2012-11-27 HRA Agenda PacketPLEASE TURN OFF CELL PHONES & PAGERS IN COUNCIL CHAMBERS
0 AGENDA
MOUND HOUSING & REDEVELOPMENT AUTHORITY
REGULAR MEETING
TUESDAY, NOVEMBER 27, 2012 6:40 P.M.
MOUND CITY COUNCIL CHAMBERS
Pace
1. Open meeting
2. Action approving agenda, with any amendments
3. Action approving minutes: November 13, 2012 regular meeting 1
184. Action approving claims 2 -4
5. Discussion on key operating indicators and HUD's scoring model/ 5 -20
Public Housing Assessment System
6. Action to Approve Management Agreement between Mound HRA 21 -31
and Common Bond Communities for the period January 1, 2013
through December 31, 2013.
7. Action to approve 2013 Operating Budget for Indian Knoll Manor 32 -33
Public Housing, including the following resolutions /certifications:
A. PHA Board Resolution Approving Operating Budget 34
B. Civil Rights Certification 35
C. Certification of Payments to Influence Federal Transactions 36
8. Adjourn
is
MOUND HOUSING AND REDEVELOPMENT AUTHORITY
. NOVEMBER 13, 2012
The Mound Housing and Redevelopment Authority in and for the City of Mound, Minnesota, met
in regular session on Tuesday, November 13, 2012, at 6:40 p.m. in the council chambers of city
hall.
Members present: Chair Mark Hanus; Commissioners Kelli Gillispie, Ray Salazar, Heidi Gesch
and David Osmek
Others present: Executive Director Kandis Hanson, City Clerk Bonnie Ritter, Community
Development Director Sarah Smith, Mary Bujold
1. Open meeting
Chair Mark Hanus called the meeting to order at 6:40 p.m.
2. Approve agenda
MOTION by Osmek, seconded by Gesch to approve the agenda. All voted in favor. Motion
carried.
3 Approve minutes
MOTION by Osmek, seconded by Gesch to approve the minutes of the October 23, 2012
regular meeting. All voted in favor. Motion carried.
4. Approve claims
• MOTION by Osmek, seconded by Salazar to approve the claims in the amount of $8,510.48.
All voted in favor. Motion carried.
5. Contract for Professional Services f or preparation of market study and strategic
analysis
Mary Bujold of Maxwell Research presented a proposal for a market study and strategic
analysis. Staff feels that this is a necessary and important tool for continuation of our
redevelopment efforts following the projects and activities that have been completed to date. It
will also create a strategic implementation plan for the future as the City looks at new projects.
The cost of the project is $21,900 and is expected to take 75 days to complete. The funding
source is TI171 -3 funds.
MOTION by Hanus, seconded by Gesch to approve entering into a contract with Maxwell
Research for preparation of a market study and strategic analysis, with an anticipated start date
of January, 2013 and the $21,900 cost to be funded by TIF1 -3 funding. All voted in favor.
Motion carried.
6. Adiourn
MOTION by Gesch, seconded by Salazar to adjourn at 7:08 p.m. All voted in favor. Motion
carried.
Chair Mark Hanus
•
Attest: Bonnie Ritter, City Clerk
-1-
Moun HRA Claims as of 11 -27 -12
YEAR
2012
2012
BATCH NAME
1127COMBOND
112712 H RA
TOTAL CLAIMS
DOLLAR
AMOUNT
$1,524.64
$2,180.17
•
$3,704.81
•
•
-2-
S: \FINANCE DEPT\AP \HRA MTG CLAIMS LISTING
Pre - Written Check $0.00
Checks to be Generated by the Computer $1,524.64
Total $1,524.64
•
S11
MOUND, MN
11/20/12 9 9e AM
Payments
'......_...
..... ......_
CITY OF MOUND
Current Period: November 2012
Batch Name
1127COMBOND User Dollar Amt $1,524.64
Payments Computer Dollar Amt $1,524.64
$0.00 In Balance
Refer 1
COMMON BOND COMMUNITIES
Cash Payment
E 680 -49800 -101 F T Empl Regular PAYROLL REIMB 11 -02 -12 OFFICE SALARY
$1,030.30
Invoice 050900
11/9/2012
Cash Payment
E 680 -49800 -111 Other IKM Maint PAYROLL REIMB 011 -02 -12 MAINTENANCE
$103.95
SALARY
Invoice 050901
11/9/2012
Cash Payment
E 680 -49800 -122 FICA PAYROLL REIMB 11 -02 -12 OFFICE ER TAX
$77.17
Invoice 050902
11/9/2012
Cash Payment
E 680 - 49800 -130 Employer Paid Ins (GEN PAYROLL REIMB 11 -02 -12 MAINTENANCE
$23.76
ER TAX & INSURANCE
Invoice 050903
11/9/2012
Cash Payment
E 680 -49800 -131 Employer Paid Health PAYROLL REIMB 11 -02 -12 OFFICE ER
$107.33
INSURANCE
Invoice 050904
11/9/2012
Cash Payment
E 680 -49800 -121 PERA PAYROLL REIMB 11 -02 -12 OFFICE ER 401K
$36.36
MATCH
Invoice 050906
11/9/2012
Cash Payment
E 680 -49800 -331 Use of personal auto MTC MILEAGE REIMBURSEMENT 6/30- 7/8/12
$101.57
Invoice 050894
11/9/2012
Cash Payment
E 680- 49800 -331 Use of personal auto MTC MILEAGE REIMBURSEMENT 10 -12 -12
$29.97
Invoice 050895
11/9/2012
Cash Payment
E 680 - 49800 -430 Miscellaneous AMERPRICE MT /CT UNIFORMS 10/12
$14.23
Invoice 050824
11/9/2012
Transaction Date
11/20/2012 Wells Fargo HRA 10120 Total
$1,524.64
Fund Summary
10120 Wells Fargo HRA
680 HRA PUBLIC HOUSING $1,524.64
$1,524.64
Pre - Written Check $0.00
Checks to be Generated by the Computer $1,524.64
Total $1,524.64
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MOUND, MN 11/20/12 4:08 PM
j LA Page 1
ILL
_ .._.._....
CITY OF MOUND
Current Period: November 2012
Pre - Written Check $0.00
Checks to be Generated by the Computer $2,180.17
Total $2,180.17
1
•
In
Batch Name 112712HRA User Dollar
Amt $2,180.17
Payments Computer Dollar
Amt $2,180.1
$0.00 In Balance
Refer 1 FRONTIEWCITIZENS COMMUNICA
Cash Payment E 680 -49800 -321 Telephone & Cells
PHONE SVC 11 -13 THRU 12 -12 IKM
$256.38
Invoice 11272012 11/13/2012
Transaction Date 11/20/2012
Wells Fargo HRA 10120 Total
$256.38
Refer 4 MOUND, CITY OF _
Cash Payment E 680 -49800 -382 Water Utilities
WATER SERVICE 10 -1 -12 TO 11 -1 -12 IKM
$1,599.19
Invoice 11272012 11/20/2012
Transaction Date 11/20/2012
Wells Fargo HRA 10120 Total
$1,599.19
Refer 2 ROTO ROOTER _
Cash Payment E 680 - 49800 -401 Building Repairs
CLEAR KITCHEN STOPPAGE, REMOVE
$229.00
DEBRIS IN PIPE - IKM
Invoice 04816883410 11/6/2012
Transaction Date 11/20/2012
Wells Fargo HRA 10120 Total
$229.00
Refer 3 SHERWIN WILLIAMS COMPANY
Cash Payment E 680 - 49800 -220 Repair /Maint Supply
FLAT EXTRA WHITE PAINT FIVE 5 GAL
$95.60
Invoice 3125 -5 11/8/2012
Transaction Date 11/20/2012
Wells Fargo HRA 10120 Total
$95.60
Fund Summary
10120
Wells Fargo HRA
680 HRA PUBLIC HOUSING
$2,180.17
$2,180.17
Pre - Written Check $0.00
Checks to be Generated by the Computer $2,180.17
Total $2,180.17
1
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In
HUD PHAS Rating Analysis
• All commissioners received the attached letter from HUD with suggestions on how to improve the
occupancy rate and an invitation to schedule a conference call with the HUD Portfolio Team. A
conference call has been tentatively scheduled for Wednesday, December 12, 2012 at 1:00pm with
members of management and Common Bond staff participating. Management will provide the HRA
Board minutes of the meeting, but Commissioners are also welcome to attend if they desire.
is
•
A SWOT Analysis (Strengths, Weaknesses, Opportunities, and Threats) and a proposed format for
Common Bond to report on key operating statistics are also attached. The letter from HUD made the
following recommendations, and management has responded to each below.
