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Housing & Redevelopment Authority - HRA-Packet-11-21-2023 Supporting Documents - 11/21/2023
OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY BOARD PACKET November 21, 2023 1 of 55 OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY AGENDA Government Services Center, Otter Tail Lake Room 515 West Fir Avenue, Fergus Falls, MN November 21, 2023 HOUSING AND REDEVELOPMENT AUTHORITY MEETING AGENDA11:45am 1.Call Meeting to Order and Roll Call – Chairperson 2.Approval of Agenda 3.Consent Agenda A.Regular Board Meeting Minutes, October 17, 2023 B.Joint Work Session Notes Between HRA and CDA, October 17, 2023 C.Housing Choice Voucher Rental Assistance Program Report October 2023 D.Community Housing Investment Programs Report October 2023 E.Public Housing Program Report October 2023 F.Check Report and October 2023 Financial Reports 4.New Business A.Resolution No. 258 Adopt Amendment To Community Housing Improvement Program Down Payment Assistance and the Emergency Housing Repair Program Requirements B.Resolution No. 259 Adopting Write Off Policy C.Resolution No. 260 Adopting 2024 Public Housing Operating Budget D.Resolution No. 261 Adopting 2024 Annual Budget E.Resolution No. 262 Appoint Amy Baldwin Housing and Redevelopment Authority Executive Director Effective December 4, 2023 F.Resolution No. 263 Adopting Purchasing Card Policy and Procedures; Rescind Resolution No. 160 5.Executive Director Report 6.General Discussion – Topics by Commissioners 7.Adjourn 2 of 55 OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY ITEM 3. CONSENT AGENDA 3 of 55 1ir EOU/\l. HOUSING OPPORTUNITY The Otter Tail County HRA Board of Commissioners Met for a regular meeting on October 17, 2023 at 11:45am At the Otter Tail County Government Services Center 500 W Fir Ave, Fergus Falls, MN Board Members Present: Wayne Johnson, Chairperson Jeff Ackerson Kurt Mortenson Betty Murphy (arrived at 11:50) Leland Rogness, Vice Chairperson Others Present: Barbara Dacy, OTC HRA Executive Director Amy Baldwin, OTC CDA Director Tanya Westra, OTC HRA Housing Program Supervisor Mitch Harry, OTC HRA Project Manager Julie Bakken, OTC HRA Accounting Specialist Paula Grunewald, OTC HRA Administrative Assistant Via Teams Kelly Miller, OTC HRA Housing Assistance Coordinator Sarah Schake, OTC CDA Project Manager 1. CALL TO ORDER Chairperson Johnson called the meeting to order at 11:47 a.m. 2. APPROVAL OF AGENDA Motion made by Kurt Mortenson, second by Leland Rogness to approve the October 17, 2023 Agenda without changes. Motion passed on a 4-0 vote. 3. APPROVAL OF CONSENT AGENDA ITEMS Motion made by Jeff Ackerson, second by Leland Rogness to approve the Consent Agenda. Motion passed unanimously. 4. NEW BUSINESS A. Motion to Accept Audited Financial Statements for the Year Ended December 31, 2022 Barbara Dacy, OTC HRA Executive Director stated that the Audit was completed. On September 5th the Finance Committee met and the findings identified were the same as what was reported in 2021 regarding: a) preparation of the financial statements; and b) recording a variety of journal entries prior to the audit. She recommended that just as the Finance Committee meets to review the previous year’s audit in September, the Finance Committee could meet in March of each year to review the upcoming audit year financial information and audit entries. She stated that the Finance Committee recommended a motion to “accept” the 2022 Audit. Motion made by Leland Rogness, second by Kurt Mortenson to accept the 2022 Audited Financial Statements for 2022 as presented. Commissioner Wayne Johnson commended Julie Bakken for her hard work on the financial submission to HUD and the 2022 Audit. The motion passed unanimously. 4 of 55 218-998-8730 @ HOUSING AND REDEVELOPMENT AUTHORITY OTTER TAIL COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER LIVE YOUR best life HERE. Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 @ otterta ilcounty.gov Pg. 2 B. Resolution No. 256 Rejecting Construction Estimate; Determining Not to Award Construction Contract for the North Fields of Dalton. Director Dacy stated that it would be appropriate to conclude the RFP process for the North Fields of Dalton Project. She stated that the JBS Construction estimate was $2,023,536, considerably more than the projected $1,351,000. She stated that the RFP included a provision to “reserve the right not to award a contract pursuant to this RFP”. She stated that a letter will be sent to each of the contractors. Motion made by Betty Murphy, second by Jeff Ackerson to approve the Resolution as presented. Motion passed unanimously. C. Resolution No. 257 Adopting Accounts Payable, Disbursements, and Check Writing Policy; Rescinding Resolution No. 187 Director Dacy stated that the proposed policies are based on the template policies from HUD Exchange and the comments from finance staff. She stated that the policies pertain to both electronic and written payments and will update the procedures pertaining to “automatic clearing house” transactions. She stated that rescinding Resolution 187 is also appropriate because the policy adopted at that time is now obsolete. Motion made by Kurt Mortenson, second by Lee Rogness to approve the Resolution as presented. Motion passed unanimously. 5. EXECUTIVE DIRECTOR REPORT A. Voucher Management System Audit. Director Dacy stated that the last time an audit was done for the Voucher Management System was 11 years ago. She stated that the “VMS” process includes reviewing the “housing assistance payments” to landlords calculated by the Housing Assistance Coordinator, and then the Accounting Specialist enters the previous month data generated by the software into the VMS system. The audit period will be from August 2022 thru July 2023. B. Next Commissioner Orientation - November 29th at 11:30am. “The Role of the Commissioner in the Future of the HRA”. Ms. Dacy stated that this will be the last of the series. Commissioners responded that they did not receive a link for the last meeting. C. Welcome to Mitch Harry, Project Manager. Tanya Westra introduced Mitch Harry as the new Project Manager. . 6. GENERAL DISCUSSION – TOPICS BY COMMISSIONERS None 7. ADJOURNMENT At 12:12 p.m. a motion was unanimously carried to adjourn the meeting. __________________________________________________ ___________________ Kurt Mortenson/Secretary/Clerk Date 5 of 55 NOTES OF THE JOINT WORK SESSION BETWEEN HOUSING AND REDEVELOPMENT AUTHORITY AND COMMUNITY DEVELOPMENT AGENCY OF OTTER TAIL COUNTY Government Services Center, County Board Room 515 W Fir Ave, Fergus Falls MN 56537 October 17, 2023 Call to Order The joint meeting convened at 12:30 p.m., Tuesday, October 17, 2023. Attendance was as follows: CDA HRA Present in person Present via Technology Absent Board Members: Jeff Ackerson CDA/HRA x Dena Johnson CDA x Wayne Johnson HRA x Val Martin CDA x Kurt Mortenson CDA/HRA x Betty Murphy HRA x Dave Ripley CDA x Betsy Roder CDA x Leland Rogness CDA/HRA x Dave Schornack CDA x Staff: Barbara Dacy, HRA Executive Director x Amy Baldwin, CDA Director x Tanya Westra, Housing Program Supervisor x Sarah Schake, Project Manager x Paula Grunewald, HRA Adm. Assistant x Julie Bakken, HRA Accounting Specialist x Discussion Items A. 2024 Work Plan Priorities Amy Baldwin, CDA Director and Barbara Dacy, HRA Executive Director described 2024 Housing Work Plan Priorities – 1) Create New Homes 2) Keep People in Homes. 1) Priorities to Create New Homes included: Affordable Home Ownership: 1) Single Family Tax Rebate Program - CDA lead. Last year of program is 2024. 2) Pelican Rapids Highway Garage Redevelopment – CDA lead. TIF for infrastructure costs. 2 homes CDA, plus 1 HRA lot (former tax forfeit lot). Applied for MHFA Community Impact program; award to be announced in December. 3) Down Payment Assistance Program – HRA lead. Dacy stated that this program is a main stay, but home prices have increased. Buyer required to pay 3% down, which may be too much. Staff is revising program requirements and will present on a future agenda. 6 of 55 OTTERTAIL COUNTY· MINNESOTA Affordable Senior Housing Development: 1) Housing Infrastructure Bond Application – HRA lead. Application to be submitted in July 2024 for construction 2025, HRA lead, total of 18 units in Ottertail, Vergas, New York Mills to be leveraged with Housing Trust Fund and other resources. 2) North Fields of Dalton – HRA Lead. May or may not proceed with County financing; evaluating adding to Housing Infrastructure Bond application. Redevelopment/Reuse: 1) Battle Lake Church Redevelopment - CDA lead. Closed on the property, asbestos has been removed, private developers being solicited, opportunity for new rental housing. Potential for construction next year. 2) Conversion of existing buildings and spaces into housing units - HRA lead. Existing program is a loan at 0% interest to be repaid over ten years. Example would include upstairs of an older building. Goal is to convert areas into rental units and promote the creation of more units by leveraging existing structures. Elevating Awareness of Resources: 1) Ongoing communication and information shared through quarterly housing convenings and newsletters and other communications – CDA lead. 2) Keep People in Homes 1) Residential and Commercial Rehab Investment – HRA Lead. DEED Small Cities Development Program 2 yr. program closeout Battle Lake and Underwood projects Submit Pelican Rapids $1,000,000 application Submit application for Public Housing rehab 2) Preserve existing housing affordable housing stock - HRA Lead. Create new policy / program for affordable housing preservation. 250 units of Section 515 financed properties that serve very low income, built in 70-80s; owners need to decide if they will continue or sell. Don’t want to lose ground on available affordable housing Commissioner Wayne Johnson asked in 40-45 years will there be continued assistance from HUD – Barbara said possibly 3) Expand resources for access to stable/affordable housing Submit application for new state rental assistance program – HRA Lead Expand housing navigation services. Led jointly by HRA/CDA/OTC. Better stable housing, supportive living arrangements. B. Review Proposed Housing Program Modification Realign programs to simplify application and administrative process 1) Community Growth Partnership – Reformat program to be comprehensive to city needs. Discussion of removing overall cap for communities and make it more simplified. Suggestion to add “project by project basis” for grant maximums so the Board has discretion. Overall, conducting a review for consistency of terms and use for internal programs as well as alignment with State and other programs Adjustments are needed to meet the needs of the current marketplace 1) Emergency home repair – As currently drafted administration is challenging, need to be reviewed, not easy to use, our program does not fit, change should be made. Be 7 of 55 preemptive for Rehab. HRA funds are used for failing or near failing circumstances then CDA funds are used. 2) Downpayment Assistance C. Housing Summit Preview The Summit will be held November 16, registration 8:30 am, begins at 9:00am. Currently 60 people are registered. Successes of the Big Build will be shared and there will be good speakers. There will be morning and afternoon breakout sessions and Kelly Asche, State of Rural Housing, will be the keynote lunch speaker. E. HRA Executive Director Transition An organizational chart was shown with the positions of Community Development Director/CDA & HRA Executive Director, Housing Program Supervisor and Project Manager, Housing. Staff to support the HRA are now in place with Tanya Westra, Housing Program Supervisor and Mitch Harry as Project Manager. Director Dacy also recommended that the HRA Board appoint Amy Baldwin as the Executive Director at the November 21 meeting giving about a 45-day transition period. Dacy has notified the HUD Field office and will continue current duties until year end with Amy Baldwin. 