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Home My WebLink AboutHousing & Redevelopment Authority - HRA Support Documents 2011 Supporting DocumentsHRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 . .. . . ·1 O; Fergus Falls/Otter Tail County HRA -=m • Housing & Redevelopment Authority C!;PPO~TVIIJTV~.: Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: ENCLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Gaffaney, Executive Director February 10, 2011 Meeting to be Held Thursday, February 17th, 2011 at 10:00 a.m. at the HRA Office, 1151 Friberg Ave., Fergus Falls, MN. 56537 Regular Minutes of December 16th Meeting AGENDA 1. Cjmrperson -Call Meeting to Order 3-/4.pproval of Minutes 3. Executive Director A. 20],i Annual HRA Appointments & Designations V / Board Officers for Fiscal Year 2011 '2/ / Legal Publications for Fiscal Year 2011 3v , Depository (Banks) for Fiscal Year 2011 t4/ Board Member Per Diem for Fiscal Year 2011 Mileage Reimbursement Rate for Fiscal Year 2011 Proposed HRA Meeting Schedule for Fiscal Year 2011 B. ~inistrative Expenses-December 2010 & January 2011 C. ~tment Listing D. ital Fund Program Update E. HFA 2011 MN. Cities Participation Program 4. Rehabilitation Specialist -Dennis Christenson A. MHFA Update B. OTC Tax Levy Update C. 2011 SCDP Potential Applications 5. Rehabilitation Assistant/Housing Manager-Sue Bjorklund A. 2009 Deer Creek/Parkers Prairie SCDP B. 2010 Pelican Rapids SCDP C. 2010NewYorkMills SCDG 6. Housing Administrator -Mary Jo Schwarz A. Section 8 Update 7. Housing Manager-Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNABLE TO ATTEND! =============== Providing Housing Opportunities . 'llV\ The Otter Tail County HRA Board of Commissioners met in a regular meeting on December 16th, 2010 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Falls, MN. 56537 MEMBERS PRESENT Scott Rocholl, Chairperson Janice Palau, Secretary Robert Maki Robert Bigwood Hazel Hovde OTHERS PRESENT Jeffrey Gaffaney Dennis Christenson Mary Jo Schwarz Pam Minten Sue Bjorklund Vicki Scheer Scott Rocholl, Chairperson opened the regular meeting. A motion was made and seconded to approve the minutes from the October 21st, 2010, meeting. M/Robert Maki SI Robert Bigwood Jeffrey Gaffaney, Executive Director, reviewed the administrative expenses for the months of October and November 2010. A motion was made and seconded to approve the expenses. M/Hazel Hovde SI Janice Palau The Investment Listing was reviewed; the only changes were the balances in the checking and savings accounts. Regarding the 2010 Capital Funds Program, Price Family Construction is working on the removal of the A/C sleeves and residing in these areas, plus installing sheet rocking and painting the opening on the inside as well. They are done in Underwood and working on.Henning. The annual program contracts with the Fergus Falls HRA were submitted for renewal. The only changes in the contracts are the dates which extend them through December 31st, 2011. The Section 8 Voucher Program contract was reviewed and a motion was made and seconded to approve the contract with all ayes. M/Robert Bigwood S/Hazel Hovde The Low Rent Public Housing Program contract was reviewed and a motion was made and seconded to approve the contract with all ayes. M/Robert Bigwood S/Hazel Hovde The MHF A Housing Rehab Programs contract was reviewed and a motion was made and seconded to approve the contract with all ayes. The Community Fix-Up Program was removed from the contract ~s~~ • M/Robert Maki S/Hazel Hovde H:\Users\VICKI\2010 minutes\minutes -otc dee 2010.doc The Otter Tail County Tax Levy Rehab Program contract was reviewed and a motion was made and seconded to approve the contract with all ayes. The Community Fix Up Program was removed this year. M/Robert Bigwood S/Hazel Hovde There are no outstanding accounts receivables balances to write off for the Otter Tail County HRA Public Housing. Dennis Christenson, Rehab Specialist reported that there are 7 MHFA Deferred Loan Program Phase XV applications that have been received, 7 have been inspected, 1 is bidding, 2 have rehab in progress and 4 are complete. Dennis and Sue put together information and submitted to MHF A requesting an increase in the admin fee which was approved. The Rental Rehab Program will not start until 2011. There are 30 applications for the 2010 Otter Tail County Tax Levy Homeowner Program, 30 have been inspected, 1 is bidding, 9 are in progress and 20 are complete. Applications for 8 total rental units have been taken, all 8 have been inspected, 6 have rehab in progress and 2 are complete for the 2010 Otter Tail County Rental Rehab Program. The Small Cities pre-application for Battle Lake, Clitherall and Clitherall Township has been approved. A full application is being prepared and will be submitted by February 10,201 I. Dennis expects to hear by April if this full application and the short form application for Parkers Prairie and Deer Creek will be approved. • Sue Bjorklund, Rehab Assistant reported that there were 19 applications taken for the Parkers Prairie/Deer Creek SCDP program, I 9 were inspected, 3 are in process and 16 are complete. Eleven Homeowner applications have been received, 1 are in process, IO have been inspected, 3 are bidding, 5 have work in progress and 2 are complete for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program. Five commercial applications have been received, 5 have been inspected, 2 are bidding and 3 have work in progress for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican SCDP Program. Seven homeowner applications have been received, 2 are in process, 5 have been inspected, 2 are bidding and 3 have Rehab in progress for the New York Mills/ Bluffton and Newton and Bluffton Townships SCDP Program. Three commercial applications have been received, 3 have been inspected, I is bidding and 2 have work in progress for the New York Mills/Bluffton and Newton/Bluffton Townships SCDP Program. Three applications have been received, 3 have been inspected, and 3 have work in progress for the New York Mills/Bluffton and Newton/Bluffton Townships Rental SCDP Program. Mary Jo reported that for the month of October there were 135 leased and HAPS totaling $38,777. In November there were 134 leased and HAPS totaling $36,933. There was 1 transfer out that, 31 annual recertification's, 26 annual recertifications, 14 interims and 1 in shop mode. She has 6 requests to port out. There are 234 on the waiting list and 12 port outs totaling $11,434. The ELI was at 100%. H:\Users\VICKI\2Q10 minutes\minutes-otc dee 20IO.doc 2 Pam Minten, Housing Manager of the Fergus.Falls and Otter Tail County public housing units reported that October rents owed for the Otter Tail County Family Public Housing units totaled $2,826.00, and $2,346.00 was collected. No outstanding fees are owed. There were no vacancies. Thirteen applicants were on the 2-bedroom public housing waiting list, 13 applicants on the 3-bedroom waiting list and O on the 4-bedroom waiting list. The November rents owed totaled $2,067.00 and $2,067.00 was collected. One late fee was charged and has now been collected. There was one vacancy as of 11-1-10 which was filled 11-24-10. Fifteen applicants were on the 2-bedroom public housing waiting list, 17 applicants on the 3-bedroom waiting list and 1 on the 4-bedroom list. A tenant in Henning has not been paying her utilities and has a very large bill. ·She has been given many options for help in paying these utilities and they are still not paid. Due to this lease violation she will be sent a notice of termination if they are not.paid. Regarding the informal hearing that took place for the tenant in Henning, the hearing officer upheld the HRA's decision to terminate the lease. HUD, State representative, a Federal Senator and a local minister got involved because the family had a unique medical situation. Due to this unique medical situation and the political exposure tlie HRA decided to rescind the notice of eviction if the tenant signed a repayment agreement. HUD agreed that.the HRA followed the proper federal guidelines but that it was in everyone's best interest to offer the family the repayment agreement. A repayment agreement was signed and the family has been making timely payments. After Board discussion it was agreed that no precedence was set for future informalhearings. There being no further business, a motion was made and seconded to adjourn. M/Robert Bigwood S/Janice Palan Janice Palan, Secretary Date H:\Users\VICKI\2010 minutes\rninutes -ate dee 2010.doc 3 • OTTER TAIL COUNTY HRA EXPENSES • FOR THE MONTH OF DECEMBER, 2010 Bank of the West -Office Rent $ 450.00 City of Fergus Falls -Health Insurance $ 1,850.00 ~ecurity Benefit -Retirement $ 950.00 Otter Tail Telcom $ 225.00 U.S. Postmaster $ 200.00 MN Benefit Association $ 400.00 AT & T Mobility $ 25.00 Dennis Christenson -Mileage $ 527.85 Jeffrey Gaffaney -Mileage $ 50.00 Mary Jo Schwarz -Mileage $ 98.43 Scott Rocholl -Per Diem $ 72.00 Janice Palan -Per Diem $ 105.00 Hazel Hovde -Per Diem $ 85.00 Robert Maki -Per Diem $ 115.00 Robert Bigwood -Per Diem $ 60.00 Otter Tail Power Company $ 133.72 Denzel's Region Waste, Inc. $ 103.00 City of New York Mills $ 256.62 City of Underwood $ 93.33 City of Pelican Rapids $ 516.39 Tina Stevens $ 93.34 Larry's Supermarket $ 30.00 Service Food Company $ 60.00 B & D Town & Country Foods $ 45.00 Dean's Country Market $ 60.00 Culligan Water Company $ 57.98 Mike's Plumbing & Htg. $ 173.80 MN.NARRO $ 100.00 American Family Insurance $ 651.62. NDBCI $ 15.00 Housing Data Systems ,$ 120.00 Sherwin Williams Company $ 195.52 Mark Gaworski-Accounting Fees $ 500.00 Salaries $ 14,834.99 H:\Usersltempory letters\OTC HRA EXPENSES -dee 2010 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF Januarv 2011 , Bank of the West-Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ AT & T Mobility $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz -Mileage $ Otter Tail Power Company $ Denzel's Regional Waste, Inc. $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Tina Stevens $ American Family Insurance $ Price Family Construction $ Pine Plaza Tv & Appliance $ Pelican Plumbing Company $ Salaries $ H:\Users\JEFF\OTC HRA EXPENSES -Jan 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 23.11 412.00 61.00 128.00 232.90 53.86 386.41 176.73 182.90 93.34 651.58 1,950.00 146.35 186,95 10,107.79 February 17, 2011 I FINANCIAL FUND INSTITUTION CERTIFICATES Security State Bank Public Housing , Fergus Falls SAVINGS ACCOUNTS Security State Bank Section 8 Admin Fergus Falls Reserve Security State Bank Public Housing , Fergus Falls Security Deposits 1 CHECKING ACCOUNTS Section 8 Existing NOW Account Public Housing NOW Account MHFA-Loan Account NOW Account Otter Tail County Tax Levy NOW Account MHFA-HOMEAccount NOW Account H:\Users\JEFFilllVESTMENT LISTINGS\invest list otc -Dec 2010.doc OTTER TAIL COUNTYHRA INVESTMENT LISTING DESCRIPTION PRINCIPAL I Money Market $6,583.97 Certificate #210979 Weekly Money $19,781.10 Market Savings Commercial Money $7,035.25 Market $41,484.18 $32,191.64 $7,170.80 $227,851.96 : I $831.18 ! I i I.D. #41-1518930 INTEREST INTEREST PURCHASE MATURITY RATE PAID DATE DATE 0.15% Maturity Renewed Automatic Denosit 09/19/10 03/19/11 .15% Monthly Account #9312-004634 .10% Monthly Account #9312015673 ' : I ! I FFHRA From: "Anderson, Tai" <Tal.Anderson@state.mn.us> To: "FFHRA" <ffhra@prtel.com> Sent: Monday, January 10, 2011 8:16 AM Subject: RE: RESPONSE NEEDED --2011 Minnesota City Participation Program (MCPP) For now, this ema il is all we need -thanks! Should we need anything else later this year, I'll be sure to let you know. Tai From: FFHRA [mailto:ffhra@prtel.com] Sent: Monday, January 10, 2011 8:08 AM To: Anderson, Tai Subject: Re: RESPONSE NEEDED --2011 Minnesota City Participation Program (MCPP) Tal, Page 1 of 2 In response to your emaill reagarding the 2011 MCCP program the Otter Tail County HRA, Fergus Falls, MN is interested and will apply for funding as it becomes available in 2011 . Please inform us when we should submit our application for the 2011 funding. Thank you, Jeffrey Gaffaney Executive Director -----Original Message ----- From: Anderson, Tai To: Undisclosed recipients: Sent: Friday, January 07, 2011 11 :50 AM Subject: RESPONSE NEEDED --2011 Minnesota City Participation Program (MCPP) For the last two decades, the Minnesota City Participation Program (MCPP) has accessed Minnesota Department of Finance Housing Pools to enable local communities throughout Minnesota to effectively and efficiently provide access to additional first-time homebuyer loans in their communities. As you may recall, economic conditions have resulted in modifications to MCPP over the past couple of years: • The 2009 MCPP program was suspended due to the economic conditions that constrained capital markets within the industry, specifically the inability for housing finance agencies (HFAs) to sell mortgage revenue bonds (MRBs) that provide the traditional funding mechanism for MCPP. ■ In 2010, Minnesota Housing made the decision to move forward with the 2010 MCPP program as the Obama administration's efforts to assist the Government Sponsored Enterprises (GSEs) resulted in the New Issue Bond Program (NIBP) which provides a source for affordabl e mortgage financing At this point, Minnesota Housing is again looking to begin the 2011 MCPP program using New Iss ue Bond Program (NIBP) funds instead of Minnesota Department of Finance Housing Pools. Using NIBP funds for the 2011 MCPP program would provide many of the benefits as the 2010 MCPP program, including: 1/10/2011 Page 2 of 2 ■ Even lower interest rates than would normally be available ■ No administrative fees will be charged to participating communities ■ No minimum usage requirement Should Minnesota Housing decide to access Minnesota Department of Finance Housing Pools later in 2011, we will be in contact with you regarding contracts, administrative fees, and other details. If you would like to participate in the 2011 Minnesota City Participation Program [MCPP), please send me an email indicating your interest no later than Saturday, January 15, 2011. Should your organization need formal permission from a board of directors or other authorizing body, you may provisionally indicate interest via email by January 15 and provide a finalized approval at a later date. In addition, it is important to note that the NIBP funding does not require a usage test so all 2010 participants are eligible to participate in 2011, as well as new applicants. Also, please note that a final 2010 MCPP usage report is attached. Contact me directly if you have questions or need additional information. However, please note I will be out of the office on Friday, January 14 and Saturday, January 15. Minnesota Housing appreciates your continued participation in the Minnesota City Participation Program. Tai Anderson I Minnesota Housing I 400 Sibley Street, Suite 300 I Saint Paul, MN 55101 651.296.2198 I 800.710.8871 ext. 62198 I tty: 651.297.2361 Minnesota Housing finances and advances affordable housing opportunities for low and moderate income Minnesotans to enhance quality of life and foster strong communities. [Please consider the environment before printing this e-mail.) WARNING: Without the use of appropriate security measures, Internet e-mail may not be a safe method to communicate confidential information. Internet messages and attachments may be intercepted, read and/or corrupted. Minnesota Housing makes no representation or warranty regarding the security of either incoming or outgoing Internet messages. While you may use Internet e-mail to communicate with Minnesota Housing, you do so at your own risk . 1/10/2011 Program MHFA Deferred Loans -Phase XV Rental Rehab -2010 Program OTC Tax Levy -Homeowner (2010) OTC Tax Levy-Homeowner (2011) OTC Tax Levy-Rental (2010) SCDP: 2011 Battle Lake SCDP: 2011 Parkers Prairie Short Form SCDP: Parkers Prairieilleer Creek (16 homes) SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/Pelican Twshp (22 homes) SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/Pelican Twshp (10 commer.) SCDP: New York Mills/Blnffton/ Newton Twshp/Blnffton Twshp (21 homes) SCDP: New York Mills/Blnffton/ Newton Twshp/Bluffton Twshp (5 com mer) SCDP: New York Mills/Bluffton/ Newton Twshp/Bluffton Twshp (15 rental) Otter Tail County HRA Rehabilitation Projects Update February 17, 2011 Applications In Process Inspected 7 0 7 0 Program will not start until 2011 31 0 31 2 0 2 IO 0 10 Full Application submitted February 1, 2011 Rehab Bidding In Complete Progress 1 1 5 1 6 25 ; 0 2 0 2 0 8 Short Form Application submitted. Expect to find out in April if funded. 19 0 19 0 3 16 14 4 10 1 5 4 6 0 6 3 3 0 9 4 5 0 5 0 3 0 3 0 2 1 3 0 3 3 0 0 6- $136,189.55 ABA Utilization OTC UMA UML Leasing% ABA HAP % PUC January 140 126 90.00% $ 36,757 $ 35,518 96.63% $ 28.2 February 140 130 92.86% $ 36,757 36,724 99.91% 282.49 March 140 140 100.00% $ 36,757 39,812 108.31% 284.37 April 140 142 101.43% $ 36,757 45,067 122.61% 317.37 May 140 143 102.14% 36,757 40,388 109.88% 282.43 June 140 146 104.29% 36,757 44,421 120.85% 304.25 Julv 140 145 103.57% 36,757 42,939 116.82% 296.13 August 140 143 102.14% 36,757 41,288 112.33% 288.73 September 140 136 97.14% 36,757 38,208 103.95% 280.94 October 140 135 96.43% 36,757 38,777 105.50% 287.24 November 140 134: 95.71% 36,757 36 933 100.48% 275.62 December 140 (1(30 V 92.86% 36,757 r 35,3AR } 96.28% 272.22 YTD 1,680 1,520 90.48% $ 441,084 /$ 475,463 7 107.79% $ 312.80 : NRA Balance as of 1/1/201 O: $9 ABA YTD: $441,084 ',!!t i Less HAP Expenditures YTD: $475,463 ... , " = Remaining NRA YTD: -$34,379 . ~· ... ! Ii CY Eligibility: Remaining CY Eligibility: ., , n CY Months Remaining: : ) i ; Monthly CY Eligibility Remaining: Unit Months Available CY: 1,680 Unit Months Leased CY: 1,520 Unit Months Remaining CY: 160 Monthly Units Remaining CY: #DIV/0! Unit Months Funding Would Support: 0 Monthly Units Funding Would Support: #DIV/0! ' _ • .,,,j Minimum of Available or Supportable: 0 ., ' Minimum of Available or Supportable MonU #DIV/0! ·t. SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM DECEMBER, 2010 AnnualRecerts Interim Recerts Portability Move-In Portability Move-Out End Participation New Admissions Shop Mode/ARS Waiting List/To Date Vouchers Issued Applications I/P Ports In Pending Ports Out Pending Ports Out Paid Ports Received In-House Transfers ELI% 18 5 0 1 4 0 3 249 3 0 1 8 12/$5758.00 3/$812.00 2/Pending 100% ABA Utilization OTC LIMA UML Leasing% ABA HAP % PUC January 140 125 $ 36,757 $ 34,542 $ 276 February 140 #DIV/0! .. March 140 #DIV/0! April 140 #DIV/0!. May .140 #DIV/0! June 140 #DIV/0! July 140 #DIV/0! August 140 #DIV/0! September 140 #DIV/0!· October 140 #DIV/0! November 140 #DIV/0! December 140 " " -#DIV/0! YTD 1,680./ 125 ./ 7.44% $ 36,757 $' 34,542 1 ) 93.97% $ 276.34 -= NRA Balance as of 1/1/2010: -·: }o· ABAYTD: $36,757 Less HAP Expenditures YTD: $34,542 = Remaining : $2,215 '' '.JI' CY Eligibility: $441,08_4 Remaining CY Eligibility: $406,542 CY Months Remaining: t1' Monthly CY Eligibility Remaining: $36,958 Unit Months Available CY: \?86 Unit Months Leased CY: 125 Unit Months Remaining CY: 1,555 Monthly Units Remaining CY: 141 Unit Months Funding Would Support: 1,471 Monthly Units Funding Would Support: 134 Minimum of Available or Supportable: 1,471 Minimum of Available or Supportable Montt 134 SUMMARY OF ACTIONS OTC SECTION HGV PROGRAM JANUARY, 2011 Annual Recerts Interim Recerts Portability Move-In Portability Move-Out End Participation New Admissions Shop Mode/ARS Waiting List/To Date Vouchers Issued Applications I/P Ports In Pending Ports Out Pending Ports Out Paid Ports Received In-House Transfers ELI% 10 2 0 1 5 0 1 242 3 15 :1-. 4 Sent; 4 Requests 12/$5734.00 • 3/$812.00 1/Pending 100% OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units December 2010 Rents Payable $2,362.00 Rents Collected $ 1,59600 Late Fees Charged $ 25.00 Late Fees Collected $ 25.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2Bedroom 15 3 Bedroom 18 4 Bedroom 1 H:\Users\Pam\Board Reports\OT County -Board Report.doc OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units January 2011 Rents Payable $ 2,641.00 Rents Collected $2,909.02 Late Fees Charged $ 25.00 Late Fees Collected $ 25.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 14 3 Bedroom 18 4Bedroom 1 Notice of Lease Termination/Notice to Vacate letters: 1 sent on 1-13-11, 2 sent on 1-24-11. NOo\-c f>~~ C? + l--<. -J__,(_-L <.S A-I I 3 Aa..--be.._e;v reL,•"-cf.._..,__cL1 l.i..,.;:f- 1,,t/vYf,"'J t!>N ~~-e...-r; ' - 0 """"'""' CPP-OfllJJfll ¥ Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 Otter Tail County HRA 2011 Appointments & Designations l. HRA Board Officers: Chairperson t;co+f Vice Chairperson Ru£ -Secretary Jun,"c..~ 2. Legal Publication: h :-17 ~ O&A( rLd 3. Depository: (Banks) S ~ e,~..-:47 SU &~/c 4. HRA Board Member Per Diems: • ) Amount/Meeting $ f~O. OD 5. Current IRS Mileage Rate $ ~ S-/ 6. Proposed HRA Meeting Schedule: See Attachment •h • ism ' lffFlOTC board app & dci doc Providing Housing Opportunities .. ' CURRENT OTTER TAIL COUNTY HRA BOARD OFFICERS: 1. CHAIRPERSON -SCOTT ROCHOLL 2. VICE CHAIRPERSON -ROBERT BIGWOOD 3. SECRETARY -JANICE PALAN CURRENT LEGAL PUBLICATION: 1. FERGUS FALLS DAILY JOURNAL, MN. CURRENT BANKS USED FOR DEPOSITS: 1. SECURITY STATE BANK -FERGUS FALLS, MN. 2011 OTTER TAIL COUNTY PER DIEM AMOUNT Currently set at $60.00 per meeting. IRS Announces 2011 Standard Mileag~ Rates . fjjIRS.gov IRS Announces.2011. standard Mileage Rates IR-2010-119, Dec. 3, 2010 CcnectedonDec. 13, 2010, tomflectchangesfor2011 WASHINGTON -The Internal Revenue Service today Issued the 2011 optional standard mileage rates used to calculate the deductible costs of operating an automob!Je for business, charitabla, medical or moving purposes. Beginning on Jan. 1, 2011, the standard mileage rates for the uso of a car (also .vans, pickups or panel bucks) wm be: • 51'cents per mile for business mlles driven ;, 19 cents per mile driven for medical or moving purposes • 14 cents per mile driven In sarvlce of charitable organizations The standard mlleaga rate for buslnass Is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical end moving purposes Is based on tho wriable costs as determined by tho same study. Independent contractor Runzhelmer International condtJCtod the study. A taxpayer may not USO the business standard mileage rote for a vehfcle after using enydeprocfntion method under the Modified Accelerated Cost Recovery System (MACRS) or after claiming a Section 178 deduction l'orthntvehcle. In addition, the business standard m!leage rate cannot be used for more than four Yehlcles used simultaneously. The IRS Is requesting pubDc comments on wheth8r taxpayers should be anowed to use the business standard mileage rate In this circumstance, Beginning In 2011, a taxpayer may use the business standard mDeage ratefor,vehides used for hire, such as taxicabs. • Also beg!Ming In 2011, the slandard mileage rates are announcod In a separate notice, which also provfdes the amount a taxpayer must IIS8 In calculating reductions to basis for depreciation taken undo r the business standard mileage rate and the maximum standard autoffloblle cost for automobiles under a FAVR aDowance. The IRS plans to discontinue pub0shlng the &tandan:I mileage rate revenue procedure annually butwiD publish modifications as required. Taxpayers always hav~ tho option of calculating the aetual costs of using their vehicle rather than using tho standard mHeage rates. Rtwenue f'rocedure 2010-51 and Notice 2010-88 contain additional details regarding the standard mileage rates. Subscribe to IRS Newswire Page La.st Revfawed or Updated: DecemW f 4, 2010 http://www.irs.gov/newsroom/article/0,,id=232017,00.html Page 1 oft ,l 1/9/2011 OTTER TAIL COUNITY HRA 2011 SCHEDULED BOARD MEETINGS APRIL 21 5\ 2011 H·\Users\JEFF\otc scheduled meetings.doc HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: ENCLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Gaffaney, Executive Director April 14, 2011 Meeting to be Held Thursday, April 21st, 2011 at 10:00 a.m. at the HRA Office, 1151 Friberg Ave., Fergus Falls, MN. 56537 Regular Minutes of February 17th Meeting Proposed Policy changes AGENDA 1. Chairperson -Cal] Meeting to Order 2. Approval of Minutes 3. Executive Director A.fP i y Updates/Changes ,..{_ J Section 8 Admin Plan . Public Housing ACOP. B~. inistrative Expenses -February 2011 & March 2011 C tment Listing ~ ta! Fund Program Update £)~..,/,-:) -"1S-"' "" A 2011 MN. Cities Participation Program c. r -~z_ ?o Fiscal Audit -May 2-4 4. Rehabilitation Specialist -Dennis Christenson A. MHF A Update• B. OTC Tax Levy Update C. 2011 SCDP Potential Applications 5. Rehabilitation Assistant/Housing Manager -Sue Bjorklund A. 2009 Deer Creek/Parkers Prairie SCDP B. 2010 Pelican Rapids SCDP C. 2010 New York Mills SCDG 6. Housing Administrator-Mary Jo Schwarz A. Section 8 Update 7. Housing Manager -Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNABLE TO ATTEND! =c..==============: Providing Housing Opportunities ===11a11:'ti<Ys;;o8fe.l!il·;.re;i.1>inl'-·ili!~-gl"'e1«1fBaaa;-gg:Ti:.G-;,;;c=.r+rHHe<l.ijeeee== " The Otter Tail County HRA Board of Commissioners met in a regular meeting on February 171\ 2011 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Falls, MN. 56537 • MEMBERS PRESENT Robert Bigwood Janice Palan, Secretary Robert Maki Hazel Hovde OTHERS PRESENT Jeffrey Gaffaney Dennis Christenson Mary Jo Schwarz Pam Minten Sue Bjorklund Vicki Scheer ABSENT Scott Rocholl In Scott Rocholl's and Robert Bigwood's absence, a motion was made to appoint Robert Maki as acting Chairperson. M/Hazel Hovde SI Janice Palan Robert Maki, acting Chairperson then opened the regular meeting. A motion was made and seconded to approve the minutes from the December 161\ 2010, meeting. MIJanice Palan SI Hazel Hovde As this is the first meeting of the year the annual 2011 HRA appointments and designations were reviewed. Robert Maki made a motion that that the officers remain the same, Chairperson~ Scott Rocholl, Vice Chairperson ~Robert Bigwood and Janice Palau as Secretary. M/Hazel Hovde SI Janice Palan A motion was made and seconded with all ayes that the Fergus Falls Daily Journal remains the legal publication. A motion was made and seconded with all ayes that Security Stat~ Bank in Fergus Falls remain as the bank depository for the year 2011. M/J anice Palan SI Hazel Hovde A motion was made and seconded with all ayes that the per diems remain at $60.00 per meeting. M/Hazel Hovde SI Janice Palan A motion was made and seconded with all ayes to increase the mileage reimbursement to .51 for the year 2011, which is what the IRS currently allows for business travel. MIJanice Palan SI Hazel Hovde The HRA board meeting schedule for the upcoming year was reviewed. A motion was made and seconded with all ayes to approve that schedule as presented for the year 2011. M/Janice Palan SI Hazel Hovde H:\Users\VICKl\2011 minutes\minutes -otc feb 2011.doc Jeffrey Gaffaney, Executive Director, reviewed the administrative expenses for the months of December 2010 and January 2011. A motion was made and seconded to approve the expenses. M/Hazel Hovde SI Janice Palan The Investment Listing was reviewed; the only changes were the balances in the checking and savings accounts. Regarding the 2010 Capital Funds Program, Price Family Construction has completed closing in the A/C sleeves and re-siding in these areas, installing sheet rock and painting the openings on the inside as well. We do not yet know the 2011 Capital Fund amount. The Federal annual budget for 2011 has not yet been approved so we continue to operate under a continuing resolution. The 2011 Minnesota Cities Participation Program has been put on hold and if and when funds are available the HRA will apply. An email was sent to MHFA as requested showing our interest to participate in the program at a later date. Dennis Christenson, Rehab Specialist reported that there are 7 MHFA Deferred Loan Program Phase XV applications that have been received, 7 have been inspected, 1 is bidding, 1 has rehab in progress and 5 are complete. The Rental Rehab Program will not start until later in the year, if at all. There are 31 applications for the 2010 Otter Tail County Tax Levy Homeowner Program, 31 have been inspected, 1 is bidding, 6 are in progress and 25 are complete. There are 2 applications for the 2011 Otter Tail County Tax Levy Homeowner Program Applications, 2 have been inspected and 2 have rehab in progress. A total of 10 rental unit applications have been taken, all 10 have been inspected, 2 are bidding and 8 are complete for the 2010 Otter Tail County Rental Rehab Program. A full application for Battle Lake, Clitherall and Clitherall Township has been prepared and was submitted Febfl!ary 1, 2011. Dennis expects to hear by April if this full application and the short form application for Parkers Prairie and Deer Creek will be approved. , A motion was made and seconded to approve Dennis Christenson' report. M/Hazel Hovde SI Janice Palan Sue Bjorklund, Rehab Assistant reported that there were 19 applications taken for the Parkers Prairie/Deer Creek SCDP program, 19 were inspected, 3 are in process and 16 are complete. Fourteen Homeowner applications have been received, 4 are in process, 10 have been inspected, 1 is bidding, 5 have work in progress and 4 are complete for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program. Six commercial applications have been received, 6 have been inspected, 3 are bidding and 3 .have work in progress for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican SCDP Program. H:\Users\VICKl\2011 minutes\minutes -otc feb 2011.doc 2 Nine homeowner applications have been received, 4 are in process, 5 have been inspected, and 5 have Rehab in progress for the New York Mills/ Bluffton and Newton and Bluffton Townships SCDP Program. Three commercial applications have been received, 3 have been inspected, 2 have work in progress and 1 is complete for the New York Mills/Bluffton and Newton/Bluffton Townships SCDP Program. Three applications have been received, 3 have been inspected, and 3 have work in progress for the New York Mills/Bluffton and Newton/Bluffton Townships Rental SCDP Program. A motion was made and seconded to approve Sue Bjorklund's report. M/Hazel Hovde S/ Janice Palan Mary Jo reported that for the month of December there were 130 leased and HAPS totaling $35,388. There were 18 annual recertifications, 5 interims and 3 in shop mode. She has 8 port outs pending. There were 249 on the waiting list and 12 port outs totaling $5,578.00. The ELI was at 100%. In January there were 125 leased and HAPS totaling $34,542. There was 1 transfer pending, 10 annual recertification's, 2 interims and 1 in shop mode. She has 4 requests to port out. There are 242 on the waiting list and 12 port outs totaling $5,734.00. The ELI was at I 00%. A motion was made and seconded to approve Mary Jo Schwarz's report. M/Hazel Hovde S/ Janice Palan Pam Minten, Housing Manager of the Fergus Falls and Otter Tail County public housing units reported that December rents owed for the Otter Tail County Family Public Housing units totaled $2,362.00, and $1,596.00 was collected. A late fee of $25 was charged and collected. No outstanding fees are owed. There were no vacancies. Fifteen applicants were on the 2-bedroom public housing waiting list, 18 applicants on the 3-bedroom waiting list and 1 on the 4-bedroom waiting list. A motion was made and seconded to approve Pam Minten's report. M/Hazel Hovde SI Janice Palan The January rents owed totaled $2,641.00 and $2,909.02 was collected. One late fee of $25 was charged and collected. There were no vacancies. Fourteen applicants were on the 2-bedroom public housing waiting list, 18 applicants on the 3-bedroom waiting list and 1 on the 4-bedroom list. Three lease termination notices were sent out for non-payment of utilities. All have since been paid and the notices were rescinded. There being no further business, a motion was made to adjourn the meeting by Robert Maki. Robert Bigwood entered the meeting. Motion to adjourn the meeting was seconded by Hazel Hovde. Janice Palan, Secretary Date H:\Users\VICKI\2011 minutes\minutes ~ otc feb 201 I.doc 3 Policy Changes -Otter Tail County Section 8 Admin Plan 2011 2.1.B.2. Add to the existing sentence "including both party's rights and responsibilities under the Violence Against Women Act;" 2.3 Obligations of the Participant H. Absence from the Unit 3. Omit 3.2.A 6. Remaining Member of Tenant Family Add-'If the remaining member ofa tenant family is a minor or minors, it will be necessary for an adult to temporarily move into a unit to serve as a guardian for children residing in the unit. The income received by the temporary guardian will be counted in determining family income. Although typically a criminal background check is required before anyone can receive Housing Choice Voucher assistance, this requirement will be waived for a guardian in this situation. Instead, the background check will occur after the person moves in. If the results of the check dictate that the person is ineligible for the program, the family shall be given a reasonable time to find a replacement guardian or lose the assistance.' 3.2.C. Citizenship/Eligible Immigrant Status Add: All adults must be able to sign the lease. If the State of Minnesota forbids individuals with ineligible immigration status from executing contracts (i.e. leases or other legal binding documents), then they are ineligible for this program. 3.2.D. Social Security Number Documentation Section should read: "Prior to admission, every family member regardless of age must provide the Otter Tail County Housing Authority with a complete and accurate Social Security Number unless they do not contend eligible immigration status. New family members must provide this verification within ninety (90) days prior to being added to the lease. The Housing Authority may grant one ninety (90) day extension if in its sole discretion it determines that the person's failure to comply was due to circumstances that could not have reasonably been foreseen and· was outside the control of the person. If a person is already a program participant and has not disclosed his or her Social Security Number, it must be disclosed at the next re-examination or re- certification. Participants aged 62 or older as of January 31, 2010 whose initial eligibility determination was begun before January 31, 2010 are exempt from the required disclosure of their Social Security Number. This exemption continues even if the individual moves to a new assisted unit. ! • Page2 The best verification of the Social Security Number is the original Social Security card. If the card is not available, the Housing Authority will accept an original document issued by a federal or state government agency, which contains the name of the individual and the Social Security Number of the individual, along with other identifying information of the individual or such other evidence of the Social Security Number as HUD may prescribe in administrative instructions. If a member of an applicant family indicates they have a Social Security Number, but cannot readily verify it, the family cannot be assisted until verification is provided. If the Social Security Number of each household member cannot be provided to the Otter Tail County Housing Authority within thirty (30) days of it being requested, the family shall lose its place on the waiting list and drop to the bottom of the list. During this 30 days, if all household members have not disclosed their SSN at the time assistance becomes available, the Housing Authority must offer assistance to the next eligible applicant family on the waiting list. If an individual fails to provide the verification within the time allowed, the family will be denied assistance or will have their assistance terminated. The Housing Authority may grant one ninety (90) day extension from termination if in its sole discretion it determines that the person's failure to comply was due to circumstances that could not have reasonably been foreseen and there is a reasonable likelihood that the person will be able to disclose a Social Security Number by the deadline." 4.2 Taking Applications Add to end of Paragraph 3: The form gives applicants the option to identify an individual or organization that the Housing Authority may contact and the reason(s) the individual or organization may be contacted. The applicants, if they choose to provide the additional contact information, must sign and date the form. If the applicant chooses to have more than one contact person or organization, the applicant must make clear to the Housing Authority the reason each person or organization may be contacted. The Housing Authority will allow the applicant to complete a form HUD-92006 for each contact and indicating the reason the Housing Authority may contact the individual or organization. For example, the applicant may choose to have a relative as a contact for emergency purposes and an advocacy organization for assistance for tenancy purposes. Those applicants who choose not to provide the contact information should check the box indicating that they "choose not to provide the contact information" and sign and date the form. • Page3 4.8 Add to end of Section 4.8/Grounds for Denial: The fact that an applicant is or has been a victim of domestic violence, dating violence, or stalking is not an appropriate basis for denial of program assistance or for denial of admission, if the applicant otherwise qualifies for assistance or admission. The Authority will require verification in all cases where an applicant claims protection against an action proposed to be taken by the Authority involving such individual. Types of acceptable verifications are outlined in Section 17 .2 of this plan, and must be submitted within 14 business days after receipt of the Housing Authority's request for verification. 6.0 Assignment of Bedroom Sizes (Subsidy Standards) Add to E. -The PHA will require that the family provide verification of the pregnancy from a licensed physician. Change I. -Two children of the opposite sex WILL share a bedroom until one of the children reaches age six. Once one of the children reaches age six a new/larger sized voucher will be issued to the family. 6.2 Packet -Add R. An explanation of rights afforded to Housing Choice Voucher participants under the Violence Against Women Act; 7.1 Add Paragraph D.: The family or a member of the family is or has been the victim of domestic violence, dating violence, or stalking, as provided in 24 CFR part 5, subpart L, and the move is needed to protect the health or safety of the family or family member. The Otter Tail County Housing Authority will not terminate assistance if the family, with or without prior notification to the housing authority, already moved out of a unit in violation of the lease, if such move occurred to protect the health or safety of a family member who is or has been the victim of domestic violence, dating violence, or stalking and who reasonably believed he or she was imminently threatened by harm from further violence if he or she remained in the dwelling unit. 8.1 Portability/General Policies of the Otter Tail County Housing Authority Amend the 2nd & 3rd paragraphs by adding the following to the end of each paragraph: "This does not apply when the family or a member of the family is or has been the victim of domestic violence, dating violence, or stalking and the move is needed to protect the health and safety of the family or family member." Add at the very end of this Section: 1) To the degree possible, portability moves will be utilized to affirmatively further fair housing; and 2) Any of the above general policies will be waived by the Otter Tail County Housing Authority in order to help participants who are compliant with their existing leases but who reasonably believe they need to move to protect the health and/or safety of a victim of domestic violence, dating violence or stalking. In order to exercise this waiver, the participant shall provide the Otter Tail County Housing Authority with appropriate verification. Page4 Types of acceptable verifications are outlined in Section 17 .2 of this Section 8 Administrative Plan, and must be submitted within 14 business days after receipt of the Housing Authority's written request for verification. 8.4.A. Portability Procedures (5) -add at the end of first sentence "and a copy of the family's voucher." 8.4.D.2. Change to read as follows: The Initial Housing Authority will promptly reimburse the Receiving Housing Authority for 80% or a negotiated amount that both housing authorities agree to of the Initial Housing Authority's ongoing administrative fee for each unit month that the family receives assistance under the tenant-based programs and is assisted by the Receiving Housing Authority." (Additional Changes to be made regarding Portability Procedures after training in May) 10.1 Acceptable Methods of Verification Age, relationship, U.S. citizenship, and Social Security numbers will generally be verified with documentation provided by the family. For citizenship, the family's certification will be accepted. Verification of these items will include photocopies of the Social Security cards and other documents presented by the family, the INS SA VE approval code, and forms signed by the family. Other information will be verified by the following verification methods acceptable to HUD, in the order of preference indicated: 1. Up-front Income Verifications (VIV) UIV is the verification of income through an independent source that systematically maintains income information in computerized form for a large number of individuals. Current UIV resources include the following: a. Enterprise Income Verification (EIV) -The EIV System is a web-based application, which provides PHAs with employment, wage, unemployment compensation and social security benefit information of tenants who participate in the Public Housing and various Section 8 programs under the jurisdiction of the Office of Public and Indian Housing (PIH). Page 5 Information in EIV is derived from computer matching programs initiated by HUD with the Social Security Administration (SSA) and the U.S. Department of Health and Human Services (HHS), for all programs participants with valid personal identifying information (name, date of birth (DOB), and social security number (SSN)) reported on the form HUD-50058. Use of the EIV system in its entirety is mandatory for all annual and interim re-examinations. The Otter Tail County Housing Authority will monitor the following EIV reports on a monthly basis - (l)DeceasedTenants Report, (2) Identity Verification Report, and the (3) Immigration Report. In addition, it will monitor on a quarterly basis the following EIV reports -(1) Income Discrepancy Report, Multiple Subsidy Report, and the New Hires Report. b. State Wage Information Collection Agencies (SWICAs) c. State systems for the Temporary Assistance for Needy Families (TANF) program d. Credit Bureau Information (CBA) credit reports e. Internal Revenue Service (IRS) Letter 1722 f. Private sector databases (e.g. The Work Number) The Otter Tail County Housing Authority will use additional UIV resources as they become available. This will be done before, during and/or after examinations and/or re-examinations of household income as appropriate. It is important to note that UIV data will only be used to verify a participant's eligibility for participation in a rental assistance program and to determine the level of assistance the participant is entitled to receive and only by properly trained persons whose duties require access to this information. Any other use, unless approved by the HUD Headquarters UIV Security System Administrator, is specifically prohibited and will not occur. No adverse action can be taken against a participant until the Otter Tail County Housing Authority has independently verified the UIV information and the participant has been granted an opportunity to contest any adverse findings through the established grievance procedure. The Page 6 consequences of adverse findings may include the Otter Tail County Housing Authority requiring the immediate payment of any over-subsidy, the entering into a repayment agreement, eviction, criminal prosecution, or any other appropriate remedy. Furthermore, the information the Otter Tail County Housing Authority derives from the UIV system will be protected to ensure that it is utilized solely for official purposes and not disclosed in any way that would violate the privacy of the affected individuals. The EIV Income Report must remain in the tenant file for the duration of tenancy and no longer than three years from the end of participation (EOP) date. The Otter Tail County Housing Authority is required to maintain at a minimum, the last three years of the form HUD-50058, and supporting documentation for all annual and interim reexaminations of family income. All records are to be maintained for a period of at least three years from the effective date of the action. Once the data has served its purpose, it shall be destroyed by either burning or shredding the data. 2. Third-Party Written Verifications An original or authentic document generated by a third-party source dated either within the 60-day period preceding the reexamination or the Otter Tail County Housing Authority request date. Such documentation may be in the possession of the participant (or applicant), and is commonly referred to as participant-provided documents. It is HUD's position that such participant-provided documents are written third-party verification since these documents originated from a third-party source. The Otter Tail County Housing Authority may, at its discretion, reject any participant- provided documents and follow up directly with the source to obtain necessary verification of information. Examples of acceptable participant-provided documentation (generated by a third-party source) include, but are not limited to: pay stubs, payroll summary report, employer notice/letter of hire/termination, SSA benefit verification letter, bank statements, child support payment stubs, welfare benefit letters and/or printouts, and unemployment monetary benefit notices. Current acceptable participant-provided documents will be used for income and rent determinations. The Otter Tail County Housing Authority will obtain at least two current and consecutive pay stubs for determining annual income from wages. For new income sources or when two or more pay stubs are not available, the Housing Authority will project income based on the information from a Page 7 traditional written third-party verification form or the best available information. Note: Documents older than 60 days (from the Otter Tail County Housing Authority interview/determination or request date) is acceptable for confirming effective dates of income. Third-party written verifications may also be used to supplement Up-front Income Verifications. They will be utilized when there is a discrepancy of $200 a month or more and the participant disputes the UIV results. 