The emphasis needs to be on reducing turnover and improving the marketability of our units. More will
be done to grow the wait list by increasing marketing and outreach efforts. There has been an increase
in senior housing developments, all of which have an affordable component, so we have lost many of
our senior tenants who were able to upgrade to new, larger units with no change in rent.
-5-
HUD Recommendation
Management Response
Status
1
Evaluate wait list, selection and certification
ACOP updated in May 2012. Need to
process, update ACOP
increase numbers on wait list by
advertising locally, outreach. CB to
provide wait list monthly.
2
Assess marketing efforts including free
Refer to Common Bond Marketing Plan,
websites
verify follow- through
3
Intake policies efficient?
Believed to be adequate
4
Limit transfers if vacant units more
Transfers are optional but a $400 fee is
marketable... problem with moves to other
charged which discourages demand.
housing sites
IKM units are smaller than other
options in the area.
5
Minimize turn - around time on vacant units,
CB to provide mgmt report of punch list
ensure PIC is updated on a timely basis.
and timeline to get it done. Mgmt
monitors PIC.
6
Assess marketability of units and location
Great location but smaller units that
have not been completely
updated....need new woodwork and
cabinetry
7
Any units taken off line currently?
No —just the caretaker unit. Caretaker
position has been vacant for more than
one year. Need to evaluate
compensation package and update unit
as this position is integral to operations
8
Tenant Accounts Receivable
Issues at year -end have been resolved.
9
Accounts Payable
Issues at year -end have been resolved.
The emphasis needs to be on reducing turnover and improving the marketability of our units. More will
be done to grow the wait list by increasing marketing and outreach efforts. There has been an increase
in senior housing developments, all of which have an affordable component, so we have lost many of
our senior tenants who were able to upgrade to new, larger units with no change in rent.
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PZ VA EN iQ
B4 N DFVF�'
Board of Commissioners
c/o Mr. Mark Hanus, Chair, Mayor
HRA of the City of Mound
5341 Maywood Rd
Mound, MN 55364
Dear Commissioners:
U.S. Department of Housing and Urban Development
Minneapolis Field Office
920 Second Avenue South
Minneapolis, Minnesota 55402
http: / /www.hud.gov/
NOV - 8 2012
On September 14, 2012, the HRA of the City of Mound was designated Management
Substandard by HUD based on a Public Housing Assessment System Unaudited/Non A -133
management score of 1 (out of 25), and an overall score of 66 (out of 100) for the fiscal year
ending 12/31/2011, as shown in the enclosed PHAS Score Report.
The Board of Commissioners /Governing Body of the HRA of the City of Mound should
take immediate action to identify the sources(s) of the performance deficiencies and develop and
implement a plan to recover its PHAS score and ensure long -term sustainability at an acceptable
level of performance.
The following list of actions is offered as common suggestions to the Board to use in self -
diagnosing the source(s) of its deficiencies and identifying solutions to recover its performance
for long -term sustainability. My staff person, Tony Landecker, has been communicating with
your agency about its occupancy rate over the last year. I would like to invite the Board Chair
t he Executive Director, and any other interes Commissioners to p-Wm pate in aon
c all with your HUD portfolio team and me in the next month to discuss any cha llenges and
possi ways to increase your scor
Management Substandard
Generally, when a public housing agency becomes Management Substandard, it is
because it has not maintained a satisfactory occupancy level, as established under PHAS. The
occupancy percentage, which compares unit months available vs. unit months leased over your
fiscal year, accounts for 16 points of your MASS score. To receive full points, an HRA should
strive to achieve 98% or greater occupancy. To increase occupancy, Commissioners may:
*Evaluate waiting list, tenant selection, and initial certification processes to ensure
coordination between staff involved and timely preparation for move -ins. In public
housing, tenant selection policies and preferences are outlined in the Admissions and
Continued Occupancy Plan, or "ACOP." If your Board has not reviewed or updated the
ACOP in more than two years, this is a critical first step to identifying issues that impact
your occupancy.
•
LJ
•
• your occupancy.
• Assess marketing efforts, especially the use of free websites like housinglink.org,
Craigslist, and social media. Ensure that the marketing plan is affirming HUD's fair
housing requirements, and not targeting a specific group (such as seniors) if the housing
is not designated/approved by HUD for the elderly and disabled.
• Assess new tenant intake policies and practices and consider implementing those that
would contribute to quicker lease up, such as starting the certification process earlier,
paying a deposit and signing a lease once certified, or limiting the number of unit -offer
turn-downs for those on the waiting list.
• Consider limiting transfers for existing tenants, if vacant units may be more marketable to
the public. Update the ACOP /transfer policy if this practice changes.
• Evaluate the leasing process and turn_- around time of vacant units, from the time the
departing tenant gives notice to the time the new tenant moves in, and ensure all tenant
forms are entered into the Public Housing Information Center (PIC).
• Assess the feasibility and desirability of under- occupied developments, e.g. physical
condition and configuration, rehabilitation costs and lifespan, neighborhood factors such
as crime and proximity to employment, transportation, and services, etc., and consider
repositioning options if appropriate.
• Ensure that units taken off line for modernization, special use, or other allowed reasons
have been approved by HUD, do not exceed their permissible time limitation (e.g. three
years maximum for modernization units), and are correctly classified in HUD systems.
• If you have lost points under the Tenant Accounts Receivable scoring indicator (5 points):
• Discuss the amounts owed and collection practices followed with your Executive
Director, financial staff, fee accountant, and/or auditor. Review the ACOP and lease for
a description of fees and payment policies.
• Discuss how the policies are implemented and how property management staff enforce
the lease provisions. Identify where the losses occurred, and if they could have been
prevented, or if amounts could have been reduced with timely action.
• Ensure that losses are reviewed and written off by the Board regularly, and that the data
is correctly reported in HUD's Financial Data System (FDS). Fraud related to unreported
income may be reported under FDS line 128, instead of as a receivable.
Accounts Payable includes the amounts payable to contractors, vendors, employees or others on
open accounts and contract billings for materials received or services rendered. Those amounts
that are reported as more than 90 days overdue count against your PHAS score. If you lost
points in this scoring indicator, discuss the amounts owed and payment practices with your
Executive Director, financial staff, fee accountant, and /or auditor. Further, review accounts
receivable and payable as part of the monthly Board meetings to ensure compliance with the
HRA's financial policies.
-7-
U. S. Department of Housing and Urban Development •
OFFICE OF PUBLIC AND INDIAN HOUSING
REAL ESTATE ASSESSMENT CENTER
Report Date: 6/12/2012
Public Housing Assessment System (PHAS) Score Report for Interim Rule
>HA Code: MN074
'HA Name _ _ HRA OF T CITY OF MO MiN _ „ _
'fiscal Year End: - 12/31/2011
PHAS Indicators
Score
Maximum
Score
Physical
37
40
Financial
18
25
Management
1
25
Capital Fund
10
10
Late Penalty Points
0
Score
PHAS Total Score
66
100
PHAS Designation
Substandard Management
Initial PHAS score issued date: 4/30/2012
Financial Score Details
Score
Maximum
Score.
submission Type: Unaudited /Non -A =133
1. FASS Score before deductions
17.84
25.00
2. Audit Penalities
otal Financial Score Unrounded (PASS Score -Audit Penalties)
17.84
25.00
Capital Fund Score Details
Score
Maximum
Score
Timeliness of Fund Obligation:
1. Timeliness of Fund Obligation %
9
2. Timeliness of Fund Obligation Points
- 5
_ 5 _
Occupancy Rate:
3. Occupancy Rate %
92
4. Occupancy Rate Points
5
5
Total Capital Fund Score (Fund Obligation + Occupancy Rate):
10
10
•
Notes:
1. The scores in this Report are the official PHAS scores of record for your PHA. PHAS scores in other
systems are not to be relied upon and are not being used by the Department.
