HomeMy WebLinkAboutJanuary 21, 2004CITY OF COLUMBIA HEIGHTS
590 40th Avenue N.E.. Columbia Heights, MN 55421-3878 (763) 706-36{)0 TDD (763) 706-3692
Visit Our Website at: www. ci. columbia-heights.mn, us
HRA Commissioners:
Tammera Ericson
Dennis Ecklund
Bobby Williams
Bruce Nawrocki
Bruce Kelzenberg
Patricia Jindra
HOUSING & REDEVELOPMENT AUTHORITY SPECIAL MEETING
7:00 P.M., WEDNESDAY, JANUARY 21, 2004
PARKVIEW VILLA, COMMUNITY ROOM B
965 40T}~ AVENUE, COLUMBIA HEIGHTS, MN
AGENDA
1. CALL TO ORDER/ROLL CALL
2. PLEDGE OF ALLEGIANCE
3. ELECTION OF OFFICERS
Chair
Vice Chair
Secretary/Treasurer
MOTION:
Move to cast a unanimous ballot nominating and appointing
for Chair, for Vice Chair, and
for Secretary/Treasurer.
o
CONSENT AGENDA
A. Approval of Minutes.
The Meeting of November 18, 2003.
MOTION: Move to approve the minutes of November 18, 2003, special meeting as
presented in writing.
REPORT OF MANAGEMENT COMPANY-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. Revenue Adjustment Plan for Parkview Villa South
MOTION: Move to implement the revenue adjustment plan.
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 North Apartment Modernization
MOTION: Move to Approve the Parkview Villa North Apartment Remodeling Plans
and authorize staff to obtain bids for the project.
ADMINISTRATIVE REPORTS
8. ADJOURNMENT
Cheryl Bakken, Community Development Secretary
H: \HRA A~enda2004\l-21-2004
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 hearin~ impaired only).
COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA)
Meeting of: January 21, 2004
AGENDA SECTION: ORIGINATING EXECUTIVE
NO: DEPARTMENT: HRA DIRECTOR
APPROVAL
ITEM: Election of Officers BY: Robert Streetar BY:
DATE: January 14, 2004
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
S ecretary/Treasurer
Tammera Ericson
Bruce Kelzenberg
Patricia Jindra
RECOMMENDATION: Move to cast a unanimous ballot nominating and appointing
for Chair, for Vice Chair, and
for Secretary/Treasurer.
RECOMMENDED MOTION:
Attachments
Move to cast a unanimous ballot nominating and appointing
for Chair, for Vice Chair, and
for Secretary/Treasurer.
HRA ACTION:
H:\HRA consent Form 2004\HRA Election of Officers
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.
HOUSING & REDEVELOPMENT AUTHORITY (HRA)
SPECIAL MEETING MINUTES
NOVEMBER 18, 2003
CALL TO ORDER/ROLL CALL
Chair, Ericson called the meeting to order at 7:01 p.m.
Present: Tammera Ericson, Bruce Kelzenberg, Bruce Nawrocki, Bobby Williams, and Dennis
Ecklund Jr.
Absent: Patricia Jindra
PLEDGE OF ALLEGIANCE
PUBLIC HEARING
Chair, Ericson opened the Public Hearing at 7:05 pm.
Resolution 2003-03~ Adopt 2004 PHA Plan
Nagel stated this Public Hearing is for the adoption of the 2004 Public Housing Agency Plan (PHA)
that is required by HUD each year. Per HUD regulations, the public hearing notice was published for
a forty-five day review, submitted to Anoka County for approval and reviewed by the Parkview Villa
Resident Advisory Board. After board approval it will be electronically transmitted to HUD by staff.
On page 12 of the PHA plan it shows the breakdown figures of the 2004 budget.
Nawrocki asked if the repairs to the boiler have been done and why is Dakota County approving the
PHA plan. Nagel stated the boiler repairs are done and that staff sends the document to Anoka County
and always comes back from the Dakota County office.
Motion by Nawrocki, second by Kelzenberg, to close the Public Hearing. All ayes. Motion Carried.
Motion by Williams, second by Kelzenberg, to waive the reading of Resolution 2003-03, there being an
ample amount available to the public. All ayes. Motion Carried.
Motion by Williams, second by Kelzenberg, to Adopt Resolution 2003-03 of the Columbia Heights
Housing and Redevelopment Authority (HILl) confirming approval of the 2004 Public Housing Agency
certifications of compliance with the PHA plans and related regulations. All ayes. Motion Carried.
Recess- Chair, Ericson called for a recess at 7:09pm and the remainder of the meeting will continue
at Parkview Villa, 965 40th Avenue, Columbia Heights.
Meeting reconvened at Parkview Villa at 7:25p. m. by Chair, Ericson.