2024 Board Meeting Structure Currently meetings are on the third Tuesday back-to-back. There was discussion on the pros and cons of holding the meetings together. Do we combine the meetings and do a HRA and CDA roll call? Will it get too long? Some items are Statutorily required. Consensus was that the third Tuesdays work. This will be affirmed at an upcoming meeting. 8 of 55 10/31/2023 11/1/2023 Difference 40,094.00$ 40,273.00$ $179.00 94 94 0 *HAP Transactions 39,447.00$ 39,390.00$ *Utility Reimbursements 647.00$ 883.00$ *HAP Adjustment *Portability Tranactions (Out) *Portablilty Admin Fee (Paid) 10/31 11/1 New Admissions 1 End Participation 1 Shop Mode/ARS 0 Ports-Out Paid 0 0 Ports Out Pending 0 0 Ports In Pending 0 1 11/7/2023 Waiting List/To Date 14 Applications in Progress 10 Vouchers "on the street"24 ELI%100% Monthly Trend Report*Units Available Units Leased Leasing %Budget %Per Unit $ May 2023 144 99 69.4%99.3%409.40$ June 2023 144 95 70.1%101.2%588.15$ July 2023 144 95 70.4%102.2%585.63$ August 2023 144 93 68.7%95.8%437.26$ September 2023 144 95 68.7%97.1%434.00$ October 2023 144 94 68.4%96.8%426.53$ *Leasing % and Budget % based on cumulative activity during calendar year Per Unit $ is rolling three month average *Portability Utility Reimbursement *Hold Landlord Transaction OTC Section 8 Housing Choice Voucher Rental Assistance Program Summary of Actions October 31, 2023 Program Total Financial Transaction Paid This Month* UML (Unit Months Leased or # of Households) 9 of 55 &, OTTE:R 'TAIL '1111111!.' COUNTY -MINNESOTA 218-998-8730 HOUSING ANIO REDEVIEL.OPMIENT .AUTHORITY o ttertaill county.gov Go,.,ern men,t Services Center 500 West Fi1r Avenue Fergus. Falls... MN 56537 h ra@otterrta i llcou nty .gov COMMUNITY HOUSING INVESTMENT PROGRAMS (CHIP) BOARD REPORT October 2023 Program Applications Approved Applications Denied Inspections Conducted Proceed to Work Issued Projects Complete Goal Program End Date Emergency Home Repair Program (EHRP) On-Going Down Payment Assistance (DPA) 2 2 On-Going SCDP: Reuse 2 2 2 2 On-Going Rent Rehab - RR On-Going Affordable Rental Unit Construction - ARUC On-Going BATTLE LAKE 09/30/2024 SCDP: Commercial 2 1 1 1 8 SCDP: Homeowner 7 6 7 5 5 20 Residential Owner-Occupied Leverage (ROHL) 4 4 3 UNDERWOOD 09/30/2024 SCDP: Homeowner 12 4 12 9 8 17 Residential Owner-Occupied Leverage (ROHL) 5 5 4 10 of 55 218-998-8730 HOUSING AND REDEVELOPMENT AUTHORITY ottertailcou nty.gov Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 hra@ottertailcounty.gov PUBLIC HOUSING BOARD REPORT October 2023 Rents Payable $2,585 Rents Collected $2,573 Total Negative Rents $605 Negative Rents Paid $0 Late Fees Charged $0 Late Fees Collected $0 Number of Units Paying Flat/Ceiling Rent 1 Fiscal Year ELI 100% WAITING LIST 2 Bedroom 21 3 Bedroom 4 4 Bedroom 0 VACANCIES UNIT VACATED LEASE SIGNED 3 Bdrm - Henning 08/14/2023 Working on two families to determine eligibility Units owned by the OTC HRA 13 Scattered Site Units 3 Bedroom Single Family Home 1 New York Mills 1 Henning 3 Bedroom Duplex 1 New York Mills 1 Henning 1 Underwood 1 Pelican Rapids 4 Bedroom Single Family Home 1 New York Mills 1 Henning 1 Underwood 11 of 55 218-998-8730 HOUSING AND REDEVELOPMENT AUTHORITY ottertailcou nty.gov Government Services Cen ter 500 West Fir Avenue Fergus Falls, MN 56537 hra@ottertailcounty.gov Doc Num Voided Type Document Recipient 60 No DD Barbara Dacy LLC 61 No DD Betty Murphy 62 No DD Kurt A. Mortenson 63 No DD Betty Murphy 64 No DD Jeff A Ackerson 65 No DD Kurt A. Mortenson 66 No DD Wayne Johnson 1381 No CHK Design Intent Architects P.A. 1382 No CHK HighPoint Homes Inc 1383 No CHK Kevin Currie 1384 No CHK Lakes Country Service Cooperative 1385 No CHK Language Line Services Inc 1386 No CHK Minnesota Housing Finance Agency 1387 No CHK Schueller's Septic Solutions LLC 1388 No CHK Silent Lake Builders 1389 No CHK Tanya Westra 1390 No CHK Brady Martz & Assoc PC 1391 No CHK Contractor Compliance & Monitoring Inc 1392 No CHK Office of the Minnesota Secretary of State 1393 No CHK Otter Tail County Treasurer 1394 No CHK Minnesota Housing Finance Agency 09/15/23- 10/13/23 No INV Cardmember Service Payments $181,809.14 $181,809.14 Count 7 14 1 22 End of Report $170,669.86 Invoice (INV)$823.98 Total:$181,809.14 Project Summary Program - Project Deposits General Revolving (GR) - General Revolving $0.00 Total:$0.00 Type Summary Document Type Amount Direct Deposit (DD)$10,315.30 Check (CHK) 10/12/2023 Hotels & Office Supplies No $823.98 Cleared: 19 $179,985.70 Uncleared: 3 $1,823.44 Total Payments: 22 $181,809.14 10/20/2023 3rd Qtr 2023 Services Yes $94,819.74 10/26/2023 Interest Payment #1270599 No $965.02 10/20/2023 Hidden Meadow Sept 23 Labor Compliance Yes $750.00 10/20/2023 Notary Commission-Mitch Harry Yes $120.00 10/09/2023 Parking/Meals MN NAHRO No $34.44 10/20/2023 2022 Audit, REAC, State Reporting, Board Yes $5,175.00 10/09/2023 City of Ottertail Tri-Plex Units Septic System Yes $1,300.00 10/09/2023 Carpentry Labor & Materials - Vergas Yes $25,000.00 10/09/2023 Interpretation & Translation Yes $183.36 10/09/2023 Loan #1270599 Interest Due Yes $965.02 10/09/2023 September 2023 Consulting Services Yes $3,667.78 10/09/2023 Lead Paint Testing Battle Lake BH20#02 Yes $325.00 10/09/2023 Dalton Schematic Design & Permit Document Yes $22,012.50 10/09/2023 Hidden Meadows #109 Pay App #6 Yes $15,352.00 10/20/2023 10/17/23 Per Diem & Mileage Yes $92.03 10/20/2023 10/17/23 Per Diem & Mileage Yes $101.86 10/20/2023 10/17/23 Per Diem & Mileage Yes $101.86 10/20/2023 10/17/23 Per Diem & Mileage Yes $82.21 10/09/2023 Per Diem/Mileage Reimb Sept 2023 Yes $101.86 10/09/2023 Per Diem/Mileage Reimb Sept 2023 Yes $92.03 Payment Date Document Description Cleared Amount 10/09/2023 September 2023 Services Yes $9,743.45 Otter Tail County Housing Redevelopment Authority General Ledger Cash Payment/Receipt Register General Revolving (GR) Posted Payments www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 3:07:05 PM Printed by: Julie Bakken 12 of 55 83% Period YTD Annual Remaining Amount Amount Budget Budget INCOME 3610 Interest Income 3703/5353/3741/0054 462.65 5,014.67 1,800.00 3,214.67 279% 3690 Other Revenue MISC 1,757.27 1,757.27 3690.01 SCDP Administration (DEED) - All Communities 2,912.46 85,000.00 (82,087.54)3% 3690.02 SCDP City/Grant Funds - All Communities 19,417.77 444,920.00 (425,502.23)4% 3690.99 Refunds & Reimbursements 411.28 13,205.85 13,205.85 3691 Levy Revenue 427,226.30 1,190,118.85 1,309,725.00 (119,606.15)91% 3693.01 CHIP Emerg Housing Repair Program (EHRP) Repayment 6,842.00 6,842.00 3693.03 CHIP FFHRA Rehab Repayments 24,012.90 24,012.90 3693.05 CHIP Rental Rehab Revolving Loan Payments 907.00 16,073.06 31,821.00 (15,747.94)51% 3695.01 MHFA Loan Distributions - All Projects 347,602.00 500,000.00 (152,398.00)70% 3695.02 MHFA Grant Distributions - All Projects 516,000.00 (516,000.00)0% 3697 Owner Match Revenue 9,469.93 9,469.93 3698 Developer Fees 75,000.00 (75,000.00)0% 3699 Sale of Property 422,867.15 745,000.00 (322,132.85)57% TOTAL INCOME 429,007.23 2,059,293.91 3,709,266.00 (1,649,972.09)56% EXPENSES 4130 Legal 3,352.96 30,000.00 26,647.04 11% 4140 Staff Training 5,585.22 5,000.00 (585.22)112% 4150 Travel 34.44 369.26 4,300.00 3,930.74 9% 4170 Accounting 15,000.00 45,000.00 60,000.00 15,000.00 75% 4171 Audit 5,175.00 15,175.00 16,100.00 925.00 94% 4190 Other Administrative Expenses 2,227.80 200.00 (2,027.80)1114% 4190.01 Manuals, Subscriptions 717.00 200.00 (517.00)359% 4190.02 Office Supplies 995.82 1,700.00 704.18 59% 4190.03 Postage 745.19 2,128.62 4,500.00 2,371.38 47% 4190.04 Telephone & Internet 77.00 199.70 300.00 100.30 67% 4190.05 Dues 120.00 911.74 1,000.00 88.26 91% 4190.06 Advertising 55.44 1,538.11 1,300.00 (238.11)118% 4190.08 Consulting Fees 183.36 6,951.04 28,000.00 21,048.96 25% 4190.2 Management Fees-OTC Admin 78,942.11 212,204.28 364,342.00 152,137.72 58% 4190.21 Management Fees-Administrator Contract 9,743.45 87,691.05 116,918.00 29,226.95 75% 4190.22 Management Fees - Construction Consultant 3,667.78 39,355.68 40,000.00 644.32 98% 4210 Board Member Payments 571.85 3,697.39 4,900.00 1,202.61 75% 4430.1 Misc Contracts - Software 6,373.50 5,000.00 (1,373.50)127% 4510 Insurance 46,305.71 35,000.00 (11,305.71)132% 4521 Assessments 80.00 420.00 340.00 19% 4570 Housing Choice Voucher Operating Support 30,000.00 30,000.00 0% 4580 Public Housing Operating Support 20,000.00 20,000.00 0% 4590.01 SCDP O & E Reports 85.00 2,000.00 1,915.00 4% 4590.02 SCDP Lead Based Paint Testing 325.00 650.00 10,000.00 9,350.00 7% 4590.03 SCDP Construction (DEED)25,000.00 116,107.77 432,000.00 315,892.23 27% 4590.04 SCDP Recording Fees 460.00 920.00 460.00 50% 4590.05 SCDP General Expense - Leverage 212,007.00 212,007.00 0% 4591 MHFA Impact Fund Expenses 17,282.04 904,327.78 1,016,000.00 111,672.22 89% 4591.01 MHFA Administration/Overrun 750.00 29,572.77 75,000.00 45,427.23 39% 4591.02 MHFA Loan Repayment 205,802.20 745,000.00 539,197.80 28% 4592.01 HOP Demolition/Site Clearance 41,537.50 40,000.00 (1,537.50)104% 4593.02 CAP Property Acquisition 50.65 25,000.00 24,949.35 0% 4593.03 CAP Consulting Fees 1,980.00 30,000.00 28,020.00 7% 4593.04 CAP Architect/Engineering 23,312.50 44,657.43 (44,657.43) 4593.05 CAP Legal Fees 4,627.00 (4,627.00) 4594 CHIP Down Payment Assistance 10,000.00 50,000.00 40,000.00 20% 4595.01 CHIP Emergency Housing Repair Program (EHRP)40,000.00 40,000.00 0% 4595.02 CHIP Res Owner Occupied Housing Leverage (ROHL)6,833.15 70,000.00 63,166.85 10% 4595.04 CHIP Affordable Rental Unit Constr (ARUC) Program 70,000.00 70,000.00 0% 4595.05 CHIP Rental Rehabilitation Loan 20,000.00 20,000.00 0% TOTAL EXPENSES 180,985.16 1,847,551.13 3,607,107.00 1,759,555.87 51% SURPLUS 248,022.07 211,742.78 102,159.00 109,583.78 207% Otter Tail County Housing Redevelopment Authority Operating Statement Ten Months Ending 10/31/2023 Program: General Revolving (GR) Project: Consolidated Percent of Year www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:18:10 PM Printed by: Julie Bakken 13 of 55 Period Amount Balance ASSETS 1111 Cash 247,050.15 1,178,874.38 1111.1 Certificates of Deposit 142,898.17 1111.2 Cash MHFA Loan Acct #0054 0.52 4,082.60 1111.3 Cash Committed for Hidden Meadows 375,000.00 1111.4 Committed for Housing Trust Fund 542,596.00 1113 Cash Rent Rehab 971.40 303,906.87 1130.1 Loan Receivable-Rental Rehab 112,295.99 1130.2 Loan Receivable-Down Payment Assistance 79,238.00 1130.3 Loan Receivable-Tax Levy Rehab Provision 268,804.14 1130.4 Loan Receivable-Homeowner Rehab 337,957.94 1130.9 Loan Allowance (606,762.08) 1135.5 Taxes Receivable 16,095.00 1400.12 Assets Held for Resale 1,051.00 1400.5 Accumulated Depreciation (268.25) 1400.9 Furn/Equip/Mach - Admin 9,657.00 TOTAL ASSETS 248,022.07 2,765,426.76 LIABILITIES AND SURPLUS LIABILITIES 2310 MHFA Note Payable 167,006.00 TOTAL LIABILITIES 167,006.00 SURPLUS 2700 Income/Expense Clearing Account 421,028.43 2700 Income/Expense Clearing Account (Current Year) (80.00) 2806 Unrestricted Net Position 1,965,649.55 2806 Unrestricted Net Position (Current Year) 248,022.07 211,822.78 TOTAL SURPLUS 248,022.07 2,598,420.76 TOTAL LIABILITIES AND SURPLUS 248,022.07 2,765,426.76 Otter Tail County Housing Redevelopment Authority Balance Sheet October 2023 Program: General Revolving (GR) Project: Consolidated