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HomeMy WebLinkAboutApril 25, 2006 CITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E" Columbia Heights, MN 55421-3878 (763) 706-3600 TOO (763) 706-3692 Visit Ollr Website at: www.ci.columbia-heights.nln.lls AGENDA HOUSING & REDEVELOPMENT AUTHORITY APRil 25, 2006 7:00 P.M. PARKVIEW VillA, COMMUNITY ROOM B, 965 40TH AVE., COLUMBIA HEIGHTS, MN 1. Call to Order 2. Roll Call Tammera Diehm, Chair Bobby Williams, Vice Chair Patricia Jindra, Secretary/Treasurer Bruce Nawrocki Bruce Kelzenberg Dennis Ecklund, Jr. 3. Pledge of Allegiance CONSENT AGENDA 4. Approve minutes of January 2006 5. Approve Financial Report and payment of bills for January, February and March, 2006- Resolution 2006-03 Motion: Move to Approve the Consent Agenda Items #4 and #5, as listed. BUSINESS ITEMS 6. Report of Management Company 7. Resident Council Minutes 8. Citizen Forum* 9. Adopt Resolution 2006-04, Parkview Villa North ACOP Motion: Move to Adopt Resolution 2006-04, a Resolution approving the Parkview Villa North Admissions and Continued Occupancy Policy. 10. Approve Phase 3, Parkview Villa North Apartment Modernization Motion: Move to approve Phase 3 of the Parkview Villa North Apartment Modernization Project and authorize staff to obtain bids for the project. 11. Architectural Services Agreement for Phase 3 Apartment Modernization Project Motion: Move to Approve an Architectural Services Agreement with BWBR Architects in an amount not to exceed $7,000 for the Parkview Villa North Modernization Project, Phase 3; and furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same. 12. Other Business The next regular HRA meeting will be Tuesday, July 25, 2006 at Parkview Villa. *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 oublic may address the HRA reaardina specific a!j'eIiti"illfn\S'a~'tl\'lft\ln\r~~e \l81il ~'lJernlflll~m-sse'<f.') THE BASIS OF DISABILITY I~ EMPLOYMENT OR THE P~OVISIO'N OF SERVICFS EQUAL OPPORTUNITY EMPLOYEF~ HOUSING & REDEVELOPMENT AUTHORITY REGULAR MEETING MINUTES OF JANUARY 24, 2006 CALL TO ORDER - The Regular Meeting of the Columbia Heights Housing & Redevelopment Authority (HRA) was called to order by Chair, Bruce Nawrocki at 7:01 p.m., Tuesday, January 24,2006, in the Parkview Villa Community Room B, 965 40th Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Tammera Ericson Diehm, Bruce Nawrocki, Bobby Williams, Dennis Ecklund Jr., Patricia Jindra, and Bruce Kelzenberg PLEDGE OF ALLEGIANCE ELECTION OF OFFICERS Kelzenberg moved to nominate Ericson Diehm for Chair, Williams for Vice Chair, Jindra for Secretary/Treasurer. There were no other nominations. All ayes. Motion Carried. Ericson Diehm, the new Chair, then took over the meeting. CONSENT AGENDA Approval of Minutes of the Regular meeting of October 25, 2005 Approval of Financial Reports and Payment of bills for the months of October, November, and December, 2005. Bob Lindig, Walker finance officer, asked if there were any questions. Nawrocki asked for clarification of cashflow pages. Lindig explained that the cashflow breakdown on page 13 of the gray section, tells you what the expenses were for. Attorney fees were the greatest expenses for last year, as he revised the ACOP and leases. The variance for the year was almost $30,000, due to over budget on maintenance services, replacing carpet, cost of gas, water leaks, and issues with elevator repairs. Nawrocki stated on page one of the December financials, Parkview Villa North overspent by $155, 163. Lindig stated the page is showing the capital expenditures, last year we did not put them in the operating costs, and that this was included in the 2006 budget, the $113,218 will be submitted to HUD for reimbursement soon. Motion by Kelzenberg, second by Williams, to approve the consent agenda as written. All ayes. Motion Carried. REPORT OF MANAGEMENT COMPANY Welke stated in October there were 7 police calls; 2 medical, 2 for animals found, 1 for extra patrol, 1 for compliance check, 1 for noise and 1 for an alarm. There were no vacancies. Housing & Redevelopment Authority Minutes January 24, 2006 Page 2 of6 In November there were 6 police calls, units were100% occupied, and 36 work orders completed. In December there were 6 police calls; 2 for medical, 1 for suspicious activity or person, 1 for unwanted person, 1 for traffic detail and 1 for warrant arrest (adult). There was 100% occupancy of the units. In the PHA for 2006 we allotted $3,000 to remove the pull cord system, however, Terry, our maintenance man has already started removing the pull cord systems, thus saving the $3,000 from the budgeted. RESIDENT COUNCIL MINUTES Jindra asked if there were any questions from the board. Ericson Diehm asked if there was anything that the board might be interested in. Jindra stated the Christmas Dinner, and their meetings are well attended. CITIZEN FORUM Priscilla Cross, Unit 303, stated prior to the new building handbook coming out, she requested last year from Welke, that it be put in audio format, she was notified of the state contact person that could get this provided to her, has found out it isn't very costly, she asked a few weeks ago that the new lease documents be provided in audio, she wasn't told when it would be provided to her. Cross then supplied the board with a copy of the state contact number. Ericson Diehm stated she felt this was a reasonable request. Nawrocki asked why when Cross, asked for this a year ago, that she didn't get it. Welke stated she did not provide her with it as the lease was just approved in October and the ACOP has not been approved yet, attorney, Bob Alsop does not have it ready for board approval. She wants to do both documents on audio at the same time. Priscilla has also asked staff to provide her bye-mail the calendars and other things that staff provides, which they are doing. Ericson Diehm stated it made sense to her to provide all of this at the same time. Welke stated she has talked to bob Alsop to see if he could provide this type of service for our documents and rules of the building, which he is checking into. ITEMS FOR CONSIDERATION Resolution 2006-01. Desianatina Depository for the HRA Streetar stated this resolution was prepared by the finance department, the board approved this at the October meeting. The finance department found some errors on it, so it is before you tonight to approve the corrected version. Motion by Williams, second by Jindra, to Adopt Resolution 2006-01, a Resolution Designating Depository for the Columbia Heights Housing and Redevelopment Authority (HRA). All ayes. Motion Carried. Housing & Redevelopment Authority Minutes January 24, 2006 Page 3 of6 Underground Parking Garage Door Welke stated this was something Ecklund came to her about, as he had many residents express concerns of how hard it is to get into the building for seniors, or residents with wheelchairs, so staff went out to obtain bids. Three bids were received: 1) Trans-Alarm at $3,386.62; 2) Straughan Hardware, Inc. at $4,185.77 and 3) Wheeler Hardware was the lowest bidder at $2,955. Jindra asked if residents would still have to use their card to get in. Welke stated they would. Ericson Diehm asked if they would relocate the card reader when they install the button. Welke stated they would. Motion by Kelzenberg, second by Williams, to approve the lowest bid by Wheeler Hardware Company in the amount of $2,955.00 to better serve our residents of Parkview Villa. This would come out of the Capital Outlay balance of $22,737.00 (Nov. 31, 2005). All ayes. Motion Carried. Management Increase Streetar stated as you may recall, in October 2005, Walker management presented a management fee increase to the HRA, staff would like to present a counter offer for board review. Staff has done the following to come up with this counter offer: 1) contacted MHFA, Anoka County HRA, and Legacy Management and Development Corporation and reviewed the other proposals the HRA received in 2003 for management, which shows a fair management fee is between 6 and 10% of budgeted revenues; and 2) looked at applicant proposals received in 2003, which were Stewart Management at $37. 36/Unit, Steven Scott Management at $37. 36/unit and Common Bond Communities at $45.31. Streetar stated staff would like to recommend the counter offer increases as follows: $16.75 per unit for the north building, added to the current $4.30/unit comes to $21.05 per unit or about a 6% return on the 2006 budgeted revenues and $24.30/unit for the south building, added to the current $4.30/unit comes to $28. 57/unit or about a 6% return on the 2006 budgeted revenues. This would be $6,854 less than Walker's request. In addition, staff recommends: 1) that any reduction in Walker's actual operating cost of $169,311 during the third year be approved by the HRA board and the amount of the reduction be subtracted from the management fee, which would protect the HRA from management reducing services and increasing their management fee; and 2) that the increase take effect February 1, 2006. Ecklund asked, when we did the contract 3 years ago did they have the choice to come back to ask for more money. Streetar stated yes, they could have. Nawrocki stated staff is recommending paying more for the south building and that he isn't satisfied with the way residents are treated in the building. Streetar stated, yes the fee is larger for the south building, because there is more work done for the north building and can rely on HUD funding for repairs and even with this recommendation we wouldn't be taking anything out of the fund balance. Housing & Redevelopment Authority Minutes January 24, 2006 Page 4 of6 Ecklund felt everyone should make a good living, but ask about the on-site caretakers hours, as she works in the office also. Welke stated Lee does work 32 hours. She does part time cleaning, and works part time in the office. They choose to do this as the building is in much better condition than it was a year ago, and as the board was concerned that there wasn't anyone in the office they chose to have Lee work from 7- 11 am, three days a week and from 1 to 4pm two other days of the week in the office also. Ericson Diehm stated maybe this should be clarified better as to the hours she works and where she works. Lee asked if he didn't think the building was cleaner in the 4 hours she cleans the building than it was before. Ecklund stated the trashcans are always full in the bathroom. William Potty, unit 712, stated he is up real early and sees Lee cleaning walls and floors, most residents don't see this as they don't get up that early, but he can see she is cleaning everything. Resident, Dadsour, stated he has also seen the cleaning lady doing a very good job. Welke stated when there is a problem or a mess in the building both Lee and her will take care of them as quickly as possible. Ericson Diehm directed Ecklund and Jindra to work with residents to discuss these issues. Don Camp, Unit 608, stated he wanted to know why staff isn't taking care of the parking problems in the front lot, as people are parking where they shouldn't be and nothing is being done to tow them away. Welke stated when they see or hear this happening, they write down the license number and if it's not a resident that they can contact, they call the towing service to remove the vehicle. Ericson Diehm stated Streetar had a good idea where residents help out by writing down the license number of the vehicle and give it to staff and send out warnings. Welke stated they currently do this. Kelzenberg asked Streetar what the ramifications would be if Walker walks away from this contract. Streetar stated staff would have to start preparing bids for review, which would take time away from the redevelopment projects and that he has contacted Great Lakes Management who wants 6 to 8% to temporarily manage the building. Kelzenberg stated he would like to commend Welke and her staff as he can see there have been some significant changes in the building. Williams asked if anyone questioned the residents to see if they want Walker to continue on. Ericson Diehm stated we could, but our decision tonight shouldn't be based on this and that she would hate to put staff in the position to scramble to get someone to manage the building. Ecklund stated Great Lakes Management is for asking 6 to 8%, and if staff has to work fast to get someone to take over, that would cost us more money. Ericson Diehm stated that is correct. Renie Suftka, unit 104, she did not want Walker to manage the building, but she can say that she has not had a problem with Welke or her staff. Housing & Redevelopment Authority Minutes January 24, 2006 Page 5 of6 A lady resident, asked what Walker gets paid for, paying insurance, cleaning, etc., couldn't we do it ourselves? Ericson Diehm stated they manage the building for the HRA, pay bills, makes sure we are in compliance with HUD regulations, handles issues, etc. Nawrocki said Streetar won't want to hear this, but when we first opened this building we used our own staff and could certainly go back to that again. Motion by Kelzenberg, second by Ecklund Jr., to Approve the Management Fee Increase with the above described changes; and furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same. Nawrocki felt this was out of order, we have a contract for another year, to give them another $40, 000 isn't fair, we are letting them out of it, we would be doing it at the expense of the residents of the south building, he assumed this would come out of the escalator fund, how much is the escalator for the third year. Streetar stated it is about 2%, and that he could verify that for him is he would like him to. Upon vote: Nawrocki- nay, Jindra- nay, Williams- nay, Kelzenberg- aye, Ericson Diehm- aye, Ecklund-aye. Motion fails. Ericson Diehm stated we would not have a management company in place in 60 days as we have to go out for bids, will pay more money, and the residents are the ones that will suffer. Streetar stated this means that probably two or three development projects will be put on hold. Nawrocki stated Streetar you take the cake. Ericson Diehm asked Nawrocki to please refrain from comments like that. Fehst stated it does take a long time to get a new management company on board, if we hire a management company, as we do not have the staff to management the building and that it would be taking away from City staff's time. Williams stated he is willing to change is vote in lieu of what he has just heard. Motion by Williams, second by Kelzenberg to reconsider the original motion. Upon vote: Nawrocki- nay, Jindra -aye, Williams - aye, Kelzenberg - aye, Ericson Diehm - aye, Ecklund Jr. - aye. Motion Carried. Nawrocki stated he finds the management and Streetar's comments kind of interesting, they are saying they don't have the ability to do a whole lot, the management says they really aren't capable of doing it, I just shake my head. Upon vote of the original motion once more: Nawrocki- nay, Jindra-nay, Ericson Diehm-aye, Kelzenberg-aye, Williams-aye, Ecklund Jr.- aye. Motion Carried. Ericson Diehm directed staff to add this item to the April meeting agenda. Housing & Redevelopment Authority Minutes January 24, 2006 Page 6 of6 Other Business Nawrocki stated from the last meeting the board directed staff to meet with Anoka County to discuss transferring Parkview Villa to them, the staff report is almost saying this is a done deal, he is against this. Jindra agreed. Ericson Diehm stated as she remembers the motion was to direct staff to discuss the possibilities, and that she would hope that everyone keeps an open mind. ADJOURNMENT The meeting was adjourned at 8:23 pm by Chair, Ericson Diehm. Respectfully submitted, Cheryl Bakken Recording Secretary H:\HRAMinutes 2006\HRA1-24-2006 COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 25, 2006 AGENDA SECTION: Consent Agenda ORIGINATING EXECUTIVE NO: DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Financial Report and Payment of Bills BY: Bob Lindig BY: DATE: April 18, 2006 BACKGROUND: The bound Financial Report for the months of January, February, March 2006 draft Resolution 2006-03 is attached for review. RECOMMENDATION: Staff will be available to answer specific questions. If the report is satisfactorily complete, we recommend the Board take affirmative action to receive the Financial Report and approve the payment of bills. RECOMMENDED MOTION: Move to approve Resolution 2006-03, Resolution of the Columbia Heights Housing and Redevelopment Authority (HRA) approving the Financial Statement and Payment of Bills for the months of January, February, March of 2006. HRA ACTION: H:\HRAConsent2006\January. February, MarchFin Rep 2006 HRA RESOLUTION 2006-03 RESOLUTION OF THE COLUMBIA HEIGHTS HOUSING & REDEVELOPMENT AUTHORITY (HRA) APPROVING THE FINANCIAL STATEMENT FOR JANUARY, FEBRUARY, MARCH OF 2006 AND PAYMENT OF BILLS FOR THE MONTHS OF JANUARY, FEBRUARY, MARCH OF 2006. WHEREAS, the Columbia Heights Housing and Redevelopment Authority (HRA) is required by Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the HRA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the HRA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and WHEREAS, the financial statement for the months of January, February, March of 2006 and the list of bills for the months of January, February, March of 2006 are attached hereto and made a part of this resolution; and WHEREAS, the HRA has examined the financial statement and the list of bills and finds them to be acceptable as to both form and accuracy. NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Housing & Redevelopment Authority that it has examined the attached financial statements and list of bills, which are attached hereto and made a part hereof, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the list of bills as presented in writing are approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution and attachments are to be made a part of the permanent records of the Columbia Heights Housing & Redevelopment Authority. Passed this _ day of ,2006. MOTION BY: SECONDED BY: AYES: NAYS: Chair- Tammera Diehm Attest by: Cheryl Bakken, Assistant Secretary H:\Resolutions2006\HRA2006-03 Date: TO: FROM: RE: February 13, 2006 Cher Dana Welke, Housing Manager January 2006 Management Report for Parkview Villa Parkview Villa . There were 5 police calls for the month of January, 3 for medical, 1 for property damage and 1 for neighborhood dispute, WAITING LIST 13 applicants for Parkview Vilia North (resident C,H,) 00 applicant for Parkview Villa North (employed In C,H,) 71 applicants for Parkview Villa North (non-resident) 09 applicants for Parkview Villa South (resident C,H,) 16 applicants for Parkview Villa South (non-resident) 00 applicants for Parkview Villa South 2BR (resident) 02 applicants for Parkview Villa South 2BR (non-resident) Occupancv (please note this is current) Parkview Villa- North is 101 out of 101 (no vacancies) and South is 45 out of 45 Move outs: 801- 1 BR- not confirmed Move ins: Maintenance: 30 out of 30 work orders were completed in the month of January, First and Second floor are the only floors remaining for the pre-REAC inspection, While Terry B, is in the apartments he is also pulling the emergency pull cords out of the walls saving $3,000 in the FY2006 PHA Plan, All hallways in the North building have been painted and completed by Terry B, the week of Feb, 10th, (Noted in the 15-year capital plan, created back in 2002, an approximate saving of $20,000), This spring we are proposing to paint the underground parking garage (which we cleaned/prepped for painting last spring), also on the 15-year capital plan saving approximately $8,000, Maintenance is also going to be painting Community Room B and placing a trim board around the entire room to protect the walls from further damage from the tables and chairs, MISC, 'We have started to offer the 7 -year unit painting to the longest residing residents in the building, 'We also are working on making a couple of changes to the North CFP for items that are in need of repair more urgently then some previous items we delegated the money for, (These will be reviewed at the April HRA meeting), 'We may call a special HRA meeting sometime in March to look at getting started on the 7th Floor apartment modernization project from FY2005 CFP, Date: TO: FROM: RE: March 3, 2006 Cher Dana Welke, Housing Manager February 2006 Management Report for Parkview Villa Parkview Villa . There were 5 police calls for the month of February. 