite. mlulatmg new tanks, new valves, pipe and fittings as needed to conn~ee b~ew tanks to existing pfping. Pt*lee also includes permits and mx. !' Total THIS AGREEMENT made on ,2003, by and between, LBP Mechanical Inc. hereinafter called the "Contractor" and Columbia Heights Housing and Redevelopment Authority, Minnesota hereinafter called the "Authority". WITNESSETH, that the Contractor and the Authority for the consideration stated herein agrees as follows: ARTICLE 1: Statement of Work The Contractor shall furnish all labor, materials, tools, and equipment and shall perform all work required in the replacement of hot water storage tanks for PARKVIEW VILLA NORTH, 965 40th Avenue NE, Columbia Heights, which is incorporated herein by Appendix A and made a part hereof. ARTICLE 2: Time of Completion The Contractor shall commence work under this Contract on a date specified in the written Notice to Proceed issued by the Authority, and shall fully complete all work thereunder by April 30~ 2003. ARTICLE 3: Contract Price The Total Contract price shall be $14~970.00 dollars. ARTICLE 4: Payment Payment shall be made upon satisfactory completion of Article 1 and approval by the Authority. All necessary federal documents, including, but not limited to Davis-Bacon certifications, must be up-to-date prior to any payment. ARTICLE 5: Contract Documents Contract Documents shall consist of the following component parts: 1. This Instrument 2. Representations, Certifications, and other statements of Bidders-Public and Indian Housing Programs. 3. Addendum (#1) This instrument together with the documents enumerated in this Article form the Contract and they are as fully a part of the Contract as if hereto attached or herein repeated. In the event that any provision in one of the component parts of this Contract conflicts with any provision of any other component part, the provision in the component part first enumerated in Article 5 shall govern, except as otherwise specifically stated. IN WITNESS WHEROF, the parties hereto have caused this instrument to be executed the date and year first above written. COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY In Presence Signature: Typed Name: Title: Chair In Presence off Signature: Typed Name: Walter R. Fehst Title: Executive Director InPresence off Signature: Typed Name: Title: Contractor Name: LBP Mechanical, Inc.. HSParview Villa2003kLBP Mechanical Agreement U.S. Department of Housing and Urban Development Office of Public and Indian Housing Representations, Certifications, and Other Statements of Bidders Public and Indian Housing Programs Previous edition is obsolete form HUD-5369-A (11/92) Representations, Certifications, and Other Statements of Bidders Public and Indian Housing Programs Table of Contents Clause Page 1. Certificate of Independent Price Determination 1 2. Contingent Fee Representation and Agreement 1 3. Certification and Disclosure Regarding Payments to Influence Certain Federal Transactions 1 4. Organizational Conflicts of Interest Certification 2 5. Bidder's Certification of Eligibility 2 6. Minimum Bid Acceptance Period 2 7. Small, Minority, Women-Owned Business Concern Representation 2 8. Indian-Owned Economic Enterprise and indian Organization Representation 2 9. Certification of Eligibility Under the Davis-Bacon Act 3 10. Certification of Nonsegregated Facilities 3 11. Clean Air and Water Certification 3 12. Previous Participation Certificate 3 13. Bidder's Signature 3 1. Certificate of Independent Price Determination (a) The bidder certifies that-- (1) The prices in this bid have been arrived at independently, without, for the purpose of restricting competition, any consultation, communication, or agreement with any other bidder or competitor relating to (i) those prices, (ii) the intention to submit a bid, or (iii) the methods or factors used to calculate the prices offered; (2) The prices in this bid have not been and will not be knowingly disclosed by the bidder, directly or indirectly, to any other bidder or competitor before bid opening (in the case of a sealed bid solicitation) or contract award (in the case of a competitive proposal solicitation) unless otherwise required by law; and (3) No attempt has been made or will be made by the bidder to induce any other concern to submit or not to submit a bid for the purpose of restricting competition. (b) Each signature on the bid is considered to be a certification by the signatory that the signatory- (1) Is the person in the bidder's organization responsible for determining the prices being offered in this bid or proposal, and that the signatory has not participated and will not participate in any action contrary to subparagraphs (a)(I) through (a)(3) above; or (2) (i) Has been authorized, in writing, to act as agent for the following principals in certifying that those principals have not participated, and will not participate in any action contrary to subparagraphs (a)(I) through (a)(3) above. [insert full name of person(s) in the bidder's organization responsible for determining the prices offered in