MINUTES OF A REGULAR MEETING
OF THE
LAWRENCE-DOUGLAS COUNTY HOUSING AUTHORITY
BOARD OF COMMISSIONERS
June 25, 2007 Edgewood Homes
5:30 p.m. Conference Room
Barbara Huppee, Secretary for the Board of Commissioners, conducted the swearing in ceremony for Charlie Dominguez, newly appointed LDCHA Commissioner.
1. Call of Roll.
The meeting was called to order at 5:35 p.m. by Chairman Smith. Upon call of roll the following Commissioners answered present:
Sonya Johnson
Mark Gonzales
Brenda O’Keefe
Charlie Dominguez
Wes Smith
Also present were David Clark, appointed by the City Commission to replace Commissioner Gonzales when his term expires; Pat Benabe, Edgewood Homes resident and Resident Advisory Board Member; Diane Ensminger, Andy Brown, and Reggie Robinson from Ballard Community Services; Caroline Kelley, Head Start & Child Development; Milton Scott, Vickie Butler and Barbara Huppee, LDCHA staff members.
2. Approve Minutes of the May 21, 2007 Board of Commissioners Meeting.
Commissioner Gonzales moved to approve the May Board minutes as presented. Commissioner Johnson seconded the motion. The motion carried.
3. Receive Comments from Tenants and Public.
There were no comments made at this time.
4. Financial Reports.
A. Receive May 2007 Public Housing Financial Reports.
May brought the agency 42% through the budget year with total rental income on line at 42%. Interest income is over budget projections at 129%. Other income from tenant work order damages is over at 77%. Total income is running 4% over projections at 46%. Operating subsidy shows 1% over at 43%. Total operating receipts are 3% over projections at 45%. Total administrative expenses are running under budget projections at 35%. Tenant services are running under as well at 36%. Water, electricity and other utility expenses are under budget projections with gas running over at 51%. Total utilities are 1% under at 41%. Maintenance salaries appear significantly below Public Housing budget projections. This is because a significant portion of salaries that normally would be charged to Public Housing for routine Public Housing repairs are being charged to Clinton Place for work that maintenance staff is doing there under the renovations. Through this reporting period a total of $30,728 in maintenance staff salaries have been charged to Clinton Place. If these salaries were charged to Public Housing the account would be at 39% through the budget year. Total general expenses are running under budget projections at 38%. Total routine expenses are running under budget projections at 36%. A total of $246,375 has been paid year-to-date and $287,816 contract-to-date for the Edgewood Homes Maintenance Shop Expansion project. As of this reporting period the agency shows $169,820 in income over expenses. When deducting the year-to-date expenses related to the Maintenance Shop Expansion, the agency would show an operating deficit of $76,555. This deficit is being covered by Public Housing reserves.
Commissioner Johnson moved to accept the May financial reports as presented. Chairman Smith seconded the motion. The motion carried.
B. Receive May 2007 Clinton Place Financial Reports.
As of this reporting period, Clinton Place Apartments show a total of $107,372 in total income and $75,734 in routine operating expenditures. This is $31,638 in income over expenses. When including all the year-to-date non-routine expenses totaling $215,855, the capital items associated with major improvements and repairs, this property has paid a total of $291,589 year-to-date in total operating expenditures with an operating deficit of $184,217. This deficit is being paid for from Section 8 MTW reserves. May represents 42% of the budget year. Total administrative expenses are running 5% over at 47%, due to start up costs for legal and supplies. Water, electricity, gas and other utility expenses are all running under budget projections with total utilities at 33%. Maintenance materials are running over budget projections at 68% also due to start up costs. Total ordinary and maintenance operations are running under budget projections at 26%. Rental income is running under budget projections at 35%. Interest income is running under at 21%. Other income, laundry income, is running over at 128%. Operating subsidy continues to run under budget at 37%. The amount of subsidy eligibility that was used is a projection of eligible HAP for 58 units minus projected vacancies throughout the budgeted fiscal year. Total operating receipts are running 5% under projections at 37%.
Commissioner Johnson asked when Clinton Place would be self-sustaining. Ms. Huppee replied that considering only routine expenses the development is self supporting and by end of November should be fully occupied.
Chairman Smith moved to approve the May Clinton Place financial report. Commissioner O’Keefe seconded the motion. The motion carried.
5. CONSENT AGENDA
A. Receive Executive Director’s Report.
B. Resolution 969: Approve 2007 Public Housing and Tenant Based Programs (Section 8 and HOME) Utility Allowances.
There being no discussion on the Consent Agenda, Commissioner Gonzales moved to approve the Consent Agenda as presented. Commissioner Johnson seconded the motion. The motion carried.