CONSENT AGENDA
Approval of Minutes
MOTION by Williams, second by Kelzenberg, to approve the minutes from October 21, 2003, regular
meeting as presented in writing. All ayes. Motion Carried.
REPORT OF MANAGEMENT COMPANY
Fantle stated the carpets were cleaned at Tyler yesterday. Carpet replacement bids came in so
different that they went back to all of the companies and ask for a breakdown.
Housing & Redevelopment Authority Minutes
November 18, 2003 Special Meeting
Page 2 of 5
At the October HRA meeting the board ask staff to prepare a back up heating plan for 2004. After
doing some research of the 2004 Budget, it was discovered that instead of building up the heating
account from 3 to 4°/6 as in years past, it was increase by 10% to accommodate any possible increases
next year.
Shirley Barnes state& 1)from 1993-2000 management fees remained the same from Crest View; 2) If
council members hear of any problems or issues at Parkview Villa, please feel free to contact Karen
Fantle; 3) Thanked the board for the opportunity to manage Parkview Villa; and 4) suggested the
board try not to micro manage the new management firm.
CITIZEN FORUM
Bob Baliza, Unit 704 asked why there is so much confusion between the North and South building
rents and ask if HUD couldn't take over both buildings. Fehst explained that the North building has
always been HUD subsidized and the South building is not. This is because the City built it. In the
North building, because it's HUD subsidized, they have a say in what the rent structure is. Shirley
Barnes stated that HUD isn't in the practice of taking over existing buildings.
ITEMS FOR CONSIDERATION
Walker ElderCare Management Agreement
Streetar stated the 3-year Management Agreement for Parkview Villa North and South wouM
terminate in 2007. The current agreement with Crest View has a 60-day notice and at that time Walker
will take over. Under attachment B, it suggests tentative management, which is similar to our current
agreement. On page 5-C, Fees, Walker will provide management for both buildings in an amount of
$14, 091.75 per month with annual increases by the consumer price index for all urban consumers for
the Minneapolis/St. Paul area as defined by the U.S. Department of Labor, Bureau of Labor Statistics.
Attachment A, explains that under our current contract all employees are subject to a police
background check, but Walker could require additional screening.
Williams stated Crest View charged the City $7,000 in management fees, which covered employee
salaries, insurance, etc. and therefore, Walker couM make money with less staffing by paying them a
fiat amount per month.
Williams stated on page 6, number 5 it states they would provide support to Parkview Villa staff in an
emergency, subject to reimbursement by owner. Does this mean we would have to pay an additional
fee and if so what la'nd of scenario wouM this apply to. Nagel stated this is the same language as in
our current contract with Crest View and only applies to an emergency. Denny 0 'Donnell from
Walker ElderCare gave an example of afire in the building, with extensive water damage. Additional
staff would be required to clean up the water damage.
Williams asked what kind of penalties the City would have to pay if the agreement was terminated.
Streetar stated the HRA would only be responsible for services up to the date of termination.
Nawrocki stated on page 7, E-I, it should be worded to have staff responsible to oversee abnormal
expenditures. Nagel stated in the north building anything over $15,000 comes out of Capital Funds
approved by HUD and for the south building there is an amount in the Capital Outlay of the budget set
aside for carpet replacement.
Housing & Redevelopment Authority Minutes
November 18, 2003 Special Meeting
Page 3 of 5
Kelzenberg ask 0 'Donnell if there were an issue of residents having people stay with them too long,
how would they handle the situation. 0 'Donnell stated they would investigate the situation and then
follow HUD regulations to deal with the problem.
Williams stated he would be voting against the agreement, as he believes in the loyalty and service
provided by Crest View over the years.
Motion by Nawrocki, second by Kelzenberg, to Approve the 3-year Management and Maintenance
Services Agreement with Walker ElderCare subject to final review by the City Attorney; and
furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same.
Upon Vote: Ecklund- aye; Nawrocki- aye; Ericson- aye; Kelzenberg- aye; Williams- nay. Motion
Carried.
4607 Tyler Street Sale
Streetar stated at the August HRA meeting the board approved the sale of 4607 Tyler to Minnesota
Housing Resources. Subsequently, Anoka County notified staff that they have to take action prior to
the final approval of the sale to comply with Federal CDBG regulations, as CDBG funds were used to
purchase the property. At this time, Anoka County has approved the sale and has asked that the HRA
re-approve the sale.
Motion by Kelzenberg, second by Nawrocki, to Approve the sale of 4607 Tyler Street to Minnesota
Housing Resources for $160, 000 with the stipulations outlined in the Purchase Agreement; and
furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same.
All ayes. Motion Carried.