this bid or proposal, and the title of his or her position in the bidder's organization]; (ii) As an authorized agent, does certify that the principals named in subdivision (b)(2)(i) above have not participated, and will not participate, in any action contrary to subparagraphs (a)(1) through (a)(3) above; and (iii) As an agent, has not personally participated, and will not participate in any action contrary to subparagraphs (a)(1) through (a)(3) above. (c) If the bidder deletes or modifies subparagraph (a)2 above, the bidder must furnish with its bid a signed statement setting forth in detail the circumstances of the disclosure. [ ] [Contracting Officer check if following paragraph is applicable] (d) Non-collusive affidavit. (applicable to contracts for construction and equipment exceeding $50,000) (1) Each bidder shall execute, in the form provided by the PHN IHA, an affidavit to the effect that he/she has not colluded with any other person, firm or corporation in regard to any bid submitted in response to this solicitation. If the successful bidder did not submit the affidavit with his/her bid, he/she must submit it within three (3) working days of bid opening. Failure to submit the affidavit by that date may render the bid nonresponsive. No contract award will be made without a properly executed affidavit. (2) A fully executed "Non-collusive Affidavit" [ ] is, [ ] is not included with the bid. 2. Contingent Fee Representation and Agreement (a) Definitions. As used in this provision: "Bona fide employee" means a person, employed by a bidder and subject to the bidder's supervision and control as to time, place, and manner of performance, who neither exerts, nor proposes to exert improper influence to solicit or obtain contracts nor holds out as being able to obtain any contract(s) through improper influence. "Improper influence" means any influence that induces or tends to induce a PHNIHA employee or officer to give consideration or to act regarding a PHNIHA contract on any basis other than the merits of the matter. (b) The bidder represents and certifies as part of its bid that, except for full-time bona fide employees working solely for the bidder, the bidder: (1) [ ] has, [ ] has not employed or retained any person or company to solicit or obtain this contract; and (2) [ ] has, [ ] has not paid or agreed to pay to any person or company employed or retained to solicit or obtain this contract any commission, percentage, brokerage, or other fee contingent upon or resulting from the award of this contract, (c) If the answer to either (a)(1) or (a)(2) above is affirmative, the bidder shall make an immediate and full written disclosure to the PHA/IHA Contracting Officer. (d) Any misrepresentation by the bidder shall give the PHNIHA the right to (1) terminate the contract; (2) at its discretion, deduct from contract payments the amount of any commission, percentage, brokerage, or other contingent fee; or (3) take other remedy pursuant to the contract. 3. Certification and Disclosure Regarding Payments to Influence Certain Federal Transactions (applicable to contracts exceeding $100,000) (a) The definitions and prohibitions contained in Section 1352 of title 31, United States Code, are hereby incorporated by reference in paragraph (b) of this certification. Previous edition is obsolete Page 1 of 3 form HUD-5369-A (11/92) (b) The bidder, by signing its bid, hereby certifies to the best of his or her knowledge and belief as of December 23, 1989 that: (1) No Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress on his or her behalf in connection with the awarding of a contract resulting from this solicitation; (2) if any funds other than Federel appropriated funds (includ- ing profit or fee received under a covered Federal transaction) have been paid, or will be paid, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress on his or her behalf in connection with this solicitation, the bidder shall complete and submit, with its bid, OMB standard form LLL, "Disclosure of Lobbying Activities;" and (3) He or she will include the language of this certification in all subcontracts at any tier and require that all recipients of subcontract awards in excess of $100,000 shall certify and disclose accordingly. (c) Submission of this certification and disclosure is a prerequisite for making or entering into this contract imposed by section 1352, title 31, United States Code. Any person who makes an expenditure prohibited under this provision or who fails to file or amend the disclosure form to be filed or amended by this provision, shall be subject to a civil penalty of not less than $10,000, and not more than $100,000, for each such failure. (d) Indian tribes (except those chartered by States) and Indian organizations as defined in section 4 of the Indian Self-Determina~ tion and Education Assistance Act (25 U.S.C. 450B) are exempt from the requirements of this provision. 