3. Written Third-Party Verification Form Also known as traditional third-party verification, a standardized form to collect information from a third-party source is .distributed by the Otter Tail County Housing Authority. The form is completed by the third-party by hand (in writing, or typeset) when sent the form by the Otter Tail County Housing Authority. HUD recognizes that third-party verification request forms sent to third- party sources often are not returned. In other instances, the person who completes the verification form may provide incomplete information; or some participants may collude with the third-party source to provide false information; or the participant intercepts the form and provides false information. HUD requires the Otter Tail County Housing Authority to rely on documents that originate from a third-party source's computerized system and/or database, as this process reduces the likelihood of incorrect or falsified information being provided on the third-party verification request form. The use of acceptable participant-provided documents, which originate from a third-party source, will improve the integrity of information used to determine a family's income and rent and ultimately reduce improper subsidy payments. This verification process will also streamline the income verification process. The Otter Tail County Housing Authority will allow fourteen (14) calendar days for the return of third-party written verifications prior to continuing on to the next type of verification. 4. Third-Party Oral Verifications Page 8 This type of verification includes direct contact with the source, in person or by telephone. When this method is used, staff members will be required to document in writing with whom they spoke, the date of the conversation, the telephone number and the facts obtained. The Otter Tail County Housing Authority will allow fourteen (14) calendar days for the return of third-party oral verifications prior to continuing on to the next type of verification. 5. Review of Documents When UIV, written and oral third-party verifications are not available within the period of time allowed in paragraphs 3 and 4 above, the Housing Authority will use the information received by the family, provided that the documents provide complete information. Photocopies of the documents, excluding government checks, provided by the family will be maintained in the file. In cases in which documents are viewed and cannot be photocopied, staff reviewing the documents will complete a written statement as to the contents of the document( s ). 6. Self-Certification and Self-Declaration When UIV, written and oral third-party verifications are not available within the period of time allowed in paragraphs 3 and 4 above, and hand- carried verification cannot be obtained, the Housing Authority will accept a statement detailing information needed, signed by the head, spouse, co- head, or other adult family member. Verification forms and reports received will be contained in the applicant/ participant file. Oral third-party documentation will include the same information as if the documentation had been written, i.e. name, date of contact, amount received, etc. When any verification method other than Up-front Income Verification is utilized, the Otter Tail County Housing Authority will document the reason for the choice of the verification methodology in the applicant/resident's file. The following chart comes from PIH Notice 2010-19. Page9 Level Verification Technique Ranking 6 Up-front Income Verification Highest (Mandatory) (UIV) using HUD's Enterprise Income Verification (EIV) system (not available for income verifications of applicants) 5 Up-front Income Verification Highest (Optional) (UIV) using non-HUD system 4 Written Third-Party High (Mandatory to supplement EIV- Verification reported income sources and when EIV has no data; Mandatory for non-EIV reported income sources; Mandatory when participant disputes EIV-reported employment and income information and is unable to provide acceptable documentation to support dispute) 3 Written Third-Party Medium-Low (Mandatory if written third- Verification Form party verification documents are not available or rejected by the PHA; and when the applicant or participant is unable to provide acceptable documentation) 2 Oral Third-Party Verification Low (Mandatory if written third-party verification is not available) 1 Tenant Declaration Low (Use as a last resort when unable to obtain any type of third-party verification) I 0.2 Adel after "hand-carried verification in the form of a letter" -from Social Security no more than 60 calendar days old as verified by HUD computer systems. 10.8 An EIV Income Report shall be pulled from the system before annual or interim reexamination are conducted for any family and compared with family- reported information. If the EIV report reveals an income source that was not reported by the participant or a substantial difference ( defined as $2400 or more annually) in the reported income information, the Otter Tail County Housing Authority will: A. Discuss the income discrepancy with the participant; and B. Request the participant to provide any documentation to confirm or dispute the unreported or underreported income and/ or income sources; and Page 10 C. In the event the participant is unable to provide acceptable documentation to resolve the income discrepancy, the Otter Tail County Housing Authority will request from the third-party source, any information necessary to resolve the income discrepancy; and D. If applicable, determine the participant's underpayment of rent as a result of unreported or underreported income, retroactively*; and E. Take any other appropriate action. *The Otter Tail County Housing Authority will determine the retroactive rent as far back as the existence of complete file documentation (form HUD-50058 and supporting documentation) to support such retroactive rent determinations. The participant will be provided an opportunity to contest the Otter Tail County Housing Authority's determination of overpayment of the HAP. Participants will be promptly notified in writing of any adverse findings made on the basis of the information verified through the aforementioned income discrepancy resolution • process. The participant may contest the findings in accordance with established grievance procedures. The Otter Tail County Housing Authority will not terminate, deny, suspend, or reduce the family's assistance until the expiration of any notice or grievance period. When there is an unsubstantial or no disparity between participant-reported and EIV-reported income information, the Otter Tail County Housing Authority will obtain from the participant, any necessary documentation to complete the income determination process. As noted previously, the Otter Tail County Housing Authority may reject any participant-provided documentation, if the Authority deems the documentation unacceptable. Documentation provided by the participant will only be rejected for only the following reasons: A. The document is not an original; or B. The original document has been altered, mutilated, or is not legible; or C. The document appears to be a forged document (i.e. does not appear to be authentic). Page 11 The Housing Authority will explain to the participant, the reason(s) the submitted documents are not acceptable and request the participant to provide additional documentation. If at any time, the participant is unable to provide acceptable documentation that the Housing Authority deems necessary to complete the income determination process, the Authority will submit a traditional third-party verification form to the third-party source for completion and submission to the Housing Authority. If the third-party source does not respond to the Housing Authority's request for information, the Authority is required to document the participant file of its attempt to obtain third-party verification and that no response to the third-party verification request was received. The Housing Authority will then pursue lower level verifications in accordance with the verification hierarchy. 10.4 Verification of Social Security Numbers Paragraph 1 should read: Prior to admission, every family member regardless of age must provide the Otter Tail County Housing Authority with a complete and accurate Social Security Number unless they do not contend eligible immigration status. New family members must provide this verification within ninety (90) days prior to being added to the· lease. The Housing Authority may grant one ninety (90) day extension if in its sole discretion it determines that the person's failure to comply was due to circumstances that could not have reasonably been foreseen and was outside the control of the person. 10.6 Frequency of Obtaining Verification Add: For each family member, verification of Social Security number will be obtained only once. This verification will be accomplished prior to admission. When a family member who did not have a Social Security number at admission receives a Social Security number, that number will be verified at the next regular reexamination. 11.4 Paragraph 3 should read: For a voucher tenancy in an insured or non-insured 236 project, a 515 project of the Rural Development Administration, a Section 202 or 811 project, or a Section 221(d)(3) below market interest rate project the maximum subsidy may not exceed the basic rent charged including the cost of tenant-paid utilities. Furthermore, if any of the units also receive the benefit of a State, local, or federal housing subsidy ( e.g., Section 8 project-based housing assistance payments contract), they are ineligible units under the HCV program." Page 12 11.4.1 Change A. through I., as follows: A. Note whether the family is an applicant or participant family. B. The number of household members including a live-in aide/s. C. The voucher size the family is issued under the PHA's subsidy standards or any exception to those standards granted through a reasonable accommodation request; e.g., as a reasonable accommodation, a single- person family may be issued a two-bedroom voucher due to a need to store medical equipment. D. The FMR for the voucher size or unit size, whichever is smaller. E. When either the disability or the need for the requested accommodation is not known or readily apparent, a statement from a health care provider regarding the need for the reasonable accommodation and the features of the unit (which may include its location) which meet that person's needs. F. The contract rent and utility allowance for the unit. G. A statement from the PHA that it has determined the rent for the unit is reasonable, and that the unit has the feature/s required to meet the needs of the person with disabilities as noted in the statement from the health care provider where such a statement is necessary (see E. above). H. The household's monthly adjusted income. I. Proposed effective date of the new lease or actual effective date of the lease renewal. 11. 7 'If an owner receives HAP for any month in which the owner is ineligible to receive HAP because of a deceased tenant, the Otter Tail County Housing Authority will immediately notify the owner in writing of the ineligible HAP and require the owner to repay the overpayment within 30 days. If the owner does not comply, the Otter Tail County Housing Authority may deduct the amount due to the Authority from any amounts due to the owner under any other HAP contract. If there is no other HAP contract with the owner, the Otter Tail County Housing Authority may seek and obtain additional relief by judicial order or action in accordance with state and local laws. • In instances where a deceased single member household has been deceased for a period greater than ·6 months and the owner received HAP, the Otter Tail County Housing Authority may determine that the owner has breached the HAP contract. As such, the Housing Authority may exercise any of its rights and remedies under the HAP contract, or any other available rights and remedies for such breach. The Housing Authority will notify the owner of such determination, including a brief statement of the reasons for the determination. Page 13 The notice by the Authority to the owner may require the owner to take corrective action, as verified or determined by the Housing Authority, by a deadline prescribed in the notice.' 14.2 Interim Reexams Add -after "recertification" All adult family members will be required to complete a "Zero Income Questionnaire" (ZIQ). The PHA will initiate contact with the family on a quarterly basis (Jan. April, July, Oct) to update household income and all adult family members claiming zero income will, again, be required to complete a ZIQ. Continuing 14.2 with regard to Interim Recertifications: These changes will trigger an interim reexamination: A. A decrease in household income; . B. An increase in household income that is greater than, or equal to $200.00 in gross monthly income; C. An increase in eligible expenses; D. A change in family composition; If the family's size decreases, the payment standard for the appropriate unit size will be applied at the next annual recertification. The PHA will require that changes in income, family composition and eligible expenses be reported, in writing, and will require the family to complete the "Interim Report Form" (IRF) provided by the PHA. After receiving the IRF the PHA will determine if an interim is necessary because of the reported change. If an interim is necessary the PHA will proceed to verify the change and complete the interim recertification. If a change is not warranted, the PHA will notify the family of such in writing. As required by HUD, the PHA will review "New Hire Reports" through the EIV System. The PHA will contact participants listed on the New Hire Report who have not reported the change in household income and will initiate the interim recertification. If the PHA determines that an overpayment of HAP was made due to failure of the family to report, repayments will be calculated and repayment agreements offered. Page 14 Repayment agreements will not be offered if: 1) A repayment agreement is already in place because of a previous overpayment; or 2) If the amount that is owed by the family exceeds $2,500.00. When the amount owed exceeds $2,500.00, the Housing Authority will proceed with termination ofrental assistance and will seek collection of the debt by other means such as (but not limited to) Minnesota Revenue Recapture and state or federal prosecution. l 4.2.D.4. Delete old language and replace with: If the family break-up results from an occurrence of domestic violence, dating violence, or stalking, the Otter Tail County Housing Authority will ensure that the victim retains assistance. The factors to be considered in making this decision include: a. Whether the assistance should remain with family members remaining in the original assisted unit. b. The interest of minor children or ofill, elderly, or disabled family members. c. Whether family members are forced to leave the unit as a result or actual or threatened domestic violence, dating violence, or stalking. d. Whether any of the family members are receiving protection as victims of domestic violence, dating violence, or stalking and whether the abuser is still in the household." 15.1 EIV Deceased Tenants Report The Otter Tail County Housing Authority shall generate the EIV's Deceased Tenants Report monthly shortly before disbursing HAP payments to owners to see if the system flags deceased residents. The Otter Tail County Housing Authority shall review the report and follow up with any listed families immediately and take any necessary corrective action as set forth in PIH Notice 2010-9 or successor publications. If the deceased is a single member household, notify the owner in writing of the deceased Head of Household and suspend HAP payments for any month following the month in which the death occurred. If the property is occupied by a live-in-aide to the deceased person, the assistance will end and the landlord and aide must decide on the future of the aide's tenancy. Page 15 If an owner received HAP for any month in which the owner was ineligible to receive HAP because of a deceased tenant, the Housing Authority will immediately notify the owner in writing of the ineligible HAP and require the owner to repay the overpayment within 30 days. If the owner does not comply, the Housing Authority will deduct the amount due to the Agency from any amounts due to the owner under any other HAP contract.. If there is no other HAP contract with the owner, the Housing Authority may seek and obtain additional relief by judicial order or action in accordance with state and local laws." 17.1 VA WA PROTECTIONS Under the Violence Against Women Act ('v AWA), Housing Choice Voucher participants have the following specific protections, which will be observed by the Otter Tail County Housing Authority: A. An incident or incidents or actual or threatened domestic violence, dating violence, or stalking will not be construed as a serious or repeated violation of the lease by the victim or threatened victim of that violence, and shall not in itself be good cause for terminating the assistance, tenancy, or occupancy rights of the victim of such violence by either the Housing Authority or the owner or property manager. B. The Housing Authority may terminate the assistance to remove a lawful occupant or tenant who engages in criminal acts or threatened acts of violence or stalking to family members or others without terminating the assistance or evicting victimized lawful occupants. Also, the owner or property manager may evict a lawful occupant or tenant who engages in criminal acts or threatened acts of violence or stalking to family members or others without evicting other victimized lawful occupants. This is also true even if the household member is not a signatory to the lease. Under VA WA, both the Housing Authority and the owner or property manager are granted the authority to bifurcate the lease. C. The Housing Authority and owner or property manager may honor court -orders regarding the rights of access or control of the property. D. There is no limitation on the ability of the Housing Authority to terminate assistance for other good cause unrelated to the incident or incidents of domestic violence, dating violence or stalking, other than the victim may not be subject to a "more demanding standard" than non-victims. Page 16 Likewise, an owner or property manager can evict for good cause unrelated to the incident or incidents of domestic violence, dating violence or stalking. This is provided that neither subjects such a tenant to a more demanding standard than other tenants in making the determination whether to evict, or to terminate assistance or occupancy rights. E. There is no prohibition on the owner evicting if it "can demonstrate an actual and imminent threat to other tenants or those employed at or providing goods or services to the property if that tenant's (victim's) tenancy is not terminated." An actual and imminent threat consists of a physical danger that is real, would occur within an immediate timeframe, and could result in death or serious bodily harm. In determining whether an individual would pose an actual and imminent threat, the factors to be considered include: the duration of the risk, the nature and severity of the potential harm, the likelihood that the potential harm will occur, and the length of time before the potential harm would occur. F. Any protections provided by law which give greater protection to the victim are not superseded by these provisions. 17.2 VERIFICATION OF DOMESTIC VIOLENCE, DATING VIOLENCE OR STALKING The Otter Tail County Housing Authority shall require and the owner or property manager may require verification in all cases where an individual claims protection under VA WA against an action involving such individual proposed to be taken by the Housing Authority. A. Requirement for Verification. The law allows, but does not require, the Housing Authority or a Section 8 owner or property manager to verify that an incident or incidents of actual or threatened domestic violence, dating violence, or stalking claimed by a tenant or other lawful occupant is bona fide and meets the requirements of the applicable definitions set forth in this policy. The Housing Authority shall require verification in all cases where an individual ' claims protection against an action involving such individual proposed to be taken by the Housing Authority. Section 8 owners or managers receiving rental assistance administered by the Housing Authority may elect to require verification, or not to require it as permitted under applicable law. Verification of a claimed incident or incidents of actual or threatened domestic violence, dating violence or stalking may be accomplished in one of the following three ways: Page 17 1. HUD-approved form (HUD-50066) -By providing to the Housing Authority or to the requesting Section 8 owner or property manager a written certification, on the form approved by the U.S. Department of Housing and Urban Development (HUD), that the individual is a victim of domestic violence, dating violence or stalking that the incident or incidents in question are bona fide incidents of actual or threatened abuse meeting the requirements of the applicable definition(s) set forth in this policy. The incident or incidents in question must be described in reasonable detail as required in the HUD-approved form, and the completed certification must include the name of the perpetrator. 2. Other documentation -by providing to the Housing Authority or to the requesting Section 8 owner or property manager documentation signed by an employee, agent, or volunteer of a victim service provider, an attorney, or a medical professional, from whom the victim has sought assistance in addressing the domestic violence, dating violence or stalking, or the effects of the abuse, described in such documentation. The professional providing the documentation must sign and attest under penalty of perjury (28 U.S.C. 1746) to the professional's belief that the incident or incidents ih question are bona fide incidents of abuse meeting the requirements of the applicable definition(s) set forth in this policy. The victim of the incident or incidents of domestic violence, dating violence or stalking described in the documentation must also sign and attest to the documentation under penalty of perjury. The submission of false information may be the basis for the termination of assistance or for eviction. 3. Police or court record -by providing to the Housing Authority or to the requesting Section 8 owner or property manager a Federal, State, tribal, territorial, or local police or court record describing the incident or incidents in question. B. Time allowed to provide verification/ failure to provide. An individual who claims protection against adverse action based on an incident or incidents of actual or threatened domestic violence, dating violence or stalking, and who is requested by the Housing Authority, or a Section 8 owner or property manager to provide verification, must provide such verification within 14 business days after receipt of the written request for verification. Failure to provide verification, in proper form within such time will result in loss of protection under VA WA and this policy against a proposed adverse action. Page 18 C. Managing co11j1icti11g docume11tatio11. In cases where the Otter Tail County Housing Authority receives conflicting certification documents from two or more members of a household, each claiming to be a victim and naming one or more of the other petitioning household members as the perpetrator, the Housing Authority may determine which is the true victim by requiring third-party documentation as described in 24 CFR 5.2007 and in accordance with any HUD guidance as to how such determinations will be made. The Housing Authority shall honor any court orders addressing rights of access or control of the property, including civil protection orders issued to protect the victim and issued to address the distribution or possession of property among the household." 17.3 CONFIDENTIALITY All information provided under VA WA including the fact that an individual is a victim of domestic violence, dating violence, or stalking, shall be retained in confidence and shall not be entered into any shared database or provided to any related entity except to the extent that the disclosure is: A. Requested or consented to by the individual in writing; B. Required for used in an eviction proceeding; or C. Otherwise required by applicable law. The Otter Tail County Housing Authority shall provide its tenants notice of their rights under VA WA including their right to confidentiality and the limits thereof. Add Section 22 -Repayment Agreements When a participant owes the Housing Authority back charges and is unable to pay the balance by a specific date, the participant may be allowed to enter into a Repayment Agreement with the Housing Authority to make monthly installments to repay what is owed. All Repayment Agreements must assure that the full payment is made within the time period agreed upon by the participant and the HRA. Agreements must be in writing and signed by both parties and must include the following: 1. The reason why the money is owed and the time period for which the total amount owed has been calculated for. 2. The schedule of payments including the amount of each monthly payment amount. 3. Consequences for late and missed payments which constitute default of the repayment agreement and the fact that assistance may be terminated if payments are not received as agreed upon. Page 19 4. That the terms of the agreement may be renegotiated ifthere is a decrease in the family's income. (Refer to Section 14.2 regarding when repayment agreements will not be offered.) Add Section 29 -Cost Saving Possibilities: Unfortunately, in recent years the management of the Housing Choice Voucher Program has become more difficult for the Otter Tail County Housing Authority and all other housing authorities managing the program. As Congress and HUD change the way they fund the program, more and more challenges face the Housing Authority. There are no simple solutions to the challenges the Housing Authority faces and the actions we must take will vary depending on circumstances that are often beyond our control. Therefore, the Housing Authority hereby establishes in its Administrative Plan the following options that will be considered by the Board of Commissioners depending on the particular circumstances of the time. They are not listed in any particular order. None of these options will be implemented without Board of Commissioner approval and the opportunity for affected participants to address the Board of Commissioners. Any actions taken under this section of the Administrative Plan will sunset if and when the procuring reason for the action is no longer in effect. Rescissions will also require Board of Commissioner approval. There shall be one basic principle that will guide the Housing Authority in implementing any or all of these options -what must the Housing Authority do to assist the maximum number of eligible people in a quality Housing Choice Voucher Program while maintaining the fiscal integrity of the program. The Housing Authority shall endeavor to protect elderly and disabled families from significant impact (defined as loss of one's Housing Choice Voucher) but Page20 recognizes that what is feasible is dependant on the amount of funding provided to the program. The options are as follows: A. The Housing Choice Voucher Payment Standards may be reviewed in light of the funding situation. If payment standards are reduced, the lower payment standard shall go into effect immediately for new admissions, participants moving from one unit to another, and people staying in place who require a new HAP contract because they are signing a new lease. In extraordinary circumstances, the Housing Authority may be forced to ask HUD for a waiver so that even those participants staying in place without a new lease shall have their payment standard decreased immediately instead of the normal second regular reexamination after the lowering of the payment standard. B. Since Housing Authorities do not have to wait until the HAP contract anniversary date to review owner rents and reduce them if warranted, the Housing Authority will ensure that owner rents do not exceed amounts charged for unassisted units in the same building or complex. The initial rent and all rent increases must comply with any State or local rent control limits. Further, any owner leasing promotions for unassisted tenants ( e.g., the initial two months of occupancy are "rent free") must be taken into consideration in determining rent reasonableness. In accordance with the HAP contract, the Housing Authority will provide written notice to owners before reducing unreasonable rents. Rents may be reduced as early as the first of the following month. If the rent to owner is not reasonable as most recently determined by the Housing Authority, the owner must reduce the rent to the reasonable amount or the HAP contract must be terminated. In such cases, the family will be issued an HCV to find a new unit. (Movers, like new participants, are subject to the Housing Authority's current payment and occupancy standards.) C. Housing Choice Voucher Payment Standards must be established according to HUD regulation so that no more than 40% of the participants are paying more than 30% of their monthly adjusted income for rent. If circumstances dictate it, the Otter Tail County Housing Authority may be forced to ask for a waiver of this prohibition in order to sufficiently lower its payment standard. D. The utility allowance schedule may be reviewed to determine if the utility allowances are too high. If they are too high that means that the participants are being subsidized in an excess manner. The new utility allowance schedule may be placed into effect after a thirty day notice or at Page 21 a participant's next reexamination depending on the financial circumstances the Housing Authority finds itself in. As stated in Section 11.6, utility allowances are supposed to be adjusted annually or sooner if there is a utility rate increase of 10% or more. If circumstances warrant, the Housing Authority reserves the right to seek a HUD waiver of this regulatory requirement. E. An initial PHA may request that a receiving PHA absorb portable families for which the initial PHA is being billed. This may include the receiving PHA retroactively absorbing families for which the initial PHA was already billed and made payments. In these cases, the receiving PHA reimburses the initial PHA for payments made back to the effective date of the absorption. Both the receiving PHA and initial PHAs must agree to this arrangement. F. This provision provides an exception to Section 10 of Notice Pili 2008-43 on HCV Portability and Corrective Actions. (Section 10 provides that the receiving PHA may not retroactively absorb families for which the receiving PHA was previously billing for any time period that commences before 10 working days from the time the receiving PHA notifies the initial PHA of the absorption.) The Housing Authority will attempt to get receiving PHAs to absorb whenever possible. F. If financial circumstances dictate, the Housing Authority may deny portability moves to a higher cost area for its Housing Choice Voucher participants and/or shoppers if the Housing Authority has insufficient funds to pay the higher subsidy amounts and the receiving housing authority declines to absorb the family. While the Board of Commissioners must establish this policy after an examination of the fiscal affairs of the organization, individual denials of portability shall only occur after the Housing Authority has determined that the receiving housing authority will not absorb the family. The denial of absorption shall be documented in that person's file. This can only occur if the portability action would cause the Housing Authority to be unable to avoid terminating the vouchers of current voucher participants during the affected calendar year. If a family is denied its portability request, no subsequent families will be admitted to the program until the Housing Authority has determined that sufficient funding exists to approve the move and has notified the family that the family may now exercise its move to the higher cost area. G. If financial circumstances dictate, the Housing Authority may deny the right of a participant to move within the jurisdiction of the Housing Authority to a portion of the jurisdiction that has a higher payment standard than the portion of the jurisdiction the participant currently lives in if the Housing Authority has insufficient funds to pay the higher subsidy amounts. H. Housing Choice Vouchers issued to families on the waiting list that have not resulted in HAP contracts may be cancelled. I. The Housing Authority may be forced to not reissue vouchers surrendered by current participants immediately upon their return to the Housing Authority. Instead, the vouchers may be held in the Authority's inventory in order to avoid dire financial consequences. The amount of time they will be held shall be determined based upon the financial situation of the Housing Authority. Page 22 J. The subsidy standards set forth in Section 6.0 may be reexamined. K. A program-wide study may be conducted to ensure that families are utilizing the proper size Housing Choice Voucher for their current family • size. L. If the minimum rent is increased under Section 11.5 (B), it can be made the first of the month following the month families are notified of the increase (provided there has been at least a 3 0-day notice) instead of at the next reexamination. M. The requirement of when families have to report changes of their income as set forth in Section 14.2 may be modified due to the financial pressure facing the Housing Authority. Also, the new rent payment may become effective at the start of the next month provided there has been a thirty day notice. N. Owners participating in the Housing Choice Voucher Program may be asked to voluntarily reduce the rents they are charging participants in order to assist in the financial solvency of the program. This must be a truly voluntary program. 0. The absolutely last step the Housing Authority will take to resolve its Housing Choice Voucher financial problems will be to terminate the vouchers of families already receiving assistance. If this becomes necessary, the following sequence shall be used to determine which individual Housing Choice Vouchers are terminated first: Page23 Glossary Add definition: 1. Household to be terminated will be chosen strictly by a random drawing. If it becomes necessary for the Housing Authority to terminate Housing Choice Vouchers, the families terminated shall be reinstated onto the program as soon as fiscally and practically feasible, in the following manner: 1. The first one drawn will be the first one readmitted and so on until all are readmitted. 1. 50058 Form: The HUD form that housing authorities are required to complete and electronically submit to HUD for each assisted household in public housing to record information used in the certification and re-certification process and, at the option of the housing authority, for interim reexaminations. Housing Authorities must retain at a minimum the last three years of the form 50058, and supporting documentation, during the term of each assisted lease, and for a period of at least three years from the end of participation date. Electronic retention of form HUD 50058 and HUD 50058-FSS and supporting documentation fulfills the record retention requirement." 2. VA WA-means the Violence Against Women and Department of Justice Reauthorization Act of 2005 (Pub. L. 109-162, approved August 28, 2006), as amended by the U.S. Housing Act of 1937 (42 U.S.C. 1437d and 42 U.S. 1437f). Otter Tail County Public Housing ACOP (Admissions and Continued Occupancy Policy) and LEASE PROPOSED CHANGES APRIL 2011: POLICY CHANGES: (DELETE AND ADD TO THE POLICY) 6.0 Required Postings C. Upon Request the following information will be available 10. The agency's PHAS score and designation. 8.2 Eligibility Criteria A. Family Status -All families must have a Head of Household or Co-Heads of Household. 6. A remaining member of a tenant family. If the remaining member of a tenant family is a minor or minors, it will be necessary for an adult to temporarily move into a unit to serve as a guardian for children residing in the unit. The income received by the temporary guardian will be counted in determining family income. Although typically a criminal background check is required before anyone can move into a public housing unit, this requirement will be waived for a guardian in this situation. Instead, the background check wi ll occur after the person moves in. Lfthe results of the check dictate that the person is ineligible for public housing, the family shall be given a reasonable time to find a replacement guardian or vacate the proRerty. C. Citizenship/Eligibility Status 2. Family eligibiJity for assistance. c. . .... All adults must be able to sign the lease. If the State of Minnesota forbids individuals with ineligible immigration status from executing contracts (i.e. leases or other legal binding documents), the n they are ineligible for this program. D. Social Security Number Documentation Prior to admission, every family member regardless of age must provide the Otter Tail County Housing Authority with a complete and accurate Social Security Number unless they do not contend eligible immigration status. New family members must provide this verification within ninety (90) days prior to being added to the lease. lfthe new family member is under the age of si>t and has not been assigned a Social Security }>l umber, the fafflil)' shall have ninety (90) calendar days after starting to recei>,•e the assistance to provide a complete and accurate 8ociaJ Security }IJ:1:1mber. The Housing Authority may grant one ninety (90) day extension if in its sole discretion it determines that the person's failure to comply was due to circumstances that could not have reasonably been foreseen and was outside the control of the person. Participants aged 62 or older as of January 31, 2010 whose initial eligibility determination was begun before January 31 , 20 l O are exempt from the required disclosure of their Social Security Number. This exemption continues even if the individual moves to a new assisted unit. 1 Jf a member of an applicant family indicates they have a ocial Security N umber, but cannot readily verify it, the family cannot be assisted until verification is provided. If the Social Security Number of each household member cannot be provided to the Otter Tail County Housing Authority within 30 days of it being requested, the family shall lose its place on the waiting list and drop to the bottom of the list. During this 30 days, if all household members have not disclosed their SSN at the time a unit becomes available, the Otter Tail County Housing Authority must offer the available unit to the next eligible applicant family on the waiting list. 8.3 Suitability C. 5 ........ The Dru Sjodin Narional Sex Offender Database in an online, searchable database, hosted by the Department of Justice, which combines the data from individual state sex offender registries. 12.1 Acceptable Methods of Verification Age, relationship, U.S. citizenship, and Social Security numbers will generally be verified with documentation provided by the fam ily. For citizenship, the family's certification will be accepted. For immigrants, families will be required to provide copies of INS cards for each household member born outside of the United States. Eligible immigration status is then verified through Department of Homeland Security/INS. (Or, for citirenship, documentation such as listed below will be required.) Verification of these items will include photocopies of the Social Security cards and other documents presented by the family, the INS SA VE approval code, and forms signed by the family. Other information will be verified by the fo llowing..fi.¥e verification methods acceptable to HUD, in the order of preference indicated. 