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HomeMy WebLinkAboutHousing & Redevelopment Authority Packet 11-18-2021Housing and Redevelopment Authority 1 of 2 November 18, 2021 CITY OF PLYMOUTH AGENDA Regular Housing and Redevelopment Authority November 18, 2021, 7:00 PM 1. CALL TO ORDER 2. PUBLIC FORUM—Individuals may address the HRA about any item not contained on the regular agenda. A maximum of 15 minutes is allotted for the Forum. If the full 15 minutes are not needed for the Forum, the HRA will continue with the agenda. The HRA will take no official action on items discussed at the Forum, with the exception of referral to staff for future report. 3. APPROVE AGENDA —HRA members may add items to the agenda for discussion purposes or staff direction only. The HRA will not normally take official action on items added to the agenda. 4. CONSENT AGENDA —These items are considered to be routine and will be enacted by one motion. There will be no separate discussion of these items unless HRA member or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. 4.1 Approve proposed HRA minutes Housing & Redevelopment Authority Minutes 09-23-2021.pdf 4.2 Accept Plymouth Towne Square monthly housing report Plymouth Towne Square Monthly Report.pdf 4.3 Accept Vicksburg Crossing monthly housing report Vicksburg Crossing Monthly Report.pdf 4.4 Senior Buildings Admission and Occupancy Handbook Update Draft PTS Admission Occupancy Handbook 2021 redlined Draft PTS Admission Occupancy Handbook 2021 clean Draft VC Admission Occupancy Handbook 2021 redlined Draft VC Admission Occupancy Handbook 2021 clean 5. PUBLIC HEARINGS 6. NEW BUSINESS 6.1 Plymouth HRA Senior Buildings Resident Survey. Senior Building Resident Survey 2021 Recap PTS 2021 Survey Results VC 2021 Survey Results 1 Housing and Redevelopment Authority 2 of 2 November 18, 2021 6.2 Plymouth Towne Square 2022 Budget PTS 2022 Budget Comparison Draft PTS 2022 Budget Draft PTS Budget Assumptions 2022 Draft 2021-19 PTS 2022 Budget Resolution 6.3 Vicksburg Crossing 2022 Budget. VC BUDGET Comparison draft VC 2022 BUDGET draft VC 2022 Budget Assumptions 2021-20 Vicksburg Crossing Operating Budget Resolution 7. UPDATES 8. ADJOURNMENT 2 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:4.1 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Approve proposed HRA minutes 1. Action Requested: Approve the attached minutes from regular HRA meeting held on September 23, 2021. 2. Background: N/A 3. Budget Impact: NA 4. Attachments: Housing & Redevelopment Authority Minutes 09-23-2021.pdf 3 PROPOSED MINUTES PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY September 23, 2021 MEMBERS PRESENT: Chair Michelle Soderberg, Commissioners Robert Huddleston, Jeff Kulaszewicz, and Aqueelah Whitfield STAFF PRESENT: HRA Executive Director Danette Parr, HRA Manager Jim Barnes, Support Services Manager Denise Whalen, and Permit Technician Michelle Bast. OTHERS PRESENT: Nick Anhut of Ehler’s and Associates Inc. ABSENT: Commissioners Lucas Larson, James Williams, and Wayne Peterson. 1. CALL TO ORDER Chair Soderberg called the Plymouth Housing and Redevelopment Authority meeting to order at 7:08 p.m. 2. PUBLIC FORUM Chair Soderberg opened and closed the Public Forum as no one was present to speak. 3. APPROVE AGENDA MOTION by Commissioner Kulaszewicz, seconded by Commissioner Whitfield, to approve the Agenda. Vote. 4 Ayes. MOTION passed unanimously. 4. CONSENT AGENDA 4.1 Approve proposed minutes from August 19, 2021 4.2 Accept monthly housing reports Plymouth Towne Square 4.3 Accept monthly housing reports Vicksburg Crossing 4.4 Vicksburg Crossing – Window Project 4.5 HRA Executive Director Appointment MOTION by Commissioner Huddleston, seconded by Commissioner Whitfield, to approve the Consent Agenda. Vote. 4 Ayes. MOTION passed unanimously. 5. PUBLIC HEARINGS 4 Proposed Minutes Plymouth Housing and Redevelopment Authority September 23, 2021 Page 2 5.1 Proposed Changes to the Housing Choice Voucher (HVC) Administrative Plan and Submission of HUD-50077-CR Support Services Manager Whalen gave an overview of the staff report. Chair Soderberg opened and closed the Public Hearing as no one was present to speak. Chair Soderberg asked how often there are informal hearings. Support Services Manager Whalen replied typically staff will attend two informal hearings per year. She said there is rarely an informal hearing in Plymouth. MOTION by Commissioner Kulaszewicz, seconded by Commissioner Huddleston, to approve the Proposed Changes to the Housing Choice Voucher (HVC) Administrative Plan and Submission of HUD 50077–CR. Vote. 4 Ayes. MOTION passed unanimously. 6. NEW BUSINESS 6.1 2022-2023 HRA Budgets HRA Manager Jim Barnes gave an overview of the staff report. Support Services Manager Whalen gave an overview of the Housing Choice Voucher Program. She told the board staff is short an HRA Specialist. She reminded the board there is always a choice to not administer the Section 8 project. Commissioner Kulaszewicz asked for a count of the vouchers in use. Support Services Manager Whalen gave a break down of the current vouchers: • 20 – Project-Based (West View Estates, Stone Creek and Vicksburg Commons • 30 Mainstream for near elderly or disabled • 5 VASH (for veterans) • 160 regular HCV She added that there are ten project-based vouchers committed to Cranberry Ridge and four to Element. Construction will be completed spring/summer 2022. Commissioner Whitfield asked if there are people with Housing Choice Vouchers that have moved to Plymouth from other states. 5 Proposed Minutes Plymouth Housing and Redevelopment Authority September 23, 2021 Page 3 Support Services Manager Whalen replied there are 89 that have ported into Plymouth from other states and there are 14 that have ported out of Plymouth. MOTION by Commissioner Huddleston, seconded by Commissioner Whitfield, to approve the 2022-2023 HRA Budgets. Vote. 4 Ayes. MOTION passed unanimously. 6.2 Vicksburg Crossing bond refunding bid award HRA Manager Jim Barnes gave an overview of the staff report. Nick Anhut provided an overview of the solicitation of bids and resolution calling for the sale of $7,235,000 Governmental Housing Project Refunding Bonds (City of Plymouth Minnesota General Obligation), Series 2021A. Commissioner Kulaszewicz asked how Ehler’s and Associates Inc. makes their money on this refunding. Mr. Anhut replied they are an independent municipal advisor. A flat fee is charged for their services which is paid by the bond proceeds. These services include advising the City of Plymouth as to what bonds to buy and sell and going through the buying and selling process. MOTION by Commissioner Kulaszewicz, seconded by Commissioner Huddleston, to accept the Vicksburg Crossing bond refunding bid award. Vote. 4 Ayes. MOTION passed unanimously. 6.3 Tax Increment District 7 – 7 Interfund Loan HRA Manager Jim Barnes gave an overview of the staff report. MOTION by Commissioner Huddleston seconded by Commissioner Whitfield, to approve the Tax Increment District 7 -7 Interfund Loan. Vote. 4 Ayes. MOTION passed unanimously. 7. UPDATES Cranberry Ridge Element Vicksburg Crossing window project Valor Place Dundee site – Parkera Four Seasons Strategic Plan 6 Proposed Minutes Plymouth Housing and Redevelopment Authority September 23, 2021 Page 4 County Road 73 Small Area Plan 8. ADJOURNMENT MOTION by Chair Soderberg, with no objection, to adjourn the meeting at 7:53 p.m. 7 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:4.2 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Accept Plymouth Towne Square monthly housing report 1. Action Requested: Accept attached Plymouth Towne Square monthly housing report. 2. Background: Plymouth Towne Square Monthly Report. 3. Budget Impact: NA 4. Attachments: Plymouth Towne Square Monthly Report.pdf 8 9 10 11 12 13 14 15 16 17 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:4.3 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Accept Vicksburg Crossing monthly housing report 1. Action Requested: Accept attached Vicksburg Crossing monthly housing report. 2. Background: Accept Vicksburg Crossing monthly housing report. 3. Budget Impact: NA 4. Attachments: Vicksburg Crossing Monthly Report.pdf 18 19 20 21 22 23 24 25 26 27 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:4.4 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Senior Buildings Admission and Occupancy Handbook Update 1. Action Requested: Approve changes to the Plymouth Towne Square and Vicksburg Crossing Handbooks 2. Background: The Plymouth HRA owns and operates Plymouth Towne Square and Vicksburg Crossing, two independent living senior communities. These two buildings provide affordable living options for residents and help the City meet its housing goals as detailed in the City's Comprehensive Plan and the HRA's Strategic Plan. Both buildings are operated by Grace Management through a contract with the HRA. The Admissions and Occupancy Handbook provides the property management and staff with the rules and regulations on how the HRA intends the properties to operated. From time to time staff reviews these handbooks to ensure that they stay current with housing regulations, align with current practices, and changes to the housing environment. Staff last updated these policies in 2012. Most of the changes are minor in nature, however there are a few key revisions, which include the following: 1. Add federal housing vouchers to preference list. 2. Remove preferences three and four that provide preferences to households between 55 and 61 years of age. 3. Revise screening criteria to be consistent with other HRA policies. 4. Simplify occupancy standards. 5. Amend Pet Policy Staff has attached both a redlined and clean version of the documents. 3. Budget Impact: N/A 4. Attachments: 28 Draft PTS Admission Occupancy Handbook 2021 redlined Draft PTS Admission Occupancy Handbook 2021 clean Draft VC Admission Occupancy Handbook 2021 redlined Draft VC Admission Occupancy Handbook 2021 clean 29 1 ADMISSION AND OCCUPANCY HANDBOOK FOR PLYMOUTH TOWNE SQUARE Plymouth, Minnesota JANUARY 12, 1994 Revised November 2003 Revised February 26, 2012 Revised November 18, 2021 Owned by Plymouth Housing and Redevelopment Authority Managed by Grace Management, Inc. 30 2 ADMISSION AND OCCUPANCY HANDBOOK FOR PLYMOUTH TOWNE SQUARE TABLE OF CONTENTS INTRODUCTION AND PURPOSE .......................................................................................... 1 APPLICATION PROCESS ........................................................................................................ 1 PREFERENCES...................................................................................................................... 2 ELIGIBILITY REQUIREMENTS ............................................................................................ 3 WAITING LIST ........................................................................................................................... 4 INTERVIEW PROCESS ............................................................................................................ 5 RENT DETERMINATIONS ...................................................................................................... 6 OCCUPANCY STANDARDS .................................................................................................... 7 SECURITY DEPOSITS ......................................................................................................... 8 PET POLICY .......................................................................................................................... 8 VERIFICATION REQUIREMENTS AND PROCEDURES ................................................. 9 INITIAL CERTIFICATION .................................................................................................10 ANNUAL RECERTIFICATION ..........................................................................................10 INTERIM RECERTIFICATION .........................................................................................12 MISREPRESENTATION ...........................................................................................................13 DEFINITIONS .............................................................................................................................14 31 1 INTRODUCTION AND PURPOSE The philosophy of Plymouth Towne Square (PTS) Retirement Community is to provide affordable housing to persons age 55 years and older. The Facility is owned by the Plymouth Housing and Redevelopment Authority (HRA) and subsidized by the taxpayers of Plymouth, Minnesota. Grace Management, Inc. has been contracted to provide management services. Plymouth Towne Square is located on Plymouth Boulevard, 2 blocks north of the Plymouth City Hall. It is a 99-unit, 3-story retirement community. The building has a community room with adjacent kitchen, activity room, library, exercise room, guest room,and 68-stall underground parking. THE PURPOSE OF THIS HANDBOOK IS TO PROVIDE POLICIES AND GUIDELINES FOR TOWNE SQUARE STAFF TO FOLLOW DURING THE ADMISSION AND OCCUPANCY PROCESS. All changes to these policies must be approved by the Plymouth Housing and Redevelopment Authority (HRA) Board and implemented by Grace Management, Inc. The Plymouth Housing and Redevelopment Authority, by written direction to the Manager, may grant exceptions to these policies when justified by special circumstances. APPLICATION PROCESS The HRA may, from time to time, authorize the Manager to open applications for residency at PTS. Applications will be accepted only if there is an expectation that there may be a vacancy in the building within a reasonable time, and the waiting list has been reduced to the point that the Manager will not be able to fill vacant units from the current list. A written application is required for admission to Plymouth Towne Square or placement on the waiting list. The application includes household characteristic information, preference information, source(s) and estimate(s) of anticipated annual income and assets, and screening information (prior landlords and credit history). Persons who wish to receive an application for occupancy may call or write to Plymouth Towne Square and request an application be sent to them. 32 2 Applications will be returned to: Plymouth Towne Square Attn: Manager 15500-37th Avenue North Plymouth, MN 55446 Email: plymouthtownesquare@gmail.com Fax: 763-551-0089 Returned applications will be date stamped as they are received. Applications that are not completed in full will be returned to the sender with a letter stating why the application is incomplete. Staff will not process incomplete applications. The Manager will conduct an initial review of the application to determine if the applicant qualifies for Plymouth Towne Square. If an applicant DOES NOT qualify for housing, they will be notified in writing the reason for ineligibility. If an applicant DOES qualify for housing he/she shall be assigned a place on the waiting list based on the date and time of receipt of the application and the following preferences: PREFERENCES: 1. Applicant is 55 years of age or older and a resident of Plymouth that meets the very low income limits established by the HRA. The applicant is a participant in the federal VASH Housing Voucher program. 