2. Due to rounding, the sum of the PHAS indicator scores may not equal the overall PHAS score.
3. "0” FASS Score indicates a late presumptive failure. See §§ 902.60 and 902.92 of the Interim PHAS
rule.
4. "0" Total Capital Fund Score is due to score of "0" for Timeliness of Fund Obligation. See the Capital
Fund Scoring Notice.
5. PHAS Interim Rule website - http:// www. hud. gov/ offices /reac /products /prodphasintrule.cfm
•
0
• j " ;` U. S. Department of Housing and Urban Development
�} OFFICE OF PUBLIC AND INDIAN HOUSING
REAL ESTATE ASSESSMENT CENTER
•
1 0 1
Report Date: 9/24/2012
Public Housing Assessment System (PHAS) Score Report for Interim Rule
PHA Code.
Score
N1N074
_
PHA Name
4
F1RA OF TO CITY 0� M )) OUNDMINNESOTAh Y�
kt^` fc . tai F *,"
25.00
Phy sical
37
Fiscal �eEn
ar d
9
25
Management
1
AS In`dlcators ��
Score
IV)axamum
5 �
,
4
1. FASS Score before deductions
10.06
25.00
Phy sical
37
40
Financial
9
25
Management
1
25
Capital Fund
10
10
Late Penalty Points
0
10
PHAS Total Score
57
100
PHAS Designation
Troubled
Initial PHAS score issued date: 4/30/2012
Financiai Score Details
Score "
Maximum
k w s
r',:' ,Submission Type audited /Non 133
,
r Score ,
r _
1. FASS Score before deductions
10.06
25.00
2. Audit Penalities
-1.01
5
Frotal Financial Score Unrounded (FASS Score - Audit Penalties)
9.05
25.00
Cap i tal Fund Score Details
Score
Maximum
T .
Timeliness of Fund Obligation:
1. Timeliness of Fund Obligation %
90
2. Timeliness of Fund Obligation Points
5
5
Occupancy Rate:
3. Occupancy Rate %
92
4. Occupancy Rate Points
5
5
Total Capital Fund Score (Fund Obligation + Occupancy Rate):
10
10
Notes:
1. The scores in this Report are the official PHAS scores of record for your PHA. PHAS scores in other
systems are not to be relied upon and are not being used by the Department.
2. Due to rounding, the sum of the PHAS indicator scores may not equal the overall PHAS score.
3. "0" FASS Score indicates a late presumptive failure. See §§ 902.60 and 902.92 of the Interim PHAS
rule.
4. "0" Total Capital Fund Score is due to score of "0" for Timeliness of Fund Obligation. See the Capital
Fund Scoring Notice.
5. PHAS Interim Rule website - http: / /www.hud.gov/ offices /reac /products /prodphasintrule.cfm
W'•11
Mound Housing and Redevelopment Authority
Indian Knoll Manor Public Housing
S.W.O.T. Analysis
STRENGTHS
WEAKNESSES
Location, Location, Location
Small units, kitchen needs updating
Ample parking
Maximum of 2 people for one bedroom
limits options for families
Nice grounds and common areas
Need caretaker position filled
Mecahnical systems upgraded /functioning well
No support services funded at this time
Proximity to WeCan, churches, foodshelf
County Social Workers hard to access
and other complementary services
Crime Free Multi Housing - receive great
support from the Police Dept. and
emergency responders
OPPORTUNITIES
THREATS
Income threashold easy to qualify
Many new senior housing projects being
developed with affordable component
Demand for rentals increasing
Affordable housing options in area, many with
Focus on tenant retention and satisfaction
larger units.
Increase marketing efforts
Issues with problem tenants /guests need to be
addressed immediately but process can be
Funds available to upgrade units /maintain
drawn out
property
•
•
•
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•
•
Mound Housing and Redevelopment Authority
Indian Knoll Manor Public Housing
Key Operating Statistics
As of
Tennant Related
Capital Improvement Related
Current Month No. of Vacancies:
2011 Grant Amount: $42,394
No. Days Units Vacant:
2011 Grant Expended: $27,394
Projects: Lighting Retrofit /Replace Retaining Walls
YTD Occupancy Rate:
Expires: July 31, 2013
Current Month Rental Revenue: $
2012 Grant Amount: $39,243
Tenant Accounts Receivable: $
2012 Grant Expended: $0
Projects: Unit Upgrades /Retaining Walls
No. of People on Waitlist:
Expires: July 31, 2014
1 Bedroom
Studio
2013 Grant Amount: TBD
2013 Grant Expended: $0
No. of Tours Conducted:
Outstanding Project: Unit Upgrades
Marketing Plan Monthly Recap
Operating Action Plan
# Weeks Advertised in the Laker:
Hire Caretaker
Replace ground floor hallway carpeting
Outreach Initiatives:
Replace exterior locks
Organization
Decorate for the holidays
Materials
Market Rate rent review
Questionnaires /Surveys
HUD Wage Determination Report
Evaluate surveillance system
Websites:
Resident support initiatives
Newsletter:
-11-
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MARKETING
GOALS AND OBJECTIVES 1 •
1. On -going Operations The goals of the on -going marketing program are:
a. To promptly fill all units that are vacant or will become available with qualified,
quality applicants;
b. To develop a waiting list of fully processed, qualified, quality applicants for each
unit;
C. To handle all turnovers so that the move -out and the move -in are back to back, or
at a minimum, that vacant units are prepared for showing and re- rental within five
working days of the move -out;
d. To minimize and preferably to eliminate income lost due to vacancies;
e. To generate a rental traffic of qualified, quality applicants;
f. To attract seniors whose income will allow them to pay rent plus utilities up to
30% of their income, and;
g. To continue to insure and enhance the curb appeal and good reputation that
currently exists.
TARGET MARKETS •
Selection of qualified residents will be based on criteria established by CommonBond
Communities.
THEME AND TAG LINES
In marketing Indian Knoll Manor, management will work to convey to prospective residents that:
1. Indian Knoll Manor is a good housing community in which seniors and disabled persons
can comfortably live independent lives.
2. CommonBond Communities is responsive to the needs and wishes of its residents and
allows it residents a role in the management of their homes.
In addition, brief statements will be developed for advertising and marketing materials, which
convey the theme and which also, convey that Indian Knoll Manor is:
a. Well designed with quality constructed units,
b. Convenient to work, services and public transportation,
C. Served by good transportation,
d. Affordable.
is
-14-
3
i
ADVERTISING
1. Newspapers Most of the paid advertising for Indian Knoll Manor will be done in
newspapers such as the Minneapolis Star Tribune The Focus Community News Insi ht
News Asian American Pages La Prensa de Minnesota and Native American Press
2. Frequency Until a waiting list is generated that is sufficient to cover 6 months of
turnover. Advertising will generally run on Sunday or in each scheduled issue of
neighborhood papers.
3. Type Two types of advertising will be used: classified and display ads (depending on
' budget).
Because readers generally page through neighborhood newspapers quickly, display ads
will be used with those newspapers.
. OUTREACH
I 1. Organizations Efforts will be made to reach prospective residents through the following
organizations or types of organizations:
a. Neighborhood groups;
b. Churches in the neighborhood;
C. Businesses frequented by Indian Knoll Manor residents, i.e., banks and medical;
d. Employers in the areas who are likely to employ seniors with incomes at the target
income range;
e. CommonBond Communities Advantage Services Corporation;
f. Social Service Agencies.
2. Materials The regional manager or the property manager will visit these organizations
and present information about Indian Knoll Manor Materials will be left with appropriate
staff at these organizations. The materials include:
a. File cards with basic information on available units;
b. Flyers for posting on bulletin boards;
C. Brochures for handing out; and,
d. Draft inserts for newsletters and church bulletins.
' 3. Frequency Follow -up with these organizations will be as required. The follow -up will
provide staff at the organizations with updated information about Indian Knoll Manor and
available units, will permit staff to answer any questions, and will allow Indian Knoll
I Manor staff to ensure that the organizations have an appropriate supply of materials.