www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:18:09 PM Printed by: Julie Bakken 14 of 55 Doc Num Voided Type 597 No DD 598 No DD 599 No DD 600 No DD 601 No DD 602 No DD 603 No DD 604 No DD 605 No DD 606 No DD 607 No DD 608 No DD 609 No DD 610 No DD 611 No DD 612 No DD 613 No DD 614 No DD 615 No DD 616 No DD 617 No DD 618 No DD 619 No DD 620 No DD 621 No DD 622 No DD 623 No DD 624 No DD 625 No DD 626 No DD 627 No DD 628 No DD 629 No DD 630 No DD 631 No DD 632 No DD 633 No DD 634 No DD 635 No DD 636 No DD 637 No DD 6104 No CHK 6105 No CHK 6106 No CHK 6107 No CHK 6108 No CHK 6109 No CHK 6110 No CHK 6111 No CHK 6112 No CHK 6113 No CHK 6114 No CHK 6115 No CHK 10/01/2023 HAP Util Payment Oct 23 Yes $12.00 10/01/2023 HAP Util Payment Oct 23 Yes $182.00 10/01/2023 HAP Util Payment Oct 23 Yes $37.00 10/01/2023 HAP Util Payment Oct 23 Yes $54.00 10/01/2023 HAP Payment Oct 23 Yes $331.00 10/01/2023 HAP Payment Oct 23 Yes $385.00 10/01/2023 HAP Payment Oct 23 No $461.00 10/01/2023 HAP Payment Oct 23 Yes $667.00 10/01/2023 HAP Payment Oct 23 Yes $357.00 10/01/2023 HAP Payment Oct 23 Yes $936.00 10/01/2023 HAP Payment Oct 23 Yes $675.00 10/01/2023 HAP Payment Oct 23 Yes $1,045.00 10/01/2023 HAP Payment Oct 23 Yes $639.00 10/01/2023 HAP Payment Oct 23 Yes $238.00 10/01/2023 HAP Payment Oct 23 Yes $674.00 10/01/2023 HAP Payment Oct 23 Yes $527.00 10/01/2023 HAP Payment Oct 23 Yes $1,225.00 10/01/2023 HAP Payment Oct 23 Yes $294.00 10/01/2023 HAP Payment Oct 23 Yes $429.00 10/01/2023 HAP Payment Oct 23 Yes $280.00 10/01/2023 HAP Payment Oct 23 Yes $590.00 10/01/2023 HAP Payment Oct 23 Yes $496.00 10/01/2023 HAP Payment Oct 23 Yes $396.00 10/01/2023 HAP Payment Oct 23 Yes $517.00 10/01/2023 HAP Payment Oct 23 Yes $670.00 10/01/2023 HAP Payment Oct 23 Yes $289.00 10/01/2023 HAP Payment Oct 23 Yes $268.00 10/01/2023 HAP Payment Oct 23 Yes $357.00 10/01/2023 HAP Payment Oct 23 Yes $395.00 10/01/2023 HAP Payment Oct 23 Yes $683.00 10/01/2023 HAP Payment Oct 23 Yes $391.00 10/01/2023 HAP Payment Oct 23 Yes $3,401.00 10/01/2023 HAP Payment Oct 23 Yes $267.00 10/01/2023 HAP Payment Oct 23 Yes $493.00 10/01/2023 HAP Payment Oct 23 Yes $596.00 10/01/2023 HAP Payment Oct 23 Yes $900.00 10/01/2023 HAP Payment Oct 23 Yes $411.00 10/01/2023 HAP Payment Oct 23 Yes $5,597.00 10/01/2023 HAP Payment Oct 23 Yes $880.00 10/01/2023 HAP Payment Oct 23 Yes $150.00 10/01/2023 HAP Payment Oct 23 Yes $405.00 10/01/2023 HAP Payment Oct 23 Yes $1,031.00 10/01/2023 HAP Payment Oct 23 Yes $1,023.00 10/01/2023 HAP Payment Oct 23 Yes $609.00 10/01/2023 HAP Payment Oct 23 Yes $925.00 10/01/2023 HAP Payment Oct 23 Yes $6,033.00 10/01/2023 HAP Payment Oct 23 Yes $400.00 10/01/2023 HAP Payment Oct 23 Yes $294.00 10/01/2023 HAP Payment Oct 23 Yes $327.00 10/01/2023 HAP Payment Oct 23 Yes $394.00 10/01/2023 HAP Payment Oct 23 Yes $301.00 10/01/2023 HAP Payment Oct 23 Yes $247.00 Payment Date Document Description Cleared Amount 10/01/2023 HAP Payment Oct 23 Yes $548.00 Otter Tail County Housing Redevelopment Authority General Ledger Cash Payment/Receipt Register Housing Choice Vouchers Posted Payments www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 2 11/3/2023 3:12:11 PM Printed by: Julie Bakken 15 of 55 Otter Tail County Housing Redevelopment Authority General Ledger Cash Payment/Receipt Register Housing Choice Vouchers 6116 No CHK 6117 No CHK 6118 No CHK 6119 No CHK 6120 No CHK 6121 No CHK 6122 No CHK 6123 No CHK 0000205455 No ADJ Doc Num Voided Type 2762628667 No MO Payments $61,839.31 $61,839.31 Count 41 20 1 1 63Total:$61,912.31 End of Report $28,271.31 Portability Tenant ($1,022.00) Money Order (MO)$73.00 Project Summary Program - Project Deposits Housing Choice $73.00 Total:$73.00 Type Summary Document Type Amount Direct Deposit (DD)$34,590.00 Check (CHK) 10/09/2023 Payment - Money Order Yes $73.00 Cleared: 1 $73.00 Uncleared: 0 $0.00 Total Deposits: 1 $73.00 Posted Deposits Control Date Document Description Cleared Amount 10/05/2023 Returned HAP Yes ($1,022.00) Cleared: 60 $61,311.31 Uncleared: 2 $528.00 Total Payments: 62 $61,839.31 10/20/2023 3rd Qtr 2023 HCV Payroll Yes $22,700.31 10/26/2023 Unclaimed Prop Prog No $67.00 10/01/2023 HAP Util Payment Oct 23 Yes $5.00 10/01/2023 HAP Util Payment Oct 23 Yes $49.00 10/01/2023 HAP Util Payment Oct 23 Yes $148.00 10/01/2023 HAP Util Payment Oct 23 Yes $48.00 10/01/2023 HAP Util Payment Oct 23 Yes $84.00 10/01/2023 HAP Util Payment Oct 23 Yes $28.00 www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 2 of 2 11/3/2023 3:12:11 PM Printed by: Julie Bakken 16 of 55 83% Period YTD Annual Remaining Amount Amount Budget Budget INCOME 3110 Dwelling Rent HAP Repayment (1,095.00)6,134.00 6,134.00 3301 Admin Subsidy 6,123.00 64,041.00 79,201.00 (15,160.00)81% 3301.1 HAP Subsidy 42,535.00 418,667.00 434,498.00 (15,831.00)96% 3450 Fraud Recovery - Admin 50%547.50 3,384.24 3,384.24 3450.1 Fraud Recovery - HAP 50%547.50 3,384.24 3,384.24 3610 Investment Income (0062)13.85 113.66 105.00 8.66 108% 3690.1 Other Revenue HAP 30,000.00 (30,000.00)0% TOTAL INCOME 48,671.85 495,724.14 543,804.00 (48,079.86)91% EXPENSES 4150 Travel 359.85 1,200.00 840.15 30% 4190 Other Admin Expenses (Apps, Service Charges)22.00 274.51 120.00 (154.51)229% 4190.01 Manuals, Subscriptions 240.00 240.00 0% 4190.08 Consulting Fees 1,945.00 1,945.00 100% 4190.2 Management Fees-OTC 22,700.31 67,275.89 93,887.00 26,611.11 72% 4715.1 HAP Occupied Units 40,094.00 397,636.00 394,904.00 (2,732.00)101% 4715.P HAP-Portability Out (1,022.00)15,330.00 32,462.00 17,132.00 47% 4716.P Port Out Admin Fee 1,016.08 1,423.00 406.92 71% TOTAL EXPENSES 61,794.31 483,837.33 526,181.00 42,343.67 92% SURPLUS (13,122.46)11,886.81 17,623.00 (5,736.19)67% Otter Tail County Housing Redevelopment Authority Operating Statement Ten Months Ending 10/31/2023 Program: Housing Choice Vouchers Project: Consolidated Percent of Year www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:34:37 PM Printed by: Julie Bakken 17 of 55 Period Amount Balance ASSETS 1111 Cash Unrestricted (13,049.46)60,023.93 1121 Fraud A/R (148.00)2,845.00 1129 A/R Tenants 75.00 4,311.00 TOTAL ASSETS (13,122.46)67,179.93 LIABILITIES AND SURPLUS LIABILITIES TOTAL LIABILITIES SURPLUS 2700 Inc & Exp Clearing 4,078.69 2805 Restricted Net Position 22,114.50 2805 Restricted Net Position (Current Year) 4,010.50 9,085.24 2806 Unrestricted Position 29,099.93 2806 Unrestricted Position (Current Year) (17,132.96)2,801.57 TOTAL SURPLUS (13,122.46)67,179.93 TOTAL LIABILITIES AND SURPLUS (13,122.46)67,179.93 Otter Tail County Housing Redevelopment Authority Balance Sheet October 2023 Program: Housing Choice Vouchers Project: Consolidated www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:34:37 PM Printed by: Julie Bakken 18 of 55 Doc Num Voided Type #01-00000621-00-0 Sept 23 No INV #01-00041004-00-6 Sept 23 No INV #01-00041101-00-0 Sept 23 No INV #01-00041152-00-6 Sept 23 No INV #10108 Oct 23 No INV #10350 Oct 23 No INV #10787 Oct 23 No INV #991 721 5394 4 Oct 23 No INV 7297 No CHK 7298 No CHK 7299 No CHK 7300 No CHK 7301 No CHK 7302 No CHK 7303 No CHK 7304 No CHK 7305 No CHK Doc Num Voided Type 561 No CHK 1209 No CHK 1314 No CHK 3576 No CHK 824424 No CHK 8244242 No CHK 82442425 No CHK 27407470746 No CHK 2740747757 No MO 28365507347 No MO 28542825090 No MO 2854285213 No MO 28647066778 No MO 28985310865 No MO 28985312013 No MO Payments $3,400.92 $3,400.92 Count 8 17 7 32 End of Report $4,834.77 Money Order (MO)$2,285.00 Total:$8,390.24 Project Summary Program - Project Deposits Public Housing - Family $4,989.32 Total:$4,989.32 Type Summary Document Type Amount Invoice (INV)$1,270.47 Check (CHK) 10/20/2023 Payment - Money Order No $750.00 Cleared: 11 $3,649.32 Uncleared: 4 $1,340.00 Total Deposits: 15 $4,989.32 10/03/2023 Payment - Money Order Yes $180.00 10/20/2023 Payment - Money Order No $170.00 10/03/2023 Payment - Money Order Yes $125.00 10/20/2023 Payment - Money Order No $340.00 10/03/2023 Payment - Money Order Yes $20.00 10/03/2023 Payment - Money Order Yes $700.00 10/03/2023 Payment - Check State of MN Yes $170.49 10/03/2023 Payment - Check Yes $154.91 10/03/2023 Payment - Check State of MN Yes $91.00 10/03/2023 Payment - Check St of MN Yes $380.00 10/13/2023 Payment - Check Yes $457.94 10/20/2023 Payment - Check No $80.00 10/13/2023 Payment - Check Yes $907.98 10/03/2023 Payment - Check Yes $462.00 Posted Deposits Control Date Document Description Cleared Amount Cleared: 12 $2,920.49 Uncleared: 5 $480.43 Total Payments: 17 $3,400.92 10/20/2023 504 Marshall Ave, Henning Yes $124.00 10/20/2023 Paint No $184.47 10/20/2023 Water, Gas, Sewer Yes $560.46 10/20/2023 3rd Qtr 2023 Fuel Reimb Yes $51.75 10/20/2023 Oil Change 2012 Ford F250 Pickup Yes $69.15 10/20/2023 Oct 23 Mileage Reimb Yes $47.82 10/20/2023 Solar Salt Yes $42.80 10/20/2023 Painting - 504 Marshall, Henning Yes $1,000.00 10/11/2023 Gas No $21.20 10/20/2023 2024 Water Discharge Permit for 106 & 110 10th Ave Yes $50.00 10/25/2023 Water, Sewer No $80.36 10/02/2023 Water, Sewer No $88.14 10/02/2023 Water, Electric, Gas, Sewer Yes $292.98 10/25/2023 Water, Sewer No $106.26 10/02/2023 Water, Electric, Gas, Sewer Yes $250.00 10/02/2023 Water, Electric, Gas, Sewer Yes $311.52 Payment Document Description Cleared Amount 10/02/2023 Water, Electric, Gas, Sewer Yes $120.01 Otter Tail County Housing Redevelopment Authority General Ledger Cash Payment/Receipt Register Public Housing Posted Payments www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 3:30:30 PM Printed by: Julie Bakken 19 of 55 83% Period YTD Annual Remaining Amount Amount Budget Budget INCOME 3110 Dwelling Rental 1,980.00 30,691.46 25,000.00 5,691.46 123% 3401.1 HUD Operating Subsidy 3,004.00 43,136.00 45,000.00 (1,864.00)96% 3401.2 HUD Capital Funds-Operations/Admin 14,363.00 7,000.00 7,363.00 205% 3401.3 HUD Capital Funds-Project 36,971.88 33,000.00 3,971.88 112% 3610 Interest Income (5673/0070)29.72 215.41 40.00 175.41 539% 3690 Other Income (NSF, Late Fee, GR Support)806.50 21,000.00 (20,193.50)4% 3690.1 Water Charge Income 744.84 6,267.43 6,300.00 (32.57)99% 3690.2 Electric Charge Income 1,901.55 9,756.70 8,550.00 1,206.70 114% 3690.3 Gas Charge Income 244.30 7,209.88 11,000.00 (3,790.12)66% 3690.31 Sewer Charge Income 823.77 7,220.03 7,350.00 (129.97)98% 3690.4 Other Tenant Charges (Maint)124.00 1,209.00 1,209.00 TOTAL INCOME 8,852.18 157,847.29 164,240.00 (6,392.71)96% EXPENSES 4130 Legal 380.50 750.00 369.50 51% 4140 Staff Training 450.00 500.00 50.00 90% 4150 Travel 99.57 393.83 1,000.00 606.17 39% 4171 Audit 2,000.00 2,000.00 0% 4190 Other Admin Expenses (Reports, Apps)59.00 2,100.00 2,041.00 3% 4190.01 Manuals, Subscriptions 500.00 500.00 0% 4190.02 Office Supplies 750.00 750.00 0% 4190.03 Postage 500.00 500.00 0% 4190.06 Advertising 200.00 200.00 0% 4190.08 Consulting Fees 1,945.00 1,945.00 100% 4190.2 Management Fees-OTC 16,999.99 17,000.00 0.01 100% 4310 Water 639.38 5,868.92 6,400.00 531.08 92% 4320 Electric 1,260.22 8,396.18 8,700.00 303.82 97% 4330 Gas 256.48 6,935.08 11,500.00 4,564.92 60% 4331 Sewer 734.04 6,545.75 7,500.00 954.25 87% 4400 Maintenance - Tools & Equip 22.95 750.00 727.05 3% 4420 Maintenance - Materials 253.62 2,371.99 5,500.00 3,128.01 43% 4430 Maintenance - Contracts 1,092.80 6,861.43 20,000.00 13,138.57 34% 4431 Garbage and Trash Removal Contracts 124.00 130.00 500.00 370.00 26% 4510 Insurance 15,762.60 15,763.00 0.40 100% 4520 PILOT 1,200.00 1,200.00 0% 4521 Assessments 1,237.36 1,200.00 (37.36)103% 4570 Collection Loss 500.00 500.00 0% 4580 Interest Expense (on Security Deposits)300.00 300.00 0% 4600 Capital Fund Projects 36,971.88 33,000.00 (3,971.88)112% 4610 Extraordinary Maintenance 3,500.00 3,500.00 0% TOTAL EXPENSES 4,460.11 111,332.46 143,558.00 32,225.54 78% SURPLUS 4,392.07 