HOUSING OPPORTUNITIES COMMISSION OF MONTGOMERY COUNTY Detrick Avenue Kensington, Maryland (240) Minutes February 4,

Transcription

1 HOUSING OPPORTUNITIES COMMISSION OF MONTGOMERY COUNTY Detrick Avenue Kensington, Maryland (240) Minutes February 4, The monthly meeting of the Housing Opportunities Commission of Montgomery County was conducted on Wednesday, February 4, 2009 at Detrick Avenue, Kensington, Maryland beginning at 7:10 p.m. Those in attendance were: Present Michael Kator, Chair Roberto Piñero, Vice Chair Jean Banks Norman Cohen Pamela Lindstrom Sally Roman Not Present Norman Dreyfuss, Chair Pro Tem Also Present Annie Alston, HOC Executive Director Ken Tecler, HOC Counsel Kayrine Brown Maryann Dillon Lillian Durham Scott Ewart Les Kaplan Tedi Osias Jerry Robinson William Anderson Antonia Adams Jim Atwell Valerie Battle Vivian Benjamin Melissa Berger Patrice Birdsong Lou Chaney Tonya Clark Bobbie DaCosta Tom DeBrine Dorothy Douglas Scott Ellinwood Lynette Garner Al Gentry Michelle Henderson Monro Howard Gail Gunod-Green Tonjua Julius Rose Matthews Patrick McMahon Jim Miller Doug Ryan Nancy Scull Leon Sidbury Marsha Smith Dean Tyree Yvonne Walters Eileen Hartnett, Special Assistant to the Commission Arthur Owens/IT Support Irma Rodriguez/IT Support

2 Minutes 12/03/08 Page 2 of 12 Guests Phil Andrews, President, Montgomery County Council Ces Barreto, Resident Advisory Board Christine Cromwell, Resident Advisory Board Avi Halpert, Camp Hill Square Board Member Winston Jarrett, Resident Advisory Board Nadim Khan, Health and Human Services Linda Moreno, HOC Volunteer Richard Nelson, DHCA Ken Reichard, Rep. for Senator Cardin Sara Rosen, Rep. for Congressman Chris Van Hollen Jeffrey Slavin, Camp Hill Square Board Member Chair Kator convened the Annual meeting of the Housing Opportunities Commission at 7:10 p.m. and welcomed staff and visitors. The 2009 Housing Honor Roll and Special Recognition Awards were presented. Housing Honor Roll Award Kenneth B. Tecler has ably served as General Counsel for HOC since In his capacity, he has advised the Commission on a wide range of topics, including property and land acquisition, real state law and housing finance matters. Special Recognition Awards Jim Auerbach is honored for his many hours of volunteer service, providing expert photography of HOC events. A Wider Circle is honored for outstanding service to the community through its furniture and household goods donation program. Unique Closet has provided HOC clients and the homeless with vouchers to purchase essentials such as clothes, linens and dishes. Elliot Chabot is honored for his 23 years of service on the Board of Banor Housing and his commitment to affordable housing. Mary Corley has given more than 30 years of service on the board of Town Center. Her efforts have bettered the lives of HOC residents. Avi Halpert has served more than 21 years on the Camp Hill Square Board of Directors. His professional expertise in construction and facility maintenance has been a tremendous asset to the property. Walter Petzold is honored for 23 years of service on the Board of Banor Housing and his efforts on behalf of fair housing in our community.

3 Page 3 of 12 Jeffrey Slavin has served 18 years on the Camp Hill Square Board of Directors. Since 1991, he has given his time and expertise on behalf of HOC residents. Year in Review Weathering the Storm Annie Alston, Executive Director, opened by extending thanks to the Commission, staff and the many community partners for their support of HOC. As the newly-appointed Executive Director, Ms. Alston affirmed her commitment to HOC s mission mission. Her leadership with the Agency will include advocacy in the areas of affordable housing, our clients and the staff. HOC Highlights of 2008 HOC opened two customer services centers one in Gaithersburg and one in Silver Spring. A ribbon-cutting and open house was held for MetroPointe Apartments, a 173-unit, mixed-income property. HOC partnered with Montgomery County and the City of Rockville to convert 49 apartments at King Farm into workforce housing. Leafy House, a senior property, was sold to Victory Housing, a non-profit with experience with independent living management. No residents were displaced as a result of the sale. Seneca Ridge, a townhouse community built in 1973, received exterior and interior renovations. The waiting lists for Public Housing and the Housing Choice Voucher programs opened and 33,000 applications were received. HOC Awards for 2008 Distinguished Budget Presentation Award from the Government Finance Officers Association for the 5 th year in a row. National Award of Merit from NAHRO for Forest Oak Towers in Gaithersburg. Award of Merit from NAHRO for the youth photography club. HOC was rated a high performer by HUD for the management of the Housing Choice Voucher and Public Housing programs. Partnering in 2009 Shaun Donovan has been appointed as the new HUD Secretary. Collaboration on programs with the Montgomery County Department of Housing and Community Affairs. Those programs have included the Dale Drive property, workforce housing units at King Farm and the Rent Supplement Program. Housing Opportunities and Concepts (HO&C) generating new revenue for affording housing Milestones Scott Minton retired from HOC in July and Annie Alston has been appointed as the new Executive Director. Earl DeMaris retired as Managing Director of HO&C