Mayor, dulienne Wyckoff stated she noticed there wasn't anyone on the waiting list, and asked if the
new owners will choose Columbia Heights Residents to fill the units first. Streetar stated Minnesota
Housing Resource has chosen Crest View to manage the building for them and that any determination
would be decided by them, as it was not stated in the purchase agreement.
Parkview Villa South Rent Structure
Streetar stated at the October HRA meeting, commissioners directed staff to recommend rent increases
for new residents moving into Parkview Villa South. The rent increases are based upon information
Crest View obtained for like properties owned and managed by Anoka County HRA and are suggested
as a means to begin to address the revenue shortfall for the south
building. Staff recommends leaving the age requirement at 62 years and older and the maximum
income for 1 person at $39,500 and 2person at $45,200 as established by HUD and adjusted
annually. The rent capped at 30% of annual income for both the 1 and 2 bedroom units would
be removed and changed to a flat rent amount of $502 for a 1 bedroom and $674 for a 2 bedroom,
which would increase yearly per HUD's fair market rent requirements. The changes would only affect
new residents of the south building and would go into affect on December I, 2003.
Ericson asked if the amount of $502 for a 1 bedroom and $674 for a 2 bedroom for all new residents
was correct. Streetar stated that is correct.
Housing & Redevelopment Authority Minutes
November 18, 2003 Special Meeting
Page 4 of 5
Joe Kroska, Unit 225, asked if the 62 years or older age requirement would stay the same.
stated it would.
Ericson
Nawrocki stated he disagreed with the comment about micro management as he felt the board has not
done enough of it. Originally the south building rent was set up at $100 more than the maximum in the
north building, but ironically some residents in the north building pay as much as $800 a month, which
is more than residents pay in the south building. The City receives almost $1, O00 per unit a year for
the north building, which we do not get for the south building. Nawrocki suggested: 1) a rent structure
that residents could build into gradually; 2) ifa south resident feels they can't afford the new amount,
they should have first choice at getting into a unit in the north building; and 3) staff apply for funding
that Streetar spoke to him about that would help for a couple of months with the unit transition period.
Barnes stated she checked with HUD on the issue of letting the south building residents have first
choice of the available units in the north building and they stated they couldn't do that.
Williams stated residents should be aware that the $700,000 in the south buildings budget could only
be used to pay off the debt, not repairs and that he agrees with everything Nawrocki said and would be
in favor of applying for the funding.
Fehst stated he agreed with staff to wait until Walker takes over and have them review the rent
structure and make recommendations early next year. He also asked Barnes what the ratio in the south
building is of residents that moved from the north building into it. Barnes stated she would have to
investigate it.
Ecklund stated he would like to see the motion to raise the rents for all new residents passed, so we can
move on.
Renie Sufika, Unit 104 asked if the intra building moving fees would be waived. Ericson stated this is
a motion to approve the rent increase for all new residents only and other issues would have to be
discussed at another meeting after Walker is on board.
Ericson stated she: 1) agrees these issues should be addresse& 2) disagrees with Nawrocki, as she
doesn't have a problem with new people moving in and paying a different amount. People buy
airplane tickets and pay different prices for them and doesn't think there would be a conflict with new
residents paying more than our current residents; 3) we will need to look at the rent structure for our
current residents; 4) agreed with staff that we should give the new management company an
opportunity to put some numbers together, consider fees for moving from one building to another; and
5) felt comfortable with changing the rent for new people that don't live here now so that they know
what the new rents will be at the time they move it.
Nawrocki stated Ericson's example of the airline ticket is not an apple-to-apple comparison as the
airline ticket is a private transaction. This is a public facility, with public money. That is the
difference. It would be like saying "you adopted it on the City level and want to raise the water rates
considerably ". Would you even think of saying just new people would be charged a higher rate for
water. Ericson asked do we give a senior discount and if so why do you as a senior pay less for water
than she does. Nawrocki stated the City does give a senior discount for water. As a senior citizen he
pays as much for water as she does and would be willing to compare water bills with her and expects
Housing & Redevelopment Authority Minutes
November 18, 2003 Special Meeting
Page 5 of 5
he pays more. Ericson asked how he could support a policy that provides a discount. Nawrocki
stated he has said more than once that she was the smartest person on this body, but sometimes
wonders how she uses these smarts. He thinks she is capable of figuring out the difference between
and public and private transaction.
Ericson ask for the record to reflect that she would appreciate Mr. Nawroctd to not make personal
comments and to keep his comments to the issues at hand.
Motion by Ericson, second by Kelzenberg, to approve the Rent Adjustment for new residents to take
effect December 1, 2003. Upon Vote: Ecklund- aye; Nawrocki- nay; Ericson- aye; Kelzenberg- aye;
Williams- aye. Motion Carried.
Kelzenberg stated he thought the board had already passed a motion to table this item until March or
April of next year as a courtesy to the residents.
