HomeMy WebLinkAbout1990-05-30 EHA MINUTES,
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ENGLEWOOD HOUSING AUTHORITY
Board of Commissioners
Regular Meeting
May 30, 1990
CALL TO ORDER
The Regular Meeting of the Englewood Housing Authority
Board of Commissioners was called to order at 6:30 p.m. on
Wednesday, May 30, 1990, at 3460 South Sherman Street,
Englewood, Colorado, by Chairman Thomas J. Burns.
Members Present:
Members Absent:
Also Present:
STUDY SESSION
Thomas J. Burns, Chairman
R. J. Berlin, Vice Chairman
Roger Koltay, Commissioner
Norleen Norden, Commissioner
Bradley Zieg, Commissioner
None
Paul Malinowski, Executive Director
Mary A. Ryan, Recording Secretary
(Note: There was no Study Session at this meeting, and
the meeting began at 6:30 p.m. due to a Rental Rehab Loan
Committee Meeting held at 5:45 p.m.)
MINUTES
A. Executive Session of Regular Meeting Held April 25,
1990.
IT WAS MOVED BY COMMISSIONER ZIEG TO APPROVE AS PRESENTED THE MINUTES OF
THE EXECUTIVE SESSION CALLED FOR THE PURPOSE OF EVALUATING THE EXECUTIVE
DIRECTOR, PAUL MALINOWSKI, DURING THE REGULAR MEETING HELD APRIL 25,
1990. VICE CHAIRMAN BERLIN SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
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EHA BOC Regular Meeting
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B. Regular Meeting Held April 25, 1990
IT WAS MOVED BY COMMISSIONER ZIEG TO APPROVE AS PRESENTED THE MINUTES OF
THE REGULAR MEETING HELD APRIL 25, 1990. COMMISSIONER NORDEN SECONDED THE
MOTION.
Ayes:
Nays:
Abstained:
Absent:
v.
VI.
Berlin, Koltay, Norden, Zieg
None
Burns
None
The Chairman declared the motion carried.
PRE-SCHEDULED VISITORS
There were no pre-scheduled visitors at the Regular Meeting
of the Englewood Housing Authority Board of Commissioners
held May 30, 1990
DIRECTOR'~ REPORT
A. Narrative Report
Exhibit A)
~ RENTALS
(Attached to these Minutes as
E/D Malinowski briefly reported on the new PBA
regulations which became effective on April 12, 1990.
He detailed the additional items requested by HUD at
the meeting held May 9, and informed the Commissioners
that all items requested were delivered to HUD on May
30. He further stated that he had requested HUD review
the additional PBA information in an expedient manner
since the owner of the project to be designated PBA had
been ready to proceed with the rehab construction work
for quite some time and the new regulations have
stopped them from proceeding.
Chairman Burns asked what criteria HUD would be using
to set the rents of the units to be designated
project-based. E/D Malinowski responded that HUD might
agree to use the EHA's rent survey data after someone
from HUD reviewed the contract rents proposed by the
EHA. If not, they will do their own rent survey. E/0
stated that we no longer have any control over
deadlines, and the WAND schedule is now almost
impossible to predict.
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VII.
OFFICE SIGN
The office sign was discussed as to what size the
Executive Director had requested from the Department of
Public Works. Due to the response from Public Works of
an anticipated completion date of November and the
price of the sign they would supply, it was the
consensus of the Board that the E/D price the sign from
an outside source. Brad Zieg offered to give the E/0 a
sketch to use for pricing.
URBAN HOMESTEADING
The Board had strong objections to the use of the word
"default" in the documents relating to the Urban
Homesteading Program if a loan was JO-days late. Their
concern is that "default" in the strict legal sense
would be too restrictive and would require their
constant review and/or foreclosure action. The Board
felt that substituting the word "delinquency" for
"default" would give substantially more flexibility.
B. Program Reports
Chairman Burns asked if there were any questions or
comments on the Program Reports. Commissioner Zieg
asked if the situation presented in the Occupancy
Report under Section 8 concerning the family who
admitted lying to the housing authority and to Social
Services about employment income and AFDC payments
would be alleviated with the information supplied by
the Department of Labor and Employment agreement. The
E/D stated that this was exactly the type of situation
the agreement with DOLE could prevent.