4 Page 4 of 12 Fran Hawkins and Mark Lu from Housing Management and Mike McGinn from the Real Estate Division retired. Leslie Foster, who gave 27 years of service to HOC, recently passed away. Ms. Alston thanked the Commission for their work in 2008 and stated HOC s commitment to service in the community will continue in Election of Officers Ms. Alston opened the floor for the election of officers. Commissioner Cohen nominated Michael Kator as Chair, Roberto Piñero as Vice Chair, and Norman Dreyfuss as Chair Pro Tem. Being no other nominations, the new officers were unanimously elected. The Consent Calendar was approved upon a motion by Commissioner Roman and seconded by Commissioner Cohen. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. I. CONSENT ITEMS A. Approval of Minutes of January 14, 2009 The minutes were approved as amended. B. Ratification of Action Taken in Executive Session on January 14, 2009: Authorization to Enter into Contract for Acquisition of 7411 Aspen Court RESOLUTION: RE: Ratification of Authorization to Enter into Contract for Acquisition of 7411 Aspen Court WHEREAS, the Commission approved HOC to enter into a contract for acquisition of 7411 Aspen Court in Executive Session on January 14, 2009, and WHEREAS, 7411 Aspen Court (the Property ) is an 11-unit rental apartment building located on a three-property cul-de-sac in Takoma Park; and WHEREAS, HOC currently owns two of these three properties, all of which are in need of renovation; and WHEREAS, the acquisition of this Property would allow HOC to achieve greater control over the management and physical condition of the properties within this cul-de-sac as well as achieve some economies of scale and protect HOC s investment in Aspen Court and 717 Sligo Creek Parkway, making the properties more appealing to prospective tenants; and WHEREAS, long-term property management control by HOC further allows for the ongoing preservation of low-income rental housing within an attractive middle and upper income neighborhood; and WHEREAS, with the support of the County s Department of Housing and Community Affairs (DHCA), HOC staff has considered the acquisition of the Property; and

5 Page 5 of 12 WHEREAS, after acquisition it is proposed that necessary upgrades be performed and the units rented to families earning 50% of the Washington Area Median Income (AMI); and WHEREAS, DHCA is aware of this pending acquisition and its proposed terms and, as a condition to closing on the acquisition, staff recommends that the Commission require evidence from DHCA of its commitment to allocate sufficient funds for the acquisition of the Property and its intent to fund renovation costs of the property at a level sufficient to meet the long-term needs of the Property; and WHEREAS, in order to complete the acquisition, staff is recommending the Commission authorize the Executive Director to enter into a contract to purchase 7411 Aspen Court and to advance a $50,000 earnest money deposit which is fully refundable prior to closing should the Commission decide not to pursue the acquisition. of Montgomery County that the Executive Director is authorized to execute a contract to purchase 7411 Aspen Court and to advance a $50,000 earnest money deposit, which is to be refundable prior to closing should the Commission decide not to pursue the acquisition., that it hereby ratifies the actions taken during Executive Session on January 14, II. INFORMATION EXCHANGE A. Report of the Executive Director Annie B. Alston, Executive Director, added the following items to her written report: There is great interest in the King Farm workforce housing units. Over 200 individuals have preregistered for the units. Employees with Montgomery County government and the public schools, HOC, Park and Planning and WSSC will all be notified of this opportunity. HOC received notification that the new Montgomery County Voluntary Rent Guideline for 2009 is set at 4.4%. The County Council Charity Committee generously donated $2,620 for the HOC Summer Youth Program. Federal Economic Stimulus Plan Tedi Osias, Director of Legislative and Public Affairs, explained the $900 billion HR1 The American Recovery and Reinvestment Act (ARRA). It was passed by the House on January 28, Two-thirds of the $819 billion was for spending and one-third was for tax cuts. The Bill is now in the Senate and has increased to $900 billion. President Obama is expected to sign the bill in mid-february. Montgomery County s CAO recently convened a meeting which included most of the County departments, outside agencies including HOC, WSSC, Montgomery College, and MCPS. This meeting was to identify which projects would be appropriate for