46,514.83 20,682.00 25,832.83 225% Otter Tail County Housing Redevelopment Authority Operating Statement Ten Months Ending 10/31/2023 Program: Public Housing Project: Consolidated Percent of Year www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:45:10 PM Printed by: Julie Bakken 20 of 55 Period Amount Balance ASSETS 1111 Cash 3,562.93 130,971.49 1114 Tenant Security Deposit Cash 9,044.40 1122 A/R Tenants 1,283.04 4,180.97 1122.1 Allowance for Doubtful Accts (200.00) 1400.5 Accumulated Depreciation (1,072,546.36) 1400.6 Land 32,990.31 1400.7 Buildings 1,661,869.49 TOTAL ASSETS 4,845.97 766,310.30 LIABILITIES AND SURPLUS LIABILITIES 2111.1 A/P Tenants (4.65)234.95 2114 Tenant Security Deposits 9,044.40 2240 Tenants Prepaid Rent 458.55 1,566.74 TOTAL LIABILITIES 453.90 10,846.09 SURPLUS 2700 Income/Expense Clearing Account (63,672.49) 2700 Income/Expense Clearing Account (Current Year) 4,392.07 46,514.83 2802 Invested in Capital Assets, Net of Related Debt 679,466.94 2806 Unrestricted Net Position 93,154.93 TOTAL SURPLUS 4,392.07 755,464.21 TOTAL LIABILITIES AND SURPLUS 4,845.97 766,310.30 Otter Tail County Housing Redevelopment Authority Balance Sheet October 2023 Program: Public Housing Project: Consolidated www.pha-web.com © 2023 Management Computer Services, Inc. (MCS) Page 1 of 1 11/3/2023 2:45:10 PM Printed by: Julie Bakken 21 of 55 OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY ITEM 4. NEW BUSINESS 22 of 55 1ir EOU/\l. HOUSING OPPORTUNITY OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION _November 21, 2023__ BOARD MEETING DATE AGENDA ITEM #4A Community Housing Improvement Program, Down Payment Assistance & Emergency Housing Repair Programs ORIGINATING DEPARTMENT/SERVICE Tanya Westra 11/13/2023 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 258 Resolution Adopting Amendment to Community Housing Investment Program Down Payment Assistance and Emergency Housing Repair Program Requirements PROPOSED REQUEST/JUSTIFICATION Down Payment Assistance Program Recommended Changes The Otter Tail County HRA recognizes that the market for purchasing a home as well as rehabilitating an existing home has changed significantly in recent months. In speaking with area lenders and realtors, it was confirmed that homebuyers are having a more difficult time finding an affordable home. Due to increasing interest rates, homebuyers that were previously shopping for a home in the $200,000 price range, are now able to afford a home in the $150,000-$175,000 range. This places greater pressure on an already tight housing market as home prices are not reducing. Staff recommends two changes which will give buyers a greater chance of getting into a home: 1) increasing the deferred loan amount from the HRA to the homebuyer to 6% of the purchase price with a maximum of $15,000; and 2) decreasing the homebuyer match requirement to 2% of the purchase price Emergency Housing Repair Program Recommended Changes The cost to repair essential systems in a home has also increased. Although construction prices have stabilized, it is still higher than pre-pandemic. Staff recommends three changes to the Emergency Housing Repair Program: 1) increase the lifetime benefit to $20,000, 2) add code violations as an eligible activity; and 3) increase the maximum estimated market value of the property to $250,000. While most communities in Otter Tail County do not actually inspect housing for code violations in the traditional sense, this activity would include items that other Otter Tail County Departments have deemed as a violation of their department’s code. Market values of property have also increased. Data obtained from the Assessor’s Office as well as from the Geographic Information Systems Department reveal that the average property value in Otter Tail County is $233,000. This value does not include seasonal, lakeshore or property with an agriculture designation. For transparency, Exhibits A & B to the resolution show current policy along with proposed changes. Staff recommends approval of the resolution adopting a modification to the policy. PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/14/2023 ATTACHMENT LIST: Resolution No. 258 Down Payment Assistance (Exhibit A) & Emergency Housing Repair Program (Exhibit B) Policy Changes FINANCIAL IMPLICATIONS: TBD BUDGETED: X YES NO FUNDING: Tax Levy COMMENTS 23 of 55 RESOLUTION NO. 258 RESOLUTION ADOPTING AN AMENDMENT TO COMMUNITY HOUSING IMPROVEMENT PROGRAM DOWN PAYMENT ASSISTANCE AND EMERGENCY HOUSING REPAIR PROGAM REQUIREMENTS WHEREAS, the Otter Tail County Housing and Redevelopment Authority (the “Authority”) administers the Community Housing Improvement Programs that include the Down Payment Assistance and the Emergency Housing Repair Programs (the “Programs”); and WHEREAS, on June 17, 2021, the Authority Board of Commissioners approved Resolution No. 159 establishing policy and procedure governing the Programs; and WHEREAS, the markets for home purchases and repairs continues to change; and WHEREAS, the Authority has discussed these issues with area professionals; and WHEREAS, the Authority has determined that amendments to the current program requirements are necessary (the “Amendments”) in order to continue the mission of the Authority; and WHEREAS, the proposed amendment is contained in Exhibits A and B, incorporated herein and attached hereto. NOW, THEREFORE, IT IS HEREBY RESOLVED: 1.That the Down Payment Assistance Program Requirements as outlined in Exhibit A to this Resolution are hereby amended. 2.That the Emergency Housing Repair Program Requirements as outlined in Exhibit B tothis Resolution are hereby amended.3. That the Amendments are effective immediately. Upon the motion of _____________, seconded by _______________, and passed on a _______ vote, the above resolution is hereby adopted by the Otter Tail County Housing and Redevelopment Authority Board of Commissioners. Adopted this 21st day of November, 2023. Dated: _______________________________ OTTER TAIL COUNTY HRA BOARD OF COMMISSIONERS Attest:________________________________ By:_______________________________ 24 of 55 07‐23 EXHIBIT A DOWN PAYMENT ASSISTANCE LOAN TERMS AND LIMITS 0% interest loan to be used for up to 56% of the purchase price, with a maximum deferred loan of $10,000 15,000. The lLoan must be repaid at the time of mortgage refinance, sale of property or the term of the first mortgage whichever occurs first. Down Payment Assistance can be utilized for the purchase of an existing home or new construction home and may be used in combination with local programs in areas where it is offered. In these cases, the assistance will be split equally between the two funding sources. APPLICANT ELIGIBILITY CRITERIA Applicant households must be first‐time homebuyers as defined by HUD (definition on back of page) Gross annual income cannot exceed 115% of the Area Median Income as determined and published by HUD annually (income limits are listed on back of document). $111,700 for a household consisting of 1‐2 people and $128,455 for households consisting of 3 or more people. Borrower The homebuyer(s) must contribute 3 2% of the purchase price towards the down payment. The borrower(s) must be preapproved for a 15 to 30‐year fixed rate mortgage using a local mortgage lender. Loans of a lesser term may be considered. Completion of a homebuyer education course is required prior to closing. Borrower The homebuyer(s) must use the home as their primary residence that includes a homestead property tax classification. Properties of a seasonal nature are not eligible. PROPERTY CRITERIA Property must be located within Otter Tail County and in areas where the Otter Tail County HRA is identified as the HRA District on the property tax statement. This would exclude the cities of Fergus Falls, Perham and a portion of Wadena. Eligible property must be used as primary residence. Eligible dwellings must have an inspection and be deemed habitable with no significant health or safety issues noted by a certified home inspector. Eligible dwellings must be on a permanent foundation. 25 of 55 218-998-8730 HOUSING AND REDEVELOPMENT AUTHORITY ottertailcounty.gov Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 (!) EOU/\t. HOUSING OPPORTUNITY hra @ottertailcounty.gov INCOME LIMITS AS PUBLISHED BY HUD (7/1/23) Applicant households must be first‐time homebuyers as defined by HUD. A first‐time homebuyer is an individual who meets any of the following criteria: An individual who has had no ownership in a principal residence during the 3‐year period ending on the date of purchase of the property. This includes a spouse (if either meets the above test, they are considered first‐time homebuyers). A single parent who has only owned with a former spouse while married. An individual who is a displaced homemaker and has only owned with a spouse. An individual who has only owned a principal residence not permanently affixed to a permanent foundation in accordance with applicable regulations. An individual who has only owned a property that was not in compliance with state, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure. HOUSEHOLD SIZE GROSS ANNUAL INCOME LIMIT 1 $71,070 2 $81,190 3 $91,310 4 $101,430 5 $109,595 6 $117,760 7 $125,810 8 $133,975 26 of 55 07-23 EXHIBIT B EMERGENCY HOUSING REPAIR PROGRAM DEFERRED LOAN INFORMATION LOAN TERMS AND LIMITS $1520,000 Lifetime Benefit (per borrower household). If any household member listed on the application has received funding under any of the homeowner rehabilitation programs, the previously borrowed amount will be taken into consideration in accordance with program policy. 0% Interest Deferred Loan that forgives at a rate of 10% per year for 10 years. If the Homeowner sells, moves out, otherwise conveys the property or converts it to a rental property, an amount will have to be repaid as stated in the Repayment Agreement within 30 days of the sale, conveyance, move out date or conversion. $46 Recording Fee and fee for Owner’s and Encumbrances report fees will be included in loan. Subordination requests will only be approved in cases where no cash is taken out if homeowner refinances their mortgage. OWNER ELIGIBILITY CRITERIA Gross annual household income cannot exceed the following limits (80% Area Median Income): 1 person $49,400 2 people $56,450 3 people $63,500 4 people $70,550 5 people $76,200 6 people $81,850 7 people $87,500 8 people $93,500 updated 7/23/23 Households whose gross annual income is between 50% of Area Median Income and 80% of Area Median Income must first apply for and be denied other funding sources such as, but not limited to bank loans, USDA Rural Development 504 Loan Fund, etc. PROPERTY ELIGIBILITY CRITERIA 27 of 55 > > > > > > 218-998-8730 HOUSING AND REDEVELOPMENT AUTHORITY ®-OFPOP.TUNITY ottertailcounty.gov Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 hra@ottertailcounty.gov Property must be located within Otter Tail County and in areas where the Otter Tail County HRA is identified as the HRA District on the property tax statement. This would exclude the cities of Fergus Falls, Perham and a portion of Wadena. Home to be improved must be applicants only residence. Properties held in a trust or life estate not eligible. Properties being purchased on a contract for deed basis would be eligible so long as the contract holder agrees to the loan terms. All parties will be held accountable for loan repayment and must sign loan documents accordingly. Estimated Market Value as designated on the Property Tax Statement must not exceed $1 250,000. Mortgage payments and property taxes must be current. Home must be insured at time of application and for duration of deferred loan. Eligible dwellings must be habitable and on a permanent foundation. Work on mobile homes will not be permitted with the exception of well and septic repair or replacement. Properties can only have one active lien filed by the Otter Tail County HRA (or any other entity in which OTC Tax Levy funds were previously used to improve the property). If the home is converted to a rental property (seasonal or otherwise), the loan must be repaid within 30 days of conversion. ELIGIBLE USES The repair or replacement of failing or near failing systems (definition of near failing: system that is expected to fail within next 12 months) as determined by the Otter Tail County HRA Project Manager: Well Septic* Electrical Plumbing Roof Windows Heating System Water Heater Radon Mitigation Mobility Modifications** Code Violations Licensed contractor must be used for rehabilitation work. *Septic System Repair/Replacement is an eligible activity only when Otter Tail County Land and Resource Department does not have SSTS grants and/or loan funds available. **Modifications must benefit a physically disabled person who permanently resides in the household and the disability is expected to last at least 2 years. Requested modifications need be directly linked to the disabling condition (a ramp or widened doorways for someone who uses a mobility aid). Modifications are required to be of a permanent nature. 