1. Employmeet leeome Verifieations (EIV) Up-front Income Verifications (UIV) El¥ UIV is the verification of income through an independent source that systematically maintains income information in computerized form for a large number of individuals. Current B-1¥ U IV resources include the following: a. HUD's online •wage and benefit system that allows PH,<\'s to ,.,erify tenant reported ineome from an independent sotJTee in computerized form. a. Enterprise Income Verification (EIV) -The Erv System is a web-based application, which provides PHAs with employment, wage, unemployment compensation and social security benefit information of tenants who participate in the Public Housing and various Section 8 programs under the j urisdiction of the Office of Public and Indian Housing (PIH). Information in EIV is derived from computer matching programs initiated by HUD with the Social Security Administration (SSA) and the U.S. Department of Health and Human Services (HHS), for all program participants with valid personal identifying in formation (name, date of birth (DOB), and social security number (SSN)) reported on the fonn HUD-50058. Use of the EIV system in its entirety is mandatory for all annual and interim re- examinations. The Otter Tail County Housing Authority will monitor the following EJV reports on a 2 monthly basis -(1) Deceased Tenants Report, (2) Identity Verification Report, and the (3) Immigration Report. ln addition, it will monitor on a quarterly basis the following EIV reports -(l) Income Discrepancy Report, Multiple Subsidy Report, and the New Hires Report ..... . The Otter Tail County Housing Authority wiU use additional-Bl¥ U[V resources as they become available. This will be done before, during and/or after examinations and/or re-examinations of household income as appropriate. It is important that BI¥ UIV data will only be used to verify a participant's eligibility for participation in a rental assistance program and to determine the level of assistance the pa11icipant is entitled to receive and only by properly trained persons whose duties require access to this information. Any other use, unless approved by the HUD Headquarters BI¥ urv Security System Administrator, is specifically prohibited and wi ll not occur. No adverse action can be taken against a participant until the Otter Tail County Housing Authority has independently verified the FJ¥ UIV information and the participant has been granted an opportunity to contest any adverse findings through the established grievance procedure. The consequences of adverse findings may include the Otter Tail County Housing Authority requiring the immediate payment of any over- subsidy, the entering into a repayment agreement, eviction, criminal prosecution, or any other appropriate remedy. f Furthermore, the information the Otter Tail County Housing Authority derives from them¥ urv system will be protected to ensure that it is utilized solely for official purposes and not disclosed in any way that would violate the privacy of the affected individuals. The EIV Income Report must remain in the tenant file for the duration of tenancy and no longer than three years from the end of participation EOP} date. The Otter Tail County Housing Authority is required to maintain at a minimum, the last three years of the form HUD-50058, and supporting documentation for all annual and interim reexaminations of family income. All records are to be maintained for a period of at least three years from the effective date of the action. Once the data has served its purpose, it shall be destroyed by either burning or shredding the data. All wage, unemployment, employment, and new hire information shaJI be destroyed no later than two years frorn the date it is reeeived The Otter Tail Count)• Housing Authority will use additional EJV resourees as they beeorne a•,railable. 3 2. Third -Party Written Verifications This type of ,•erifieatiofl ifleiudes written documentation, with forms sent direetly to and reeei¥ed direetly from a so1:1ree, not passed thro1:1gh the hands of the fomil)1• It may also be a report generated automatieally by another go¥ernment ageney, i.e., Department of \l/elfore, Veterans Administration, ete. Third party written verifications may also be used to supplement Up front Income Verifications. They will be utilized when there is a discrepancy or the participant disp1:1tes the EJV res1:1lts. IF the Otter Tail County Housing Authority caanot obtaiA third party ¥erification, the HR.A will continue on to the next type of ·,1erifieatioo. TJ:iird party ,•erifieation of 88 afld 881 benefits shall be obtained from HUD's on lifle system (TenOflt Assessment Subsystem TA88). If T,h,88 is aot a,•ailable or flOt current, thefl 1,1erification shall be obtaiAed directly from the 88A. If either of iliese forms is Aot obtaim1ble, then the file shall be doc\:lffleAted as to why third party ·,erificatioo was AOt used. The Otter Tail Co1:1nt)1 H01:1sing Authorit)1 will allow three (3) weel(Cs for the return of third party written verifications prior to continuing on to the next t)·pe of ,,erification. An original or authentic document generated by a third-party source dated either within the 60- day period preceding the reexamination or the Otter Tail County Housing Authority request date. Such documentation may be in the possession of the tenant (or applicant), and is commonly referred to as tenant-provided documents. It is HUD's position that such tenant-provided documents are written third-party verification since these documents originated from a third-party source. The Otter Tail County Housing Authority may, at its discretion, reject any tenant- provided documents and follow up directly with the source to obtain necessary verification of information. Examples of acceptable tenant-provided documentation (generated by a third-party source) include, but are not limited to: pay stubs, payroll summary report, employer notice/letter of hire/termination, SSA benefit verification letter, bank statements, child support payment stubs, welfare benefit letters and/or printouts, and unemployment monetary benefit notices. Current acceptable tenant-provided documents will be used for income and rent determinations. The Otter Tail County Housing Authority will obtain at least two current and consecutive pay stubs for determining annual income from wages. For new income sources or when two or more pay stubs are not available, the Otter Tail County Housing Authority will project income based on the information from a traditional written third-party verification form or the best available information. 4 Note: Documents older than 60 days (from the Otter Tail County Housing Authority interview/determination or request date) is acceptable for confirming effective dates of income. Third-party written verifications may also be used to supplement Up-front Income Verifications. They will be utilized when there is a discrepancy of $200 a month or more and the participant disputes the UTV results. Note: Social Security benefit information in Erv is updated every three months. If the tenant agrees with the EIV-reported benefit information, PHAs do not need to obtain or request a benefit verification letter from the tenant. 3. Written Third-Party Verification Form Also known as traditional third-party verification, a standardized form to collect information from a third- party source is distributed by the Otter Tail County Housing Authority. The form is completed by the third-party by hand (in writing or typeset) when sent the form by the Otter Tail County Housing Authority. HUD recognizes that third-party verification request forms sent to third-party sources often are not returned. In other instances, the person who completes the verification form may provide incomplete information; or some tenants may collude with the third-party source to provide false information; or the tenant intercepts the form and provides false information. HUD requires the Otter Tail County Housing Authority to rely on documents that originate from a third- party source's computerized system and/or database, as this process reduces the likelihood of incorrect or falsified information being provided on the third-party verification request form. The use of acceptable tenant-provided documents, which originate from a third-party source, will improve the integrity of information used to determine a family's income and rent and ultimately reduce improper subsidy payments. This verification process will also streamline the income verification process. he Otter Tail County Housing Authority will allow three weeks for the return of third-party written verifications g_rior to continuing on to the next type of verification. 5 Level 6 5 3. 4. 4. 5. 5. 6. Third Party Oral Verifientions Third-Party Oral Verifications Re.,·iew of Documents Review of Documents When el¥ UIY, written and oral third party verifications are not available within the three (3) week 0:Ad teA ( I 0) ln1siAess days period of time allowed in paragraphs ~ 3 and ; 4 above, the Housing Authority will use the information received by the family, provided that the documents provide complete information. Photocopies of the documents, excluding government checks, provided by the family will be maintained in the file. In cases in which documents are viewed and cannot be photocopied, staff reviewing the documents will complete a written statement as to the contents of the document{s). Self Certification and Self Declaration Self-Certification and Self-Declaration When el¥ UIV, written and oral third party verifications are not available within the three (3) week and teA (I 0) tl1:1siAess days period of time allowed in paragraphs ~ 3 and ; 4 above, and hand-carried verification cannot be obtained, the Housing Authority will accept a statement detailing information needed, signed by the head, spouse, co-head, or other adult family member .... The following chart comes from PTH Notice 20 l 0-19. Verification Technique Ranking Up-front Income Verification Highest (Mandatory) (UIV) using HU D's Enterprise Income Verification {EIV) system (not available for income verifications of applicants) Up-front Income Verification Highest (Optional) 6 (UIV) using non-HUD system 4 Written Third-Party High (Mandatory to supplement ErV- Verification reported income sources and when ElV has no data; Mandatory for non-ETV reported income sources; Mandatory when tenant disputes ElV-reported employment and income information and is unable to provide acceptable documentation to support dispute) 3 Written Third-Party Medium-Low (Mandatory if written third- Verification Form party verification documents are not available or rejected by the PHA; and when the applicant or tenant is unable to provide acceptable documentation 2 Oral Third-Party Verification Low (Mandatory if written third-party verification is not available) l Tenant Declaration Low (__Use as a last resort when unable to obtain any type of third-party verification) 12.2 Types of verification Income Social Security Letter or electronic reports from the Letter from Social Security no source. more than 60 calendar days old as verified by HUD computer systems. 12.4 Verification of Social Security Numbers .... .If a person is already a program participant and has not disclosed his or her Social Security Number, it must be disclosed at th e next re-examination or re-certification. Participants aged 62 or older as of January 31 , 20 IO whose initial eligibility determination was begun before January 31, 20 IO are exempt from the required disclosure of their Social Security Number. This exem tion continues even if the individual moves to a new assisted unit. 12.8 ElV Income Reporti An ElV Income Report shall be pulled from the system before annual or interim reexamination are conducted for any family and compared with fami ly-reported infonnation. If the EIV report reveals an income source that was not reported by the tenant or a substantial difference (defined as $2400 or more annually) in the reported income information, the Otter Tail County Housing Authority will: A. Discuss the income discrepancy with the tenant; and 7 B. Request the tenant to provide any documentation to confirm or dispute the unreported or underreported income and/ or income sources; and C. In the event the tenant is unable to provide acceptable documentation to resolve the income discrepancy, the Otter Tail County Housing Authority will request from the third-party source, any infonnation necessary to resolve the income discrepancy; and D. If applicable, determine the tenant's underpayment of rent as a result of unreported or underreported income, retroactively*; and E. Take any other appropriate action. *The Otter Tail County Housing Authority will determine the retroactive rent as far back as the existence of complete file documentation (form HUD-50058 and supporting documentation) to support such retroactive rent detenn inations. The tenant will be provided an opportunity to contest the Otter Tail County Housing Authority's determination of tenant rent underpayment. Tenants will be promptly notified in writing of any adverse findings made on the basis of the information verified through the aforementioned income discrepancy resolution process. The tenant may contest the findings in accordance with established grievance procedures. The Otter Tail County Housing Authority will not terminate, deny, suspend, or reduce the family's assistance until the expiration of any notice or grievance period. When there is an unsubstantial or no disparity between tenant-reported and EIV-reported income infonnation, the Otter Tail County Housing Authority will obtain from the tenant, any necessary documentation to complete the income determination process. As noted previously, the Otter Tail County Housing Authority may rej ect any tenant-provided documentation, if the Authority deems the documentation unacceptable. Documentation provided by the tenant will only be rejected for only the following reasons: A. The document is not an original; or B. The original document has been altered, mutilated, or is not legible; or C. The document appears to be a forged document (i.e. does not appear to be authentic). he Otter Tail County Housing Authority will explain to the tenant, the reason(s) the submitted documents are not acceptable and request the tenant to provide additional documentation. If at any time, the tenant is unable to provide acceptable documentation that the Otter Tail County Housing Authority deems necessary to complete the income determination process, the Authority will submit a traditional third-party verification form to the third- party source for completion and submission to the Otter Tail County Housing Authority. If the third-party source does not respond to the Otter Tail County Housing Authority's request for information, the Authority is required to document the tenant file of its attempt to obtain third-party verification and that no response to the third-party verification request was received. The Otter Tail County Housing Authority will then pursue lower level verifications in accordance with the verification hierarchy. 12.6 Frequency of Obtaining Verification ...... For each family member age 6 aRd a00,1e, verification of Social Security number will be obtained only once. This verification will be accomplished prior to admission. When a family member who did not have a Social Security number at admission receives a Social Security number, that number will be verified at the next regular 8 reexamination. Like1Nise, when a ehild turns sbc, tfteir •,ierifieation will be obtained at the netct regt-:1lar ree:)rnminatien. 13.8 Paying Rent lf the Resident does not pay the full amount of the rent by 4 :30 p.m. on the fifth day of the month, an 8% late fee up to a $25.00 late eharge will be assessed to cover the added costs of a rent payment received after the fifth day of the month. If someone other than a resident of Riverview Heights is responsible for paying rent and other charges, a notice will be sent the first time a late payment is received advising the payer of the m-:00 late fee. lf future payments are received after the 5th of the month, the ~ late fee will be charged. Charges in addition to rent are due no later than two weeks from the date of the written notice of the charge. 15.6 Interim Reexaminations Jf a families rent is based on "zero income" at the time of admission and/or recertification, the all adult family members will be required to complete a zero income questionnaire and MUST report within five (5) business days from when a source of income becomes available to the family. This sih:Jatien would atitematieally trigger an iflterim re exa-mination and reealeulatioA of household ineome OBd rent. The Housing Authority will initiate contact with the family on a quarterly basis (January, April, July and October) to update household income and all adult family members claiming zero income will, again, be required to complete a zero income questionnaire. During an interim reexamination, only the information affected by the changes being reported will be reviewed and verified. Families are required to report the following changes to the OTTER TAIL COUNTY Housing Authority between regular reexaminations. If the family's rent is being determined under the income method, these changes will trigger an interim reexamination. The family shall report these changes within five (5) business days of their occurrence. ,\ IL B. C. Any inerease "or deerease" (loss or additi0t:i) to l=10usehold iAeome, or decreases in allowable e)cpenses betweeA animal ree'1<aminations. l . Jf a family reports an inerease in their hourly rate of pay and the employer and the number of hours that the household member is •,vorking remain the same, the file will be doeumented and att iflterirn will not be eonduoted. If the family reports a ohattge i-e household ineome that is due to a ehange in the number of ho1:1rs er a ehange in employers, an interim will be eoAdueted. A member has bee0 added to the family, ''whether it be through birth, adoption or eourt awarded eustody ofa ehild, or the addition ofaAy other family member." A household member is lea,,ing or has left the fan:ii ly U:11it. 9 D. family break t1p (See SeetioA 23 VA'.l/A PoliC)'). A. A decrease in Household income. B. An increase in Household income that is greater than, or equal to $200.00 in gross monthly income. C. An increase in eligible expenses. D. A Change in family composition. I. A member has been added to the family, whether it be through birth, adoption or court-awarded custody of a child. 2. A household member is leaving or has left the fam ily unit. 3. Family break-up (see Section 23 -VA WA Policy). The Housing Authority will require that changes in income, family composition and eligible expenses be reported, in writing, and will require the family to complete the "Interim Report Form" provided by the Housing Authority. After receiving the Interim report form the Housing Authority will determine if an interim is necessary because of the reported change. If an interim is necessary the Housing Authority will proceed to verify the change and complete the interim recertification. If a change is not warranted the Housing Authority will notify the family of such in writing. As required by HUD, the Housing Authority will review the "New Hire Reports" through the Erv System. The Housing Authority will contact participants listed on the New Hire Report who have not reported the change in household income and will initiate the interim recertification. LF the Housing Authority determines that an overpayment was made due to failure of the family reporting, a repayment will be calculated and a repayment agreement will be offered. (see section 19.0) 19.0 REPAYMENT AGREEME TS When a resident owes the OTTER TAIL COUNTY Housing Authority back charges of $2,500.00 or less and is unable to pay the balance by the due date, the resident may request that the OTTER TAIL COUNTY Housing Authority allow them to enter into a Repayment Agreement. The OTTER TAIL COUNTY Hot1si:ng At1thority bas the sole discretion of whether to aeeept such an agreemeAt. All Repayment Agreements mt1st asst1re that the full payment is made within a period Aot to eNeeed twel¥e (12) months. All Repayment Agreements must be in writing and signed by both parties. failt1re to comply with the RepaymeAt Agreement terms may st1bject the Resident to e¥iction proeedt1res. ffhey must include the following elements: A. The monthly retroactive rent repayment amount is in addition to the family's regular rent contribution and is payable to the PHA. 10 B. The tenns of the agreement may be renegotiated ifthere is a decrease or increase in the family's in come. C. Late and missed payments constitute default of the repayment agreement and may result in tennination of tenancy and/or assistance. Refusal to enter into a Repayment Agreement for monies owed will subject the family to eviction procedures. A payment agreement will not be offered when: A. A payment agreement is already in place. B. The amount owed exceeds $2,500.00. 20.0 TERMINATIO 20.2A VAWA Protections Under the Violence Against Women Act (VA WA), public housing residents have the following specific protections, which will be observed by the Otter Tail County Housing Authority: An incident or incidents or actual or threatened domestic violence, dating violence, or stalking will not be construed as a serious or repeated violation of the lease by the victim or threatened victim of that violence, and shall not in itself be good cause for tenninating the assistance, tenancy, or occupancy rights of the victim of such violence. The Housing Authority may terminate the assistance to remove a lawful occupant or tenant who engages in crim inal acts or threatened acts of violence or stalking to family members or others without terminating the assistance or evicting victimized lawful occupants. This is also true even if the household member is not a signatory to the lease. Under VA WA, the Otter Tail County Housing Authority is granted the authority to bifurcate the lease. he Housing Authority will honor court orders regarding the rights of access or control of the property. There is no limitation on the ability of the Housing Authority to evict for other good cause unrelated to the incident or incidents of domestic violence, dating violence or stalking, other than the victim may not be subject to a "more demanding standard" than non-victims. There is no prohibition on the Housing Authority evicting if it "can demonstrate an actual and imminent threat to other tenants or those employed at or providing service to the property if that tenant's (victim's) tenancy is not tenninated." "An actual and imminent threat consists of a physical danger that is real, would occur within an immediate timeframe, and could result in death or serious bodily harm. In determining whether an individual 11 would pose an actual and imminent threat, the factors to be considered include: the duration of the risk, the nature and severity of the potential harm, the likelihood that the potential harm will occur, and the length of time before the potential harm would occur:' Any protections provided by law which give greater protection to the victim are not superseded by these provisions. The Otter Tail County Housing Authority shall require verification in all cases where an individual claims protection against an action involving such individual proposed to be taken by the Housing Authority. Types of acceptable verifications are outlined below, and must be submitted within I 4 business days after receipt of the Housing Authority's written request for verification. 20.2B Verification of Domestic Violence, Dating Violence or Stalking The Otter Tail County Housing Authority shall require verification in all cases where an individual claims protection against an action involving such individual proposed to be taken by the Housing Authority. A. Requirement for Verifteation. The law allows, but does not require, the Otter Tail County Housing Authority to verify that an incident or incidents of actual or threatened domestic violence, dating violence, or stalking claimed by a tenant or other lawful occupant is bona fide and meets the requirements of the applicable definitions set forth in this policy. The Housing Authority shall require verification in all cases where an individual claims protection against an action involving such individual proposed to be taken by the Housing Authority. Verification of a claimed incident or incidents of actual or threatened domestic violence, dating violence or stalking may be accomplished in one of the following three ways: l. HUD-approved form (HUD-50066) -By providing to the Housing Authority a written certification, on the form approved by the U.S. Department of Housing and Urban Development (HUD), that the individual is a victim of domestic violence, dating violence or stalking that the incident or incidents in question are bona fide incidents of actual or threatened abuse meeting the requirements of the applicable definition(s) set forth in this policy. The incident or incidents in question must be described in reasonable detail as required in the HUD-approved form, and the completed certification must include the name of the perpetrator. 2. Other documentation -by providing to the Housing Authority documentation signed by an employee, agent, or volunteer of a victim service provider, an attorney, or a medical professional, from whom the victim has sought assistance in addressing the domestic violence, dating violence or stalking, or the effects of the abuse, described in such documentation. The professional providing the documentation must sign and attest under penalty of perjury (28 U.S.C. 1746) to the professionaJ's belief that the incident or incidents in question are bona fide incidents of abuse 12 meeting the requirements of the applicable definition(s) set forth in this policy. The victim of the incident or incidents of domestic violence, dating violence or stalking described in the documentation must also sign and attest to the documentation under penalty of perjury. 3. Police or court record -by providing to the Housing Authority a Federal, State, tribal, territorial, or local police or court record describing the incident or incidents in question. B. Time allowed to provide verification/ failure to provide. An individual who claims protection against adverse action based on an incident or incidents of actual or threatened domestic violence, dating violence or stalking, and who is requested by the Housing Authority to provide verification, must provide such verification within 14 business days after receipt of the written request for verification. Failure to provide verification, in proper form within such time will result in loss of protection under VA WA and this policy against a proposed adverse action. The submission of false information may be the basis for the termination of assistance of for eviction. C. Managing conflicting documentation. In cases where the Otter Tail County Housing Authority receives conflicting certification documents from two or more members of a household, each claiming to be a victim and naming one or more of the other petitioning household members as the perpetrator, the Otter Tail County Housing Authority may determine which is the true victim by requiring third-party documentation as described in 24 CFR 5.2007 and in accordance with any HUD guidance as to how such determinations will be made. The Otter Tail County Housing Authority shall honor any court orders addressing rights of access or control of the property, including civil protection orders issued to protect the victim and issued to address the distribution or possession of property among the household. 20.2C Confidentiality All information provided under VA WA including the fact that an individual is a victim of domestic violence, dating violence, or stalking, shall be retained in confidence and shall not be entered into any shared database or provided to any related entity except to the extent that the disclosure is: A. Requested or consented to by the individual in writing; B. Required for used in an eviction proceeding; or C. Otherwise required by applicable law. The Otter Tail County Housing Authority shall provide its tenants notice of their rights under VA WA including their right to confidentiality and the limits thereof. 13 20.3 TERMINATIONS FOR CRIMINAL ACTIVITY A. The term "due process determination" means a determination by HUD that law covering the Otter Tail County Housing Authority's jurisdiction requires that residents must be given the opportunity for a hearing in court which provides the basic elements of due process before eviction from the dwelling unit. B. HUD has issued a due process determination that the law of this State requires that residents be given the opportunity for a hearing in a court that provides the basic elements of due process before eviction from a dwelling unit. The Otter Tail County Housing Authority has therefore determined that this Grievance Procedure shall not be applicable to any termination of tenancy or eviction for: I. Any criminal activity that threatens the health, safety, or right to peaceful enjoyment of the Otter Tail County Housing Authority's public housing premises by other residents or employees of the Housing Authority; 2. Any violent or drug-related criminal activity on or off such premises; or 3. Any activity resulting in a felony conviction. Change 20.3 to 20.4 Abandonment Change 20.4 to 20.5 Return of Security Deposit 20.6 The EIV's Deceased Tenants Report The Otter Tail County Housing Authority shall generate the EIV's Deceased Tenants Report monthly shortly before either the end of the month or creating rent statements to see if the system flags deceased residents. The Otter Tail County Housing Authority shall review the report and follow up with any listed families immediately and take any necessary corrective action as set forth in PfH Notice 20 I 0-9 or successor publications. Jf it is a single member household, immediately visit the unit and determine if it is vacant or occupied by an unauthorized person. If improperly occupied, take immediate eviction actions under state law. lf the property is occupied by a live-in- aide to the deceased person, the aide must move out immediately and is not e ligible fo r continued occupancy or rental assistance. Change 20.5 lo 20. 7 Grievance Procedure GLOSSARY 50058 Form: The HUD form that housing authorities are required to complete and electronically submit to HUD for each assisted household in public housing to record information used in the certification and re-certification process and, 14 . . at the option of the housing authority, for interim reexaminations. Housing Authorities must retain at a minimum the last three years of the form 50058, and supporting documentation, during the term of each assisted lease, and for a period of at least three years from the end of participation date. Electronic retention of form HUD 50058 and HUD 50058-FSS and sypporting documentation fulfills the record retention requirement. Remaining Member of a Tenant Family: A member of the family listed on the lease who continues to live in the public housing dwe ll ing after all other family members have left. (Handbook 7565.1 REV 2, 3 5e.) VA WA: means the Violence Against Women and Department of Justice Reauthorization Act of 2005 (Pub.L. 109-162, approved August 28, 2006), as amended by the U.S. Housing Act of 1937 (42 U.S.C. 1437d and 42 U.S. 1437f). LEASE CHANGES: (DELETE AND ADD TO THE LEASE) 3. RENTAL PAYMENT: ..... lf the Resident does not pay the full amount of the rent by 4:30 p.m. on the fifth day of the month, a-an 8% late fee up to $25 late charge will be assessed to cover the added costs of a rent payment received after the fifth day of the month. Charges in addition to rent are due no later than two weeks from the date of the written notice of the charge. 7. UTILITIES: The Family Unit Resident shall be responsible for payment of all utilities including but not limited to the following: Heat (Natural Gas, LP Gas and/or Electric), Cooking Fuel (Electric), General lighting and refrigeration, Water Heating (Natural Gas, LP Gas and/or Electric), Public Utilities, (Water, Sewer and Trash Removal), and/or Trash Removal when contracting with private carrier. All utilities will be placed in an account with the Otter Tail County Housing Authority. The Otter Tail County Housing Authority will make payments to all utility companies. The Otter Tail County Housing Authority will then bill the Public Housing tenant for their utility cost on a monthly basis when bills are received. Payments must be paid to the Otter Tail County Housing Authority at 1151 Friberg Ave Otter Tail County, Minnesota, 5653 7 ayments must be made by check or money order, no cash payments will be accepted. lf the tenant fails to make the utility payment by the date requested on the billing statement sent to them by the Otter Tail County Housing Authority a lease termination will be sent. lf a check is returned for non sufficient funds an additional $25.00 fee will be assessed to cover the added costs and a money order or cashi ers check will be required. The Otter Tail County Housing Authority will require a money order or cashiers check after the 2nd returned check and payment must be made by money order or cashiers check thereafter. 15 . . 9. I TERIM RENT ADJUSTME TS: Residents must promptly report to the Landlord any of the following changes in household circumstances when they occur between Annual Rent Recertifications: d. An increase in Household income that is greater than, or equal to $200.00 in gross monthly income or decrease in annual income; 16. LEASE TERMINATIO BY LANDLORD: Any termination of this Lease shall be carried out in accordance with U.S. Department of Housing and Urban Development regulations, State and local law, and tile terms of this Lease. 29. Any activity resulting in a felony conviction. Change 29 to 30 17. DOMESTIC VIOLENCE, DATING VIOLENCE, STALKING d. Nothing in this section shall prohibit Management from terminating the Lease and evicting the Tenant based on a violation of this lease not involving domestic violence, dating violence, or stalking against Tenant or household member, provided that the Otter Tail County Housing Authority does not subject such a tenant to a more demanding standards than other tenants in making the determination whether to evict or to tenninate assistance of occupancy rights. ATTACHME T "B" HOUSE RULES (Fergus Falls/Otter Tail County HRA Family Units) I . Rent is due on the 1st of each month, no later than the 51\ unless a prior arrangement has been made with the Housing Manager. Rent payments made after the 5th of the month are subJect to a an 8% late fee up to $25.00 late charge, even if arrangements to pay are made. If rent is not paid by the l 51 of the month, a notice to vacate will be sent to the Resident. 2. Utilities must be paid in a timely manner. If the Housing Authority is not paid by the requested date on the statement, reeeives notice that 1:1tilities 8fe not being paid, a notice to vacate may be sent to the Resident. Proposed A COP and Lease changes effective July 1, 2011 16 ' ... OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF February, 2011 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $. Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ AT & T Mobility $ Dennis Christenson -Mileage $ Jeffrey Gaffaney -Mileage $ Mary Jo Schwarz -Mileage $ Janice Palan -Per Diem $ Hazel Hovde -Per Diem $ Robert Maki -Per Diem $ Robert Bigwood -Per Diem $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Home Depot $ Sue Bjorklund -Mileage $ Tina Stevens -URP $ Culligan Water Co. $ The Schiff Group Inc. $ RTW, Inc. -Workers Comp $ Networks For Hire, Inc. $ Houisng Data System, Inc. $ Salaries $ H:\Users\JEFF\OTC HRA EXPENSES feb 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 23.11 454.92 33.62 142.29 105.90 85.50 116.10 60.00 277.43 344.41 93.33 93.33 651.58 17.29 99.96 93.34 66.27 100.00 350.00 75.00 1,250.00 10,093.03 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF March 2011 ' Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ AT & T Mobility $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz-Mileage $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Denzel's Regional Waste, Inc. $ Tina Stevens -URP $ Bjorn's Heating & A/C $ Mark Gaworski -Accounting Fees $ Networks for Hire Inc. $ Vicki Scheer -Mileage $ Housing Data Systems, Inc. $ Otter tail Co. Treasurer -Solid Waste Fees $ Home Depot $ Salaries H:\Users\JEFFIOTC HRA EXPENSES March 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 23.11 590.07 49.89 147.39 221.61 275.76 93.33 93.33 50.00 651.58 153.00 376.75 1,925.00 212.50 53.04 120.00 1,285.40 14.57 April 21, 2011 FINANCIAL INSTITUTION CERTIFICATES !-FUND OTTER TAIL COUNTY HRA INVESTMENT LISTING DESCRIPTION I PRINCIPAL! INTEREST I INTEREST ' ' I ! ; RATE I PAID -----------------------t---· ----·-. j ------· ·---·---i------------" I : • ... -----· ----~-.. ··---------·-------~----~-t-----.• ----·------·---~--,------------ i r -+--------L-- I.D. # 41'-1518930 PURCHASE I MATURITY DATE i DATE -. ---------------I -· -------- 1 ---+-----·------·· --- Security State Bank : Public Housing Money Market ' --$6,588.87 I 0.15% Certificate #210979 i : i Maturity Renewed I l Automatic Deposit.. _ . _ Qli! 9/} !_ _ --t-___ _Q9/19{! 1_ Fer~~Falls _________________ _ ____ _ ·--------y-----------: --- ' - SAVINGS ACCOUNTS : -------r Security State Bank --·-:-Siction8-Admin : WeeklyMoney-+s19~785.90 l .15% : Monthly Account : #9312-004634 .I'_~gus Falls i Reserve __ I Market Savings , ___ • Security State Bank -: Public Housing -, Commercia(Money-1 ---$7,031.39r--.10% ----~-- _1'.erg!l_S Falls ____________ L_~e~l!rity_~E:posits Market : i , -------,------------_,,_ ----r-----·-- , 1 ' ' ----------.--------------+----- : Monthly Account 1#9312015673 : !"' . I ' I I i CHE_CKI_N __ G_A~~~~-N~_s ;_ _ _ _ _ _,___ _ _______ I Section 8 Existing i NOW Account I t-------------~-----------------------'---------, Public Housing ;__ ____ ,___ -----r·- 1 NOW Account ' ---------MHF A-Loan Account $53,309.91 I I I T __ $3-i,510.01 ! ·--1------, $11,287.86 I -------------4-----------------------------__ _[_ I I -------j -------·-·--··· -------MHF A-HOME Account I : NOW Account ---------------+,-·-· ---1----------' --- Otter Tail County Tax Levy ! NOW Account 1 $176,961.17 --'--""" .... , -·--------------! -___ _J ________ ,_ --------~--.. -----------.. ---~- ! NOW Account ' $831.25 I I -i i ----•-·------1 ' -________ L_ ____ _ H:\Users\JEFF\INVESTMENT LISTINGS\invest list otc -april 201 t .doc FFHRA From: Sent: To: Subject: Attachments: Anderson, Tai [Tal.Anderson@state.mn.us] Wednesday, April 06, 2011 12:56 PM Undisclosed recipients: Minnesota City Participation Program (MCPP) 2011 MCPPlist.docx As you may recall, your community signed up for the 2011 Minnesota City Participation Program (MCPP) earlier this year. This year's funds will be available for commitment (reservation) as of Monday, April 11; community allocations are attached to this email and will be posted on the Minnesota Housing website later this week. To make the process as easy as possible, loans are committed (reserved) for borrowers by participating Minnesota Housing lenders under the Minnesota Mortgage Program (MMP) and are automatically "credited" to your MCPP allocation. Here are some helpful links: Participating Len ders http://www.mnhousing.gov/consumers/FindALender/index.aspx Interest rates http://www.mnhousing.gov/consumers/rates/index.aspx Income Limits http://www.mnhousing.gov/resources/resou rces/limits/MHFA 004718.aspx Acquisition Cost (Purchase Price) Limits http://www.mnhousing.gov/consumers/home-buyers/index.aspx Program Manual http://www.mnhousing.gov/idc/groups/public/documents/webcontent/mhfa 008365.pdf As the year progresses, program usage reports will be posted on the website: http://www.mnhousing.gov/resources/apply/mcpp/index.aspx Please contact me if you have questions or need additional information. 2011 Minnesota City Participation Program (MCPP) Dollar Community Amount Albert Lea $285,562 Alexandria $196,704 Anoka Co $5,301,549 Barnesville $100,000 Becker Co $507,738 Beltrami Co $698,419 Breckenridge $100,000 Carver Co $1,442,404 Chippewa Co $195,866 Chisago Co $798,281 Clearwater Co $130,156 Crow Wing Co $986,131 Dilworth $100,000 Dodge Co $312,219 Fillmore Co $329,311 Freeborn Co $490,694 Fulda $100,000 Glyndon $100,000 Grant Co $100,000 Hennepin Co (suburban) $12,368,805 Houston Co $306,433 Hubbard Co $296,503 Janesville $100,000 Kandiyohi Co $654,448 Lake of the Woods Co $100,000 Little Falls $132,986 McLeod Co $585,923 Mahnomen Co $100,000 . , Moorhead $584,406 Mower Co $602,477 North Mankato $206,254 Northwest MN Multi-Co HRA $1,347,301 Ortonville $100,000 Ottertail Co/Fergus Falls $894,206 Owatonna $402,121 Ramsey Co (suburban) $3,640,431 Red Wing $257,624 Rice Co $1,002,543 St Cloud $1,039,430 St James $100,000 St Louis Co $3,099,522 Scott County $2,070,496 Sherburne Co $1,287,346 SE MN Multi-Co HRA $1,862,186 Stevens Co $152,544 Swift Co $171,154 Washington Co $3,745,890 Wells $100,000 Worthington $180,324 Wright Co $1,908,133 Total $51,674,520 Program MHF A Deferred Loans -Phase XV Rental Rehab -2010 Program OTC Tax Levy -Homeowner (2010) OTC Tax Levy-Homeowner (2011) OTC Tax Levy -Rental (2010) SCDP: 2011 Battle Lake SCDP: 2011 Parkers Prairie Short Form SCDP: Parkers Prairie/Deer Creek (16 homes) SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/Pelican Twshp (22 homes) SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/Pelican Twshp (10 com mer.) SCDP: New York Mills/Blnffton/ Newton Twshp/Bluffton Twshp (21 homes) SCDP: New York Mills/Bluffton/ Newton Twshp/Bluffton Twshp (5 commer) SCDP: New York Mills/Bluffton/ Newton Twshp/Bluffton Twshp (15 rental) Otter Tail County HRA Rehabilitation Projects Update April 21, 2011 Applications In Process Inspected 7 0 7 0 Program will not start until 2011 31 0 31 6 0 6 10 0 10 Rehab Bidding In Complete Pro!!ress I l 5 0 4 27 2 4 0 0 2 8 Full Application submitted February l, 2011. Expect to find out if funded after the Federal budget is decided. Short Form Application submitted. Expect to find out if funded after the Federal budget is decided. 