2. Immediate Family live in Plymouth and applicant is 55 years or older and meets the very low income limits as established by the HRA. The applicant is a participant in the federal Housing Choice Voucher program. 3. Other applicants at least 55 years of age. Plymouth Towne Square complies with all Federal, State and local Fair Housing and Civil Rights Laws. Plymouth Towne Square is an equal opportunity community and will not discriminate based on race, color, creed, religion, sex, national origin, age, family status or handicap. Civil Rights laws and equal opportunity requirements cover application intake, resident selection and unit assignment. 33 3 ELIGIBILITY REQUIREMENTS Plymouth Towne Square is open to all individuals at least 55 years and older regardless of income. However, preference will be given to those individuals and families whose Annual Income falls below the Very Low Income limits or is a resident of the City of Plymouth. All household members must be at least 55 years of age at the time of occupancy. Ineligibility Applicants determined to be ineligible shall be notified by letter within 30 days of the determination by the Manager. The letter shall state the reason the applicant is ineligible, and that the applicant has the right within a reasonable time (specified in the letter) to request a review by the HRA’s Housing Program Manager. If, after the review, it is determined that the applicant is still ineligible, the applicant shall be so notified in writing. An applicant may be ineligible for participation in the Plymouth HRA’s senior affordable housing program if the applicant or another member of the household: 1. Does not age qualify. 2. Was evicted for nonpayment of his/her share of rent or for damages done to a unit somewhere else and the court required payment was not made by applicant; or, 3. Has engaged in conduct at previously leased premises which: a. resulted in physical injury to other residents or other residents’ guests, b. endangered the life, safety and welfare of other residents or other residents’ guest, or, c. caused substantial and extraordinary damage to the leased premises or the property of other residents or other residents’ guests on the leased premises. 4. Has committed drug-related criminal activity. Applicants will not be initially screened out for arrest records or criminal convictions within the categories listed below, but will be required to meet with the property manager to determine if there are facts that can be verified that would overcome or outweigh information gathered during the process. • Marijuana possession • Alcohol-related offenses (other than DUI) • Serious traffic offenses (other than DUI) • Minor public order offenses • DUI/DWI or reckless driving • Other minor violence-related offenses 34 4 • Minor drug-related offenses • Disorderly conduct • Prostitution 5. Has committed bribery, fraud or any other corrupt or criminal act in connection with any federal, state or local program. 6. Has committed violent criminal activity 35 5 WAITING LIST Applicants will be notified by telephone when a suitable unit becomes available. The Manager will offer an available unit to the first applicant on the waiting list qualified for the size of unit available, based on the time and date of the application and in order of the preference, if any, for which the applicant qualifies. Management will document the day, time and type of communications used in the effort to reach the applicant and notify him/her of the available unit. When an applicant has refused the offer of a unit, it will be documented. If any eligible applicant refuses three times, they will be moved to the bottom of the waiting list. Any mailings to the applicant which require a response will state that failure to respond within ten days will result in the applicant’s name being dropped from the waiting list. An extension of ten days to respond will be granted, if requested and needed as a reasonable accommodation for a person with a disability. If an applicant fails to respond to a mailing from PTS, the applicant will be removed from the waiting list. If the applicant did not respond to the PTS request for information or updates because of a family member’s disability, the Manager will reinstate the applicant in the applicant’s former position on the waiting list. If a letter is returned by the Post Office without a forwarding address, the applicantwill be removed without further notice and the envelope and letter will be maintained in the file. If a letter is returned with a forwarding address, it will be re-mailed to the address indicated. If an applicant is removed from the waiting list for failure to respond, they will not be entitled to reinstatement unless the Manager determines there were extenuating circumstances beyond the person’s control. The Waiting List will be purged not more than one time each year by a mailing to all applicants to ensure that the waiting list is current and accurate. The mailing will ask for confirmation of continued interest. It is the responsibility of the applicant to notify Plymouth Towne Square of any address and phone number changes. 36 6 INTERVIEW PROCESS When an appropriate unit will be available in the near future, the Manager will interview the applicant and obtain current information about the family’s circumstances. The Manager may ask applicants to bring certain records and documents to the certification interview. At the interview, the Manager will: A. Confirm and update all information on the application. B. Explain program requirements, verification procedures and penalties for false information. C. Confirm through appropriate documentation the age of the applicant(s). D. Review the financial information on the application and specifically ask Applicant whether any member of the household: 1. Receives the types of incomes listed under income definition and if the applicant is receiving a form of income not reported on the application, ask the applicant about the source of income and document the applicant’s response in the file. 2. Has any assets. E. Ask the applicant(s) to sign the release of information consent portion of any verification request used for them. F. Require the applicant(s) to give a written certification as to whether they did/did not dispose of any assets for less than fair market value during the two years preceding the effective date of the certification/recertification. The certification will include a list of all assets disposed of for less than fair market value, the dates disposed, the amount received, and the asset’s market value at the time of disposition. G. Require the applicant(s) to disclose and document all social security numbers or execute a certification when a social security number has not been assigned. H. Tell the applicant that a final decision on eligibility cannot be made until all verifications are complete. I. Inform the applicant that Federal laws prohibit Plymouth Towne Square from discriminating against individuals with handicaps. In summary, Plymouth Towne Square has the responsibility for making reasonable accommodations in policies, providing auxiliary aids, making units and facilities accessible and permitting handicapped persons to use assistive animals when they provide Applicant with equal housing opportunities. J. Inform applicants of housing rules and amenities. 37 7 RENT DETERMINATIONS The amount payable monthly by the Household as rent to the Housing and Redevelopment Authority (HRA) is determined by their Annual Income. In all cases, Residents are responsible for their phone and electric bill and garage rental in addition to their monthly rent charge. All Residents shall pay at least the minimum monthly rent for their units or 37% of their adjusted monthly income for their rent and utilities, whichever is greater, up to the full moderate rate rent. Contact the Property Manager for current minimum and maximum rent limits. Computation of Annual Income: 1. All payments from all sources received by the Household. (See ANNUAL INCOME definition) 2.If circumstances arise where it is not feasible to anticipate a level of income over a 12 month period, a shorter period may be used, but subject to a recertification at the end of such period. *The HRA reserves the right to adjust rents based on building operating expenses and overhead and annual changes in median income for the Mpls/St. Paul metropolitan area, as determined by HUD from time to time. 38 8 OCCUPANCY STANDARDS The Manager will take into account the need to avoid overcrowding with the need to make the best use of available space and to avoid unnecessary subsidy, the number of persons in the household, and the relationship and sex of those persons. Typically, unit determination will be as follows: 1 bedroom units = 1-2 persons 2 bedroom units = 2-4 persons The Manager will consider the following guidelines when determining appropriate unit sizes: 1. Every household member is listed on the application is to be counted. 2. No more than two persons can occupy a bedroom. 3. Plymouth Towne Square will not provide bedrooms for permanently institutionalized family members. 5. If the number of occupants in a two-bedroom unit is less than two and this situation is considered to be permanent and not medically necessary, the resident must do one of the following: Find another “qualified” resident to move in with them. Move to the next available one-bedroom unit. Remain in the two-bedroom unit, but pay full rent thus receive no subsidy. The Manager shall create and maintain a list of single occupants of two-bedroom units. Available one-bedroom units shall be offered to the residents on the list in the following preference order: a.Residents who indicate in writing their willingness to move to a one-bedroom unit, in the order that requests are received by the Manager. b.All other single occupants of two-bedroom units in an order determined by lottery. A resident offered a one-bedroom units shall have no more than 60 days to complete their move to the new unit, and shall cooperate with the manager to allow the occupancy of their current unit as soon as possible to avoid prolonged vacancies in the building. Residents requested to move under this policy shall be permitted to refuse the offer of a one- bedroom unit, provided that another resident on the list is willing to move to the unit. If the list has been exhausted, and the resident still refuses to move, any rent subsidy shall be terminated and rent shall be adjusted to full market rent effective with the next month’s rent payment. 39 9 Single residents moving voluntarily from two-bedroom to one-bedroom units shall be eligible for assistance from PTS for theirincidental moving expensessuch as utility hook-up charges. Request for payment of such expenses shall be accompanied by copies of bills or receipts for expenses paid, and paid by the Manager subject to the limitations of the approved PTS budget. Staff shall also provide reasonable assistance and/or equipment to facilitate such moves. Security Deposits: Prior to occupancy a Security Deposit will be collected. The Security Deposit will be $750. At the termination of the Lease, Management may keep all or part of the Security Deposit for (a) damage to the apartment beyond ordinary wear and tear from careful use and (b) for the rent or other money owed to Management under an agreement. Interest shall be earned on the Security Deposit at the going rate and returned to the resident within twenty one (21) days after move-out. Pet and Service/Companion Animal Policy: Pets will be allowed in Plymouth Towne Square if the following criteria are met: Management requires a pet lease be signed and a separate non-refundable pet fee of $300 be paid prior to move-in. No more than 1 dog or 1 cat per apartment. Pets may not exceed 35 pounds. All pets must be neutered or spayed and provide verification animal is up to date on all vaccinations, including rabies before moving into the apartment. Pet must be on a leash at all times when out of the apartment and never allowed to freely roam the interior and exterior of the premises, nor shall pet be allowed to enter the indoor or outdoor amenities. Residents must immediately clean-up after their pet. Upon lease renewal, all owners shall be required to re-register their pets and update all pet vaccination information. All updated information shall be retained in the resident’s file. If there are more than 3 violations or complaints, the resident will be asked to remove the pet from the property. 