28 of 55 > > > > > > > > > > > OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION _November 21, 2023__ BOARD MEETING DATE AGENDA ITEM #4B Administration ORIGINATING DEPARTMENT/SERVICE Barbara Dacy 1121/2023 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 259 Adopting Write Off Policy PROPOSED REQUEST/JUSTIFICATION The purpose of this resolution is to adopt a policy regarding the timing of when to “write off” a balance of past due tenant charges, where tenants may owe the Authority past due rent, late fees, etc. once the dwelling is vacated or the assistance is terminated. The Authority has done this on an annual basis so the policy will match current practice. Writing off a tenant balance does not relieve the tenant’s responsibility to pay this debt. In fact, if the tenant does not pay past due charges, a claim is submitted to the “Revenue Recapture” program through the state where amounts owed are deducted from income tax reimbursements to the taxpayer. The proposed policy states that the staff will make every effort to collect these charges promptly; however, if it is determined that the amounts owed will likely not be collected, a list of accounts will be presented to the Board for authorizing a write off of the account balances. The 2023 balances will be presented at the December meeting. Staff recommends the Board adopt the Resolution as presented. PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/15/2023 ATTACHMENT LIST: Resolution No. 259 and Exhibit A Policy FINANCIAL IMPLICATIONS: NA BUDGETED: YES NO FUNDING: NA COMMENTS 29 of 55 RESOLUTION NO. 259 RESOLUTION ADOPTING WRITE OFF POLICY WHEREAS, the Otter Tail County Housing and Redevelopment Authority (the “Authority”) operates a variety of housing and redevelopment programs (the “Programs”); and WHEREAS, the Authority has determined it prudent to adopt a policy regarding writing off certain unpaid balances in programs where tenants may the Authority unpaid dwelling rent and/or other charges; and WHEREAS, writing off certain unpaid balances does not relieve the tenant’s responsibility to pay this debt; and WHEREAS, the Authority attempts to collect the unpaid balances through the Minnesota Revenue Recapture Program; and WHEREAS, the “Policy” as represented in Exhibit A, attached hereto and incorporated herein, is necessary and appropriate. NOW, THEREFORE, IT IS HEREBY RESOLVED: 1.That the Policy represented in Exhibit A is hereby adopted. Upon the motion of _______ seconded by ________ and passed on a ______ vote, the above resolution is hereby adopted by the Otter Tail County Housing and Redevelopment Authority Board of Commissioners. Adopted this 21st day of November, 2023. Dated: _______________________________ OTTER TAIL COUNTY HRA BOARD OF COMMISSIONERS Attest:________________________________ By:_______________________________ 30 of 55 WRITE-OFF POLICY This policy applies to any program where tenants may owe the program for charges consisting of dwelling rent, late fees, damages, etc. once the dwelling unit is vacated or the rental assistance is terminated. It is the policy of the HRA to make every reasonable effort to collect all monies owed for rent, late fees, excess utilities, damages (other than normal wear and tear), and other charges. HRA staff will make every effort to collect these charges promptly when due and will initiate all procedures related to the collection of overdue amounts, including all steps related to the termination and eviction of the tenant for unpaid charges. A write-off of a tenant account receivable may only occur once the unit is vacated. Upon the determination that the vacated tenant account receivable balances likely will not be collected, a list of uncollectable tenant accounts shall be presented to the HRA Board of Commissioners for approval to write off the tenant account balances. WRITE-OFF PROCEDURES Determination of Accounts Considered Uncollectable Project Managers are tasked with the responsibility of reviewing vacated accounts to determine the accounts that are considered uncollectable. 1. If a tenant has vacated a dwelling unit without a forwarding address and owes rent, utilities, damages, fraud payments or other charges in excess of their security deposit, the Project Manager will attempt to locate the tenant and collect the charges due. 2.If, after a minimum of two (2) months from the date of vacancy or the date the account becomes delinquent for rent, utilities, damages, fraud payments or other charges, the balances owed remains uncollected and all attempts to collect the overdue accounts have failed, the account will be deemed uncollectable. Approval and Documentation of Write-off Once the Project Managers have identified the accounts that are considered uncollectable, the Project Managers will present a list of the uncollectable tenant accounts to the Finance Department. The write-offs will be presented to Finance to allow sufficient time for the write-offs to be written off prior to the end of the fiscal year. The overall approved list of uncollectable tenant accounts provided by each Project Manager will be presented to the HRA Board of Commissioners to officially, by resolution, write off the account balances from the books. The board resolution will list the tenant’s name, types of charges, and total amounts due. This resolution shall be recorded in the official board minutes. EXHIBIT A 31 of 55 218-998-8730 @ HOUSING AND REDEVELOPMENT AUTHORITY OTTER TAIL COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 (!) EOU/\L HOUSING OPPORTUNITY @ ottertailcounty.gov Accounting for Write-off The Executive Director or designee of the Executive Director will instruct Finance to write the account balances off through adjustments to collection losses in the HRA’s software system rent module (subsidiary ledger). The account may only be written off if the account has been officially approved for write-off by the Board. Upon the review of the rental charges and collection losses posted to the account, the Assistant Finance Director or designee of the AFD will book the journal entry (in the general ledger) to charge the write- offs to collection losses. • The review will ensure that only approved accounts were written off and that other non-write-off adjustments to collections losses are reviewed to determine their validity and accuracy. Miscellaneous In addition, if the HRA contracts with a collection agency, account balances will be turned over to the agency for collection. 32 of 55 OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION November 21, 2023 BOARD MEETING DATE AGENDA ITEM #4C Public Housing ORIGINATING DEPARTMENT/SERVICE Tanya Westra 11/09/2023 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 260 Adopting the 2024 Public Housing Operating Budget PROPOSED REQUEST/JUSTIFICATION The purpose of Resolution No. 260 is to approve the operating budget for 2024 for the Public Housing program. Income and expenses are estimated using year to date information through October 31, 2023, and include known expenses to the greatest extent possible. HUD annually scores Public Housing Programs based on several factors, one of which includes a financial component. Public Housing Programs should maintain a reserve consisting of three months operating expenses. Budgets for fiscal years 2022, 2023 and 2024, include $20,000 per year of Special Benefit Levy support. These funds provide a safety net in the event that the Public Housing Program would not have the necessary operating reserves. Financially healthy Public Housing Programs receive a higher percentage of operating funds from HUD. The Public Housing Program did not utilize the budgeted $20,000 of budgeted income from the Special Benefit Levy in fiscal year 2022 and it is anticipated that it will not be utilized for fiscal year 2023. Year to date projections show that the Public Housing Program currently has approximately 8 months of operating expenses on hand. Staff recommends the Board approval of Resolution 260. PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/09/2023 ATTACHMENT LIST: Resolution No. 260 and Exhibit A Proposed 2024 Operating Budget FINANCIAL IMPLICATIONS: $174,850 BUDGETED: YES X NO FUNDING: HUD Operating Funds COMMENTS 33 of 55 PHA Board Resolution U.S. Department of Housing OMB No. 2577-0026 Approving Operating Budget and Urban Development (exp. 07/31/2019) Office of Public and Indian Housing - Real Estate Assessment Center (PIH-REAC) Previous editions are obsolete form HUD-52574 (04/2013) Public reporting burden for this collection of information is estimated to average 10 minutes per response, including the time for reviewing instructions, searching existing data 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 required to 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: PHA Code: 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; 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: PHA Fiscal Year Beginning: 34 of 55 □ □ □ □ Fiscal Year End 12/31/2024# of ACC Units 13 # of Unit Months 156 ACC #C-4109 HUD #MN 177000001 DUNNS #138122739 Chart of Account Line #Account Title Total 2023 Projected Budget Amounts Total 2024 Projected Budget Amounts PUOperating Income 3110 Dwelling Rental 25,000.00 32,000.00 3120 Excess Utilities 3190 Non Dwelling Income 3401 COVID Operating Subsidy 3401.1 HUD Operating Subsidy 45,000.00 45,000.00 HUD Capital Fund - Operating 7,000.00 7,000.00 HUD Capital Fund - Project 33,000.00 33,000.00 3401.3 Hard Cost Revenue 3490 Gain/Loss on Disposal of Assets 3610 Interest Income (5673/0070)40.00 200.00 3690 Other Income 21,000.00 21,000.00 3690.1 Tenant Water Charge Income 6,300.00 6,300.00 3690.2 Tenant Electric Charge Income 8,550.00 12,000.00 3690.3 Tenant Gas Charge Income 11,000.00 11,000.00 3690.31 Tenant Sewer Charge Income 7,350.00 7,350.00 3750 CARES Act 164,240.00 174,850.00 OPERATING EXPENSES 4130 Legal 750.00 750.00 4140 Staff Training 500.00 2,000.00 4150 Travel 1,000.00 500.00 4170 Accounting 4171 Audit 2,000.00 2,200.00 4190 (was 4590)Other Administrative Expenses (Rental History Rep)2,100.00 200.004190.01 Manuals/Subscriptions (Nan McKay)500.00 500.00 4190.02 Office Supplies 750.00 4190.03 Postage 500.00 4190.04 Telephone & Internet 4190.05 Dues 4190.06 Advertising 200.00 200.00 4190.07 Computer