4. Objective The objective of outreach efforts is to encourage other organizations to pass
1 along information about Indian Knoll Manor prospective residents.
i
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RESIDENT INVOLVEMENT 1 •
Many prospective residents will be referred to Indian Knoll Manor by current residents. To
enhance this, a program to involve residents will be developed. Elements of the program will
include:
Notice A monthly notice will be sent to all residents, informing them of the number of
each size of unit currently available, either vacant or with pending notices. Specific units
will not be identified.
2. Newsletter A regular feature will be included addressing three issues:
a. How residents can improve Indian Knoll Manorimage by what they say and do,
b. What residents can do to enhance the curb appeal of Indian Knoll Manor, and
C. The importance of minimizing vacancy loss so as to increase the income and
reduce one source of upward pressure on rents.
SIGNAGE
Identification Signs Permanent signs, and /or a leasing banner will be placed that will identify the
development and how to obtain additional rental information.
MARKETING MA TERIALS J •
The following materials will be developed for use in the marketing program:
I. Flyers A flyer will be utilized for advertising and outreach efforts. It will be designed
with the idea that it will be both handed out and posted on bulletin boards.
2. Plans Plans of the unit layouts, the site, and the neighborhood will be prepared and
printed separately. Along with the neighborhood plan will be a hand -out of neighborhood
information including the location of, and information about: the police precinct station,
the fire station, the post office, the nearest hospitals and medical facilities, schools,
daycare facilities, churches, shopping (grocery stores, neighborhood stores, major
discount stores, and shopping areas), parks and recreation, banks, and transportation.
3. Visit Suminary A simple form will be developed on which can be written information
discussed with a prospective resident, such as unit address and rent or information needed
by staff for the rental application. The form would be given to the prospective resident.
4. Staff Information Information sheets will be developed and kept updated that list
available units and details on each, and that outline rents, utility allowances and
maximum and minimum qualifying family incomes.
5. Newsletter A monthly newsletter will be generated.
1
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• MODEL
There will be no formal model apartment. A heavy emphasis will be placed on the rapid leasing
of units, and staff will work with residents so that their units are as presentable as possible for
showings before they move out.
MAINTENANCE
Maintenance plays a key role in the marketing program in at least three areas:
1. Unit Preparation Units are prepared for renting as quickly as possible. This is
accomplished by working closely with the contractor.
2. Curb Appeal A special, continuing emphasis will be placed on how Indian Knoll Manor
f looks to a prospective resident or a visitor driving or walking up to the housing
community. Attention will be paid particularly to the grounds (well cleared parking lots
and walkways during winter, well tended lawns and flowers during summer, and trash -
free grounds throughout the year) and to the building exteriors (well maintained and well
lit buildings).
3. Service Word -of -mouth is the most effective and least expensive marketing tool
available. Good service on resident maintenance requests is one of the best ways to build
a positive attitude towards Indian Knoll Manor among current residents, which leads to
good word -of -mouth advertising. Good service includes handling most maintenance
requests by the end of the next business day, and following up with residents regularly
until completion of maintenance requests not completed within that time period. The
quality of maintenance service will be regularly checked by providing residents with
comment cards after their maintenance requests are completed and by spot checking work
done in completing maintenance requests.
TRACKING RESULTS
To have an effective marketing program, it is necessary to track the results of the various
' marketing efforts and to decide what efforts should be continued, what efforts should be
emphasized, and what efforts should be changed or eliminated. The following are important and
necessary elements in tracking the marketing program:
I 1. Guest Card. For each prospective resident, a guest card will be completed. The guest
card will help in deciding how best to approach each prospective resident, and it will
Provide a record on each prospective resident, indicating what brought them to what they
are looking for in housing, and what their current family and housing circumstances are.
2. Traffic Report A traffic report will be prepared and mailed to the main office of
CommonBond Communities monthly. The traffic report will summarize, and give useful
statistics on the waiting list. The traffic report will indicate the number of calls received
from, and appointments made with prospective residents, the number of visits by
prospective residents, the day and time of day when prospective residents visited the
development, the source of information which brought the prospective residents to the
development, the number of prospective residents from the target markets, and the
number of visits by prospective residents that resulted in rental applications. The traffic
-17-
6
F1
9
6.
TRACKING RESULTS (CON11NUhV)
report
will be the most important source of information for evaluating marketing •
programs.
Vacancy and Turnover Report. e site rep t will also 1 sts va mailed to t
the regional manager from th
is most important In monitoring the renting of units.
Questionnaires In any n marketing situation,
to str the
marketing program. At
source of the information nee
Communities, resident feedback will be gained in three ways:
a . After move -in, new residents n questioned on their decision to rent and on
their first reactions to living at India
b. When a resident moves out, they will be questioned twice, once when they give
their vacate notice (primary purpose: retention of good residents) and again when
their security deposit is returned to them (primary purpose: solicitation of reasons
for leaving, complaints about Indian Knoll Manor, and suggestions for
improvements).
C. Each year, the residents of Indian Knoll Manor are surveyed regarding a number
of issues. The survey questionnaire a asking section
what their likes, , disl dislikes and
residents rented at Indian
suggestions are regarding li f g improving life at IndianrKno 1 Manor asking or suggestions they would m for
more effectively reaching prospective residents.
p
Marketin Reviews. The regional manager will meet with the property manager on a
weekly basis to review the marketing b made results of the
what hangessto month will e
make in the
reviewed and discussed, and d
marketing program for the coming month.
Cost Effectiveness. Each month, the cost the
ills marketing bo hout -of- pocket costs and at
the regional manager. The regional mana total cost er
ute the
Staff time spent in outreach f s to determine athe cost per rent d apartment by c t gory
rented apartment and will attempt the cost effectiveness
of advertising or outreach. The decide de if changes should be made to better balance costs
of current marketing efforts
with results.
•
-18 -7
• MARKETING PROCESS
It is important for the site staff handling the marketing day -to -day to see the marketing program,
not as isolated actions and events, but as an integrated sequence of efforts that depend and build
on each other. The outline of the process is as follows:
1. Overall Direction The staff must know and understand the goals and objectives of the
marketing program. They must also know and understand the factors that influence
prospective residents to choose one housing community over another.
2. Market and Product Knowledge The staff must have detailed knowledge of the
demographics of their current residents, and must clearly understand the target markets
for the development. The staff must have a clear idea and understanding of the
circumstances of families in the target markets.
The staff must also thoroughly know and be conversant in all aspects of Indian Knoll
Manor as a housing development. They must be familiar with the assets and the problems
of the development. The staff must be equally comfortable with the marketing theme and
tag lines and be able to use them effectively with prospective residents.
3. Appearance First impressions are critical in all marketing situations. Staff must
consistently be aware of, and sensitive to Indian Knoll Manor curb appeal, to the
appearance of the office, and to the condition of the units to be re- rented.
• 4. Knowledge of Marketing Materials and Advertising The staff must be completely
familiar with the language and text of all marketing materials and advertising. They must
also be completely familiar with the details of all- marketing forms, applications, and
reports, and be comfortable in usingg them. The staff should be kept completely up -to -date
with any changes made, preferably by advance notice.
5. Advertising and Outreach With the above as a background, the property manager then
begins a systematic and coordinated program of advertising and outreach, which has been
planned and discussed with the regional manager and is in accordance with the AFHMP.
6. Telephone The first contact most prospective residents have with Indian Knoll Manor is
by telephone. The telephone should be used only with a system of effective telephone
techniques. The goals of all marketing efforts by telephone are to make an appointment
with the prospective resident for a visit to Indian Knoll Manor.
The tape for the answering machine that is used when the office is closed during the day
should have marketing as its primary emphasis. The taped message should create a
positive and welcoming impression of Indian Knoll Manor.
6. Visits Meetings with prospective residents must be handled based on a carefully planned
and thought -out sequence of steps. However, each prospective resident must be met with
a friendly, sincere and open manner, and must not be taken mechanically through the
steps. The steps include completing the pre -app, qualifying the prospective resident,
determining their needs and interests, and showing the available unit or units (not more
• than three units should be shown).
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MARKETING PROCESS (CONTINUED) •
8. Closing The most common mistake made by staff in losing a prospective resident is in
not clearly asking them to rent the apartment. When the staff determines that a prospect
would make a good resident, the staff must directly ask the prospect to rent and encourage
them to begin the application process.