6 Page 6 of 12 funding through the stimulus bill. HOC was able to identify about $32 million in shovel-ready projects. Elements of the plan that may affect HOC are: Increased allocation for the Public Housing Capital Fund. Last year, HOC received $2.3 million. Under the HUD formula, HOC receives 1/10 of 1% from that Fund. In the Senate version of the bill, $3 billion will be distributed under the 2008 formula and $2 billion through a grant process. HOC would receive $3 million if the Senate bill is unchanged. HOC receives funds from the County through the HOME and the CDBG program for rehab and renovation of the properties. The CDBG funding is expected to increase to $1 billion and the County is estimating by formula it will receive approximately $1.5 million. The same holds true for the HOME program, with an increase of $1.5 billion in the economic stimulus bill, Montgomery County will receive approximately $2 million. The money will go to the County but with HOC s partnership with the County, HOC is optimistic that HOC will receive some funding. In July, Congress passed the Housing and Economic Recovery Act and created a fund of $3.9 billion for the Neighborhood Stabilization Program to purchase foreclosed homes and then have local governments and public housing authorities resell or rent the units. This program will see an additional $4.2 billion and Montgomery County is expected to receive about $1 million directly and perhaps more with a state allocation. Money will also be available for workforce development, emergency food and shelter, emergency shelter grants and community services block grants. The greatest amount of money is for education, both K-12 and post secondary. B. Commissioner Exchange Chair Kator attended the funeral of Councilmember Don Praisner. Mr. Praisner was a friend to the community and affordable housing and his contributions were immeasurable. C. Community Forum None III. COMMITTEE REPORTS and RECOMMENDATIONS FOR ACTION A. Legislative and Regulatory Committee Commissioner Roman 1. Approval of Revised Flat Rent Schedule for Public Housing Commissioner Roman introduced the item explaining that Public Housing residents whose rent exceeds 30% of their income have the option of switching to a flat rent. These rents

7 Page 7 of 12 are predetermined and have not increased since 2005 and, subsequently, have fallen significantly below the market rents. The residents are able to return to a rent of 30% of their income if it falls below the flat rent. The flat rent increases at the four elderly sites would be modified due to the smaller sizes and ages of the units. Doug Ryan, Deputy Director of Federal Programs, outlined how the calculations and formula was applied to a family unit with a flat rent and those at the four elderly sites. Commissioner Roman and Mr. Ryan explained it was the consensus of the Committee to review the rents annually so that adjustments are made more frequently. The following resolution was adopted upon a motion by Commissioner Roman and seconded by Commissioner Cohen. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. RESOLUTION: RE: Approval of Revised Flat Rent Schedule for Public Housing WHEREAS, the Housing Opportunities Commission of Montgomery County has adopted a schedule of flat rents for its Public Housing, as required by federal regulation; and WHEREAS, the agency annually reviews and, from time to time, revises the schedule to be consistent with market rents; and WHEREAS, the agency uses market data to determine flat rents for its Public Housing. of Montgomery County that the Commission adopts the revised flat rent schedule for its Public Housing as shown on Attachment A. 2. Approval of Changes to the ACOP, Administrative Plan and EIV Policy Relating to Repayment Agreements Commissioner Roman introduced the resolution to approved changes to the ACOP, Administrative Plan and EIV Policy which limits repayment agreements to amounts less than the HUD OIG referral level instead of a specific dollar amount. Doug Ryan, Deputy Director of Federal Programs, explained there has been an increase in unreported income discovery with the Enterprise Income Verification. This has caused an additional need for investigation and repayments agreements. There was general discussion regarding actions of HOC and the HUD OIG for households with unreported income. The following resolution was adopted upon a motion by Commissioner Roman and seconded by Commissioner Lindstrom. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote.