ADMINISTRATIVE REPORTS
ALDI GROCERY STORE
Streetar stated the ALDI Grocery Store representative contacted staff in regards to the Kmart site as a
possible location for one of their stores. Staff met with A£DI's representative and took a tour of one of
their stores. They provided staff an example of if you are a single person or for an average family of 4,
it would be a savings of approximately $20-$50 per week by shopping at A£DI's.
HVS International
Streetar stated the marketing firm of HVS International contacted staff to discuss a potential location
of a Sheraton Hotel at 49th and Central. They will let staff know by the end of December of their
intentions.
ADJOURNMENT
Chair, Ericson, adjourned the meeting at 8:44p. m.
Respectfully submitted,
Cheryl Bakken
Recording Secretary
HSHRAMinutes 2003\ 11-18 -2003 Special
UJ
II II
Parkview Villa Housing Complex
965 N.E. 40th Avenue, Columbia Heights, MN 55421
(763) 706-3800 Fax (763)788-3978
DATE:
TO:
FROM:
RE:
January 13, 2004
Bob Streetar; Community Development Director
Shirley Barnes; Chief Executive Officer; Crest View Corporation
Commissioners; Columbia Heights HRA
Board of Directors; Crest View
Karen Fantle, Housing Manager
November/December 2003 Management Report for Parkview Villa
4607 Tyler 4-plex
· After having a contractor look at the foundation and the drain tiling televised it was determined
that there is no current leakage or problems with the drain tile. Bill G. also replaced the gutter
drain spouts directing rain away from the building (they had been removed for unknown
reasons). At this time the only explanation for the leakage that I can determine is an
excessively hard rain caused it. After determining all of this information we decided to have the
basement walls cleaned, sealed and repainted.
o Tenant in Apt. 2 had some damage to property in the storage area of basement. She has
submitted a letter asking for compensation from the city (see attached).
· Sale of the 4-plex was finalized on December 31, 2003.
Parkview Villa
· After receiving the 3 breakdown bids for the carpeting of PVV-S, St. Paul Linoleum was the
low bidder. They have been contacted and informed they have the bid. We will be meeting on
January 20 at 2:00 p.m. to confirm carpeting to be used.
· I have set up tracking systems for incident reports regarding misconduct in the buildings,
overnight guests and after-hour lockouts. These systems should make it easier to keep track of
what is happening in the buildings.
· I have been working with Cher in the Community Development Office to organize and clean
up Policy & Procedures and forms that are currently approved and in use so that the transition
to Walker Management will go as smooth as possible.
· Bill Gault and I have completed annual inspections of Parkview Villa North apartments for
2004.
o 28 apartments failed due to housekeeping issues - 9 of these have been resolved already
o 8 apartments failed due to safety issues - 4 of these have been resolved already.
o Found 3 apartments with both A/C's and chest freezers that were only paying for one
excess utility. They are now paying for both.
· I have completed Annual & Interim re-certifications as needed.
· I have addressed problems occurring with and between tenants and kept incident reports
current.
· I have submitted Purchase Requisitions and Payment Vouchers in a timely manner.
Parkview Villa Manager's Report - Page 2
OCCUPANCY:
PARKVIEW VILLA - NORTH
Apt #305
Apt #611
November 30, 2003
December 13, 2003
PARKVIEW VILLA - SOUTH
Apt #417
Apt #217
November 30, 2003
November 30, 2003
Waiting list totals are as follows:
Parkview Villa North
30 CH Residents
36 Non-Residents
Parkview Villa South
15 CH Resident
11 Non-resident
MISC:
For informational purposes the Parkview Villa calendar is attached.
Equal Housing Opportunity Agency
Owned by the City of Columbia Heights HRA
Managed by Crest View Management Services
EQUAL HOUEINQ
OPPORTUNITY
Letter to Col. Hts.txt
December 9, 2003
City of columbia Heights
HRA
To Whom It May Concern:
I live in apartment #2 at 4607 Tyler Street, N E. owned by the City of columbia
Heights. ' '
In early September, I was looking for something in my storage room, and since it was
way in the back, I had to move everything out. I moved it into an empty storage
room, but when I got to the back of my storage room, I discovered that'a crack in
the foundation had let water seep in and had covered many of my belongings with a
black slimy mold.
z had to throw out about fifty books that were too covered to be able to clean them.
I also had to throw out some clothes that were ruined. The mold had seeped
throught the boxes and ruined whatever was inside them. I managed to save some of
t~e books, that weren't too badly covered with mold, and I washed some of the
Clothes, but I can't get the mold smell out of them.
Although I threw out a lot of stuff, I still have some stuff that was ruined, and I
th~nk the city should compensate me, because I had no idea the storage room was not
safe to store my belongings in.