Hardware Rental Public Housing Operating Budget Total Operating Income 35 of 55 OTTERTAIL COUNTY -MINNESOTA HOUSING & REDEVELOPMENT AUTHORITY Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 I I 218-998-8730 @ OTTERTAIL COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER @ ottertailcountymn.us LIVE YOU R best life H ERE. 4190.08 Consulting Fees 1,945.00 1,950.00 4190.2 Management Fees-OTC 17,000.00 25,000.00 4220 Tenant Service - Recr. Etc. Chart of Account Line #Account Title 2023 YTD Projected Budget Amounts 2024 Projected Budget Amounts 4230 Tenant Services - Training, Etc. 4310 Water 6,400.00 6,400.00 4320 Electric 8,700.00 12,250.00 4330 Gas 11,500.00 11,500.00 4331 Sewer 7,500.00 7,500.00 4340 Fuel4400Maintenance Tools & Equipment 750.00 500.00 4410 Maintenance - Labor 4420 Maintenance - Materials 5,500.00 5,500.00 4430 Maintenance - Contracts 20,000.00 15,000.00 4431 Garbage and Trash Removal Contracts 500.00 500.00 4510 Insurance 15,763.00 25,000.00 4520 PILOT 1,200.00 3,900.00 4521 Assessments 1,200.00 1,400.00 4570 Collection Loss 500.00 500.00 4580 Interest Expense (on sec dep)300.00 300.00 4600 Capital Fund Projects 33,000.00 33,000.00 4610 Extraordinary Maintenance 3,500.00 3,500.00 4800 Depreciation Expense 7520 Replace Nonexp Equip Total Expenses 143,558.00 160,050.00 Net Cash Flow 20,682.00 14,800.00 36 of 55 OTTERTAIL COUNTY -MINNESOTA HOUSING & REDEVELOPMENT AUTHORITY Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 11 218-998-8730 @ OTTERTAIL COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER @ ottertailcountymn.us LIVE YOU R best life H ERE. OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION November 21, 2023 BOARD MEETING DATE AGENDA ITEM #4D Administration ORIGINATING DEPARTMENT/SERVICE Barbara Dacy 11/15/23 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 261 Adopting 2024 Budget PROPOSED REQUEST/JUSTIFICATION The HRA has initiated several programs which provides the resources to assist communities with their housing needs and accomplish the goals of the Long-Range Strategic Plan. Budget highlights include: •SCDP Funds: The Small City Development Program in Battle Lake and Underwood is programmed toconclude in 2024, with $907,860 of SCDP funds and $209,110 of leverage from the HRA (serving up to 8businesses and 37 households). •CHIP Programs: Rehabilitation programs and down payment assistance is budgeted at $240,000 (CommunityHousing Investment Program) serving up to 17+ households. •North Fields of Dalton: If construction were to proceed on the North Fields of Dalton triplexes, the accountingwould be completed separately under “Construction Work In Process”. Prior to that, the Board would approvea resolution authorizing transfer/designation of funds for construction in addition to a construction contract. If ahousing assistance agreement is executed with the County, $70,000 is assumed in the budget to fund the firstyear of payment (assuming a 2% interest rate for a 20- year term). •Otter Tail County Affordable Senior Housing Program: $131,000 has been budgeted for leverage for aHousing Infrastructure Bond application. •Housing Stability Programs: The Housing Choice Voucher (96 households) and Public Housing Programs(13 households) total $777,601. The 2023 BudgetStaff recommends approval of the resolution. Fund Revenues Expenses NET General Revolving $2,497,631 $2,497,631 $0 Housing Choice Voucher $602,751 $594,433 $8,318 Public Housing $174,850 $160,045 $14,805 TOTAL AGENCY $3,275,232 $3,252,109 $23,123 PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED INTERIM EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/15/2023 ATTACHMENT LIST: Resolution No. 261 and Exhibit A 2024 Budget FINANCIAL IMPLICATIONS: $3,275,232 BUDGETED: X YES NO FUNDING: Federal, State and HRA Tax Levy COMMENTS 37 of 55 2023 Jan‐Oct 2023 2024 Use Of General Revolving Fund Budget Actual Budget Levy Dollars REVENUES 3190 Non Dwelling Income (probably don't need here?)‐$‐$ ‐$‐$ 3490 Gain on Sale of Assets ‐$‐$ ‐$‐$ 3597.5 County Assistance ‐ North Fields of Dalton ‐$‐$ ‐$‐$ 3610 Interest Income 3703/5353/3741/0054 1,800$ 5,014.67$ 6,000.00$ 3610.1 Restricted Interest Income ‐ Rental Rehab Rev Loan ‐$‐$ ‐$‐$ 3690, 3693.05 Other Income‐Rental Rehab Principal ‐$‐$ ‐$‐$ 3690 Other Income MISC ‐$1,757.27$ $0 ‐$ 3690.01 SCDP Admin (DEED)‐ all communities ‐$2,912.46$ ‐$‐$ Underwood 25,000$ ‐$ 15,000$ ‐$ Battle Lake 60,000$ ‐$ 35,000$ ‐$ 3690.02 SCDP City Grant Funds ‐ all communities ‐$19,417.77$ ‐$‐$ Underwood 187,460$ 233,941$ ‐$ Battle Lake 257,460$ ‐$ 673,919$ ‐$ 3690.99 Refunds & Reimbursements ‐$13,205.85$ 20,000$ ‐$ 3691 Levy Revenue 1,309,725$ 1,190,118.85$ 1,513,771$ 1,513,771$ 3692 CHIP Down Payment Assistance Repayment ‐$‐$ ‐$‐$ 3693.01 CHIP Emergency Housing Repair Program (EHRP) Repayment ‐$6,842.00$ ‐$‐$ 3693.02 CHIP Residential Owner Occupied Housing Leverage (ROHL) Repayment ‐$‐$ ‐$‐$ 3693.03 CHIP FFHRA Rehab Repayments ‐$24,012.90$ ‐$‐$ 3693.04 CHIP Affordable Rental Unit Construction (ARUC) Repayment ‐$‐$‐$ 3693.05 CHIP Rental Rehab Revolving Loan Payments 31,821$ 16,073.06$ ‐$‐$ 3695.01 MHFA Loan Distributions (Hidden Meadows/all projects)500,000$ 347,602.00$ ‐$‐$ 3695.02 MHFA Grant Distributions (Hidden Meadows/all projects)516,000$ ‐$ ‐$‐$ 3697 Owner Match Revnue ‐$9,469.93$ ‐$‐$ 3698 Developer Fees ‐$‐$‐$ Hidden Meadows 75,000$ ‐$ ‐$‐$ 3699 Sale of Property ‐$‐$ ‐$‐$ Hidden Meadows 745,000$ 422,867.15$ ‐$‐$ TOTAL REVENUES 3,709,266$ 2,059,293.91$ 2,497,631$ 1,513,771$ EXPENDITURES Operating Expenditures 4130 Legal 30,000$ 3,352.96$ 15,000$ 15,000$ 4140 Staff Training 5,000$ 5,585.22$ 9,000$ 9,000$ 4150 Travel 4,300$ 369.26$ 1,500$ 1,500$ 4170 Accounting 60,000$ 45,000.00$ 60,000$ 60,000$ 4171 Audit 16,100$ 15,175.00$ 16,000$ 16,000$ 4190 Other Administrative Expenses 200$ 2,227.80$ 1,000$ 1,000$ 4190.01 Manuals, Subscriptions 200$ 717.00$ 1,000$ 1,000$ 4190.02 Office Supplies 1,700$ 995.82$ 1,700$ 1,700$ 4190.03 Postage 4,500$ 2,128.62$ 2,500$ 2,500$ 4190.04 Telephone & Internet 300$ 199.70$ 300$ 300$ 4190.05 Dues 1,000$ 911.74$ 1,500$ 1,500$ 4190.06 Advertising 1,300$ 1,538.11$ 2,000$ 2,000$ 4190.08 Consulting Fees 28,000$ 6,951.04$ 85,000$ 85,000$ 4190.09 Printing ‐$‐$ 4190.2 Management Fees ‐ OTC Admin 364,342$ 212,204.28$ 459,350$ 459,350$ 4190.21 Management Fees ‐ Administrator Contract 116,918$ 87,691.05$ ‐$‐$ 4190.22 Management Fees ‐ Construction Consultant 40,000$ 39,355.68$ 45,000$ 45,000$ 2024 OTC Housing and Redevelopment Authority Budget Page 1 of 2 EXHIBIT A 38 of 55 General Revolving Fund Continued 2023 Jan‐Oct 2023 2024 Use Of Budget Actual Budget Levy Dollars 4210 Board Member Payments 4,900$ 3,697.39$ 4,000$ 4,000$ 4410 Maintenance ‐ Labor n/a 4420 Maintenance ‐ Materials n/a 4430 Maintenance ‐ Contracts n/a ‐$ 4420 Maintenance ‐ Materials ‐$ ‐$ 4430 Maintenance ‐ Contracts ‐$ ‐$ 4430.1 Misc Contracts ‐ Software 5,000$ 6,373.50$ 7,700$ 7,700$ 4510 Insurance 35,000$ 46,305.71$ 47,000$ 47,000$ 4521 Assessments 420$ 80.00$ 80$ 80$ Total Operating Expenditures 721,203$ 480,859.88$ 761,654$ 759,630$ Project Expenditures 4570 Housing Choice Voucher Operating Support 30,000$ ‐$ 30,000$ 30,000$ 4580 Public Housing Operating Support 20,000$ ‐$ 20,000$ 20,000$ 4590.01 SCDP O & E Reports 2,000$ 85.00$ ‐$‐$ 4590.02 SCDP Lead Based Paint Testing 10,000$ 650.00$ ‐$‐$ 4590.03 SCDP Construction (DEED)116,107.77$ ‐$‐$ Underwood 181,000$ ‐$ 233,941$ ‐$ Battle Lake 251,000$ ‐$ 673,919$ ‐$ 4590.04 SCDP Recording Fees 920$ 460.00$ ‐$‐$ 4590.05 SCDP General Expense ‐ Leverage ‐$ ‐$‐$ Underwood 83,156$ ‐$ 80,259$ 80,259$ Battle Lake 128,851$ ‐$ 128,851$ 128,851$ 4591 MHFA Impact Fund Expenses 904,327.78$ ‐$‐$ Hidden Meadows 1,016,000$ ‐$ ‐$‐$ 4591.01 MHFA Administration/Overrun 75,000$ 29,572.77$ ‐$‐$ 4591.02 MHFA Loan Repayment 745,000$ 205,802.20$ ‐$‐$ Housing Opportunity Program ‐$ ‐$‐$ 4592.01 Demolition/Site Clearance 40,000$ 41,537.50$ 45,000$ 45,000$ Community Assistance ‐$ ‐$‐$ 4593.01 CAP Admin ‐$‐$ ‐$‐$ 4593.02 CAP Property Acquisition 25,000$ 50.65$ 25,000$ 25,000$ 4593.03 CAP Consulting Fees 30,000$ 1,980.00$ 10,000$ 10,000$ 4593.04 CAP Architect/Engineering ‐$44,657.43$ 45,000$ 45,000$ 4593.05 CAP Legal Fees ‐$4,627.00$ 5,000$ 5,000$ 4593.06 CAP Affordable Senior Housing Program Leverage ‐$‐$ 131,031$ 55,031$ 4594 CHIP Down Payment Assistance 50,000$ 10,000.00$ 55,000$ 55,000$ 4595.01 CHIP Emergency Housing Repair Program (EHRP)40,000$ ‐$ 45,000$ 45,000$ 4595.02 CHIP Residential Owner Occupied Housing Leverage (ROHL)70,000$ 6,833.15$ 70,000$ 70,000$ 4595.04 CHIP Affordable Rental Unit Construction (ARUC) Program 70,000$ ‐$ 70,000$ 70,000$ 4595.05 CHIP Rental Rehabilitation Loan 20,000$ ‐$ ‐$‐$ 4596?Housing Trust Fund ‐$ 4620 Casualty Losses 4800 Depreciation Expense 4900 Revolving Income/Expense 4597.01 County Assistance Repayment Principal ‐ North Field of Dalton ‐$‐$ 52,250$ 52,250$ 4597.02 County Assistance Repayment Interest ‐ North Fields of Dalton ‐$‐$ 17,750$ 17,750$ Total Project Expenditures 2,887,927$ 1,366,691.25$ 1,738,001$ 754,141$ TOTAL EXPENDITURES 3,609,130$ 1,847,551.13$ 2,499,655$ 1,513,771$ NET 100,136$ 211,742.78$ (2,024)$ ‐$ 39 of 55 Housing Choice Vouchers 2023 Jan‐Oct 2023 2024 Budget Actual Budget Revenues 3110 Dwelling Rent HAP Repayment ‐$ 6,134.00$ 1,776.00$ 3301 Admin Subsidy 79,201.00$ 64,041.00$ 77,347.00$ 3301.1 HAP Subsidy 434,498.00$ 418,667.00$ 493,508.00$ 3450 Fraud Recovery ‐ Admin 50%‐$ 3,384.24$ ‐$ 3450.1 Fraud Recapture HAP 50%‐$ 3,384.24$ ‐$ 3610 Investment Income (0062)105.00$ 113.66$ 120.00$ 3690.1 Other Revenue HAP 30,000.00$ ‐$ 30,000.00$ Total Revenues 543,804.00$ 495,724.14$ 602,751.00$ Expenditures 4150 Travel 1,200.00$ 359.85$ 600.00$ 4190 Other Administrative Expenses 120.00$ 274.51$ 400.00$ 4190.01 Manuals, Subscriptions 240.00$ ‐$ 500.00$ 4190.08 Consulting Fees 1,945.00$ 1,945.00$ 1,945.00$ 4190.2 Management Fees ‐ OTC 93,887.00$ 67,275.89$ 91,887.00$ 4715 HAP ‐$ ‐$ ‐$ 4715.1 HAP Occupied Units 394,904.00$ 397,636.00$ 474,401.00$ 4715.P HAP‐Portability Out 32,462.00$ 15,330.00$ 23,500.00$ 4716.P Port Out Admin Fee 1,423.00$ 1,016.08$ 1,200.00$ Total Expenditures 526,181.00$ 483,837.33$ 594,433.00$ Surplus 17,623.00$ 11,886.81$ 8,318.00$ 2024 OTC Housing and Redevelopment Authority Budget 40 of 55 Family Housing Budget Actual Budget Revenues 3110 Dwelling Rental 25,000$ 30,691.46$ 32,000$ 3401.1 HUD Operating Subsidy 45,000$ 43,136.00$ 45,000$ 3401.2 HUD Capital Funds ‐ Operations 7,000.00$ 14,363.00$ 7,000$ 3401.3 HUD Capital Funds ‐ Project 33,000.00$ 36,971.88$ 33,000$ 3610 Interest Income (5673/0070)40$ 215.41$ 200$ 3690 Other Income (NSF, Late Fee, GR Support)21,000$ 806.50$ 21,000$ 3690.1 Water Charge Income 6,300$ 6,267.43$ 6,300$ 3690.2 Electric Charge Income 8,550$ 9,756.70$ 12,000$ 3690.3 Gas Charge Income 11,000$ 7,209.88$ 11,000$ 3690.31 Sewer Charge Income 7,350$ 7,220.03$ 7,350$ 3690.4 Other Tenant Charges (Maint Charges)‐$ 1,209.00$ Total Revenues 164,240$ 157,847.29$ 174,850$ Expenditures 4130 Legal 750$ 380.50$ 750$ 4140 Staff Training 500$ 450.00$ 2,000$ 4150 Travel 1,000$ 393.83$ 500$ 4171 Audit 2,000$ ‐$ 2,200$ 4190 Other Administrative Expenses (Reports, Apps)2,100$ 59.00$ 200$ 4190.01 Manuals, Subscriptions 500$ ‐$ 500$ 4190.02 Office Supplies 750$ ‐$ ‐$ 4190.03 Postage 500$ ‐$ ‐$ 4190.06 Advertising 200$ ‐$ 200$ 4190.08 Consulting Fees 1,945$ 1,945.00$ 1,945$ 4190.2 Management Fees ‐ OTC 17,000$ 16,999.99$ 25,000$ 4310 Water 6,400$ 5,868.92$ 6,400$ 4320 Electric 8,700$ 8,396.18$ 12,250$ 4330 Gas 11,500$ 6,935.08$ 11,500$ 4331 Sewer 7,500$ 6,545.75$ 7,500$ 4400 Maintenance‐Tools & Equip 750$ 22.95$ 500$ 4420 Maintenance‐Materials 5,500$ 2,371.99$ 5,500$ 4430 Maintenance‐Contracts 20,000$ 6,861.43$ 15,000$ 