4, Organizational Conflicts of Interest Certification The bidder certifies that to the best of its knowledge and belief and except as otherwise disclosed, he or she does not have any organizational conflict of interest which is defined as a situation in which the nature of work to be performed under this proposed contract and the bidder's organizational, financial, contractual, or other interests may, without some restriction on future activities: (a) Result in an unfair competitive advantage to the bidder; or, (b) Impair the bidder's objectivity in performing the contract work. [ ] Intheabsenceofanyactualorapparentconflict, lhereby certify that to the best of my knowledge and belief, no actual or apparent conflict of interest exists with regard to my possible performance of this procurement. 5. Bidder'e Certification of Eligibility (a) By the submission of this bid, the bidder certifies that to the best of its knowledge and belief, neither it, nor any person or firm which has an interest in the bidder's firm, nor any of the bidder's subcon- tractors, is ineligible to: (1) Be awarded contracts by any agency of the United States Government, HUD, or the State in which this contract is to be performed; or, (2) Participate in HUD programs pursuant to 24 CFR Part 24. (b) The certification in paragraph (a) above is a material represen- tation of fact upon which reliance was placed when making award. If it is later determined that the bidder knowingly rendered an erroneous certification, the contract may be terminated for default, and the bidder may be debarred or suspended from participation in HUD programs and other Federal contract programs. 6. Minimum Bid Acceptance Period (a) "Acceptance period," as used in this provision, means the number of calendar days available to the PHNIHA for awarding a contract from the date specified in this solicitation for receipt of bids. (b) This provision supersedes any language pertaining to the acceptance period that may appear elsewhere in this solicitation. (c) The PHNIHA requires a minimum acceptance period of (Contracting Officer insert time period] calendar days. (d) in the space provided immediately below, bidders may specify a longer acceptance period than the PHA's/IHA's minimum require- ment. The bidder allows the following acceptance period: calendar days. (e) A bid allowing less than the PHA's/IHA's minimum acceptance period will be rejected. (f) The bidder agrees to execute all that it has undertaken to do, in compliance with its bid, if that bid is accepted in writing within (1) the acceptance period stated in paragraph (c) above or (2) any longer acceptance period stated in paragraph (d) above. 7. Small, Minority, Women-Owned Business Concern Representation The bidder represents and certifies as part of its bid/offer that it -- (a) [ ] is, [ ] is not a small business concern. "Small business concern," as used in this provision, means a concern, including its affiliates, that is independently owned and operated, not dominant in the field of operation in which it is bidding, and qualified as a small business under the criteria and size standards in 13 CFR 121. (b) [ ]is, [ ]isnot awomen-ownedbusinessenterprise. "Women- owned business enterprise," as used in this provision, means a business that is at least 51 percent owned by a woman or women who are U.S. citizens and who also control and operate the business. (c) [ ] is, [ ] is not a minority business enterprise. "Minority business enterprise," as used in this provision, means a business which is at least 51 percent owned or controlled by one or more minority group members or, in the case of a publicly owned business, at least 51 percent of its voting stock is owned by one or more minority group members, and whose management and daily opera- tions are controlled by one or more such individuals. For the purpose of this definition, minority group members are: (Check the block applicable to you) [ ] Black Americans [ ] Asian Pacific Americans [ ] Hispanic Americans [ ] Asian Indian Americans [ ] Native Americans [ ] Hasidic Jewish Americans 8. Indian-Owned Economic Enterprise and Indian Organization Representation (applicable only if this solicitation is for a contract to be performed on a project for an Indian Housing Authority) The bidder represents and certifies that it: (a) [ ] is, [ ] is not an Indian-owned economic enterprise. "Economic enterprise," as used in this provision, means any com- mercial, industrial, or business activity established or organized for the purpose of profit, which is at least 51 percent Indian owned. "Indian," as used in this provision, means any person who is a member of any tribe, band, group, pueblo, or community which is recognized by the Federal Government as eligible for services from the Bureau of Indian Affairs and any"Native" as defined in the Alaska Native Claims Setfiement Act. (b) [ ] is, [ ] is not an Indian organization. "Indian organization," as used in this provision, means the governing body of any Indian tribe or entity established or recognized by such governing body. Indian "tribe" means any Indian tribe, band, group, pueblo, or Previous edition is obsolete Page 2 of 3 form H UD-5369-A (11/92) community including Native villages and Native groups (including corporations organized by Kenai, Juneau, Sitka, and Kodiak) as defined in the Alaska Native Claims Settlement Act, which is recognized by the Federal Government as eligible for services from the Bureau of Indian Affairs. 