DISCUSSION ITEMS, MOTIONS AND RESOLUTIONS:
A. Adoption of Resolution No. 5, Series of 1990, To Write
Off Stale-dated Checks.
The Executive Director explained that some of the
checks being written off were checks considered to be
"stale-dated" because they were seven months old or
older. He further explained that three of the checks
being written off were checks issued in 1988 upon which
a "stop-payment" was issued and then the checks were
reissued in 1988.
Commissioner Zieg questioned what type of checks the
EHA is writing in the amounts of $1.00, $3.00 and
$5.00. The Board was informed that these checks are
usually utility allowance payments to low-income
families in our low-rent public housing or section 8
existing units.
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IT WAS MOVED BY COMMISSIONER ZIEG TO ADOPT RESOLUTION NO. S, SERIES OF
1990, AUTHORIZING THE WRITE OFF OF STALE-DATED CHECKS AS LISTED IN THAT
RESOLUTION. COMMISSIONER NORDEN SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
B. Adoption of Resolution No. 6, Series of 1990,
Authorizing Adjustment of Inventory.
The Executive Director explained that in preparation
for year-end statements of 1989, the EHA performed a
comprehensive review of inventory items. Some
adjustments are necessary to the EHA's asset account
totals to present accurate listings to the auditor and
to ensure that the property ledger matches the general
ledger. He stated that because these entries affect
the balance sheet status of prior years, Board approval
is required.
IT WAS MOVED BY COMMISSIONER ZIEG TO ADOPT RESOLUTION NO. 6, SERIES OF
1990, AUTHORIZING ADJUSTMENTS OF INVENTORY AS PRESENTED IN THAT
RESOLUTION. VICE CHAIRMAN BERLIN SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
C. Ratification of Purchase Agreement for 3320 South
Pennsylvania Street
The Board was informed that after the previous buyer of
3320 South Pennsylvania was denied a loan, the EHA was
approached by another potential buyer who obtained loan
pre-qualification. The EHA raised the sale price from
the original price of $74,310 to $75,538 to cover the
additional items the previous buyer ordered and was
going to pay for through an increased loan. This
higher sale price does not include the items the
previous buyer paid for upfront.
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EHA BOC Regular Meeting
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Since the new buyer has met the loan qualifications and
agreed to the previously set sales price {plus the
additional amount) a purchase agreement was executed on
May 8, 1990.
The E/D was recommending adoption of a motion ratifying
the execution of the Purchase Agreement with Andrea
Lacina for 3320 South Pennsylvania Street in the amount
of $75,538.00
IT WAS MOVED BY COMMISSIONER ZIEG TO RATIFY THE EXECUTION OF THE PURCHASE
AGREEMENT WITH ANDREA LACINA FOR 3320 SOUTH PENNSYLVANIA STREET IN THE
AMOUNT OF $75,538.00. VICE CHAIRMAN BERLIN SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
~one
None
None
The Chairman declared the motion carried.
D. Review and Action on Loan Assumption for 2030 West
Adriatic Avenue
Janet Grimmett, Rehab Financial Specialist, had been
notified by the daughter of a rehab loan recipient that
she had been deeded her mother's home through a quit
claim deed when the mother was about to undergo risky
surgery in April 1990 and subsequently passed away.
The daughter cannot assume the two rehab notes in
question under the original terms and conditions
because she is considered low-income while her mother
was considered very-low income.
Using the formula established by the Rehab Loan
Committee, the daughter cannot afford any additional
debt at this time due to her substantial, existing
long-term debt. The daughter has requested the EHA
Board allow her to repay her mother's two rehab notes
by approving a repayment plan requiring monthly
payments beginning in one year so that she {the
daughter) may have some time to pay off some of her
existing debt.
Ms. Grimmett stated in her communication with the Board
that the daughter had been cooperative and notified her
immediately upon her mother's death. Ms. Grimmett felt
that a one-year delay in establishing monthly payments
of $104.73 was a reasonable request when taking into
account the daughter's current financial status.
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EHA BOC Regular Meeting
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The Board was informed that the two rehab loans were:
1. A straight deferred loan at zero percent interest
with a current balance of $4,638.10; and,
2. A five-year declining lien at zero percent
interest with a balance of $1,645.60.