19 0 19 0 3 16 16 2 12 5 4 5 7 0 7 3 4 0 13 7 6 I 5 0 5 I 4 l 2 l 3 0 3 l 2 0 6- $136,189.55 ' " ~i\jV~\f Department of EmplOJrrlent ~1nnes'lf7ii April 12, 2011 Mayor Ben Woessner City of Pelican Rapids PO Box 350 Pelican Rapids, MN 56572 RE: Results of SCDP Monitoring Visit, Pelican Rapids, Erhard Comprehensive Project Grant # CDAP-09-0030-O-FY10 Dear Mayor Woessner: On April 7, 2011, I visited the Ottertail County Housing and Redevelopment Authority (HRA) offices for the purpose of monitoring the above referenced grant. I met with met with Dennis Christianson and Sue Bjorkland of the HRA. The following aspects of your program were examined: financial management, fair housing, equal opportunity, program progress, owner-occupied housing rehabilitation, commercial rehabilitation, labor standards, and lead hazard monitoring. The 'cities of Pelican Rapids and Erhard are to be congratulated for a project that will have long-term positive impact on your communities. Our primary concern is to help your cities meet the objectives set forth in this program and to ensure compliance with all applicable regulations so that you derive full benefit from the SCDP grant. We had two findings and no concerns in the enclosed "Monitoring Report." Overall, the project administrators should be commended for their work. If there are any quesUons, or if we can be of any further assistance, please contact me at 651-259- 7457. Sincerely, a~ Jeremy Lacroix Business and Community Development Representative Enclosure cc: Jeff Gaffney, Ottertail County HRA MINNESOTA SMALL CITIES DEVELOPMENT PROGRAM MONITORING REPORT Cities of Pelican Rapids, Erhard Comprehensive Project CDAP-09-0030-O-FYl 0 April 12, 2010 Prepared by Jeremy LaCroix Minnesota Department of Employment and Economic Development Division of Business and Community Development Office of Community Development 1st National Bank Building 332 Minnesota Street, Suite E200 St. Paul, MN 55101-1351 INTRODUCTION· On April 7,201 I, Jeremy LaCroix of the Department of Employment and Economic Development (DEED), Business and Community Development Division (BCD), met with Dennis Christianson and Sue B jorkland of the Ottertail County Housing and Redevelopment (HRA) at the HRA office. The purpose of the visit was to monitor the Small Cities Development Program (SCDP) grant CDAP-09-0030-O-FYI 0, Pelican Rapids, Erhard Comprehensive Project. Program areas monitored were grant and financial management, fair housing, equal opportunity, program progress, owner-occupied housing rehabilitation, commercial rehabilitation, Davis Bacon Labor Standards, and lead hazard monitoring. Jeremy conducted an exit meeting with Dennis and Sue. The conclusions and observations for the monitoring visit are included below. Program Progress The annual reports for this project have been submitted to DEED and were on file. Seven of22 owner occupied rehabilitation projects are complete and 5-6 more are in progress. Three of 10 commercial rehabilitation projects are nearly complete and several others are in progress. The project appears to be progressing adequately. There were no findings or concerns in this area. Grant and Financial Management The signed grant agreement and administrative contract were on file. No grant adjustments have been requested. Grant policies and procedures were on file and were consistent with the grant application. Conflict of interest and an appeals process were included in the policies. Annual reports were on time and filed appropriately. Residential anti-displacement, drug free workplace and excessive force policies were adopted by the city. A program income plan was approved. All disbursement request forms were on file. Administrative costs were acceptable and were consistent with the administrative contract. There were no unallowab]e costs. Disbursements were completed adequately and contractors were paid timely. Debarment checks were completed on contractors. There were no findings or concerns in this area. Fair Housing/Equal Opportunity The city has undertaken different activities each year designed to affirmatively further fair housing. The city is marketing and implementing fair housing according to the Fair Housing Act. The city collected racial/ethnic data on beneficiaries for reporting purposes. The city took affirmative steps to solicit contracts with small, minority owned, and women owned businesses. Equal opportunity, affirmative action and Section 3 language was in rehabilitation contracts between homeowners and contractors. I There were no findings or concerns in this area. Environmental The city maintained a centralized file on environmental review. All required documents were on file in the Environmental Review Record. The city did not commit funds prior to environmental review. No other federal or state environmental review was completed. The city did not receive any objections to the NOI RROF. There were no findings or concerns in this area. Owner Occupied Rehabilitation Two completed project files were reviewed. Both homes were located in the target areas. The homeowners were below 80% of area median income and proper documentation was in place to verify incomes. Rehabilitation Threshold Determination Worksheet/Tier Two Environmental Review Forms and MnSHPO reviews were on file for the reviewed homes. Initial inspection reports, work write ups, and work completed concurred. At least two bids were submitted on each home. All repayment agreements were signed prior to notice to proceeds were signed. Contractor payments, completion certificates, lien waivers, and invoices were on file for one home. The second home had all necessary documentation with the acceptation of a missing lien waiver. Acceptable procedures are in place for collecting lien waivers. Small Cities limits and financing percentages matched those presented in the grant application and those stated in the policies. FINDING #1: A project file was missing a $582 lien waiver. Please provide DEED a copy of this lien waiver within 30 days. The two project files inspected contained lead. The homes were built before 1978. None of the homes were occupied by children under six or pregnant persons. A trained assessor completed risk assessments. Certification forms were on file with the home occupants' signatures showing they received the lead based paint brochure, a summary of the risk assessment, and tlie hazard completion notice. Workwrite-ups contained lead items and lead licensed contractors completed work. Relocation screening sheets are collected by the HRA, however one file was missing the form. Since this project was completed, the HRA changed a procedure and this is now double checked. FINDING #2: A project file was missing the Relocation Screening Sheet. A new HRA procedure is in place to double check this form is received. Since the project is now complete. There is no benefit achieved by completing this form at this time. No further follow up on this item is required by DEED. Commercial Rehabilitation 2 Two project files were reviewed. Both projects were located in the slum and blight target area. Tier Two Determination Worksheets and SHPO approvals were completed. Bids concur with items in the inspection report. At least two bids were sought on both projects. Repayment agreements were signed prior to Notice to Proceeds being executed. Both projects were still in progress. Lien waivers were on file for completed work. The SCDP amount and percentages were consistent with the grantee's application. There were no findings or concerns in this area. Labor Standards Labor Standards Provisions (HUD 40 I 0) Award Notices and Contractor Subcontractor Certifications were on file. Final compliance forms were not on file since projects are still in progress. The correct wage decision and specifications were in bid specifications. Wage decisions and posters were posted at the work sites. Payrolls were submitted weekly. Last four digits of social security numbers were on time sheets. Wage rates were equal to or greater than the wage decisions. There were no split work classifications and restitution was not required. All payrolls were signed by the proper person. Interviews were completed. There were no complaints. There were no findings or concerns in this area. SUMMARY We wish to thank Dennis and Sue for their assistance and cooperation during the monitoring visit. The project has been administrated well and the project is making an impact on the cities' target areas. 3 OTC UMA UML January 140 125 February 140 116 March 140 113 April 140 May 140 June 140 Julv 140 August 140 Sentember 140 October 140 November 140 December 140 YTD 1,680 354 ABA YTD: Less HAP Expenditures YTD: = Remaining : CY Eligibility: Remaining CY Eligibility: CY Months Remaining: Leasing% 21.07% Monthly CY Eligibility Remaining: Unit Months Available CY: Unit Months Leased CY: Unit Months Remaining CY: Monthly Units Remaining CY: Unit Months Funding Would Support: Monthly Units Funding Would Support: Minimum of Available or Supportable: Minimum of Available or Supportable Montt y~_-,.,,..--...., ~~":.:... ~; $110,271 $66,577 $14,115 r7$44i,osill $344,928 r:z~~~r ':::":m $38,325 1,326 147 1,270 141 1,270 141 ABA HAP $ 36,757 $ 34,542 $ 36,757 32,035 $ 36,757 29,579 $110,271 $ 96,156 ABA Utilization % PUC $ 276 276.1~ V I,.---" 261. 76 ;r;ulV/0I #DIV/0! #DIV/0I #DIV/0! #DIV/0! #DIV/0! #DIV/0I #DIV/0! #DIV/0! .87.20% $ 271.63 SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM Feb. AnnualRecerts 8 Interim Recerts 2 Ports-In/Billing 0 Ports-In/Absorbed* 0 Ports-Out/Billed* 0 Ports-Out/Absorbed* 2 Ports Out/End Participation• 1 End Participation• 5 Shop Mode/ARS* 1 New Admissions• 0 Waiting List/To Date 243 Vouchers Issued 3 Applications 1/P Ports In Pending Ports Out Pending Port Requests Ports Out Paid 9/$4788 Ports Received 3/$822 In-House Transfers 0 ELI% 50% March 10 5 0 1 0 3 1 2 0 2 253 8 1/20 Sent 0 5/Sent 2 6/$2706.00 4/$1065.00 0 5.0% I OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units February 2011 Rents Payable $2,641.00 Rents Collected $2,374.00 Late Fees Charged $ 0.00 Late Fees Collected $ 0.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 15 3 Bedroom 17 4 Bedroom 1 H:\Users\Pam\Board Reports\OT County-Board Report.doc OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units March 2011 Rents Payable $ 2,881.00 Rents Collected $3,936.00 Late Fees Charged $ 25.00 Late Fees Collected $ 25.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 - Waiting List 2 Bedroom 20 3 Bedroom 17 4 Bedroom 2 , HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: ENCLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Gaffaney, Executive Director June 8, 2011 Meeting to be Held Thursday, June 16, 2011 at 10:00 a.m. at the HRA Office, 1151 Friberg Ave., Fergus Falls, MN. 56537 Regular Minutes of April 21st Meeting AGENDA 4. Reh~ation Specialist -Dennis Christenson A~AUpdate BY-OJQ-Tax Levy Update c.--1611 SCDP Potential Applications 5. Reha)ilitation Assistant/Housing Manager -Sue .Bjorklund A~~'eer Creek/Parkers Prairie SCDP B:'2MO Pelican Rapids SCDP C. 2010 New York Mills SCDG 6. Ho~ussifi' Administrator-Mary Jo Schwarz A.'-'Se6tion 8 Update f J / 8, ,-h·k+'i P,.\lo~A.,... L c;-__ -SLl.._~~-~c.-1--'"'-'1 I I/ 7. Housing Manager -Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNABLE TO ATTEND! __ . _-_-__ -_______ . _____________ Providing Housing Opportunities -H·\T·IsersHFE0't\ gendacQTC·6-:7-H doc· The Otter Tail County HRA Board of Commissioners met in a regular meeting on April 21st, 2011 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Falls, MN. 56537 MEMBERS PRESENT Scott Rocholl, Chairperson Robert Bigwood , Vice Chairperson Janice Palau, Secretary Hazel Hovde Robert Maki OTHERS PRESENT Jeffrey Gaffaney Mary Jo Schwarz Dennis Christenson Pam Minten Sue Bjorklund Vicki Scheer Scott Rocho II, Chairperson opened the regular meeting. A motion was made and seconded to approve the minutes from the February 171\ 201 I, meeting. M/Hazel Hovde SI Janice Palau Mary Jo presented proposed changes to the Section 8 Administrative plan as follows: I. Verbiage in VA WA clarified and information will be added to the briefing packet 2. Required postings to include the agency PHAS score and designation 3. Obligations of participant, taking applications, assignment of bedroom size and remaining family member clarified. 4. Citizenship status stating all adults must be able to sign the lease 5. Socia!'security documentation and acceptable methods of verification clarified 6. Portability policies clarified 7. UIV (up-front income verification) and EIV (Enterprise Income Verification) clarified. 8. Termination for criminal activity clarified 9. Third party verifications clarified. 10. Interim changes regarding increase in family income changed to stipulate the families-rent will be changed if there household income change is greater than or equal to $200 in gross monthly income. 11. Repayment agreement will not be offered if amount owed exceeds $2,500.00 12. Cost saving possibilities clarifies action to be taken depending on circumstances that are beyond our control. 13. Glossary definitions updated Pam Minten, Housing Manager presented proposed changes to the ACOP plan and lease as follows: I. Required postings to include the agency PHAS score and designation 2. Eligibility criteria clarified 3. Citizenship status stating all adults must be able to sign the lease 4. Social security documentation and acceptable methods of verification clarified 5. UIV (up-front income verification) and EIV (Enterprise Income Verification) clarified. 6. Third party verifications clarified. 7. Late fees changed to read an 8% late fee up to $25.00 8. Interim changes regarding increase in family income changed to stipulate the families rent will be changed if there household income change is greater than or equal to $200 in gross monthly income. 9. Repayment agreements will not be offered if amount owed exceeds $2,500.00 10. Verbiage in VAWA clarified and information will be added to the briefing packet 11. Termination for criminal activity clarified 12. Confidentiality clarified 13. Glossary definitions updated H:\Users\VICKI\2011 minules\minutes -otc april 201 I.doc r Lease changes as follows: I. Late fees changed to read an 8% late fee up to $25.00. 2. Utilities will be placed in an account with the HRA and the tenants will be billed. 3. Rent will be changed if there household income change is greater than or equal to $200 in gross monthly income. 4. Termination of the lease by landlord if any activity resulting in any felony conviction. 5. Clause added to domestic violence, dating violence and stalking. After discussion regarding the proposed changes a motion was made and seconded to approve all proposed policy and lease changes effective July I, 201 L M/Hazel Hovde SI Robert Maki Jeffrey Gaffaney, Executive Director, reviewed the administrative expenses for the months of February and March 2011. A motion was made and seconded to_ approve the expenses. M/Robert Bigwood SI Robert Maki The Investment Listing was reviewed; one certificate renewed and the only other changes were .the balances in the checking and savings accounts. The 20 IO Capital Funds Program has been closed out. The funds for the 2011 Program have not yet been determined but hopefully the HRA will be notified of funds accessible by mid summer. Regarding the 2011 Minnesota Cities Participation Program the City of Fergus Falls/Otter Tail County was • awarded approximately $894,000. The Otter Tail County HRA annual audit will be completed by,Carlson Highland on Monday, May 2-41h• Dennis Christenson, Rehab Specialist reported that there are 7 MHF A Deferred Loan Program Phase XV applications that have been received, 7 have been inspected, 1 is bidding, 1 has rehab in progress and 5 are complete. Several other applications have been sent out. $136,189.55 funds have been spent. The Rental Rehab Program will not start until later in the year, if at all. There are 31 applications for the 2010 Otter Tail County Tax Levy Homeowner Program, 31 have been inspected, 4 are in progress and 27 are complete. There are 6 applications for the 2011 Otter Tail County Tax Levy Homeowner Program, 6 have been inspected, 2 are bidding and 4 have rehab in progress. A total of 10 rental unit applications have been "taken, all 10 have been inspected, 2 are in progress and 8 are complete for the 2010 Otter Tail County Rental Rehab Program. A full application for Battle Lake, Clitherall and Clitherall Township was submitted February 1, 20 ll. Dennis expects to find out if this full application and the short form application for Parkers Prairie and Deer Creek will be approved after the Federal budget is decided. • Dennis presented a letter from Jeremy LaCroix from DEED regarding the monitoring of the SCDP that was sent to Ben Woessner, Mayor of Pelican Rapids. It stated there were only two minor findings, (that were taken care of the next day), and overall the project administrators should be commended for their work. Sue Bjorklund, Rehab Assistant reported that there were 19 applications taken for the Parkers Prairie/Deer Creek SCDP program, 19 were inspected, 3 are in process and 16 are complete. • H:\Users\VICKI\2011 minutes\minutes-otc april 2011.doc 2 Six.teen Homeowner applications have been received, 2 are in process, 12 have been inspected, 5 are bidding, 4 have work in progress and 5 are complete for the Peli can Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program. Seven commercial applications have been received, 7 have been inspected, 3 are bidding and 4 have wo rk in progress for the Pelican Rapids/Erhard and Erhard 's Grove Township/Pelican SCDP Program. Thirteen homeowner applications have been received, 7 are in process, 6 have been inspected, 1 is biddi ng and 5 are in progress for the New York Mil ls/ Bluffton and Newton and Bluffton Townships SCDP Program. Fi ve commercial applications have been received, l is in process, 4 have been inspected, I is bidding, 2 have work in progress and l is complete for the ew York Mills/Bluffton and Newton/Bluffton Townships SCDP Program. Three applications have been received, 3 have been inspected, I is bidding and 2 have work in progress for the New York Mills/Bluffton and Newton/B luffton Townships Rental SCDP Program. Mary Jo reported that for the month of February there were I 16 leased and HAPS totaling $32,035.00. There are 3 vouchers issued. There are 243 famili es on the waiting list, $4,788.00 was paid for 9 ports out, $822.00 received fo r 3 ports ins and the ELI percentage was 50%. For the month of March there were I I 3 leased and HAPS totaling $29,579.00. There are 8 vouchers issued, l application is in progress and 20 letters sent out. There are 253 families on the waiting list, $2,706.00 was paid fo r 6 ports out, $1 ,065.00 received for 4 po11s ins and the ELI percentage was 50%. There are 2 more requests to port. Pam Minten, Housing Manager of th e Fergus Falls and Otter Tail County public housing units reported that February rents owed for the Otter Tail County Family Public Housing units totaled $2,641.00, and $2,374.00 was collected. There were no late fees. No outstand ing fees are owed. There were no vacancies. Fi fteen applicants were on the 2-bedroom pu blic housing waiting list, 17 applicants on the 3-bedroom waiting list and l on the 4-bedroom waiting list. The March rents owed totaled $2,881.00 and $3,936.00 was collected. One late fee of $25 was charged and collected. There were no vacancies. Twenty applicants were on the 2-bedroom public housing waiting list, 17 applicants on the 3-bedroom waiting li st and 2 on the 4-bedroom li st. REAC inspections are scheduled fo r May 12th_ There being no further business, a motion was made to adjourn th e meeting. M/Robert Maki SI Robert Bigwood Janice Palan, Secretary Date 1-1 :\Users\VICK 1\20 I I minutes\minutes • otc april 20 I I.doc 3 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF Anril 2011 ' Bank of the West-Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Dennis Christenson -Mileage $ Jeffrey Gaffaney -Mileage $ Mary Jo Schwarz -Mileage $ Scott Rocholl -Per Diem $ Janice Palan -Per Diem $ Hazel Hovde -Per Diem $ Robert Maki -Per Diem $ Robert Bigwood -Per Diem $ City of Pelican Rapids ~ IA. t-< [~= e 5 $ City ofNew York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Tina Stevens -URP $ Pro-Lawn $ Culligan Water Co. $ Housing Data Systems, Inc. $ MN NARRO -Conference $ CNA Surety Bond $ Ally-Lease $ Networks for Hire Inc. $ State Farm Ins. Co. $ Salaries $ H:\Users\JEFF\OTC HRA EXPENSES March 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 535.50 29.01 106.08 72.24 105.90 85.50 116.10 60.00 513.07 449.90 93.33 93.33 651.58 93.34 84.16 57.98 99.50 885.00 175.00 I50J00 150.00 131.95 15,633.90 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF May, 2011 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz -Mileage $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Pro-Lawn $ Home Depot $ Sue Bjorklund -mileage $ Tina Stevens -URP $ Shannon Schmitz $ Pine Plaza Appliance $ Credit Bureau of Alexandria $ Ally-Lease $ Elroy Finkelson $ Salaries $ H:\Users\JEFFIOTC HRA EXPENSES March 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 568.14 50.00 133.11 247.13 268.00 93.33 35.18 651.58 64.02 364.79 162.69 93.33 146.00 49.14 114.87 150.00 120.60 14,872.65 JUne 16, 2011 OTTER TAIL COUNTY HRA INVESTMENT LISTING I.D. # 41-1518930 FINANCIAL· INSTITUTION FUND i DESCRIPTION PIDNCIPAL ! INT_E_RE __ S_T_i_I_N_T-EREST ___ P_URC_H_A_S_E i RATE PAID DATE ·····----·--·-····--·······-····-··-··-··---------·----···---------c---------a------------------------·•-·e,-,•· -·······-----+-----~ ··-· ···------"·'--····-···-·"·-+--------f-----------+---- MATURITY DATE CERTIFICATES . -~--·-· --~--~-.~----··-··-·-····--··-·-··-·--··---··--··-·-·-·-----·-·---- Security State Bank ' Public Housing Fergus Fa.l_ls __ _ $6,583.971 0.15% ·1· Maturity -P-.·-•1---Re11e~e-d~-----__, ~---,----~---1: ~1:1.tomatic ~~ osit 09/19£10 ___ 03/19/11 Money Market . / Certificate #210979 SA VIN GS ACCOUNTS -------,-------------' - Security. State Bank Fergus Falls Security State Bank Fergus Falls Otter tail County Tax Levy MHFA-HOME Account ------+----·---.----------------------------+---------- Section 8 Admin i Weekly Money $19,781.10 .15% 'Monthly Account Reserve __,._M_ar_k_e_t _Sa_v_in_g __ s_--+------+------+-#_9_3_1_2_-0_0_4_63_4 ---+--------~+·-----.... -] i Public Housing· I Commercial Money $7,03525, .10% Monthly Account Securi!YDeposits Market . #9312015673 NOW Account t NOW Account $831.18 H:\U~ers\JEFF\INVES1MENT LISTINGS\invest 1i~t otc. -Dec 2010.doc 0 ·--OPPOllfUNltY Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 OTTER TAIL COUNTY HRA BOARD APPOINTMENTS NAME DATE OF ORIGINAL DATE OF DATE OF APPOINTMENT REAPPOINTMENT EXPmATION Hazel Hovde 10/97 8/06 8/2011 ------___ __I I Robert Maki 06/10 -8/2012 I __j ..,; I Scott Rocholl 08/08 -8/2013 --! 09/08 8/2014 i Robert Bigwood -I ---·~·--···-· Janice Palan 03/78 8/10 8/2015 _I H:\Uscrs\lEFF\BOARD APPOINTMENTS OTC H~viding Housing Opportunities 2012 PROPOSED TAX LEVY REQUEST 1. $ 150,000 -SECTION 8 VOUCHER PROGRAM & GENERAL ADMINISTRATION -In 2010 we used $149,000.00. To date (201 1) we have used approximately $57,021.00 to supplement the Section Voucher program and general administration due to Federal legislative reductions. The requested funds will also allow us to pursue other critical housing initiatives within Otter Tail County. 2. $ 50,000 -RENTAL REHAB LOAN PROGRAM -MHF A Rental Rehab Program is available only for multi -unit buildings. Using Tax Levy fund s to assist owners of smaller properties. 3. $101,000 -OWNER OCCUPIED REHAB LOANS -Use funds to do emergency type loans due to lack of MHF A funds. 4. $ 25,000 -SMALL CITIES DEVELOPMENT GRANTS -Used 2010 Tax Levy funds to write application for Parkers Prairie and Deer Creek. Application for $184,000.00 was funded. Used 2010 Tax Levy to do cooperative application (Battle Lake, Clitherall and Clitherall townships). Application funded for a total of $527,900. Will submit applications for additional funds for Pelican Rapids and New York Mills in 2011. 5. $ 90,000-LEVERAGE FOR OTHER PROGRAMS -Use Tax Levy funds to complete projects when MHF A and Small Cities funds are inadequate. Also, use Tax Levy funds to provide small cities matching funds if homeowner is unable to secure other financing. $416,000 TOTAL REQUESTED FUNDS FOR FISCAL YEAR 2012 H:\Users\tempory letters\2010 PROPOSED TAX LEVY REQUEST.doc Otter Tail County HRA Fully Taxable Market Value (Pay 2008) JOBZ Ta)able Market Value (Pay 2008) Total Fully Taxable and JOBZ Percentage Under MS 469.033 Subd 6 Maximum Allowable County Board Authorized (Pay 2008) Percent of Maximum Allowable Option 1 -Add 76,000 (280,000-204,000) Per Year 2009 2010 2011 2012 2013 2014 2015 2016 2017 ·only $38,511 not to exceed allowable maximum Assumptions - 1. The tax,Jble value of the district does not change ::Joo'%" Ael)(c1.-ec\ 6,434,106,300 2,032,800 6,436,139,100 0.0144% 926,511 -11 280,000 30.22% 356,000 432,000 508,000 584,000 660,000 736,000 812,000 888,000 926,511 .2C>o'l :::J.O)b ~o II .:io I J... Appro~a.J. A,pa:,.JtZ-~ lte.e rov~ R~esU D-i f'::, /o .,.0/ 85~o ., 0 /8S-Yo .019..rJc, ~l\t~,coo ff -:5S71c-o-o -t, t..J '""' 00 C '-I I~ e,c,O '35'~c :ao o/6 3S;b ?,S-~o Option 2 -Increase Percent of Maximum Allowable Line 15 by 5% a Year until Maximum Allowable is Reached 5.00% 2009 go'}r:. 35.22% 326,326 357, oc,3 2010 3S70 40.22% 372,651 41~/000 2011 .3S-~c, 45.22% 418,977 _'-11 ~, Oo 0 2012 3.s-~ 50.22% 465,302 'i It>( oo C 2013 b 55.22% 511,628 2014 60.22% 557,953 2015 65.22% 604,279 2016 70.22% 650,605 2017 75.22% 696,930 2018 80.22% 743,256 2019 85.22% 789,581 2020 90.22% 835,907 2021 95.22% 882,232 2022 100.00% 926,520 ·Only 4.78%. not to exceed allowable maximum Program MHFA Deferred Loans -Phase XV Rental Rehab -2010 Program OTC Tax Levy -Homeowner (2010) OTC Tax Levy-Homeowner (2011) OTC Tax Levy -Rental (2010) SCDP: 2011 Battle Lak~ SCDP: 2011 Parkers Prairie Short Form SCDP: Parkers Prairie/Deer Creek 11, home,J SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/PeHcan Twshp (22 homes) SCDP: Pelican Rapids/Erhard/Erhard's Grove Twshp/Pelican Twshp (10 com mer.) SCDP: NewYorkMills/Blnffton/ Newton Twshp/Bluffton Twshp (21 homes) SCDP: New York Mills/Bluffton/ Newton Twshp/Blufftou Twshp (5 commcr) SCDP: New York Mills/Bluffton/ Newton Twshp/Bluffton Twshp (15 rental) Otter Tail County HRA Rehabilitation Projects Update June 16, 2011 Applications In Process Inspected 7 0 7 0 Program will not start until 2011 31 0 31 9 0 9 10 0 10 Rehab Bidding In Complete Progress l 0 6 0 0 31 0 3 6 0 2 8 Full Application submitted February 1, 2011. Expect to find out if funded after the Federal budget is decided. Short Form Application submitted. Expect to find out if funded after the Federal budget is decided. 19 0 19 0 0 19 18 4 15 2 5 7 7 0 7 2 3 2 13 4 10 3 6 0 6 0 6 I 4 I 15 units 0 15 units 13 units 2 units 0 6- $136,189.55 OTC UMA UML Leasing% January 140 125 February 140 116 March 140 113 April 140 11~ Changed May 14.ll ~'114 June 1.';u July 140 August 140 September 140 October 140 November 140 December 140 YTD 1,680 586 ABA YTD: Less HAP Expenditures YTD: = Remaining YTD: CY Eligibility: Remaining CY Eligibility: CY Months Remaining: .J Monthly CY Eligibility Remaining: Unit Months Available CY: Unit Months Leased CY: Unit Months Remaining CY: Monthly Units Remaining CY: 34.88% Unit Months Funding Would Support: Monthly Units Funding Would Support: Minimum of Available or Supportable: Minimum of Available or Supportable Montt $193,545 $163,385 $30,160 i;,;;$11'41"0841 [:_ .;,:_-.,~•' . .,.!..c.-.,,,l,',, $277,699 r ., .. i:".""·•'-•"'lf,;'"'"':'~ , '.: ,'''1:·0,'. .•it'i'.! $39,671 1,094 156 996 142 996 142 ABA $ 38,709 $ $ 38,709 $ s 38,709 $ s 38,709 s s 38,709 s $193,545 $ ABA Utilization HAP % PUC 34,542 $ 276 32,035 $ 276 29,579 $ 262 33,348 s 283 33,881 s 297 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! 163,385 84.42% $ 279 SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM APRIL/MAY, 2011 Annual Recerts Interim Recerts Ports-In/Billing Ports-In/Absorbed* Ports-Out/Billed* Ports-Out/Absorbed* Ports Out/End Participation* End Participation* Shop Mode/ARS* New Admissions* Waiting List/To Date Vouchers Issued Applications 1/P Ports In Pending Ports Out Pending Port Requests Ports Out Paid Ports Received In-House Transfers ELI% 5/5 8/4 0/0 4/0 2/1 0/0 0/0 2/5 0/1 2/1 194 12 1'0/20 Sent 0 ~nt '~,392; 10/$5971 0 1/0 100% FERGUS FALLS/OTTER TAIL COUNTY HRA SCHEDULE OF ALLOWANCES FOj TENANT F}URNISHED UTILITIES &-(7-{ec>t \ J<c_ 01 t) Ip O I I SINGLE FAMILY atural Gas ( Bottle Gas -21 % Fuel Oil f--50% Electric ~ DUP/TRI/FOURPLEX 21~i 50% Natural Gas Bottle Gas Fuel Oil Electric _ 16%J APARTMENT Natural Gas 7 Bottle Gas Fuel Oi l Electric MOBILE HOME Natural Gas i Bottle Gas Fuel Oil - Electric TOW HOMES Natural Gas 1 COOXIN 21% 50% I 6%j 21J 50%t 16% -r I BR[ f 35 98 1191 102 ~ 55 64 / 32T 831 86 1 10ol 129~ 46 t 53 j 2 q 1 41 48 22[ J 2BR ~ 123 124 72 40 105 1051 62[ 25 ] 48 44 123 124 72 28[ 1 -j :::t 84} ' 127f 1581 72 56 14l 18~1 84' (This allowance schedule is usedlora11 structure types) Natural Gas [ 6! 7 j Electric 16% 3 3J 5j 6 Bottle Gas i --21% 15 18T 19 23 GENERAL ELECTRrCAL USE '.This allowance sche-dule is used for all structure types) 1 16%[ 25f 2~ 32[ 3?1 WATER HEATING :Th is allowance schedule is used for all structure types) \latural Gas --i I 2J J] 14 Electric j • 16% 15 191 3ottle Gas [ 21% 44 3 54 WA TER/S-EWEIDTRASWCUL"L'ECTION Water 22 31[ ,ewer 10% 25 W 32 rrash 17 _1. I 7 [9\N~ES7R""E~QERA TORS l ange ---+-3 ~Trigerator 6 t 22t _ 65[ 3 BR 54 149 157 91 46 j 123 130 78 58 54 r 149 157 91 8 7 21 38 18 23 66 38 39 19 l I 67 _j 21l 80 / 43 56I 149 164 108t 651 166 195 11 3 40/ 44 21 26 79 441 47 19 3 6 l 5-BR! 78 20 1+ 214 293 242 13 1 140 84 97 781 214 242r 140 12 8 27 5 0 ! 259 363 162 218 3 II 138 11 3 259 363 162 9 33 58 36 100 61 3 6 OTTERTAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units April 2011 Rents Payable $2,663.00 Rents Collected $1,693.00 Late Fees Charged $ 0.00 Late Fees Collected $ 0.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 9 3 Bedroom ~ 4 Bedroom 2 H:\Users\Pam\Board Reports\OT County -Board Reportdoc OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units May2011 Rents Payable $2,681.00 Rents Collected $2,665.00 Late Fees Charged $ 0.00 Late Fees Collected $ 0.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2Bedroom 11 3 Bedroom 6 4Bedroom 2 HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 :o: Fergus Falls/Otter Tail County HRA = -Housing & Redevelopment Authority • OF~Olll~~ITY • Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Hfghrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: ENCLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Gaffaney, Executive Director August 11, 2011 Meeting to be Held Thursday, August 18, 2011 at 10:00 a.m. at the HRA Office, 1151 Friberg Ave., Fergus Falls, MN. 56537 Regular Minutes of June 16th Meeting AGENDA 1. Chairperson -Call Meeting to Order 2. Approval of Minutes 3. ~)¢' tive Director inistrati".e ~xpenses -June and July 2011 stment L1stmg ta! Fund Program Update 2 Annual agency Plan Public Hearing, October 20, 2011 at I a.m. Board Member Appointment c. l°Z'<-'f-Le.~ """-½ -'? / z.s-e 12: 3 o M.$ l'\._J :-{-g,,;z."j_ -\ 4. Relµbilitation Specialist -Dennis Christenson ~A Update BX,C Tax Levy Update C. 201 I SCDP Potential Applications 5. Re1;!2ilitation Assistant-Sue Bjorklund ~09 Deer Creek/Parkers Prairie SCDP B./zo(o Pelican Rapids SCDP C.\AWIO New York Mills SCDG 6. Housing Administrator-Mary Jo Schwarz A. Section 8 Update 7. Housing Manager -Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNABLE TO ATTEND! =============== Providing Housing Opportunities IT·\Hsers\JEFF\Agcuda-0:I:e:annno1:do= The Otter Tail County HRA Board of Commissioners met in a regular meeting on June 16th, 2011 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Falls, MN. 56537 MEMBERS PRESENT Robert Bigwood, Vice Chairperson Janice Palau, Secretary Robert Maki Hazel Hovde OTHERS PRESENT Jeffrey Gaffaney Mary Jo Schwarz Dennis Christenson Pam Minten Sue Bjorklund Vicki Scheer Robert Bigwood, Vice Chairperson opened the regular meeting. ABSENT Scott Rocholl A motion was made and seconded to approve the minutes from the April 21st, 2011, meeting. M/J anise Palau S/ Hazel Hovde Jeffrey Gaffaney, Executive Direcior, reviewed the administrative expenses for the months of April and May 2011. A motion was made and seconded to approve the expenses. • • M/Robert Maki S/ Janice Palau The Investment Listing was reviewed; the only changes were the balances in the checking and savings accounts. The 2010 Capital Funds Program has been closed out. The funds for the 2011 Program have not yet been determined but hopefully the HRA will be notified of funds accessible by mid summer. The Otter Tail County HRA annual audit was completed by Carlson Highland May 2-4th. A copy of the report was presented for review. The only findings are regarding the GAAP auditing system that will be an ongoing finding. This report will be sent to Otter Tail County Auditor, the Minneapolis area HUD office and online to HUD through the REAC system. A motion was made and seconded to approve the final audit report. M/Robert Maki S/ Janice Palau A letter will be sent to the Otter Tail County Board regarding the proposed 2012 Tax Levy request. A breakdown of how the funds would be used was presented. The HRA is requesting the same amount as last year in the amount of $4 I 6,000. A motion was made and seconded to approve the proposed requested amount. • M/Hazel Hovde SI Robert Maki Hazel Hovde's HRA Board Member Appointment will expire August 2011. Hazel will let Jeff know at a future date of her decision to serve another term. Dennis Christenson, Rehab Specialist reported that there are 7 MHF A Deferred Loan Program Phase XV applications that have been received, 7 have been inspected, 1 is bidding, I has rehab in progress and 6 are complete and $136,189.55 funds have been spent. The Rental Rehab Program will hopefully start up this fall. There are 31 applications for the 2010 Otter Tail County Tax Levy Homeowner Program, 31 have been inspected and 31 are complete. There are 9 applications for the 2011 Otter Tail County Tax Levy Homeowner Program, 9 have been inspected, 3 have rehab in progress 6 are complete. A total of 10 rental unit applications have been taken, all 10 have been inspected, 2 are in progress and 8 are complete for the 2010 Otter Tail County Rental Rehab Program. H:\Users\VICKI\2011 minutes\minutes -otc june 2011.doc A full application for Battle Lake,-Clitherall and Clitherall Township was submitted February I, 2011. Jt appears that this will be_ funded for approximately $527,900. He has not yet received confirmation_. He also believes the short form application for Parkers Prairie and Deer Creek will be funded. Sue Bjorklund, Rehab Assistant reported that .there were 19 applications taken for the Parkers Prairie/Deer Creek SCDP program, 19 were inspected and 19 are complete. Eighteen Homeowner' applications have been received, 4 are in process, 15 have been inspected, 2 are bidding; 5 have work in progress arid 7 are complete for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program. Seven commercial applications have been received, 7 have been inspected, 2 are bidding, 3 have work in progress and 2 are complete for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican SCDP Program. Thirteen· homeowner applications have been received, 4 are in process, IO have been inspected, 3 are bidding and 6 are in progress for the New York Mills/ Bluffton and Newton and Bluffton Townships SCDP Program. Six commercial applications have been received, 6 have been inspected, I is bidding, 4 have work in progress and I is complete for the New York Mills/Bluffton and Newton/Bluffton Townships SCDP Program. - Fifteen rental units applications have been received, I 5 have been inspected, 13 are bidding and 2 units have work in progress for the New York Mills/Bluffton and Newton/Bluffton Townships Rental SCDP Program. Mary Jo reported that for the month of February there were 116 leased and HAPS totaling $32,035.00. There are 3 vouchers issued. There are 243 families on the waiting list, $4,788.00 was paid for 9 ports out, $822.00 received for 3 ports ins and the ELI percentage was 50%. For the month of May there were 114 leased and HAPS totaling $33,881.00. There are 12 vouchers issued, and 20 letters sent out. There are 194 families on the waiting list, $4,392 was paid out in April and for May there was $5,971.00 paid for 10 ports outs. The ELI percentage was 100%. She has received the 201-1,budget funding amount and we will be receiving $38,579 a month. • The proposed 2012 utility allowance schedule has been completed and was presented for review. The amounts have increased from last year. After much discussion a motion was made and seconded to approve the schedule effective September I st, 20 I I. M/Hazel Hovde SI Robert Maki Pam Minten, Housing Manager of the Fergus Falls and Otter Tail County public housing units reported that April rents owed for the Otter Tail County Family Public Housing units totaled $2,663.00, and $1,693.00 was collected all rents were paid in full. There were no late fees. No outstanding fees are owed. There were no vacancies. Nine applicants were on the 2-bedroom public housing waiting list, 5 applicants on the 3-bedroom waiting list and 2 on the 4-bedroom waiting list. The May rents owed totaled $2,681.00 and $2,665,00 was collected. There were no late fees. No outstanding fees are owed. There were no vacancies. Eleven applicants were on the 2-bedroom public housing waiting list, 6 applicants on the 3-bedroom waiting list and 2 on the 4-bedroom waiting list. Pam has received one notice to vacate effective for 6-1-11. REAC inspections were completed May 12th and it went very well. There being no further business, a motion was made to adjourn the meeting. M/Robert Maki SI Janice Palan Janice Palan, Secretary Date H:\Users\VICKl\2011 minutes\minutes • otc june 2011.doc 2 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF June, 2011 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -.Retirement $ • Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz-Mileage $ Sue Bjorklund -Mileage $ Janice Palan -Per Diem $ Hazel Hovde -Per Diem $ Robert Maki -Per Diem $ Robert Bigwood.-Per Diem $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Waste Management of MN $ Shannon Schmitz $ Ballard Sanitation $ Culligan Water Co $ Mark Gaworski -Accounting Fees $ Networks For Hire $ Diana Kugler $ Ally -Lease $ Housing Data Systems $ Home Depot $ Pinnacle Pro Floor $ Salaries $ H:\Users\JEFF\OTC HRA EXPENSES -June 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 406.47 49.11 206.55 56.05 105.90 85.50 116.10 60.00 444.36 263.42 140.J0 22.62 651.58 89.90 506.19 114.09 57.98 850.00 100.00 500.00 150.00 120.00 196.24 166.40 10,713.45 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF -=JUL=Y""--_----2•-=2=01=1 Bank of the West -Office Rent $ City of Fergus .Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz -Mileage $ Great Plains Gas Co. $ Home Depot $ Brian's Lawn Care $ Sherwin Williams Paint $ Review Enterprises $ City of New York Mills $ City of Underwood $ Otter Tail.Power Company $ American Family Insurance Co. $ Denzel's Regional Waste, Inc. $ City of Henning $ CAN Surety $ Internet Exposure $ Tina Stevens $ Ally-Lease $ Raina Heroth $ Networks For Hire $ Otter Tail County Treasurer -PILOT $ Carlson Highland CP A's -Audit $ Pine Plaza TV /Appliance $ Salaries $ H:\Users\JEFF\OTC: HRA EXPENSES • July 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 440.12 37.82 129.87 27.93 48.19 944.14 223.22 184.98 298.48 93.33 278.15 551.58 146.52 721.68 200.00 50.00 93.34 150.00 4,448.83 147.34 2,886.30 6,250.00 89.78 16,132.38 August 18, 2011 -----·-- OTTER TAIL COUNTY HRA INVESTMENT LISTING I.D. #41-1518930 FINANCIAL FUND DESCRIPTION PRINCIPAL INTEREST INTEREST PURCHASE INSTITUTION RATE i PAID DATE -······-·-·-··· --··--···-·-·-· .. --. -·--.. -· ---... -·····-·-······-----·-··-----··--·-·· ........ , ...... ,, ..... ---------, -----. .... --------------·•; ---- ------·-•" ·------··· -·-··-··------ CERTIFICATES Security State Bank Public Housing Money Market $6,583.97 0.15% Maturity Renewed .Fergus Falls Certificate #210979 Automatic Denosit 03/19/11 ·-··-····· ·----·-··----... ,., .. ,,_,,,,,,_ ___ ,_ ______ ---------·-···-···· ·----·-···-·-·-- SA VIN GS ACCOUNTS Security State Bank Section 8 Admin Weekly Money $19,797.47 .15% Monthly Account Fergus Falls ____ Reserve Market Savings , #9312-004634 . . ---------.. ----·-----------. --.. ------··-------· ---"'" ----------... ·-,--------------------·· -·----·· . . .. Security State Bank Public Housing Commercial Money $7,034.34 .10% ; Monthly Account _:f~r~s Falls ______ Secur(ty))eposits _ . Market #9312015673 . --·--·-· .. ----------_,,_ -------------·---- ' CHECKING ACCOUNTS -·· ... -••·---· ····--·-·--------·--··--···--·--·-·--- $77,294.02 I -· Section 8 Existing NOW Account T· ·-·· Public Housing NOW Account $36,626.25 MHF A-Loan Account NOW Account $23,792.55 ! ' i ' ' ' -··--···--· ... ,.-... ,-... --.. ····-----. "' . ...... _,_,_ ·----------... Otter Tail County Tax Levy NOW Account ' $233,502.00 ! I ' -·····•"""'""""----··--····-""· ---··----------·-··--·-----------·--·-··--_, _______ , ____ ·---- MHFA-HOME Account j NOW Account ' $831.43 I j ... ------- H:\Users\JEFF\INVESTMENT LISTINGS\2011\invest list otc -aug 2011.doc MATURITY I DATE I i I I I ! I 09/19/11 ! •• I I ! I I _ _ __,. __ _, __ ·------·---- i ---j i I i . . --1 l I ' i i ""··1 ' i ' ' Capital Fund Program (CFP) Amendment To The Consolidated Annual Contributions Contract (form HUD-53012) U.S. Department of Housing and Urban Development Office of Public and Indian Housing Whereas, (Public Housing Authority) Otter Tail County HRA !MN177 ) (herein called the "PHA") and the United States of America, Secretary of Housing and Urban Development (herein called "HUD") entered into Consolidated Annual Contributions Contract(s) ACC(s) Numbers(s) C-4109 dated 3/5/1980 Whereas, HUD has agreed to provide CFP assistance, upon execution of this Amendment, to the PHA in the amount to be specified below for the purpose of assisting the PHA in carrying out capital and management activities at existing public housing developments in order to ensure that such developments continue to be available to serve low-income families. HUD reserves the right to provide additional CFP assistance in this FY to the PHA HUD will provide a revised ACC Amendment authorizing such additional amounts. $ 19 539.00 for Fiscal Year 2011 to be referred to under Capital Fund Grant Number MN46P17750111 PHA Tax Identification Number (TIN):On File DUNS Number:On File Whereas, HUD and the PHA are entering into the CFP Amendment Number ________ 1_9 __________ _ Now Therefore, the ACC(s) is (are) amended as follows: 1. The ACC(s) is (are) amended to provide CFP assistance in the amount specified above for capital and management activities of PHA developments. This amendment is a part of the ACC(s). 2. The capital and management activities shall be carried out in accordance with all HUD regulations and other requirements applicable to the Capital Fund Program. 3. (Check one) a. For Non-qualified PHAs. ___ (i) In accordance with the HUD regulations, the Annual PHA Plan has been adopted by the PHA and approved by HUD, and may be amended from time lo time. The capital and management activities shall be carried out as described in the CFP Annual StatemenVPerformance and Evaluation Report (HUD-50075.1). OR __ (ii) If the Annual PHA Plan has not been adopted by the PHA and approved by HUD, the PHA may use its CFP assistance under this contract for ;.,ork items contained in its CFP-Five-Year Action Plan (HUD-50075.2), before lhe Annual PHA Plan is approved X b. For Qualified PHAs: __ (I) The CFP Annual Statement/Performance and Evaluation Report HUD-50075.1) has been adopted by the PHA and verified by HUD. The :apital and management activities shall be carried out as described therein. )R __ (ii) If the CFP Annual Statement/Performance and Evaluation Report Ias not been adopted by the PHA and/or verified by HUD, the PHA may use .s CFP assistance under this contract for work items contained in its approved :FP 5-Year Action Plan (HUD-50075.2), before the CFP Annual ,tatemenVPerformance and Evaluation Report is adopted by the PHA and erified by HUD. For cases where HUD has approved a Capital Fund Financing .mendment to the ACC (CFF Amendment attached), HUD will deduct the ayment for amortization scheduled payments from the grant immediately on Ie effective date of this CFP Amendment. The payment of CFP funds due er the amortization scheduled will be made directly to a designated trustee ·rustee Agreement attached) within 3 days of the due date. Regardless of the selection above, the 24 month time period in which the PHA must obligate this CFP assistance pursuant to section 9U)(1) of the United States Housing Act of 1937, as amended, (the "Act") and 48 month time period in which the PHA must expend this CFP assistance pursuant to section 90)(5) of the Act starts with the effective date of this CFP amendment (the date on which CFP assistance becomes available to the PHA for obligation). Any additional CFP assistance this FY will start with the same effective date. 4. Subject to the provisions of the ACC(s) and paragraph 3. and to assist in the capital and management activities, HUD agrees to disburse to the PHA or the designated trustee from time to time as needed up to the amount of the funding assistance specified herein. 