9. Follow Up . If a good prospective resident does not fill out an application when they visit
the development, the staff will follow -up by letter and /or telephone, positively and
politely encouraging them to consider Indian Knoll Manor further.
10. Tracking Results Determining the results of the various marketing efforts is the key to
keeping the marketing program effective. Even a very effective marketing program will
lose its impact over time if its results are not tracked, and if changes are not made to
reflect changing circumstances.
11. Processing_ Applications How a prospective resident's application is taken and processed
is the first experience that the prospective resident has with the way in which the
management of Indian Knoll Manor is conducted. Applications must be processed
properly and efficiently while keeping the process friendly and understandable for the
prospective resident and while following all established policies and procedures for
selecting and screening residents. If this is done, a strong, positive, lasting impression will
be left with the prospective resident, which will reinforce the other marketing efforts.
12. Waiting Lists One of the most important goals of the marketing program is to develop a
waiting list for each size of unit. Once a prospective resident goes on a waiting list, they
must be contacted at least every six months to confirm their continuing interest in Indian •
Knoll Manor. For each size of unit, enough applications must be processed to cover the
next six months of turnover for that size of unit. Monthly contact must then be made
with processed applicants to update them on the availability of units and to keep track of
any changes in their circumstances., This approach will ensure that as soon as a current
resident gives notice to vacate, a new resident is ready to give notice where they presently
live and move into Indian Knoll Manor.
11. Support Efforts In addition to direct marketing efforts, various other on -going efforts are
equally important to the long -term success of Indian Knoll Manor marketing program.
These other efforts include maintaining a high level of management and maintenance
services to residents, involving residents positively and productively in management of
Indian Knoll Manor, and presenting a positive and attractive image of the development to
the community in which it is located.
•
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•
MOUND HOUSING AND REDEVELOPMENT
AUTHORITY
INDIAN KNOLL MANOR APARTMENTS
2020 COMMERCE BLVD.
MOUND, MINNESOTA 55364
MEMORANDUM
November 21, 2012
To: HRA Board Chair and Commissioners
From: Kandis Hanson, Executive Director
Catherine Pausche, Finance Director /Treasurer
Re: Common Bond Management Agreement Extension for the period
January 1, 2013 through December 31, 2013
Staff is recommending an one -year extension to our current Property Management Services
Agreement for Indian Knoll Manor with Common Bond Communities.
Common Bond took over management in May of 2011. Staff will be discussing why they are
recommending to stay with Common Bond Communities at Tuesday's HRA meeting.
Common Bond Communities continues to be a leader in affordable housing and has a local
presence in the area. They currently manage affordable housing projects in Mound, Excelsior
and Maple Plain, in addition to Indian Knoll Manor.
Please feel free to let Catherine know if you have any questions at (952)472 -0633.
•
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MANAGEMENT
AGREEMENT
BETWEEN MOUND HOUSING AND
AND COMMON BOND COMMUNITIES
THIS AGREEMENT, made by and between Mound Housing and
Redevelopment Authority ( "Owner ") with offices at Indian Knoll Manor, 2020
Commerce Boulevard, Mound, Minnesota 55364, and at City Hall, 5341
Maywood Road, Mound, Minnesota, 55364 and Common Bond Communities,
a Minnesota non - profit corporation ( "Agent ") with offices at 328 Kellogg
Boulevard West, St. Paul, Minnesota 55102.
WHEREAS, the Housing and Redevelopment Authority of Mound, Mound, MN,
(HRA) entered into a Consolidated Annual Contributions Contract (ACC) No.
C -858, Parts A and B, on January 25, 1996, with the U.S. Department of
Housing and Urban Development (HUD), as amended, which provides
ongoing funding for the maintenance and operation of the HRA's public
housing projects; and
WHEREAS, under Section 5 of Part A of the ACC, the HRA shall develop and
operate all projects covered by the ACC in compliance with all the provisions
of the ACC and all applicable statutes, executive orders, and regulations
issued by HUD, as they shall be amended from time to time, including but
not limited to, those regulations promulgated by HUD at Title 24 of the Code
of Federal Regulations (CFR), which are hereby incorporated herein by
reference as if fully set forth herein; and
WHEREAS, under Section 5 of Part A of the ACC, the HRA shall ensure
compliance with such requirements by any contractor or subcontractor
engaged in the development or operation of a project covered by this ACC;
In consideration of the covenants herein contained, the parties hereto
agree as follows:
1. Appointment. The Owner hereby appoints the Agent, and the Agent
hereby accepts appointment, on the terms and conditions hereinafter
provided, as the Owner's exclusive agent to manage, and operate the
50 -unit apartment building located in Mound, Minnesota, commonly
known as Indian Knoll Apartments, ( "Premises ").
2.1 Renewal. The term of the Agreement shall be from 3anuary
1, 2013 to December 31, 2013 unless terminated as provided in
sections 2.2 and 7.
2.2 Termination By Either Party. This Agreement may be
terminated by either party during its term by the giving of written
notice to the other party. The Agent must give 60 -days notice to
the Owner of such termination. The Owner will use its best efforts
REDEVELOPMENT AUTHORITY
•
•
•
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to give 60 -days notice to Agent, but may terminate upon the giving
• of 30 -days notice.
3. Responsibilities of Agent. The Owner agrees to give the Agent
the following authority and powers (all or any of which may be
exercised in the name of the Owner) and the Owner agrees to
assume all expenses in connection therewith.
To prepare a management plan with the Owner that includes an operating
budget and an on -site staffing analysis along with recommendations, for
approval by Owner;
To cause to be hired, paid and supervised all persons necessary to be
employed in order to properly maintain and operate the Premises who, in
each instance, shall be the Agent's and not the Owner's employees, and
cause to be discharged all persons unnecessary or undesirable;
To cause the Premises to be maintained in such condition as may be
deemed advisable by the Owner, and cause routine repairs and incidental
alterations of the building to be made, including, but not limited to, electrical,
plumbing, heating, carpentry, masonry and any other routine repairs and
incidental alterations as may be required in the course of ordinary
maintenance and care of the Premises. Subject to the requirements of
Minnesota Statutes 469.015 and Mound PHA procurement policy, repairs or
alterations involving an expenditure in excess of One Thousand Dollars
($1,000) for any one item shall be made only with the prior approval of the
Owner, except that emergency repairs, i.e., those immediately necessary for
the preservation of safety of the Premises or for the safety of the Residents
of the Premises or other persons, or required to avoid the suspension of any
necessary service in or to the Premises may be made by the Agent
irrespective of the cost thereof, without the prior approval of the Owner if the
Agent makes a reasonable attempt to communicate with the Owner in order
to obtain such approval;
To recommend, and with the approval of the Owner, cause all such acts
and things to be done in or about the Premises as may be necessary or
desirable to comply with any and all orders or notice of violations affecting
the Premises placed thereon by any federal, state, county or municipal
authority having jurisdiction thereover, except that if failure promptly to
comply with any such order or violation would expose the Owner or the
Agent to criminal liability, the Agent may cause such order or notice of
violation to be complied with or without the prior approval of the Owner if the
Agent makes a reasonable attempt to communicate with the Owner to obtain
such approval, it being understood that the Agent shall notify the Owner
promptly after receipt of any order or notice of violation, as foresaid;
• Subject to the requirements of Minnesota Statute 469.015, the Mound
PHA Procurement Policy, and the HUD Capital Funds Program (CFP), to enter
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into all necessary or desirable service contracts in respect to the repair and
operation of the Premises, including without limitation contracts for is
electricity, gas, air conditioning, equipment maintenance, water treatment,
janitorial, landscaping, window cleaning, rubbish removal, fuel oil, back -up of
fuel oil; vermin extermination, architects' and engineers' services required
for the planning and supervision of alterations and /or improvements made or
proposed to be made to the Premises, but any such contract having a term
longer than one (1) year or requiring an annual payment in excess of One
Thousand Dollars ($1,000) must be authorized by the Owner;
Subject to the requirements of Minnesota Statute 469.015 and of the
Mound PHA Procurement Policy, to purchase all supplies which shall be
necessary to properly maintain and operate the Premises, and credit to the
Owner any discounts or commissions obtained for purchase, to conduct
solicitation of bids, preparation of bid packages, advertisement of bids, and
tabulation of bids;
To check all bills received for services, work and supplies ordered in
connection with maintaining and operating the Premises and pay or cause all
such bills to be paid, upon authorization and signature of the Owner, from