4431 Garbage & Trash Removal Contracts 500$ 130.00$ 500$ 4510 Insurance 15,763$ 15,762.60$ 25,000$ 4520 PILOT 1,200$ ‐$ 3,900$ 4521 Assessments 1,200$ 1,237.36$ 1,400$ 4570 Collection Loss 500$ ‐$ 500$ 4580 Interest Expense (on Security Deposits)300$ ‐$ 300$ 4600 Capital Fund Projects 33,000.00$ 36,971.88$ 33,000.00$ 4610 Extraordinary Maintenance 3,500$ ‐$ 3,500$ Total Expenditures 143,558$ 111,332.46$ 160,045$ Surplus 20,682$ 46,514.83$ 14,805$ 2024 OTC Housing and Redevelopment Authority Budget 41 of 55 OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION _November 21, 2023__ BOARD MEETING DATE AGENDA ITEM #4E Administration ORIGINATING DEPARTMENT/SERVICE Barbara Dacy 11/15/2023 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 262 Appointing Amy Baldwin Housing and Redevelopment Authority Executive Director Effective December 4, 2023 PROPOSED REQUEST/JUSTIFICATION The purpose of this resolution to appoint Amy Baldwin as Executive Director of the HRA effective December 4, 2023 consistent with previously discussed organizational objectives. Ms. Baldwin will retain her role as the Community Development Director for the CDA in addition to her role as HRA Executive Director. The HRA has a Joint Powers Agreement with Otter Tail County for administrative services. Ms. Baldwin will oversee the employees and responsibilities of the “Community Development and Housing” Department (“one team for both boards”). The rationale for the December 4th effective date is twofold: 1) permit sufficient time to transition various financial accounts and numerous federal and electronic reporting registrations; and 2) enable Ms. Dacy to continue professional consulting duties to the end of December. The Independent Contractor Agreement specifies that Ms. Dacy act as the Executive Director, but her duties for the month of December can be adjusted by the HRA Board as permitted in Exhibit A of the contract: “The aforementioned responsibilities may be adjusted by the Board”. It is recommended that Ms. Dacy’s duties for the month of December include but are not limited to, assisting with transition activities regarding program and financial management, continuing preparation of various policies and procedures, assisting with development initiatives, and advising on HRA strategic initiatives as directed by Ms. Baldwin and the HRA Board. Staff recommends the Board adopt the Resolution as presented. It has been a tremendous honor to serve the Otter Tail County HRA. PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/15/2023 ATTACHMENT LIST: Resolution No. 262 FINANCIAL IMPLICATIONS: NA BUDGETED: YES NO FUNDING: NA COMMENTS 42 of 55 RESOLUTION NO. 262 RESOLUTION APPOINTING AMY BALDWIN HOUSING AND REDEVELOPMENT AUTHORITY EXECUTIVE DIRECTOR EFFECTIVE DECEMBER 4, 2023 WHEREAS, the Otter Tail County Housing and Redevelopment Authority (the “Authority”) entered into an Independent Contractor Agreement (the “Contractor Agreement”) with Barbara Dacy, LLC (the “Independent Contractor”) to serve as the Executive Director for the HRA beginning on February 11, 2020; and WHEREAS, the Authority approved Resolution No. 140 on September 24, 2020 to continue the services provided by the Independent Contractor for three years beginning January 1, 2021 and ending on December 31, 2023; and WHEREAS, the Authority entered into a Service Agreement (the “Service Agreement”) with Otter Tail County (the “County”) on February 20, 2020; and WHEREAS, the Authority approved Resolution No. 151 extending the term of the Service Agreement and to amend various provisions of said Service Agreement (the “Amended Service Agreement”) on February 18, 2021; and WHEREAS, the Authority approved Resolution No. 181 on May 19, 2022 authorizing execution of a Joint Powers Agreement (the “JPA”) with Otter Tail County effective June 14, 2022 for administrative and financial services; and WHEREAS, the Authority has determined that under the provisions of the JPA, it is appropriate to appoint Amy Baldwin, Otter Tail County Community Development Director as the Executive Director; and WHEREAS, the Authority has determined that it is appropriate to establish Ms. Baldwin’s appointment effective December 4, 2023 to address the necessary tasks to change relevant documents and accounts, both electronic and in hard copy, in a timely manner; and WHEREAS, the Authority has determined that it is appropriate that the Independent Contractor tasks during December 2023 should change include, but are not limited to, assisting with transition activities regarding program and financial management, continuing preparation of various policies and procedures, assisting with development initiatives, and advising on HRA strategic initiatives as directed by Ms. Baldwin and the HRA Board. NOW, THEREFORE, IT IS HEREBY RESOLVED: 1.That Amy Baldwin is appointed as the HRA Executive Director effective 12:01 a.m. December 4, 2023.2. That the tasks to be performed by the Independent Contractor during the month ofDecember include, but are not limited to, assisting with transition activities regarding 43 of 55 program and financial management, continuing preparation of various policies and procedures, assisting with development initiatives, and advising on HRA strategic initiatives as directed by Ms. Baldwin and the HRA Board. Upon the motion of _______________, seconded by _______, on a ________________ vote, the above resolution is hereby adopted by the Otter Tail County Housing and Redevelopment Authority Board of Commissioners. Adopted this 21st day of November, 2023. Dated: _______________________________ OTTER TAIL COUNTY HRA BOARD OF COMMISSIONERS Attest:________________________________ By:_________________________________ 44 of 55 OTTER TAIL COUNTY HOUSING AND REDEVELOPMENT AUTHORITY REQUEST FOR BOARD ACTION _November 21, 2023__ BOARD MEETING DATE AGENDA ITEM #4F Administration ORIGINATING DEPARTMENT/SERVICE Barbara Dacy 11/17/2023 REQUESTOR’S SIGNATURE/DATE BOARD ACTION REQUESTED Resolution No. 263 Adopting Purchasing Card Policy and Procedures; Rescind Resolution No. 160 PROPOSED REQUEST/JUSTIFICATION The county recently adopted an update to its purchasing card policy. Given that the HRA and the County have entered into a Joint Powers Agreement for administrative services, it is appropriate to rescind Resolution No. 160 which adopted a credit card policy in June 2021. The proposed policy will enable the issuance of a department card for the HRA (and CDA) and employees must abide by the requirements and procedures of the proposed policy. As a matter of information, the HRA has a business account with Home Depot for emergency or non-routine supplies at the scattered site public housing units, but this is not a credit card by definition. Staff recommends that the Board adopt the attached resolution authorizing the adoption of the credit card policy. PREVIOUS ACTION ON REQUEST/OTHER PARTIES ADVISED EXECUTIVE DIRECTOR DATE: Barbara Dacy 11/17/2023 ATTACHMENT LIST: Resolution No. 263 and Exhibit A FINANCIAL IMPLICATIONS: NA BUDGETED: YES NO FUNDING: COMMENTS 45 of 55 RESOLUTION NO. 263 RESOLUTION ADOPTING PURCHASING CARD POLICY AND PROCEDURES; RESCINDING RESOLUTION NO.160 WHEREAS, the Otter Tail County Housing and Redevelopment Authority (the “Authority”) from time to time may need to make purchases using a credit card; and WHEREAS, the Authority adopted Resolution No. 160 Approving a Credit Card Policy on June 17, 2021, and WHEREAS, the Authority adopted Resolution No. 181 Authorizing Execution of a Joint Powers Agreement with Otter Tail County (the “County”) for administrative services on May 19, 2022; and WHEREAS, the County has updated its “Purchasing Card Policy & Procedures” (the “Policy”), as represented in Exhibit A; and WHEREAS, the Authority has determined that the “Policy” as represented in Exhibit A, attached hereto and incorporated herein, is necessary and appropriate. NOW THEREFORE BE IT RESOLVED: 1. That the Policy represented in Exhibit A is hereby adopted. Upon the motion of _______________, seconded by _________________, and passed on a ___________________ vote, the above resolution is hereby adopted by the Otter Tail County Housing and Redevelopment Authority Board of Commissioners. Adopted this 21st day of November, 2023. Dated: _______________________________ OTTER TAIL COUNTY HRA BOARD OF COMMISSIONERS Attest:________________________________ By:_______________________________ 46 of 55 1 PURCHASING CARD POLICY & PROCEDURES PURPOSE The purpose of this policy is to provide detailed information and standards regarding the use of purchasing cards assigned to selected employees for purchasing goods and certain services for Otter Tail County. All charges made to a purchasing card must comply with Otter Tail County’s financial policies and purchasing guidelines. In addition, all purchases should adhere to approved operating budgets. Inappropriate use of a county purchasing card may result in disciplinary action of an employee, including termination of employment. CARDHOLDER RESPONSIBILITIES To be knowledgeable and follow the requirements of this policy. Sign a copy of the Otter Tail County Purchasing Card User Agreement. Provide detailed receipts or invoices, that show the full breakdown of charges, for all expenses and credits. For individual cardholders, the cardholder should not give another employee their purchasing card information or have another employee make purchases on their behalf. (Those types of transactions should be handled with a group card). Cardholders should make every effort to ensure that sales or use tax is not being charged to the purchasing card. Otter Tail County is exempt from sales tax in the State of Minnesota and for online purchases. (Please note: most travel expenses will have sales tax that we are required to pay per MN Department of Revenue regulations). Cardholders should check with vendors regarding service fees. If the vendor intends to charge a service fee for using a credit/purchasing card, the purchase needs to be invoiced instead. (There might be a few exceptions; like restaurants that impose this fee and do not make the cardholder aware at the time of purchase). Cardholders will reimburse the County for any expenses that violate the purchasing card policy. These include but are not limited to: Personal use Not providing proper receipts Purchasing from the Non-Allowable list Any other non-authorized charges (not including fraud) Report any fraud on the Purchasing Card to the Auditor’s office immediately. Return the card to the Auditor’s office immediately upon request or upon termination of employment. EXHIBIT A 47 of 55 OTTERTAIL COUNTY -MINNESOTA > > > > AUDITOR Government Services Center 510 West Fir Aven ue Fergus Falls, MN 56537 2 *Be mindful not to charge an item to a card and then submit an invoice for check processing. This can lead to duplicate payments for the same purchase. If a purchasing card receipt is in invoice form, please write “paid by credit card” on that invoice if it does not already indicate that, before turning it in to your Authorized Approver. ALLOWABLE USES These are examples of acceptable purchases made to the purchasing card but this is not an all-inclusive list. Travel Related Expenses (Airfare, Transportation, Meals, Lodging etc.) Supplies Vehicle Maintenance & Repairs Registration Fees/Membership Fees/Licensing Fees Shipping/Freight Advertisements Subscriptions Utilities/Phone Bills Food for Meetings or Trainings (These will also require name of event and location to be provided with receipts) NON-ALLOWABLE USES These are examples of non-acceptable purchases made to the purchasing card, but this is not an all- inclusive list. Personal