1 for medical, 1 for public assist, 1 for disturbing peace, 1 for consent contact and 1 for suspicious person. WAITING LIST 13 applicants for Parkview Villa North (resident C.H.) 00 applicant for Parkview Villa North (employed in C.H.) 71 applicants for Parkview Villa North (non-resident) 09 applicants for Parkview Villa South (resident C.H.) 16 applicants for Parkview Villa South (non-resident) 00 applicants for Parkview Villa South 2BR (resident) 02 applicants for Parkview Villa South 2BR (non-resident) Occupancy (please note this is current) Parkview Villa- North is 101 out of 101 (no vacancies) and South is 45 out of 45 Move outs: 211-1BR- 03/31/06- FL 321- 1 BR- 03/31/06-moved w/family Move ins: 04/01/2006 from WL 04/01/2006 from WL Maintenance: 38 out of 38 work orders were completed in the month of February. First floor is the only floors remaining for the pre-REAC inspection. While Terry B. is in the apartments he is also pulling the emergency pull cords out of the walls saving $3,000 in the FY2006 PHA Plan. All hallways in the North building have been painted and completed by Terry B. the week of Feb. 10th. (Noted in the 15-year capital plan, created back in 2002, an approximate saving of $20,000). This spring we are proposing to paint the underground parking garage (which we cleaned/prepped for painting last spring), also on the 15-year capital plan saving approximately $8,000. Maintenance is also going to be painting Community Room B and placing a trim board around the entire room to protect the walls from further damage from the tables and chairs. The residents will be choosing the color at the next resident council meeting. Terry B. has shampooed the 1st-6th floors in the North building also in the last couple of weeks, saving $900.00 or more to call in a vendor to do the work. NICE JOB TERRY B. MANY KUDOS!! MISC. ---;YYe will include the yth Floor apartment modernization project from FY2005 CFP at the April HRA meeting. Date: TO: FROM: RE: April 12, 2006 Cher Dana Welke, Housing Manager March 2006, Management Report for Parkview Villa Parkview Villa There were 2 police calls for the month of March. 1-for medical and 1-for death (DOA). WAITING LIST 13 applicants for Parkview Villa North (resident C.H.) 01 applicant for Parkview Villa North (employed in C.H.) 71 applicants for Parkview Villa North (non-resident) 10 applicants for Parkview Villa South (resident C.H.) 17 applicants for Parkview Villa South (non-resident) 00 applicants for Parkview Villa South 2BR (resident) 02 applicants for Parkview Villa South 2BR (non-resident) Occupancv (please note this is current) Parkview Villa- North is 101 out of 101 (no vacancies) and South is 45 out of 45 Move outs: 706- 1 BR- 04/30/06- death 812- 1 BR- 04/30/06- death 115- 1 BR- 04/30/06- intra from 2BR 320- 1 BR- 04/30/06- alternate housing 325- 1 BR- 04/30/06- death 321- 1 BR- 05/31/06- alternate housing 201- 1 BR- 05/31/06- alternate housing 315- 2BR- 05/31/06- intra from 2BR 807- 1 BR- 05/31/06- nursing home Move ins: 05/01/2006 from Wait List 05/01/2006 from Wait List 05/01/2006 from Wait List 05/01/2006 from 2BR 05/01/2006 from Wait List 06/01/2006 from Wait List 06/01/2006 from Wait List 06/01/2006 from Wait List 06/01/2006 from Wait List Maintenance Report: . 42 out of 42 work orders were completed in the month of March. . Individual apartment inspections + common areas on all floors have been completed in readiness for the pre-REAC inspection. . All North apartrnents' emergency pull-cord system has been removed, including the First floor Front Entry panel, as well as the panel from the caretakers unit. . This summer we are proposing to paint the underground parking garage (which we cleaned/prepped for painting last spring); this project is also on the 15-year Capital Plan. By doing the work our selves, the saving would be approx. $8,000. . Maintenance has painted Community Room B and placed a trim board around the entire room to protect the walls from further damage from the tables and chairs. . All of the outside resident benches and swing have been completely stripped and refinished by Terry Bush per request frorn Resident Council. Terry Bush has cleaned out the front lawn and rock beds for spring clean up, saving approximately $200.00 by doing it himself rather than paying the lawn care service for spring clean up. First floor hallways cove- base has been installed by Terry Bush to rnatch the new carpet. It looks good, and was also a cost-saving measure to the Property. Management is currently working on preparing and obtaining all HUD Davis-Bacon requirements going forward for all contracted and vender labor. ~;' \ \ \ , J-C(, ,- .~!W )V/ / -7-~-A"-!h -L.. L,(7~ U-J-t.^-"-.i!?_ /- J--- - J -~~r ,t (f~ ~" f<11 9~ ~ ~ ,J1i7r~ e-LCJ2'1 ~ iJ df' /J-?'>'1I'-V G ;(cT1^-Z tJ;' f\' ,'. .\~;:, ,.; .,", RESIDENT COUNCIL MINUTES-.February 13, 2006 Meeting called to order at 7:00 pm by President, Ecklund. Pledge Allegiance to the Flag Ecklund invited John Super for ajoke to start the meeting. Everyone enjoyed it. Ecklund introduced recycling expert from the County. He stated Parkview Villa as best building in Anoka County. He brought treats for residents, plus information sheets and magnet on recycling. Next week a recycling bin will be given to each resident. When we recycle it creates 30,000 jobs in the state and preserves trees and areas for new products. Ecklund thanked the gentlemen. Ecklund thanked the HRA and Welke for the quick work and funding for new garage entrance door. Managers Report . Jim Kordiak will offer rent assessments in April. . Terry Bush has finished painting on all floors and will be doing community rooms next. . Asked residents input on painting colors. Jindra recommended keeping it a solid color, off white to keep it light and easier to touch up. Residents will consider for next month. . Asked about "Grass Roots" meetings, if they should still be held. Residents voted it down. . Asked residents to vote for illegally parked cars to be towed immediately, no 24 hour warning. Residents voted yes. Signs will reflect policy. Residents were reminded to let their visitors know of new policy. Secretary's Report- Teresa Berzinski gave it. Treasurer's Report- $4,828.64 Checking Account, $2,188.65 Savings Account for January 31 s'. Sunshine Committee- two new residents in nursing home. Welcome Committee- 2 new residents in units 508 and 806 Sunshine Committee- sent out 11 cards Resident of the Month- Matt Matko and Dorothy Shaeffer and employee-Joe Goodman. Entertainment- Valentine's Party- FeblUary 15'h at 6:30 pm, pie and ice cream with entertainment by Ron Peters. Ron Schumacher asked for new lUle to be made for election of officers. This to be voted on next meeting. Old Business- Please return carts. Method for keeping track of them to be decided on. Drawings for $5.00- Mildred Strauss, Terry Morris, Wayne Honeyford, John Super and Alvina Stern. Meeting adjourned at 8:40 pm Respectfully submitted Patricia Jindra HRA Commissioner COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: Aoril 25, 2006 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO: 9 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Adopt Resolution 2006-04, Parkview BY: Robert Alsop Villa North Admissions and Continued DATE: April 18, 2006 BY: Occupancy Policy BACKGROUND: Legal counsel for the HRA recommends adoption of the attached Admission and Continued Occupancy Policy ("ACOP") for Parkview Villa North in order to: (1) to insure compliance with applicable Federal and State laws; (2) eliminate ambiguities and/or inconsistencies among the HRA's leasing documents and policies; and (3) incorporate provisions necessary to assist in the operation of the public housing facility and enforcement of the lease provisions. The primary changes to the ACOP include the following: . Re-format and revise provisions in order to improve clarity and consistency. . Add provisions recommended by the Public Housing Occupancy Guidebook to insure compliance with the Federally-mandated regulations and/or for the efficient operation of a public housing facility. Some of these provisions include the following: . Add affirmative marketing provisions to comply with the Fair Housing Act. . Clarify eligibility requirements for admission into public housing facility. . Incorporate transfer policy previously approved by the Board. . Clarify local residency preference. . Delete provisions that are either outdated or are no longer applicable to Parkview Villa North. . Add provisions to the policy relating to a tenant's continued occupancy at Parkview Villa North, such as leasing policies, reexaminations, interim rent adjustments and lease termination procedures. Such provisions are recommended by HUD for the ACOP but had not been included in the ACOP for Parkview Villa North. . Replace income limits in Exhibit A with a general description for determining a tenant's annual income and corresponding rent owing to the HRA. . Add revised pet policy as an exhibit to the ACOP. . Add grievance procedure to the ACOP as an exhibit. 1 Counsel also recommends that the ACOP for Parkview Villa North be reviewed on an annual basis by the HRA or its management company in order to insure ongoing compliance with applicable laws and also to insure that the ACOP accurately reflects the practices of management for the operation of the facility. RECOMMENDED MOTION: Move to Adopt Resolution 2006-04, a Resolution approving the Parkview Villa North Admissions and Continued Occupancy Policy. HRA ACTION: 2 HOUSING AND REVELOPEMENT AUTHORITY OF COLUMBIA HEIGHTS MINNESOTA RESOLUTION NO. 2006-04 RESOLUTION APPROVING P ARKVIEW VILLA NORTH ADMISSIONS AND CONTINUED OCCUPANCY POLICY WHEREAS, the Board of Commissioners of the Housing and Redevelopment Authority of Columbia Heights, Minnesota, at the recommendation of management and legal counsel, find it necessary to revise the Parkview Villa North Admissions and Continued Occupancy Policy. NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners for the Housing and Redevelopment Authority of Columbia Heights, Minnesota, that the Admissions and Continued Occupancy Policy for Parkview Villa NOl1h is hereby amended as attached hereto as Exhibit A. Passed this date of ,2006. OFFERED BY: SECONDED BY: ROLL CALL: HOUSING AND REDEVELOPMENT AUTHORITY Chair-Tammera Diehm Executive Director- Walter R. Fehst RAA-269800v I CL160-81 PARKVIEW VILLA NORTH ADMISSIONS AND CONTINUED OCCUPANCY POLICY HOUSING & REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA REVISED: April 2006 TABLE OF CONTENTS Section 504 Equal Access Statements ....................................................................................... iii Introduction................................................................................................................... ................1 I. Nondiscrimination and Accessibility ................................................................................1 A. Complying with Civil Rights Laws ......................................................................1 B. Making Programs and Facilities Accessible .........................................................2 II. Privacy Policy...................................................................................................................2 III. Eligibility for Admission..................................................................................................3 A. Affirmative Marketing...................................................................................... ....3 B. Qualifying for Admission .....................................................................................3 C. Eligible Family......................................................................................................4 D. Establishing and Maintaining the Waiting List ....................................................6 IV. Processing Applications..................................................................................................1 0 A. Applicant Screening Criteria...............................................................................1 0 B. Applicant Interview ............................................................................................12 C. Verification Requirements ..................................................................................13 V. General Occupancy Standards ........................................................................................15 VI. Preference Categories for Admission .............................................................................17 VII. Rejecting Applicants .......................................................................................................17 VIII. Leasing Policies............................................................................................................. .20 A. General Leasing Policy .......................................................................................20 B. Showing Units Prior to Leasing..........................................................................20 C. Additions to the Household and Visitors ............................................................21 IX. Transfer Policy............................................................................................................. ...22 X. Eligibility for Continued Occupancy ..............................................................................23 A. Eligibility for Continued Occupancy..................................................................23 B. Reexamination.................................................................................................. ..23 C. Reexamination Procedures................................................................................ ..24 D. Action Following Reexamination..................................................................... ..24 XI. Interim Rent Adjustments............................................................................................ ...24 A. Adjusting Rent Between Regular Reexaminations.............................................24 B. Effective Date of Adjustments............................................................................25 XII. Lease Termination Procedures....................................................................................... .25 A. General Policy: Lease Termination ...................................................................25 B. Notice Requirements........................................................................................ ...26 C. Recordkeeping Requirements .......................................................................... ...26 EXHIBITS Exhibit A Definitions and Procedures to be used in Determining Income and Rent Glossary Live-In Aide Move-In Procedures Pet Policy Grievance Procedure Exhibit B Exhibit C Exhibit D Exhibit E Exhibit F ii SECTION 504 EQUAL ACCESS STATEMENTS For mobility impaired persons: This document is kept at the HRA, which is an accessible facility on an accessible route. This document may be examined Mondays from 9:00 a.m. to I :00 p.m., Tuesdays from I :00 p.m. to 4:00 p.m., and Wednesdays and Thursdays between the hours of 9:00 a.m. and 4:00 p.m. You must phone in to make arrangements to examine this document. Please call 612-781-0755. For hearing impaired persons: The HRA will provide assistance to hearing-impaired persons in reviewing this document. Assistance may include provision of a qualified interpreter at a time convenient to both The HRA and the individual with handicaps. Please schedule an appointment. For vision-impaired persons: The HRA will provide a staff person to assist a vision-impaired person in reviewing this document. Assistance may include: describing the contents of the document, reading the document or sections of the document, or providing such other assistance as may be needed to permit the contents of the document to be communicated to the person with vision impairments. Assistance to ensure equal access to this document will be available in alternate formats and provided in a confidential manner and setting. An individual with disabilities is responsible for providing his/her own transportation (by advocacy groups, social workers, family members or personal friends) to and from the location where this document is kept. The applicant should inform the HRA if additional assistance is needed to complete forms or understanding program iii requirements, procedures, house rules, etc. Advocacy groups, social workers, family members or personal friends may provide assistance. If an individual with disabilities is involved, all hearings or meetings required by this document will be conducted at an accessible location with appropriate assistance provided. IV INTRODUCTION This Admission and Continued Occupancy Policy outlines the policies of the I-lousing and Redevelopment Authority of Columbia Heights ("the HRA") for the operation of the public housing facility known as Parkview Villa North located at 965 - 40th Avenue NE in Columbia Heights, Minnesota. If there is any conflict between this policy and any State or Federal laws, the State and F ederallaws shall prevail. I. NONDISCRIMINATION AND ACCESSIBILITY A. Complying with Civil Rights Laws It is the policy of the HRA to comply with Title VI of the Civil Rights Act of 1964, the Federal Fair Housing Act, Executive Order 11063, Section 504 of the Rehabilitation Act of 1973, the Age Discrimination Act of 1975, Title II of the Americans with Disabilities Act, the Minnesota Human Rights Act, and any legislation protecting the individual rights of residents, applicants or staff which may subsequently be enacted. Under Federal law, it is illegal to discriminate against any person or group of persons because of race, color, religion, sex, handicap, familial status or national origin. The Minnesota Human Rights Act prohibits discrimination because of race, color, creed, religion, national origin, sex, disability, and marital status, status with regard to public assistance, sexual orientation, or familial status. In addition, must comply with local fair housing and civil rights laws. The HRA shall not: . Deny to any family the opportunity to apply for housing (when the waiting list is open), nor deny to any eligible applicant the opportunity to lease housing suitable to its needs; . Provide anyone housing that is different than that provided others; . Subject anyone to segregation or unequal or different treatment; . Restrict a person's access to any benefit enjoyed by others in connection with the housing program; . Treat anyone differently in determining eligibility or other requirements for admission; . Deny a person access to the same level of services; or . Deny a person the opportunity to participate in a planning or advisory group that is an integral part of the housing program. I The HRA shall not automatically deny admission to otherwise qualified applicants because of their membership in a particular group or category of otherwise eligible applicants (Le., single head of households with children, elderly pet owners, or families whose head or spouse is a student). Instead, each applicant who is a member of a pmticular group or category will be treated as an individual based on his or her attributes and behavior. B. Making Programs and Facilities Accessible The HRA will seek to identify and eliminate situations or procedmes that create a barrier to equal housing opportunity for all. In accordance with Section 504, the HRA will make physical or procedmal changes to permit individuals with disabilities to have full advantage of the housing program. Such accommodations may also include changes in the method of administering policies, procedures, or services. In addition, the HRA may perform structural modifications to housing and non-housing facilities where such modifications would be necessary to afford full access to the housing program for qualified individuals with handicaps. In reaching a reasonable accommodation with or performing structural modifications for otherwise qualified individuals with handicaps, the HRA is not required to: . Make structmal alterations that require the removal or altering of a load-bearing stmctural member; . Provide an elevator in any multi-family housing development solely for the purpose of locating accessible units above or below the grade level; . Provide support services that are not already part of its housing programs; . Take any action that would result in a fundmnental alteration in the nature of the program or service; . Take any action that would result in an undue financial and administrative burden on the HRA. II. PRIVACY POLICY It is the policy of the HRA to protect the privacy of individuals covered by the Federal Privacy Act of 1974, and to ensme the protection of such individual verification of records maintained by the property. This information may be released to appropriate federal, state and local agencies, when relevant, and to civil, criminal or regulatory investigators and prosecutors. However, the information will not be otherwise disclosed or released unless the individual gives written authorization to do so. This privacy policy in no way limits the HRA ability to collect such information as it may need to determine eligibility, compute rent or determine an applicant's suitability for tenancy. 