Sincerely,
Lyn Miner
Apt. 2
4607 Tyler Street, N.E.
Columbia Heights, MN 55412
cc: Michael Czarnick
Page 1
COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY
Meeting of January 21 2004
AGENDA SECTION' Items for Consideration ORIGINATING DEPARTMENT EXEC. DIRECTOR
NO: 6-1 Community Development APPROVAL
ITEM' Revenue Adjustment Plan for Parkview BY: Robert Streetar BY:
Villa South DATE: January 7, 2004
Th~s memorandum provides a proposal to resolve the structural revenue shortfall at Parkview
Villa South (PVVS).
BACKGROUND:
Parkview Villa South was placed into service in 1991. PVVS is comprised of 41 l-bedroom and
4 2-bedroom apartments. PVVS serves Iow-income persons 62 years of age and older, with a
preference for Columbia Heights residents. Minimum and maximum rents, and maximum
incomes, were initially established to maintain the affordability of the units. These requirements
have remained unchanged since 1991, and are list below.
Requirements to Rent at PVVS
Serves 62 years of age and older
Preference
Current Columbia Heights
residents.
Maximum Income~ 1 Person $39,550
2 Persons $45,200
Rent
1 Bedroom
Capped at 30% of Annual Income
Rent - $250 to $425 per month
2 Bedroom
1 - for year 2003.
Capped at 30% of Annual Income
Rent - $325 to $500 per month.
Because of the current revenue structure, operational and capital expenditures over the next 7
years, through 2010, are expected to exceed revenues by an average of $50,000 per year~
PROPOSAL
The HRA Board directed staff to develop a proposal that would meeting the following
conditions:
1. That revenues adequately cover the expected operating and capital needs of the
building, and reflect current rents for Iow-income, senior, rental properties in the market
area.
2. That the proposal allow for a phase-in of new revenues for existing residents that will not
create an undue burden.
The proposal which includes adjustments in apartment rents, garage rents and air
conditionedheater/refrigerator use, is based upon the 2004 budget the HRA Board approved in
October 2003, and assumes a three percent increase in revenues and expenditures annually.
Parkview Villa South Revenue Adiustment Proposal
Current 3/1/2004 1/1/2005
Serves 62 years of No Change No Change
Age and
Older
1/1/2006
No Change
1/1/2007
No Change
Preference
Columbia
Heights
Residents
No Change
No Change
No Change
No Change
Rent
Existing Residents
1 Bedroom
2 Bedroom
New Residents
The lesser The lesser The lesser
Current of +7.6% or of +7.6% of +7.6%
Rent $500 or $514 $529 $545
The lesser The lesser The lesser
Current of +7.6% or of +7.6% of +7.6%
Rent $636 or $655 $675 $695
1 Bedroom $502 $500 $514 $529 $545
2 Bedroom $674 $636 $655 $675 $695
Garage $25.00 $25.75 $26.50 $27.31 $28.13
AC/Head Bolt/2nd Frig
$5.00 $5.15 $5.30 $5.46 $5.63
Serves and Preference
Staff is recommending that the property continue to serve residents 62 years of age and older,
with preference for Columbia Heights residents.
Rents for Existing Residents
Staff proposes rents for existing residents increase to the lesser of 7.6% or the current market
rent for Iow-income senior properties on March 1, 2004, and then on January 1, of 2005 and
2006. These rent increases are based upon what the resident is currently paying, and allows
for a 3-year phase in. Average monthly rent increases over the three-year period will be
approximately:
Date oflncrease Avg. Mo. lncrease
3/1/2004 $27
1/1/2005 $29
1/1~006 $31
Beginning January 1,2007 all existing residents will pay $545 for a 1-Bedroom, and $695 for a
2-bedroom. These rents reflect those charged by comparable Iow-income senior properties in
the market area.
Rents for New Residents
Staff proposes rents for new residents beginning March 1,2004 be $500 for a 1-bedroom, and
$636 for a 2-bedroom, and increase 3% on January 1,2005, and 2006. Beginning January 1,
2007 all new residents will pay $545 for a 1-Bedroom, and $695 for a 2-bedroom. These new
rents reflect those charged by other comparable Iow-income senior properties in the market.
Gara.qe Rental and AC/Head bolt Heated2nd Frid.qe Use for both Existing and New Residents
Staff recommends that monthly rental of garages and AC/Head bolt Heater/2n~ Fridge use
increase 3% annually, on March 1,2004, and then again on January 1, 2005 and 2006.
SUMMARY
Implementing these revenue adjustments ensures adequate revenues to permanently meet the
operating and capital needs of PWS, making certain the building will remain in good condition.
The adjustments are implemented over a 3-year period to ease the impact on existing residents.