5. The PHA shall continue to operate each development as low-income housing in compliance with the ACC(s), as amended. the Act and all HUD regulations for a period of twenty years after the last disbursement of CFP assistance for modernization activities for any public housing or portion thereof and for a period of forty years after the last distribution of CFP assistance for development activities for any public housing and for a period of ten years following the last payment of assistance from the Operating Fund to the PHA. However, the provisions of Section 7 of the ACC shall remain in effect for so long as HUD determines there is any outstanding indebtedness of the PHA to HUD which arose in connection with any development(s) under the ACC(s) and which is not eligible for forgiveness, and provided further that, no disposition of any development covered by this amendment shall occur unless approved by HUD. 6. The PHA will accept all CFP assistance provided for this FY. If the PHA does not comply with any of its obligations under this Amendment and does not have its Annual PHA Plan approved within the period specified by HUD, HUD shall impose such penalties or take such remedial action as provided by law. HUD may direct the PHA to terminate all work described in the Capital Fund Annual Statement of the Annual PHA Plan. In such case, the PHA shall only incur additional costs with HUD approval. 7. Implementation or use of funding assistance provided under this Amendment is subject to the attached corrective action order(s) . (mark one): □ Yes [KJ No 8. The PHA acknowledges its responsibility for adherence lo this Amendment. he parties have executed this Agreement, and it will be effective on_B/3/2011 ___ . This is the date on which CFP assistance 3comes available to the PHA for obligation . . S. Department of Housing and Urban Development f D~ Date: 07/26/2011 tie Title Executive Di rector evious versions obsolete form HUD-52840-A 03/04/2003 Annual Statement/Performance and Evaluation Report Capital Fund,Program, Capital Fund Program Replacement Housing Factor and Capital Fund Financing Program Part I: Summa,-y PHA Name: Otter Tail County HRA Grant Type ani:l Number Capital Fund Program Grant No: MN46Pl 7750111 Rejilacement Housing Fact_or Grant No: Date of CFFP: Type o{ Grant [XI Original Annual Statement D Reserve for Disasters/Emergencies D Performance and Evaluation Reoort for Period Endimz: U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Expires 3/31/2014 FFY of.Grant: 2011 FFY of Grant Approval: D Revised Annual Statement (revision no: ) 0 Final'Performance and Evaluation Report Line Summarv by Develonment Account Total Estimated Cost Total Actual Cost 1 l 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Oril!Jnal Total non-CFP Funds 1406 Operations (may not exceed 20% of line 21) 3 12,309 1408 Management Improvements 1410 Administration (may not exceed 10% ofline2 l) 1411 Audit 1415 Uquidated Damages 1430 Fees and Costs 1440 Site Acquisition 1450 Site Improvement 1460 Dwelling Structures 7,500 1465.l Dwelling_Equiprrent-Nonexpendab1e 1470 Non-dwelling Structures 1475 Non-dwelling Equiprrent 1485 Demolition 1492 Moving to Work Demonstration 1495.1 Relocation CoSts 1499 Development Activities 4 1 To be completed for the Performance and Evaluation Report. 2 To be Completed for the Performance and Evaluation Report or a Revised Annual Statement. 3 PHAs with under 250 units in management may use l 00% of CFP Grants for operations. 4 RHF funds sha11 be included here. Pagel Revised2 Oblieated Expended form IITJD-50075.1 (4/2008) Annual Statement/Performance and Evaluation Report Capital Fund Program, Capital Fund Program Replacement Housing Factor and Capital Fund Financing Program Part I: Summarv PHA Name: Grant Type and umber Otter Tail County HRA Capital Fund Program Grant No: MN46Pl7750l I 1 Replacement Housing Factor Grant No: Date ofCFFP: Type of Grant [2'J Original Annual Statement 0 Reserve for Disasters/Emergencies D Performance and Evaluation Report for Period Ending: U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Exoires 3/31/2014 FFY ofGrant:201 I FFY of Grant Approval: 0 Revised Annual Statement (revision no: ) 0 Final Performance and Evaluation Report Line Summan, bv Develoornent Account Total Estimated Cost Total Actual Cost 1 Original Revised ' 18a 1501 Collateralizat1on or Debt Service paid by the PHA 18ba 9000 Collateralization or Debt Service paid Via System of Direct Payment 19 1502 Contingency (may not exceed 8% of line 20) 20 Amount of Annual Grant:: (sum of lines 2 -19) 19,539 21 Amountofline20 Related to LBP Activities 22 Amount of line 20 Related to Section 504 Activities 23 Amount of line 20 Related to Security -Soft Costs 24 Amount of line 20 Related to Security -Hard Costs 25 Amount of line 20 Related to Energy Conse~1uon Measures Signature of Exeutive ~ "4 Date 06/27/2011 I Signature of Public Housing Director ~~ ' R;tz_~--.. Page2 \ 1 To be completed for the Performance and Evaluation Report. 'To be completed for the Performance and Evaluation Report or a Revised Annual Statement. 'PHAs with under250 units in management may use 100%ofCFP Grants for operations. 4 RHF funds shall be included here. Obligated Expended Date form HUD-50075.1 (4/2008) ---- HOUSING AND REDEVELOPMENT AUTHORITY OF OTTER TAIL COUNTY, MINNESOTA PUBLIC HEARING NOTICE NOTICE OF PUBLIC HEARING ON THE 2012 ANNUAL PLAN UPDATE OF THE COMPREHENSIVE 5-YEAR AGENCY PLAN NOTICE IS HEREBY GIVEN that a public hearing shall be conducted by the Board of Commissioners of the Otter Tail County Housing and Redevelopment Authority (HRA) in Fergus Falls, Minnesota, on the Fiscal Year 2012 Annual Plan Update of the Five Year Comprehensive Agency Plan developed in compliance with the Quality Housing and Work Responsibility Act of 1998. The Plan is available for review at the Housing Authority's office located at 1151 Friberg Avenue, Fergus Falls, Minnesota. The Authority's hours of operation are 7:30 a.m. to 4:30 p.m. The hearing will be held by the Board of Commissioners of the HRA at 1151 Friberg A venue, Fergus Falls, Minnesota, at 10:00 a.m., Thursday, October 20, 2011 . All parties will have an opportunity to appear and express their views with respect to the proposed Agency Plan. HOUSING AND REDEVELOPMENT AUTHORITY OF OTTER TAIL COUNTY, MINNESOTA Jeffrey Gaffaney Executive Director Publication Date: Friday, August 12, 2011 H:\UsersVEFF\pub hearing notice otc.doc OFFICE OF THE COUNTY AUDITOR 510 Fir Ave w. E-Mail wstein@co.ottertail.mn.us Fax No. (218) 998-8042 July 19, 2011 Mr. Jeffrey Gaffaney. Executive Director OTTER TAIL COUNTY www.co.otter,tail.mn.us Otter Tail County Housing and Redevelopment Authority 1151 Friberg Ave Fergus Falls, MN 56537 RE: Otter Tail County HRA Board Member Re-appointment bear Mr. Gaffaney, GOVERNMENT SERVICES CENTER FERGUS FALLS, MN 56537 Direct Line (218) 998-8041 Office Line (218) 998-8030 On Tuesday, July 19, 2011 the Otter Tail County Board of Commissioners passed a motion reappointing Hazel Hovde to the Otter Tail C::ounty Housing and Redevelopment Authority Board for the period of August 1, 2011 through August 1, 2016. Should you have any questions or require iny additional information please feel free to, contact me. Thank you very much. Sincerely, w~~ Wayne Stein County Auditor CC: HAZEL HOVDE PO BOX 330 PELICAN RAPIDS. MN 56572-0330 Fergus Falls/Otter Tail County ,HRA Housing & Redevelopment Authority HRA Office 115i Friberg Av_e Fergus Falls MN 56537 218'739-3.249 Fax 218-736-4706 ffhra~prtel.com www.fergusfallshra.com Riverview Heights Highris~ 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 OTTER TAIL COUNTY HRA BOARD APPOINTMENTS NAME DATE OF ORIGINAL DATE OF DATE OF APPOINTMENT REAPPOINTMENT EXPIRATION ' Robert Maki 06/10 -8/2012 Scott Rocholl 08/08 -8/2013 Robert Bigwood 09/08 -8/2014 Janice Palan 03/78 8/10 8/2015 Hazel Hovde 10/97 8/11 8/2016 .Jf:\Users.\JEEEIBO.ARD_APJ!OINIMENTS.OICJ!RfPnwiding Housing Opportunities ============== OTTER TAIL COUNTY OFFICE OF THE COUNTY AUDITOR 510 Fir Ave W. E-Mail wstein@co.ottertail.mn.us Fax No. (218) 998-8042 August 10, 2011 www.co.otter-tail.mn.us Mr. Jeffrey Gaffaney, Executive Director Otter Tail County HRA 1151 Friberg Ave Fergus Falls, MN 56537 RE: 2012 Proposed Budget Review. Dear Mr. Gaffaney, GOVERNMENT SERVICES CENTER FERGUS FALLS, MN 56537 Direct Line (218) 998-8041 Office Line (218) 998-8030 The Otter Tail County Budget Committee would like to meet with a representative(s) of your agency at 12:30 p.m. on Thursday, August 25th, 2011 for the purpose of discussing and considering your agency's proposed 2012 budget/funding request. We look forward to meeting with you and discussing your budget/funding request. Should you have any questions, require any additional information or have concern with the scheduled appointment time, please feel free to contact me. Thank you very much. Sincerely, U Jnt"' 1-h,-,,'\ Wayne Stein County Auditor U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON. DC 20410-5000 OFFICE OF PUBLIC ANO INOIA HOUSING Quality Assurance Division Mr. Jeffrey Gatfaney Executive Director Otter Tail County HRA 1151 Friberg Ave Fergus Falls, MN 56537 Dear Mr. Gaffaney: June 27, 2011 The Otter Tail County HRA has been selected for a Voucher Management System (VMS) data validation review. The review will be conducted by the Department of Housing and Urban Development (HUD), Office of Public and Indian Housing, Quality Assurance Division (QAD). The primary purpose of this revi ew will be to validate the Unit Months Leased (UML ). Housing Assistance Payments (HAP), Net Restricted Assets (N RA). Unrestricted Net Assets (UNA) and cash on hand data recorded in VMS for October 1, 2009 through December 31, 2010. During the review, we will also provide technical assistance and guidance related to VMS reporting. With in 45 days of the review conclusion, you will receive a report detailing the results of our review and any required corrective actions. The results of our review may initiate a funding off-set. The review is expected to last no more than 5 working days and has been scheduled to begin August 23rd, 2011 , with an entrance conference beginning at 9 a.m. We "ould appreciate all appropriate staff members being avai lable at this time. The QAD revie"" team will include· Andrew Kopacek. Realty Specialist In order to quick ly and efficiently complete the review, plea~e ensure al l source documents supporting VMS data entry for the period under review are available to the QAD !>taffupon their arrival (see attachmenr). ff you have any questions, please contact me at 612-370-3000. :-.2258. or Sincerely, / l~i.-/7~ Andrew Kopacek Realty Specialist Quality Ass urance Di vision cc: Lucia Clausen, Director, Office of Public & Indian Housing, Minneapolis Barbara Lamb, Division Director. i:inancial Management Center. West Attachment d ,. ·• , Supporting Documents Required for VMS Review and Limited Financial Management Review Please have the following documents available to the QAD Staff upon their arrival at the Agency. Source documentation required relates to the HCV program only. ► PHA Chart of Accounts. ► Monthly Utilization Reports (for all voucher types). ► Monthly financial Records (general ledger detail, subsidiary ledgers, trial balances, income statements, balance sheets, check registers, etc.). o Balance Sheets must show clear delineation between NRA and UNA balances. o UNA is equal to line 512.1 on the financial data schedule. o Both NRA and UNA must be backed by cash or cash.equivalent. ► Housing Assistance Payment (HAP) Registers. ► Other source documents, off-line or system generated reports used to support VMS data entry. ► FSS Escrow Deposit Reports: o Also clearly showing any FSS Escrow Forfeitures. ► Bank statements, investment portfolios, Certificate of Deposit.statements and any other documentation that will support cash backing the NRA and UNA balances. ► IPA Audit Report for latest fiscal year available. ► Memorandum providing the FMC and PHA agreed NRA balance (as validated by FMC). Additional information may be requested during the review as necessary to accomplish our objective. Documents may be provided electronically or in hard copy. Space accommodations will be needed for the Quality Assurance staff while on-site. If possible, we would appreciate access to a telephone. Our goal is to minimize disruption to the Agency's operations to the extent possible by completing the review within one week. You can help us meet this goal by ensuring required supporting documents are available upon QAD Staff arrival. Thank you. Program MHFA Deferred Loans -Phase XV Otter Tail County HRA Rehabilitation Projects Update August 18, 2011 Applications In Process Inspected 7 0 7 Bidding 1 Rental Rehab -2011 Program 0 Program will not start until 20 11 l 2 o I Z-1 OTC Tax Levy-Homeowner (2011) 12 0 12 0 OTC Tax Levy-Rental (2011) 12 0 12 12 New 2012 SCDP Applications: *Pelican Rapids Short Form for owner rehab only *Ver11:as Full Annlication for owner rehab and commercial rehab SCDP: Battle Lake (15 homes) I 1 0 0 SCDP: Battle Lake (7 commercial) 0 0 0 0 SCDP: Parkers Prairie/Deer Creek c• homes) I I 0 0 SCDP: Pelican Rapids/Erhard/Erhard's 21 2 20 5 Grove Twshp/Pelican Twshp (22 hom-es) SCDP: Pelican Rapids/Erhard/Erhard's 8 1 7 2 Grove Twshp/Pelican Twshp (10 commer.) SCDP: New York Mills/Bluffton/ 17 7 10 0 Newton Twshp/Bluffton Twshp (21 homes) SCDP: New York Mills/Bluffton/ 6 0 6 1 Newton Twshp/Bhiffton Twshp (5 commer) SCDP: New York Mills/Bluffton/ 15 units 0 15 units 13 units Newton Twshp/Bluffton Twshp (15 rental) Rehab In Complete Progress 0 6 6- $136,189.55 r\l'4 oA. 2 10 0 0 0 0 0 0 0 0 5 9 3 2 7 3 4 I 0 2 units r ( OTC UMA UML January 140 125 February 140 116 March 140 113 April 140 118 Ma" 140 114 ,7 / 7 140 115 luly ,/ 140 117 August 140 September 140 October 140 November 140 December 140 YTD 1,680 818 ABA YTD: Less HAP Expenditures YTD: = Remaining YTD: CY Eligibility: Remaining CY Eligibility: CY Months Remaining: Leasing% 48.69% Monthly CY Eligibility Remaining: Unit Months Available CY: Unit Months Leased CY: Unit Months Remaining CY: Monthly Units Remaining CY: Unit Months Funding Would Support: Monthly Units Funding Would Support: Minimum of Available or Supportable: ,Minimum of Available or Supportable Montt . $270,963 $231,091 $39,872 ••. $441;084 . ' ~-~-' $209,993 $41,999 • 16801 ' , ., ... 818 862 172 743 149 743 149 ABA $ 38,709 $ $ 38,709 $ $ 38,709 $ $ 38,709 $ $ 38,709 $ 38,709 $ 38,709 $ $270,963 $ ABA Utilization HAP % PUC 34,542 $ 276 32,035 $ 276 29,579 $ 262 33,312 $ 282 33,283 $ 292 33,682 $ 293 34,658 $ 296 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! 231,091 85.29% $ 283 SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM JUNE & JULY, 2011 Annual Recerts Interim Recerts Ports-In/Billing Ports-In/Absorbed* Ports-Out/Billed* Ports-Out/Absorbed* Ports Out/End Participation* End Participation* Shop Mode/ARS* New Admissions* Waiting List/To Date Vouchers Issued Applications 1/P Ports In Pending Ports Out Pending Ports Out Paid Ports Received In-House Transfers ELI% 11 16 0 0 0 0 0 2 1 7 2 75% POLICY REVISIONS NEEDED FOR SECTIO 8 PROGRAM A.) Unit Size CURRENT POLICIES: 1. If an applicant is issued a one-bedroom Voucher, the applicant must be assisted in a one-bedroom unit. (2 br Voucher -2 br Unit, etc.) 2. Children of the opposite sex MUST share a bedroom until one of the children reaches the age of 6. PROPOSED CHANGES: (to be effective retroactive to 8/01/2011) 1. When determining the Voucher size for a family where children of the opposite sex exist, children of the opposite sex will share a bedroom until one of the children reaches the age of 6. For example, a family consisting of a parent/parents, one female child age 4 and one male child age 2, will be issued a 2 bedroom Voucher until the female reaches age 6. 2. Families will be allowed to rent a larger size unit as long as the tenant portion of rent does not exceed 40% of the household gross monthly income. B.) Revision of Penaltie that may be assessed if a family violates the rules and policies of the program. CURRENT POLICY: Violation: If any information supplied by the family is not true and complete. Penalty: Termination from program and applicant/participant may reapply and be placed back on the waiting list. PROPOSED CHANGES: (to be effective immediately for all existing applicants on the waiting list and those to be added, hereafter) Violation: Same Penalty: 1. Applicant will be denied admission to the program and will be ineligible for the program for a,.e,i<-month period of time dating back to the date of denial. ··n"··"-"~ 2. Participant will be terminated from the program and will be ineligible for the program for a six-month period of time dating back to the date of termination. OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units June2011 Rents Payable $ 2,633.00 Rents Collected $ 2,521.00 Late Fees Charged $ 0.00 Late Fees Collected $ 0.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 10 3 Bedroom 10 4Bedroom 3 H:\Users\Pam\Board Reports\OT County -Board Report.doc OTTERTAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units July 2011 Rents Payable $2,864.00 Rents Collected $2,934.53 Late Fees Charged $ 0.00 Late Fees Collected $ 0.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 20 3 Bedroom 13 4Bedroom 4 One notice to vacate for August 31st, one lease termination for August 31, 2011, working on applicants -one ready to move in. ------ HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: E CLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Ga ffaney, Executive Director October 13, 2011 Meeting to be Held Thursday, October 20th, 2011 at 10:00 a.m. at the HRA Office, l 151 Friberg Ave., Fergus Falls, M . 56537 Regular Minutes of August 19th Meeting AGE DA 1. Chairperson -Call Meeting to Order 2. Approval of Minutes 3. Executive Director A. Public earing -10:00 A.M -2012 Annual Update oft! 5-Year Agency Plan I. Resolution #096 -PHA Certification of Compliapce w~th 2012 Annual Agency Pl an .... e,.,,, I R.-j u~ c'<..-k~('._~ n:,t,J B. ·strative Expenses -August and September 2011 C. e n ent Listing D. 20 Capital Fund Program Update Proposals Regarding Re-Roofing Duplex in Pelican Rapids E. B oposals For: I. Multi-Peril Insurance Coverage 2. ·iscal Audit -12/3 1/2011 F. 20 I roposed Public Housing Budget Resolution #97 &, Ci .ii Riglit:1 Cortifiettti01~ G. ary o f August 25th Tax Levy Meeting H. UD VMS Validation Review -8/22 -8/25 I. SCDG Monitoring Repo1i for ew York Mills/Bluffton 4. ~abilitation Specialist -Dennis Christenson ~MIIFA Update B. ,A)TC T ax Levy Update -o(° 2012 SCDP Applications 5. Reha15ilitation Assistant -Sue Bjorklund K: XJ 11 Deer Creek/Parkers Prairie SCDP IY".){:)10 Pelican Rapids SCDP V?fl10 1ew York Mills SCDP (V20 I I Battle Lake SCDP 6. '• -/4ig Administrator -Mary Jo Schwarz ~u; 1 ~ction 8 Update 7. Housing Manager -Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNA BLE TO ATTEND! Providing Housing Opportunities 11:'UseFsl.Jel-PJl.geR!la OTC I IRA.!lae The Otter Tail County HRA Board of Commissioners met in a regular meeting on August 18th, 2011 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Falls, MN. 56537 MEMBERS PRESENT Scott Rocholl, Chairperson Robert Bigwood, Vice Chairperson Janice Palan, Secretary Robert Maki Hazel Hovde OTHERS PRESENT Jeffrey Gaffaney Mary Jo Schwarz Sue Bjorklund Pam Minten Vicki Scheer ABSENT Dennis Christenson Scott Rocholl, Chairperson opened the regular meeting. A motion was made and seconded to approve the minutes from the June 16th, 2011, meeting. M/Hazel Hovde SI Janice Palan Jeffrey Gaffaney, Executive Director, reviewed the administrative expenses for the months of June and July 2011. A motion was made and seconded to approve the expenses. A large payment was made to reimburse a tenant in Pelican Rapids for a refund of utilities that was reimbursed to the HRA due to a software mistake by the City of Pelican Rapids. ~obertMaki SI Robert Bigwood. The Investment Listing was reviewed; the only changes were the balances in the checking and savings accounts. Jeff received information stating the amount to be received for the 2011 Capital Fund program is $19,539.00, which is approximately I 5% less than last year. Re-shingling on one of the duplexes in Pelican Rapids will be completed and the rest will be put into general operations account. A public hearing will be held for the 2012 Annual Agency Plan at the next scheduled meeting, October 201\ 2011. Hazel Hovde has been re-appointed for another five year term as an Otter Tail County HRA board member. through August 1, 2016. Jeff and Sue will be attending a meeting Thursday, August 251\ 2011 at 12:30 with the Otter Tail County Budget Committee to discuss the HRA's tax levy request. The Otter Tail County HRA has been selected by HUD for a Voucher Management System (VMS) data validation review for the Section 8 Voucher Program. This is scheduled for August 23rd, 2011. In Dennis Christenson's absence, Sue Bjorklund reported that there are 7 MHFA Deferred Loan Program Phase XV applications that have been received, 7 have been inspected, 1 is bidding and 6 are complete anq $136,189.55 funds have been spent. The Rental Rehab Program will hopefully start up this fall. H:\Users\VICKI\2011 minutes\minutes -otc aug 2011.doc There are 12 applications for the 2011 Otter Tail County Tax Levy Homeowner Program, 12 have been inspected, 2 have rehab in progress 10 are complete. A total of 12 rental unit applications have been taken, all 12 have been inspected and 12 are in bidding for the 2011 Otter Tail County Rental Rehab Program. Looking to submit two new applications for Vergas and a short form for Pelican Rapids. The full application for Battle Lake, Clitherall and Clitherall Township has been approved. One homeowner application has been taken and is in progress. The short form application for Parkers Prairie and Deer Creek was also approved and is underway. One application has been taken and is in process. There were 21 applications taken the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program, 2 are in process, 20 were inspected 5 are bidding, 5 have rehab in progress and 9 are complete. Eight commercial applications have been received, 1 is in process, 7 have been inspected, 2 are bidding, 3 have work in progress and 2 are complete for the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican SCDP Program. Seventeen homeowner applications have been received, 7 are in process, 10 have been inspected, 7 are in progress and 3 are complete for the New York Mills/ Bluffton and Newton and Bluffton Townships SCDP Program. Six commercial applications have been received, 6 have been inspected, 1 is bidding, 4 have work in progress and 1 is complete for the New York Mills/Bluffton and Newton/Bluffton Townships SCDP Program. Fifteen rental units applications have been received, 15 have been inspected, 13 are bidding and 2 are complete for the New York Mills/Bluffton and Newton/Bluffton Townships Rental SCDP Program. Mary Jo reported that for the month of June there were 115 leased and HAPS totaling $33,682.00. For the month of July there were 117 leased and HAPS totaling $34,658.00. There are 16 vouchers issued. There are 138 families on the waiting list, $6,222.00 was paid out in for 10 ports outs. The ELI percentage was 75%. Mary Jo proposed the following changes to the agency plan regarding bedroom size and the penalties for violations of rules and policies: A.) Unit Size I. When determining the Voucher size for a family where children of the opposite sex exist, children of the opposite sex will share a bedroom until one of the children reaches the age of 6. For example, a family consisting of a parent/parents, one female child age 4 and one male child age 2, will be issued a 2 bedroom Voucher until the female reaches age 6. 2. Families will be allowed to rent a larger size unit as long as the tenant portion of rent does not exceed 40% of the household gross monthly income. B.) Revision of Penalties that may be assessed ifa family violates the rules and policies of the program. H:\Users\VICKI\2011 minutes\minutes -otc aug 201 I.doc 2 " .·/ .. Violation: lf any information supplied by the family is not true and complete. 1. Applicant will be denied admission to the program and will be ineligible for the program for a six-month period of time dating back to the date of denial. 2. Participant will be terminated from the program and will be ineligible for the program for a six-month period of time dating back to the date of termination. A motion was made and seconded to approve the proposed changes on the bedroom size policy retroactive to August I, 2011. Regarding the penalties violation, Robert Bigwood made the motion to amend the period from six-month to one year before being able to reapply, to be effective immediately. M/Robert Bigwood S/ Hazel Hovde Pam Minten, Housing Manager of the Fergus Falls and Otter Tail County public housing units reported that June rents owed for the Otter Tail County Family Public Housing units totaled $2,663.00, and $2,521.00 was collected all rents were paid in full. There were no late fees. No ,outstanding fees are owed. There were no vacancies. Ten applicants were on the 2-bedroom public housing waiting list, 10 applicants on the 3-bedroom waiting list and 3 on the 4-bedroom waiting list. The July rents owed totaled $2,864.00 and $2,934.53 was collected. There were no late fees. No outstanding fees are owed. There were no vacancies. Twenty applicants were on the 2-bedroom public housing waiting list, 13 applicants on the 3-bedroom waiting list and 4 on the 4-bedroom waiting list. She has received one notice to vacate and one lease termination for August 31, 2011. The lease termination is working towards complying with the lease requirements and she may be able to rescind the notice of termination. There being no further business, a motion was made to adjourn the meeting. M/Robert Maki SI Janice Palan Janice Palan, Secretary Date H:\Users\VICKI\2011 minutes\minutes ~·ate aug 2011.doc 3 HOUSING AND REDEVELOPMENT AUTHORITY OF OTTER TAIL COUNTY, MINNESOTA PUBLIC HEARING NOTICE ' NOTICE OF PUBLIC HEARING ON THE 2012 ANNUAL PLAN UPDATE OF THE COMPREHENSIVE 5-YEAR AGENCY PLAN NOTICE IS HEREBY GIVEN that a public hearing shall be conducted by the Board of Commissioners of the Otter Tail County Housing and Redevelopment Authority (HRA) in Fergus Falls, Minnesota, on the Fiscal Year 2012 Annual Plan Update of the Five Year Comprehensive Agency Plan developed in compliance with the Quality Housing and Work Responsibility Act of 1998. The Plan is available for review at the Housing Authority's office located at 1151 Friberg Avenue, Fergus Falls, Minnesota. The Authority's hours of operation are 7:30 a.m. to 4:30 p.m. The.hearing will be held by the Board of Commissioners of the HRA at 1151 Friberg Avenue, Fergus Falls, Minnesota, at 10:00 a.m., Thursday, October 20, 2011 .. All parties will have an opportunity to appear and express their views with respect to the proposed Agency Plan. HOUSING AND REDEVELOPMENT AUTHORITY OF OTTER TAIL COUNTY, MINNESOTA Jeffrey Gaffaney Executive Director Publication Date: Friday, August 12, 2011 H:\Users\JEFF\pub hearing notice otc.doc • PHA Certifications of Compliance with PHA Plans and Related Regulations RESOLUTION NO. 096 U.S. Department ofHousiug and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Expires 08/30/2011 PHA, Certifications of Compliance with the PHA Plans and Related Regulations: Board Resolution to Accompany the PHA 5-Year and Annual PHA Plan Acting on behalf of the Board of Commissioners of the Public Housing Agency (PHA) listed below, as its Chairman or other authorized PHA official If there is no Board of Commissioners, I approve the submission of the _ 5-Year and/or X Annual PHA Plan for the PHA fiscal year beginning 0//01/20/ 2. hereinafter referred to as" the Plan". of which this document is a part and make the following certifications and agreements with the Department of Housing and Urban Development (HUD) in connection with the submission of the Plan and implementation thereof l. The Plan is consistent with the applicable comprehensive housing affordability strategy ( or any plan incorporating such strategy) for the jurisdiction in which the PHA is located. 2. The Plan contains a certification by the appropriate State or local officials that the Plan is consistent with the applicable Consolidated Plan, which includes a certification that requires the preparation of an Analysis oflmpediments to Fair Housing Choice, for the PHA's jurisdiction and a description of the manner in which the PHA Plan is. consistent with the applicable Consolidated Plan. 3. The PHA certifies that there has been no change, significant or otherwise, to the Capital Fund Program (and Capital Fund Program/Replacement Housing Factor) Annual Statement(s), since submission ofits last approved Annual Plan. The Capital Fund Program Annual Statement/ Annual Statement/Performance and Evaluation Report must be submitted annually even if there is no change. 4. The PHA has established a Resident Advisory Board or Boards, the membership of which represents the residents assisted by the PHA, consulted with this Board or Boards in developing the Plan, and considered the recommendations of the Board or Boards (24 CFR 903.13). The PHA has included in the Plan submission a copy of the recommendations made by the Resident Advisory Board or Boards and a description of the manner in which the Planaddresses these recommendations. 5. The PHA made the proposed Plan and all information relevant to the public hearing available for public inspection at least 45 days before the hearing, published a notice that a hearing would be held and conducted a hearing to discuss the Plan and invited public comment. 6. The PHA certifies that it will carry out the Plan in conformity with Title VI of the Civil Rights Act of 1964, the Fair Housing Act, section 504 of the Rehabilitation Act of 1973, and title II of the Americans with Disabilities Act of 1990. 7. The PHA will affirmatively further fair housing by examining their programs or proposed programs, identify any impediments to fair housing choice within.those programs, address those impediments in.a reasonable fashion in view of the resources available and work with local jurisdictions to implement any of the jurisdiction's initiatives to affirmatively further fair housing that require the PHA's involvement and maintain records reflecting these analyses and actions. 8. For PHA Plan that includes a policy for site based waiting lists: • The PHA regularly submits required data to HUD's 50058 PIC/IMS Module in an accurate, complete and timely manner (as specified in PIH Notice 2006-24); • The system of site-based waiting lists provides for full disclosure to each applicant in the selection of the development in which to reside, including basic information about available sites; and an estimate of the period of time the applicant would likely have to wait to be admitted to units of different sizes and types at each site; • Adoption of site-based waiting list would not violate any court order or settlement agreement or be inconsistent with a pending complaint brought by HUD; • The PHA shall take reasonable measures to assure that such waiting list is consistent with affirmatively furthering fair housing; • The PHA provides for review ofits site-based waiting list policy to determine ifit is consistent with civil rights laws and certifications, as specified in 24 CFR part 903.7(c)(l). 9. The PHA will comply with the prohibitions against discrimination on the basis ofage pursuantto the Age Discrimination Act of 1975. 10. The PHA will comply with the Architectural Barriers Act ofl968 and 24 CFR Part 41, Policies and Procedures for the Enforcement of Standards and Requirements for Accessibility by the Physically Handicapped. 11. The PHA will comply with the requirements of section 3 of the Housing and Urban Development Act of I 968, Employment Opportunities for Low-or Very-Low Income Persons, and with its implementing regulation at 24 CFR Part 135. 12. The PHA will comply with acquisition and relocation requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 and implementing regulations at 49 CFR Part 24 as applicable. Previous version is obsolete Page I of2 fonn HUD-50077 (4/2008) 13. The PHA will take appropriate affirmative action to award contracts to minority and women's business enterprises under 24 CFR 5.105(a). 14. The PHA will provide the responsible entity or HUD any documentation that the responsible entity or HUD needs to carry out its review under the National Environmenta!Policy Act and other related authorities in accordance with 24 CFR Part 58 or Part 50, respectively. 15. With respect to public housing the PHA will comply with Davis-Bacon or HUD determined wage rate requirements under Section 12 of the United States Housing Act of 1937 and the Contract Work Hours and Safety Standards Act. 16 .. The PHA will keep records in accordance with 24 CFR 85.20 and facilitate an effective audit to determine compliance with program requirements. 17. The PHA will comply with the Lead-Based Paint Poisoning Prevention Act, the Residential Lead~Based Paint Hazard Reduction Act of 1992, and 24 CFR Part 35. 18. The PHA will comply with the policies, guidelines, and requirements ofOMB Circular No. A-87 (Cost Principles for State, Local and Indian Tribal Governments), 2 CFR Part 225, and 24 CFR Part 85 (Administrative Requirements for Grants and Cooperative Agreements to State, Local and Federally Recognized Indian Tribal Governments). 19. The PHA will undertake only activities and programs covered by the Plan in a manner consistent with its Plan and will utilize covered grant funds only for activities that are approvable under the regulations and included in its Plan. 20. All attachments to the Plan have been and will continue to be available at all times and all locations that the PHA Plan is available for public inspection. All required supporting documents have been made available for public inspection along with the Plan and additional requirements at the primary business office of the PHA and at all other times and locations identified by the PHA in its PHA Plan and will continue to be made available at least at the primary business office of the PHA. 21. The.PHA provides assurance as part of this certification that: (i) The Resident Advisory Board had an opportunity to review and comment on the changes to the policies and programs before implementation by the PHA; (ii) The changes were duly approved by the PHA Board of Directors (or similar governing body); and (iii) The revised policies and programs are available for review and inspection, at the principal office of the PHA during normal business hours. 22. The PHA certifies that it is in compliance with all applicable Federal statutory and regulatory requirements. Otter Tail County HRA MN177 PHAName PHA Number/HA Code 5-Year PHAP!an for Fiscal Years 20 -20 X Annua!PHAP!an for Fiscal Years 2012-2012 I hereby certify that aJI the infonnation stated herein, as well as any infonnation provided in the accompaniment herewith, is true and accurate. Warning: HUD will prosecute false claims and statements. Conviction may result in criminal'and/or civil penalties. (18 U.S.C. 1001. 10101 1012j 31 U.S.C. 37291 3802) Name of Authorized Official Scott Rocholl Title Chairperson Signature Date 10/20/2011 Previous version is obsolete Page2of2 form HUD-50077 (4/2008) Civil Rights Certification Civil Rights Certification Annual Certification and Board Resolution U.S. Department of Housing and Urban Development Office of Public and Indian Housing Expires 08/30/2011 Acting on behalf of the Board of Commissioners of the Public Housing Agency (PHA) listed below, as its Chairman or other authorized PHA official if there is no Board of Commissioner, I approve the submission of the Plan for the PHA of which this document is a part and make the following certification and agreement with the Department of Housing and Urban Development (HUD) in connection with the submission of the Plan and implementation thereof: The PHA certifies that it will carry out the public housing program of the agency in conformity with title VI of the Civil Rights Act of 1964, the Fair Housing Act, section 504 of the Rehabilitation Act of 1973, and title II of the Americans with Disabilities Act of 1990, and will affirmatively further fair housing. Otter Tail County HRA MNl77 PHAName PHA Number/HA Code I hereby certify that all the infom,ation stated herein, as well as any infonnation provided in the accompaniment herewith, is true and accurate. Warning: HUD will rosecute false-claims and statements. Conviction ma result in criminal and/or civil enalties. 18 U.S C. 1001 1010 1012· 31 U.S.C. 3729 3802 Name,of Authorized Official Scott E. Rocholl Title Signature Date Chairperson 10/20/11 form HUD-50077-CR (1/2009) 0MB Approval No. 2?77-0226 Annual Statement/Perfonnance and Evaluation Report Capital Fund Program, Capital Fund Program Replacement Housing Factor and Capital Fund Financing Program Part I: Summarv PHA Name: Otter Tail County HRA Grant Type and Number Capital Fund Program Grant No: MN46P!7750112 Replacement_HousingFactor Grant No: Date ofCFFP: Type of Grant [8l Original Annual Statement D Reserve for Disasters/Emergencies D Performance and Evaluation Reoort for Period Endine:: U,S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Exoires 8/31/2011 FFY of Grant: 2012 FFY of Grant Approval: D Revised Annual Statement (revision no: □· Final Performance and Evalllation Report ) Line Summa'"" bv Develonment Account Total Estimated Cost Total Actual Cost 1 l 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Original Total non-CFP Funds 9,000 1406 Operations (may not exceed 20%ofline21) 3 1408 Management Improvements 1410 Administration (may not exceed 10% ofline 21) 1411 Audit 1415 Liquidated Damages 1430 Fees and Costs 1440 Site Acquisition 14_50 Site Improvement 14(50 Dwe11ing Structures 10,000 1465.1 Dwe1ling Equipm:nt-Nonexpendable 1470 Non-dwelling Structures 1475 Non-dwellingEquipnrnt 1485 Demolition 1492 Moving to Wolk Demonstration 1495.1 Relocation Costs 1499 Development Activities' 1 To be completed for the Perfonnance and Evaluation Report 2 To be completed for the Performance and Evaluation Report or a Revised Annual Statement. > PH.As with under 250 units in management may use 100% of CFP Grants for operations. 4 RJil-funds shall be included here. Pagel Revised2 Oblieated EXPended formHUD-50075.1 (4/2008) Annual Statement/Perfonnance and Evaluation Report Capital Fund Program, Capital Fund Program Replacement Housing Factor and Capital Fund Financing Program Partl: Summarv PHAName: Grant Type and Number Otter Tail County HRA Capital Fund Program Grant No: MN46Pl7750112 Replacement Housing Factor Grant No: Date ofCFFP: TypeofGr_ant ['.g]' Original Annual Statement 0 Reserve for Disasters/Emergencies D Performance and Evaluation Report for Period Ending: Line Summarv hv Develooment Account 18a 1501 Co1lateralization or Debt Service paid by the PHA 18ba 9000 Collaterali.zation or Debt Service paid Via System of Direct Payment 19 1502 Contingency (may not exceed 8% ofline 20) Original 20 Amount of Annual Grant:: (sum oflines 2 -t 9) 19,000 21 Amountofline 20 Related to LBP Activities 22 Amount of line 20 Related to Section 504 Activities 23 Arn_Olint of line 20 Related to Security -Soft' Costs 24 Amount of line 20 Related to Security-Hard Costs 25 Amount ofline 20 Related to Energy Conservation Measures Signature of Executive Director Datel0/20/2011 1 To be completed for the Perfonnance and Evaluation Report. Total Estimated Cost U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Exnires 08/31/2011 FFY of Grant: 2012 FFY of Grant Approval: D Revised Annual Statement (revision no: ) D Final Pcrforma!]ce and Evaluation Report Total Actual Cost 1 Revised 1 Obligated Expended I Signature of Public Housing Director Date 2 To be completed for thePerfonnance and Evaluation Report or a Revised Annual Statement. 3 PH,\s with under 250 units in management may use 100% of CFP Grants for operations. 4 RHF funds shall be in_cluded here. Page2 form HUD-50075.1 ( 4/2008) Annual Statement/Performance.and Evaluation Report Capital Fund Program, Capital Fund Program Replacement Housing Factor and Capital Fund Financing Program Part II: Sunnortine: Pa2es PHAName: Otter Tail County HRA Grant Type and Number U.S. Department ofHousing and Urban Development Office of Public and.Indian Housing 0MB No. 2577-0226 Expires 08/31/2011 Federal FFY of Grant: 2012 Capital Fund Program Grant No: MN46PI 7750112 CFFP (Yes/No): Replacement Housing Factor Grant No: Development Number General Description of Major Work Development Quantity Name/PHA-Wide Activities MN177001 MN177001 Page3 Categories Account No. Onerations 1406 HAW Renlace Windows 1460 HAW 1 To be completed for the Performance and Evaluation Report or a Reyised Annual Statement 2 To be completed for.the Performance and Evaluation Report. Total Estimated Cost Total Actual Cost Status of Work Original Revised 1 Funds Funds Obligated' Exnended2 9,000 10,000 formHUD-50075.1 (4/2008) Annual Statement/Perfonnance and Evaluation Report Capital Fund Program, Capital.Fund Program Replacement Housing Factor and Capital Fund Financing Program Part ill: lmnlementation Schedule for Capital Fund Financinv ProPram PHAName: Otter Tail County BRA Development Number All Fund Obligated Name/PHA-Wide (Quarter Ending Date) Activities All Funds Expended (Quarter Ending Date) Original Actual Obligation Original Expenditure Actual Expenditure End Obligation End End Date End Date Date Date MN\77001 2012 2014 U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577-0226 Expires 08/31/2011 Federal FFY of Grant: 2012 Reasons for Revised Target Dates ' 1 Obligation and expenditure end dated can only be revised with HUD approval pursuant to Section 9j of the U.S. Housing Act of 1937, as amended. Page4 form HUD-50075.1 (4/2008) Capital Fund Program-Five-Year Action Plan Part I: Summary PHA Name/Number Locality (City/County & State) Otter Tail Countv HRA Development Number and Work Statement for Year I Work Statement for Year 2 Work Statement for A. Name FFY 2012 FFY 2013 Year3FFY 2014 MNI77001 B. Physical Improvements Annual Statement 14,000 14,000 Subtotal c. Mana.e;ement Improvements D. PHA-Wide Non-<lwelling Structures and Equipment E. Administration F. Other G. Operations 5,000 5,000 H. Demolition I. Develooment J. Capital Fund Financing- Debt Setvice K. Total CFP Funds L. Total Non-CFP Funds M. Grand Total 19,000 19,000 19,000 Page 1 of6 U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB No. 2577.fil26 Expires 08/30/2011 X Origina!S-YearPlan Revision No: Work Statement for Year 4 Work Statement for Year 5 FFY 2015 FFY 2016 14,000 14,000 5,000 5,000 19,000 19,000 form HUD-50075.2 (4/2008) Capital Fund Program-Five-Year Action Plan Part II: Su, nortin11: Pa11:es -Physical Needs Work Statement(s) Work Wark Statement for Year 2013 Statement for FFY 2013 Year IFFY Development Number/Name Quantity Estimated Cost 2012 General Description of Major Work • Categories See MN177001 Annual Flooring I Bldg ,000 Statement Smoke Detectors HAW 4,000 Windows HAW 5,000 Doors IHAW ,,000 Subtotal of Estimated Cost $19,000 U.S. Department of Housing and Urban D~velopment Office of Public and Indian Housing 0MB No. 2577-0226 Exaires 4/30/20011 Work Statement for Year 2014 FFY onu Development Number/Name Quantity Estimated Cost General Description of Major Work Categories MN177001 Plumbing HAW ,000 Roofs 1 Bldg .. 5,000 Electrical fIAW 5,000 ,arage Door Openers HAW 4,000 Subtotal of Estimated Cost $19,000 Capital Fund Progra11_1-Five-Y ear Action Plan Part U: Su, norting Pae:es-Phvsical Needs Work Statement(s Work Work Statement for Year 2015 Statement for FFY 2015 Year l FFY . Development Number/Name Quantity Estimated Cost 2012 General Description of Major Work Categories See MN177001 Annual Flooring l Bldg ,000 Statement Window Treatments !AW 5,000 Jriveway Replacement HW ,000 HVAC !AW 5,000 - Subtotal of Estimated Cost $19,000 Page3 of6 U.S. Department of Housing and Urban Development Office of Public and Indian Housing Work Statement for Year: 2016 FFY 2016 Development Number/Name ., General Description of Major Work Categories \1Nl77001 -abinetry ;;.ntry Door Lock Systein A.ppliances !loots Quantity HAW HAW J.lAW I Bldg. 0MB No. 2577--0226 Exoires 4/30/20011 Estimated Cost t,000 5,000 5,000 l5,ooo Subtotal of Estimated Cost $19,000 form HUD-50075.2 ( 4/2008) . ' t• I 201'£.OTTER TAIL COUNTY SECTION 8 ADMINISTRATIVE PLAN -PROPOSED POLICY CHANGES 1.8 REQUIRED POSTINGS (additions to current language) C.5. The Agency's SEMAP score and designation. D. Address of all Housing Authority offices, office hours, telephone numbers, TDD numbers, and hours of operation. 