2 Consistent with the intent of Section 504 of the Rehabilitation Act of 1973, any information obtained on handicap or disability will be treated in a confidential manner. III. ELIGIBILITY FOR ADMISSION A. Affirmative Marketing The HRA will conduct marketing as needed so the waiting list includes a mix of applicants with races, ethnic backgrounds, ages and disabilities proportionate to the mix of those groups in the eligible population of the area. The marketing efforts will take into consideration the number and distribution of vacant units, units that can be expected to become vacant because of move- outs, and characteristics of families on the waiting list. The HRA will review these factors occasionally to determine the need for and scope of its marketing eff0l1s. Marketing and informational materials will: (a) Comply with Fair Housing Act requirements on working, logo, size of type, etc.; (b) Describe the housing units, application process, waiting list and preference structure accurately; (c) Use clear and easy to understand terms and more than strictly English-language print media; (d) Contact agencies that serve potentially qualified applicants less likely to apply to ensure that accessible ladaptable units are offered to applicants who need their features; (e) Make clear who is eligible for the units; and (f) Be clear about the HRA's responsibility to provide reasonable accommodations to people with disabilities. B. Qualifying for Admission It is the HRA's policy to admit ONLY qualified applicants. An applicant is qualified if he or she meets all ofthe following criteria: (a) Is a family, as defined in Section mc ofthis policy; (b) Meets HUD requirements on citizenship and immigration status; (c) Has an Annual Income (as defined in Exhibit A hereto) at the time of admission that does not exceed the income limits (maximum incomes by family size established by HUD) posted at HRA offices; (d) Provides documentation of Social Security numbers for family members of age 6 or older, or cel1ifies that they do not have Social Security numbers; and (e) Meets the Applicant Screening Criteria in Section IVB hereof, including completing an HRA-approved pre-occupancy orientation session if requested. 3 C. Eligible Family Family A family consists of: . One or more persons whose income and resources are available to meet the family's needs; . A remaining member(s). A remaining family member(s) is any person(s), except a live-in aide or foster child, who remains in the unit and was considered a member of the household on the most recent lease or recertification form. To qualify as a remaining family member the person(s) must: a. be a member of the original tenant household or have become a member of the tenant household subsequent to move-in with written approval of The HRA and remained in continuous occupancy up to and including the time the original tenant of record vacates or dies; b. be listed on the current lease or HUD Form 50058; and c. have his/her income (if any) included in the household's annual income for determining rent. . A displaced person. A displaced person(s) is one who has been displaced: a. from an urban renewal area; b. as a result of governmental actions; or c. as a result of a disaster determined by the President of the United States to be a major disaster. Elderly Family An elderly household consists of either a single person or family where the head or spouse is at least 62 years old, handicapped or disabled. The household may be elderly, handicapped or disabled persons who are living together, or one or more such persons living with someone essential to their care or well-being; i.e., "a live-in aide/attendant". Handicapped Household A handicapped household includes: 4 1. A person who is handicapped by having a physical, developmental or mental impairment which: . is expected to be of a long, continued and indefinite duration; . substantially impedes his or her ability to live independently; and, . is of such a nature that such ability could be improved by more suitable housing conditions. and, 2. A person with a developmental disability as defined below. Disabilitv A disabled household includes a person who is under a disability as defined in Section 223 of the Social Security Act, or in Section 102(7) of the Developmental Disabilities Assistance and Bill of Rights Act [42 D.S.C. 6001(7)]. Section 223 of the Social Security Act (42 D.S.C. 423) defines disability as: . Inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months; or . In the case of an individual who has attained the age of 55 and is blind (within the meaning of "blindness as defined in Section 416(1)(1) of the Social Security Act), and is unable by reason of such blindness to engage in substantial gainful activity in which s/he has previously engaged with some regularity and over a substantial period of time. Section 102(7) of the Developmental Disabilities Assistance and Bill of Rights Act [42 D.S.C. 6001(7)], defines disability as severe, chronic disability ofa person which: . Is attributable to a mental or physical impairment or combination of mental and physical impairment; . Is manifested before the person attains age twenty-two; . Is likely to continue indefinitely; . Results in substantial functional limitations in three or more of the following areas of major life activity: 5 self-care receptive and expressive language learning mobility self-direction capacity for independent living economic self-sufficiency; and, . Reflects the person's need for a combination and sequence of special interdisciplinary or generic care, treatment, or other services which are of lifelong or extended duration and are individually planned and coordinated. D. Establishing and Maintaining the Waiting List It is the policy of the HRA to administer its Waiting List as required by HUD handbooks and regulations. Accepting an applicant from a lower waiting list position before one in a higher position violates policy and may be regarded as being discriminatory. If no suitable unit is available the HRA will place the applicant on the waiting list. The waiting list shall be maintained by unit size and housing preference claim. Each applicant will be assigned his/her appropriate place on the waiting list based on the date and time the application is received for a suitable type and/or size of unit and in conjunction with factors affecting preference of priority as established herein. For applicants claiming a preference as identified in Section VI herein, the following applies: . At the time of application, an applicant must advise the HRA of their claimed preference status. . Prior to executing a lease agreement, the preference claimed by the applicant must be verified. Selection will be based on the actual preference status at the time of verification. . It is the applicant's responsibility to notify the HRA, in writing, of any change in the preference status within 10 working days of the change. Failure to notify the HRA in writing will result in loss of preference status. . If an applicant claims entitlement to a preference and the HRA determines that the applicant does not meet the criteria; the HRA must promptly provide the applicant with a written notice of the determination and state that the applicant has the right to meet with the HRA to review it. 6 I. Opening and Closing Waiting Lists In order to maintain a balanced application pool, the HRA may, at its discretion, restrict application taking, suspend application taking, and close waiting lists in whole or in patt. The HRA will also update the waiting list by removing the names of those who are no longer interested in or no longer qualify for housing. Decisions about closing the waiting list will be based on the number of applications available for a patticular size and type of unit, the number of applicants who qualify for a Federal preference, and the ability of the HRA to house an applicant in an appropriate unit within a reasonable period of time. Generally, if the length of the waiting list is such that an applicant would not likely be admitted for the next 12 months, the HRA may advise the applicant that no additional applications are being accepted for that reason. Closing the waiting lists, restricting intake or opening the waiting lists will be publicly announced in the same or similar manner in which the HRA adveltises for rental. During the period when the waiting list is closed the HRA will not maintain a list of individuals who wish to be notified when the waiting list is reopened. 2. Waiting Lists and the Local Preferences Although the HRA may not be accepting additional applications for tenancy because of the length of the waiting list, the HRA may not refuse to place an applicant on the waiting list if the applicant is otherwise eligible for assistance and claims that he/she qualifies for a local preference. unless, a. There is an adequate pool of applicants already on the waiting list who are likely to qualify for a local preference; and, b. It is unlikely that under the HRA's system for applying the local preferences the applicant could qualify for assistance before other applicants on the waiting list. The determination in (b) above is based on the system for applying the local preferences described herein, the preference claimed by the applicants already on the waiting lists, and the preference claimed by the applicant. 7 3. Change in Preference Status While on the Waiting List Occasionally families on the waiting list who did not qualify for a local preference when they applied will experience a change in circumstances that qualifies them for the local preference. In such cases, it will be the family's responsibility to contact the HRA so that their change in status may be verified to reflect the local preference. To the extent that the verification detel1uines that the family does now qualify for a local preference they will be moved up on the waiting list in accordance with their local preference, and their original date of application. 4. Removal of Applicants from the Waiting List The HRA will not remove an applicant's name from the waiting list unless: . the applicant requests that the name be removed; . the applicant was clearly advised of the requirement to tell the HRA of his/her continued interest in housing by a particular time and failed to do so; 01' . the HRA made a reasonable effOlt to contact the applicant to determine if there is continued interest in housing but has been unsuccessful; . the HRA has notified the applicant of its intention to remove the applicant's name because the applicant no longer qualifies. Preventing delays in re-renting units maximizes the housing assistance available and reduces occurrences of vandalism to the unit. Staff should be aware of the average turnover rate at the development. Suitable vacancies shall be offered to applicants first in sequence on the waiting list. Applicants should be notified as far in advance as possible that they could expect to receive an offer of a unit. As soon as a notice to vacate is received, staff will immediately contact the first applicant on the waiting list. Should the applicant reject the offer, the applicant shall be given a second offer of a suitable vacancy as soon as one becomes available. Should the applicant reject the second offer, the applicant shall be moved to the bottom of the eligible applicant waiting list unless the applicant can verify that a hardship exists 01' that there are mitigating circumstances. Note: Applicants who can show a good reason for failing to contact the HRA within ~ reasonable time beyond the time originally given will be allowed to retain their position on the waiting list; i.e., applicant in the hospital, being on vacation, etc Applicants who fail to respond in a timely manner for reasons that are related to ~ disability, and not the fanlt of the applicant, should also be reinstated; i.e., applican requests the housing provider contact an advocate, being contacted by telephonE rather than mail, etc. 8 Applicants on the waiting list who have claimed a local preference would drop to the bottom of such a selection preference list. An applicant shall be offered no more than two suitable vacancies before being placed at the bottom of the eligible waiting list. The reasonableness of the rejection will be determined by the HRA and will so be documented with the applicant's application for housing. For handicapped/disabled applicants, reasonable accommodation needs shall be reviewed and made available to the fullest extent allowed. In addition, those applicants who have been placed at the bottom of the waiting list will have the effective date of their application changed to the date of the second rejection. Note: Applicants who can show that the unit was rejected for reasons that were related to a disability, and not the fault of the applicant, shall remain on the waiting list and their annlication will retain its oril!inal date. 5. Handicapped Accessible Units Applicants requiring the features of an accessible unit; i.e., a disabled family, shall be offered an accessible unit, of appropriate bedroom size, before applicants not requiring the accessible features regardless of the disabled family's position on the waiting list. If the disabled family is the next applicant on the waiting list and the available unit, if appropriate bedroom size, is not an accessible unit, management will make the available unit accessible (for the disabled family to rent) to the greatest extent possible pursuant to Section 504 of the Rehabilitation Act of 1973, as amended. 6. Updating the Waiting List The HRA shall update the waiting list at least annually to determine if applicants are still interested and eligible to remain on the waiting list. The HRA shall, at the time of each annual update, obtain CUlTent applicant information. The updated information shall be obtained from the applicant in writing. The I-IRA will notify each applicant by mail requesting the above information and confirmation of its interest in remaining on the waiting list. The HRA must specify a reasonable time frame in which the applicant is to respond; i.e., 15 days. If the applicant replies affirmatively, its application will retain its position on the waiting list. Ifthe reply is negative, the applicant's name will be removed from the waiting list. If no reply is received within the specified time frame, a final letter will be sent to the last known address stating that the applicant's name is being removed from the waiting list on a specified date; i.e., 15 days from the date of the letter. 9 IV. PROCESSING APPLICATIONS It is the HRA's policy to accept and process applications in accordance with applicable HUD regulations. Every application must be completed in its entirety, with or without assistance, and signed and dated by the head of household and co-head(s), and all household members 18 years and older, if applicable. All members of the household shall be listed on the application form. Staff will assist any applicant who might have trouble completing the application form. This assistance might take the form of answering questions about the application, helping applicants who might have literacy, vision or language problems and, in general, making it possible for interested parties to apply for housing. Applications that are incomplete and/or have not been signed and dated as required will not be processed. Whenever possible, communications with applicants will be by first class mail. Failme to respond to letters may result in withdrawal of an application from fmther processing. Management may take exceptions to the procedures described herein to take into account circumstances beyond the applicant's control; i.e., medical emergencies or extreme weather conditions. If failure to respond is due to management will make disability reasonable accommodation. No decisions to accept or reject applicants shall be made until all verifications prompted by the application form have been received. The HRA will obtain verifications with respect to each of the eligibility criteria identified in Section IIIB herein. The HRA will be the final judge of what constitutes adequate and credible documentation. If there is any doubt about the truthfulness or reliability of information received, alternative methods will be pursued until the HRA is satisfied that the documentation obtained is the best available. A. Applicant Screening Criteria The HRA will not employ criteria that are unrelated to an applicant's ability to meet essential lease requirements. It is unlawful to make an inquiry to determine whether an applicant, a person intending to reside in the unit after it is rented or made available, or any persons associated with that person, has a handicap, or to make inquiry as to the nature or severity of a handicap of such a person. 1. Upon receipt of a completed application the applicant shall be screened considering factors that include, but are not limited to, the following: . Demonstrated ability to pay rent and utilities on time: . Comments from current and former landlords: Endorsement from at least two is preferred. Inquiry will be made pertaining to current/past rental history, including nonpayment of rent, failure to cooperate with applicable recertification procedures; violations of house rules; violations of lease; history of disruptive behavior; housekeeping habits; termination of assistance for fraud; and/or previous evictions. 10 For individuals with no landlord reference, management must establish criteria as to: 1) who is acceptable to act in the place of a landlord; and, 2) the type of inquiry(s) that will be made to provide; information and/or substantiate that an acceptable current/former tenant/landlord-like relationship( s) exists( ed); . Credit references: Credit checks may be useful when no rent payment history is available. However, lack of a credit history, as opposed to a poor credit history, is not sufficient justification to reject an applicant. . Drug related or criminal history record: Inquiries may be made of each applicant 18 years of age and older to determine if there has been an arrest/convictions involving the illegal manufacture or distribution of a controlled substance and/or other arrest/ convictions involving the illegal use of a controlled substance by consulting a third party. The HRA prohibits admission to: a) any household containing a member(s) who was evicted in the last three (3) years from federally assisted housing for drug-related criminal activity; b) any household in which a member(s) is currently engaged in illegal use of drugs or for which the HRA has reasonable cause to believe that a member's illegal use or pattern of illegal use of a drug may interfere with the health, safety, and right to peaceful enjoyment of the property by other residents; c) any household member who is subject to a state sex offender lifetime registration requirement; and d) any household member if there is reasonable cause to believe that a member's behavior, from abuse or pattern of abuse of alcohol, may interfere with the health, safety, and right to peaceful enjoyment of the premises by other residents. This screening standard is based on behavior, not the condition of alcoholism or alcohol abuse. . Applicant's ability to comply with the terms of the lease. . Housekeeping habits: Housekeeping criteria are not intended to exclude households whose housekeeping is only superficially unclean or disorderly if such conditions would not appear to affect their or others health, safety and/or welfare; . Units for persons with handicaps: For applicants who require a handicapped accessible unit inquiries may be made to determine whether an applicant requires the type of handicap amenities made to the unit. That is available only to persons with handicaps or to persons with a particular type of handicap. Inquiries may be made to determine whether an applicant for such a unit is eligible to receive disability preference. . Consideration of Extenuating/Mitigating Circumstances in the Screening Process: The HRA may consider extenuating/mitigating circumstances in evaluating information obtained during the screening process to assist in determining the acceptability of an applicant. 