40 10 Service/Companion animals are not considered pets but must comply with the following criteria: Must not be allowed to freely roam the interior and exterior of the premises. Residents must immediately clean up after the service animal. Upon lease renewal or recertification must re-register the animal and update all vaccination information, If there are more than 3 violations or complaints the resident will be asked to move or remove the animal from the property. VERIFICATION REQUIREMENTS AND PROCEDURES The Manager will verify all income, expenses, assets, household characteristics and circumstances that affect eligibility or resident rent. All verifications must be documented in the applicant/resident file. Four methods of verification are acceptable. They are, in order of acceptability: A. Review of documents (such as bank statements, award letters, pay stubs, w-2 forms, tax returns, receipts etc.) B. Third-Party Written C. Third-Party Oral D. Certification/Self-Declaration. (a notarized statement from the resident, only accepted when third party verifications or review of documents is not possible.) Verifications are to be date stamped when received. The initial application and income verification will be used to determine placement on the appropriate wait list. At time of notice of availability and acceptance of unit a full certification will occur. INITIAL CERTIFICATION A. Applicants signature is an acceptable form of certification for family composition and current residence. 41 11 B. All earned income shall be verified at the time of admission or annual recertification through employers, W-2 forms, annual federal income tax forms, check stubs or other means to assure accuracy. C. Assets shall be verified by account statements and other copies of documents in the applicant’s possession, which substantiate his/her statements. (United States Treasury checks will not be photocopied). D. Unearned incomes shall be verified by viewing checks, certificates of award or other means to assure accuracy. E. Applicants shall be required to furnish proof of their statements when required by the Manager to reasonably assure accuracy. F. All determinations shall be fully documented in the applicant’s file. G. The following statements will also be verified and documented in applicant’s file: 1. Age of family members and Social Security numbers. 2. Criteria providing the basis for denial of eligibility. ANNUAL RECERTIFICATION All residents paying less than full moderate rate rent shall have their incomes recertified annually. Recertification of the family’s composition, income, and medical expenses incurred by the Household shall be conducted by the Manager. At that time, the amount of Resident Rent will be reviewed. Generally the recertification effective date should be the anniversary of the first day of the month Resident was admitted to the project. For example: Resident was admitted March 12, Recertification effective date is March 1, of the following year. Timely completion of recertification processing requires that management: - Maintain a tracking system to identify residents to be recertified and monitor completion of all required activities. - Notify Resident 60-75 days prior to the effective date that the recertification is due. - Interview Resident and obtain information on income, assets, family composition and allowances. - Verify all information in accordance to guidelines. - Calculate Resident’s rent. 42 12 - Provide written notice of any changes in rent resulting from recertification (at least 30 days’ notice for increase). Recertification Notices to Residents Initial notice of recertification is sent 60-75 days in advance of the recertification anniversary. The notice should state that Resident has to contact the office, the office hours, what is to be brought to the interview and who should be contacted to make the appointment. Notice of Intent to Terminate Assistance is given on the first of the month preceding the effective date to residents who have not yet responded. The Notice must state that Resident has 10 days to respond. If Resident does not respond within those ten days, the rent shall be increased to market rate effective on the recertification effective date with no 30 day notice of increase. Example: Recertification Effective Date September 1 Initial Notice July 1 Notice of Intent August 1 Assistance Terminated September 1 Moderate Rate Rent begins September 1 New Resident Rent and Payment A. Once resident rent is established, the rate shall remain in effect until the next annual recertification or until circumstances occur that warrant a special rent and income review (interim certification). Residents are to be notified in writing of any change in rent resulting from a rent review. A. An increase in rent requires a 30 day written notice to Resident. B. A decrease is effective on the next rent payment. Plymouth Towne Square will maintain all certification/recertification documentation of all verification efforts for at least three years after the effective date of the certification/recertification. INTERIM RECERTIFICATION Residents are required to immediately report the following changes: A. Any household member moves in or out of the unit. B. The household’s income cumulatively increases or decreases by approximately 20% or more per month. 43 13 Management must process an interim recertification if Resident reports 1) a change in household composition, 2) an increase in income or assets, 3) an increase in medical expenses, 4) decrease in income. Management may refuse to process an interim recertification when Resident reports a decrease in income if the decrease will last less than one month or the decrease was caused by deliberate action of Resident. The following steps are to be used in processing interim recertification: A. Interview Resident to obtain new information on household composition, income, assets, and allowance. B. Verify only those factors that have changed since or were not verified at the last recertification. C. Calculate new resident rent. D. Send written notice to Resident of rent payment changes and their effective date as follows: 1. For rent increase: first day of the month following the required 30 day advance notice. 2. For rent decreases: first day of the month following the date of the change. If Resident does not comply with interim reporting procedures, Manager will notify Resident, in writing, of the need to recertify, giving 10 calendar days to respond. If Resident does not respond, the Manager will require Resident to pay moderate rate rent at the next rent period. As soon as the required information is provided, reduce the rent to previous level, effective the next month. 44 14 MISREPRESENTATION Applicants and Residents are to be notified in writing of any misrepresentations or lease violations revealed through the annual recertification or other occurrences and any other corrective action required by the Plymouth Housing and Redevelopment Authority. If Resident misrepresentations, at the time of admission, annual reexamination, or rent review, cause a family to pay a lower rent than called for, Resident will be required to pay the differences between the rent paid and what should have been paid. Any attempt by Resident to willfully defraud the City of Plymouth or Plymouth HRA will result in an investigation and disposition as needed. 45 15 DEFINITIONS Adjusted Income: Annual Income less Medical Expenses in excess of three percent of Annual Income for any Family (refer to definition). Annual Income: A. Annual Income is the anticipated total income from all sources received by all Family members, including net income derived from assets, for the 12 month period following the effective date of initial determination or reexamination of income, exclusive of income that is temporary, nonrecurring or sporadic. B. Annual Income includes, but is not limited to: (1) The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services; (2) The net income from operation of a business or profession (for this purpose, expenditures for business expansion or amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine net income from a business and certain other expenses may require documentation beyond what is included in a tax return); (3) Interest, dividends, and other net income of any kind from real or personal property (for this purpose, expenditures for amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine the net income from real or personal property). Where the Family has Net Family Assets in excess of $5,000 Annual Income shall include the greater of the actual income derived from all Net Family Assets or five percent of the value of such net family Assets (4) The full amount of periodic payments received from social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including a lump-sum payment for the delayed start of a periodic payment; (5) Payments in lieu of earnings, such as unemployment and disability compensation, worker’s compensation and severance pay; 46 16 (6) Welfare Assistance. If the Welfare Assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the Welfare Assistance agency in accordance with the actual cost of shelter and utilities, the amount of Welfare Assistance income to be included as income shall consist of: a. The amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities, plus, b. The maximum amount the Welfare Assistance agency could in fact allow the Family for shelter and utilities. If the Family’s Welfare Assistance is notably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph bill shall be the amount resulting from one application of the percentage; (7) Periodic and determinable allowance and regular contributions and gifts received from persons not residing in the dwelling. (8) Any earned income tax credit to the extent it exceeds income tax liability; Annual Income does not include: Temporary, nonrecurring or sporadic income such as the following; (1) Casual, sporadic or irregular gifts; Amounts that are specifically received for, or in reimbursement of the cost of Medical Expenses; Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker’s compensation), capital gains, and settlement for personal or property losses; (2) Amount of educational scholarships paid directly to the student or to the educational institution, and amounts paid by the Government to a veteran for use in meeting the costs of tuition, fees, books, and equipment. Any amounts of such scholarships, or payments to veterans, not used for the purposes that are available for subsistence are to be included in income; 47 17 (3) Groceries received as a gift on a regular basis. Assistance Payment/Subsidy Payment: The difference between full moderate rate rent and tenant rent. Department of Housing And Urban Development:An agency of the federal government in charge of housing programs, i.e. The Housing Choice Voucher Program. This agency also determines income limits for various household sizes and programs. Effective Date:The “effective date” of a certification or recertification refers to (1) in the case of an initial certification for admission, the effective date of initial occupancy, and (2) in the case of recertification of an existing resident, the effective date of the redetermined Total Resident Rent, generally the anniversary of the first day of the month the resident was admitted to the project. Household:A family whose Head of Household and Spouse or a single person is at least 55 years of age or older. Head of Household: The adult member of the family who is the head of household for purposes of determining income eligibility and rent. Housing and Redevelopment Authority (HRA):The Plymouth Housing and Redevelopment Authority is a public Body Corporate under the laws of the State of Minnesota that has decision making authority as to changes or modifications in the Admission and Occupancy Handbook for Plymouth Towne Square. This agency is under the direction of seven commissioners appointed by the Plymouth City Council. The authority is staffed by City employees. The City of Plymouth’s Community Development Director is the Executive Director of the HRA. Manager:The person hired by the Plymouth HRA or its management consultant, to manage the day-to-day operations of Plymouth Towne Square. This person will have an office in the housing project and will approve applicants based on the HRA’s preference criteria and other regulations outlined in this document. Immediate Family:Includes brothers, sisters, children, grandchildren, nieces and nephews. 48 18 Medical Expenses:Those medical out-of-pocket expenses, including medical insurance premiums, that are anticipated during the period for which Annual Income is computed and are not covered by an outside source, such as insurance. (The amount allowable as a deduction is the amount that exceeds three percent of annual income, as defined below). A. If the household is eligible for a medical expense deduction, the medical expenses of all family members residing at Plymouth Towne Square are counted. B. Medical expenses include all expenses anticipated to be incurred during the 12 months following certification/recertification which are not covered by an outside source, such as insurance. They may include: (1) Services of doctor and health care professionals; (2) Services of health care facilities; (3) Medical insurance premiums; (4) Prescription/over the counter (as prescribed by a Doctor’s written order) medicines; (5) Transportation to treatment; (6) Dental expenses; (7) Eyeglasses, hearing aids, batteries; (8) Live-in or periodic medical assistance; (9) Monthly payment on accumulated medical bills; and (10) Reserved C. Medical expenses shall not include personal care items, products or services not considered eligible for medical expense deductions by the IRS. One-time, non-recurring expenses from the previous year shall not be included when estimating medical expenses for the next year. Monthly Adjusted Income:One-twelfth of Adjusted Income. Net Household 49 19 Assets:With respect to any person or household, the aggregate market value of all assets which are owned by such person or household or by any entity which is related to such person or household, including but not limited to cash, securities, accounts receivable, chattel paper and other intangibles, and other real property of any nature whatsoever, less the aggregate amount of liabilities of such person, family or other entity. In determining Net Household Assets, staff shall include the value of any assets disposed of by an applicant or resident for less than fair market value (including a disposition in trust, but noting a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or recertification, as applicable, in excess of the consideration received thereof. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or resident receives important consideration not measurable in dollar terms. Rent, Full Market:The full market rent for the unit, which shall be determined by the Plymouth HRA, less utility allowances, and approved by the Plymouth HRA from time to time. Resident:Person(s) named on the lease for a given unit. Resident of Plymouth:Persons or families who have lived in Plymouth for at least 12 months shall be deemed to be a Plymouth resident. Resident Rent:The amount payable monthly by the Resident as rent to the Housing and Redevelopment Authority (HRA), based on the minimum rent or 37% of adjusted monthly income for rent and utilities, whichever is greater, up to the full market rent. In all cases, residents are responsible for their phone and electric bill and garage rental (optional) in addition to their monthly rent charge. Spouse:Spouse refers to the marriage partner, either a husband or wife, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common law marriage. It does not cover girlfriends, boyfriends, significant others, or “co-heads”. Subsidy/Assistance Payment:The difference between full market rent and tenant rent. Very Low Income:A Family whose Annual Income does not exceed 50 percent of median income for the area, as determined and amended from time to time by the Department of Housing and Urban Development (HUD) with adjustments for smaller and larger families. 50 20 Welfare Assistance:Welfare or other payments to families or individuals, based on need, that are made under programs funded, separately or jointly, by federal, state or local governments. 51 1 ADMISSION AND OCCUPANCY HANDBOOK FOR PLYMOUTH TOWNE SQUARE Plymouth, Minnesota JANUARY 12, 1994 Revised November 2003 Revised February 26, 2012 Revised November 18, 2021 Owned by Plymouth Housing and Redevelopment Authority Managed by Grace Management, Inc. 52 2 ADMISSION AND OCCUPANCY HANDBOOK FOR PLYMOUTH TOWNE SQUARE TABLE OF CONTENTS INTRODUCTION AND PURPOSE .......................................................................................... 1 APPLICATION PROCESS ........................................................................................................ 1 PREFERENCES...................................................................................................................... 2 ELIGIBILITY REQUIREMENTS ............................................................................................ 3 WAITING LIST ........................................................................................................................... 4 INTERVIEW PROCESS ............................................................................................................ 5 RENT DETERMINATIONS ...................................................................................................... 6 OCCUPANCY STANDARDS .................................................................................................... 7 SECURITY DEPOSITS ......................................................................................................... 8 PET POLICY .......................................................................................................................... 8 VERIFICATION REQUIREMENTS AND PROCEDURES ................................................. 9 INITIAL CERTIFICATION .................................................................................................10 ANNUAL RECERTIFICATION ..........................................................................................10 INTERIM RECERTIFICATION .........................................................................................12 MISREPRESENTATION ...........................................................................................................13 DEFINITIONS .............................................................................................................................14 53 1 INTRODUCTION AND PURPOSE The philosophy of Plymouth Towne Square (PTS) Retirement Community is to provide affordable housing to persons age 55 years and older. The Facility is owned by the Plymouth Housing and Redevelopment Authority (HRA) and subsidized by the taxpayers of Plymouth, Minnesota. Grace Management, Inc. has been contracted to provide management services. Plymouth Towne Square is located on Plymouth Boulevard, 2 blocks north of the Plymouth City Hall. It is a 99-unit, 3-story retirement community. The building has a community room with adjacent kitchen, activity room, library, exercise room, guest room,and 68-stall underground parking. THE PURPOSE OF THIS HANDBOOK IS TO PROVIDE POLICIES AND GUIDELINES FOR TOWNE SQUARE STAFF TO FOLLOW DURING THE ADMISSION AND OCCUPANCY PROCESS. All changes to these policies must be approved by the Plymouth Housing and Redevelopment Authority (HRA) Board and implemented by Grace Management, Inc. The Plymouth Housing and Redevelopment Authority, by written direction to the Manager, may grant exceptions to these policies when justified by special circumstances. APPLICATION PROCESS The HRA may, from time to time, authorize the Manager to open applications for residency at PTS. Applications will be accepted only if there is an expectation that there may be a vacancy in the building within a reasonable time, and the waiting list has been reduced to the point that the Manager will not be able to fill vacant units from the current list. A written application is required for admission to Plymouth Towne Square or placement on the waiting list. The application includes household characteristic information, preference information, source(s) and estimate(s) of anticipated annual income and assets, and screening information (prior landlords and credit history). Persons who wish to receive an application for occupancy may call or write to Plymouth Towne Square and request an application be sent to them. 54 2 Applications will be returned to: Plymouth Towne Square Attn: Manager 15500-37th Avenue North Plymouth, MN 55446 Email: plymouthtownesquare@gmail.com Fax: 763-551-0089 Returned applications will be date stamped as they are received. Applications that are not completed in full will be returned to the sender with a letter stating why the application is incomplete. Staff will not process incomplete applications. The Manager will conduct an initial review of the application to determine if the applicant qualifies for Plymouth Towne Square. If an applicant DOES NOT qualify for housing, they will be notified in writing the reason for ineligibility. If an applicant DOES qualify for housing he/she shall be assigned a place on the waiting list based on the date and time of receipt of the application and the following preferences: PREFERENCES: 1. Applicant is 55 years of age or older and a resident of Plymouth that meets the very low income limits established by the HRA. The applicant is a participant in the federal VASH Housing Voucher program. 2. Immediate Family live in Plymouth and applicant is 55 years or older and meets the very low income limits as established by the HRA. The applicant is a participant in the federal Housing Choice Voucher program. 3. Other applicants at least 55 years of age. Plymouth Towne Square complies with all Federal, State and local Fair Housing and Civil Rights Laws. Plymouth Towne Square is an equal opportunity community and will not discriminate based on race, color, creed, religion, sex, national origin, age, family status or handicap. Civil Rights laws and equal opportunity requirements cover application intake, resident selection and unit assignment. 55 3 ELIGIBILITY REQUIREMENTS Plymouth Towne Square is open to all individuals at least 55 years and older regardless of income. However, preference will be given to those individuals and families whose Annual Income falls below the Very Low Income limits or is a resident of the City of Plymouth. All household members must be at least 55 years of age at the time of occupancy. Ineligibility Applicants determined to be ineligible shall be notified by letter within 30 days of the determination by the Manager. The letter shall state the reason the applicant is ineligible, and that the applicant has the right within a reasonable time (specified in the letter) to request a review by the HRA’s Housing Program Manager. If, after the review, it is determined that the applicant is still ineligible, the applicant shall be so notified in writing. An applicant may be ineligible for participation in the Plymouth HRA’s senior affordable housing program if the applicant or another member of the household: 1. Does not age qualify. 2. Was evicted for nonpayment of his/her share of rent or for damages done to a unit somewhere else and the court required payment was not made by applicant; or, 3. Has engaged in conduct at previously leased premises which: a. resulted in physical injury to other residents or other residents’ guests, b. endangered the life, safety and welfare of other residents or other residents’ guest, or, c. caused substantial and extraordinary damage to the leased premises or the property of other residents or other residents’ guests on the leased premises. 4. Has committed drug-related criminal activity. Applicants will not be initially screened out for arrest records or criminal convictions within the categories listed below, but will be required to meet with the property manager to determine if there are facts that can be verified that would overcome or outweigh information gathered during the process. • Marijuana possession • Alcohol-related offenses (other than DUI) • Serious traffic offenses (other than DUI) • Minor public order offenses • DUI/DWI or reckless driving • Other minor violence-related offenses 56 4 • Minor drug-related offenses • Disorderly conduct • Prostitution 5. Has committed bribery, fraud or any other corrupt or criminal act in connection with any federal, state or local program. 6. Has committed violent criminal activity 57 5 WAITING LIST Applicants will be notified by telephone when a suitable unit becomes available. The Manager will offer an available unit to the first applicant on the waiting list qualified for the size of unit available, based on the time and date of the application and in order of the preference, if any, for which the applicant qualifies. Management will document the day, time and type of communications used in the effort to reach the applicant and notify him/her of the available unit. When an applicant has refused the offer of a unit, it will be documented. If any eligible applicant refuses three times, they will be moved to the bottom of the waiting list. Any mailings to the applicant which require a response will state that failure to respond within ten days will result in the applicant’s name being dropped from the waiting list. An extension of ten days to respond will be granted, if requested and needed as a reasonable accommodation for a person with a disability. If an applicant fails to respond to a mailing from PTS, the applicant will be removed from the waiting list. If the applicant did not respond to the PTS request for information or updates because of a family member’s disability, the Manager will reinstate the applicant in the applicant’s former position on the waiting list. If a letter is returned by the Post Office without a forwarding address, the applicantwill be removed without further notice and the envelope and letter will be maintained in the file. If a letter is returned with a forwarding address, it will be re-mailed to the address indicated. If an applicant is removed from the waiting list for failure to respond, they will not be entitled to reinstatement unless the Manager determines there were extenuating circumstances beyond the person’s control. The Waiting List will be purged not more than one time each year by a mailing to all applicants to ensure that the waiting list is current and accurate. The mailing will ask for confirmation of continued interest. It is the responsibility of the applicant to notify Plymouth Towne Square of any address and phone number changes. 