purchases of any kind Setting up accounts with 3rd party pay applications, such as Apple Pay, Google Pay, PayPal, Venmo, Cashapp, etc., as this may lead to fraud, misuse, and lack of security. Uniform items (If being applied to uniform allowance) Amazon purchases (We have a centralized invoicing program with them) Internal county payments (DMV, Recorder etc.) Alcoholic Beverages Tips Delivery Fees (especially from food delivery apps) Cash advances, cash refunds, or any refund to a gift card Travel expenses for non-county employees or guests not on county business Travel expenses for additional days beyond those required for county business purposes. Airline or rental car upgrades 48 of 55 > > > > > > > > > > > > > > > > > > > > > 3 REWARD PROGRAMS Points, rewards, cash back or gift cards earned while using the Otter Tail County purchasing card, will become the property of Otter Tail County, and can only be used for county purposes. REQUESTS & AUTHORIZATIONS To request a Purchasing Card for an employee, the department head must first have the employee fill out a “Request for Purchasing Card Form” and then authorize it by also signing the form. Then they will submit the completed form to the Auditor’s office to be presented to the County Board for approval. If approved, the County Auditor will also sign the form and give it to a Purchasing Card Administrator to have a card issued via the card system program. A signed user agreement from the cardholder will also be required in order to have a card issued to them. Individual cards will be issued with an employee’s name imprinted on them. However, the card issuer will have no other personal cardholder information. The card issuer will have access to the County’s address and phone number. Each individual card will have a set 30-day spending limit determined by the department head during the request process and approved by the County Board during the approval process. Requests for permanent increases to current limits need to follow the same process as an initial request, with the addition of providing a reason for the increase. Temporary limit increases may be requested by filling out the “Temporary Credit Limit Increase Form” and submitting it to the County Auditor for approval. Temporary limits are intended for unique circumstances only and are allowed for up to a maximum of 60 days. GROUP CARDS Group cards are issued to departments or are for general use purposes. These cards are intended to be used by multiple, authorized people. The department head is responsible for signing the user agreement but each user should adhere to the cardholder responsibilities. An initial 30-day credit limit will be determined by the department head during the request process and approved by the County Board during the approval process. Temporary limit increases may be requested by filling out the “Temporary Credit Limit Increase Form” and submitting it to the County Auditor for approval. Temporary limits are intended for unique circumstances only and are allowed for up to a maximum of 60 days. LOST OR STOLEN CARDS In the event of a lost or stolen card, it is the employee’s responsibility to immediately notify (within 24 hours), the Auditor’s office. A Purchasing Card Administrator will then cancel the card and report it to the card issuer. A new card will be issued to the employee. FRAUD PROCEDURES If any cardholder (or authorized approver) finds there has been fraudulent activity on their card, they must report it to the Auditor’s office immediately. Upon verification, a Purchasing Card Administrator will cancel the card and report the fraud to the card issuer. A “Disputed Items” form will need to be completed by the cardholder and returned to the Auditor’s office within 5 working days. RECONCILIATION PROCEDURES The Authorized Approvers for each department must review each statement and documentation to ensure that all purchases are valid and appropriate prior to approving claims for payment. 49 of 55 4 Authorized Approvers will then sign each statement, provide accounting codes, and make sure all detailed receipts are included. Their signature on these statements indicates their review of charges made, agreement with appropriate cost allocations, and receipts or reimbursements for all transactions are accounted for. (Department Heads should approve their own monthly statements). Completed statements will be returned to the Auditor’s office in a timely manner for processing. ADMINISTRATIVE REQUESTS If an employee is on an extended leave of absence, their department head can send an email to a Purchasing Card Administrator to have their card suspended. When the employee returns to work, a second email would then be required to have it reactivated. Requests to suspend cards either temporarily or permanently due to cardholder violations, should be emailed to a Purchasing Card Administrator by their department head. The Auditor’s office should be notified immediately of termination of employment of a cardholder. ACCOUNTING RESPONSIBILITIES The Auditor’s Office will: Review all monthly statements & receipts for accuracy. Enter codes into financial system for processing payment to the card issuing bank. Ensure that monthly payments to the card issuing bank are made by the required deadlines. Keep monthly and yearly reports for all card transactions for further review. 50 of 55 > > > > OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY ITEM 5. EXECUTIVE DIRECTOR REPORT 51 of 55 1ir EOU/\l. HOUSING OPPORTUNITY MEMO TO: Otter Tail County HRA Board of Commissioners Wayne Johnson, Chairperson Lee Rogness, Vice Chairperson Kurt Mortenson, Secretary Betty Murphy, Commissioner Jeff Ackerson, Commissioner FROM: Barbara Dacy, Executive Director, Otter Tail County HRA DATE: November 17, 2023 SUBJECT: Executive Director Report 1.117 NW 1st Avenue, Pelican Rapids. The HRA purchased this lot through the tax forfeitprocess in 2021. Recently, staff received an offer to purchase the property so that thepurchaser could construct a single-family home. State statute requires a public hearing priorto the sale of HRA owned property. In order to be proactive and timely, a public hearing willbe scheduled for the December 18, 2023 meeting, and potential action by the Board(subject to further due diligence by staff prior to the hearing). 2.North Fields of Dalton. Staff is considering preparing a competitive proposal process forthe proposed development. 3.Statewide Affordable Housing Aid. According to recent legislation, Otter Tail County willreceive $143,671 in December, 2023 and December 2024. Staff will schedule time with the county finance committee to discuss potential uses of the funds in the near future. Potentialuses include but are not limited to the North Fields of Dalton project, the Ottertail CountyAffordable Senior Housing initiative, allocation to the Otter Tail County Housing Trust Fund,or another qualifying project as defined in statute. According to the Minnesota Department of Revenue website: “Funds distributed under this aid program must be spent on a qualifying project. Funds will be considered spent if: •A county or eligible demonstrates to the Minnesota Housing Finance Agency that the city or county cannot expend funds on a qualifying project by the deadline below due tofactors outside the control of the city or county •The funds are transferred to a local housing trust fund Funds transferred to a local housing trust fund must be spent on a project or household that meets the affordability requirements described below. [see definition of qualifying project below] Deadline: Funds must be spent by December 31 of the fourth year after the aid was received.” 52 of 55 218-998-8730 @ HOUSING AND REDEVELOPMENT AUTHORITY OTTER TAIL COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER Government Services Center 500 West Fir Avenue Fergus Falls, MN 56537 ti) EOU/\L HOUSING OPPORTUNITY @ ottertailcounty.gov Qualifying projects include: •Emergency rental assistance for households earning less than 80% of area medianincome as determined by the United States Department of Housing and UrbanDevelopment •Financial support to nonprofit affordable housing providers in their mission to providesafe, dignified, affordable and supportive housing •For counties outside the metropolitan counties as defined in Minnesota Statutes, section473.121, subdivision 4, development of market rate residential rental properties asdefined in M.S. 462A.39, subd. 2, para. (d), if the relevant unit of government submitswith the report required as described in the Reporting to the Minnesota Housing FinanceAgency section a resolution and supporting documentation showing that the area meetsthe requirements of M.S. 462A.39, subd. 4, para. (a) •Projects designed for the purpose of construction, acquisition, rehabilitation, demolitionor removal of structures, construction financing, permanent financing, interest ratereduction, refinancing, and gap financing of housing to provide affordable housing tohouseholds that have incomes which do not exceed: o For homeownership projects, 115% of the greater of state or area medianincome as determined by the United States Department of Housing and Urban Development o For rental housing projects, 80% of the greater of state or area median incomeas determined by the United States Department of Housing and Urban Development •Housing developed or rehabilitated with funds under this program must be affordable tothe local work force. Projects are prioritized that provide affordable housing to households with incomes that: •For homeownership projects, do not exceed 80% of the greater of state or area medianincome as determined by the United States Department of Housing and UrbanDevelopment •For rental housing projects, do not exceed 50% of the greater of state or area medianincome as determined by the United States Department of Housing and UrbanDevelopment. Priority may be given to projects that: •Reduce disparities in home ownership •Reduce housing cost burden, housing instability, or homelessness •Improve the habitability of homes •Create accessible housing •Create more energy- or water-efficient homes Gap financing is the difference between the costs of the property and either: •The market value of the property upon sale •The amount the targeted household can afford for housing, based on industry standardsand practices.If aid received under this program is used for demolition or removal of existing structures, the cleared land must be used for the construction of housing to be owned or rented by persons who meet the income limits described above. 53 of 55 If an aid recipient uses the aid on new construction or substantial rehabilitation of a building containing more than four units, the loan recipient must construct, convert, or otherwise adapt the building to include: •The greater of: o At least one unit o At least 5% of units that are accessible units, as defined by section 1002 of thecurrent State Building Code Accessibility Provisions for Dwellings Units inMinnesota, and include at least one roll-in shower •The greater of: o At least one unit o At least 5% of units that are sensory-accessible units that include: Soundproofing between shared walls for first and second floor units No florescent lighting in units and common areas Low-fume paint Low-chemical carpet Low-chemical carpet glue in units and common areas These guidelines do not relieve a project funded by this aid program from meeting other applicable accessibility requirements. 54 of 55 OTTER TAIL COUNTY – MINNESOTA HOUSING AND REDEVELOPMENT AUTHORITY ITEM 6. GENERAL DISCUSSION TOPICS BY COMMISSIONERS and ADJOURN 55 of 55 1ir EOU/\l. HOUSING OPPORTUNITY