Lastly, the new rents to take effect January 1,2007 reflect the rents charged for Iow-income
senior buildings in the market area similar to PVVS.
RECOMMENDATION: Staff recommends the HRA implement the revenue adjustment plan as
outlined in this memorandum.
RECOMMENDED MOTION: Move to implement the revenue adjustment plan.
Attachments
HRA ACTION:
h:\Parkview Villa2004/PVVS Rent Adjustment
COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA)
Meeting of: January 21, 2004
AGENDA SECTION: Items for Consideration ORIGINATING EXECUTIVE
NO: 6-2 DEPARTMENT: HRA DIRECTOR
APPROVAL
ITEM: Parkview Villa North Apartment BY: Mark Nagel BY:
Modernization DATE: January 15; 2004
BACKGROUND: The 2002 and 2003 Capital Fund Program budgets include funds for the first phase
of an eight phase remodeling of Parkview Villa North apartments on a floor-by-floor basis. The work
will include new doors, cabinets, appliances, plumbing, lighting, and patchwork on tiles and walls. The
total anticipated cost of the project per floor (12 apartments) is $7,300/unit, or $87,600/floor. Walker
Eldercare is helping by using their buying power to get excellent prices on the appliances. BWBR
Architects, also paid for through the 2002 CFP, will be at the meeting to review the plans with the
HRA. Attached is a copy of the renovation budget and schedule.
On Thursday, January 8th the plans were reviewed by the Capital Improvement Sub-committee. The
Sub-committee unanimously approved a motion to recommend the HRA approve the plans and
authorize bidding process. It is expected that it will be a competitive bidding market given the nature
of the work. As you can see from the attachments, staff hopes to begin bidding in February, pending
final signoffon the project by the HUD Minneapolis Office.
RECOMMENDATION: To approve the apartment remodeling plans and to authorize staffto obtain
bids for the project.
RECOMMENDED MOTION: Move to Approve the Parkview Villa North Apartment Remodeling
Plans and authorize staff to obtain bids for the project.
Attachment
HRA ACTION:
h:\Consent Form2004
Renovation Budget
13-Jan-04
Item
KilcltmlFoath cabinms
'Countertop
varify top
Sto~~
* Reldgemtor, freezer top, no ice/water
* Stove, 4 bumm electric
'Tol~ Seat, MYite
Ins~ of phmdY~g fixtures
Patch
Bath til~
V~/I Composakxl *nH
Gypsum Board (water damage)
Replace misc. wood corrkix doors,oxg, hardware
Repaim metal doors/all frames, oxg. hardware
Bulking Management to complete repainUng ol moms
· Purchased & installed by Walker
· 'Purcl~ by Walker, installed by contractor
---p~ proplumbo~l Dy Wallr, m
BWBR Archilects
Project No, 03.133.00
Budget Cost
Sub Total
$125 $125
$25O $25O
Budget Total per unit
Units per floor (12)
Total per floor
Total Con~
$153
$87,600
budgetlO3OO3.xls 1113/2004
City of Columbin HeiSts
Parkview Villa North Aparunent Modernization
Commission Number 2003.133.00
January 8, 2004
· C, apit~l Committ~ Review Mecting ................................... .J'anuat7 8, 2004
· I-IRA Boa_rd Apptovnl. ............................................................... ..J~nun~ 21, 2004
· Complete Bid Documents .................................... ]~nunry 22- Febmn~ 6, 200~
· Obtain Bids ..................................................... Fcbtuary 8- Fcbtunxy 24, 2004
· :.HRAApptoveBid~ .... - ........................................................ .M~,:,',, 9, 2004
· S".ubmimtl~/Shop Drawings ...................... ................. M~x:h 10- March 26, 2004
· Cabinet Fabrication ................................ ; ..................... ~ 29 - April ~6, 2004-
· Constmction/Tnsmllation ............................................... Apn] 19- May 31, 2004
Crest View
Appreciation
Party!
The City of Columbia Heights Housing and
Redevelopment Authority would like to
invite you to an Appreciation Party for
Crest View Corporation
Friday, January 30th, 2004
Parkview Villa, Community Room B
3:00 to 4:00 pm
Cake, Coffee and Punch will be served.
2004 Housing & Redevelopment Authority (HRA)
Meeting Schedule
DATE PLACE TIME
January 21, 2004 Parkview Villa 7:00 p.m.
April 20, 2004
Parkview Villa
7:00 p.m.
July 20, 2004
Parkview Villa
7:00 p.m.
October 19, 2004
Parkview Villa
7:00 p.m.
NOTE: Dates are tentative and subject to change.
RESIDENT COUNCIL MEETING MINUTES OF NOVEMBER 10, 2003
The meeting was called to order at 7:00 p.m. by President, Dennis Ecklund Jr.