8 Page 8 of 12 RESOLUTION: RE: Approval of Changes to the ACOP, Administrative Plan and EIV Policy Relating to Repayment Agreements WHEREAS, the Housing Opportunities Commission of Montgomery County Housing Choice Voucher and Public Housing program policies are stated in the Admissions and Continued Occupancy Policy (ACOP), the Housing Choice Voucher/ Section 8 Program Administrative Plan and the Enterprise Income Verification (EIV) Policy; and WHEREAS, the agency repayment agreement is stated in the ACOP, Administrative Plan and EIV Policy; and WHEREAS, the Commission recognizes the efforts of the Office of Inspector General in collecting funds owed to the agency. of Montgomery County that the Commission adopts the changes to the Repayment Agreement policy, as stated in the attachment, into the ACOP, Administrative Plan and EIV Policy. IV. ITEMS REQUIRING DELIBERATION and/or ACTION A. Approval of Contracts for Informal Hearing Officers for the Housing Choice Voucher Program Doug Ryan, Deputy Director of Federal Programs, gave a brief overview of the contracts for Informal Hearing Officers and their responsibilities. The cases would be evenly split with the expectation that each hearing officer will hear between informal hearings in a 12 month period. Commissioner Banks requested a follow-up report on the process and case loads. Mr. Ryan responded to Commissioner Roman s question about the advantage of having two hearing officers. He explained at any given time there are numerous requests for hearings and this will allow hearings in a timely manner. At times, criminal activity or serious fraud is involved which requires an accelerated process. Additionally, if any party in the hearing has a conflict of interest the case could be transferred to the other officer. The Request for Proposal (RFP) outlined the responsibilities of the hearing officer and contract amount. The current hearing officer responded to the RFP and is aware of the contract limitations. The following resolution was adopted upon a motion by Vice Chair Piñero and seconded by Commissioner Cohen. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. RESOLUTION: RE: Approval of Contracts for Informal Hearing Officers for the Housing Choice Voucher Program

9 Page 9 of 12 WHEREAS, the Housing Opportunities Commission of Montgomery County issued a Request for Proposal for Informal Hearing Officer; and WHEREAS, two individuals responded to the RFP; and WHEREAS, staff determined that both respondents were responsive. NOW, THEREFORE, BE IT RESOLVED by the Housing Opportunities Commission that the Executive Director is hereby authorized to execute contracts with Peter Fromuth in the amount not to exceed $45,000 per year and with John Reed in the amount not to exceed $45,000 per year to act as Informal Hearing Officer for the Housing Opportunities Commission of Montgomery County. Contracts will be for a term of one year, and may be renewed for up to three additional one year periods, per the HOC Procurement Policy. B. Approval of Management Contracts for The Willows and Shady Grove Apartments Jerry Robinson, Director of Housing Management, and Jim Miller, Deputy Director of Asset Management and Modernization, provided a brief presentation on the management contracts that are to expire on February 28, Of the eight responses to the Request for Expression of Interest (REOI), three companies were interviewed. Edgewood Management was selected as the most qualified. They also received high scores on the recent resident survey. The following resolution was adopted upon a motion by Commissioner Roman and seconded by Commissioner Banks. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. RESOLUTION: RE: Approval of Management Contracts for The Willows and Shady Grove Apartments WHEREAS, the Housing Opportunities Commission (HOC) issued a Request for Expression of Interest ( REOI ) for management of The Willows and Shady Grove Apartments; and WHEREAS, based on the criteria included in the REOI, three of the eight applicants were selected for interviews; and WHEREAS, based on interviews, a review of submitted property improvement recommendations and pricing from each of the three companies, a three member panel of Housing Management and Resident Services staff scored the results and determined that Edgewood Management Corporation is the most qualified to continue to manage Shady Grove and The Willows. that the Executive Director is hereby authorized to execute contracts for terms of four (4) years with two (2) two-year renewal options with Edgewood Management Corporation for the management of The Willows and Shady Grove Apartments.

10 Page 10 of 12 C. Approval of Contract for Replacement of Privacy Fences and Storage Sheds at Towne Centre Place Jerry Robinson, Director of Housing Management, gave a brief overview of the contactors who responded to the Invitation for Bid (IFB). The project will be funded with $260,000 in DHCA funds and $4,502 in CFP funds provided it is completed within 150 days. Mr. Robinson responded to Commissioner Cohen s questions about the fencing and storage shed materials. Chair Pro Tem Piñero inquired about the contractor s responsibilities and the bid bonds. The following resolution was adopted upon a motion by Vice Chair Piñero and seconded by Commissioner Banks. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. RESOLUTION: RE: Approval of Contract for Replacement of Privacy Fences and Storage Sheds at Towne Centre Place WHEREAS, the Housing Opportunities Commission issued an Invitation for Bid (IFB) for replacement of privacy fences and storage sheds at Towne Centre Place; and WHEREAS, five companies submitted bids in response to the IFB; and WHEREAS, H.O.C. staff determined that the lowest responsive bidder that submitted the most fair and reasonable bid price is OMF Contractors, Inc. that the Executive Director or designee is hereby authorized to execute a contract with OMF Contractors, Inc. in the amount of $264,502 for replacement of privacy fences and storage sheds at Towne Centre Place. D. Approval of Contract for Replacement of HVAC Equipment and Water Heaters at Towne Centre Place Jerry Robinson, Director of Housing Management, made a brief presentation and stated the bids for the HVAC and water heater replacement came within $5,000 of the grant from DHCA for $245,000. In response to Commissioner Lindstrom s question, Mr. Robinson stated the residents pay their own utilities and the new Energy Star units will increase the efficiency tremendously. The following resolution was adopted upon a motion by Commissioner Roman and seconded by Commissioner Lindstrom. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote.