58 6 INTERVIEW PROCESS When an appropriate unit will be available in the near future, the Manager will interview the applicant and obtain current information about the family’s circumstances. The Manager may ask applicants to bring certain records and documents to the certification interview. At the interview, the Manager will: A. Confirm and update all information on the application. B. Explain program requirements, verification procedures and penalties for false information. C. Confirm through appropriate documentation the age of the applicant(s). D. Review the financial information on the application and specifically ask Applicant whether any member of the household: 1. Receives the types of incomes listed under income definition and if the applicant is receiving a form of income not reported on the application, ask the applicant about the source of income and document the applicant’s response in the file. 2. Has any assets. E. Ask the applicant(s) to sign the release of information consent portion of any verification request used for them. F. Require the applicant(s) to give a written certification as to whether they did/did not dispose of any assets for less than fair market value during the two years preceding the effective date of the certification/recertification. The certification will include a list of all assets disposed of for less than fair market value, the dates disposed, the amount received, and the asset’s market value at the time of disposition. G. Require the applicant(s) to disclose and document all social security numbers or execute a certification when a social security number has not been assigned. H. Tell the applicant that a final decision on eligibility cannot be made until all verifications are complete. I. Inform the applicant that Federal laws prohibit Plymouth Towne Square from discriminating against individuals with handicaps. In summary, Plymouth Towne Square has the responsibility for making reasonable accommodations in policies, providing auxiliary aids, making units and facilities accessible and permitting handicapped persons to use assistive animals when they provide Applicant with equal housing opportunities. J. Inform applicants of housing rules and amenities. 59 7 RENT DETERMINATIONS The amount payable monthly by the Household as rent to the Housing and Redevelopment Authority (HRA) is determined by their Annual Income. In all cases, Residents are responsible for their phone and electric bill and garage rental in addition to their monthly rent charge. All Residents shall pay at least the minimum monthly rent for their units or 37% of their adjusted monthly income for their rent and utilities, whichever is greater, up to the full moderate rate rent. Contact the Property Manager for current minimum and maximum rent limits. Computation of Annual Income: 1. All payments from all sources received by the Household. (See ANNUAL INCOME definition) 2.If circumstances arise where it is not feasible to anticipate a level of income over a 12 month period, a shorter period may be used, but subject to a recertification at the end of such period. *The HRA reserves the right to adjust rents based on building operating expenses and overhead and annual changes in median income for the Mpls/St. Paul metropolitan area, as determined by HUD from time to time. 60 8 OCCUPANCY STANDARDS The Manager will take into account the need to avoid overcrowding with the need to make the best use of available space and to avoid unnecessary subsidy, the number of persons in the household, and the relationship and sex of those persons. Typically, unit determination will be as follows: 1 bedroom units = 1-2 persons 2 bedroom units = 2-4 persons The Manager will consider the following guidelines when determining appropriate unit sizes: 1. Every household member is listed on the application is to be counted. 2. No more than two persons can occupy a bedroom. 3. Plymouth Towne Square will not provide bedrooms for permanently institutionalized family members. 5. If the number of occupants in a two-bedroom unit is less than two and this situation is considered to be permanent and not medically necessary, the resident must do one of the following: Find another “qualified” resident to move in with them. Move to the next available one-bedroom unit. Remain in the two-bedroom unit, but pay full rent thus receive no subsidy. The Manager shall create and maintain a list of single occupants of two-bedroom units. Available one-bedroom units shall be offered to the residents on the list in the following preference order: a.Residents who indicate in writing their willingness to move to a one-bedroom unit, in the order that requests are received by the Manager. b.All other single occupants of two-bedroom units in an order determined by lottery. A resident offered a one-bedroom units shall have no more than 60 days to complete their move to the new unit, and shall cooperate with the manager to allow the occupancy of their current unit as soon as possible to avoid prolonged vacancies in the building. Residents requested to move under this policy shall be permitted to refuse the offer of a one- bedroom unit, provided that another resident on the list is willing to move to the unit. If the list has been exhausted, and the resident still refuses to move, any rent subsidy shall be terminated and rent shall be adjusted to full market rent effective with the next month’s rent payment. 61 9 Single residents moving voluntarily from two-bedroom to one-bedroom units shall be eligible for assistance from PTS for theirincidental moving expensessuch as utility hook-up charges. Request for payment of such expenses shall be accompanied by copies of bills or receipts for expenses paid, and paid by the Manager subject to the limitations of the approved PTS budget. Staff shall also provide reasonable assistance and/or equipment to facilitate such moves. Security Deposits: Prior to occupancy a Security Deposit will be collected. The Security Deposit will be $750. At the termination of the Lease, Management may keep all or part of the Security Deposit for (a) damage to the apartment beyond ordinary wear and tear from careful use and (b) for the rent or other money owed to Management under an agreement. Interest shall be earned on the Security Deposit at the going rate and returned to the resident within twenty one (21) days after move-out. Pet and Service/Companion Animal Policy: Pets will be allowed in Plymouth Towne Square if the following criteria are met: Management requires a pet lease be signed and a separate non-refundable pet fee of $300 be paid prior to move-in. No more than 1 dog or 1 cat per apartment. Pets may not exceed 35 pounds. All pets must be neutered or spayed and provide verification animal is up to date on all vaccinations, including rabies before moving into the apartment. Pet must be on a leash at all times when out of the apartment and never allowed to freely roam the interior and exterior of the premises, nor shall pet be allowed to enter the indoor or outdoor amenities. Residents must immediately clean-up after their pet. Upon lease renewal, all owners shall be required to re-register their pets and update all pet vaccination information. All updated information shall be retained in the resident’s file. If there are more than 3 violations or complaints, the resident will be asked to remove the pet from the property. 62 10 Service/Companion animals are not considered pets but must comply with the following criteria: Must not be allowed to freely roam the interior and exterior of the premises. Residents must immediately clean up after the service animal. Upon lease renewal or recertification must re-register the animal and update all vaccination information, If there are more than 3 violations or complaints the resident will be asked to move or remove the animal from the property. VERIFICATION REQUIREMENTS AND PROCEDURES The Manager will verify all income, expenses, assets, household characteristics and circumstances that affect eligibility or resident rent. All verifications must be documented in the applicant/resident file. Four methods of verification are acceptable. They are, in order of acceptability: A. Review of documents (such as bank statements, award letters, pay stubs, w-2 forms, tax returns, receipts etc.) B. Third-Party Written C. Third-Party Oral D. Certification/Self-Declaration. (a notarized statement from the resident, only accepted when third party verifications or review of documents is not possible.) Verifications are to be date stamped when received. The initial application and income verification will be used to determine placement on the appropriate wait list. At time of notice of availability and acceptance of unit a full certification will occur. INITIAL CERTIFICATION A. Applicants signature is an acceptable form of certification for family composition and current residence. 63 11 B. All earned income shall be verified at the time of admission or annual recertification through employers, W-2 forms, annual federal income tax forms, check stubs or other means to assure accuracy. C. Assets shall be verified by account statements and other copies of documents in the applicant’s possession, which substantiate his/her statements. (United States Treasury checks will not be photocopied). D. Unearned incomes shall be verified by viewing checks, certificates of award or other means to assure accuracy. E. Applicants shall be required to furnish proof of their statements when required by the Manager to reasonably assure accuracy. F. All determinations shall be fully documented in the applicant’s file. G. The following statements will also be verified and documented in applicant’s file: 1. Age of family members and Social Security numbers. 2. Criteria providing the basis for denial of eligibility. ANNUAL RECERTIFICATION All residents paying less than full moderate rate rent shall have their incomes recertified annually. Recertification of the family’s composition, income, and medical expenses incurred by the Household shall be conducted by the Manager. At that time, the amount of Resident Rent will be reviewed. Generally the recertification effective date should be the anniversary of the first day of the month Resident was admitted to the project. For example: Resident was admitted March 12, Recertification effective date is March 1, of the following year. Timely completion of recertification processing requires that management: - Maintain a tracking system to identify residents to be recertified and monitor completion of all required activities. - Notify Resident 60-75 days prior to the effective date that the recertification is due. - Interview Resident and obtain information on income, assets, family composition and allowances. - Verify all information in accordance to guidelines. - Calculate Resident’s rent. 64 12 - Provide written notice of any changes in rent resulting from recertification (at least 30 days’ notice for increase). Recertification Notices to Residents Initial notice of recertification is sent 60-75 days in advance of the recertification anniversary. The notice should state that Resident has to contact the office, the office hours, what is to be brought to the interview and who should be contacted to make the appointment. Notice of Intent to Terminate Assistance is given on the first of the month preceding the effective date to residents who have not yet responded. The Notice must state that Resident has 10 days to respond. If Resident does not respond within those ten days, the rent shall be increased to market rate effective on the recertification effective date with no 30 day notice of increase. Example: Recertification Effective Date September 1 Initial Notice July 1 Notice of Intent August 1 Assistance Terminated September 1 Moderate Rate Rent begins September 1 New Resident Rent and Payment A. Once resident rent is established, the rate shall remain in effect until the next annual recertification or until circumstances occur that warrant a special rent and income review (interim certification). Residents are to be notified in writing of any change in rent resulting from a rent review. A. An increase in rent requires a 30 day written notice to Resident. B. A decrease is effective on the next rent payment. Plymouth Towne Square will maintain all certification/recertification documentation of all verification efforts for at least three years after the effective date of the certification/recertification. INTERIM RECERTIFICATION Residents are required to immediately report the following changes: A. Any household member moves in or out of the unit. B. The household’s income cumulatively increases or decreases by approximately 20% or more per month. 65 13 Management must process an interim recertification if Resident reports 1) a change in household composition, 2) an increase in income or assets, 3) an increase in medical expenses, 4) decrease in income. Management may refuse to process an interim recertification when Resident reports a decrease in income if the decrease will last less than one month or the decrease was caused by deliberate action of Resident. The following steps are to be used in processing interim recertification: A. Interview Resident to obtain new information on household composition, income, assets, and allowance. B. Verify only those factors that have changed since or were not verified at the last recertification. C. Calculate new resident rent. D. Send written notice to Resident of rent payment changes and their effective date as follows: 1. For rent increase: first day of the month following the required 30 day advance notice. 2. For rent decreases: first day of the month following the date of the change. If Resident does not comply with interim reporting procedures, Manager will notify Resident, in writing, of the need to recertify, giving 10 calendar days to respond. If Resident does not respond, the Manager will require Resident to pay moderate rate rent at the next rent period. As soon as the required information is provided, reduce the rent to previous level, effective the next month. 66 14 MISREPRESENTATION Applicants and Residents are to be notified in writing of any misrepresentations or lease violations revealed through the annual recertification or other occurrences and any other corrective action required by the Plymouth Housing and Redevelopment Authority. If Resident misrepresentations, at the time of admission, annual reexamination, or rent review, cause a family to pay a lower rent than called for, Resident will be required to pay the differences between the rent paid and what should have been paid. Any attempt by Resident to willfully defraud the City of Plymouth or Plymouth HRA will result in an investigation and disposition as needed. 