funds of the Owner;
Insurance coverage for the premises is to be determined by the HRA,
such insurance to be obtained and /or maintained, at the expense of the •
Owner;
To cause all employees of the Agent who handle or are responsible for
safekeeping of any money of the Owner to be covered by a fidelity bond in
favor of the Owner in the amount equal to one month's rent for the property
plus the amount of the Mound PHA reserves; and to obtain a criminal
background check for all employees or personnel on contract who have
access to residents units per state law;
To bill, or cause to be billed, residents for monthly rent and to send late
notices according to the Rent Collection Policy, to collect and deposit those
rents and produce the necessary reports for tracking tenant receivables,
including deposits and miscellaneous revenues;
To assist the Owner in maintaining a system of accounts to which shall be
entered fully and accurately each and every financial transaction with respect
to the operation of the Premises. To submit purchase orders and invoices on
a timely and accurate basis to the Owner, and any reports relating to budget
and capital expenditures as requested by the Owner;
To keep the Board of Commissioners informed on a monthly basis of the
financial status and physical condition of the Premises and other items that
Owner should reasonably be made aware of; •
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To cause to be prepared and filed all necessary forms relating to the
• maintenance and operation of the Premises required by any federal, state,
county or municipal authority having jurisdiction thereover;
To set up and maintain, at the Mound HRA office located on 2020
Commerce Boulevard, Mound, Minnesota, orderly files containing records for
income and expenses, insurance policies, leases, correspondence, receipted
bills and vouchers and all other documents and papers pertaining to the
Premises and the operation and maintenance thereof, the same to be and at
all times to remain the property of the Owner, and the Agent shall upon
request of the Owner make same available to the Owner, and the Owner's
accountants and attorneys; and to make all electronic data filing in PIC,
LOCCS, REAL, and other electronic systems as required by HUD, and to
create and submit the PHA Plan annually and complete all reporting as
necessary;
To provide the necessary information to and cooperate with the Owner's
accountants and auditors in regard to the annual audit or any periodic audit
of the books;
To cooperate with Owner's accountants in regard to the preparation and
filing on behalf of federal, state, city and any other filings required by any
governmental authority;
• To generally, do all things reasonably deemed necessary or desirable for
the proper management of the Premises according to HUD regulations for
Low Rent Public Housing (LRPH) programs, including maintaining all records
and reporting to HUD; and
To perform, for the Owner's account and on its behalf, any lawful act and
everything lawful and necessary or desirable in order to carry out the Agent's
Agreements contained in this Agreement. It is expressly understood and
agreed that everything done by the Agent under the provisions of this
Agreement shall be done as Agent of the Owner, and any and all obligations,
costs or expenses incurred by the Agent in the performance of its obligations
under this Agreement shall be borne by the Owner and not by the Agent. It
being expressly understood, however, that the monthly management fee
compensates the Agent for (i) the costs incurred by the Agent in maintaining
its own office staff, and (ii) its general overhead. Any payments made by the
Agent hereunder shall be made out of such funds as the Agent may from
time to time hold for the accounts of the Owner or as may be provided by the
Owner. The Agent shall not be obligated to make any advance to, or for the
account of, the Owner or pay any amount except out of funds held or
provided aforesaid nor shall the Agent be obliged to incur any extraordinary
liability or obligation unless the Owner shall furnish the Agent with the
necessary funds for the discharge thereof. If Agent shall elect to advance
• any money in connection with the property the Owner agrees to reimburse
-25-
the Agent forthwith and hereby authorizes the Agent to deduct such
advances from any money due the Owner. •
4. Banking. All funds of the property in the possession of the Agent
shall be held by the Agent for the Owner, in trust, and shall be
deposited by Agent in such bank, as the Owner shall designate, in a
special account maintained by the Agent, for the premises. Such
funds shall not be commingled with other funds collected by the
Agent for its own account or as agent for others, or with the
Agent's own funds and shall remain on deposit until disbursed in
accordance with the terms of the agreement. The Owner shall
directly receive all statements issued by the Bank with respect to
such bank account and will provide a copy to the Agent in a timely
manner.
S. Compensation. The Owner agrees to pay the Agent, during the
term of this Agreement each month an amount equal to $52.50
per unit per month;
Owner will reimburse Agent for time and expenses incurred by an on -site
resident manager and a maintenance person for services (all Agent's
employees) provided to Owner at Indian Knoll Manor, according to a budget
pre- approved by Owner. The Agent shall also contract with and provide
supervision for a resident caretaker on -site. •
6. Indemnity. The Owner shall indemnify, defend and save the
Agent harmless from and against all claims, losses, costs and
liabilities arising out of damage to property, or injury to, or death of
persons (including the property and persons of the parties hereto,
and their agents, subcontractors and employees) occasioned by or
in connection with the use, management operation, ownership,
maintenance or control of the Premises; except as to such claims,
losses, costs, and liabilities that are the direct result of willful
misconduct or negligence of Agent or its officers, agents,
subcontractors or employees.
7. Termination. Within 30 (thirty) days of termination of the
Agreement, the parties shall account to each other with respect to
all uncompleted business as follows: (i) the Agent shall deliver to
the Owner all funds and other moneys, and all leases, subleases,
corporate files, books, records and other instruments relating to the
Premises and the Owner, that may be in the possession of the
Agent; and (ii) the Agent shall concurrently take payment of all
fees required to be paid hereunder through the date of termination
of the Agreement by deducting same from all funds and money
otherwise transferred to the Owner under this paragraph.
r�
u
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S. Assignment. The Agent may not assign this Agreement without
• the prior written consent of the Board of Commissioners. Subject
to the provisions hereof, all of the covenants, conditions and
obligations contained in this Agreement shall be binding and to the
benefit of the respective successors and assignors of the Owner
and the Agent to the same extent as if each successor and assignor
were in each case named as a party to this Agreement.
9. Severability. If any term or provision of this Agreement or the
application thereof to any person or circumstance shall, to any
extent, be invalid or unenforceable, the remainder of this
Agreement, or the application of such term or provision to persons
or circumstances other than those as to which it is held invalid or
unenforceable, shall not be affected thereby, and each term and
provision of this Agreement shall be valid and enforced to the
fullest extent permitted by law.
10. Applicable Law. This agreement shall be construed and
enforced in accordance with the laws of the State of Minnesota.
11. Notices. All notices, demands, requests or other
communications which may be or are required to be given, served
or sent by either party to the other, shall be in writing and
• delivered personally or by certified mail, return receipt requested,
with postage prepaid, at the address first above mentioned. A
party may change the name or address for the giving of notice
provided above by written notice to the other party.
12. Entire Agreement. This agreement and the documents to
which reference in it has been made, shall be construed together
and constitute the entire, full and complete agreement between the
Owner and the Agent, and there are no representations,
inducements, promises, or agreements, oral or otherwise, between
the parties not embodied herein, which are of any force or effect.
13. Modifications. This Agreement may not be changed or
modified except by written document signed by both the Owner
and the Agent.
14. Workers Compensation Insurance. This Agreement shall not
become effective until Agent has provided Owner written evidence
that Agent complies with all applicable worker compensation
insurance requirements.
15. Relationship of Agent to Owner. The relationship of the
parties to this Agreement shall be that of Principal and Agent, and
• all duties to be performed by Agent under this Agreement shall be
for and on behalf of Owner, in Owner's name, and for Owner's
-27-
account. In taking any action under this Agreement, Agent shall be
acting only as Agent for Owner, and nothing in this Agreement shall •
be construed as creating a partnership, joint venture, or any other
relationship between the parties to this Agreement except that of
Principal and Agent, or as requiring Agent to bear any portion of
losses arising out of or connected with the ownership or operation
of the Premises. Nor shall Agent at any time during the period of
this Agreement be considered a direct employee of Owner. Neither
party shall have the power to bind or obligate the other except as
expressly set forth in this Agreement, except that Agent is
authorized to act with such additional authority and power as may
be necessary to carry out the spirit and intent of this Agreement.