6. REGULAR AGENDA
A. Receive Request from Ballard Center on Use of Edgewood Homes Site for Daycare Center.
The Board had directed the Executive Director to submit a Request for Proposals for a daycare center to locate in Edgewood Homes 159 and 160 vacated by the Brookcreek Learning Center. Proposals were to be received by March 12. Ballard Center did not submit a proposal in March because it said that it was in negotiations over the acquisition of a property and could not move forward on a proposal until those negotiations were complete. Ballard Center had asked the board to delay its final decision on the use of the units until June when their negotiations were expected to be completed. Diane Ensminger, Ballard Center Director, was present at the meeting to discuss their interest in operating an early educational program at the Edgewood site. Ms. Ensminger presented a written proposal to the board outlining the Ballard Center’s history and community service, and what the Ballard Center would provide if chosen to operate the Edgewood daycare site. (A transcription of the taped presentation will be provided to the Board).
B. Receive Request from Head Start on Use of Edgewood Homes Site for Daycare Center.
The Head Start program is a federally funded program that serves 3 and 4 year olds only. The morning program is free. The afternoon program is not federally funded and provided on a fee-for-service basis, eligible for SRS reimbursement. The program follows the school calendar and is not open in the summers. Caroline Kelly submitted a written proposal to the commissioners that contained background information on the agency and a description of its programs. She has expressed interest in operating a summer program if the funding could be secured. (A transcription of the taped presentation will be provided to the Board)
C. Resolution 970: Cancel Resolution 951 Temporarily Waiving Agency Procurement Policies to Raise Small Purchase Limit to $100,000 for Clinton Place Improvement Project.
In December the Board approved Resolution 951 waiving the procurement policies to raise the small purchase limit to the federally permitted limit of $100,000. This was done so staff could expedite procurements in order to begin work on the Clinton Place improvements. This permitted staff to procure goods and services for interior and exterior improvements between $50,000 and $100,000 without going through the sealed bid process. One procurement was done under this waiver. It was the contract with Fine Design for $87,340 for the interior upgrades not including interior structural, plumbing, and electrical work, new doors and cameras. The exterior upgrades are being carried out under the sealed bid procurement procedures. Staff did not have to deviate from the procurement policies to procure goods for the individual apartment improvements.
After a brief discussion, Commissioner Johnson moved to terminate the waiver as all of the critical work is or will soon be in progress. Commissioner O’Keefe seconded the motion. The motion passed unanimously.
D. Determine if the Board will hold a July Meeting.
Last month the Board stated it would review its decision at the June meeting to determine whether it would hold or cancel the July 30 meeting. The July meeting is frequently cancelled due to conflicts in vacation schedules. The Executive Director will be out of the country July 3-July 23; Wes Smith and David Clark will be on vacation July 30. It had been discussed that the Board would have to make a decision on the use of units 159 and 160 and whether that site will be used for a childcare center. Chairman Smith moved to cancel the July Board meeting and instead hold a study session to discuss the options for units 159 and 160. Commissioner Johnson seconded the motion. The motion carried. Chairman Smith suggested a report be complied from the information in the Ballard and Head Start proposals to be reviewed at the study session. It was decided that the study session will be held at Marcelli’s on August 6 at 5:45 p.m.
7. Calendar and Announcements.
A. Arrangements for Check Signing in Executive Director’s Absence.
Ms. Huppee explained that she will be on vacation beginning Tuesday, July 3 to the 23. During this period there will be three check signing periods requiring the live signature of the executive director. There are two payroll periods and account payables. All payroll and account payable checks have two signatures, the facsimile signature of the chair and the live signature of the executive director. The Section 8 checks, because they are large runs, contain the facsimile signatures of the chair and the executive director. In the past, the vice chair or another board member comes to the office to sign in the place of the executive director. The board also has the option of approving the use of the double facsimile signatures.
After discussion of members’ schedules, Commissioner Johnson moved to approve the use of the double facsimile signatures in this instance. Chairman Smith seconded the motion. The motion passed unanimously.
B. Review HUD Notice on Conflict of Interest.
The local HUD office sent an email asking that the Notice on Conflict of Interest be reviewed with the board. It states that prohibited related party contracting with Board members, Executive Directors, and their families is prohibited without prior HUD approval waiving the conflict of interest provisions. The appropriate section of the Annual Contributions Contract (ACC) was distributed to the board members for their review.
8. Adjournment.
There being no further items of business, Chairman Smith moved to adjourn. Commissioner Gonzales seconded the motion. The meeting was adjourned at 7:40 p.m.
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Chairman Secretary Attest