11 2. The following factors will not be used when screening an applicant: . Physical examinations: The HRA may not require physical examinations or medical testing as a condition of admission. The HRA may uniformly require all applicants to furnish evidence of ability to meet the obligations of tenancy but may not impose greater burdens on individuals with handicaps; . Meals and Other Services: The HRA must not require tenants to patiicipate in a meals program or establish other mandatory charges for services without the prior consent of MI-IF A; . Donations or contributions: The HRA must not require a donation, contribution, or membership fee as a condition of admission. The HRA may not require any payments not provided in the lease; or . Pets for Elderly/Handicapped Units/Developments: Applicants shall not be rejected solely because the applicant has a pet. B. Applicant Interview At the time an appropriate unit becomes available, or sooner, the HRA will interview the applicant and obtain current information about the family's circumstances. Any question that is asked of one applicant must be asked of all applicants. A final decision on eligibilitv cannot be made until all verifications are complete. The HRA should refer to the HUD Handbook 4350.3 for income, asset and allowance information as well as the documents the HRA may ask the applicants to bring to the interview. During the interview the HRA must: . ConfilID and update all information provided on the HRA rental application. If the applicant is determined ineligible the HRA must comply with proper procedures for rejection; . Explain program requirements, verification procedures, and penalties for false information. The penalties include eviction, loss of assistance, fines up to $10,000 and imprisonment up to five years; . Obtain family income and composition needed to certify eligibility and compute the tenant's share of the rent. Any changes in family income and composition since the date of application should also be obtained; . Review the financial information on the rental application and specifically ask the applicant whether any member of the household receives the types of income or assets as listed on the application. If it seems likely that an applicant is receiving a form of income 12 not reported on the application, ask the applicant about that source of income and document the applicant's response in the file. . Ask the head of household, spouse, co-head(s) and household members of age 18 years or over to sign the release of information consent portion of any verification request used for them; . Require the head of household, spouse, co-head(s) and household members age 18 years and over to give a written verification as to whether any family member did/did not dispose of any assets for less than fair market value during the two years preceding the effective date of the verification; . Advise the family that, for a sample of cases, HUD will compare the information with Federal, State or local agencies; . Tell the family that a final decision on eligibility cannot be made until all verifications are complete; and . Provide the household with Federal and State Data Privacy information. . All non-exempt (see definitions) public housing adult resident (18 years old or older) contribute eight (8) hours per month of community service (volunteer work) or participate in eight (8) hours of training, counseling, classes or other activities that help an individual toward self sufficiency and economic independence, This is a requirement of the Public I-lousing Lease. C. Verification Requirements The HRA shall obtain verifications in compliance with requirements set forth in Exhibit 3-2 Acceptable Forms of Verification of the HUD Public Housing Occupancy Guidebook. No decision to accept or reject an application shall be made until all verifications prompted by the application form have been collected and any necessary Follow-Up Interview has been performed. 1. Types of Verification Required All information relative to the following items must be verified as described in these procedures. Eligibility for admission, such as: . Income, assets and asset income; . Family composition; and . Social Security numbers. 13 Local preferences such as: . Residency . Elderly . Handicapped or Disabled Allowances, such as: . Age, disability, or handicap, of family member; . Full-time student status; . Childcare costs; . Handicap expenses; and/or . Medical costs. Compliance with Applicant Screening Criteria, such as: . Docmnented ability and willingness to abide by lease requirements, and, if applicable, housing program requirements; . Previous history of tenancy; and/or . Absence of current or history of criminal activity of any household member. All the above information must be documented and appropriate verification forms or letters placed in the applicant or resident file. 2. Preferred Types of Verification Verifications shall be attempted in the following order: 1. Third-party written. 2. Third-party oral. 3. Review of documents provided by the family. 4. In the absence of any of the above: affidavits from the family. Each file will be documented to show that the HRA attempted to obtain third-party written documentation before relying on some less acceptable form of information. 3. Sources ofInformation Sources of infol1nation to be checked may include, but are not limited to: . The applicant by means of interviews; . Present and former landlords, or housing providers; . present and former employers; . Agencies providing credit, criminal and landlord history; . Family social workers, parole officers, court records, drug treatment centers, clinics, physicians, clergy; and/or 14 . Police depmiments. 4. Forms of Verification Documentation employed as part of the verification process may include, but are not limited to: . Applicants and/or forms completed as pmi of the interview process and signed by the applicant; . Verification forms completed and signed by third parties; . RepOlis of interviews; . Letters; and/or . Notes of telephone conversations with reliable sources. Management staff will be the final judge of the credibility of any verification submitted by an applicant. If staff considers documentation to be doubtful, the Propeliy Manager who will make a !Uling about its credibility will review it. Staff will continue to pursue credible documentation until it is obtained or the applicant is rejected for failing to provide required documentation. 5. Verification Time Frame Only verified information that is less than 90 days old may be used for certification or rece1iification. Verifications may be extended for 30 days with a telephone update. (A record of the update must be placed in the applicant's file.) Verified information not subject to change (such as a person's date of birth) need not be re-verified. Information obtained which is subject to change, and for which verifications are more than 120 days old, must be re-verified. If the BRA determines that an applicant is eligible and is otherwise acceptable, and a unit is available, the BRA will assign the family a unit of appropriate size in accordance with the General Occupancy Standards. V. GENERAL OCCUPANCY STANDARDS The BRA offers independent housing for the elderly, handicapped or disabled. The I-IRA offers 100 one-bedroom independent living, rental units within a nine-story building with two elevators. Six (6) apmiments are wheelchair accessible. The bedroom dimensions are 9'1/2" x 14'. I-bedroom units 2 bedroom units 1-2 persons 2-4 persons up to 565 square feet over 565 square feet The BRA must comply with all reasonable state and local health and safety restrictions regarding the maximum number of persons permitted to occupy a unit. In the absence of such restrictions, overcrowding is deemed to occur when the total number of persons in the unit exceeds two IS persons per habitable sleeping room. Additional persons may be allowed when a habitable sleeping room provides at least 50 square feet per person. A habitable sleeping room is any room except the following: . kitchen . bathroom . hallway; or . dining room. More than two persons may occupy a bedroom provided there is sufficient square footage in the bedroom to meet local standards. If local standards permit, the living room may be considered a habitable sleeping room, therefore, increasing the overall occupancy level. The HRA should take into consideration the makeup of the household when determining the appropriately-sized unit. Persons of different generations, opposite gender, and umelated adults should not be required to share a bedroom. However, the final decision as to the number of persons residing in a unit shall be left to the applicant, provided the unit is not overcrowded or under occupied. Physically Handicapped/Disabled Applicants For units accessible to or adaptable for persons with mobility, visual or hearing impainnents, households containing at least one person with such impairment will have first priority, (as applicable for a particular unit's features). Note: Current residents in good standing requiring accessible/adaptable units shall b~ given priority over applicants requiring the same type of unit. Where no such applicants or current residents are at hand, management reserves the right to hold such units available while outreach efforts are in process to obtain applicants with need for such units. Where non-handicapped persons are moved into units designed to meet special needs, they must agree to move to the first availabll appropriately sized unit with no such design features available should an applican or current resident require an accessible unit of the type currently occupied by th~ non-handicapped person. The tenant will be considered for a unit transfer when the following has occurred: . family circumstances necessitate an accessible unit, Le., medical reasons. If no appropriate unit is available the tenant will be placed on an in-house transfer waiting list in accordance with the date the family met the eligibility criteria. . Convenience transfers are at the discretion of the I-IRA Management . Tenant requesting the unit transfer for preference will pay all administrative fees. . No administrative fees will be charged for accessibility/handicap transfers. 16 VI. PREFERENCE CATEGORIES FOR ADMISSION It is the HRA's policy that a preference does not guarantee admission. Every tenant must still meet all the eligibility requirements and Applicant Screening Criteria before being accepted as a resident. The HRA will apply the following lUles in the order shown for selecting eligible applicants. Preference of opportunity to rent will be given to elderly families (including handicapped and disabled persons) and people eligible to receive the local residency preference. An applicant qualifies for the local residency preference if he/she lives and/or is employed in the City of Columbia Heights, Minnesota. The I-IRA will target extremely low-income households in order to meet the 40 percent extremely low-income tenant requirement. Note: An applicant may claim a local preference when applying for assistance. The HRA must accept this certification unless the HRA verifies that the applicant is no qualified for a local preference. Before executing the lease agreement the HRA must require the applicant to provide acceptable verification. While a single person(s) who is not elderly, disabled, or handicapped is eligible fOl occupancy, preference shall be extended to elderly families (including disabled anc handicapped persons) and persons who are considered residents and receive loca residencv nreference. VII. REJECTING APPLICANTS Applicants may be rejected if: . They are ineligible; . The household's characteristics are not appropriate for the size or type of units that are available; . They do not meet the HRA's applicant screening criteria; or . They fail to disclose and document all Social Security Numbers or execute a certification when numbers have not been assigned. . An applicant's inability to fulfill obligations and comply with all terms of the previous/current Lease/Rental Agreement. . A record of clU'onic late, underpayment or nonpayment of rightful obligations, including rent and utilities; 17 . A record of disruptive behavior; . A record of destruction of propeliy; . A record of poor living and housekeeping habits; . A history of criminal activity involving crimes of physical violence to persons or property, or a record of other criminal acts which may endanger the health, safety or welfare of other residents; . Eviction of material non-compliance, or "other good cause," from current or previous housing. . A history of activities that would be injurious to the reputation of the property and/or be likely to cause an increase in the rate of hazard insurance on the propeliy; . Purposeful falsification, misrepresentation or withholding of information or submission of inaccurate and/or incomplete information on any application or during the interview related to eligibility, award of preference for admission, allowance, family composition or rent; . Current or recent problems involving chemical or drug dependency resulting in any of the other reasons for non-selection; and/or . Refusal to comply with housing program requirements, policies and/or procedures. Note: Unwitting errors that do not secure an advantage with regard to program eligibili references, or rent, will not be used as a basis to re' ect a licants. Applicants may be denied patiicular units and placed on a waiting list if the household's characteristics are not appropriate for the size or type of units that are available at that time. If the HRA does not place an applicant on the waiting list or immediately process the applicant for admission, the HRA must promptly notify the applicant in writing of the rejection, and explain in the notice the reasons for the rejection, and, . That the applicant has 14 days to respond in writing or to request a meeting to discuss the rejection. . If the applicant is an individual with handicaps, the applicant may inform the HRA of this fact and may request the HRA to make reasonable accommodations in the policies or practices to enable the applicant equal opportunity. 18 A member of the HRA's staff who did not make the initial decision to reject the applicant must conduct any meeting with the applicant or review of the applicant's written response. If the applicant appeals the rejection, the I-IRA must give the applicant a written final decision within 5 days of the response or meeting. The HRA must keep the following materials on file for at least three years: application, initial rejection notice, any applicant reply, the HRA's final response, and all interview and verified information on which the HRA based the rejection. Mitigating Circumstances The HRA will hold a second interview with any applicant known to have a disability or handicap who cannot meet one or more of the tenant screening criteria. The purpose of this interview is to determine whether it is possible to admit the applicant through consideration of mitigating circumstances or by applying reasonable accommodation. Mitigating circumstances would be facts (that can be verified) that would overcome or outweigh information gathered in the tenant screening process. Acceptable evidence of mitigating circumstances may include the following: . Verification that unacceptable past behavior is either no longer in effect or is othelwise controlled. . Applicants who claim unacceptable behavior resulting from alcoholism or drug addiction must verify that they are not currently engaging in alcohol abuse or the use of illegal drugs. Current abuse is defined as use more than 120 days prior to the date of application. During the period that the applicant is claiming no current use, the applicant's behavior in the previously unacceptable area must have shown improvement. Unimproved behavior shall be taken to construe that either the applicant's unacceptable behavior was not caused by alcohol or drug abuse, or the applicant is still engaging in alcohol or drug abuse. Lack of improvement in a previously unacceptable area shall result in a rejected application. The HRA shall also have the right to request further information reasonably needed to verify a mitigating circumstance, even if such information is of a medically confidential nature. If the applicant refuses to provide or give access to such further information, the HRA will give no further consideration to the mitigating circumstance. 19 VIII. LEASING POLICIES A. General Leasing Policy 1. All units must be occupied pursuant to a lease that complies with HUD's regulations. 2. The lease shall be signed by the head, spouse, and all other adult members of the household and by the Executive Director or other authorized representative of the HRA, prior to actual admission. 3. If a resident transfers from one unit to another, a new lease will be executed for the dwelling into which the family moves. 4. If at any time during the life of the lease agreement, a change in the resident's status results in the need for changing or amending any provision of the lease, either: a. A new lease agreement will be executed, or b. A Notice of Rent Adjustment will be executed, or c. An appropriate rider will be prepared and made a patt of the existing lease. All copies of such riders or inseltions are to be dated and signed by the Resident and by the Executive Director or other authorized representative of the BRA. 5. Residents must advise the HRA if they will be absent from the unit for more than 7 days. Residents shall notify the manager, secure the unit and provide a means for the BRA to contact the resident in an emergency. Failure to advise the HRA of an extended absence is grounds for termination ofthe lease. B. Showing Units Prior to Leasing When offering units to an applicant, the HRA will provide the applicant with the OPPOltunity to view the available unit prior to the applicant having to accept the unit for rental. 20 c. Additions to the Household and Visitors I. Only those persons listed on the most recent certification fOlm and lease shall be permitted to occupy a dwelling unit. . Except for natural births to or adoptions by family members, or court awarded custody, any family seeking to add a new member must request approval in writing before the new member moves in. . Also included, would be situations in which a person (often a relative) comes to the unit as a visitor but stayed on in the unit because the tenant needed support, for example, after a medical procedure. . All persons listed on the most recent celtification form and the lease must use the dwelling unit as their sole residence. 2. When a resident requests approval to add a new person to the lease, the HRA will conduct pre-admission screening of any proposed new adult member to determine whether the HRA will grant such approval. Children under the age below which Juvenile Justice records are made available, or added through a formal custody award or kinship care arrangement are exempt from the pre-admission screening process, although the resident still needs prior permission from the HRA to add children other than those born to, adopted by or awarded by the court to the family. 3. Examples of situations where the addition of a family or household member is subject to screening are: . Resident plans to be malTied and requests to add the new spouse to the lease; . Resident desires to add a new family member to the lease, employ a live-in aide, or take in a foster child(ren) over the age for which juvenile justice records are available; . A unit is occupied by a remaining family member(s) under age 18 (who is not an emancipated minor) and an adult, not a part of the original household, requests permission to take over as the head of the household. 4. Residents who fail to notify the HRA of additions to the household or who permit persons to join the household without undergoing screening are violating of the lease. Persons added without HRA approval will be considered unauthorized occupants and the entire household will be subject to eviction. 5. Visitors may be pelmitted in a dwelling unit so long as they have no previous history of behavior on the HRA premises that would be a lease violation. 21 . Visits of less than three days need not be reported to or approved by the Manager. . Visits of more than three and less than 21 days in a calendar year are pelmitted, provided they are reported to the manager within 72 hours and authorized by the manager. . Visits of more than 21 days in a calendar year must be authorized by the HRA with advance documentation of extenuating circumstances. . Visitors remaining beyond this period shall be considered unauthorized occupants and the head of the household shall be guilty of a breach of the lease. 6. Roomers and lodgers shall not be permitted to move in with any family. Violation of this provision is ground for termination of the lease. 7. Residents will not be given permission to allow a former resident of the RHA who has been evicted to occupy the unit for any period of time. Violation of this requirement is ground for telmination of the lease. 