67 15 DEFINITIONS Adjusted Income: Annual Income less Medical Expenses in excess of three percent of Annual Income for any Family (refer to definition). Annual Income: A. Annual Income is the anticipated total income from all sources received by all Family members, including net income derived from assets, for the 12 month period following the effective date of initial determination or reexamination of income, exclusive of income that is temporary, nonrecurring or sporadic. B. Annual Income includes, but is not limited to: (1) The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services; (2) The net income from operation of a business or profession (for this purpose, expenditures for business expansion or amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine net income from a business and certain other expenses may require documentation beyond what is included in a tax return); (3) Interest, dividends, and other net income of any kind from real or personal property (for this purpose, expenditures for amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine the net income from real or personal property). Where the Family has Net Family Assets in excess of $5,000 Annual Income shall include the greater of the actual income derived from all Net Family Assets or five percent of the value of such net family Assets (4) The full amount of periodic payments received from social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including a lump-sum payment for the delayed start of a periodic payment; (5) Payments in lieu of earnings, such as unemployment and disability compensation, worker’s compensation and severance pay; 68 16 (6) Welfare Assistance. If the Welfare Assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the Welfare Assistance agency in accordance with the actual cost of shelter and utilities, the amount of Welfare Assistance income to be included as income shall consist of: a. The amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities, plus, b. The maximum amount the Welfare Assistance agency could in fact allow the Family for shelter and utilities. If the Family’s Welfare Assistance is notably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph bill shall be the amount resulting from one application of the percentage; (7) Periodic and determinable allowance and regular contributions and gifts received from persons not residing in the dwelling. (8) Any earned income tax credit to the extent it exceeds income tax liability; Annual Income does not include: Temporary, nonrecurring or sporadic income such as the following; (1) Casual, sporadic or irregular gifts; Amounts that are specifically received for, or in reimbursement of the cost of Medical Expenses; Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker’s compensation), capital gains, and settlement for personal or property losses; (2) Amount of educational scholarships paid directly to the student or to the educational institution, and amounts paid by the Government to a veteran for use in meeting the costs of tuition, fees, books, and equipment. Any amounts of such scholarships, or payments to veterans, not used for the purposes that are available for subsistence are to be included in income; 69 17 (3) Groceries received as a gift on a regular basis. Assistance Payment/Subsidy Payment: The difference between full moderate rate rent and tenant rent. Department of Housing And Urban Development:An agency of the federal government in charge of housing programs, i.e. The Housing Choice Voucher Program. This agency also determines income limits for various household sizes and programs. Effective Date:The “effective date” of a certification or recertification refers to (1) in the case of an initial certification for admission, the effective date of initial occupancy, and (2) in the case of recertification of an existing resident, the effective date of the redetermined Total Resident Rent, generally the anniversary of the first day of the month the resident was admitted to the project. Household:A family whose Head of Household and Spouse or a single person is at least 55 years of age or older. Head of Household: The adult member of the family who is the head of household for purposes of determining income eligibility and rent. Housing and Redevelopment Authority (HRA):The Plymouth Housing and Redevelopment Authority is a public Body Corporate under the laws of the State of Minnesota that has decision making authority as to changes or modifications in the Admission and Occupancy Handbook for Plymouth Towne Square. This agency is under the direction of seven commissioners appointed by the Plymouth City Council. The authority is staffed by City employees. The City of Plymouth’s Community Development Director is the Executive Director of the HRA. Manager:The person hired by the Plymouth HRA or its management consultant, to manage the day-to-day operations of Plymouth Towne Square. This person will have an office in the housing project and will approve applicants based on the HRA’s preference criteria and other regulations outlined in this document. Immediate Family:Includes brothers, sisters, children, grandchildren, nieces and nephews. 70 18 Medical Expenses:Those medical out-of-pocket expenses, including medical insurance premiums, that are anticipated during the period for which Annual Income is computed and are not covered by an outside source, such as insurance. (The amount allowable as a deduction is the amount that exceeds three percent of annual income, as defined below). A. If the household is eligible for a medical expense deduction, the medical expenses of all family members residing at Plymouth Towne Square are counted. B. Medical expenses include all expenses anticipated to be incurred during the 12 months following certification/recertification which are not covered by an outside source, such as insurance. They may include: (1) Services of doctor and health care professionals; (2) Services of health care facilities; (3) Medical insurance premiums; (4) Prescription/over the counter (as prescribed by a Doctor’s written order) medicines; (5) Transportation to treatment; (6) Dental expenses; (7) Eyeglasses, hearing aids, batteries; (8) Live-in or periodic medical assistance; (9) Monthly payment on accumulated medical bills; and (10) Reserved C. Medical expenses shall not include personal care items, products or services not considered eligible for medical expense deductions by the IRS. One-time, non-recurring expenses from the previous year shall not be included when estimating medical expenses for the next year. Monthly Adjusted Income:One-twelfth of Adjusted Income. Net Household 71 19 Assets:With respect to any person or household, the aggregate market value of all assets which are owned by such person or household or by any entity which is related to such person or household, including but not limited to cash, securities, accounts receivable, chattel paper and other intangibles, and other real property of any nature whatsoever, less the aggregate amount of liabilities of such person, family or other entity. In determining Net Household Assets, staff shall include the value of any assets disposed of by an applicant or resident for less than fair market value (including a disposition in trust, but noting a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or recertification, as applicable, in excess of the consideration received thereof. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or resident receives important consideration not measurable in dollar terms. Rent, Full Market:The full market rent for the unit, which shall be determined by the Plymouth HRA, less utility allowances, and approved by the Plymouth HRA from time to time. Resident:Person(s) named on the lease for a given unit. Resident of Plymouth:Persons or families who have lived in Plymouth for at least 12 months shall be deemed to be a Plymouth resident. Resident Rent:The amount payable monthly by the Resident as rent to the Housing and Redevelopment Authority (HRA), based on the minimum rent or 37% of adjusted monthly income for rent and utilities, whichever is greater, up to the full market rent. In all cases, residents are responsible for their phone and electric bill and garage rental (optional) in addition to their monthly rent charge. Spouse:Spouse refers to the marriage partner, either a husband or wife, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common law marriage. It does not cover girlfriends, boyfriends, significant others, or “co-heads”. Subsidy/Assistance Payment:The difference between full market rent and tenant rent. Very Low Income:A Family whose Annual Income does not exceed 50 percent of median income for the area, as determined and amended from time to time by the Department of Housing and Urban Development (HUD) with adjustments for smaller and larger families. 72 20 Welfare Assistance:Welfare or other payments to families or individuals, based on need, that are made under programs funded, separately or jointly, by federal, state or local governments. 73 1 ADMISSION AND OCCUPANCY HANDBOOK FOR VICKSBURG CROSSING Plymouth, Minnesota June 24, 2008 Revised 2-26-12 Revised November 18, 2021 Owned by Plymouth Housing and Redevelopment Authority Managed by Grace Management, Inc. 74 2 ADMISSION AND OCCUPANCY HANDBOOK FOR VICKSBURG CROSSING TABLE OF CONTENTS INTRODUCTION AND PURPOSE .......................................................................................... 1 APPLICATION PROCESS ........................................................................................................ 1 PREFERENCES...................................................................................................................... 2 ELIGIBILITY REQUIREMENTS ............................................................................................ 2 WAITING LIST ........................................................................................................................... 3 INTERVIEW PROCESS ............................................................................................................ 4 RENT DETERMINATIONS ...................................................................................................... 5 OCCUPANCY STANDARDS .................................................................................................... 6 SECURITY DEPOSITS ......................................................................................................... 6 PET POLICY .......................................................................................................................... 7 VERIFICATION REQUIREMENTS AND PROCEDURES ................................................. 7 INITIAL CERTIFICATION ................................................................................................. 8 ANNUAL RECERTIFICATION .......................................................................................... 8 MISREPRESENTATION ...........................................................................................................10 DEFINITIONS .............................................................................................................................11 75 1 INTRODUCTION AND PURPOSE The philosophy of Vicksburg Crossing Retirement Community is to provide decent, safe, and affordable housing to persons age 55 years and older. The Facility is owned by the Plymouth Housing and Redevelopment Authority (HRA). Grace Management, Inc. has been contracted to provide management services. Vicksburg Crossing is located at the southwest corner of Highway 55 and Vicksburg Lane. It is a 96-unit, 4-story retirement community. The building has a community room with adjacent kitchen, a library/computer center and a guest suite. There are 70-underground parking spaces. THE PURPOSE OF THIS HANDBOOK IS TO PROVIDE POLICIES AND GUIDELINES FOR THE MANAGEMENT COMPANY AND STAFF TO FOLLOW DURING THE ADMISSION AND OCCUPANCY PROCESS. All changes to these policies must be approved by the Plymouth Housing and Redevelopment Authority (HRA) Board of Commissioners and implemented by the Management Company. The Plymouth Housing and Redevelopment Authority, by written direction to the Manager, may grant exceptions to these policies when justified by special circumstances. APPLICATION PROCESS The HRA may, from time to time, authorize the Manager to open applications for residency at Vicksburg Crossing. Applications will be accepted only if there is an expectation that there may be a vacancy in the building within a reasonable time, and the waiting list has been reduced to the point that the Manager will not be able to fill vacant units from the current list. A written or electronic application is required for admission to Vicksburg Crossing or placement on the waiting list. The application includes household characteristic information, preference information, source(s) and estimate(s) of anticipated annual income and assets, and screening information (prior landlords and credit history). Persons who wish to receive an application for occupancy may call, email or write to Vicksburg Crossing and request an application be sent to them. All applications will include the following: Introductory Letter Application Marketing Brochure 76 2 Applications will be returned to: Vicksburg Crossing Attn: Manager 3155 Vicksburg Lane Plymouth, MN 55447 Returned applications will be date stamped as they are received. Applications that are not completed in full will be returned to the sender with a letter stating why it is incomplete. Staff will not process incomplete applications. The Manager will conduct an initial review of the application to determine if the applicant qualifies. If an applicant DOES NOT qualify for housing, they will be notified in writing the reason for ineligibility. If an applicant DOES qualify for housing she/he shall be assigned a place on the waiting list based on the date and time of receipt of the application and the following preferences: MODERATE RATE AND AFFORDABLE UNIT PREFERENCES: 1. Applicant is at least 55 years of age and a resident of Plymouth. Applicant is a participant in the federal VASH Housing Voucher program. 