2.3 OBLIGATIONS OF THE PARTICIPANT K. Crime by Family Members -change entire paragraph to the following: The members of the household may not engage in drug-related criminal activity, other violent criminal activity Q! other criminal activity that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises. The use of medical marijuana is included in this ban. 3.2. ELIGIBILITY CRITERIA 15.0 D. Social Security Documentation F. Delete "within ninety (90) days" from second sentence of 1st paragraph Add after the second sentence "If the new family member is under the age of six and has not been assigned a Social Security Number, the family shall have ninety (90) days after starting to receive the assistance to provide a complete and accurate Social Security Number. Add to third sentence after the word "extension" -"for newly-added family members under the age of six." Add new two-sentence paragraph to the end of this Section: "New admissions of medical marijuana user are prohibited (this does not include~-approved marijuana synthetics). HUD has ruled that federal law preempt ate , won this issue." DENIAL/TERMINATION OF ASSISTANCE TO THE FAMILY Add to #20. in the chart of Violations and Penalties, the following: 0 If a family member has a pattern of illegal drug use that interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents. If a family member is found to be using medical marijuana. 27.0 COST SAVING POSSIBILITIES Unfertu1mtely, in Feeent yeaFs the management 0f the H011sing Ch0iee V01c1eheF Prngnim has eee0me m0Fe diffie1c1lt feF the OtteF Tail C01c1nty HRA and all etheF h01c1sing amherities managing the prngrnm. As Congress and HUD change the way they fund the Housing Choice Voucher program, more and more challenges face public housing authorities. TheFe aFe no simple se!Htiens te the ehallenges the XYZ H01c1sing frl¼theFity faoes and the aetiens we mHst take will YaFY depending en eiFoHmstanees that aFe eften eeyend eHF eentrnl. Therefore, the Otter Tail County HRA hereby establishes in its Administrative Plan the following options that will be considered by the Board of Commissioners depending on the particular circumstances of the time. Before taking one or more of these options. the Housing Authority will consult with the HUD Field Office for support and potential guidance. They are not listed in any particular order. If the Otter Tail County HRA requests more than one cost-savings waiver from HUD. the Housing Authority will demonstrate how both/all waivers are necessary to avoid a shortfall that would result in the termination of families from the Housing Authority Section 8 Housing Choice Voucher program. None of these options will be implemented without Board of Commissioner approval and the opportunity for affected participants to address the Board of Commissioners. Any actions taken under this section of the Administrative Plan will sunset if and when the \ procuring reason for the action is no longer in effect. Rescissions will also require Board of Commissioner approval. Any cost-savings measures that constitute a significant amendment or modification as defined in the Housing Authority's Annual/Five-Year Agency Plan (and as referenced in 24 CFR § 903.7(r)(2)) are subject to the requirements of a public hearing and comment period. However, not all cost-savings measures constitute a significant amendment; that determination must be made by the Housing Authority. There shall be one basic principle that will guide the Otter Tail County HRA in implementing any or all of these options -what must the Housing Authority do to assist the maximum number of eligible people in a quality Housing Choice Voucher Program while maintaining the fiscal integrity of the program. The Otter Tail County HRA shall endeavor to protect elderly and disabled families from significant impact ( defined as Joss of one's Housing Choice Voucher) but recognizes that what is feasible is dependant on the amount of funding provided to the program. 1 .. ' I f I The options are as follows: A. The Housing Choice Voucher Payment Standards may be reviewed in light of the funding situation. If payment standards are reduced, the lower payment standard shall go into effect immediately for new admissions, participants moving from one unit to another, and people staying in place who require a new HAP contract because they are! signing a new lease. In extraordinary circumstances, the Housing Authority may be forced to ask HUD for a waiver so that even those participants staying in place without a new lease shall have their payment standard decreas~d immediately instead of the normal second regular reexamination afa~r the lowering of the payment standard. B. Since Housing Authorities do not have to wait until the HAP contract anniversary date to review owper rents and reduce them if warranted, the Housing Authority will ensure that owner rents do not exceed amounts charged for unassisted units in the same building ior complex. The initial rent and all rent increases must comply with any State or \ocal rent control limits. Further, any owner leasing promotions for unassisted tenants ( e.g., the initial two months of occupancy are "rent free") must be taken into1 consideration in determining rent reasonableness. In accordance wit~ the HAP contract, the Housing Authority will provide written notice to owners pefore reducing unreasonable rents. Rents may be reduced as early as the first of the following month. If the rent to owner is not reasonable as most recently detbrmined by the Housing Authority, the owner must reduce the rent to the reason~ble amount or the HAP contract must be terminated. In such cases, the family wj' ill be issued an HCV to find a new uni(. (Movers, like new participants, are subject to the Housing Authority's current payment and occupancy standards.) ' Even if an owner's rent is reasonable. Otter Tail County HRA may request owners to voluntarily agree to a temporary rent reduction or defer rent increases to help avoid the termination of HAP contracts due to shortfalls in HCV funding. It is the owner's! option to agree to such measures. However, the Housing Authority will not "freeze" rents due to insufficient funding when an owner requests an increase. if the agency determines the increased rent to be reasonable. and the owner docis not agree to defer a rent increase. ! C. Housing Choice Voucher Payment Standards must be established according to HUD regulation so that no more than 40% of the participants are paying more than 30% of their monthly adjusted income for rent. If circumstances dictate it, the Housing Authority may be forced to ask for a waiver of this prohibition in order to sufficiently lower its payment standard. D. The utility allowance schedule may be reviewed to determine if the utility allowances are too high. If they are too high that means that the participants are 2 being subsidized in an excess manner. The new utility allowance schedule may be placed into effect after a thirty day notice or at a participant's next reexamination depending on the financial circumstances the Housing Authority finds itself in. As stated in Section 11.6, utility allowances are supposed to be adjusted annually or sooner if there is a utility rate increase of I 0% or more. If circumstances warrant, the Housing Authority reserves the right to seek a HUD waiver of this regulatory requirement. E. An initial PHA may request that a receiving PHA absorb portable families for which the initial PHA is being billed. This may include the receiving PHA retroactively absorbing families for which the initial PHA was already billed and made payments. In these cases, the receiving PHA reimburses the initial PHA for payments made back to the effective date of the absorption, but only for the current calendar year. Both the receiving PHA and initial PHAs must agree to this arrangement. This provision provides an exception to section IO of Notice PIH 2011-3 2008 13 on HCV Portability and Corrective Actions. (Section JO provides that the receiving PHA may not retroactively absorb families for which the receiving PHA was previously billing for any time period that commences before 10 working days from the time the receiving PHA notifies the initial PHA of the absorption.) The Housing Authority will attempt to get receiving PHAs to absorb whenever possible. If the Otter Tail County HRA is the receiving PHA, it will not "absorb" a family into its HCV program until it executes a HAP contract on behalf of the family that moves to a new unit. The Housing Authority will not engage in sham or fake portability paperwork exercises in an attempt to address their utilization or leasing problems. If the family is not placed under a HAP contract for a new unit in the receiving PHA's jurisdiction, the receiving PHA cannot absorb the family. F. If financial circumstances dictate, the Housing Authority may deny portability moves to a higher cost area for its Housing Choice Voucher participants and/or shoppers if the Housing Authority has insufficient funds to pay the higher subsidy amounts and the receiving housing authority declines to absorb the family. While the Board of Commissioners must establish this policy after an examination of the fiscal affairs of the organization, individual denials of portability shall only occur after the Housing Authority has determined that the receiving housing authority will not absorb the family. The denial of absorption shall be documented in that person's file. This can only occur if the portability action would cause the Housing Authority to be unable to avoid terminating the vouchers of current voucher participants during the affected calendar year. If a family is denied its portability request, no subsequent families will be admitted to the program until the Housing Authority has determined that sufficient funding exists to approve the inove and has notified the family that the family may now exercise its move to the higher cost area. 3 . ' . The Housing Authority will notify the HUD Field Office in writing before taking this action that it is denying a portability move. The notification will include: 1. A financial analysis that demonstrates insufficient funds are projected to meet the current calendar year projection of expenses. The projection must not include vouchers that have been issued but are not yet under contract. In projecting whether there is sufficient funding available for the remainder of the CY, the Housing Authority may use reasonable estimates to factor in conditions such as pending rent increases and attrition rates for families leaving the program. If this insufficient funding condition .exists, the Housing Authority does not need a regulatory waiver from HUD to deny a request to move. 2. A statement certifying the Housing Authority has ceased issuing vouchers and will not admit families from their waiting list while the limitation on moves to a higher cost unit is in place. 3. A copy of this Section 8 Administrative Plan stating how the Housing Authority will address families who have been denied moves. If a family is denied a portability request due to lack of funding, it shall be so notified in writing when the denial is made. If funding is not available and the transfer/port is denied, the family's name will be placed on a waiting list and selected by date and time of initial request, when funds become available. G. If financial circumstances dictate, the Housing Authority may deny the right of a participant to move within the jurisdiction of the Housing Authority to a portion of the jurisdiction that has a higher payment standard than the portion of the jurisdiction the participant currently lives in if the Housing Authority has insufficient funds to pay the higher subsidy amounts. The same HUD notification requirements as in the preceding paragraph apply. Also, if a family is denied a move within the jurisdiction due to lack of funding, it shall be so notified in writing when the denial is made. If funding is not available and the transfer/port is denied, the family's name will be placed on a waiting list and selected by date and time of initial request, when funds become available. H. Housing Choice Vouchers issued to families on the waiting list that have not resulted in HAP contracts may be cancelled. I. The Housing Authority may be forced to not reissue vouchers surrendered by current participants immediately upon their return to the Housing Authority. 4 J. K. Instead, the vouchers may be held in the Authority's inventory in order to avoid dire financial consequences. The amount of time they will be held shall be determined based upon the financial situation of the Housing Authority. The subsidy standards set forth in Section 6.0 may be reexamined. The size efthe Wlit the Heusiag Chaise Voueher is issued for may aeed to be red\leed. For eimmple, the e\lrreat age diffurell.tial of mm years aow would apply oaly v4ea the older ehild is mm years or older or yell may use the zero bedroom paymell.t standard for he\lsehelds with oaly oae persoa. The Otter Tail County HRA may revise subsidy standards that exceed minimum HUD requirements to reduce bedroom size eligibility in accordance with 24 CFR § 982.402. Subsidy standards must be consistent with the HOS space requirements in 24 CFR § 982.401(d) which includes a dwelling unit must have at least one bedroom or living sleeping area for each two persons. Children of the opposite sex, other than the very young, may not be required to occupy the same bedroom or living/sleeping room. If a family leases a unit larger than the unit size on the voucher, the Housing Authority will ensure that the payment standard used to calculate the tenant share is based on the lower of the voucher unit size for which the family is eligible or the actual unit size leased. If the family size is reduced after admission, the Housing Authority will ensure that the correct payment standard is used in calculating the family rent portion. An "empty nester" single individual ( or any household with similarly reduced member size) living in a 3-bedroom unit should have a 0-or I-bedroom payment standard, not a 3-bedroom payment standard. If the unit size for which the family is eligible changes during the term of the HAP contract, the new unit size is applicable at the first regular reexamination following the change in accordance with 24 CFR § 982.505(c)(5). In accordance with 24 CFR § 982.517(d)(I) and Section 11.6 Utility Allowance of this Plan, the Housing Authority must use the appropriate utility allowance for the size of dwelling unit actually leased by the family rather than the family unit size as determined under Section 6.0 Subsidy Standards. In extraordinary circumstances, the Housing Authority may be forced to ask HUD for a waiver of this regulation to apply the utility allowances for the bedroom size for which the family was eligible under the Housing Authority's subsidy standards, rather than for the unit size the family is leasing if it is larger. L. A program-wide study may be conducted to ensure that families are utilizing the proper size Housing Choice Voucher for their current family size. M. If the minimum rent is increased under Section 11.5 (B),. it can be made the first of the month following the month families are notified of the increase (provided there has been at least a 3 0-day notice) instead of at the next reexamination. N. The requirement of when families have to report changes of their income as set forth in Section 14.2 may be modified due to the financial pressure facing the 5 . ' . Housing Authority. Also, the new rent payment may become effective at the start of the next month provided there has been a thirty day notice. 0. OvmeFs partieipating in the He11sing Cheiee Ve11eher PFegrom may be asked te vel11ntarily red11ee the Fents they aFe ehaFging partieipants in eFdeF te assist in the finaneial selveney ef the pFegrom. This m11st be a truly velllntary pFegrom. 0. If the Housing Authority is forced to stop issuing all of its Housing Choice Vouchers due to a funding shortfall and has any special purpose vouchers for non- elderly disabled persons {NED), Family Unification Program (FUP), or HUD- Veterans Affairs Supportive Housing (VASH) then when it resumes issuing Housing Choice Vouchers it will re-issue the NED; FUP and/or V ASH Vouchers in the same proportion as they exist in relation to the overall program. P. The absolutely last step the Housing Authority will take to resolve its Housing Choice Voucher financial problems will be to terminate the vouchers of families already receiving assistance. The HUD Field Office and the FMC financial analyst will be notified prior to notices of termination being issued. If this becomes necessary, the following sequence shall be used to determine which individual Housing Choice Vouchers are terminated first. 1. If the Housing Authority has a special need voucher (i.e., NED, FUP, V ASH, etc.) allocation of Housing Choice Vouchers, they shall be the last to be terminated. 1. If it becomes necessary for the Housing Authority to terminate Housing Choice Vouchers, the families terminated shall be reinstated onto the program as soon as fiscally and practically feasible. However, if the Housing Authority has a special heeds (ie., NED, FUP, VASH, etc.) allocation of Housing Choice Vouchers that were terminated, they shall be the first to be reinstated until the full NED allocation is leased. [PLEASE VERIFY THAT ALL THE SECTION CITATIONS MADE ABOVE ARE APPROPRIATE FORYOUR ADMINISTRATIVE PLAN] Notwithstanding the Housing Authority's adoption of policies noted above to deny portability or moves within its jurisdiction or revision of payment or subsidy standards, reasonable accommodation requests for a person's disability must still be evaluated in accordance with HUD's Section 504 implementing regulations at 24 CFR part 8. Such requests will be granted when an accommodation may be necessary to afford persons with disabilities an equal opportunity to use and enjoy a dwelling, urtless it would impose an undue financial and administrative burden on the Housing Authority or fundamentally alter the nature of the Housing Authority's operations. If the XYZ He11sing Atitherity Feg11ests meFe than ene eest savings waiveF &em HUD, the XVZ He11sing AlltheFity will demenstrate hev.' beth,lall waivers are neeessary te aveid a shertfall that 6 • 7 ' • Otter Tail County Public Housing ACOP (Admissions and Continued Occupancy Policy) and LEASE Proposed changes -October 2011 : POLICY CHANGES: (delete and add to the Policy) 8.2 Eligibility Criteria D. Social Security Number Documentation Prior to admission, every family member regardless of age must provide the Otter Tail County Housing Authority with a complete and accurate Social Security Number unless they do not contend eligi ble immigration status. New family members must provide this verification ~ nin@ty (901 tfays prior to being added to the lease. If the new family member is under the age of six and has not been assigned a social Security Number, the family shall have ninety (90) calendar days after starting to receive the assistance to .12rovide a complete and accurate Social Security Number. The Housing Authority may grant one ninety (90) day extension for newly added family members under the age of six if in its sole discretion it determines that the person's failure to comply was due to circumstances that could not have reasonably been foreseen and was outside the control of the person. 8.4 Grounds for Denial I. If a family fails to provide true and accurate information on any application the family/application will be denied admission and the family will be ineligible to be admitted to the waiting list for a twelve ( 12) month period of time dating back to the date of denial. Change all the following letters I-V to J-W 12.4 Verification of Social Security Numbers Prior to admission, every family member regardless of age must provide the Otter Tail County Housing Authority with a complete and accurate Social Security Number unless they do not contend eligible immigration status. New family members must provide this verification Wttftm l'ttfletry· E90~ €iays prior to being added to the lease. If the new family member is under the age of six and has not been assigned a social Security Number, the family shall have ninety (90) calendar days after starting to receive the assistance to rovide a com lete and accurate Social Security Number. The Housing Authority may grant one ninety (90) day extension for newly added family members under the age of six if in its sole discreti on it determines that the person's I • failure to comply was due to circumstances that could not have reasonably been foreseen and was outside the control of the person. 20.2 Termination By the Housing Authority The Otter Tail County Housing Authority will terminate the lease for senous or repeated violations of material lease terms. Such violations include but are not limited to the following: B. A history of late rental/utility payments; U. ¢to display, use, or possess or allow members of Tenant's household or guests to display, use o r possess any illegal firearms, (operable or inoperable) or other illegal weapons as defined by the laws and courts of the State of Minnesota anywhere on the property of the Otter Tail County HRA. X. Offensive/dangerous 'weapons or illegal drugs seized in the Oner Tail County Housing Authority's unit by a law enforcement officer. Y. ~ to recklessly handle or use a gun or other dangerous weapon or explosive so as to endanger the safety of another. Not to intentionally point a gun of any kind, capable of injuring or killing a human being and whether loaded or unloaded, at or toward another. Not to manufacture or sell for any unl awful purpose any weapon known as a slingshot or sand club. Not to manufacture, transfer, or possess metal knuckles or a switch blade knife opening automatically. Not to possess any other dangerous article or substance for the purpose of being U§ed;mlawfully as a weapon against another. :£..:f--~{ ( h<--<L 1.,,.e:.5µ..,14/.eJ!::+P-✓ l-t1 1"{ h -""~"'P'"\ £-t c.,} ~~ ""'l~c! r~....,.t-f~c;e;L.-7 • ~e.--;-z..::-11 v-,~ •i~---; Z. Determination that a household member is illegally using a drug or when the Otter Tail County Housing Authority dete1mines that a pattern of illegal use of a drug interferes with the health, safety, or right to peaceful enjoyment of the premises by other residents. The use of medical marijuana is included in this ban; Change Y and Z to AA and AB GLOSSARY Dangerous weapon -"Dangerous weapon" means any firearm, whether loaded or unloaded, or any device designed as a weapon and capable of producing death or great bodily harm, any combustible or flammable liquid or other device or instrumentality that, in the manner it is used or intended to be used, is calculated or likely to produce death or great bodily harm, or any fire that is used to produce death or great bodily harm. Offensive weapon -Anything that can be used to cause bodily injury. LEASE CHANGES: (delete and add to the lease) 16. LRASE TERMINATlON BV LANDLORD: 1. Nonpayment of rent or other charges due under the Lease (i.e. utilities), or repeated chronic late payment of rent/Utilities; 27. Offensive/dangerous weapons or illegal drugs seized in the Otter Tail County Housing Authority's public housing unit by a law enforcement officer. 28. Not to recklessly handle or use a gun or other dangerous weapon or explosive so as to endanger the safety of another. Not to intentionally point a gun of any kind, capable of jnjuring or killing a human being and whether loaded or unloaded, at or toward another. Not to manufacture or sell for any unlawful purpose any weapon known as a slungshot or sand club. Not to manufacture, transfer, or possess metal knuckles or a switch blade knife opening automatically. Not to possess any other dangerous article or substance for the purpose of being used unlawfully as a weapon against another. ~9. Determination that a household member is illegally using a drug or when the Otter Tail County Housing Authority determines that a pattern of illegal use of a drug interferes with the health, safety, or right to peaceful enjoyment of the Q_remises by other residents. The use of medical marijuana is included in this ban.; Change 28, 29 and 30 to 30, 31 and 32 Definitions: Dangerou capon -"Dangerous weapon" means any firearm, whether loaded or unloaded, or any device de gned as a weapon and capable of producing death or great bodily hann, any combustible or amma e liquid or other device or instrumentality that, in the manner it is used or intended to be used, is cal lated or likely to produce death or great bodily ham1, or any fire that is used to produce death or gr t bodily harm. ffensive weapon -Anything that can be used to cause bodily injury. Proposed ACOP and Lease changes effective January 1, 20 I 2 for current tenants, effective immediately for new tenants/applicants. 2012 Proposed Flat Rents (effective January 1, 2012 for new-tenants and at Recertification for all present tenants) OTTER TAIL COUNTY FAMILY PUBLIC HOUSING Underwood 3 bedroom units Underwood 4 bedroom unit Pelican Rapids 3 bedroom units New York Mills 3 bedroom duplex units New York Mills 3 bedroom rambler New York Mills 4 bedroom unit Henning 3 bedroom duplex units Henning 3 bedroom rambler Henning 4 bedroom unit Present Flat Rent $425.00 $425.00 $475.00 $475.00 $475.00 $500.00 $475.00 $475.00 $500.00 -Page 1- Proposed Flat Rent no change no change no change no change no change no change no change no change no change 2012 Flat Rents and Utility Allowance OTTER TAIL COUNTY FAMILY PUBLIC HOUSING Flat Rent+ Utility Allowance= Ceiling Rent -payment standard= difference Underwood 3 bedroom units $425.00 + $381.00 = $806.00 -$738.00 = $68.00 Underwood 4 bedroom unit $425.00 + $472.00 = $897.00 -$797.00 = $100.00 Pelican Rapids 3 bedroom units $475.00 + $216.00 = $691.00 -$738.00 = ($47.00) New York Mills 3 bedroom duplex units $475.00 + $216.00 = $691.00 -$738.00 = ($47.00) New York Mills 3 bedroom rambler $475.00 + $224.00 = $699.00 -$738.00 = ($39.00) New York Mills 4 bedroom unit $500.00 + $261.00 = $761.00 -$797.00 = ($75.00) Henning 3 bedroom duplex units $475.00 + $216.00 = $691.00 -$738.00 = ($47.00) Henning 3 bedroom rambler $475.00 + $224.00 = $699.00 -$738.00 = ($39.00) Henning 4 bedroom unit $500.00 + $261.00 = $761.00 -$797.00 = ($75.00) Otter Tail County Payment Standards: 3 Bedroom $738.00 4 Bedroom $797.00 -Page 2- OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF August, 2011 Bank of the West -Office Rent $ 450.00 City of Fergus Falls -Health Insurance $ 1,850.00 Security Benefit·-Retirement $ 950.00 Otter Tail Telcom $ 225.00 U.S. Postmaster $ 200.00 MN Benefit Association $ 400.00 Dennis Christenson -Mileage $ 547.79 Jeffrey Gaffaney-Mileage $ 39.80 Mary Jo Schwarz -Mileage $, 133.76 Scott Rocholl -Per Diem $ 73.32 Janice Palan -Per Diem $ 109.95 Hazel Hovde -Per Diem $ 87.50 Robert Maki -Per Diem $ 121.05 Robert Bigwood -Per Diem $ 60.00 City of Pelican Rapids $ 237.25 City of New York Mills $ 347.27 City of Underwood $ 401.99 . Otter Tail Power Company $ 44.72 American Family Insurance Co. • $ 651.58 Denzel's Regional Waste, Inc. $ 68.03 Great Plains Gas Co. $ 59.04 Diana Kugler $ 400.00 Tina Stevens $ 200.00 Housing Data Systems $ 163.35 Culligan Water Co. $ 57.98 Steve's Sanitation $ 130.06 City of Henning $ 750.73 New Horizon Ag Service $ 53.04 Ally-Vehicle Lease $ 150.00 RTW -Workers Comp $ 250.00 Brian's Lawn Care $ 227.77 Salaries $ 10,038.30 H:\Users\JEFF\OTC HRA EXPENSES-aug l OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF September 2011 2 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary Jo Schwarz -Mileage $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ Otter Tail Power Company $ American Family Insurance Co. $ Denzel's Regional Waste, Inc. $ Home Depot $ Toutgas Sanitation $ Culligan Water Co. $ City of Henning $ Daily Journal $ Mark Gaworski -Accounting Fees $ New Horizon Ag Sevice $ All-Vehicle Lease $ Sherwin Williams $ Ugstad Plumbing Co. $ Raina Heruth -Security Deposit $ Brians Lawn Care $ Waste Management Co. $ Salaries $ H:\Users\JEFFIOTC HRA EXPENSES-Sept \ 450.00 1,850.00 950.00 225.00 · 200.00 400.00 563.35 36.50 165.95 153.11 369.44 315.80 160.63 651.58 154.20 50.71 68.00 33.13 440.12 106.20 1,050.00 71.34 150.00 74.41 270.10 283.87 239.92 73.49 9,764.49 Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority HRAOffice 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fax 218-736-4706 ffhra@prtel.com • www.fergusfallsfira.com Riverview Heights Highrlse 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 PROPOSAL FOR RE-ROOFING PELICAN RAPIDS DUPLEX L 2. Brian Jorgenson Construction Co. Fergus Falls, MN 56357 Kelly Funk Construction Inc. Pelican Rapids, MN 56572 --"Jl'U IC I tt "Pl<OPOS"'FIO f7 lTd Providing Housing Opportunities ., SCI$ X.lilpulj C CIS\ Ii --, UC $8,485.00 / $8,612.50 HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 0 Fergus Falls/Otter Tail County HRA ~"" _,,_, Housing & Redevelopment Authority Fax 218-736-4706 ffhra@prtel.com ~.fergusfallshra.com Riverview Heights Hlghrise 205 North Sheridan Ave Fergus Falls MN 56537 218-739-9498 OPPOATUNIH , 1. 2. OTTER TAIL COUNTY HRA BID PROPSALS 10/20/11 Multi-Peril Insurance American Family Insurance Ed Larrivy, Battle Lake, MN Fiscal Audit Carlson/Highland & Co. LLP Fergus Falls, MN $8,077.00 • ($282.00 increase from 2011) $6,650.00 ($400.00 increase from 2011) H·IJ·lserdWFF'OTCHR AYBJD·PROPSALS~WViding Housing Opportunities ============== _. PHA Board Resolution Approving Operating Budget U.S. Department of Housing and Urban Development Office of Public and Indian Housing - Real Estate Assessment Center (PIH-REAC) 0MB No. 2577-0026 (exp.12/31/2012) 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 co!lectioii of information. This agency may not collect this information, and·you are not required to 9omplete this fomi, unless it displays a currently valid 0MB control number. This informaUon is required ,by Section 6(c){4) of the U.S. Housing Act of 1937. The lnformaUon is the operaUng 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 informati9n 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: Otter Tail County HRA _________ _ PHA Code: "'MN"""-'lw.7.,_7 _____ _ PHA Fiscal Year Beginning: ~0~l/~0~l~/2=0~1=2 _______ _ Board Resolution Number: -"0._97,.._ ______ _ 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: 10/20/2011 D Operating Budget submitted to HUD, if applicable, on: D Operating Budget revision approved by Board resolution on: D Operating Budget revision submitted to HUD, if applicable, on: I certify on behalf of the above-named PHA that: I. 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 968.1 !0(c) and (f); and 6. The PHA will comply with the requirements for access to records and audits under 24 CFR 968.1 l0(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: Scott E. Rocholl 10/20/2011 Previous editions are obsolete form HUD-52574 (08/2005) • Public Housing Operating Budget: PHANAME OTTER TAIL HRA ADDRESS 1151 Friberg Ave. Fergus Falls, MN 56537 Fiscal Year End 12/31/2012 # Of ACC Units 13 # Of Unit Months 156 ACC# C-4121 HUD MN# MN177000001 DUNNS# 138122739 I-Jr--~~~, t Operating Income: 3110 Dwelling Rental $ 35,825.00 $ 30,468.00 3120 Excess Utilities 3190 Non Dwelling Rental 3610 Investment Income $ 15.00 $ 25.00 3690 Other Income, Tenant Charges Etc. $ 100.00 $ 150.00 Total Operating Income $ 35,940.00 $ 30,643.00 Operating Expenditures: Administrative 4110 Salaries $ 14,832.00 $ 14,400.00 4120 Compensated Absences $ 1,800.00 $ 3,800.00 4130 Legal Expenses $ 250.00 $ 250.00 4140 Staff Training $ 250.00 $ 500.00 4150 Travel Expense $ 800.00 $ 700.00 4170 Accounting Fees $ 2,000.00 $ 1,900.00 4171 Audit Expense $ 2,200.00 $ 2,100.00 4190 Other Administrative Costs $ 3,750.00 $ 3,800.00 Total Administrative $ 25,882.00 $ 27,450.00 Maintenance 4410 Labor (Salaries) $ 4,223.00 $ 4,100.00 4420 Maintenance Materials $ 2,000.00 $ 2,000.00 4430 Maintenance Contracts: $ 12,000.00 $ 11,500.00 4431 Garba_ge Service $ 500.00 $ 800.00 Total Maintenance $ 18,723.00 $ 18,400.00 Utilities 4310 Water $ 100.00 $ 125.00 4320 Electricity $ 50.00 $ 150.00 4330 Gas $ 50.00 $ 150.00 4340 Fuel Oil 4390 Sewer $ 50.00 $ 125.00 4391 Assessments Total Utilities $ 250.00 $ 550.00 Protective Services 4460 Securitv Labor 4480 Contracted Services 4470 Materials Total Protective Services $ -$ - Tenant Services 4210 ResidentServices Salaries 4220 Materials, Recreation, Publications $ 250.00 $ 350.00 H:\Users\JEFF\OTC Pub Hsg Operating Budget -12-31-2012 2 , Public Housing Operating Budget: 4230 Resident Service Contracts Total Tenant Services $ 250.00 $ 350.00 General Expenses 4510 Insurances $ 10,177.00 $ 10,150.00 4520 Pavment in Lieu of Taxes $ 3,557.00 $ 2,911.00 4530 Terminal Leave Payments 4540 Employee Benefits $ 12,157.00 $ 12,115.00 4570 Collection Losses $ 250.00 $ 500.00 4590 Other General Expenses $ 250.00 $ 500.00 Total General Expenses $ 26,391.00 $ 26,176.00 Non Rountine Expenditures 4610 Extraordinarv Maintenance $ 4,000.00 $ 4,000.00 7520 Replacement of Non Expendable Equipment 7540 Property Betterments And Additions Total Non Routine Expenditures $ 4,000;00 $ 4,000.00 Total of All Expenditures For Year $ 75,496.00 $ 76,926.00 Cash Flow (Deficit) $ (39,556.00 $ (46,283.00) HUD Contributions 8020 HUD Operating Subsidy $ 29,416.00 $ 32,000.00 3620 Capital Fund Transfer For Operations $ 9,000.00 $ 10,000.00 Other Cash: Current Cash Reserves $ 25,000.00 $ 16,500.00 Total HUD & Other Contributions $ 63,416.00 $ 58,500.00 Net.Cash Flow fDeficit) $ 23,860.00 $ 12,217.00 H:\Users\JEFFIOTC Pub Hsg Operating Budget -12-31-2012 2 , Operating Budget Summary of Budget Data and Justifications I U.S. Department of Housing and Urban Development Office of Public and Indian Housing 0MB Approval No. 2577-0026 (Exp. 10/31/2009) Public reporting burde_n for this collection of information is estimated to average 45 minutes per response, including the time for reviewing Instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the c·ollection of information. This agency may not c.::onduct or sponsor, and a person is not required to respond to,.a collection of.information unless that collecton displays a valld 0MB 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 housing program and provides a summary of 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 bYthe PHA and the amounts are reasonable and that the PHA is in compliance with procedures orescribed bv HUD. ResoonseS are reaulred to obtain benefits. This Information does not lend Itself to confidentialltv. Name or Local Housing Authority Locality Fiscal Year Ending Otter Tail County HRA Fergus Falls, MN 12/31/2012 Operating Receipts Dwelling Rental. Explain basis for estimate. For HUD-aided low-rent housing, other than Section 23 Leased housing, state amount of latest available total HA monthly rent.roll, the number of dwelling units availabl_e for occupancy and the numbe_r accepted for the same month end. Cite HA policy revisions and economic and other'factors which may result in a greaterorlesser average monthly rent roll during the Requested Budget Year. For Section 23 Leased housing, state the number of units under lease, the PUM lease price, and whether or not the cost of utilities is included. If not included, explain method for payment at utility costs by HA and/or tenant. Rent Roll for September/2011 = $2,948.00 Divided by 13 Units= $226.77 $226.77 x .0127 Inflation Factor= 2.88 $226.77 + 2.88 = 229.65 $229.65 X 156 = $35,825 Excess Ut_llities. (Not for Section 23 Leased housing.) Check appropriate spaces in item 1, and e~plain "Othef. Under item~. explain basis for determining excess utility consumption. For example, Gas; individual check meters at OH-100-1, proration of excess over allowances at OH-100-2, etc. Cite effective date of present utility allowances. EXplaln anticipated changes ln allowances or other factors which will cause.a significant change In the total amount of excess utility charges during the'Requested Budget Year. 1. Utility Services Surcharged: Gas D Electricity D Other D (Specify) _____________ _ 2. Comments NONE Non dwelling Rent. (Not for Section 23 Leased housing.) Complete Item 1, specifying each space rented, to whom, and the rental terms. For example: Community Building Space-Nursery School-$50 per month, etc. Cite changes anticipated during the Requested Budget Year affecting estimated Non-dwelling Rental Income. 1. 2. Comments NONE Space Rented Previous editions are obsolete ToWhom Page 1 of4 Rental Terms form HUD-52573 (3/95) ref Handbooks 7475.1 1 Interest on General Fund lnvestmentsState the amount of present General Fund investment and the percentage of the General Fund it represents. Explain circi.imstances such as increased or decreased operating reserves, dwelling rent, operating expenditures, etc., which will affect estimated average monthly total investments in the Requested Budget Year. Explain basis for distribution of Interest income between housiilg programs. Interest Income $15.00 Other Comments On ·Estimates of Operating ReceiptsGive comments on all other significant sources of income which will present a clear understanding, of the HA's prospective OperatingReceipts situation during the Requested Budget Year. For Section 23 Leased housing explain basis for estimate of utility charges to tenants. Other Income $100.00 Operating Expenditures Summary of Staffing and Salary Data Complete the summary.below on the basis of information shown on form HtlD-52566, Schedule of All Positions and Salaries, as follows: Colurym (1) Eilter the total number of positions designated with the corresponding account line symbol as shown-in Column (1 ), form H_UD-52566. Column (2) Enter the number of equivalent full-time positions allocable to HUD-aided housing in management. For example: A HA has three ~A-Nr·positions allocable to such housing at the rate of 80%, 70%, and 50% respectively. Thus, the equivalent full-time positions rs·two. (8/10 + 7/10 + 5/10). COiumn (3) Enter the portion of total salary expense shown in Column (S)orColumn (6), form HUD-52566; allocable to HUD-aided housing in management, other than Section 23 Leased housing. Column ·(4) Enter the portion of total salary expense shown in Column (5) or Column (10), form HUP-52566, allocable to Section 23 Leased housing in management. Column (5) Enterthe portion of total salary expense shown in Column (S)orColumn (7), form HUD-52566, allocable to Modernization programs (Comprehensive Improvement Assistance Program or Comprehensive Grant Program). Column (6) Enter the portion of total salary expense shown In Column (5) or Column (9), form HUD-52566, allocable to Section 8 Programs. Note: The number of equivalent full-time positions and the amount of salary expense for all posjtions designated "M" ori form HUD-52566'must be equitably distributed to account lines Ordinary Maintenance and Operation-Labor, Extraordinary Maintenance,Work Projects, and Betterments and . Additions Work Projects. HUD-Aided Management Program Equivalent Salary Expense Total Number Full-Time Section 23 Leased Modernization Section a Account Line of Positions Positions Management Housing Only Programs Program (1) (2) (3) (4) (5) (6) Administration-Nontechnical Salarles1 3 .37 14,832 Administration-Technical Salaries1 Ordinary Maintenance and Operation-Labor1 Utilities-Labor1 2 .12 4,223 Other (Specify) (Legal, etc.)' Extraordinary Maintenance Work Projects2 Betterments and Additions Work Projects2 1 Carry forward to the appropriate line on HUD-52564, the amount of salary expense shown in Column (3) on the corresponding line above. Carry forward to the appropriate line on HUD-52564 (Section 23 Leased Housing Budget), the amount of salary expense shown In Column (4) on the corresponding.line above. 2 The amount of salary expense dlstrll)uted to Extraordinary Maintenance Work Projects and fo Betterments and Additions Work Projects is,to be included in the cost of each.individual project to be performed by the HA Staff, as shown on form HUD-52567. Previous editions are obsolete Page 2 of 4 form HUD-52573 (3/95) ref Handbooks 7475.1 i Specify all proposed new positions and all present positions to be abolished in the Requested Budget Year. Cite prior HUD concurrence in proposed staffing changes or present justification for such changes. Cite prior HUD concurrence In proposed salary increases for Administration Staff or give justification and pertinent comparability information. Cite effective dale for current approved wage rates (form HUD-52158) and justify all deviations from these rates. Budget based on proposed 2012 salary rates to be effective 1-1-12. Also included copy of HUD approved maintenance wage rate schedule. Compensated Absences -1,800 Trav~I, Publications, Membership Dues and Fees, Telephone and Telegraph, and Sundry.fa addition to "Justification for Travel.to Conventions and Meetings" shown on form HUD-52571, give an explanation of substantial Requested Budget Year estimated Increases over the PUM rate of expenditures for these accounts in the Current Budget Year. Explain basis for allocation of each element of these. expenses. Legal -250 StaffTralning -250 Travel -800 Acccunting -2000 Audit-2200 Other Administrative Costs Publications Dues & Fees - Telephone - Office Rent- Supplies - Sundry - Total 200 200 600 650 600 1.500 3,750 Utilities. Give an explanation of substantial Requested Budget Year estimated Increases over the PUM rate of expenditures for each utility service in the Current'Budget Year. Describe and state estimated cost of each element of "Other Utilities Expense.