8. Family members over age 17 or emancipated minors who move from the dwelling unit to establish new households shall be removed from the lease. . The resident shall report the move-out within 30 calendar days of its occurrence. . These individuals may not be readmitted to the unit and must apply as new applicant households for placement on the waiting list. . Medical hardship or other extenuating circumstances shall be considered by the HRA in making detenninations under this paragraph. IX. TRANSFER POLICY Transfers will be made without regard to race, color, national origin, sex, religion, or familial status. Residents can be transferred to accommodate a disability. All internal transfers will be handled in the below fashion. Should a tenant request an internal transfer to another apartment, the tenant will be required to fill out an application which will be placed on the "local residential" waiting list in order, by date. In the event that a unit becomes available and it is not what the tenant desires, tenant may "pass" at that time. Tenant may pass on two offers, after that, the tenant would be placed at the bottom of the waiting list. (All applications would be treated the same way as a regular applicant). There will be a $400.00 internal transfer fee to any resident that pmticipates in this transfer. 22 All Parkview Villa South residents that apply to transfer to the North building, will have the $400.00 transfer fee waived, if their lease was signed here at Parkview Villa South prior to April 20, 2004, and if they are placed on the waiting list for an internal transfer, by application, dated before December 31, 2006. All South residents that have signed a lease after April 20, 2004 will be required to pay the internal transfer fee of$400.00. The Parkview Villa Management will treat any verbal acknowledgement of the desire to make any of the listed internal moves as an inquiry until the application is completed. X. ELIGIBILITY FOR CONTINUED OCCUPANCY A. Eligibility for Continued Occupancy Residents who meet the following criteria will be eligible for continued occupancy: I. Qualify as a family as defined in Section III of this policy. 2. Are in full compliance with the resident obligations and responsibilities as described in the dwelling lease. 3. Whose family members, age 6 and older, each have Social Security numbers 01' have celtifications on file indicating they have no Social Security number. 4. Who meet HUD standards on citizenship 01' immigration status or are paying a pro-rated rent. 5. Who are in compliance with the HRA's community service requirements. B. Reexaminations 1. Regular reexaminations: the HRA shall, at least once a year, re-examine the family composition and incomes of all resident families, except that families paying Flat Rent shall have their incomes reexamined only every three years. 2. Special Reexaminations: When it is not possible to estimate family income accurately, a temporary determination will be made with respect to income and a special reexamination will be scheduled every 60 days until a reasonably accurate estimate of income can be made. 3. Special reexamination shall be conducted when there is a change in the head of household that requires a remaining family member to take on the responsibilities of a leaseholder. 4. New Reexamination Date Following Income Disallowance: When a family qualifies for an earned income disallowance, the date for their next regular reexamination shall be permanently adjusted to be 12 months following the date that the income disallowance began. 5. Zero Income Families: Unless the family has income that is excluded for rent computation, families reporting zero income will have their circumstances examined every 60 days until they have a stable income. Monetary or non- monetary contributions from persons not residing in the dwelling unit for any 23 purpose other than the payment or reimbursement of medical expenses shall be considered income. C. Reexamination Procedures a. At the time of reexamination, all adult members of the household will be required to sign an application for continued occupancy and other forms required by HUD. b. Income, allowances, Social Security numbers, and such other data as is deemed necessary will be verified, and all verified findings will be filed in the resident's folder. c. Verified information will be analyzed and a determination made with respect to: (i) Eligibility of the resident as a family or as the remaining member of a family; (ii) Unit size required for the family (using the Occupancy Guidelines); and (iii) Rent the family should pay. d. Residents with a history of employment whose reexamination occurs when they are not employed will have income anticipated based on past and anticipated employment. Residents with seasonal or part-time employment of a cyclical nature will be asked for third palty documentation of their employment including stalt and ending dates. e. Families failing to respond to the initial reexamination appointment will be issued a final appointment within the same month. Failure to respond to the final request will result in the family being sent a notice of lease violation and referred to the Housing Manager for termination of the lease. D. Actiou Following Reexamination a. If there is any change in rent, the lease will be amended, a new lease will be executed, or a Notice of Rent Adjustment will be issued. b. If any change in the unit size is required, the resident will be placed on a transfer list in accordance with the transfer criteria described above in this policy and moved to an appropriate unit when one becomes available. XI. INTERIM RENT ADJUSTMENTS A. Adjusting Rent between Regular Reexaminations I. Residents al'e required to repOlt all changes in family composition or status to management within 10 calendar days of the OCCUlTence. Failure to report within the 10 calendar days may result in a retroactive rent increase, but not a retroactive credit or rent reduction. In order to qualify for rent reductions, residents must report income decreases promptly. Residents are also required to 24 report interim Illcreases III income if they have been granted interim rent reductions. 2. The HRA wishes to encourage families to improve their economic circumstances, so most changes in family income between reexaminations will not result in a rent change. The HRA will process interim changes in rent when there is an increase in monthly income of more than $200 or a change in the family composition. 3. Complete verification ofthe circumstances applicable to rent adjustments must be documented and approved by the Executive Director or his/her designee. 4. The HRA will process interim adjustments in rent as follows: a. When a decrease in income is reported, and the HRA receives confitmation that the decrease will last less than 30 days, an interim adjustment will not be processed. b. Residents repOlling decreases in income that are expected to last more than 30 days will have an interim adjustment processed. 5. Residents granted a reduction in rent under these provisions will be required to repotl for special reexaminations at intervals detetmined by the Housing Manager. RepOlling is required until income increases or it is time for the next regularly scheduled reexamination, whichever occurs first. B. Effective Date of Adjustments Residents will be notified in writing of any rent adjustment including the effective date of the adjustment. I. Rent decreases go into effect the first of the month following the reported change. Income decreases reported or verified after the tenant accounting cut-off date will be effective the first of the second month with a credit retroactive to the first month. 2. Rent increases (except those due to misrepresentation) require 30 days notice and become effective the first of the second month. XII. LEASE TERMINATION PROCEDURES A. General Policy: Lease Termination No resident's lease shall be terminated except in compliance with HUD regulations and the lease terms. 25 B. Notice Requirements 1. No resident shall be given a Notice of Lease Termination without being told by the HRA in writing the reason for the termination. . The resident must also be informed of his/her right to request a hearing in accordance with the Grievance Procedure, and be given the opportunity to make such a reply as he/she may wish. . Lease terminations for certain actions are not eligible for the Grievance Procedure, specifically: any criminal activity that threatens the health, safety, or right to peaceful enjoyment of the premises of other residents or HRA employees; and any drug-related criminal activity. 2. Notices oflease termination may be served personally or posted on the apartment door. 3. Notice shall include a statement describing right of any resident with a disability to meet with the manager and determine whether a reasonable accommodation could eliminate the need for the lease termination. C. Recordkeeping Requirements A written record of every tennination and/or eviction shall be maintained by the HRA, and shall contain the following information: . Name of resident, race and ethnicity, number and identification of unit occupied; . Date of the Notice of Lease Termination and any other state or local notices required, which may be on the same form and run concurrently; . Specific reason(s) for the Notice(s), with section of the lease violated, and other facts pertinent to the issuing ofthe Notice(s) described in detail; . Date and method of notitying resident; and . Summaries of any conferences held with resident including dates, names of conference participants and conclusions. 26 EXHIBIT A Definitions and Procedures to be used in Determining Income and Rent A. Annual Income Annual income is the anticipated total income from all sources, including net income derived from assets, received by the family head and spouse (even if temporarily absent) and by each additional family member including all net income from assets for the 12-month period following the effective date of initial determination or reexamination of income, exclusive of income that is temporary, non-recurring, or sporadic as defined below, or is specifically excluded from income by other federal statute. Annual income includes but is not limited to: I. The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services. 2. The net income from operation of a business or profession, including any withdrawal of cash or assets from the operation of the business. Expenditures for business expansion or amOltization of capital indebtedness shall not be used as deductions in detelmining the net income from a business. An allowance for the straight-line depreciation of assets used in a business or profession may be deducted as provided in IRS regulations. Withdrawals of cash or assets will not be considered income when used to reimburse the family for cash or assets invested in the business. 3. Interest, dividends, and other net income of any kind from real or personal property. Expenditures for amOltization of capital indebtedness shall not be used as deductions III determining net income. An allowance for the straight-line depreciation of real or personal propelty is permitted. Withdrawals of cash or assets will not be consider income when used to reimburse the family for cash or assets invested in the property. If the Family has Net Family Assets in excess of $5,000, Annual Income shall include the greater of the actual income derived from all Net Family Assets or a percentage of the value of such Assets based on the cunent passbook savings rate as determined by HUD. 4. The full amount of periodic payments received from Social Security, annuities, insurance policies, retirement funds, penSIOns, disability or death benefits, and other similar types of periodic receipts. 5. Payments in lieu of earnings, such as unemployment and disability compensation, worker's compensation, and severance pay. 6. All welfare assistance payments (Temporary Assistance to Needy Families, General Assistance) received by or on behalf of any family member. 7. Periodic and determinable allowances, such as alimony and child support payments, and regular cash and non-cash contributions or gifts received from agencies or persons not residing in the dwelling made to or on behalf of family members. 8. All regular pay, special pay, and allowances of a family member in the AImed Forces. A-I B. Items not included in Annual Income Annual Income does not include the Following: 1. Income from the employment of children (including foster children) under the age of 18 years. 2. Payments received for the care of foster children 01' foster adults (usually individuals with disabilities, umelated to the resident family, who are unable to live alone). 3. Lump sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance, and worker's compensation), capital gains, one-time lottery winnings, and settlement for personal property losses (but see paragraphs 4 and 5 above if the payments are 01' will be periodic in nature). 4. Amounts received by the family that are specifically for, 01' in reimbursement of, the cost of medical expenses for any family member. 5. Income of a live-in aide, provided the person meets the definition of a live-in aide (See Section 12 ofthese policies). 6. The full amount of student financial assistance paid directly to the student 01' the educational institution. 7. The special pay to a family member serving in the Armed Forces who is exposed to hostile fire. 8. Certain amounts received that are related to participation in the following programs. a. Amounts received under HUD funded training programs (e.g. Step-up program: excludes stipends, wages, transportation payments, childcare vouchers, etc. for the duration of the training). b. Amounts received by a person with disabilities that are disregarded for a limited time for purposes of Supplemental Security Income and benefits that are set aside for use under a Plan to Attain Self-Sufficiency (PASS). c. Amounts received by a participant in other publicly assisted programs that are specifically for, 01' in reimbursement of, out-of-pocket expenses incutTed (special equipment, clothing, transpOliation, childcare, etc.) to allow participation in a specific program. d. A resident services stipend. A resident services stipend is a modest amount (not to exceed $200/month) received by a public housing resident for perfOlming a service for the HRA, on a part-time basis, that enhances the quality of life in public housing. Such services may include but are not limited to, fire patrol, A-2 hall monitoring, lawn maintenance, and resident initiatives coordination. No resident may receive more than one such stipend during the same period of time. e. Incremental earnings and/or benefits resulting to any family member from participation in qualifYing state of local employment training program (including training programs not affiliated with the local government), and training of family members as resident management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives, and are excluded only for a limited period as detelmined in advance by the BRA. 9. Temporary, non-recurring, or sporadic income (including gifts). 10. Reparation payments paid by foreign governments pursuant to claims filed under the laws ofthat government by persons who were persecuted during the Nazi era. 11. Earnings in excess of $480 for each full-time student 18 years old or older (excluding the head of the household and spouse). 12. Adoption assistance payments in excess of $480 per adopted child. 13. The incremental earnings and benefits to any resident. a. whose annual income increases due to employment of a family member who was unemployed for one or more years previous to employment; or b. whose annual income increases as the result of increased earnings by a family member during participation in any economic self sufficiency or other job training program; or c. whose annual income increases due to new employment or increased earnings of a family member during or within six months of receiving state- funded assistance, benefits or services, will not be increased during the exclusion period. For purposes of this paragraph, the following definitions apply: (i) State-funded assistance, benefits or services means any state program for temporary assistance for needy families funded under Part A of Title IV of the Social Security Act, as detelmined by the BRA in consultation with the local agencies administering Temporary Assistance for Needy Families (T ANF) and Welfare-to-Work programs. The TANF program is not limited to monthly income maintenance, but also includes such benefits and services as onetime payments, wage subsidies and transportation assistance - provided that the total amount over a six-month period is at least $500. A-3 (ii) During the 12 month period beginning when the member first qualifies for a disallowance, the HRA must exclude from Annual Income any increase in income as a result of employment. For the 12 months following the exclusion period, 50% of the income increase shall be excluded. (iii) Regardless of how long it takes a resident to work for 12 months (to qualify for the first exclusion) or the second 12 months (to qualify for the second exclusion), the maximum period for the disallowance (exclusion) is 48 months. (iv) The disallowance of increased income under this section is only applicable to current residents and will not apply to applicants who have begun working prior to admission (unless their earnings are less than would be earned working ten hours per week at minimum wage, under which they qualify as unemployed). 14. Deferred periodic payments of supplemental security income and social security benefits that are received in a lump sum payment. 15. Amounts received by the family in the form of refunds or rebates under state or local law for property taxes paid on the dwelling unit. 16. Amounts paid by a State agency to a family with a developmentally disabled family member living at home to offset the cost of services and equipment needed to keep the developmentally disabled family member at home. 17. Amounts specifically excluded by any other Federal Statute from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under the United States Housing Act of 1937. (A notice will be published by HUD in the Federal Register identifying the benefits that qualify for this exclusion. Updates will be published and distributed when necessary.) If it is not feasible to anticipate income for a 12-month period, the Authority may use the annualized income anticipated for a shorter period, subject to an Interim Adjustment at the end of the shorter period. (This method would be used for teachers who are only paid for 9 months or for tenants receiving unemployment compensation.) D. Adjusted Income Adjusted Income (the income upon which rent is based) means Annual Income less the following deductions and exemptions: For All Families I. Child Care Expenses - A deduction of amounts anticipated to be paid by the family for the care of children under 13 years of age for the period for which Annual Income is computed, BUT ONLY when such care is necessary to enable a family member to be gainfully employed, to seek employment or to further his/her education. Amounts deducted must be un-reimbursed expenses and shall not exceed: A-4 a. the amount of income earned by the family member released to work; or b. an amount determined to be reasonable by the HRA when the expense is incurred to permit education or to seek employment. 2. Dependent Deduction - An exemption of $480 for each member of the family residing in the household (other than the head of household, or spouse, Live-in Aide, foster adult or foster child) who is under eighteen years of age or who is eighteen years of age or older and disabled, or a full-time student. 