IT WAS MOVED BY COMMISSIONER ZIEG TO GRANT THE DAUGHTER OF THE DECEASED
REHAB LOAN RECIPIENT AT 2030 WEST ADRIATIC AVENUE A FIVE-YEAR REPAYMENT
TERM ON THE TOTAL DOE FROM THE TWO REHAB LOANS OP $6,283.70, PAYMENTS TO
BEGIN IN ONE YEAR ON JONE 1, 1991, AT ZERO PERCENT INTEREST, WITH THE
MONTHLY PAYMENTS BEING $104.73. VICE CHAIRMAN BERLIN SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
E. Review of Previous Board Action on Rehab Loan No. 32
This item concerns rehab loan No. 32 which was reviewed
by the Board in August, 1989. (Note: Extract of
Minutes from EHA Board of Commissioners Meeting held
August 30, 1989, attached to these Minutes, and made a
part hereof, as pages 6a and 6b.J Ms. Grimmett had
explained to the Board in her memorandum dated May 24,
1990, that this person has continually ignored her
requests for additional information explaining the
reasons this person cannot afford the Board's approved
loan assumption payments of $83.34 per month. This
person has continually expressed her inability to make
this payment and her ability to afford only $32.86 per
month regardless of the fact that her financial
information seems to indicate that the person can
afford the $83.34. Ms. Grimmett has requested, time
and time again, additional information to verify this
person's inability to make the $83.34 payments, but has
been met with accusations that the EHA is "harassing"
her.
Ms. Grimmett's communication to the Board dated May 24,
1990, expressed her frustration over this situation and
requested clear direction from the Board on how to
proceed.
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EHA BOC Regular Meeting
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v. Y1.§1I.QB.§
There were no visitors scheduled for the Regular Meeting of the
Englewood Housing Authority Board of Commissioners held August 30,
1989. Neither were there any unscheduled visitors at this meeting.
VI. DIRECTOR'S REPORT
A. Program Reports in Packet:
Commissioner Bradley L. Zieg questioned the Occupancy Report
and the size of the waiting list was discussed. It was felt
that the inclusion of paragraph No. I.C. in the Englewood
Housing Authority 1990 Goals and Objectives addressed this
concern.
Discussion ensued regarding the meeting that the EHA had with
the City Council on August 14, 1989. It was the general
consensus of the Commissioners present that this meeting went
very well. It was also agreed upon by the commissioners
present that perhaps regularly meeting twice a year, e.g., in
August to discuss goals and objectives for the coming year
and in February to analyze the progress being made on those
goals and objectives and to get feedback from City Council on
where they want to go the rest of. the fiscal year, would be
beneficial to both the EHA and City Council. Commissioner
Zieg wanted the Englewood Housing Authority 1990 Goals and
Objectives sent to the Englewood City Council as soon as
possible.
A. Setting of 1990 Goals
\
This item was covered during the Study Session of the Regular
Meeting of the Englewood Housing Authority Board of
Commissioners held August 30, 1989.
EZli''-·· . ·---s:&fi"~~fil&i:i!ii 11!!!11 -~~----.,..~ ·-..
This item was tabled the last two meetings while additional
financial information was obtained on the daughter of the
recipient of rehab Loan 32. Staff needed to determine the
type of loan repayment the daughter qualified for. Also, a
legal question needed to be addressed. The original
Promissory Note signed by the original recipient made no
mention of the deferred payment loan while the Deed of Trust
did. It was determined that the Note was incorrectly
prepared in 1978. The City Attorney's office was requested
to give an opinion on whether the EHA had legal recourse to
collect the deferred payment loan.
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EHA BOC Regular Meeting
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The City Attorney's office gave an opinion that the EHA could
legally collect the full amount from the Deed of Trust even
though it did not match the Promissory Note. Also, an
application was taken that showed the daughter qualified as
only low-income and not very low-income; she therefore would
be required to make monthly payments on the loan.