16. Save Harmless. Except as to the willful misconduct or
negligence of Agent, Owner shall indemnify, defend, and save
Agent harmless from all loss, damage, cost, expense (including
attorney's fees), liability, or claims for personal injury or property
damage incurred or occurring in, on or about the Premises. Agent
shall indemnify, defend and save Owner harmless in the same
manner based on the willful misconduct on negligence of Agent.
17. Liability Insurance. Owner shall obtain and keep in force
adequate insurance against physical damage (e.g. fire with
extended coverage endorsement, boiler and machinery, etc.) and •
against liability for loss, damage, or injury to property or persons
that might arise out of the occupancy, management, operation, or
maintenance of the Premises. The amounts and types of insurance
shall be acceptable to both Owner and Agent, and any deductible
required under such insurance policies shall be Owner's expense.
Agent shall be covered as an additional insured on all liability
insurance maintained with respect to the Premises. Liability
insurance shall be adequate to protect the interests of both Owner
and Agent and in form, substance, and amounts reasonably
satisfactory to Agent, Owner agrees to furnish Agent with
certificates evidencing such insurance or with duplicate copies of
such policies within three business days of the execution of the
Agreement. If Owner fails to do so, Agent may, but shall not be
obliged to, place said insurance and charge the cost thereof to the
Operating (and /or) Reserve Account(s).
18. Agent Assumes No Liability. Agent assumes no liability
whatsoever for any acts or omissions of Owner, or any previous
Owner of the Premises, or any previous management or other
agent of either. Agent assumes no liability for any failure of or
default by a tenant in the payment of any rent or other charges due
Owner or in the performance of any obligations owed by any tenant
to Owner pursuant to any lease or otherwise, nor does Agent •
assume any liability for previously unknown violations of
environmental or other regulations which may become known
• during the period this Agreement is in effect. Any such regulatory
violations or hazards discovered by Agent shall be brought to the
attention of the Owner in writing, and Owner shall promptly cure
them.
19. Equal Employment Opportunities. During the performance
of this contract, Common Bond Communities agrees as follows:
a. Common Bond Communities will not discriminate against any
employee or applicant for employment because of race,
color, religion, sex, or national origin.
b. Common Bond Communities will cause the foregoing
provision to be inserted in all subcontractors for any work
covered by this contract so that such provisions will be
binding upon each subcontractor, provide that the foregoing
provision shall not apply to contractors or subcontractors for
standard commercial supplies or raw materials.
20. HUD Rules and Regulations. In the management of Indian
Knoll Manor, Common Bond Communities shall comply with rules
and regulations established by United States Department of
• Housing and Urban Development (HUD) and other appropriate
government agencies.
Agent shall comply with all applicable requirements of the General Conditions
for Non - Construction Contracts (Form HUD - 5370 -C dated 10/2006) attached
hereto as Exhibit A, and the Maintenance Wage Rate Determination (Form
HUD -52158 dated 06/2006) with effective date of , attached
hereto as Exhibit B. Agent shall require compliance with said requirements
by all subcontractors engaged to assist the Agent for any subcontract in
excess of two thousand dollars ($2,000).
HRA is responsible for monitoring Agent's compliance. Non - compliance by
Agent and its subcontractors will result in findings of non - performance under
the Management Agreement and shall be grounds for termination. Any
finding of non - compliance in underpayment of wages and benefits shall be an
expense from Agent's compensation.
Nothing contained in this Management Agreement shall prohibit or limit the
HRA from the exercise of any other right or remedy existing under applicable
law or available at equity. The HRH's exercise or non - exercise of any right or
remedy under this Management Agreement shall not be construed as a
waiver of the HRH's right to exercise that or any other right or remedy at any
time.
•
'Yesll
Common Bond Communities shall provide all normal public housing related
management functions, including yearly inspections of all units and building •
common area's, annual income reviews and rent calculations, maintaining a
waiting list in accordance with the HRA Occupancy Policies, admission,
evictions, and any housing management related functions.
Common Bond Communities shall prepare a monthly report on the
management of Indian Knoll Manor for the HRA Executive Director and HRA
Board of Commissioners. A representative of Common Bond Communities
shall attend HRA Commissioners meetings at least once per quarter and at
other times as necessary to provide information to the HRA Board of
Commissioners on the Indian Knoll Manor activities and to secure the HRA
Executive Director and /or the Board approvals for purchases/ contracts of
over $1,000.
Common Bond Communities shall encourage the formation of a Resident
Council and ensure that its representative attends the monthly Resident
Council Meeting. The Common Bond Communities shall work with the
Resident Council as necessary for the efficient and amicable operation of
Indian Knoll Manor.
Common Bond Communities shall maintain records on -site and off -site in
accordance with HUD and state records maintenance /disposition
requirements. •
-30-
• IN WITNESS WHEREOF, the parties hereto intending to be legally
bound hereby, have executed this Agreement of the day and year first above
written.
Housing and Redevelopment
Authority of Mound
By:
Kandis Hanson
Its: EXECUTIVE DIRECTOR
Date:
•
By:
AGENT: Common Bond Communities
Its:
Date:
•
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Indian Knoll Manor Apartments
Proposed 2013 Operating Budget - Excluding Capital Grant /Expenses
Account
HRA Account Description
Approved Actual Approved 10/31/12 Proposed •
2011 Bud 2011 2012 Bud YTD Actual 2013 Bud
38100
Dwelling Rental
136,800
118,608
133,000
98,730
120,000
38110
Excess Utility Charges to Tenants
500
280
500
40
500
33100
Federal Grant - Operating
116,000
106,250
106,000
96,042
118,000
33105
Federal Grant - Capital
0
45,967
0
15,257
0
36200
Miscellaneous Revenue
1,200
6,689
0
18,262
1,800
36210
Interest Earnings
0
18
0
5
0
331
Total Revenues
254,500
277,812
239,500
228,336
240,300
Salaries
Tenant Services
475 Tenant Contact Services 1,200 1,686 1,500 1,309 2,100
Subtotal Tenant Services 1,200 1,686 1,500 1,309 2,100
382
Payroll & Benefits
18,000
19,812
18,000
14,679
20,000
1xx
Employee Benefits Administrative
10,645
3,251
6,600
4,176
6,600
116
Accrued Absenses - Administration
15,000
17,230
20,000
10,504
14,000
101
Manager Payroll
25,024
14,041
20,000
14,812
20,000
304
Legal Expense
2,500
0
1,000
0
1,000
434
Staff Training
2,000
0
0
0
0
331
Travel
500
238
500
180
500
321
Telephone and Cells
2,900
2,865
3,500
2,453
3,000
301
Accounting Fees
3,000
3,571
1,100
355
0
301
Auditing Fees
5,000
5,000
4,500
5,000
4,500
Subtotal Admin
51,569
28,966
37,200
26,976
35,600
Sundry- Administrative
202
Copies & Copier
1,900
1,538
600
122
500
200 & 203
Printed Forms /Office Supplies
200
582
200
261
300 •
205
Computer Hardware /Software
0
1,415
0
0
0
210
Operating Supplies
3,000
2,295
2,500
324
2,500
300
Professional Services
200
65
200
2,367
200
322
Postage
300
281
300
101
200
331
Use of Personal Auto
600
0
0
0
0
340
Advertising
100
223
0
0
500
430
Miscellaneous
500
575
500
159
500
431
Meeting Expense
200
0
200
0
200
433
Dues and Subscriptions
300
0
0
0
0
Subtotal Sundry
7,300
6,975
4,500
3,333
4,900
307/310
Administrative Services Contracts
30,000
33,640
36,000
23,815
31,680
Salaries
Tenant Services
475 Tenant Contact Services 1,200 1,686 1,500 1,309 2,100
Subtotal Tenant Services 1,200 1,686 1,500 1,309 2,100
382
Water
18,000
19,812
18,000
14,679
20,000
381
Electricity
24,000
24,697
20,000
16,286
20,000
383
Gas
15,000
17,230
20,000
10,504
14,000
-
Fuel
0
0
0
0
0
386
Other Utility Expense (Mediacom)
0
0
0
0
0
384
Garbage Removal
3,000
2,869
3,200
2,204
3
Subtotal Utilities
60,000
64,607
61,200
43,673
57,000 •
-32-
Indian Knoll Manor Apartments
Proposed 2013 Operating Budget - Excluding Capital Grant /Expenses
• Account Approved Actual Approved 10/31/12 Proposed
HRA Account Description 2011 Bud 2011 2012 Bud YTD Actual 2013 Bud
Labor
Maintenance & Operation
Protective Services
185
Maintenance Labor
20,000
10,773
18,000
9,268
15,000
1xx
Employee Benefits Maintenance
5,000
1,676
6,000
1,440
3,000
116
Accrued Absenses- Maintenance
6,500
• 438 Payments in Lieu of Taxes
480 Collection Loss
4,000
1,000
3,105
0
4,000
1,000
220
Materials
5,000
14,502
8,000
5,606
8,000
240
Minor Equipment & Tools (Applicances)
2,500
2,022
2,500
2,552
3,000
440
Contract Costs
15,000
17,851
16,000
15,272
18,000
401
Building Repairs
10,000
29,999
10,000
9,606
12,000
402
Building Maintenance
15,000
23,002
15,000
10,060
15,000
460
Janitorial
8,152
9,926
8,200
8,267
9,000
465
Caretaker /Light Maintenance
5,400
3,600
5,400
0
5,400
500
Capital Expend itures/Dep r
92,167
46,200
45,315
46,200
Subtotal Maintenance
86,052
205,518
135,300
107,386
134,600
Labor
Protective Services
0
0
0
0
0
Subtotal Protective Svices
361 Insurance
7,800
4,748
5,000
6,457
6,500
• 438 Payments in Lieu of Taxes
480 Collection Loss
4,000
1,000
3,105
0
4,000
1,000
130
0
4,000
1,000
Subtotal Ins, Taxes, Other
12,800
7,853
10,000
6,587
11,500
Total Operting Expenses
248,921
349,245
285,700
213,078
277,380
Change in Net Assets
5,579
(71,433)
(46,200)
15,258
(37,080)
•
-33-
PHA Board Resolution U.S. Department of Housing OMB No. 2577 -0026
Approving Operating Budget and Urban Development (exp.12/31/2012)
Office of Public and Indian Housing -
Real Estate Assessment Center (PIH -REAC)
Public reporting burden for this collection of information is estimated to average 10 minutes per response, including the time for reviewing instructions, searching existing
sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. This agency may not collect this information, and you are not require
complete this form, unless it displays a currently valid OMB control number.