The Pledge of Allegiance was said.
Officer Sturdevant- was introduced and gave information on security problems. Residents must
record the problem on incident paper and turn into management. The first offense- make the office
aware. Second offense- action for correction. Third offense- loose their lease, rent and restraining
order.
Nancy Shaw was introduced. She is the Anoka County Outreach representative. She will be in
attendance the second week of the month to answer questions on medical, financial and energy
assistance.
Management Report
Thanked everyone for being patient while she is getting the office in order.
· Will make incident report Sheets available in the Library and office. Everyone was
encouraged to use them. They do not have to be signed but, it is the only way she can be
aware of problems.
· Will update on handbook and lease agreements.
· Told everyone they could have sleep over guests for 21 days per year. Also, Management
must be aware when having extra person stay.
· The City Carolers would like to come again this year on either December 6th or 19th at Noon
to sing Christmas Carols. Residents choose December 19th for the event.
· Emphasized that residents should not move machines in laundry room and everyone should
clean up after using them. Talk to her if they have any problems.
Fantle was very good at answering questions the residents had.
The Secretary report was given.
The Treasurers reports were given.
Entertainment Report by Priscilla Cross · December 13, Holiday Dinner
· December 16, Knights of Columbus Party
· December 22, Christmas Lights Tour
· December 31, New Year's Eve Special Bingo
Ecklund drew for cash awards. A total of five residents received $5.00.
Meeting Adjourned at 8:50 p.m.
Respectfully Submitted,
Pat Jindra, EDA Representative
RESIDENT COUNCIL MEETING MINUTES OF DECEMBER 8, 2003
The meeting was called to order at 7:00 p.m. by President, Dennis Ecklund Jr.
Ecklund requested two minutes of silence for our servicemen and women. A prayer was recited in
their memory.
The Pledge of Allegiance was said.
NO Management Report- Anita Kottsick and Karen Fantle were not at the meeting.
Ecklund reported the following:
· Apartment inspections are on going. They are up to the 5th and 6th floors.
· Walker Management to take over February 1, 2004.
· Christmas Social is December 12th at 1:00 pm in Community Room B.
· City Carolers will come to Parkview Villa on December 19th from 12 to 1:00 pm
· New phone lists will be out soon.
· Dryers are working, but would like longer time settings.
ELECTION OF OFFICERS
The following people were elected:
President- Dennis Ecklund Jr.
Secretary- John Super
Treasurer- Marion Booth
Sunshine- Betty Sheldon
Decorating- Katie Lietzke
Welcoming- Terry White
Kitchen- Ron Schumacher
The Secretary report was given.
The Treasurers reports were given.
Welcome Committee- Welcomed new resident Bernice Gacek.
Entertainment Report · December 30th - 4th group to entertain at 7 pm with refreshments
· December 31st- Bingo party and Booyah
New Business
· Bulletin Board that locks in an oak finish, that locks (for announcements) will cost $243.00
plus $45.00 for shipping with a 3-week lead time. It was voted to purchase the bulletin
board.
Ecklund drew for cash awards. A total of five residents received $5.00. They were Carol Hinrichs,
Opal Baker, Ardell Johnson, and Almeda Foster.
Meeting Adjourned at 8:05 p.m.
Respectfully Submitted,
Pat Jindra, EDA Representative
RESIDENT COUNCIL MEETING MINUTES OF JANUARY 12, 2004
The meeting was called to order at 7:00 p.m. by President, Dennis Ecklund Jr.
Management Report
· There are four apartments empty; 2 in the north building and 2 in the south building.
Hopefully, they will be filled by next week.
· Karen is following up on last weeks incidents.
· Dana from Walker management will be at Parkview Villa and will get help from Karen.
The Secretary report was given.
The Treasurers reports were given.
President, Denny Ecklund Jr. thanked Carol and Jackie for the fine job done and introduced the new
Secretary and Treasurer.
Also Priscilla Cross was thanked for doing a good job as entertainment chair. No one has
volunteered for this job yet.
Entertainment Report
· February 14th- Valentine's Day Spaghetti Dinner. A sign up sheet will be posted. Dinner
will be served from 5:30-6:30 pm.
· VFW Dinner- first Saturday in February
· Pork Chop Dinner- third Saturday in February
Sunshine Report
31 cards were sent in 2003; three Sympathy cards.
Welcome Committee- there were no new residents in December.
Business · Need chairs for entertainment.
· Kitchen- Ron Schumaker will help for Kitchen
· Entertainment- Barb Camp will help on Entertainment
· Teresa will be Chair for Bingo
Old Business
· Karen told the Resident Council they couldn't have $10,000 or more, in their account,
otherwise they will not be considered tax-exempt. They have $8,451 currently in their
account. The funds should be used for the good of the residents. A fan or ventilation was
recommended for Community Room B. It's always too hot.