Commissioner Zieg asked what would happen if the Englewood
Housing Authority operated strictly by the letter of the Note
and Deed of Trust. The Executive Director responded that the
EHA would go to the daughter and inform her <1> because the
Deed of Trust states the deferred loan became due and payable
upon sale or transfer of the property, and <2> because the
mother quit-claim deeded the property to the daughter in
1986, that <3> the deferred loan funds were immediately due
and payable to the EHA. However, the daughter claims she
does not have the funds to immediately repay the deferred
loan and furthermore cannot afford to make monthly payments
on the deferred loan and has requested that the EHA forgive
the deferred loan portion of rehab loan No. 32. Therefore,
staff has recommended a compromise (based on the financial
information supplied by the daughter) which is to require
payments on the principal amount of the deferred loan at 01.
interest rate for 60 months.
Commissioner Zieg
endeavor to stick
of the Rehab Loan
He recommended that
felt it was important that the EHA should
with the rules, regulations and procedures
Program and not forgive the deferred loan.
the EHA follow staffs' recommendation.
~9I19~
IT WAS NOVED BY COMMISSIONER BRADLEY L. ZIEG THAT THE TOTAL AMOUNT OF THE
DEFERRED LOAN PORTION ($~,000) OF REHAB LOAN NO. 32 (HEREINAFTER REFERRED
TO AS •THE LOAN"> BE RECOVERED FROM THE LOAN RECIPIENT'S DAUGHTER WHO
RECEIVED THE PROPERTY REHABBED BY THE LOAN VIA QUIT-CLAIM DEED IN 1986
(HEREINAFTER REFERRED TO AS "THE DAUGHTER">. THE DAUGHTER'S LOAN SHALL
HAVE A 60-MONTH TERM AT ZERO PERCENT (0%> INTEREST RATE. IT WAS FURTHER
t10VED THAT AN ENTIRELY NEW NOTE AND NEW DEED OF TRUST BE WRITTEN AND
EXECUTED BETWEEN THE EHA AND THE DAUGHTER WHICH CONTAIN THE PROVISIONS OF
REPAYl"IENT OF THE LOAN TO THE ENGLEWOOD HOUSING AUTHORITY. IT WAS FURTHER
MOVED THAT THE NOTE AND DEED OF TRUST CONTAIN LANGUAGE REQUIRING THE TOTAL
LOAN AMOUNT, INCLUDING THE FULL AMOUNT OF THE DEFERRED LOAN, BECOME DUE
AND PAYABLE UPON SALE OR CONVEYANCE OF THIS PROPERTY OR UPON REMOVAL OF
THE OWNER FROM THE PROPERTY. COMMISSIONER NORLEEN NORDEN SECONDED THE
MOTION.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Norden, Zieg
None
None
Koltay
The Chairman declared the motion carried.
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EHA BOC Regular Meeting
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V/C Berlin
action on
accusations
recipient of
suggested that the Executive Director take
this situation and not worry about
of "harassment" from the daughter of the
Rehab Loan 32.
Commissioner Zieg suggested that the EHA Board support
Janet Grimmett and the concept that rehab loans must be
paid back and then proceed with foreclosure on this
rehab loan. He further stated his desire that the
Executive Director tell the Rehab Financial Specialist,
Janet Grimmett, that the Board came forward unanimously
to support her.
IT WAS MOVED BY COMMISSIONER ZIEG THAT THE ENGLEWOOD HOUSING AUTHORITY
CONTACT THE CITY OF ENGLEWOOD CITY ATTORNEY AND REQUEST THAT HE SEND A
DEMAND FOR PAYMENT LETTER TO THE DAUGHTER OF THE RECIPIENT OF REHAB LOAN
NO. 32 AND PROCEED WITH FORECLOSURE ON REHAB LOAN NO. 32 IF NO
SATISFACTORY RESPONSE IS RECEIVED FROM THE DAUGHTER.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
F. Authorization for In-house Training Session.
The E/D explained that several years ago, he had the
opportunity to attend a one-day workshop which taught
him how to deal with people through work by utilizing
some techniques in transactional analysis. The E/D
stated that this training still stands as the single,
best training he had ever attended. He explained that
he recently discovered that the man who gave the
training, Abe Wagner, still gives training seminars in
the Denver Area. Staff has expressed a high degree of
interest in attending a workshop of this nature.
The E/D stated that the one-day (seven-hour) workshop
would cost $2,050.00, and because this amount was not
included in line-item budget for training, the
expenditure would require board approval. The cost
would be for up to 20 persons to attend the workshop
and the E/D expressed his desire that Board members
also attend if possible.