2. Immediate Family live in Plymouth and applicant is at least 55 years of age. Applicant is a participant in the federal Housing Choice Voucher program. 3. Other applicants at least 55 years of age. The Plymouth HRA complies with all Federal, State and local Fair Housing and Civil Rights Laws. Vicksburg Crossing is an equal opportunity community and will not discriminate based on race, color, creed, religion, sex, national origin, age, family status or handicap. Civil Rights laws and equal opportunity requirements cover application intake, resident selection,and unit assignment. ELIGIBILITY REQUIREMENTS Vicksburg Crossing is open to all individuals who are at least 55 years and older regardless of income. However, for the Qualified Affordable Units, preference will be given to those individuals and families whose Gross Annual Income is at or below 50% of the area median income and is a resident of the City of Plymouth. All household members must be at least 55 years of age at the time of occupancy. 77 3 Ineligibility Applicants determined to be ineligible shall be notified by letter within 30 days of the determination by the Manager. The letter shall state the reason the applicant is ineligible, and that the applicant has the right within a reasonable time (specified in the letter) to request a review by the HRA Manager. If, after the review, it is determined that the applicant is still ineligible, the applicant shall be so notified in writing. An applicant may be ineligible if the applicant or another member of the household: 1. Does not age qualify. 2. Was evicted for nonpayment of his/her share of rent or for damages done to a unit somewhere else and the court required payment was not made by applicant; or, 3. Has engaged in conduct at previously leased premises which: a. resulted in physical injury to other residents or other residents’ guests, b. endangered the life, safety and welfare of other residents or other residents’ guest, or, c. caused substantial and extraordinary damage to the leased premises or the property of other residents or other residents’ guests on the leased premises. 4. Has committed drug-related criminal activity. Applicants will not be initially screened out for arrest records or criminal convictions within the categories listed below, but will be required to meet with the property manager to determine if there are facts that can be verified that would overcome or outweigh information gathered during the process. • Marijuana possession • Alcohol-related offenses (other than DUI) • Serious traffic offenses (other than DUI) • Minor public order offenses • DUI/DWI or reckless driving • Other minor violence-related offenses • Minor drug-related offenses • Disorderly conduct • Prostitution 5. Has committed bribery, fraud or any other corrupt or criminal act in connection with any federal, state or local program. 6. Has committed violent criminal activity 78 4 WAITING LIST Applicants will be notified when a suitable unit becomes available. The Manager will offer a vacant unit to the first applicant on the waiting list based on the time and date of the application and in order of the preference, if any, for which the applicant qualifies. Management will document the day, time and type of communications used in the effort to reach the applicant and notify him/her of the available unit. When an applicant has refused the offer of a unit, it will be documented. If any eligible applicant for a qualified affordable unit refuses three times, they will be removed from the waiting list. Any mailings to the applicant which require a response will state that failure to respond within ten days will result in the applicant’s name being dropped from the waiting list. An extension of ten days to respond will be granted, if requested and needed as a reasonable accommodation for a person with a disability. If an applicant fails to respond to a mailing, the applicant will be removed from the waiting list. If the applicant did not respond to the request for information or updates because of a family member’s disability, the Manager will reinstate the applicant in the applicant’s former position on the waiting list. If a letter is returned by the Post Office without a forwarding address, the applicant will be removed without further notice and the envelope and letter will be maintained in the file for a period of one year. If a letter is returned with a forwarding address, it will be re-mailed to the address indicated. If an applicant is removed from the waiting list for failure to respond, they will not be entitled to reinstatement unless the Manager determines there were extenuating circumstances beyond the person’s control. The Waiting List will be purged not more than one time each year by a mailing to all applicants to ensure that the waiting list is current and accurate. The mailing will ask for confirmation of continued interest. Once the updating is complete, applicants will be notified in writing of their new position on the waiting list. It is the responsibility of the applicant to notify the Management Company of any address and phone changes. 79 5 INTERVIEW PROCESS When an appropriate unit will be available in the near future, the Manager will interview the applicant and obtain current information about the family’s circumstances. The Manager may ask applicants to bring certain records and documents to the certification interview. At the interview, the Manager will: A. Confirm and update all information on the application. B. Explain occupancy requirements, verification procedures and penalties for false information. C. Confirm through appropriate documentation the age of the applicant(s). D. Review the financial information on the application and specifically ask Applicant whether any member of the household: 1. Receives the types of incomes listed under income definition and if the applicant is receiving a form of income not reported on the application, ask the applicant about the source of income and document the applicant’s response in the file. 2. Has any assets. E. Ask the applicant(s) to sign the release of information consent portion of any verification request used for them. F. Require the applicant(s) to give a written certification as to whether they did/did not dispose of any assets for less than fair market value during the two years preceding the effective date of the certification/recertification. The certification will include a list of all assets disposed of for less than fair market value, the dates disposed, the amount received, and the asset’s market value at the time of disposition. G. Require the applicant(s) to disclose and document all social security numbers or execute a certification when a social security number has not been assigned. H. Tell the applicant that a final decision on eligibility cannot be made until all verifications are complete. I. Inform the applicant that Federal laws prohibit the HRA from discriminating against individuals with handicaps. In summary, HRA has the responsibility for making reasonable accommodations in policies, providing auxiliary aids, making units and facilities accessible and permitting handicapped persons to use assistive animals when they provide Applicant with equal housing opportunities. J. Inform applicants of housing rules and amenities. 80 6 RENT DETERMINATIONS The amount payable monthly by the Household as rent to the Housing and Redevelopment Authority (HRA) is determined by the HRA. In all cases, Residents are responsible for their telephone, cable/satellite, internet, electric and garage rental (if applicable) in addition to their monthly rent charge. Moderate Rate Units The rent for the Moderate Rate Units will be determined based on the market conditions for the area. In setting these rents, the HRA will evaluate the annual rent survey, current vacancy rates and operating costs. OCCUPANCY STANDARDS Moderate Rate Units: There shall be no more than two persons occupying a bedroom. Qualified Affordable Units: The Manager will take into account the need to avoid overcrowding with the need to make the best use of available space and to avoid unnecessary subsidy.Typically, unit determination will be as follows: 1. One and two person households would have their choice of one-bedroom units, as available. There shall be no more than two persons occupying a bedroom. The Manager will consider the following guidelines when determining appropriate unit sizes: 1. Every household member listed on the application is to be counted. 2.No more than two persons can occupy a bedroom. Security Deposits: Prior to occupancy a Security Deposit will be collected. The Security Deposit will be $750. 81 7 At the termination of the Lease, Management may keep all or part of the Security Deposit for (a) damage to the apartment beyond ordinary wear and tear from careful use and (b) for the rent or other money owed to Management under any agreement. Interest shall be earned on the Security Deposit at the going rate and returned to the resident within (30) days after move-out. 82 8 Pet and Service/Companion Animal Policy: Pets will be allowed in Vicksburg Crossing if the following criteria are met: Management requires a separate non-refundable pet fee of $300 be paid prior to move in. No more than 1 dog or 1 cat per apartment. Pet may not exceed 35 pounds. All pets must be neutered or spayed and provide verification animal is up to date on all vaccinations, including rabies before moving into the apartment. Pet must be on a leash at all times when out of the apartment and never allowed to freely roam the interior and exterior of the premises, nor shall pet be allowed to enter the indoor or outdoor amenities. Residents must immediately clean-up after their pet. Upon lease renewal, all owners may be required to re-register their pets and update all pet vaccination information.. All updated information shall be retained in the resident’s file. If there are more than 3 violations or complaints, the resident will be asked to remove the pet from the property. Service/Companion animals are not considered pets but must comply with the following criteria: Must not be allowed to freely roam the interior and exterior of the premises. Residents must immediately clean up after the service animal. Upon lease renewal or recertification must re-register the animal and update all vaccination information, If there are more than 3 violations or complaints the resident will be asked to move or remove the animal from the property. VERIFICATION REQUIREMENTS AND PROCEDURES The Manager will verify all income, expenses, assets, household characteristics and circumstances that affect eligibility or resident rent. All verifications must be documented in the 83 9 applicant/resident file. Four methods of verification are acceptable. They are, in order of acceptability: 1. Review of documents (such as bank statements, award letters, pay stubs, w-2 forms, tax returns, receipts etc.) 2. Third Party Written 3. Third-Party Oral 4. Certification/ Self-Declaration. (A notarized statement from the resident, only accepted when third party verifications or review of documents is not possible.) Verifications are to be date stamped when received. The initial application and income verification will be used to determine placement on the appropriate wait list. At time of notice of availability and acceptance of unit a full certification will occur. INITIAL CERTIFICATION A. Applicants’ signature is an acceptable form of certification for family composition and current residence. B. All earned income shall be verified at the time of admission or annual recertification through employers, W-2 forms, annual federal income tax forms, check stubs or other means to assure accuracy. C. Assets shall be verified by financial institutions’ statements and copies of documents in the applicant’s possession, which substantiate his/her statements. (United States Treasury checks will not be photocopied). D. Unearned incomes shall be verified by viewing checks, certificates of award or other means to assure accuracy. E. Applicants shall be required to furnish proof of their statements when required by the Manager to reasonably assure accuracy. F. All determinations shall be fully documented in the applicant’s file. G. The following statements will also be verified and documented in applicant’s file: 1. Age of family members and Social Security numbers. 