This information is required by Section 6(c)(4) of the U.S. Housing Act of 1937. The information is the operating budget for the low- income public housing program and provides a
summary of the proposed /budgeted receipts and expenditures, approval of budgeted receipts and expenditures, and justification of certain specified amounts. HUD reviews the
information to determine if the operating plan adopted by the public housing agency (PHA) and the amounts are reasonable, and that the PHA is in compliance with procedures
prescribed by HUD. Responses are required to obtain benefits. This information does not lend itself to confidentiality.
PHA Name: Mound Housing and Redevelopment Authority PHA Code: MN074
PHA Fiscal Year Beginning:
January 1, 2013 Board Resolution Number:
Acting on behalf of the Board of Commissioners of the above -named PHA as its Chairperson, I make the following
certifications and agreement to the Department of Housing and Urban Development (HUD) regarding the Board's
approval of (check one or more as applicable):
DATE
® Operating Budget approved by Board resolution on:
❑ Operating Budget submitted to HUD, if applicable, on:
❑ Operating Budget revision approved by Board resolution on:
❑ Operating Budget revision submitted to HUD, if applicable, on:
I certify on behalf of the above -named PHA that:
1. All statutory and regulatory requirements have been met;
November 27, 2012
2. The PHA has sufficient operating reserves to meet the working capital needs of its developments;
3. Proposed budget expenditure are necessary in the efficient and economical operation of the housing for the purpose of
serving low- income residents;
4. The budget indicates a source of funds adequate to cover all proposed expenditures;
5. The PHA will comply with the wage rate requirement under 24 CFR 968.110(c) and (f); and
6. The PHA will comply with the requirements for access to records and audits under 24 CFR 968.110(i).
I hereby certify that all the information stated within, as well as any information provided in the accompaniment herewith,
if applicable, is true and accurate.
Warning: HUD will prosecute false claims and statements. Conviction may result in criminal and/or civil penalties. (18
U.S.C. 1001, 1010, 1012.31, U.S.C. 3729 and 3802)
Print Board Chairperson's Name: Signature: Date:
Mark Hanus 11/27/12
-34-
Previous editions are obsolete form HUD -52574 (08/2005)
•
•
•
Civil Rights Certification U.S. Department of Housing and Urban Development
Office of Public and Indian Housing
Expires 4/30/2011
Civil Rights Certification
Annual Certification and Board Resolution
Acting on behalf of the Board of Commissioners of the Public Housing Agency (PHA) listed below, as its Chairman or other
authorized PHA official if there is no Board of Commissioner, I approve the submission of the Plan for the PHA of which this
document is apart and make the following certification and agreement with the Department of Housing and Urban Development
(HUD) in connection with the submission of the Plan and implementation thereof
The PHA certifies that it will carry out the public housing program of the agency in conformity with title VI of
the Civil Rights Act of 1964, the Fair Housing Act, section 504 of the Rehabilitation Act of 1973, and title II of
the Americans with Disabilities Act of 1990, and will affirmatively further fair housing.
Mound Housing and Redevelopment Authority MN074
PHA Name PHA Number/HA Code
I hereby certify that all the information stated herein, as well as any information provided in the accompaniment herewith, is true and accurate. Warning: HUD will
p rosecute false claims and statements. Conviction may result in criminal and/or civil penalties. 18 U.S.C. 1001, 1010,1012; 31 U.S.C. 3729, 3802
Name of Authorized Official
Mark Hanus
Title
HRA Board Chairperson
Signature
D 11/27/12
-35-
form HUD - 50077 -CR (1/2009)
OMB Approval No. 2577 -0226
OMB Approval No. 2577 -0157 (Exp. 01131/2014
Certification of Payments U.S. Department of Housing
and Urban Development
to Influence Federal Transactions Office of Public and Indian Housing
Mound Housing and Redeve lopment A uthority -
Applicant Name
P H ousing
Program /Activity Receiving Federal Grant Funding
The undersigned certifies, to the best of his or her knowledge and belief, that:
(1) No Federal appropriated funds have been paid or will be
paid, by or on behalf of the undersigned, to any person for
influencing or attempting to influence an officer or employee of
an agency, a Member of Congress, an officer or employee of
Congress, or an employee of a Member of Congress in connec-
tion with the awarding of any Federal contract, the making of any
Federal grant, the making of any Federal loan, the entering into
of any cooperative agreement, and the extension, continuation,
renewal, amendment, or modification of any Federal contract,
grant, loan, or cooperative agreement.
(2) If any funds other than Federal appropriated funds have
been paid or will be paid to any person for influencing or
attempting to influence an officer or employee of an agency, a
Member of Congress, an officer or employee of Congress, or an
employee of a Member of Congress in connection with this
Federal contract, grant, loan, or cooperative agreement, the
undersigned shall complete and submit Standard Form -LLL,
Disclosure Form to Report Lobbying, in accordance with its
instructions.
(3) The undersigned shall require that the language of this
certification be included in the award documents for all subawards
at all tiers (including subcontracts, subgrants, and contracts
under grants, loans, and cooperative agreements) and that all
sub recipients shall certify and disclose accordingly.
This certification is a material representation of fact upon which
reliance was placed when this transaction was made or entered
into. Submission of this certification is a prerequisite for making
or entering into this transaction imposed by Section 1352, Title
31, U.S. Code. Any person who fails to file the required
certification shall be subject to a civil penalty of not less than
$10,000 and not more than $100,000 for each such failure.
r
I hereby certify that all the information stated herein, as well as any information provided in the accompaniment herewith, is true and accurate.
Warning: HUD will prosecute false claims and statements. Conviction may result in criminal and /or civil penalties. (18 U.S.C. 1001, 1010,
1012; 31 U.S.C. 3729, 3802)
Name of Authorized Official
Mark Hanus
HRA Board Chairperson
11/27/2012
Previous edition is obsolete form HUD 50071 (3/98)
Title
KC14
ref. Handbooks 7417.1, 7475.13, 7485.1, & 7485.3