11 Page 11 of 12 RESOLUTION: RE: Approval of Contract for Replacement of HVAC Equipment and Water Heaters at Towne Centre Place WHEREAS, the Housing Opportunities Commission issued an Invitation for Bid (IFB) for replacement of HVAC Equipment and Water Heaters at Towne Centre Place; and WHEREAS, seven companies submitted bids in response to the IFB; and WHEREAS, H.O.C. staff determined that the lowest responsive bidder that submitted the most fair and reasonable bid price is Priority Engineering Services, Inc. that the Executive Director or designee is hereby authorized to execute a contract with Priority Engineering Services in the amount of $239,856 for replacement of HVAC equipment and water heaters at Towne Centre Place. E. Approval of Contracts for Roof, Gutter, Downspout, Siding and Exterior Trim Replacement at Scattered Site Properties Jerry Robinson, Director of Housing Management, and Bobbie DaCosta, Program Oversight Manager, reported 14 responses were received for the Invitation for Bid (IFB). The contracts will be awarded to the three lowest bidders on a primary, secondary and tertiary basis. Ms. DaCosta responded to Commissioner Cohen s question about the roofing materials and replacement process. The funding for the replacement of roofs is from the capital fund budget and the operational budgets for each property. The units that do not require a complete replacement will be funded through the operating budget; whereas, a full roof replacement will be funded from the capital budget. The following resolution was adopted upon a motion by Commissioner Cohen and seconded by Vice Chair Piñero. Affirmative votes were cast by Commissioners Kator, Piñero, Banks, Cohen, Lindstrom and Roman. Chair Pro Tem Dreyfuss was necessarily away and did not participate in the vote. RESOLUTION: RE: Approval of Contracts for Roof, Gutter, Downspout, Siding and Exterior Trim Replacement at Scattered Site Properties WHEREAS, the Housing Opportunities Commission of Montgomery County issued an Invitation for Bid (IFB) for roof, gutter, downspout, siding and exterior trim replacement at Scattered Site properties; and WHEREAS, 14 companies submitted responsive bids in response to the IFB; and

12 Page 12 of 12 WHEREAS, HOC staff determined that the three lowest responsive bidders that submitted fair and reasonable prices are Four Seasons Home Improvement Company, Inc., OMF Contractors, Inc. and Woo Ni Electric Construction. of Montgomery County that the Executive Director is hereby authorized to execute contracts with Four Seasons Home Improvement Company, Inc. for $150,000.00, OMF Contractors, Inc. for $90,000.00, and Woo Ni Electric Construction for $60, for roof, gutter, downspout, siding and exterior trim replacement at Scattered Site properties. V. FUTURE ACTION ITEMS Ms. Alston informed the Commission the following item has been added to the future action calendar: Request to extend the PNC line of credit for financing the MHLP II. Approval for HO&C organizational structure Approval of a rehabilitation plan for Paddington Square Upcoming events: February 10 th CIP Public Hearing February 24 th Development and Finance Committee February 25 th Budget, Finance and Audit Committee March 3 rd Ribbon Cutting for Silver Spring Customer Service Center March 4 th - Public Hearing for the Annual Plan for Fiscal Year 2010 VI. EXECUTIVE SESSION FINDINGS The Chair reported that the item before the Commission for consideration in Executive Session involves a land acquisition. According to Section (a)(3) of the State Government Articles of the Annotated Code of the State of Maryland, such items can be discussed in closed session. Based upon this report and there being no further business to come before this session of the Commission, a motion was made, seconded and unanimously adopted to adjourn. The meeting adjourned at 9:05 p.m. Respectfully submitted, /meh Annie B. Alston Secretary-Treasurer