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EHA BOC Regular Meeting
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IT WAS MOVED BY COMMISSIONER ZIEG TO AUTHORIZE THE EXPENDITURE OF
$2,050.00 FOR THE IN-HOOSE TRAINING SESSION TO BE CONDUCTED BY ABE WAGNER
ON THE PROPOSED DATE OF JOLY 13, 1990, PLUS THE ADDITION OF $300.00 TO OSE
IN ACQUIRING AN APPROPRIATE PLACE IN WHICH TO HOLD THE WORKSHOP AND TO
COVER OTHER EXPENSES RELATING TO THE WORKSHOP. VICE CHAIRMAN BERLIN
SECONDED THE MOTION.
Ayes:
Nays:
Abstained:
Absent:
VIII.
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion carried.
FINANCIAL REPORT
Commissioner
performance
covered by
packet.
Zieg asked how the E/D felt about the financial
of the agency through the four-month period
the financial reports as presented in the Board
The E/D stated that the agency is over budget on several
line items. He stated that he had placed a 60-day freeze on
spending for office supplies. He further stated that he had
some major concerns on the WAND sale units expenditures.
Commissioner Zieg asked if there was an escrow fund to pay
for maintenance and repairs on the office building. The E/D
stated that the office building will not ever show a profit
because the EHA does not charge itself any rent to use the
office space.
Discussion ensued regarding the EHA charging itself rent for
the space used in the office building. The E/D stated that
Section 8 New Construction, Section 8 Existing, and Market
Rental Programs could budget for rent payments on office
building space in fiscal year 1991. He reminded the Board
that when the original budget for the office building was
done, there was a $34,000 subsidy from Simon Center which
was, in effect, "rent". He added that because of Public
Housing's financial status, their portion of any allocated
rent might have to be forgiven.
Commissioner Zieg suggested that the EHA might be charged a
$7.00/square foot rental rate, and requested that
information be made available at the next Board meeting on
dollar amounts for a possible office building escrow fund.
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EHA BOC Regular Meeting
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IX.
x.
CONSENT AGENDA
There was nothing presented under Consent Agenda for the
consideration of the Commissioners.
GENERAL DISCUSSION
A. Commissioners' Choice
Commissioner Norden stated she would like to ask the
Board to pay for her registration to the NAHRO
Commissioners Conference to be held in San Antonio plus
two days per diem. The Board agreed to pay the
registration fee for Norleen Norden plus two days per
diem expense to attend the NAHRO Commissioners
Conference in San Antonio.
Commissioner Norden expressed her desire to be
reappointed to the Englewood Housing Authority Board of
Commissioners upon the expiration of her term on July
1, 1990. The Board expressed its desire to have Ms.
Norden on the Board again and and directed the
Executive Director to write a letter to City Council
for signature by Chairman Thomas J. Burns expressing
the desire of the EHA Board to have Ms. Norden
reappointed for another term and stating {with
superfluous adjectives) what an excellent job Ms.
Norden has done serving on the EHA's Board.
Commissioner Koltay informed the Board on what had
happened to the Teen Leisure Center when Gary Kozacek
had presented City Council with letters of endorsement
{one from the EHA) and asked Council to adopt a
Resolution supporting the TLC. He stated that Council
did support the Teen Leisure Center, but did not adopt
the Resolution as presented by Mr. Kozacek without
first making some changes to it.
B. Director's Choice
The E/D informed the
National Conference to
Minnesota this fall
commissioners who wish to
commissioners of the NAHRO
be held in Minneapolis,
and suggested that the
attend register early.
The E/D also informed the commissioners of the NAHRO
Mountain Plains Regional Conference to be held in
Cheyenne, Wyoming, in July.
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EHA BOC Regular Meeting
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XI. ADJOURNMENT
H Q .I .X Q :If
IT WAS MOVED BY COMMISSIONER KOLTAY THAT THE REGULAR MEETING OF THE
ENGLEWOOD HOUSING AUTHORITY BOARD OF COMMISSIONERS BE ADJOURNED.
Ayes:
Nays:
Abstained:
Absent:
Burns, Berlin, Koltay, Norden, Zieg
None
None
None
The Chairman declared the motion CARRIED and the Regular
Meeting of the Englewood Housing Authority Board of
Commissioners adjourned at 8:30 p.m.
Secretary
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