· Bill Cross asked for an appreciation party for Karen Fantle as manager from Crest View.
Also a $50.00 Gift Certificate.
Meeting Adjourned at 8:00 p.m.
Respectfully Submitted,
Pat Jindra, EDA Representative
Date:
To:
Re:
From:
1/20/04
Members of the Columbia Heights H.R.A. Board
Proposed rent increases for Parkview Villa South
Addendum to Memo of 1/19/04 on same
Bruce Nawrocki
'I am asking that this memo be read at the Special H.R.A. meeting on January 21't, along with my
memo of January 1
To those who wonder why I ask so many questions, 'this is a perfect example. The information in
my memo of January 19'" was based on my reading the December, 2003, Financial Reports
referenced in that memo. In checking with the Finance Department today on the information I
referenced in my memo, I find that the information in the December, 2003 Financial Report is not
complete. In discussing the information with them their best estimate at this time is that Parkview
Villa South will end up the year adding about $16,000.00 (rather than $29,956.21) to the 2002
carryover fund balance of about $115,000.00, for a new total fund balance surplus for Parkview
Villa of approximately $131,000.00.
Raising rents and other revenue by 7.6% in March of 2004 will raise about $210,000.00 of
revenue for the year. Using staff estimates of about $218,000.00 for expenses in 2004 (including
proposed capital outlay) would reduce fund balance by about $8,000.00.
Increasing revenues in 2005 by 7.6% will raise about $226,000.00. Staff estimated expenses for
2005 of about $234,000.00 would reduce fund balance by about another $8,000.00.
Increasing revenues in 2006 by another 7.6% will raise about $243,000.00, matching staff
estimated expenditures of about $243,000.00.
In 2007, rents of $545.00 per month for 41 single bedroom unit and $679.00 for 4 double
bedroom unit would raise about $300,000.00. Other revenue of about $18,000.00 would mean
total revenue of about $318,000.00 against staff estimated expenses of about $252,000.00, for a
an:',estimated increase to the fund balance of about $66,000.00 for the year.
The net result of these changes would have the fund balance for Parkview Villa South increasing
fi.om $115,000,00 at the end of 2002, to an estimated $181,000.00 at the end of 2007.
What this means to me is that the proposed rent increases should be rejected at this time, put
together some better estimates on projected expenditures and revenues, and spend some time with
the Tenants reviewing with them what the actual needs are in terms of rent increases.
Date: 1/~i~'/04
To: Members of the Columbia Heights H.R.A. Board
Re: Proposed rent increases for Parkview Villa South
From: Bruce Nawrocki
As previously indicated, I am unable to attend this Special Meeting because It
conflicts with another regularly scheduled meeting of the Suburban Rate Authority,
where I am the City's designated representative, and where I serve as Chair of that
body. ! am asking that this memo be read at the Special H.R.A. Meeting on
Wednesday, January: 21", during the discussion on Item number 6.1., entitled
"Revenue Adjustment Plan for Parkview Villa South".
I urge that the H.R.A. not approve the proposed plan. While I believe that there is
a need to adjust the rents, Tenants have been kept in a state of flux these past
months not knowing what the extend of raises might be, and whether or not they
would be able to maintain their residency with the extent of some of the amounts
of increases that were talked about. We need to take some time to do a better job
of explaining to the Tenants as to why increases are needed, and to what extent
those actual needs really are. It is very questionable to me as to whether not the
amount of the proposed increases are really needed.
Staff bases their recommendation on "'market rates" for similar properties.
Parkview Villa South was originally built as part of the redevelopment of the 40th
and Central area to serve Columbia Heights residents with the idea that Tax
Increment funds from that area would be used for construction costs, and that
rents would pay the ongoing costs of properly maintaining the facility.
To date, Parkview Villa South continues to run a fund balance surplus. Carryover
fund balance from 2002 was approximately $115,000.00. The December 31,
2003, Financial Report for the E.D.A. indicates that actual year to date expenses
for Parkview Villa South for 2003 were '~.163,144.00, $50,620.00 under the
budgeted amount of $213,764.00. The December 31, 2003 report also indicated
that revenues for 2003 for Parkview Villa South were $193,100.21, $5,119.79
less than the $198,220.00 budgeted for 2003. The net of the 2003 activity
woutd ., indicate an addition of $29,956.21 to the approximate $115,000.00
carryover fund balance from 2002, for a new total fund balance surplus of
approximately $145,000.00.
The projected budget for 2004 balances revenues with expenditures, but does not
anticipate the proposed Capital Improvement Budget for 2004 of $20,995.00, an
amount that the anticipated $145,000.00 fund balance surplus can handle with no
difficulty. /