3. Work-related Disability Expenses - A deduction of un-reimbursed amounts paid for attendant care or auxiliary apparatus expenses for family members with disabilities where such expenses are necessary to permit a family member(s), including the disabled member, to be employed. In no event may the amount of the deduction exceed the employment income earned by the family member(s) freed to work. Equipment and auxiliary apparatus may include but are not limited to: wheelchairs, lifts, reading devices for the visually impaired, and equipment added to cars and vans to permit their use by the disabled family member. Also included would be the annualized cost differential between a car and the cost of a van required by the family member with disabilities. a. For non-elderly families and elderly or disabled families without medical expenses: the amount of the deduction equals the cost of all un-reimbursed expenses for work-related disability expense less three percent of Annual Income, provided the amount so calculated does not exceed the employment income earned. b. For elderly or disabled families with medical expenses: the amount of the deduction equals the cost of all un-reimbursed expenses for work-related disability expense less three percent of Annual Income (provided the amount so calculated does not exceed the employment income earned) PLUS medical expenses as defined below. For elderly and disabled families only: 4. Medical Expense Deduction - A deduction of un-reimbursed Medical Expenses, including insurance premiums, anticipated for the period for which Annual Income is computed. Medical expenses include but are not limited to: services of physicians and other health care professionals, services of health care facilities, health insurance premiums (including the cost of Medicare), prescription and non-prescription medicines, transportation to and from treatment, dental expenses, eyeglasses, hearing aids and batteries, attendant care (unrelated to employment of family members), and payments on accumulated medical bills. To be considered by the HRA for the purpose of determining a deduction from income, the expenses claimed must be verifiable. a. For elderly or disabled families without work-related disability expenses: The A-5 amount of the deduction shall equal total medical expenses less three percent of annual income. b. For elderly or disabled families with both work-related disability expenses and medical expenses: the amount of the deduction is calculated as described in paragraph 3 (b) above. 5. Elderly/Disabled Household Exemption - An exemption of $400 per household. 6. Optional Deductions/Exemptions: The HRA may amend this policy and grant further deductions. Any such deduction would be noted here. E. Computing Rent I. The first step in computing rent is to determine each family's Total Tenant Payment. Then, if the family is occupying a unit that has tenant-paid utilities, the Utility Allowance is subtracted from the Total Tenant Payment. The result of this computation, if a positive number, is the Tenant Rent. If the Total Tenant Payment less the Utility Allowance is a negative number, the result is the utility reimbursement, which may be paid to the tenant or, directly to the utility company by the HRA. 2. Total Tenant Payment is the highest of: . 30% of adjusted monthly income; or . 10% of monthly income; but never less than the . Minimum Rent; and never more than the . Flat Rent, if chosen by the family or assigned due to in place household being over the maximum income qualifications. 3. Tenant rent is computed by subtracting the utility allowance for tenant supplied utilities (if applicable) from the Total Tenant Payment. In developments where the HRA pays all utility bills directly to the utility supplier, Tenant Rent equals Total Tenant Payment. 4. The Minimum Rent shall be established by HUD, but a hardship exemption shall be granted to residents who can document that they are unable to pay the Minimum Rent because of a long-term hardship (over 90 days). Examples under which residents would qualify for the hardship exemption to the minimum rent would be limited to the following: . The family has lost eligibility for or is applying for an eligibility determination for a Federal, State or local assistance program; . The family would be evicted as result of the imposition of the minimum rent requirements; A-6 . The income of the family has decreased because of changed circumstances, including loss of employment; A death in the family has occurred; or . Other circumstances as detelmined by PHA 5. At initial certification and at each subsequent annual reexamination the resident shall be offered a choice of paying either the income-based rent or the Flat Rent applicable to the unit they will be occupying. A-7 EXHIBIT B GLOSSARY Annual Income - Annual income is the anticipated total income from all sources including net income derived from assets, received by the household's head and spouse (even if temporarily absent) and by each additional family member (Le., co-tenant). Annual income is anticipated income for the 12 month period following the effective date of initial cel1ification or recertification of income, exclusive of income that is temporary, non-recurring, or sporadic or is specifically excluded from income by federal statute. Adiusted Income - Adjusted income means the income of a household after allowable deductions have been subtracted. Agent or Broker - any person authorized to perfOlm an action on behalf of another person regarding any matter related to the sale or rental of dwellings. Aggrieved Person - includes any person who claims to have been injured by a discriminatory housing practice; or, believes that such a person will be injured by a discriminatory housing practice that is about to occur. Accessible - When used with respect to the design, construction, or alteration of a building or portion of a building, other than an individual dwelling unit, means that the building when designed, constmcted or altered can be approached, entered, and used by individuals with physical handicaps. Accessible, when used with respect to individual dwelling units, means that the unit must be located on an accessible route and when designed, constlUcted, altered or adapted can be approached, entered, or used by individuals with physical handicaps. When an individual dwelling unit in an existing building is being made accessible for use by a specific individual (current occupant, another occupant in a non-accessible unit controlled by the same housing provider, or an applicant), the unit will be deemed accessible if it meets the standards that address the pat1icular disability of such a person. Accessible Route - For mobility impairment, a continuous unobstmcted path, and connecting elements and spaces in a building or facility that complies with space and reach requirements of the Uniform Federal Accessibility Standards. For hearing and vision impairment, the route need not comply with requirements specific to mobility. Adaptabilitv - The ability to change cel1ain elements; e.g.; kitchen counters, sinks, grab bars, in a dwelling unit to accommodate the needs of handicapped and non- handicapped persons; or ability to meet the needs of persons with different types and degrees of disability. Alteration - any change in a facility or its permanent fixtures or equipment. It includes remodeling, renovation, rehabilitation, reconstmction, changes or rearrangements in stmctural pat1s and extraordinary repairs. It does not include: normal maintenance or repairs, re-roofing, interior decoration or changes to mechanical systems. B-1 Applicant - A person of statutory legal age that is the head of a household, whose family conforms to all the requirements for admission, and who has completed an application for housing. Assets - Assets includes cash (including checking accounts), stocks, bonds, savings, and equity in real property, capital investments, or the cash value of life insurance policies not including the value of personal property such as furniture, automobiles and household effects. Assistance Pavment - the amount HUD pays an owner for a unit occupied under the Section 8 program. This amount is equal to the gross rent minus the Total Tenant Payment (TTP). Assisted Rent - any rent less than the market rent. Assisted Tenant - a tenant who pays less than the market rent. Auxiliarv aids and services - Services or devices that enable persons with impaired, sensory, manual or speaking skills to have an equal opportunity to paIticipate in and enjoy the benefits of programs or activities. The owner is not required to provide individually prescribed devices, readers for personal use or study, or other devices of a personal nature. Child Care Expenses - Amounts anticipated to be paid by the household for the care of children less than 13 years of age for the period for which Annual Income is computed. But ONLY when such are necessary to enable a household member to be gainfully employed, actively seeking employment or to further his/her education. Amounts deducted must be umeimbursed expenses and shall not exceed: (1) the amount of income earned by the household member enabled to work; or (2) an amount determined to be reasonable by the owner. Chronicallv Mentallv III - a handicapped or disabled person. (Note: A more complete definition can be found in PaIt III ofthe MHF A Sample Tenant Selection Plan.) Contract Rent - the rent HUD authorizes ail owner to collect for a unit occupied by a household receiving assistance. Co-Tenant - a person who shares the dwelling unit and is treated as a head of the house for purposes of intake, eligibility, screening, and occupancy. Current Illegal use of drugs - the use of drugs that occurred recently enough to justify a reasonable belief that a person's dmg use is current or that continuing use is a real and ongoing problem. The owner has established in the Tenant Selection Plan reasonable policies and procedures to ensure that an individual who formerly engaged in the illegal use of drugs is not cunently using illegal drugs. Dependent - A member of the household, other thm head, spouse, sole member, foster child, or live-in aide, who is under 18 years of age, or 18 years of age or older and disabled, handicapped, B-2 or a full-time student. (Note: A pregnant woman is not entitled to the dependent allowance until after the birth of the child.) Development - One or more residential structures and appmienant structures, equipment, roads, walks, and parking lots which are covered by a single contract or are treated as a whole whether or not located on a common site. Developmentallv Disabled - A disabled person. (Note: A more complete definition can be found in Part III of the MHFA Sample Tenant Selection Plan.) Displaced Person/Displace - a person involuntarily displaced from an urban renewal area or as a result of government action or as a result of a disaster determined by the President of the United States to be a major disaster. (Note: This definition is used for eligibility determination only.) Disabled Person - A person who is under a disability as defined in Section 223 of the Social Security Act or in Section 102(5)(b) of the Developmental Disabilities Services and Facilities Construction Amendments of 1970. (Note: A more complete definition can be found in Part III of the MHFA Sample Tenant Selection Plan.) Discrimination - The unlawful consideration of such characteristics as race, color, creed, religion, national origin, sex, age, sexual orientation, handicap/disability, familial or marital status, status with regard to public assistance or class membership in the selection or provision of services to applicants and tenants. Drug - a controlled substance as defined in schedules I through V of section 202 of the Controlled Substances Act (21 U.S.C. 812). (Note: alcohol is not a controlled substance.) Elderlv Household - a household whose head or spouse (or sole member) is at least sixty-two years of age, or disabled or handicapped. It may include two or more elderly, disabled, or handicapped persons living together, or one or more such persons living with one or more live-in aides. Elderlv Person - A person who is at least 62 years old. Eligibilitv Exceptions - the conditions under which HUD may approve exceptions to the established eligibility requirements for assistance. Eligibilitv Universe - a time period based on the effective date of the Housing Assistance Payment (HAP) Contract, which is used to determine which regulations apply; i.e., "Pre- and Post-1981 Universe." Familv - not defined by HUD. A commonly used definition is "One or more persons living together, whose income and resources are available to meet the household's needs and who are related by blood, marriage, adoption, guardianship or operation of law; or have evidence of a stable relationship which has existed over a period of time." Single individuals with no other children, who are pregnant or in the process of securing legal custody of any individual under the B-3 age of 18 years, also constitute a family. Or, for purposes of continued occupancy, the remaining member of a tenant's household. Familial Status - One or more individuals (who have not attained the age of 18 years) residing with: (1) a parent or another person having legal custody of such individual or individuals; or, (2) the designee of such parent or other persons having such custody with the written permission of such parent or other person. Full-Time Student - a person who is carrying a subject load which is considered full-time for day students under the standards and practices of the educational institution attended. The institution may be a vocational school or trade school offering a diploma or a cel1ificate of an institution offering a high school diploma or degree from a college or university. Gross Rent - the sum ofthe contract rent and the utility allowance for a unit. Handicapped Person - A person having an impairment which (1) is expected to be of long continued and indefinite duration, (2) substantially impedes his/her ability to live independently, and (3) is of such nature that such disability could be improved by more suitable housing conditions. Head of the Household - the head of the household refers to the family member who is held responsible and accountable for the household. Household - the individual, family or group of individuals living together as a unit. House Rules - Rules established by the owner for the safety, care and comfort of the tenants. The House Rules are an attachment to and part of the lease. Housing Assistance Payments (HAP) - Refer to the definition of Assistance Payments. Housing Assistance Pavments (HAP) Contract - the contract between the owner and HUD executed by the Minnesota Housing Finance Agency (MHFA). The contract administered by MHFA reserves subsidy funds for income eligible households in the development. HUD - the office of Housing and Urban Development, which is responsible for the administration of housing programs. The central offices are located in Washington, D.C. HUD operates through regional and field offices located throughout the country. HUD 50059 - the form required by HUD to cel1ify a tenant's eligibility to receive assistance. HUD Passbook Rate - the percentage rate applied to determine the imputed income from assets when the total cash value of the household's assets exceeds $5,000. Imputed Income from Assets - the estimated earning potential of assets held by a tenant using the potential earning rate established by HUD. B-4 Income - the amount of money received (actual or projected) by a household during the course of the year. Income Limits - HUD sets limits for each county or Metropolitan Statistical Area (MSA). Limits vary by program type and family size. Individual with handicaps 504 Definition - any person who has a physical or mental impairment that substantially limits one or more major life activities: [or] has a record of such impairment; or is regarded as having such impairment. . Major life activities are: functions such as caring for one's self, performing manual tasks, walking, seeing, hearing, speaking, breathing, learning, and working. . A record of such impairment means: has a history of OR has been misclassified as having, a mental or physical impairment that substantially limits one or more major life activities. . Is regarded as having such an impairment means: (I) has a physical or mental impairment that does not substantially limit one or more major life activities but is treated by a recipient as constituting such a limitation; (2) has a physical or mental impairment that substantially limits one or more major life activities only as a result of the attitudes of others toward such impairment; or (3) has none of the impairments listed in this definition but is treated by a recipient as having such an impairment. . Physical or mental impairment includes: (1) any physiological disorder or condition, cosmetic disfigurement, or anatomical loss affecting one or more of the following body systems: neurological; musculoskeletal; special sense organs; respiratory, including speech organs; cardiovascular; reproductive; digestive; genito-urinary; hemic and lymphatic; skin; and endocrine; or (2) any mental or physiological disorder, such as mental retardation, organic brain syndrome, emotional or mental illness and specific learning disabilities. Includes such diseases and conditions as orthopedic, visual, speech and hearing impairments, cerebral palsy, autism, epilepsy, muscular dystrophy, multiple sclerosis, cancer, hemt disease, diabetes, mental retardation, emotional illness, dlUg addiction, and alcoholism. The Fair Housing definition of handicap includes persons with Human Immunodeficiency VilUS Infection. Exclusions from the definition of individual with handicaps For purposes of programs and activities, the definition does not include: any individual whose current use of alcohol or dlUgS prevents the individual from participating in the program or activity in question; or whose participation, by reason of current alcohol or dlUg abuse, would constitute a direct threat to property or the safety of others. The Fair Housing definition of handicap specifically excludes" . . .current, illegal use or addiction to a controlled substance." Ineligible Applicant - an applicant who is ineligible to receive assistance. B-5 Initial Certification - the first certification of eligibility completed for a tenant. Interim Adjustment - a recertification completed between regular recertification dates as the result of changes in the tenant's circumstances. Involuntary Displacement - Part VI of the MHFA Sample Tenant Selection Plan provides definition of involuntary displacement. Lease - the contractual agreement between the owner and the tenant that establishes the rights, responsibilities, and obligations of each pmty and the conditions for the rental of the unit. The Minnesota Housing Finance Agency (MHF A) provides a lease, which must be signed and dated by all assisted tenants. Lessee - Members of the tenant's household who must sign the lease in order for it to be legal and binding. Lessor - the owner, management agent and/or assignee, which rents a unit under a lease. Live-in Aide - A person who resides with an elderly, handicapped or disabled person or persons and who: (1) is determined to be essential to the care and well-being of the person(s); (2) is not obligated to SUPPOlt the household member; and (3) would not be living in the unit except to provide the necessary suppOltive services. Lower Income - an income limit established at 80 percent of the median income for the area as determined by HUD with adjustments for smaller and larger fmnilies. Market Rent - See definition of Contract Rent. Medical Expenses - those expenses allowed to elderly, handicapped and disabled households as defined by HUD regulations. Medical Expense Allowance - For purposes of adjusted income determination, for elderly families only, medical expense allowance means the medical expense in excess of 3% of Annual Income, where these expenses are not compensated for or covered by insurance. Minnesota Housing Finance Agency - the agency performs dual roles as mortgage lender and as administrator of the Housing Assistance Payments contract on behalf of HUD. Minor - a minor is a person less than 18 years of age. Mitigating Circumstances - Facts that can be verified that would outweigh previously received information gathered in the tenant screening process. Monthly Adiusted Income - One-twelfth of adjusted income (annual income less allowances). B-6 Net Family Assets - the net cash value, after deducting reasonable costs that would be incurred in disposing of the asset. Post-1981 Universe - applies to Section 8 programs whose Housing Assistance Payments (HAP) contract was signed on or after 1010 1I8!. Pre-1981 Universe - applies to Section 8 programs whose Housing Assistance Payments (HAP) contract was signed prior to I DID 1I8!. Preference - the priority that is given to some applicants as required by their circumstances. HUD establishes some preferences; the owner may establish others. (Note: preferences are addressed in Part VI of the MHFA Sample Tenant Selection Plan.) Qualified Applicant - only qualified applicants may be admitted to assisted housing. A qualified applicant is a person or household that both meets the basic eligibility requirements of the program that finances or subsidizes the property, and meets the owner's tenant selection criteria as described in this Tenant Selection Plan. Qualified Individual with handicaps - 504 Definition - With respect to any non-employment program or activity: an individual with handicaps who meets the essential eligibility requirements and who can achieve the purpose of the program or activity without modifications in the program or activity that the recipient can demonstrate that