~ Electricity -50 Gas-50 Water-100 Sewer-50 Total 250 Ordinary Maintenance & Operation-Materials. Give an explanation of substantial Requested Budget Year estimated increases over the PUM rate of expenditures for materials in the Current Budget Year. Materials & Misc. 2.000 Ordinary Maintenance-~ Operation-Contract Costs. List each ordinary maintenance and operation service contracted for and give the estimated cost for each. Cite and justify new contract services proposed for the Requested Budget Year. Explain substantial Requested Budget Year increases over the PUM rate of expenditure for'C0ntract Services in the Current Budget Year. If LHA has contract for maintenance of elevator cabs, give contract cost per cab. Softner Salt - Lawn Fertilizer- Plumbing/Elect./Htg./AC - Carpet Cleaning - Cqmputer Maintenance - Misc. Contracts Total 500 1,000 4.000 750 250 5,500 12.000 Previous editions are obsolete Garbage Service -500 Page3of4 form HUD-52573 (3/95) ref Handbooks 7475.1 , Insurance. Give an explanation of substantial.Requested Budget Year estimated increases in the PUM rate of expenditures for insurance over the.Current Budget Year. Cite changes in coverage, premium rates, etc. Mu/Ii-Peril Insurance -8,077 Fidelity Bond -400 Workers Comp. -1,200 Errors & Omissions -250 Office Insurance -250 Total 10,177 Employee Benefit Contributions.List all Employee Benefit plans participated in. Give Justification for all plans to be instituted in the Requested Budget Year for which prior HUD concurrence'has not been given. Health Insurance - Retirement - Dental Insurance - Life Insurance - LTD- Social Security - Total 5,400 3,800 600 600 300 1,457 12,157 Collection Losses. State the number of tenants accounts receivable·to be written off and the number and total amount of all accounts receivable rOr both present and vacated tenants as of the month in which the estimate was computed. Losses -250 Extraordinary Maintenance, Replacement of Equipment, and Betterments and AddltiomCite prior HUD approval or give justification for each nonroutine work project included in the Requested Budget and for those for .future years which make up the .estimate on form HUD-52570. Justifying information incorporated on or attached to form HUD-52567 need not be repeated here. Painting -1,500 Floor Coverings -2,500 Total 4,000 Contracts. List all contracts, other than those listed on page 3 of this form under Ordinary Maintenance & Operation (OMO). Cite the name of the contractor, type of contract, cost Of.contract, and contract period. Justification must be provided for all contract services proposed for the Requested Budget Year (RBY). Explain substantial RBY increases over the PUM rate of expenditure for these contracts in the Current Budget Year. Other General Expenses 500 Previous editions are obsolete Tenant Services 250 Page4of4 form HUD-52573 (3/95) ref Handbooks 7 475.1 U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON, DC 20410-5000 OFFICE OF PUBLIC AND INOIAN HOUSING Quality Assurance Division Mr. Jeffrey-Gaffaney, Executive Director Otter Tail County HRA 1151 Friberg Ave Fergus Falls, MN 56537 Dear Mr. Gaffaney: October 5, 2011 Recently, Quality Assurance Division (QAD) Staff were on-site at the Otter Tail County HRA ' (MN177) to conduct a Housing Choice Voucher Program (HCV) Voucher Management System (VMS) Validation Review. The purpose of our visit was to identify any VMS reporting discrepancies, and to provide.guidance and technical assistance related to improving the HCV data reported in the VMS. Our visit on August 22-26, 2011, focused on the VMS reporting period, October 2009 through December 2010. During the visit, Quality Assurance Division (QAD) Staff identified areas where the Otter Tail County HRA can improvethe accuracy of its VMS reporting. TI\ese areas and any technical assistance provided are detailed in the enclosed report. Necessary corrections to VMS data were identified by the QAD Staff, it is important that these corrections be made as directed in the enclosed report as soon as possible, but not .later than 30 days from the date of this report. Notification of informal corrective actions as a result of review concerns may be sent via e-mail to Andrew Kopacek at Andrew.R.Kopacek@hud.gov. Review concerns resulting in over-reported HAP expenses.may initiate funding recalculation. We appreciate the cooperation extended to QAD Staff during our visit, and your assistance in helping us ensure the best possible VMS data integrity. Should you have any·questions or concerns, please contact Andrew Kopacek at 612-370-3000; x2258. Enclosure cc: Lucia Clausen, PIH Director, Minneapolis Sincerely, Brian McIntyre Supervisory Program Analyst Quality Assurance Division Barbara Lamb, FMC Division Director, Kansas City VMS Validation Review (MN177) Background: The VMS collects data on monthly leasing activities and costs for the HCV program via mandatory PHA reporting. The Department reviews the VMS data to identify issues of concern to PHAs and/or the Department. The system is periodically enhanced to provide new flexibilities or features for improved ease and accuracy of reporting and use of the data. The VMS is a critical data system that is used for a variety of major functions, including budget formulation, utilization analysis, and funding allocations. As such, accuracy of the data is extremely important. The purpose of this review was to validate the Unit Months Leased (UML) and related Housing Assistance Payment (HAP) expenses certified as accurate by the HRA of Worthington for the period October 1, 2009 through December 31, 2010. Additionally a verification of the Net Restricted Assets (NRA), Unrestricted Net Assets (UNA), Interest Earned, and cash on hand balances was conducted. For the period covered by our review, we validated the HRAof Worthington source documents against the frozen data used by the OHVP Financial Management Division (FMD) to calculate calendar year 2011 renewal funding. Our review revealed several reporting discrepancies as noted in the body of this report. Concerns Concern No. 1 All Other Vouchers UML was incorrectly reported. Condition: The PHA under-reported All Other Vouchers UML by 1 unit for the 15-month period under review. Mo~th _Reported P.1:fA Reported • QADValiqated Variance ~e_ason --' .. 2009 . . -. .. .. . . .. .'' Oct 105 105 0 N/A Nov 111 111 0 N/A Dec 117 117 0 N/A 2010 ; .. •' Jan 121 121 0 N/A Feb 123 123 0 N/A Mar 132 132 0 N/A Apr 132 132 0 N/A May 128 128 0 N/A Jun 133 133 0 N/A Jul 129 130 (11 Reason for variance unknown Aug 129 129 0 N/A Sep 123 123 0 N/A Oct 123 123 0 N/A Nov 122 122 0 N/A Dec 118 118 0 N/A • TOTAL'VARIANCE .: ' -' :"} , (11 :.t,~.,f~." ~-, Cause: The VMS User's Manual instructs the PHA to report the "total number of vouchers leased for all other purposes. Do not include any vouchers already reported in the other voucher categories .... " I J' VMS Validation Review (MN177) During the 15 months seen above, the PHA incorrectly reported All Other UML in July of 2010. The reason for this misreporting could not be determined. Effect: HUD relies on VMS data to effectively monitor the state of each PHA's Housing Choice Voucher (HCV) Program and to calculate the HCV funding PHAs receive each year. Additionally, HUD also uses the HCV data contained within VMS to provide reports on the HCV Program to Congress and the White House. Misreporting AOV UML negatively affects HU D's ability to monitor and report on the program. Recommended Corrective Action No. 1: Corrections to the VMS should be made as soon as possible as detailed in the chart unde( Concern No 1. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. Concern No. 2 Number of Vouchers Under Lease (HAP Contract)on the last day of the Month was incorrectly reported. Condition: The PHA over-reported the Last Day of the Month UML by 1 unit for the 15-month period under review. Oct 110 110 0 N/A Nov 117 117 0 N/A Dec 123 123 0 N/A ... ,. : :2010 , ';,;f O '', •r::•·:,, .:.,:;~_•-:ir·. -~--,-;;. i,;: ;-·,, • '?.". s•:,:.•_·f:,·· 'I"'--~•••'·"~-• ·•-~ .,: ::'"fl'.\ ;._;•i:-'{Jf;;_,! "( 'a • . '. ~r ... -·-: '. , :,,;.;·', ..• '-.!,,-•. '.,: ; '.h,.;,; • ·•-i Jan 126 126 0 N/A Feb 130 130 0 N/A Mar 142 142 0 N/A Apr 143 142 1 Reason for variance unknown May 140 140 0 N/A Jun 146 146 0 N/A Jul 143 143 0 N/A Aug 143 143 0 N/A Sep 136 136 0 N/A Oct 135 135 0 N/A Nov 134 134 0 N/A Dec 130 130 0 N/A TOTALVARIANCE,:.'t;,, :,,;,-;,: .. s, ' '-'f' .•._.i, ::;,;t ... _.,:;-\:,· \-, \,,"_ 1 L':;·•·;;;,;r .,;, • "~ '• ~-;''.'-' -,. _., --i , • l)' . ,, .,.,. Cause: The VMS User's Manual instructs the PHA to report the "total number of vouchers under lease on the 'LAST' day of the month for all '13' categories .... This includes HAP contracts that expired that day." During the 15 months seen above, the PHAincorrectly reported Last Day of Month UML only in April 2010. The cause of this over-reporting is uncertain. Effect: HUD cannot effectively monitor changes in a PHA's HCV program from month to month if this category is not-reported accurately. Furthermore, HUD cannot accurately calculate and monitor Per Unit Costs in a PHA's HCV Program without accurate reporting in this field. VMS Validation Review (MN177) Recommended Corrective Action No. 2: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 2. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. Concern No. 3 Portable Vouchers Paid Unit Months Leased (UML) was incorrectly reported. Condition: The PHA under-reported Portable Vouchers Paid UML by 1 unit for the 15-month period under review. Month' Reported-' PHA Refl-?rted 'Q.AOVali~ated Variance ':/;. Recis□-n . ','••'-"· 2009 ; " __ . ' Oct 5 5 0 N/A Nov 6 6 0 N/A Dec 6 6 0 N/A 2010 -... . ~-. Jan 5 5 0 N/A Feb 7 7 0 N/A Mar 10 10 0 N/A Apr 11 11 0 N/A May 12 12 0 N/A Jun 13 14 (1) Reason for variance unknown Jul 14 14 0 N/A Aug 14 14 0 N/A Seo 13 13 0 N/A Oct 12 12 0 N/A Nov 12 12 0 N/A Dec 12 12 0 N/A TOTAL VARIANCE . : (1) "' Cause: The VMS User's Manual instructs the PHA to report the "total number of vouchers for which the PHA is being billed by and is remitting HAP costs to another PHA under the portability option. These vouchers are part of the PHA's inventory and are commonly referred to as 'Port-Outs'." During the months seen above, the PHA incorrectly reported Portable Vouchers Paid UML in June of 2010. The cause of this misreporting is uncertain. Effect: One of the main goals of the HCV Program is to increase the geographic opportunities available to participating families. The portability option serves to promote that goal. Without accurate Port-Out reporting, HUD is unable to accurately track the mobility of participants and accurately report on that aspect of the program to Congress and the White House. Recommended Corrective Action No. 3: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 3. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. VMS Validation Review (MN177) Concern No. 4 Number of Vouchers Issued but not under HAP Contract as of the last Day of the Month was incorrectly reported. Condition: The PHA under-reported the "Number of Vouchers Issued but not under HAP Contract as of the last'day of the month" by 4 units for the 15-month period under review. Nov PHA didn't report; QAD didn't vaiiaate Dec PHA dit:ln't report; QAD didn't validate Jan PHA didn't report; QAD didn't validate Feb PHA didn't report; QAD didn't validate Mar PHA didn't renort; QAD didn't validate Apr 10 13 (3) Reason for variance unknown May 10 10 0 N/A Jun 2 3 (1) Reason for variance unknown Jul 1 0 1 Reason for variance unknown Aug PHA didn't report; QAD didn't validate Sep 0 1 (1) Reason for variance unknown Oct 0 1 (1) Reason for variance unknown Nov 1 0 1 Reason for variance unknown Dec 1 1 0 N/A >TOTAi VARLtiNCE:•. ., ... ,,,ti. ·:,,}tc-,,~ •;;_ . .'r;::~ ,:-,,,, (4) :: i~ ;:.,,?:~,,::,, \_ ;,.,'",~,1);~_,. '\'' :.~1;~·::½:>~-~: Cause: The VMS User's Manual instructs the PHA to report the "total number of new vouchers issued and not yet under a HAP contract as of the last day of the reporting period. This figure excludes vouchers issued to participants.who are currently under a HAP contract in one unit but have been issued a voucher to search for another unit to which they intend to move with continued voucher assistance." During the months seen above, the PHA incorrectly reported the number of vouchers issued but not under HAP Contract as of the last day of the month in April, June, July, September, October, and November of 2010. The cause of this misreporting is uncertain. Effect: HUD has been taking extra steps in recent years to ensure that PHAs do not face a funding shortfall near the end of the year, which could force a PHA to terminate the participation of voucher families if they do not have enough funds to cover all of their HAP expenses. In January 2010, to improve its capacity to monitor the fiscal situation at PHAs, HUD began requiring PHAs to report four new lines of data in VMS. The reporting of Net Restricted Assets (NRA), Unrestricted Net Assets (UNA), and Cash/Investments on Hand at Month End allow HUD to determine if a PHA has enough program reserves and cash to cover its HAP expenses. if its expenses are exceeding its monthly funding disbursements. The reporting of the Number of Vouchers Issued but not under.a HAP Contract on the Last Day of the Month allows HUD to monitor potential increases in PHA HAP expenses they may occur in future months on account of the lease up of new vouchers. Without accurate reporting of. these four fields in VMS, HUD will be unable to adequately monitor the chances for potential funding shortfalls at specific PHAs. In turn, HUD would not be able to help PHAs facing a shortfall come up with solutions to prevent the termination of vulnerable families off of the HCV program. VMS Validation Review (MN177) Recommended Corrective Action No. 4: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 4. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. Concern No. 5 Portable Vouchers Paid HAP was incorrectly reported. Condition: The PHA under-reported Portable Vouchers Paid HAP by $410 for the 15-month period under review. Month RePortei.i , PHA Reported QADNalldated Variance . I . •. . -Reason ' ; '""' ~~' ·,,I 2009 $ .$ $ . . ' - Oct 2,082 2,082 0 N/A Nov 2,906 2,904 2 Reason for variance unknown Dec 2,906 2,906 0 N/A 2010 . '•. . . .. .. ....:. Jan 2,832 2,832 0 N/A Feb 4,370 4,370 0 N/A Mar 5,830 5,830 0 N/A Apr 6,114 6,114 0 N/A Mav 5,830 5,830 0 ' N/A Jun 6,591 6,591 0 N/A Jul 6,482 6,894 (412) Reason for variance unknown Aug 6,482 6,482 0 N/A Sep 5,988 5,988 0 N/A Oct 5,676 5,676 0 N/A Nov 5,758 5,758 0 N/A Dec 5,758 5,758 0 N/A TOTAL VARIANCE .. a ; (410) . . Cause: The VMS User's Manual instructs the PHA to report the "total HAP expenses incurred for portability vouchers reported in the Units section. The HAP payments to be reported here are for port- outs for which the PHA is being billed by another PHA." :,1 Effect: One of the main goals of the HCV Program is to increase the geographic opportunities available to participating families. The portability option serves to promote that goal. Without accurate Port-Out reporting in VMS, HUD is unable to accurately track the mobility of participants and accurately report on that aspect of the program to Congress and the White House. Recommended Corrective Action No. 5: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 5. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. VMS Validation Review (MN177) Concern No. 6 All Other Vouchers HAP was incorrectly reported. Condition: The PHA under-reported All Other Vouchers HAP by $1,689 for the 15-month period under review. ~~omr-,;~t#'~~•:.l.f\t:fJ:tW -.r,:, ,·::::' Oct 30,408 30,408 Nov Dec -~,ioiolX?J~i~,fit {~fiJd Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec \fOTAL'.\/1\Rf/\tJ(Ef''' 29,119 29,121 31,471 31,471 > 32,686 32,354 33,982 38,953 34,402 37,830 34,541 34,806 32,220 33,101 31,175 29,630 •·· ,. :.,. 32,686 32,354 34,100 39,061 34,366 37830 36,081 34,716 32,220 33,088 31,235 0 (2) 0 0 0 (118) (108) 36 0 (1,540) 90 0 13 (60) 0 (1,689) Unexplained variance N/A N/A More than actual port admin subtracted More than actual port admin subtracted Not all port admin subtracted out N/A Unexplained variance Not all port admin subtracted out N/A Not all port admin subtracted out Math error N/A Cause: The VMS User's Manual instructs the PHA to report the "total HAP expenses incurred for all other vouchers reported in the units section, for contracts in effect on .the first day qf the month." The User's Manual further states, "Do not include any HAP expenses already reported in ANY other Voucher HAP expense categories above or for FSS Escrow Deposits below." During the 15 months under review, the PHA under-reported 5 months and over-reported 3 months, for a net under-report of $1,689. The reason for the over-report could not be determined. Effect: HUD relies on VMS data to effectively monitor the state of each PHA's Housing,Choice Voucher (HCV) Program and to calculate the HCV funding PHAs receive each year. Additionally, HUD also uses the HCV data contained within VMS to provide reports on the HCV Program to Congress and the White House. Misreporting ADV HAP negatively affects HU D's ability to monitor and report on the program. Recommended Corrective Action No. 6: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 6. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. VMS Validation Review (MN177) Concern No. 7 Fraud Recovery was incorrectly reported. Condition: The PHA under-reported Fraud Recovery by $615 for the 15-month period under review. 2009° -• • ·---~~'.' .':'" )''"~. j ,_. . . $.;: ,. Oct 0 Nov 0 Dec 0 2010 .. . .. ,, '" , -,:._,e., C Jan 0 Feb 0 Mar 0 Apr 0 May 0 Jun 0 Jul 0 Aug 0 Sep 0 Oct 0 Nov 0 Dec 0 TOTAL V-"RI/INCE· ·, 0 0 0 ' , .. 25 491 7 15 0 30 7 13 7 0 13 7 -~. r, ., - 0 0 0 (25) (491) (7) (15) 0 (30) (7) (13) (7) 0 (13) (7) (615) N/A N/A N/A PHA didn't report FR in VMS PHA didn't report FR in VMS PHA didn't report FR in VMS PHA didn't report FR in VMS N/A PHA didn't report FR in VMS PHA didn't report FR in VMS PHA didn't report FR in VMS PHA didn't report FR in VMS N/A PHA didn't report FR inVMS PHA didn't report FR ir\ VMS Cause: The VMS User's Manual instructs the PHA to report the "total dollar amount recouped by the HA as fraud recoveries during the month that is applied to the NRA account. This consists of the lesser of one-half the amount recovered or the total recovery minus the costs incurred by the PHA in the recovery. This amount should NOT be deducted from HAP Expenses as reported for the month in the HAP expenses section." During the 15 months under review, the PHA under-reported 10 months, for a total under-report of $615. The reason for the under-report was that the PHA did not report Fraud Recovery for any of the months reviewed. Effect: By incorrectly reporting Fraud Recovery balances, the PHA failed to provide HUD with accurate information to determine what HAP resources are available to the PHA. Recommended Corrective Action No. 7: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 7. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. VMS Validation Review (MN177) Concern No. 8 Total HAP for Portable·Units Administered was incorrectly reported. Condition: The PHA under-reported Total HAP for Portable Units Administered by $167 for the 15- month period under review. ~--:2009,\<,;·,_···t/ti;t'ifr:":, ·ff ,"'.;;· . -·•.: ,, ,,,,i, ~,'.~c: ,;, :'.'I,:•~ '" ,,.,., '·,' s i.%,iJ ' ~ --.,_, :,.~.:;· ,,, ;·<"''":.. ·j :·-J,:.-:,. V Oct 0 0 0 N/A Nov 0 0 0 N/A Dec. 0 0 0 N/A .,, ;;, ';\i' ., ' '' . Jan O 0 0 N/A Feb 211 211 0 N/A Mar 630 630 0 N/A Apr 630 630 0 N/A May 1025 1025 0 N/A Jun 1025 1025 0 N/A Jul 858 1025 (167l Reason for variance unknown Aug 858 858 0 N/A Sep 812 812 0 N/A Oct 812 812 0 N/A Nov 812 812 0 N/A Dec 812 812 0 N/A :,;tbJAl!iVAR IANGEc'": ,, •-· ',•.; .,., (167l . .T~. ''.<l,J;f,,;'{•.');\ . ,. '•• Cause: The VMS User's Manual instructs the PHA to report the "HAP expenses attributable to the Portable Units Administered .... These expenses are NOT included in the HA's total voucher HAP expenses elsewhere reported in VMS." During the 15 months under review, the PHA under-reported one month for a total under-report of $167. The reason for the under-report·is not known. JJ Effect: One of the main goals of the HCV Program is to increase the geographic opportunities available to participating families. The portability option serves to promote that goal. Without accurate Port,ln reporting in VMS, HUD is unable to accurately track the mobility of participants and accurately report on that aspect of the program to Congress and the White House. Recommended Corrective Action No. 8:, Corrections to the VMS should be made as soon as possible as detailed in the ~hart under Concern No 8. It is understood that retroactive adjustments,in VMS may have been made after the completion of OAD's validation. VMS Validation Review (MN177) Concern No. 9 Interest and Other lncomewas incorrectly reported. Condition: The PHA under-reported "Interest or other income·earned ... from the investment of HAP funds and Net Restricted Assets (NRA)" by $41 for the 15-month period under review. • Month Reported ,; : \ '',:• •PHA Reported"'°;'• ,\,-•d.ADNalidatea •. • variance -'-:: " ''. : !'Y\ :RE!aSorl ~ '(ii;;.·-·•" .;~. ', > : ; .. -t:,:,/,.:,~t'..; ·:; ,.,. ' -• -.. < .\·';··r•r'.:_'.·-·· ~/_ .. t "t..,~·?-ie•f --: • ·.:,··'•· J-,p ,!, ' ., -;'., ... 200!ic': '~ i] ,;>7 -' ,-;_., -~.: •. $' '.,,$ -,. $ ' '-•.· ' . , .. , "};, A -.. •h Oct 0 0 0 PHA didn't report; QAD didn't validate Nov 0 0 0 PHA didn't report; QAD didn't validate Dec 0 0 0 PHA didn't report; QAD didn't validate 2010 :~· }, .. ~ } ·' -,l ·, .. , ... ' '. ·,_,-.-_, '.\._---~-. _,,_ .. . " Jan 0 3 (3) PHA didn't report Feb 0 7 (7) PHA didn't report Mar 0 7 (7) PHA didn't report Apr 0 7 (7) PHA didn't reoort May 0 5 (5) PHA didn't report Jun 0 4 (4) PHA didn't report Jul 0 2 (2) PHA didn't report Aug 0 0 0 N/A Sep 0 0 0 N/A Oct 0 0 0 N/A Nov 0 0 0 N/A Dec 0 6 (6) PHA didn't report T0TALVARIANC~Ji" 1-·, , ___ ,. ___ -;.._· ~ .·' ~ (41) , ·:}'.1::C'i J; ;, ' /i " ' ' '-"'• A,-. . ,,~ ., Cause: The VMS User's Manual instructs the PHA to report the "interest or other income earned this month from the investment of HAP funds and Net Restricted Assets." The PHA did not report any Interest or Other Income in VMS. Effect: The accounting and reporting of Interest and Other Income Earned directly effects the calculation and reporting of Net Restricted Assets (NRA). Without the accurate reporting of this field in VMS, HUD will be unable to adequately monitor the chances for potential funding shortfalls at specific PHAs. In turn, HUD would not be able to help PHAs facing a shortfall come up with solutions to prevent the termination of vulnerable families off of the HCV program. Recommended Corrective Action No. 9: Corrections to the VMS should be made as soon as possible as detailed in the chart under Concern No 9. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. VMS Validation Review (MN177) Concern No.10 Net Restricted Assets (NRA) as of the last day of the month was incorrectly reported. Condition: The PHA over-stated the December 2010 NRA balance in the VMS by $1,690*. 7;; ;:,.,;,r-'<'!:•:\':" .' V'.; .:·_ .. ~· ,_. "-,, ~,.. '.\)%' ;<·1 ..... ;;_, ·,. • ~. ~ ~ ,.,, ! ;· . ;'J' '"''".:-;ft"!J\\,_ i~:' '/J',; -,t;· , ,.-,> ,,_ ·, !1, --": -~-: '~::•fy1arilh,Re1,i;m1W\ '.::'iilii-lA'R'eporti,al;/ '·' oAD'.lf~lidatelP1··•,, ~.: ~ ', ;,}ff}{~ ;"'),. -. ;'1Jj i:~~~;':t~t~~~=:,\~*t ~~~;~;~~-:~--~1ri-··-~t·::~: -,~:;:' .-i~'.-~-~-:,,i.t:.;.,~~,'c~:•:· -,,-,:·-,·.: ·' J_,,; 1 ,\},(',! "! ? 0 :·,' :>•· __ -~::::·:~t~~ ~:--~~-_, Oct O O O PHA didn't report &·QAD•didn't validate Nov O O O PHA didn't report & QAD didn't validate Dec O O O PHA didn't report & QAD didn't validate f:-2010~; ·,-;··:~f~,f);.~,;. .,' .. ~ .; . .',"'., ,_:;}:, ·: ·.,-._-_-",\.· 1,,?.1 ~;(i-Ji ~ ~ ;_ 7: .,, a ,-r., __ , ·"' :~·\,:\'::;J:..~_•'.~\ . -,~: c ·-.\'.., ··,r -•· [, .-•.•:·1:_-~' .·:~-':;\ •• r.,:_ ~' ,Y ,,.-,,..;c,_, "-;;:'R; cl Jan 28,562 28,562 0 N/A Feb 27,342 27,840 (498) UnexplaiTled variance Mar 26,793 27,187 (394) Unexplained variance Apr 18,483 18,791 (308) Unexolained variance May 15,781 16,130 (349) Unexplained variance Jun 8,117 8,500 (383) Unexplained variance Jul 1,935 2,291 (356) Unexplained.variance Aug O (2,137) 2,137 Unexplained variance Sep 0 (3,581) 3,581 Unexplained variance Oct 0 (5~588) 5,588 Unexplained variance Nov 0 (5,811) 5,811 Unexplained variance Dec 1 (1,689) 1,690 Unexplained variance /:i;btAL'.VARt~Nct /_, .. · ;°;:; ,:•~----;~ -,,~,,.-; •."71>_.,it&.1~.-l~t"'l":··~-·.", 1,690 ~>·;;Jf/:i'.;1.,."1,\',:.:;1t'-~i',~~~:+1;,j,:.::,::.;;. Does not include FSS·Escrow. *PHA reported balance in Dec of $1 when the actual balance was ($1,689) = over-reporting of $1,690 at Dec 2010. Cause: PIH Notice 2010-16 and the VMS User's Manual states "NRA is the amount reported on the income statement at line 511.2 -Housing Assisiance Payment Equity. The NRA that shall be reported in the VMS must then be updated through the end of each reporting month" .. Thi~ field provides the "present" NRA balance by adjusting NRA to reflect HAP funds received and expended to date since the end of the most recent PHA fiscal year (FY). The PHA reports the total of: (1) NRA balance as of the end of the most recent PHA FYE~ (2) HAP funding received since the most recent PHA FYE through the last day of the month being reported, plus (3) All interest earned, fraud recovery (only those portions' returned to HAP) and FSS forfeitures since the most recent PHA FYE through the last day of the month being reported, minus (4) HAP expenses incurred since the most recent PHA FYE through the last day of the month being reported. The PHA must report the 'should have' NRA balance, since there is no allowable reason to not have the funds. None of the NRA balances determined onsite match the PHA reported balances. Effect: By incorrectly reporting NRA balances the PHA failed to provide HUD with information useful in determining what HAP resources are available to the PHA. Recommended Corrective Action No. 10: The PHA must at a minimum correct the VMS to show the "should have" NRA balance for the month of December 31, 2010. Since this is a cumulative balance in the VMS, the balance at December 31, 2010 represents the actual funds that should be available for use at the end oft he year. If the PHA is re-opening the VMS to correct other items then all month.end NRA VMS Validation Review {MN177) balance should also be corrected. It is understood that retroactive adjustments in VMS may have been made after the completion of QAD's validation. Recommended Corrective Action No. 11: The PHA should develop and implement policy and procedure to,ensure accurate reporting of and accounting for NRA balances at the end of each month. Concern No. 11 PHA reports VMS data on a cash basis. Condition: The PHA reports all VMS data on a cash basis. Cause: As noted in FMC Bulletin #06-04, "amounts paid during a particular month that were incurred in a different month should be adjusted and reflected for the month incurred." In other words, VMS should be reported on an accrual basis. Effect: By reporting VMS data on a cash basis, the PHA failed to provide HUD with the most accurate data set to ensure correct funding calculations and exact per unit cost calculations for shortfall prevention forecasts. Recommended Corrective Action No. 12: The PHA should report VMS on an accrual basis, as noted in FMC Bulletin #06°04. NOTE: The PHA should make necessary VMS corrections for the above 11 concerns within 30 days from the date of this report and notify Andrew Kopacek at Andrew.R.Kopacek@liud.gov when the identified discrepancies have been corrected. Conclusion During the VMS review, PHA staff provided QAD reviewer with all requested information and was quick to answer questions. This cooperation was greatly appreciated. PHA staff should contact Mr. Kopacek in the future if any questions regarding VMS arise. . ~itjvr:Jy Departmi;nt a1' Employment ' ' • ' , :• :· ' c::M.1nJies/01t'"' ' ' , ,, ' : : ' . . ' . .. . September 21, 2011 Dennis Christianson Ottertail County HRA 1151 Friberg Avenue Fergus Falls, MN 56537 RE: Results of SCDP Monitoring Visit, New York Mills Bluffton Comprehensive Project CDAP-09.-0073-O-FY10 Dear Dara: On September 16, 2011, I met with Dennis Christianson and Sue Bjorkland of the Fergus Falls HRA. The monitoring was held at the offices of the HRA in Fergus Falls. The areas monitored were Grant Management/Financial Management, Fair Housing/Equal Opportunity Employment, Environmental, Owner Occupied Rehabilitation, Rental Rehabilitation, Commercial Rehabilitation, Labor Standards, and Lead. Your files looked good and were very organized. The project is progressing on schedule. Our primary concern is to help the city meet the objectives set forth in this program and to ensure CClmpliance with all applicable regulations so that the city derives full benefit from the SCDP grant. We have no findings or concerns in the enclosed "Monitoring Report." If there are any questions, or if we can be of any further assistance, please contact me at 651-259• 7 457. Sincerely, Jeremy LaCroix Business and Community Development Representative Cc: Daria Berry, City of New York Mills MINNESOTA SMALL CITIES DEVELOPMENT PROGRAM Cities of New York Mills and Bluffton CDAP-09-0031-O-FYl 0 August 21, 2011 Prepared by Jeremy LaCroix Minnesota Department of Employment and Economic Development Division of Business and Community Development Office of Community Development 1" National Bank Building 332 Minnesota Street, Suite E200 St. Paul, MN 55101-2146 .• INTRODUCTION On September 14, 20ll, Jeremy LaCroix from .the Department of Employment and Economic Development (DEED), Business and Community Development Division (BCD), met with Dennis Christianson and Sue Bjorkland of the Fergus Fall HRA at their to monitor the New York Mills, Bluffion Comprehensive Small Cities Development Program grant. The areas monitored were: Grant management/Financial Management, Fair Housing/Equal Opportunity Employment, Environmental, ·Owner Occupied Housing Rehabilitation, Rental Rehabilitation, Commercial Rehabilitation, Lead Hazards, and Labor Standards. An exit meeting was conducted on the same day. Grant Management/Financial Management A copy of the approved application and executed grant agreement were on file. A copy of the administrative contract beiween the city and HRA was on file. Written policies. and procedures agreed with what was stated in the application. All amendments, progress reports, and reimbursement requests were accounted for. Annual reporting has been timely. Invoices matched disbursement requests and payments to contractors were timely. Good documentation was provided that supports activity expenditures. Debarment checks were competed on contractors. There were no findings or concerns in this area. Fair Housing/Equal Employment Opportunity Fair Housing and Equal Employment Opportunity language was included in contract documents and policies. A fair housing plan was on file and the plan was. being followed. Racial and ethnic data on beneficiaries is being collected for reporting purposes. A Section 3 plan was on file and Section 3 Business Certification forms were collected from contractors. There were no findings or concerns in this area. Environmental A centralized file was maintained and all the records were reviewed for accuracy. No funds were • committed prior to DEED issuing Authority to Use of Grant Funds. There were no concerns and no findings in this area. Owner Occupied Rehabilitation Owner-occupied housing rehabilitation meets-the federal objective of benefit to low and moderate income persons on an individual household basis per federal regulations. Proper income limits for the program were used in the two files examined. The files clearly showed applicants' sources of income, household size, and income verification. The applicants were income eligible. Inspection reports, work write ups, and work completed coincided with each other. At least 2 bids were sought for each project and repayment agreements were signed prior to proceed ,to work orders being authorized. Payments, completions certificates, and lien waivers were on file for each project. I The goal for owner-occupied housing.rehabilitation is 21 and it appears that goal will be met. Due to time constraints, .no site visits were made. Owner Occupied Rehabilitation Lead Hazards Two files were reviewed only one home had lead hazards. The home was constructed prior to 1978. The home did not have children under six. It was tested for lead by a trained assessor. The home.owners received the lead brochure and Summary Notice of Risk Assessment, a hazard relocation screening sheet, and the hazard completion notice. The contractors were lead licensed. Rental Rehabilitation The property was located in the target area. All tenants were under income guidelines and were being charged affordable rents. The repayment agreements had provisions to continue to charge affordable rents. The Rehabilitation Threshold Determination Check Sheet and Tier Two historical review were completed. The tenants were provided a general notice and a displacement notice. Work write up s and cost estimates matched. At least two bids were sought. Repayment agreements were signed prior to notice to proceeds being provided. All paper work including lien waivers were on file. The amount and percentage of SCDP provided matched policies. Rental Rehabilitation Lead Hazards Two files were reviewed and both homes had lead hazards. The homes were constructed prior to 1978. The homes did not have children und<;r six. They were tested for lead by a tr11ined assessor. The occupants received the lead brochure and Summary Notice of Risk Assessment, a hazard relocation screening sheet, and the,hazard completion notice. The contractors were lead licensed. Commercial Rehabilitation Only one commercial project had been completed. That file was examined and documentation that the building was in the approved slum and blight area was confirmed. Documentation of building deficiencies was found in the files. Inspection reports, work write ups and work completed coincided with each other. There were no asbestos hazards addressed. At least two bids were sought for each project and repayment agreements were executed prior to proceed to work being authorized. Completion certificates, lien waivers and invoices were on file. The goal is for 5 projects. Labor Standards The one completed commercial file was reviewed. The correct wage decisions were used. The. file had payrolls which showed that wages met or exceeded those with the corresponding classifications listed in the wage decision. Payrolls were submitted weekly. The last four digits were included on all payrolls. Payrolls were signed by an appropriate person. The file contained the Award Notice Letter and contractor certifications. The final compliance reports has been provided to DEED. Employee interviews were completed on the project and no complaints were received. We would like to thank all who assisted during the monitoring visit. 2 Program MHF A Deferred Loans -Phase XV Rental Rehab -2011 Program OTC Tax Levy-Homeowner (2011) OTC Tax Levy-Rental (2011) New 2012 SCDP Applications: Otter Tail County HRA Rehabilitation Projects Update October 20, 2011 Applications In Process Inspected 9 1 8 0 Program will not start until 2012 16 0 16 .YLIS 0 12 Rehab Bidding In Complete Pro~ress 2 0 6 0 5 11 12 0 0 *Pelican Rapids Short Form for owner rehab only To Be Submitted by November 17, 2011 *Veri1as Full Annlication for owner rehab and commercial rehab To Be Submitted b November 17, 2011 SCDP: Battle Lake (15 homes) 3 3 1 0 0 0 SCDP: Battle Lake (7 commercial) 2 2 1 0 0 0 SCDP: Parkers Prairieilleer Creek (8 homes) 2 1 1 1 0 0 SCDP: Pelican Rapids/Erhard/Erhard's 21 0 21 4 5 12 Grove Twshp/Pelican Twshp (22 homes) SCDP: Pelican Rapids/Erhard/Erhard's 8 0 8 1 3 4 Grove Twshp/Pelican Twshp (10 commer.) SCDP: New York Mills/Bluffton/ 16 2 Newton Twshp/Bluffton Twshp (21 homes) 15 4 5 5 SCDP: New York Mills/Bluffton/ 6 0 6 0 5 1 Newton Twshp/Bluffton Twshp (5 com mer) SCDP: New York Mills/Bluffton/ 15 units 0 15 units 12 units 1 unit 2 units Newton Twshp/Bluffton Twshp (15 rental) 6- $136,189.55 OTC UMA UML January 140 125 February 14_D 116 March 140 113 April 140 118 May 140 114 • June 140 115 July 140 117 August 140 121 September 140 120 October 140 November 140 December 140 YTD 1,680 1,059 ABA YTD: Less HAP Expenditures YTD: = Remaining YTD: CY Eligibility: Remaining C'f Eligibility: CY Months Remaining: Leasing% 63.04% Monthly CY Eligibility Remaining: Unit Months Available CY: Unit Months Leased CY: Unit Months Remaining CY: Monthly Units Remaining CY: Unit Months Funding Would Support: Monthly Units Funding Would Support: Minimum'of Available or Supportable: Minimum of Available or Supportable Montt $348,381 $301,943 $46,438 ~•::$-44i'□84' I', ,,;_,.: ,,,,.:..""'<.- $139,141 $46,380 r\ -1~:; t;t_IJ[f~B'c).1 1,059 621 207 488 163 488 163 ABA $ 38,709 $ $ 38,709 $ $ 38,709 $ $ 38,709 $ $ 38,709 $ 38,709 $ 38,709 $ 38,709 $ 38,709 $ $348,381 $ ABA Utilization HAP % PUC 34,542 $ 276 32,035 $ 276 29,579 $ 262 33,312 $ 282 33,283 $ 292 33,682 $ 293 34,658 $ 296 36,139 $ 299 34,713 $ 289 #DIV/OJ #DIV/0! #DIV/0! 301,943 86.67% $ 285 SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM AUGUST & SEPTEMBER, 2011 Annual Recerts 11 Interim Recerts 17 Ports-In/Billing 0 Ports-In/Absorbed* 0 Ports-Out/Billed* Q Ports-Out/Absorbed* Ports Out/End Participation* 0 End Participation* 6 Shop Mode/ARS* &) New Admissions• Waiting List/To Date &) Vouchers Issued ' Applications 1/P 13 Ports In Pending 1 Ports Out Pending 2 Ports Out Paid -9/$5624.00 Ports Received 0 In-House Transfers 1 ELI% 60% JO 9/$6, 183.00 October 20, 2011 ----- FINANCIAL INSTITUTION CERTIFICATES Security State Bank Fergus Falls SA VIN GS ACCOUNTS .. . . Security State Bank Fe~gus_ Falls Security State Bank Fergus Falls CHECKING ACCOUNTS . . . Section 8 .Existing ... Public Housing MHF A-Loan Account Otter Tail County Tax Levy . \1HFA-HOME Account FUND Public Housing . . Section 8 Admin Reserve • Public Housing Security Deposits NOW Account NOW Account NOW Account NOW Account .. NOW Account -1:\UsersVEFF\INVESTMENT LISTINGS\2011\invest list otc-aug 2011.doc OTTER TAIL COUNTY HRA INVESTMENT LISTING --------,_,_, ----- DESCRIPTION PRINCIPAL• INTEREST Money Market Certificate #210979 Weekly Money Marke! ~av.ings ' Commercial Money • • Market $6,593.85 . $19,795.78 $7,035.16 '. $82, 76i69 : $29,560.33 $23,794.83 $184,018.92 $831.51 RATE .10% .10% .10% • INTEREST PAID Maturity Automatic Deposit . Monthly Account #9312-004634 . Monthly Account #9312015673 I.D. # 41-1518930 .. . PURCHASE DATE !' ·/• i r :-,. I. ' " Renewed 09/19/11 . MATURITY DATE 03/19/12 OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units August2011 Rents Pavable $2,965.00 Rents Collected $4,200.00 Late Fees Charged $ 25.00 Late Fees Collected $ 25.00 Late Fees Outstanding $ 0.00 ELI Percentage Vacancies 0 Waiting List 2 Bedroom 22 3 Bedroom 12 4 Bedroom 6 H:\Users\Pam\Board Reports\OT County-Board Report.doc OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units September 2011 Rents Payable $3,228.00 Rents Collected $ 1,964.00 Late Fees Charged $ 64.76 Late Fees Collected $ 64.76 Late Fees Outstanding $ 0.00 ELI Percentage 50% Vacancies 0 Waiting List 2 Bedroom 29 3 Bedroom 16 4 Bedroom 6 0 --OFPOATUNITV HRA Office 1151 Friberg Ave Fergus Falls MN 56537 218-739-3249 Fergus Falls/Otter Tail County HRA Housing & Redevelopment Authority Fax 218-736-4706 ffhra@prtel.com www.fergusfallshra.com Riverview Heights Highrise 205 North Sheridan Ave Fergus falls MN 56537 218-739-9498 TO: FROM: DATE: SUBJECT: ENCLOSURE MEMO Board of Directors, Otter Tail County HRA Jeffrey Gaffaney, Executive Director December 8, 2011 . Meeting to be Held Thursday, December 15, 2011 at 10:00 a.m. at the HRA Office, 1151 Friberg Ave., Fergus Falls, MN. 56537 Regular Minutes of October 20th Meeting AGENDA 1. Chairperson -Call Meeting to Order 2. Approval of Minutes 3. Exie tive Director-Jeffrey Gaffaney A.. inistrative Expenses -October and November 2011 B._ estment Listing C. 011 Capital Fund Program Update-/6 /.-u-.,,J 5/~~~t)-s-,()..,,.,~ D. Aru)dal Adminstrative Contracts with Fergus Falls HRA ~ection 8 Voucher Program 2-:' j.ow Rent Public Housing Program Yl\£1 A Rehab Programs Tail County Tax Levy Program E. ousing Accounts Receivables for 12/31/11 4. Rehal;lilitation Specialist -Dennis Christenson A.i..MHF A Update B.'--OJC Tax Levy Update C.-W12 SCDP Applications 5. RehiyJilitation Assistant-Sue Bjorklund A.~009 Deer Creek/Parkers Prairie SCDP • B.~10 Pelican Rapids SCDP C. -2;no New York Mills SCDG D."'2011 Battle Lake SCDG 6. Hou§ing Administrator -Mary Jo Schwarz AySection 8 Update 7. H~g Manager -Pam Minten A. Public Housing Update PLEASE CALL IF YOU ARE UNABLE TO ATTEND! -=---"'--..:....:;==c...