9. Certification of Eligibility Under the Davis-Bacon Act (applicable to construction contracts exceeding $2,000) (a) By the submission of this bid, the bidder certifies that neither it nor any person or firm who has an interest in the bidder's firm is a person or firm ineligible to be awarded contracts by the United States Government by virtue of section 3(a) of the Davis-Bacon Act or 29 CFR 5.12(a)(1). (b) No part of the contract resulting from this solicitation shall be subcontracted to any person or firm ineligible to be awarded contracts by the United States Government by virtue of section 3(a) of the Davis-Bacon Act or 29 CFR 5.12(a)(1). (c) The penalty for making false statements is prescribed in the U. S. Criminal Code, 18 U.S.C. 1001. 10. Certification of Nonsegregated Facilities (applicable to contracts exceeding $10,000) (a) The bidder's attention is called to the clause entitled Equal Employment Opportunity of the General Conditions of the Con- tract for Construction. (b) "Segregated facilities," as used in this provision, means any waiting rooms, work areas, rest rooms and wash rooms, restaurants and other eating areas, time clocks, locker rooms and other storage or dressing areas, parking lots, drinking fountains, recreation or entertainment areas, transportation, and housing facilities provided for employees, that ara segregated by explicit directive or are in fact segregated on the basis of race, color, religion, or national origin because of habit, focal custom, or otherwise. (c) By the submission of this bid, the bidder certifies that it does not and will not maintain or provide for its employees any segregated facilities at any of its establishments, and that it does not and will not permit its employees to perform their services at any location under its control where segregated facilities are maintained. The bidder agrees that a breach of this certification is a violation of the Equal Employment Opportunity clause in the contract. (d) The bidder further agrees that (except whera it has obtained identical certifications from proposed subcontractors for specific time periods) prior to entering into subcontracts which exceed $10,000 and ara not exempt from the raquiraments of the Equal Employment Opportunity clause, it will: (1) Obtain identical certifications from the proposed subcom tractors; (2) Retain the certifications in its files; and (3) Forward the following notice to the proposed subcontrac- tors (except if the proposed subcontractors have submitted identical certifications for specific time periods): Notice to Prospective Subcontractors of Requirement for Certifications of Nonsegregated Facilities A Certification of Nonsegregated Facilities must be submitted before the award of a subcontract exceeding $10,000 which is not exempt from the provisions of the Equal Employment Opportunity clause of the prime contract. The certification may be submitted either for each subcontract or for all subcontracts during a period (i.e., quarterly, semiannually, or annually). Note: The penalty for making false statements in bids is prescribed in 18 U.S.C. 1001. 11, Clean Air and Water Certification (applicable to con- tracts exceeding $100,000) The bidder certifies that: (a) Any facility to be used in the performance of this contract [ ] is, [ ] is not listed on the Environmental Protection Agency List of Violating Facilities: (b) The bidder will immediately notify the PHA/IHA Contracting Officer, before award, of the receipt of any communication from the Administrator, or a designee, of the Environmental Protection Agency, indicating that any facility that the bidder proposes to use for the performance of the contract is under consideration to be listed on the EPA List of Violating Facilities; and, (c) The bidder will include a certification substantially the same as this certification, including this paragraph (c), in every nonexempt subcontract. 12. Previous Participation Certificate (applicable to construction and equipment contracts exceeding $50,000) (a) The bidder shall complete and submit with his/her bid the Form HUD-2530, "Pravious Participation Certificate." If the successful bidder does not submit the certificate with his/her bid, he/she must submit it within three (3) working days of bid opening. Failure to submit the certificate by that date may render the bid nonresponsive. No contract award will be made without a propedy executed certifi- cate. (b) A fully executed "Previous Participation Certificate" [ ] is, [ ] is not included with the bid. 13, Bidder's Signature The bidder hereby certifies that the information contained in these certifications and representations is accurate, complete, and current. (Signature and Date) (Typed or Printed Name) (Title) (Company Name) (Company Address) Previous edition is obsolete Page 3 of 3 form HIJD-5369-A ( 11/92)