would result in a fundamental alteration in its nature. With respect to any other non-employment program or activity an individual with handicaps who meets the essential eligibility requirements for participation in or recipient of benefits from the program or activity, is qualified. Qualified Interpreter - an interpreter who is able to interpret effectively, accurately, and impartially, both receptively and expressively, using any necessary specialized vocabulary. Receliification - the process of annually re-determining and verifying an assisted tenant's eligibility to continue receiving assistance. Recertification Notice - the notice that the owner must provide to an assisted tenant to notify himlher of the need to recertify. Remaining Member(s) of the Tenant's Household - any person(s), except a live-in aide or foster child, who remains in the unit and was considered a member of the household on the most recent lease or recertification forms. Resident Selection Plan - Refer to the definition of Tenant Selection Plan. Screening Criteria - the criteria used by an owner to determine whether an applicant will or will not be admitted to the development as a tenant. Security Deposit - the amount collected from the tenant at the time of move-in that is held against future damages or nonpayment of rent. B-7 Service Animal - Any animal trained to do work or perform tasks for the benefit of an individual with a disability, including but not limited to, guiding individuals with impaired vision, alerting individuals with impaired vision, aleliing individuals with impaired hearing to intruders and sounds, providing minimal protection or rescue work, pulling a wheelchair, or fetching dropped items. Single Person - A person living alone or intending to live alone who does not qualify as an elderly family, displaced person, or the remaining household member of a residing household. Standard Permanent Replacement Housing - Housing that is: (I) decent, safe, and sanitary; (2) adequate for the family size; (3) occupied pursuant to a lease and IS NOT a transient facility such as a motel, hotel, or temporary shelter for victims of domestic violence or homeless families. (In the case of domestic violence, the housing unit, which the applicant shares with the person who engaged in the violence, is specifically excluded from this definition.) Spouse - the husband or wife of the head ofthe household. Substandard Housing - the definition for substandard housing can be found in Part VI of the MHFA Sample Tenant Selection Plan. Tenant Assistance Pavment - the monthly amount HUD pays toward the tenant's rent and utility costs. Tenant Rent - the amount payable monthly by the household as rent to the owner, where all the utilities (except telephone) and other essential housing services are supplied by the propeliy; the tenant rent equals the "total tenant payment." Where some or all utilities (except telephone) and other essential housing services are not supplied by the owner and the cost thereof is not included in the amount paid as rent; the tenant rent equals the "total tenant payment" less the "utility allowance. " Tenant Selection Criteria - the written standards, contained within the Tenant Selection Plan, from which an owner determines whether an eligible applicant will be selected or rejected for housing. Tenant Selection Plan - a written plan that defines the procedures used to select and reject applicants. Termination Notice - the written notice an owner must provide a tenant if the owner plans to terminate the lease. Termination of Assistance - The termination of assistance to a tenant due to the ability to pay the gross rent, or a failure to comply with the applicable regulations for receliification. Third-Paliv Verification - Confirmation or substantiation of applicant or tenant's declarations obtained from an employer, public agency, physician, prior landlord, etc. Written third-party B-8 verification is preferred; however, direct contact with the source; i.e., "in person" or by telephone is acceptable when a written verification is not possible. Total Tenant Pavment (TTP) - the amount a tenant must pay toward the gross rent as determined by the appropriate rent formula. This amount is also used to determine a new tenant's security deposit. The TTP is calculated using the following formula: The greater of 30% of the monthly-adjusted income or 10% of the monthly annual income. If the tenant pays the utilities, the amount of the utility allowance is deducted from the TTP. The TTP does not include miscellaneous charges. Utilities - Utilities are water, electricity, gas, other heating, refrigeration and cooking fuels, trash collection, and sewerage services. Telephone service is not included as a utility. Utilitv Allowance - Owner's estimate of the monthly cost of the reasonable consumption of utilities and other housing services (except telephone) by an energy-conservative household of modest circumstances consistent with the requirements of a safe, sanitary, and healthful living environment. Utilitv Reimbursement - Funds that are reimbursed to a tenant if the utility allowance exceeds the total tenant payment. Verification - the collection of information to cOlToborate the accuracy of information provided by applicants and tenants. Very Low-Income Household - a household who's Annual Income does not exceed 50 percent of the median Annual Income for the area, with adjustments for smaller and larger families, as determined by the Secretary ofHUD. Waiting List - A list of applicants seeking admission to a particular development. The owner maintains the waiting list. B-9 EXHIBIT C LIVE-IN AIDE The HRA's policy for Live-in Aides stipulates that: . Prior to a live-in aide moving into a unit, third-party verification must be obtained indicating the need for such care and the fact that the person cared for will be able to comply with the lease terms as the result of such care; . Move-in of a life-in aide will not result in overcrowding; . The live-in aide is not listed on the lease and has no right to the unit as a remaining member of the tenant's household, and, will be denied continued occupancy after the tenant, for whatever reason, is no longer living in the unit. Relatives who meet the definition and qualify, as a live-in aide must understand that all rights to the unit are relinquished as the remaining member of the tenant's household; . The income of a live-in aide is not used in determining the household's income or calculating the tenant's rent and/or housing assistance payments; and, . A live-in aide who violates the house rules may jeopardize the tenant's housing. C-l EXHIBIT D MOVE-IN PROCEDURES The HRA will: . Jointly inspect the unit with the applicant. A move-in unit inspection form must be completed prior to move-in. The inspection form must be signed and dated by both parties certifying that the unit is in a decent, safe and sanitary condition. If cleaning or repair is required the owner must indicate on the inspection form the day by which the work will be completed. This date must be no more than 30 days after the effective date of the lease. . Have all household members age 18 years and older sign the lease and related documents. . Collect the security deposit (and pet deposit, if applicable). . Collect the rent for the first month or partial month of occupancy, as set forth in the lease.1 . Provide the applicant with a copy of the lease, the move-in inspection form, and house rules/tenant handbook. . Issue keys. . Payments of the security deposit(s) and first month's rent should be by money order or cashier's check. Failure to move in on time: If a household fails to move in on the agreed date, the application will be declined, and the unit will be offered to the next household on the waiting list but not before making an attempt to contact the household scheduled to move in. Unit deposits made will also be forfeited if the household fails to move in upon the agreed date. . The HRA has set the minimum rent amount of$50.00. Payment of the security deposit(s) and first month's rent should be by money order or cashier's check. D-l EXHIBIT E PET POLICY In compliance with Section 227 of Title II of the Housing and Urban Development Recovery Act of 1983, Parkview Villa NOlth will permit its residents to own and keep common household pets in their units subject to the foregoing policy. The pet policy is not applicable to tenants who are handicapped/disabled and may require a service animal. A. Definition of Pets Common household pets are defined as follows: Bird: including canary, parakeet, finch and other species that are normally kept caged. Birds of prey are not permitted. Fish: in tanks or aquariums, not to exceed 20 gallons in capacity, poisonous or dangerous fish are not permitted. Dog: not to exceed 20 pounds in weight at maturity. Cat: species commonly used for household pets (felis catus). **There is only (1) one dog and/or cat allowed in each household.** B. Prohibited Pets Wild, undomesticated, vicious, destructive or uncontrollable animals of any type shall not be permitted to be kept as a pet. C. Visiting Pets Visiting pets are allowed but must meet all City Ordinances. Visiting pets cannot be housed overnight without prior written approval from the management and should be on a leash at all times. The tenant that is visited shall take full responsibility for making sure the visiting pet meets the pet policies as outlined herein, with the exception that dogs over 20 pounds are allowed as visiting pets. D. Areas Off Limits To Pets With the exception of an animal which is trained and certified to assist the handicapped or disabled (for example, a seeing eye dog), no dog, cat or other pet shall be allowed to be taken into the community rooms, community room kitchen, laundry, or beauty/barber shop. A pet owner shall not take a pet into the apartment of another resident without the explicit permission of that resident. E-1 E. Accommodation for Resident Allergic or Phobic to Animals To accommodate residents who have medically certified allergic or phobic reactions to dogs and or cats, the Resident Council may recommend to the management that dogs and cats be batTed from celiain floors in the building. F. License, Inoculation and Identification Requirements for Dogs In accordance with City Ordinance, each dog shall be licensed annually and shall weat. a valid attimal license tag at all times. In addition, a dog shall wear at all times a valid rabies inoculation tag and an identification tag bearing the owners name, address and telephone number. The approximate cost to obtain the license is $5.00 for a spade or neutered animal and $7.00 for a non-spaded or neutered animal. Each dog owner shall be required to have his or her dog re-inoculated against rabies no less than every 24 months. G. Inoculation and Identification Requirements for Cats A cat owned by a resident shall wear at all times a valid rabies inoculation tag and an identification tag bearing the owners name, address and telephone number. Each cat owner shall be required to have his or her cat re-inoculated against rabies no less than every 12 months. H. Spaying or Neutering Requirements Each female dog and cat over six months of age shall be spayed and each male dog or cat over eight months of age shall be neutered. Written proof of such is required before a pet permit will be issued. I. Pet Deposits for Pet-Related Property Damage Residents who own pets shall be liable for the cost of repairing any and all damage caused by their pets. Each resident who owns a dog or a cat shall required paying a pet deposit in the amount of $1 00.00. A new resident who owns a dog or cat at the time of moving into Parkview Villa North shall pay the pet deposit at the time of the lease signing. A resident who acquires a dog or cat after having moved into Parkview Villa North shall pay the pet deposit before bringing the dog or cat into the building. E-2 The pet deposit shall be held until the resident moves out and will be fully refunded, with interest, according to State Law, provided that no pet related damage has been done to the premises. Amounts necessary to repair such damage shall be deducted from the rental deposit. J. Pet Related Liability Insurance (Renters Insurance) A pet owner may be liable for any injury or damage his/her pet causes to the person or property of another resident, a visitor, and employee or an agent of the management. The tenant is also responsible for all damages caused by their pet. Therefore, it is strongly recommended that residents who own a dog or cat purchase a personal liability insurance policy (renters insurance) from an insurance catTier of their choice. Tenant agrees to indemnify, defend and hold the management and owner harmless from and against any and all claims, actions, suits, judgments and demands brought by any other party on account of or in connection with any activity of or damage caused by tenant's pet. K. Pet Registration Requirements At the time that the owner is admitted to Parkview Villa North as a new resident, or at such time that a resident acquires a pet, said pet owner shall register his/her pet with the management and shall continue to do so annually at the time of the Application for Continued Occupancy. At the time of initial registration, and at each registration thereafter, each pet owner shall provide management with: a. the names, addresses and telephone numbers of no less than two people who shall be responsible for housing and caring for the owner's pet during vacations or in the event of emergencies, hospitalization or the death of the pet owner. These names will also be placed with the tenants emergency medical information which is posted in the apartment, and b. if the pet is a dog or cat, proof of valid licenses, and inoculations as well as verifications of spaying or neutering, signed by a licensed veterinarian. L. Pet Control Requirements Each dog or cat shall be kept on a leash when being taken outside of the owner's apartment. The dog or cat shall always be accompanied by, and in direct control of an adult. A pet owner shall physically control or confine his/her pet during the times when employees, agents of the management, or others must enter the pet owner's apattment to conduct business, provide services, enforce lease terms, etc. E-3 M. Pet Use of Corridors, Lobby and Elevators An escorted dog or cat shall be allowed in the corridors and lobby. Corridors are not to be used to exercise the pet. Owners should not sit with their animal in a common area such as, any bench, and chairs and/or in the library of the complex with their pet. Animals are not allowed at any time in any area of Community Room A. One elevator shall be designated for use by dogs and cats. Only one dog or one cat at a time shall be allowed in the designated elevator. N. Disturbances Caused By Pet A pet owner shall not permit any disturbances by his/her pet, which interfere with the peace of other residents, visitors, staff, or agents of the management or owner, whether by barking, howling, growling, chirping, biting, chewing, scratching, or other such activities which threaten or disturb others. O. Unattended Pets Residents who own pets shall be, or shall arrange for others to be, responsible for their pets at all times. If any pet is left unattended and it is determined by the management that the pet is in distress or is suffering from lack of care, or if the pet is causing a disturbance to others, the management may, at its sole discretion, enter the pet owner's apaltment, remove the pet and deliver it or cause it to be delivered to the proper authorities. The management and owner accept no responsibility for the pet under such circumstances. P. Improperly Cared For Pets If it is determined by the management that a pet owner is not longer capable of properly caring for a pet, the management may, at its sole discretion, require that the pet be removed form the owner's immediate possession and control. Q. Pet Waste Disposal Requirements Each pet owner shall be responsible for promptly cleaning up pet wastes deposited within his/her apmtment, within public areas or on the grounds or adjacent property and disposing of the wastes in sealed plastic bags and deposited in the garbage can provided on the grounds or in the dumpster in the back of the building/alley. Entrance areas, walkways and parking lots must be avoided as places for pets to deposit wastes. Pet owners should leave Parkview Villa propelty to curb their animals. The owner of a dog or cat must remove the dispose of ALL waste caused by animals in building interiors- this includes washing and disinfecting affected areas in the building following "accidents", E-4 Each cat owner shall provide a litter box for his/her cat. Each litter box shall be kept within the pet owners apartment. No less than every other day, the litter box shall be cleaned and the accumulated wastes properly wrapped and disposed of in the designated garbage. Each pet owner shall take adequate precautions to prevent 01' eliminate any pet odors within 01' around the owner's apartment and shall maintain the apmiment in a clean and sanitary condition at all times. 11/ 1/0 event shall pet wastes or litter box material be disposed of through sinks, toilets, or trash chutes. R. Designated Pet Exercise Areas The exercising of a dog 01' cat is not allowed on Parkview Villa propeliy. LaBelle Park is a recommended exercise area. S. Pet Bathing Restrictions The bathing of a pet shall not be permitted in the laundry rooms, or in tub/shower rooms. T. Pet Enclosure Restrictions A pet owner shall not alter the physical structure of his/her apartment in order to create an enclosure for a pet. U. Policy Violations Residents who violate the above conditions shall be subject to the following actions by the management and /01' owner: a. If a pet causes harm to any person, the pet's owner shall be required to permanently remove the pet from the building within 24 hours of written notice from the management. Said pet owner may also be subject to termination of his/her dwelling lease. b. A pet owner who violates any other conditions of this policy may be required to remove his/her pet from the building within seven days of written notice from the management. Said pet owner may also be subject to termination of his/her dwelling lease. The HRA's Grievance Procedure shall be applicable to all individual grievances 01' disputes arising out of violations 01' alleged violations of this policy. E-5 EXHIBIT F GRIEVANCE PROCEDURE A. Definitions Applicable to the Grievance Procednre I. Grievance: Any dispute a Tenant may have with respect to the HRA action or failure to act in accordance with the individual Tenant's lease or HRA regulations that adversely affects the individual Tenant's rights, duties, welfare or status. 2. Complainant: Any Tenant (as defined below) whose grievance is presented to the HRA in accordance with the requirements presented in this procedure. 3. Elements of due process: An eviction action or a termination of tenancy in a State or local court in which the following procedural safeguards are required: (a) Adequate notice to the Tenant of the grounds for terminating the tenancy and for eviction; (b) Right ofthe Tenant to be represented by counsel; (c) Opportunity for the Tenant to refute the evidence presented by the HRA, including the right to confront and cross examine witnesses and to present any affirmative legal or equitable defense which the Tenant may have; (d) A decision on the merits of the case. 4. Hearing Officer: A person selected in accordance with this procedure to hear grievances and render a decision with respect thereto. 5. Tenant: The adult person (or persons other than a Live-in aide): (I) Who resides in the unit, and who executed the lease with the HRA as lessee of the dwelling unit, or, if no such person now resides in the unit, (2) Who resides in the unit, and who is the remaining head of the household of the Tenant family residing in the dwelling unit. 6. Resident Organization: An organization of residents, which also may include a resident management corporation. B. Applicability of this Grievance Procedure In accordance with the applicable Federal regulations this grievance procedure shall be applicable to all individual grievances (as defined in Section I above) between Tenant and the HRA with the following two exceptions: F-I I. Because HUD has issued a due process determination that the law of the State of Minnesota that requires that a Tenant be given the oppollunity for a hearing in court which provides the basic elements of due process (as defined above) before eviction from the dwelling unit, the grievance procedure shall not be applicable to any termination oftenancy or eviction that involves: (a) Any criminal activity that threatens the health, safety, or right to peaceful enjoyment of the premises of other residents or employees of the HRA, or (b) Any violent or drug-related criminal activity on or off such premises; or (c) Any criminal activity that resulted in felony conviction of a household member. 