========= Providing Housing Opportunities L The Otter Tail County HRA Board of Commissioners met in a regular meeting on October 20th, 20 I 1 at the Fergus Falls HRA 1151 Friberg Ave., Fergus Fajls, MN. 56537 MEMBERS PRESENT Scott Rocholl, Chairperson Robert Bigwood, Vice Chairperson Janice Palan, Secretary Robert Maki Hazel Hovde OTHERS PRESENT Jeffrey Gaffaney Mary Jo Schwarz Sue Bjorklund Pam Minten Dennis Christenson Vicki Scheer Scott Rocholl, Chairperson opened the regular meeting. A motion was made and seconded to approve the minutes from the August 18th, 2011, meeting. M/Robert Maki S/ Hazel Hovde Deviating slightly from the agenda Dennis Christenson, Rehab Specialist reported that there are 9 MHF A Deferred Loan Program Phase XV applications that have been received, I is in process, 8 have been inspected, 2 are bidding and 6 are complete and $136,189.55 funds have been spent. The Rental Rehab Program will probably not start up until 2012. There are 16 applications for the 2011 Otter Tail County Tax Levy Homeowner Program, 16 have been inspected, 5 have rehab in progress 11 are complete. A total of 12 rental unit applications have been taken, all 12 have been inspected and 12 are in bidding for the 2011 Otter Tail County Rental Rehab Program. A single family unit was inspected yesterday. Two new applications will be submitted by November 17, 2011. A full application for Vergas/Dent for Owner Rehab and Commercial and a short form for Owner Rehab only in Pelican Rapids. The public hearing regarding the 2012 annual update of the 5-year agency plan was then opened. There were no other members of the public present nor were there any written comments submitted. Jeff discussed the Capital Fund Program evaluation report and five year action plan. The amount to be received for the 2011 Capital Fund program is $19,539.00, which is approximately 15% less than last year. Re-shingling on the duplex in Pelican Rapids will be completed and the rest will be put into the general operations account. Mary Jo, Housing Administrator, presented proposed changes regarding required postings, obligations of participant, prohibited use of medical marijuana, eligibility criteria regarding social security documentation, changes regarding possible cost saving measures that the Board my have to approve in the future, changes and additions to portability procedures, some new information added regarding family voucher size and additional information regarding funding shortfalls, Pam Minten, Housing Manager presented proposed policy changes. Clarification to Eligibility Criteria regarding social security documentation, Grounds for Denial, Termination by the Housing Authority for the late utility payment, use of medical marijuana, recklessly handling a gun or other dangerous/offensive weapon and Dangerous/Offensive weapons definitions were added to the glossary. ' H:\Users\VICKI\2011 minutes\minutes -otc october 2011.doc Lease changes were presented regarding termination by landlord if utilities not paid, dangerous/offensive weapons clause definition of dangerous/offensive weapon added and the use of medical marijuana prohibited. No change in the flat rents at this time. Proposed policy and Lease changes effective January 1, 2012 for current tenants, effective immediately for new tenants/applicants. A motion was made and seconded to close the public hearing. M/Robert Bigwood SI Janice Palan Resolution #96 regarding PHA certification of compliance with the PHA Plans and Related Regulations was presented for review. A motion was made and seconded to approve resolution# 96. M/Robert Bigwood S/ Hazel Hovde Jeffrey Gaffaney, Executive Director, reviewed the administrative expenses for the months of August and September 201 I. A motion was made and seconded to approve the expenses. M/Robert Maki S/ Janice Palan The Investment Listing was reviewed and the only changes were in the balances in the checking and savings accounts. Two proposals were received for re-shingling of the duplex in Pelican Rapids for the 2011 Capital Fund program. The bids were received from Brian Jorgenson Construction and Kelly Funk Construction. A motion was made and seconded to approve Brian Jorgenson's bid in the amount of$8,485.00. M/Robert Bigwood SI Robert Maki Only one bid proposal was received from American Family Insurance for Multi-Peril Insurance in the amount of $8,077.00 which is an increase of $282.00 from last year. A motion was made and seconded to approve the bid. M/Janice Palan S/ Hazel Hovde Only one bid proposal was received from Carlson/Highland & Co. LLP for the fiscal audit in the amount of $6,650.00 which is an increase of $400.00 from last year. A motion was made and seconded to approve the bid. M/Robert Bigwood SI Robert Maki The 2012 public housing operating budget wasreviewed. Rents, utilities, general expenses, insurance costs and the HUD operating subsidy expenditures amounts were discussed. Resolution #97 approving the operating budget was presented and a motion was made and seconded to approve resolution #97. M/Hazel Hovde SI Janice Palan Jeff and Sue attended a meeting with the County Commissioners regarding the HRA's 2012 Tax Levy request. They felt the meeting and the HRA's request went favorably. H:\Users\VICKI\2011 minutes\minutes • otc octobcr 2011.doc 2 A letter from Brian McIntyre from HUD was received regarding the onsite quality assurance review that was completed August 22-26 for the Otter Tail County Section 8 Program VMS reporting. The report states that the HRA passed.within 5% but identified several corrections that are to be completed within 30 days pertaining to an incorrect HAP amount submitted one month and under reporting or over reporting vouchers for the correct months. Jeff also presented a letter from Jeremy LaCroix from DEED regarding the monitoring results of the New York Mills SCDP Program. The letter states that there were no findings and all files looked good and the project is progressing on schedule. Sue Bjorklund, Rehab Assistant, reported that 3 applications have been received, 3 are in process and 1 has been inspected for the Battle Lake SCDP Homeowners Program and 2 applications have been taken, 2 are in process and 1 has been inspected for the Commercial Program. Two applications have been received, 1 is in process, 1 has been inspected and 1 is bidding for the Parkers Prairie/Deer Creek Small Cities Program. There were 21 applications received the Pelican Rapids/Erhard and Erhard's Grove Township/Pelican Townships SCDP Program, 21 were inspected 4 are bidding, 5 have rehab in progress and 12 are complete. Eight commercial applications have been received, 8 have been inspected, 1 is bidding, 3 have work in progress and 4 are complete for the Pelican Rapids/Erhard/Erhard's Grove Township/Pelican SCDP Program. Sixteen homeowner applications have been received, 2 are in process, 15 have been inspected, 4 are bidding, 5 are in progress and 5 are complete for the New York Mills/ Bluffton/Newton and Bluffton Townships SCDP Program. Six commercial applications have been received, 6 have been inspected, 5 have work in progress and 1 is complete for the New York Mills/Bluffton/Newton/Bluffton Townships SCDP Program. Fifteen rental units applications have been received, 15 have been inspected, 12 are bidding, 1 is in progress and 2 are complete for the New York Mills/Bluffton and Newton/Bluffton Townships Rental SCDP Program. Mary Jo, Housing Administrator reported that for the month of August there were 121 leased and HAPS totaling $36,139.00. For the month of September there were 120 leased and HAPS totaling $34,713.00. There are 18 vouchers issued and 13 applications in progress. There are 168 families on the waiting list; $6,183.00 was paid out for 9 ports outs in September. The ELI percentage was 60%. Mary Jo made calls to all the voucher holders to follow up on why they have not submitted requests for lease approval. Pam Minten, Housing Manager of the Fergus Falls and Otter Tail County public housing units reported that August rents owed for the Otter Tail County Family Public Housing units totaled $2,965.00, and $4,200.00 was collected as several tenants paid early. Late fees of $25.00 were charged and collected. No outstanding fees are owed. There were no vacancies. Twenty-two applicants were on the 2-bedroom public housing waiting list, 12 applicants on the 3-bedroom waiting list and 6 on the 4-bedroom waiting list. The September rents owed totaled $3,228.00 and $1,964.00 was collected. Late fees of $64.76 were charged and collected. No outstanding fees are owed. ELI percentage was at 50%. There were no H:\Users\VICKl\2011 minutes\minutes -otc october 20 I I .doc 3 vacancies. Twenty-nine applicants were on the 2-bedroom public housing waiting list, 16 applicants on the \ 3-bedroom waiting list and 6 on the 4-bedroom waiting list. Inspections will be completed next week. There being no further business, a motion was made to adjourn the meeting. M/Robert Bigwood SI Janice Palan Janice Palan, Secretary Date H:\Users\VICKI\201 I minutes\rninutes -otc october 201 I .doc 4 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF October, 2011 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Ally -Vehicle Lease Dennis Christenson -Mileage $ Jeffrey Gaffaney-Mileage $ Mary_ Jo Schwarz -Mileage $ Scott Rocholl -Per Diem Janice Palan -Per Diem $ Hazel Hovde -Per Diem $ Robert Maki -Per Diem $ Robert Bigwood~ Per Diem City of Pelican Rapids $ City of New York Mills $ City of Underwood $ City of Henning $ American Family Insurance Co. $ Otter Tail Power Co. $ Great Plains Gas Co. $ Brian's Lawn Care $ Tina Stevens $ Ballard Sanitation $ Por-Lawn $ Brian Jorgenson Construction Co. $ RTW -Workers Comp. Ins. $ Salaries $ H:\Users\JEFF\OTC HRA OCTOBER EXPENSES 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 $150.00 727.05 41.03 142.64 $73.32 109.95 87.50 121.05 $60.00 94.07 380.54 239.00 282.26 649.58 728.46 67.36 322.13 200.00 116.89 64.02 8,485.00 500.00 8,908.01 OTTER TAIL COUNTY HRA EXPENSES FOR THE MONTH OF November, 2011 Bank of the West -Office Rent $ City of Fergus Falls -Health Insurance • $ Security Benefit -Retirement $ Otter Tail Telcom $ U.S. Postmaster $ MN Benefit Association $ Ally -Vehicle Lease $ Dennis Christenson -Mileage $ Jeffrey Gaffaney -Mileage $ Mary Jo Schwarz-Mileage $ City of Pelican Rapids $ City of New York Mills $ City of Underwood $ City of Henning $ American Family Insurance Co. $ Denzel's Regional Waste, Inc. $ Otter Tail Power Co. $ Great Plains Gas Co. $ Steve's Sanitation Co. $ Toutges Sanitation Co. $ New Horizon Ag Service $ Tina Stevens $ Brogard Plumbing $ Mike's Plumbing & Htg. Co. $ Housing Data Systems $ Brians' Lawn Care $ Salaries $ H:\Users\JEFF\OTC HRA NOVEMBER EXPENSES 2011 450.00 1,850.00 950.00 225.00 200.00 400.00 150.00 569.99 38.33 210.35 101.67 444.54 263.40 373.00 649.58 68.32 483.24 103,09 130.06 68.00 150.60 200.00 105.00 188.50 50.00 103.01 9,408.86 December 15, 2011 FINANCIAL INSTITUTION CERTIFICATES Security State Bank Fergus Falls SA VIN GS ACCOUNTS Security State Bank Fergus Falls Security State Bank Fergus Falls CHECKING ACCOUNTS Section 8 Existing Public Housing MHFA-Loan Account Otter Tail County Tax Levy MHFA-HOME Account FUND Public Housing Section 8 Admin Reserve -- • Public Housing Security Deposits NOW Account NOW Account NOW Account NOW Account NOW Account .-f:\Users\JEFF\INVESTMENT LISTINGS\201 I\invest list otc-dec 201 L.doc OTTER TAIL COUNTY HRA INVESTMENT LISTING -- DESCRIPTION PRINCIPAL INTEREST Money Market Certificate #210979 Weekly Money Market S~vings Commercial Money • Market $6,593.85 $14,798.60 $7,035.87. $91,387.58 $39,366.86 $23,796.65 $326,994.63 $831.57 RATE .10% .10% .10% -- INTEREST PAID Maturity Automatic Deposit Monthly Account #9312-004634 . Monthly Account • #9312015673 I.D. # 41-1518930 PURCHASE DATE I -1 Renewed 09/19/11 MATURITY DATE 03/19/12 • CONTRA T FOR PROFESSIONAL ERVI CE SECTlON 8 VOUC HER PROGRAM THI AGREEME T. entered into as of this 14th da y of December, 20 11, between the Fergus Falls Housing & Redevelopment Authority (hereinafter referred to as FF HRA) and the Ottertail County Housing & Redevelopment Au thority (hereinafter referred to as the OTC HRA.) WITNESS ETH : WI IEREAS, the OTC HRA intends to und c1take a program of subsidizing rent payments fo r low income families and for the elderly to assist them in obtaining decent, safe and sanitary housing; and WHEREA , the OTC HRA has received funding from the United States Department of Housing and Urban Development (HUD) to undertake a HUD Section 8 Housing Choice Voucher Program, Master Annual Contri butions Contract No. C-4080, Project o. MN l 77VO to act as a Public Housing Agency to implement this progran1 ; and WHEREAS, The OTC HRA desires to engage the services of the FF HRA in providing the necessary administrative services in connection with carrying out the program ; and WHEREAS, the FF HRA is experienced and capable of admini stering the Section 8 Housing Choice Voucher Program and has the necessary staff to implement the program; OW THEREFORE in consideration of the mutual covenan ts and promises contained herein the parties agree as follows: I. cope of Services. The FF HRA shall furnish the foll owing services in connection with the ection 8 Housing Choice Vouche r Program: a) App lication processing. b) Inspection of housing un its. c) Admini stration of the Annual Contribution Contract d) On-going progran1 proces ing and recertificati on. e) Re-inspection of housing units. All as more specifica ll y set out in Section 4 below. 2. Time of Performances. The services to be purchased and furn ished under thi s agreement shall commence on January I, 20 12. and shal I be undertaken and completed in such sequence as to assure their exped itious completion in li ght of the purposes of the Contract; but in any event, all of the services required hereunder shall be continued through December 3 L 20 12, and shall be reviewed and approved on an an nual basis, thereafter. The Contract may be extended upon mutual agreement between the OTC HRA and the FF HRA. Thi s agreement may be terminated upon thirty (30) days written noti ce by the OTC HRA and also the FF l lRA in the event program fun ding is not provided or is terminated by HUD. In addition. the OTC HRA and the FF HRA shall both have the right to terminate this agreement at any time for cause by submitting written notice of the tem1ination to the other party by doing so at least ninety (90) days prior to the specified effective date of such termination. Termination for cause shall not occur unless arrangements satisfactory to HUD have been made for continued ad ministration of the ACC Contract. Cancell ation or termination of this agreement by either party shall not affect the rights of participating fam ilies within the county during the terms of their leases. In addition, the administrative fee will continue for services performed up to the date of contract termination on the basis set forth in Section 3 below. 3. Compensation. a) Compensation for the services of the FF HRA shall be in the form of the administrative fee allowed by HUD under the rul es and regulations of the Section 8 Housing Choice Voucher Program -24 CFR Part 882. Said fee to be derived fro m the Annual Contributions Contract. Fee to change concurrentl y as HUD approves new administrative fee rate. Said administrative fee to be ded ucted fro m the Annua l Contributions Con tract under the terms of that contract as administered by the FF HRA. b) In the event the current admini strative fee (as explained above) is reduced by HUD or does not meet the req uired annual administrative expenses, the FF HRA wi ll be reimbursed through the annual tax levy the OTC HRA levies throughout the County of Otter Tail. H·\Users\JEFF\SECT 8 PROFE 10 AL SERVICE .doc • c) The OTC HRA Commissioners per diem and travel expenses shall not be credited to the administrative fee allowed by HUD under the rules and • regulation of the Section 8 Housing Choice Voucher Program. These expenses will be paid out of the Otter Tail County Tax Levy d) The FF HRA will, to the best of its ability, operate the program within the administrative fee allowed by HUD 4. Program Obligations of the FF HRA. The services to be performed by the FF HRA under this program shall be as follows: a) Application processing shall include, but not be limited to, assisting applicants to complete forms, checking and verifying applicants income to determine eligibility for participation in the program, determining appropriate dwelling size, gross rent and gross family contribution to the rental payments, explaining the rights and responsibilities in the program to successful families who have been issued vouchers and upon request of a participating family, assist in locating suitable units (in the county, excluding Fergus Falls) examining leases and forwarding leases and Housing Assistance Payments Contracts to owners for execution. The FF HRA shall be responsible for the accuracy of information relating to an applicants program eligibility and verifications and application shall be made on forms provided by HUD. b) Inspection and re-inspection ofunits shall include an on-sight inspection and certification of the suitability of each housing unit prior to initial lease by a participating family and also the re-inspection of each.inspection shall be sufficiently thorough and complete so as to insure decent, safe and sanitary housing for each participating family. Housing quality standards shall be as set forth in Title 24, Chapter VIII Part 882.109 of the HUD regulations and by applicable building codes. Reports of inspection and re-inspection shall be made on forms provided by HUD. c) Administration of the Annual Contributions Contract shall include all necessary actions in order to comply with the ACC including check writing authority for housing assistance payments to owners. d) On-going program processing shall include annual recertification of tenants and the maintenance of program files and records for monthly reports maintaining contact with owners of rental units to encourage their participation in and undertaking of the program and maintaining lists of available rental units. e) Re-inspection of housing units shall be in compliance with terms of the Housing· Assistance Payments Contract and rules and regulations of HUD. f) Financial records. The FF HRA shall maintain a cash receipt and disbursement register to record operating receipts arid expenditures and shall each quarter prepare and submit to the Housing Authority not later than the meeting day of the month following the period covered, a statement summarizing operating receipts and expenditures by account classification. Each such statement shall be supported by vouchers evidencing payments made and shall be signed and certified to be correct by the Executive Director. The FF HRA presently has a fee accountant who is contracted with to handle all accounting procedures for both the FF HRA and the OTC HRA. All payments whether expenses or HAP checks will be co-signed by the Executive Director of the FF HRA and the Chairman of OTC HRA. The FF HRA will administer the program in accordance with HUD promulgated rules and regulations and its adopted Admission and Occupancy Procedures approved by HUD. The FF HRA further agrees to comply with the Ottertail County area-wide affirmative marketing plan submitted as a part of the Section 8 application and approved by HUD. Both parties understand that the program is subject to the terms and conditions of the Master Contract between OTC HRA and HUD and to HUD's current and future rules and regulations and both parties agree to abide by the same and cooperate in compliance therewith. 5. Program Obligations of Ottertail County HRA. The Ottertail County HRA agrees to comply with all applicable rules and regulations of the Federal government and further agrees to take any action necessary to allow the FF HRA to continue to comply with necessary rules and regulations. 6. Reports. The FF HRA will document all files with information as required by HUD and such files will be available for inspection by the OTC HRA. In addition, the FF HRA stands ready to make periodic reports to the OTC HRA at their request and at such time and place as they may designate. H:\Users\JEFF\SECT 8 PROFESSIONAL SERVICES.doc 2 7. Compliance with Federal, State. and Local Laws. The FF HRA and the OTC HRA shall comply with all applicable laws, ordinances and codes of the federal, state, and local governments. IN WITNESS WHEREOF, the OTC HRA and FF HRA have executed Jhis Agreement as of the date first above written. ATTEST: 12-15-2011 SECRETARY DATE ATTEST: 12-14-2011 SECRETARY DATE H:\Users\.JEFF\SECT 8 PROFESSIONAL SERVICES.doc 3 OTTER TAIL COUNTY HOUSING AND REDEVELOMPENT AUTHORITY BY _______________ _ ITS CHAIRPERSON FERGUS FALLS HOUSING AND REDEVELOPMENT AUTHORITY 12-15-2011 BY _______________ _ ITS CHAIRPERSON 12-14-2011 .. ADMINISTRATION CONTRACT FOR ADMINISTRATION AND OPERATION OF FE DERALLY ASSISTED HOUSING PROJECT NO. MN 177, ACC-4109 PARTIES IN CONS ID ERA TION of the covenants herein contained, the HO USING AUTHORITY OF OTTER TAIL COUNTY (hereinafter called the OTC HRA), and the HOUSING AUTHORITY OF FERGUS FALLS (hereinafter called the FF HRA), agrees as follows: HOUSING AUTHORITY GRANT The OTC HRA hereby employs the FF HRA to rent, lease, operate and manage according to the local Housing Authority policy the Projects known as Large Family Public Housing (MN 177) composed of .Ll. units, located in the Cities of Pelican Rapids, Henning, New York Mills and Underwood, Minnesota (hereinafter called the "Project") upon the terms and conditions set forth. FERGUS FALLS HRA ACCEPTANCE The FF HRA accepts this contract for the period and upon the terms herein provided and agrees to exert its best efforts faithfull y and diligently to perfonn the specified services and furnish the specified facilities, materials and labor. Said services, in general, involve the management of the Project which was developed pursuant to the provisions of the United States Housing Act, the stated purposes of which is to provide decent, safe and sanitary housing for families of low income. LIAISON AND SUPERVISION The FF HRA or its representatives may be required to appear at all regular meetings of the Board of Commissioners of the OTC HRA. INSTRUCTIONS AND POLICIES The FF HRA agrees to abide by all instructions relative to the management, rental and maintenance of the project issued from time to time by the OTC HRA, and adhere to all operating policies that have been or may be adopted and promulgated by the OTC HRA; however, with respect to such instructions and policies the FF HRA shall have the right to make recommendations and representations to the Board of Commissioners prior to their issuance or adoption, or to recommend subsequent changes or amendments. The FF HRA also agrees to comply with all rules, regulations, and policies of HUD. The program will be administered in accordance with the latest Annual Agency Plan approved by both the OTC HRA and HUD. ACCESS TO PROJECT AND RECORDS The OTC HRA, Board of Commissioners, Department of Housing and Urban Development (called HUD), and Comptroller General of the United States, or their duly authorized representatives, shall have full and free access to the Project and to all books, documents, papers and records of the FF HRA that are pertinent to its operation, including the right to audit, and to make excerpts and transcripts from such books and records. H:\Users\JEFF\service agreement.doc Page I of8 BUDGET AND PLAN OF OPERATIONS At least 90 days prior to the end of any budget period, the FF HRA shall have prepared and submitted an Operating Budget and Plan of Operations for the next fiscal year to the Board of Commissioners for their approval and submission to the HUD Area Office . . BUDGET REVISIONS The FF HRA or the OTC HRA may at any time initiate a proposed revision of any approved Operating Budget and/or Plan of Operations. Such revisions shall become effective upon approval by the OTC HRA, and HUD. The approved Operating Budget and Plan of Operations with approved revisions, if any, shall govern the FF HRA's management operations during the fiscal year. OPERATION EXPENSES The FF HRA will supervise the payment of all operating expenses properly incurred pursuant to an approved budget for utilities, routine maintenance, insurance, and employee benefit contributions. When specifically authorized by the OTC HRA, the FF HRA may also charge as an operating expense costs incurred in the actual performance of non-routine maintenance, for betterments and additions. FERGUS FALLS HRA EXPENSES The FF HRA shall furnish at its own expense and without additional expense to the OTC HRA, the following: 1. The salaries of all his administrative personnel, including related expense of social security, workmen's compensations and unemployment insurance. 2. Any additional office furniture and equipment it requires, as its own, to supplement office property of the PHA furnished and included within the property inventory, to enable toe FF HRA and its administrative personnel to effectively and fully perform the FF HRA's obligations and commitments hereunder in a workmanlike manner and to retain ownership thereto upon expiration of this Contract. 3. All required office supplies, postage, two-party check blanks and other materials incident to the administrative function of the FF HRA's office, except such supplies as may be recommended for use and provided by the OTC HRA. 4. Fees, charges and expense attributed to the semi-annual and annual closing of the books, specifically excluding the Fiscal Agents fees and independent audit fees. 5. Transportation and travel expense incurred by the FF HRA in the attendance of meetings by NAHRO and HUD. MANAGEMENT SP ACE The FF HRA may use rent-free, with utilities included solely for the performance of this contract its office, together with any maintenance, or storage space that may be a part of the project; however, no dwelling or community activities space shall be diverted to such use, without the specific authorization of the OTC HRA. RENTAL OF DWELLINGS H:\Users\JEFF\.service agreement.doc Page2 of8 The FF HRA shall accept as tenants only those families and individuals deems eligible according to guidelines established by the OTC HRA. Dwellings shall be rented for residential purposes only by the lessee and the lessee's immediate family and rents shall be charged in accordance with the approved rent schedule established by HUD. LEASE REQUIRED No tenant shall be permitted to occupy a dwelling in the project except pursuant to a written lease executed by both the FF HRA and the tenant. The FF HRA shall obtain approval by the OTC HRA of the form of lease to be used and it shall incorporate provisions as specified by the OTC HRA as to requirements for reporting family income and redetermination of rent and eligibility. No lease shall be for other than one-year renewable term. Any rules and regulations governing occupancy not included in the lease but incorporated therein by reference shall also be subject to approval by the OTC HRA. EVICTIONS The FFHRA is authorized to serve notice on any tenant to quit and vacate the property when the FF HRA deems such notice necessary; however, in each such case the tenant shall be given an opportunity to present any pertinent rebuttal. The FF HRA shall maintain a written record of every eviction from the project. Such records are to be available for review by HUD representatives and shall contain information as follows: I. Name of tenant and identification of unit occupied. 2. Date of Notice to vacate. 3. Specific reason(s) for notice to vacate. For example, if a tenant is being evicted because of undesirable actions, the record should detail the actions, which resulted in the determination that eviction should be instituted. 4. Date and method of notifying tenant with a summary of any conferences with tenant, including names of conference participants. 5. Date and description of final action taken. The FF HRA is also authorized to institute and prosecute such actions or other proceedings as rriay be deemed advisable to carry out such eviction or to recover rents, charges, or other sums due and payable. Such actions or proceeding may be discontinued by the FF HRA, provided however, that no suit, action or proceeding may be compromised without the consent of the OTC HRA. 6. Such collection fees and costs and/or legal fees shall be considered as operating expenses. The FF HRA shall not be responsible for the acts, defaults, omissions or negligence of the attorneys or collection agencies, if reasonable care has been exercised in their selection and retention. TENANT INCOME RE-EXAMINATION The FF HRA shall cause to be made re-examinations of tenant income, every year for low-income family and elderly, and shall initiate any rental changes necessary as a result of the re-examination. COLLECTIONS AND DEPOSITS The FF HRA shall collect all rents and other income and upon receipt of the same shall deposit such rents and income in a special account to be designated in a General Depository Agreement with HUD, which depository shall be a member of the Federal Deposit Insurance Corporation. All collections pertaining to the rental operation of the project shall be deposited in such special bank account as often as normal business practices dictate. TENANT ACCOUNTING H:\UsersVEFf\service agreement.doc Page3 of8 The FF HRA shall be responsible for maintaining the books of account and filing HUD-required financial statements. The FF HRA is also responsible for preparing and signing HUD required development and management forms. PAYMENTS The FF HRA shall pay all operating expenses of the project in the manner and subject to the limitations provided for herein and make refunds of security deposits and unearned rent by checks drawn on the special account referred to hereinabove. COST RECORDS AND REPORTS The FF HRA shall maintain a cash receipts and disbursements register to record operating receipts and expenditures and shall each quarter prepare and submit to the OTC HRA, not later than the meeting day of the month following the period covered, a statement summarizing operating receipts and expenditures by account classification. Each such statement shall be supported by vouchers evidencing payments made and shall be signed and certified to be correct by the FF HRA. PERSONAL PROPERTY All depreciable property belonging to the OTC HRA and located at the project site shall at all times be under the custody and control of the FF HRA, who accepts full accountability therefore. Inventories of such property shall be given to the OTC HRA in writing at least once each fiscal year as agreed upon between the parties hereto. The FF HRA shall be liable for loss or destruction of depreciable property of the OTC HRA when caused by the fault or negligence of the FF HRA or his agents. PROCUREMENT Except when the amount involved exceeds $25,000.00 the FF HRA is authorized to procure and enter into contracts for supplies, materials, equipment, and services needed in the maintenance, repair and operation of the project pursuant to the approved budget and procurement policy. All purchases and contracts shall be made in accordance with procedures approved by the OTC HRA. The FF HRA shall not, without the specific approval of the OTC HRA make any purchase or award any contract when the amount involved exceeds $25,000.00, except, to the lowest responsible bidder and according to the procurement policies. SOCIAL SERVICES The FF HRA's responsibility for Social Services will be limited to coordinating general services for the public housing residents, and if needed, the referral of tenants to the proper agency in case of housing-related social problems. ROUTINE MAINTENANCE All necessary routine maintenance should be accomplished to the extent possible, by tenants (snow removal, lawn mowing, general upkeep, etc.). All technical maintenance service, equipment repair, or special maintenance shall be contracted out through the FF HRA for the service or repair. EXTRAORDINARY MAINTENANCE-BETTERMENTS AND ADDITIONS H:\UsersVEFF\service agreement.doc Page4 of8 The FF HRA shall be responsible for the general administration of all property betterments and additions that have been approved in the Operating Budget or Capital Fund Program and by the OTC HRA. The FF HRA shall also arrange for any services needed in making the approved betterments and additions. TENANT PARTICIPATION The FF HRA shall encourage, promote and supervise tenant participation in maintenance, janitorial and exterminating work to .the extent requested by the OTC HRA, and covered in the Budget and Plan of Operations. BOND The FF HRA shall furnish the OTC HRA with a fidelity bond issued by a surety company satisfactory to the OTC HRA, in the amount required by the OTC HRA, indemnifying the OTC HRA, against loss, theft, embezzlement or other fraudulent acts on the part of the FF HRA 's employees. The bond shall be furnished in the form and manner prescribed by the OTC HRA. The FF HRA shall also obtain and maintain a specific type performance bond to insure compliance with the terms and conditions of the contract and to guard against the filing of any labor and materials lien against the OTC HRA or the Federal Government. WORKMEN'S COMPENSATION The FF HRA shall secure and maintain Workmen's Compensation coverage upon all of their personnel and at the insistence of the OTC HRA. OTHER COVERAGE Depending upon the cost at which desired coverage's are available to the FF HRA, the OTC HRA may require or permit the purchase of other forms of insurance by the FF HRA. The cost of all insurance whether purchased by the FF HRA, or by the OTC HRA, and the cost of the Fidelity and Performance Bonds required shall be considered an operating expense of the Project. POLICIES All insurance policies and bonds when purchased by the FF HRA shall provide coverage of the kind and in ·the amount required by the OTC HRA and shall be submitted to the OTC HRA in binder or final form not less than sixty days before the effective date thereof and be subject to the approval of the Department of HUD. LIABILITY COVERAGE Liability insurance policies purchased by the OTC HRA shall provide protection for both parties hereto against risks assumed, or incurred as incident to performance of this contract, and shall prohibit the insurer from defending any tort claims on the ground of immunity of the OTC HRA from suit. PERSONNEL H:\UsersVEFF\service agreement.doc Page 5 of8 It shall be the duty of the FF HRA to hire, discharge and supervise all employees required for the operation of the premises; and that the FF HRA may perform non-administrative duties through the OTC HRA 's attorney, agents or employees and not be responsible for their acts, defaults, or negligence if reasonable care has been exercised in their selection and retention. EQUAL EMPLOYMENT OPPORTUNITY During the performance of this contract, the FF HRA agrees not to discriminate against any employee or applicant for employment because of race, creed, color, sex or national origin. The FF HRA will take affirmative action to insure that applicants are employed, and that employees are treated during employment without regard to race, creed, color, sex, or national origin. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment, or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The FF HRA shall insert provisions similar to the foregoing in all sub-contracts, except sub-contracts for standard commercial supplies or raw material. PREVAILING WAGES A D HOURS OF WORK Each contract entered into the FF HRA in connection with the Project under which any laborers or mechanics are employed in such operation (other than contracts for the furnishing or materials or equipment and not involving work normally done at the site of the Project other than the delivery of such material or equipment) shall require that there shall be paid to all such maintenance laborers and mechanics, not less than the wages prevailing in the locality of the Project, as determined or adopted (subsequent to a detennination under applicable State or local law) by HUD. CONTRACT WORK HOURS STANDARDS ACT -OVERTIME COMPENSA TIO either the FF HRA nor any subcontractor contracting for any part of he contract work which may require or involve the employment of laborers or mechanics shall require or permit any laborer or mechanic in any work-week, in which he is employed on such work, to work in excess of eight hours in any calendar day or in excess of forty hours in any such work-week unless such laborer or mechanic receives compensation at a rate not less than one and one-half times his basic rate of pay for all hours worked in excess of eight hour in any calendar day or in excess of forty hours in any such work-week, as the case may be. In the event of any violation of the above provisions, the FF HRA and any subcontractor responsible therefore shall be liable to any affected employee for his unpaid wages. In addition, such FF HRA and subcontractor shall be liable to the United States for liquidation damages. Such liquidated damages shall be computed, with respect to each individual laborer or mechanic employed in violation so the said provisions in the sum of $10 for each calendar day on which such employee was required or permitted to work in excess of eight hours or in excess of the standard work-week of forty hours without payment of he overtime wages required to be paid. The OTC HRA may withhold, or cause to be withheld, from any monies payable on account of work performed by the FF HRA or subcontractor, such sums as may administratively be determined to be necessary to satisfy any liabilities of such FF HRA or subcontractor, for such unpaid wages and such liquidation damages if any there be. CONFLICT OF INTEREST H :1 Users\J EFF\service agreement.doc Page 6 of8 No member, officer, or employee of the Local Authority, nor member of the governing body of the locality in which the Project is situated, nor member of the governing body of th e locality in which the local Authority was activated, nor other public offi cial of such locality or localities who exercises any functions or responsibilities with respect to the Project, during his tenure or fo r one year thereafter shall have any interest, direct, or indirect, in this contractor the proceeds thereof. CONSIDERATION For management services rendered in accordance with this Contract, the FF HRA shall receive 100 percent of the administrative amount approved by HUD for said budget year. This cost and any other payment to the FF HRA authorized by this Contract shall be considered to be an operational expense of the project. The fee fo r the FF HRA's services shall be negotiated annually at the time the budget is reviewed by the OTC HRA. TIME OF PERFORMANCE The services to be purchased and furni shed under this agreement shal I commence on January I, 201 2, And shall be undertaken and completed in such sequence as to assure their expeditious completion in light of the purpose of the Contract; but in any event, all of the services required hereunder shall be continued through December 3 1, 201 2, and shall be reviewed and approved on an annual basis, thereafter. The Contract may be extended upon mutual agreement between the OTC I-IRA and the FF HRA. TERMINATION Either party to this contract, after it has been in effect for sixty (60) days, may elect to cancel and terminate this contract at the c lose of business on the last calendar day of the month by giving to the other party not less than sixty (60) days written notice of the decision to so terminate this contract. The said sixty (60) days shall be computed from the date of mailing of such notice. A copy of such terminati on shall be furnished to HUD, and termination should be contingent upon arrangements being made fo r project administrati on that are approved by HU D. ln the event of sale of the project by the OTC I-IRA, this contract shall automatically terminate simultaneously with the transfer of title to the Project of the last property thereof. Notwithstanding the provisions of this paragraph, if the FFHRA or any of the agents or employees shall fail to perform the specified services and furni sh the specified facilities, materials and labor, the OTC HRA may find the FF HRA to be in default under the provisions of this clause. Upon default by the FF HRA, the OTC HRA shall have the right forthwith to cancel and terminate this contract by giving written notice to the FF HRA at its last known address and shall set forth the manner in which the FF I-IRA has fa il ed to comply with the terms and conditions of this Contract. In the even of terminati on of this contract as above provided, the FF I-IRA shall be entitled to receive compensation earned hereunder for management and rental services rendered as herein provided up to the date such termination becomes effective. H:\Users\JEFF\service agreement.doc Page 7 of 8 IN WITNESS WHEREOF, the parties have affixed their signatures on this 14th day of December, 2011. OTTER TAIL COUNTY HOUSING & REDEVELOPMENT AUTHORITY BY ___________________________ _ Chairperson -12-15-2011 ATTEST ________________________ _ Secretary -12-15-2011 FERGUS FALLS HOUSING & REDEVELOPMENT AUTHORITY BY ____________________________ _ Chairperson -12-14-201 I BY ___________________________ _ Executive Director -12-14-2011 ATTEST ________________________ _ Secretary -12-14-201 I H:\Users\JEFF\service agreement.doc PagC 8 of8 CONTRACT FOR PROFE SlONAL SERVICES MIN ESOTA HOUSING FINANCE AGE CY HOUSING REI IABILITATION PROGRAMS THIS AGREEMENT, entered into as of this 14th day of December. 20 11 , between the Fergus Falls Housing and Redevelopment Authority (hereinafter referred to as the FF HRA) and the Otter Tail County Housing and Redevelopment Authority (hereinafter referred to as the OTC HRA.) WITNE ETH: WHEREAS, the OTC HRA has received funding from the Minnesota Hou sing Finance Agency to undertake Housing Rehabilitation Programs in The County of Otter Tail , Excluding the City of Fergus Falls, and to act as the Housing Agency to implement these programs and WHEREAS the OTC HRA desires to engage the services of the FF HRA in providing the necessary administrative services in connecti on with cruTying out the programs and WI IEREAS the FF HRA is ex perienced and capable of adm inistering the Housing Rehabilitation Programs and has the necessary staff to implement the programs. OW THEREFORE, in consideration of the mutual covenants and promises contained herein, the patties agree as follows: I. Scope of Services: The FF HRA shall furni sh the fo llowing services in connection with the MHFA Rehabi litation Loan Program and the MHFA "Home" Rental Rehab Program. a) Outreach b) App li cation Processing c) Work Specifi cations d) Inspections e) File Close-outs 2. Time of Performance: Thi s co ntract shall run for the period Jrurnary l, 2012 to December 31,2012. 3. Compensation: Co mpensation fo r the services of the FF HRA shall be in the form of the administrative fees allowed by M HF A under the rul es and regulations of each Rehabilitation Program. 4. Financial Records and Reports: The FF HRA wi ll document and maintain all files with info rmati on as required by MHFA. ATTEST: OTTERTAIL COUNTY HO USl G A D REDEVLOPMENT AUTHORlTY 12-1 5-20 11 ecretary Date ATTEST: 12-14-2011 Secretary Date 11:\Users\DEN IS\MI IFA PROFLSSIONAL SLR VICES doc BY: ___________ _ ITS: CHAIRPERSON 12-15-20 11 FERGUS FALLS HOU ING A D REDEVLOMENT AUTHORITY BY _____________ _ ITS: CHAIRPERSO 12-14-2011 BY _____________ _ ITS : EXECUTIVE DIRECTOR 12-14-2011 CONTRACT FOR PROFESSIONAL SERV ICES OTTERTAIL COUNTY TAX LEVY HOUS ING REHABILITATION PROGRAM THI AGREEMENT, en tered into as of thi s 14th day of December, 2011 , between the Fergus Falls Housing and Redevelopment Authority (hereinafter referred to as the FF HRA) and the Otter Tail County Housing and Red evelopment Authority (hereinafter referred to as the OTC HRA.) WI TNE SETII: WHEREAS, the OTC l IRA has received funding from the County of Otter Tail to undertake a Housing Rehabilitation Program in The County of Otter Tai l, Excluding the Ci ty of Fergus Falls, and to act as the Housing Agency to implement this program and WHEREA the OTC I IRA desi res to engage the services of the FF HRA in providing the necessary administrative services in connection with carrying out the program and WHEREAS the FF HRA is experienced and capable of administering the Housing Rehabilitation Program and has the necessary staff to implement the program. NOW THEREFORE, in consideration of the mutual covenants and promises contained herein, the parties agree as foll ows: I. Scope of ervices: The FF HRA shall furni sh the fo llowing services in connecti on with the Otter Tail County Owner Occupied Rehabilitation Loan Program, and the Otter Tail County Rental Rehab Loan Program. a) Outreach b) Application Processing c) Work Spec ifications d) Inspections e) File Close-outs 2. Time of Performance: This contract shall run for the period January I, 2012 to December 31,2012. 3. Compensation: Compensation for the services of the FF HRA shall be in the form of fees for services and will be reimbursed out of the Tax Levy Program, at the current hourly compensation rate, which includes all benefits. Also, mileage will be reimbursed at the current rate all owed by the IRS. 4. Financial Records and Reports: The FF HRA wi ll document and maintain all files with information as required by Otter Tail County. ATTEST: OTTER TAIL COUNTY HOUSING AND REDEVLOPMENT AUTHORITY 12-15-20 11 Secretary Date ATTEST: 12-14-201 1 Secretary Date H·\UserslDENNI \OTC Tax Le, y Con_Prof_ er doc BY: _____________ _ ITS CHAIRPERSON 12-1 5-20 11 FERGUS FALLS HOUSING AND REDEVLOMENT AUTHORITY BY -------------- ITS CHAIRPERSON 12-14-20 11 BY _____________ _ ITS EXECUTIVE DIRECTOR 12-14-201 1 $0.00 OTTERTAIL COUNTY HRA PUBLIC HOUSING BALANCES TO WRITE OFF DECEMBER 2011 Program MHFA Deferred Loans -Phase XV Mrti-n Rental Rehab -2011 Program OTC Tax Levy-Homeowner (2011) OTC tax Levy -Rental (2011) Otter Tail County HRA Rehabilitation Projects Update December 15, 2011 Applications In Process Inspected 9 1 8 0 Program will not start until 2012 17 0 17 12· 0 12 Rehab Bidding In. Complete Pro2ress 2 0 6 0 3 14 12 0 0 New 2012 SCDP Applications: ~EI::::. O -m-\~, i" ---.)"l.'1.~4 .-1 /.20 I~ *Pelican Rapids Short Form for owner rehab onl Submitted by November 17, 2011 deadline *Ver2as Full Annlication for owner rehab and commercial rehab Submitted bv November 17, 2011 deadline SCDP: Battle Lake (15 homes) 7 2 5 4 1 0 SCDP: Battle Lake (7 commercial) 6 2 4 4 0 0 SCDP: Parkers Prairie/Deer Creek (8 homes) 3 2 1 1 0 0 SCDP: Pelican Rapids/Erhard/Erhard's 20 0 20 0 6 14 Grove Twshp/Pelican Twshp (22 homes) SCDP: Pelican Rapids/Erhard/Erhard's 11 0 11 3 3 5 Grove Twshp/Pelican Twshp (10 commer.) SCDP: New YorkMills/Blnffton/ 16 1 15 3 3 9 Newton Twshp/Bluffton Twshp (21 homes) SCDP: New York Mills/Bluffton/ 6 0 6 0 3 3 Newton Twshp/Bluffton Twshp (5 commer) SCDP: New York Mills/Bluffton/ 15 units 0 15 units 12 units 1 unit 2 units Newton Twshp/Bluffton Twshp (15 rental) 6- $136,189.55 OTC UMA UML January 140 125 February 140 116 March 140 113 April 140 118 May 140 114 June 140 HS July 140 117 August 140 121 September 140 12( - October 14Q 121 v November 140 /"1"24 ',,J December 140 YTD 1,680 1,304 ABA YTD: Less HAP Expenditures YTD: = Remaining YTD: CY Eligibility: Remaining CY Eligibility: CY Months Remaining: Leasing% 77.62% Monthly CY Eligibility Remaining: Unit Months Available CY: Unit Months Leased CY: Unit Months Remaining CY: Monthly Units Remaining CY: Unit Months Funding Would Support: Monthly Units Funding Would Support: Minimum of Available or Supportable: Minimum of Available or Supportable Montt ' ., $425,799 $371,641 $54,158 ' $44i 084 ,'" '1 .• •.; $69,443 ' . • .. ':1, $69,443 ' 1,6~0. 1,304 376 376 244 244 244 244 ABA $ 38,709 $ 38,709 $ 38,709 $ 38,709 $ 38,709 38,709 38,709 38,709 38,709 38,709 38,709 $425,799 ABA Utilization HAP % PUC $ 34,542 $ 276 $ 32,035 $ 276 $ 29,579 $ 262 $ 33,312 $ 282 $ 33,283 $ 292 $ 33,682 $ 293. $ 34,658 $ 296 $ 36,139 $ 299 $ 34,713 $ 289 $ 34,171 $ 282 $ 35,527 $ 287 #DIV/OJ $ 371,641 87.28% $ 285 SUMMARY OF ACTIONS OTC SECTION HCV PROGRAM OCTOBER & NOVEMBER, 2011 AnnualRecerts Interim Recerts Ports-In/Billing Ports-In/Absorbed* Ports00ut/Billed* Ports-Out/Absorbed* Ports Out/End Participation• End Participation• Shop Mode/ARS* New Admissions• Waiting List/To Date Vouchers Issued Applications I/P Ports In Pending Ports Out Pending Ports Out Paid Ports Received In-House Transfers ELI% 17 11 0 0 0 2 0 3 0 9 116 19 19 2 0 9/$6091.00 0 1 75% OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units October 2011 Rents Payable $3,265.00 Rents Collected $ 2,519.39 Late Fees Charged $ 23.92 Late Fees Collected $ 0.00 Late Fees Outstanding $ 23.92 ELI Percentage 50% Vacancies 0 Waiting List 2 Bedroom 36 3 Bedroom 19 4 Bedroom 6 H:\Users\Pam\Boaid Reports\OT County -Board Report.doc OTTER TAIL COUNTY PUBLIC HOUSING FAMILY UNITS BOARD REPORT 13 Family units November 2011 Rents Payable $3,284.00 Rents Collected $ 3,678.00 Late Fees Charged $ 0.00 Late Fees Collected $ 23.92 Late Fees Outstanding $ 0.00 ELI Percentage 50% Vacancies 0 Waiting List 2Bedroom 34 3 Bedroom 19 4 Bedroom 6