2. The HRA grievance procedure shall not be applicable to disputes between Tenants not involving the HRA or to class grievances. The grievance procedure is not intended as a forum for initiating or negotiating policy changes between a group or groups of tenants and the HRA's Board of Commissioners. This grievance procedure is incorporated by reference in all Tenant dwelling leases and will be furnished to each Tenant and all resident organizations. Any changes proposed in this grievance procedure must provide for at least 30 days notice to Tenants and Resident Organizations, setting fOllh the proposed changes and providing an opportunity to present written comments. Comments submitted shall be considered by the HRA before any revisions are made to the grievance procedure. C. Informal Settlement of a Grievance Any grievance shall be personally presented, either orally or in writing, to the HRA's office or to the management office of the project in which the complainant resides within ten (10) days after the grievable event occurs. As soon as the grievance is received, it will be reviewed by the HRA staff to make certain that neither of the exclusions in paragraphs Il(A) or (B) above applies to the grievance. Should one of the exclusions apply, the complainant will be notified in writing that the matter raised is not subject to the HRA's grievance procedure, with the reason therefore. If neither of the exclusions cited above apply, the complainant will be contacted to arrange a mutually convenient time within ten (10) working days to meet so the grievance may be discussed informally and settled without a hearing. At the informal hearing the complainant will present the grievance and an authorized agent of the HRA will attempt to settle the grievance to the satisfaction of both patlies. Within five (5) working days following the infOlmal discussion, the HRA shall prepare and either hand deliver or mail to Tenant a summary of the discussion that must specify the names of F-2 the participants, the dates of meeting, the nature of the proposed disposition of the complaint and the specific reasons therefor, and shall specify the procedures by which a formal hearing under this procedure may be obtained if the complainant is not satisfied. A copy of this summary shall also be placed in the Tenant's file. A receipt signed by the complainant or a return receipt for delivery of certified mail, whether or not signed, will be sufficient proof of time of delivery for the summary of the informal discussion. D. Formal Grievance Hearing If the complainant is dissatisfied with the results of the informal hearing, the complainant must submit a written request for a hearing to the management office of the development where Tenant resides no later than five (5) working days after the summary of the informal hearing is received. The written request shall specify: a. The reasons for the grievance; b. The action of relief sought from the HRA; and If the complainant requests a hearing in a timely manner, the HRA shall schedule a hearing on the grievance at the earliest time possible for the complainant, HRA and the hearing officer or hearing panel, but in no case later than ten (10) working days after the HRA received the complainant's request. If the complainant fails to request a hearing within five working days after receiving the summary of the informal hearing, the HRA's decision rendered at the informal hearing becomes final and the HRA is not obligated to offer the complainant a formal hearing unless the complainant can show good cause why he failed to proceed in accordance with this procedure. Failure to request a grievance hearing does not affect the complainant's right to contest the HRA's decision in a court hearing. E. Selecting the Hearing Officer or Hearing Panel A grievance hearing shall be conducted by an impartial person appointed by the HRA after consultation with resident organizations, as described below: I. The HRA shall nominate a slate of impartial persons to sit as potential hearing officers for grievance proceedings. Such persons may include HRA Board members, HRA staff members, residents, professional arbitrators, or others. The initial slate of nominees should be at least nine persons. The HRA will check with each nominee to determine whether there is an interest in serving as a hearing officer or panel member, whether the nominee feels fully F-3 capable ofimpm1iality, whether the nominee can serve without compensation, and what limitations on the nominee's time would affect such service. Nominees will be informed that they will be expected to disqualify themselves from hearing grievances that involve personal friends, other residents of developments in which they work or reside, or grievances in which they have some personal interest. Nominees who are not interested in serving as hearing officers or whose time is too limited to make service practical will be withdrawn and other names will be substituted. 2. A slate of potential hearing officers nominated by the ERA shall be submitted to the ERA's Resident Organizations. Written comments from the organizations shall be considered by the ERA before the nominees are appointed to the slate of potential hearing officers. 3. When the comments from Resident Organizations have been received and considered, the nominees will be informed that they are on the slate for the ERA's potential hearing officers. The ERA will subsequently contact committee members in random order to request their participation as hearing officers. F. Escrow Deposit Required for a Hearing Involving Rent Before a hearing is scheduled in any grievance involving the amount of rent which the ERA claims is due under the lease, the complainant shall pay to the ERA an amount equal to the rent due and payable as ofthe first of the month preceding the month in which the act or failure to act took place. The complainant shall, thereafter, deposit the same amount of the monthly rent in an escrow account monthly until the complaint is resolved by decision of the hearing officer or hearing panel. This requirement will not be waived by the ERA unless the complainant is paying minimum rent and the grievance is based on a request for a hardship exemption or the tenant's welfare benefits have been reduced for welfare fraud or failure to comply with economic self sufficiency requirements. In these cases only, rent need not be escrowed. G. Scheduling Hearings When a complainant submits a timely request for a grievance hearing, the ERA will immediately contact one of the potential hearing officers previously selected by the ERA Board and schedule the grievance at a date and time that is convenient for all the parties. Once all the relevant patties have agreed upon the hearing date and time, the complainant, the manager of the development in which the complainant resides, and the hearing officer shall be F-4 notified in writing. Notice to the complainant shall be in writing, either personally delivered to complainant or sent by mail, return receipt requested. The written notice will specify the time, place and procedures goveming the hearing. H. Procedures Governing the Hearing The hearing shall be held before the hearing officer as described above in Section VII. The complainant shall be afforded a fair hearing, which shall include: I. The opportunity to examine before the hearing any HRA documents, including records and regulations, that are directly relevant to the hearing. The Tenant shall be allowed to copy any such document at the Tenant's expense. If the HRA does not make the document available for examination upon request by the complainant, the HRA may not rely on such document at the grievance hearing. 2. The right to be represented by counselor other person chosen as the Tenant's representative and to have such person make statements on the Tenant's behalf. 3. The right to a private hearing unless the complainant requests a public hearing. The right to present evidence and arguments in support of the Tenant's complaint to controvert evidence relied on by the HRA or project management, and to confront and cross examine all witnesses upon whose testimony or information the HRA or project management relies; and 4. A decision based solely and exclusively upon the fact presented at the hearing. The hearing officer may render a decision without proceeding with the hearing if they determine that the issue has been previously decided in another proceeding. At the hearing, the complainant must first make a showing of an entitlement to the relief sought and, thereafter, the HRA must sustain the burden of justifying the HRA action or failure to act against which the complaint is directed. The hearing shall be conducted informally by the hearing officer. Oral or documentary evidence pertinent to the facts and issues raised by the complaint may be received without regard to admissibility under the rules of evidence applicable to judicial proceedings. The hearing panel or officer shall require the HRA, the complainant, counsel and other participants or spectators to conduct themselves in an orderly fashion. Failure to comply with the directions of the hearing panel or officer to obtain order may result in exclusion from the proceedings or in a decision adverse to the interests of the disorderly pmiy and granting or denial of the relief sought, as appropriate. F-5 The complainant or the HRA may arrange in advance, at expense of the party making the arrangement, for a transcript of the hearing. Any interested party may purchase a copy of such transcript. The HRA must provide reasonable accommodation for persons with disabilities to participate in the hearing. Reasonable accommodation may include qualified sign language interpreters, readers, accessible locations, or attendants. If the Tenant is visually impaired, any notice to the Tenant which is required under this procedure must be in an accessible format. If the hearing officer fails to disqualify himself/herself as required in Section YeA), the HRA will remove the hearing officer, invalidate the results of the hearing and schedule a new hearing with a new hearing officer. I. Failure to Appear at the Hearing If the complainant or the HRA fails to appear at the scheduled hearing, the hearing officer may make a determination to postpone the hearing for not to exceed five business days, or may make a determination that the party has waived has right to a hearing. Both the complainant and the HRA shall be notified of the determination by the hearing officer; provided, that a determination that the complainant has waived his right to a hearing shall not constitute a waiver of any right the complainant may have to contest the HRA's disposition of the grievance in court. J. Decision of the Hearing Officer The hearing officer shall prepare a written decision, together with the reasons for the decision within ten (10) working days after the hearing. A copy of the decision shall be sent to the complainant and the HRA. The HRA shall retain a copy of the decision in the Tenant's folder. A copy of the decision with all names and identifying references deleted, shall also be maintained on file by the HRA and made available for inspection by a prospective complainant, his representative, or the hearing officer. The decision of the hearing officer shall be binding on the HRA, which shall take all actions, or refrain from any actions, necessary to carry out the decision unless the HRA's Board of Commissioners determines within ten working days, and promptly notifies the complainant of its determination that: 1. The grievance does not concern HRA action or failure to act in accordance with or involving the complainant's lease or HRA regulations, which adversely affect the complainant's rights, duties, welfare or status. F-6 2. The decision of the hearing panel or officer is contrary to applicable Federal, State or local law, HUD regulations, or requirements of the annual contributions contract between HUD and the HRA. 3. A decision by the hearing officer or Board of Commissioners in favor of the HRA or which denies the relief requested by the complainant in whole or in part shall not constitute a waiver of, nor affect in any way, the rights of the complainant to a trial or judicial review in any court proceedings which may be brought in the matter later. F-7 COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 25, 2006 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO: 10 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Approve Phase 3 of the Parkview Villa BY: Dana Welke BY: North Apartment Modernization Project DATE: April 18, 2006 and Authorizing Staff to Obtain Bids for the Project BACKGROUND: The FY 2004 and FY 2005 CFP Budgets include funds for the third phase of an eight phase complete remodeling of the PWN apartments on a floor-by-floor basis. The work will include new doors, cabinets, appliances, plumbing, lighting, and repair of tiles and walls. The total anticipated cost of the project is approximately $96,000, or about $8,000/unit. Walker is helping by using their purchasing power to get excellent prices on the appliances, which will also be replaced as part of this project. As you may recall, the Phase 1 plans were reviewed by a Committee consisting of residents and HRA members, as well as management, and unanimously approved by the Committee members. Phase 3 plans are the same as the previous 2 phases with minor revisions based on what staff has learned in completing the first 2 phases. It is expected that there will be a competitive bidding market for the project. The HRA has had no fewer than 6 bids to consider on the previous 2 phases. Staff hopes to receive approval this evening, develop the plans and specs over the next 30 days, and bid the project about Memorial Day. It is expected that final approval of the project could be done at the HRA's July Meeting, or at a Special Meeting, pending signoff by the HUD Minneapolis Office. RECOMMENDATION: Staff recommends approval of Phase 3 of the PWN Apartment Modernization Project and to authorize staff to obtain bids for the project. RECOMMENDED MOTION: Move to approve Phase 3 of the Parkview Villa North Apartment Modernization Project and Authorize Staff to Obtain Bids for the Project. HRA ACTION: COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY (HRA) Meeting of: April 25, 2006 AGENDA SECTION: Business Items ORIGINATING EXECUTIVE NO: 11 DEPARTMENT: HRA DIRECTOR APPROVAL ITEM: Architectural Services Agreement for BY: Dana Welke BY: Phase 3 Parkview Villa North Apartment DATE: April 18, 2006 Modernization Project BACKGROUND: Staff continues the process of remodeling and updating all floors of PWN. This was identified as a priority in the 2003 15-year CIP for PWN and PWS. With Phase 2 (8th Floor) completed, and Phase 3 (7th Floor) on the Agenda this evening, an architect is necessary to complete the work, according to HUD specs, since the work is likely to cost more than $50,000. As you can see from the attached contract, BWBR is agreeing to provide architectural services for the same cost as for the past 2 years...$7,000. This amount has been budgeted for in the FY 2005 CFP Budget. As noted in the contract, they will be responsible for plans and specs, working with the contractor and residents during the modernization, and insuring that the work is done according to specs. BWBR has done an excellent job on the first 2 phases. As these are professional services, and they have been previously bid, there is no requirement to solicit bids again. RECOMMENDA TIO'N: Staff recommends the HRA select BWBR Architects for the 3rd Phase (7th Floor) of the PWN Modernization Project. RECOMMENDED MOTION: Move to Approve an Architectural Services Agreement with BWBR Architects in an amount not-to-exceed $7,000 for the Parkview Villa North Modernization Project, Phase 3; and furthermore, to authorize the Chair and Executive Director to enter into an agreement for the same. HRA ACTION: BWBR ~ -----ARCHITECTS '-.J Architecture. Interior Design Lawson Commons 380 St. Peter Street, Suite 600 Saint Paul, MN 55102-1996 651.222.3701 fax 651.222.8961 www.bwbr.com March 20, 2006 Dana Welke Housing Manager Parkview Villa North and South 96540"> Avenue N.E. Columbia Heights, MN 55421 RE: Parkview Villa North 7'h Floor Public Housing Modernization Proposal EWER Commission No. 2006.071.00 Dear Dana, EWER Architects is pleased to submit this proposal to assist you and the City of Columbia Heights In the continuing interior renovation of the City-owned apartlncnt building known as Parkview Villa North. This is the third phase of renovation in this building. SCOPE OF SERVICES Under this agreement, EWER will provide the following services: . Update renovation plans, materials, and uetails based on completeu 8th floor renovation. . Assist in bid document distribution. . Review submittals for compliance with specifications. . Site visit to establish specific deficiencies on 7th floor. . Two (2) site visits during consllucUon. PROJECT UNDERSTANDING The following is out undetstanding of the existing conditions anJ the Owner's stated parameters for this project. . 101 1-bedroom apartments, all identical and all within a single 9-sto1)' building. . Renovation plans are for apartments only and do not include any public areas or building exteriors. . All units are occupied and renovations will occur during occupancy. . The annual renovation budget is $85,000, which will be implemented over 5-10 years. . Columbia Heights will adrninister the contract for construction and accept bid proposals. . Interior finish/material renovations include, but are not litnited to, carpet, resilient flooring, paint, cabinets, and doors. . Interior finish/material renovations do not include windows, showers, toilets, window treatments, or furniture. . The scope of work including the unit renovation would be accomplished in one year or less. . Appliance replacement will be accomplished by Owner. Dana \Velke Parkview Vma North 7th Floor Public Housing Modernization Proposal BWBR Commission No. 2006.071.00 Page 2 COMPENSATION BWER will provide the setvices described above for a lump sum fee of $7,000 (seven thousand dollars). Reimbutsable expenses are in addition to this fee and will be billed at 1.10 (one and one tenth) times cost to BWBR, and include, but not limited to, printing, long distance phone calls) and messenger selvices. Additional setvices beyond the scope described above will be billed on an hourly basis per the attached rate schedule. OTHER TERMS Payments for professional services rendered and for rein"lbursable expenses will be due upon receipt ofBWBR's invoice. A service charge of one percent (10/0) per month will be assessed on outstanding invoices past thirty days fr01n date of billing. This Agreement may be tetminated by either party upon seven (7) days written notice. In the event of termination) BWER shall be cOlnpensated for all services performed prior to the termination date, together with reimbursable expenses. This letter is the entire Agreement between the Owner and BWER. Changes or additions to this Agreement must be in writing and must be signed by both the Owner and BWER. Dana) thank you for the opportunity to submit this proposal. \Ve value our relationship and appreciate the opportunity to wotk with you on this project. If this Agreement is acceptable, please sign) date) and return one copy to us as authorization to proceed. If you have any questions, please feel ftee to contact me at (651) 290-1953. Respectfully submitted, Accepted: BWBR ARCHITECTS, INC. CITY OF COLUMBIA HEIGHTS ~ Stephen P. Patrick, AlA President & CEO Attachment: 2006 Rate Schedule Chair- Tammera Diehm CI'yped/Printed Name and Title) Dated: c: Steve Erickson) BWER /smg Executive Director-Walter R. Fehst Date: 20 March, 2006 200607100.doc BWER ARCHITECTS, INC. 2006 BILLING RATE SCHEDULE Employee Classification Hourly Rate Princi pal $195 per hour Senior Project Designer $190 per hour Senior Project Manager Senior Project Planner Specification Writer Construction Administrator Quality Assurance Coordinator $160 per hour Project Manager $145 per hour Senior Project Architect Senior Interior Designer Senior Graphic Designer $135 per hour Project Architect $120 per hour Senior Staff Architect Senior Job Captain $115 per hour Staff Architect Interior Designer Graphic Designer $11 0 per hour Architectural Technician $105 per hour Administrative Staff $90 per hour Intern $65 per hour The billing rates will be adjusted annually on January r' in accordance with nonnal salary review practices of EWER Architects, Inc.