2. Criteria providing the basis for denial of eligibility. ANNUAL RECERTIFICATION 84 10 All residents residing in a Qualified Affordable Unit shall have their incomes recertified annually. Recertification of the family’s composition, income, and medical expenses incurred by the Household shall be conducted by the Manager. Generally the recertification effective date should be the anniversary of the first day of the month Resident was admitted to the project. Timely completion of recertification processing requires that management: - Maintain a tracking system to identify residents to be recertified and monitor completion of all required activities. - Notify Resident 45-60 days prior to the effective date that the recertification is due. - Interview Resident and obtain information on income, assets, family composition and allowances. - Verify all information in accordance to guidelines. - Provide written notice of any changes in rent resulting from recertification (at least 30 days’ notice for increase). Recertification Notices to Residents Initial notice of recertification is sent 60-75 days in advance of the recertification anniversary. The notice should state that Resident has to contact the office, the office hours, what is to be brought to the interview and who should be contacted to make the appointment. Notice of Intent to Terminate Assistance is given on the first of the month preceding the effective date to residents who have not yet responded. The Notice must state that Resident has 10 days to respond. If Resident does not respond within those ten days, the rent shall be increased to moderate rate effective on the recertification effective date with no 30 day notice of increase. Example: Recertification Effective Date September 1 Initial Notice July 1 Notice of Intent August 1 Assistance Terminated September 1 Moderate Rate Rent begins September 1 Vicksburg Crossing will maintain all certification/recertification documentation of all verification efforts for at least three years after the effective date of the certification/recertification. 85 11 MISREPRESENTATION Applicants and Residents are to be notified in writing of any misrepresentations or lease violations revealed through the annual recertification or other occurrences and any other corrective action required by the Plymouth Housing and Redevelopment Authority. If Resident misrepresentations, at the time of admission, annual recertification, or rent review, cause a family to pay a lower rent than called for, Resident will be required to pay the differences between the rent paid and what should have been paid. Any attempt by Resident to willfully defraud the City of Plymouth or Plymouth HRA will result in an investigation and disposition as needed. 86 12 DEFINITIONS Applicant:The person or persons submitting an application to be considered for residency. Department of Housing And Urban Development:An agency of the federal government in charge of housing programs, i.e. The Housing Choice Voucher Program. This agency also determines income limits for various household sizes and programs. Effective Date:The “effective date” of a certification or recertification refers to (1) in the case of an initial certification for admission, the effective date of initial occupancy, and (2) in the case of recertification of an existing resident, the effective date of the re-determined Total Resident Rent, generally the anniversary of the first day of the month the resident was admitted to the project. Gross Annual Income:A. Annual Income is the anticipated total income from all sources received by all Family members, including net income derived from assets, for the 12 month period following the effective date of initial determination or reexamination of income, exclusive of income that is temporary, nonrecurring or sporadic. B. Annual Income includes, but is not limited to: (1) The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services; (2) The net income from operation of a business or profession (for this purpose, expenditures for business expansion or amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine net income from a business and certain other expenses may require documentation beyond what is included in a tax return.); (3) Interest, dividends, and other net income of any kind from real or personal property (for this purpose, expenditures for amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine the net income from real or personal property). Where the Family has Net Family Assets in excess of $5,000 87 13 Annual Income shall include the greater of the actual income derived from all Net Family Assets or five percent of the value of such net family Assets (4) The full amount of periodic payments received from social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including a lump-sum payment for the delayed start of a periodic payment; (5) Payments in lieu of earnings, such as unemployment and disability compensation, worker’s compensation and severance pay; (6) Welfare Assistance. If the Welfare Assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the Welfare Assistance agency in accordance with the actual cost of shelter and utilities, the amount of Welfare Assistance income to be included as income shall consist of: a. The amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities, plus, b. The maximum amount the Welfare Assistance agency could in fact allow the Family for shelter and utilities. If the Family’s Welfare Assistance is notably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph bill shall be the amount resulting from one application of the percentage; (7) Periodic and determinable allowance and regular contributions and gifts received from persons not residing in the dwelling. (8) Any earned income tax credit to the extent it exceeds income tax liability; C. Annual Income does not include: Temporary, nonrecurring or sporadic income such as the following; 88 14 (1) Casual, sporadic or irregular gifts. Amounts that are specifically received for, or in reimbursement of the cost of Medical Expenses. Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker’s compensation), capital gains, and settlement for personal or property losses; (2) Amount of educational scholarships paid directly to the student or to the educational institution, and amounts paid by the Government to a veteran for use in meeting the costs of tuition, fees, books, and equipment. Any amounts of such scholarships, or payments to veterans, not used for the purposes that are available for subsistence are to be included in income; (3) Groceries received as a gift on a regular basis. Household:A family whose Head of Household and Spouse or a single person is at least 55 years of age or older. Head of Household: The adult member of the family who is the head of the household for purposes of determining income eligibility and rent. Immediate Family:Includes brothers, sisters, children, grandchildren, nieces and nephews. Lease:The legal contract between the resident and the Plymouth HRA. Management Company:Refer to Grace Management, Inc. Manager:The person hired by the Plymouth HRA or its management consultant, to manage the day-to-day operations of Vicksburg Crossing. This person will have an office in the housing project and will approve applicants based on the HRA’s preference criteria and other regulations outlined in this document. Moderate Rate Unit:A unit that is rented for an amount that is determined by the HRA based on current market conditions and does not have any income restrictions. Monthly Adjusted Income:One-twelfth of Adjusted Income. Net Household Assets:With respect to any person or household, the aggregate market value of all assets which are owned by such person or household or by any entity which 89 15 is related to such person or household, including but not limited to cash, securities, accounts receivable, chattel paper and other intangibles, and other real property of any nature whatsoever, less the aggregate amount of liabilities of such person, family or other entity. In determining Net Household Assets, staff shall include the value of any assets disposed of by an applicant or resident for less than fair market value (including a disposition in trust, but noting a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or recertification, as applicable, in excess of the consideration received thereof. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or resident receives important consideration not measurable in dollar terms. Plymouth Housing And Redevelopment Authority (HRA):The Plymouth Housing and Redevelopment Authority is a Public Body Corporate under the laws of the State of Minnesota thathas decision making authority as to changes or modifications in the Admission and Occupancy Handbook for Vicksburg Crossing. This agency is under the direction of seven commissioners appointed by the Plymouth City Council. The authorityis staffed by City employees. The City of Plymouth’s Community Development Director is the Executive Director of the HRA. Qualified Affordable Unit:A unit that is designated to be rented by a person or persons whose gross annual household income is at or below 50% of the Area Median Income as determined by HUD and adjusted from time-to-time. Rent, Moderate:The moderate rent for the unit, which shall be determined by the Plymouth HRA, less utility allowances, and approved by the Plymouth HRA from time to time. Resident:Person(s) named on the lease for a given unit. Resident of Plymouth:Persons or families who have lived in Plymouth for at least 12 months shall be deemed to be a Plymouth resident. Resident Rent:The amount payable monthly by the Resident as rent to the Housing and Redevelopment Authority (HRA), based on their lease agreement. Spouse:Spouse referes to the marriage partner, either wife or husband, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common law marriage. It does not cover girlfriends, boyfriends, significant others, or “co-heads”. 90 16 Very Low Income:A Family whose Annual Income does not exceed 50 percent of median income for the area, as determined and amended from time to time by the Department of Housing and Urban Development (HUD) with adjustments for smaller and larger families. Waiting List:A list that is kept by the Management Company that determines an applicant’s position for being offered an available unit. Welfare Assistance:Welfare or other payments to families or individuals, based on need, that are made under programs funded, separately or jointly, by federal, state or local governments 91 1 ADMISSION AND OCCUPANCY HANDBOOK FOR VICKSBURG CROSSING Plymouth, Minnesota June 24, 2008 Revised 2-26-12 Revised November 18, 2021 Owned by Plymouth Housing and Redevelopment Authority Managed by Grace Management, Inc. 92 2 ADMISSION AND OCCUPANCY HANDBOOK FOR VICKSBURG CROSSING TABLE OF CONTENTS INTRODUCTION AND PURPOSE .......................................................................................... 1 APPLICATION PROCESS ........................................................................................................ 1 PREFERENCES...................................................................................................................... 2 ELIGIBILITY REQUIREMENTS ............................................................................................ 2 WAITING LIST ........................................................................................................................... 3 INTERVIEW PROCESS ............................................................................................................ 4 RENT DETERMINATIONS ...................................................................................................... 5 OCCUPANCY STANDARDS .................................................................................................... 6 SECURITY DEPOSITS ......................................................................................................... 6 PET POLICY .......................................................................................................................... 7 VERIFICATION REQUIREMENTS AND PROCEDURES ................................................. 7 INITIAL CERTIFICATION ................................................................................................. 8 ANNUAL RECERTIFICATION .......................................................................................... 8 MISREPRESENTATION ...........................................................................................................10 DEFINITIONS .............................................................................................................................11 93 1 INTRODUCTION AND PURPOSE The philosophy of Vicksburg Crossing Retirement Community is to provide decent, safe, and affordable housing to persons age 55 years and older. The Facility is owned by the Plymouth Housing and Redevelopment Authority (HRA). Grace Management, Inc. has been contracted to provide management services. Vicksburg Crossing is located at the southwest corner of Highway 55 and Vicksburg Lane. It is a 96-unit, 4-story retirement community. The building has a community room with adjacent kitchen, a library/computer center and a guest suite. There are 70-underground parking spaces. THE PURPOSE OF THIS HANDBOOK IS TO PROVIDE POLICIES AND GUIDELINES FOR THE MANAGEMENT COMPANY AND STAFF TO FOLLOW DURING THE ADMISSION AND OCCUPANCY PROCESS. All changes to these policies must be approved by the Plymouth Housing and Redevelopment Authority (HRA) Board of Commissioners and implemented by the Management Company. The Plymouth Housing and Redevelopment Authority, by written direction to the Manager, may grant exceptions to these policies when justified by special circumstances. APPLICATION PROCESS The HRA may, from time to time, authorize the Manager to open applications for residency at Vicksburg Crossing. Applications will be accepted only if there is an expectation that there may be a vacancy in the building within a reasonable time, and the waiting list has been reduced to the point that the Manager will not be able to fill vacant units from the current list. A written or electronic application is required for admission to Vicksburg Crossing or placement on the waiting list. The application includes household characteristic information, preference information, source(s) and estimate(s) of anticipated annual income and assets, and screening information (prior landlords and credit history). Persons who wish to receive an application for occupancy may call, email or write to Vicksburg Crossing and request an application be sent to them. All applications will include the following: Introductory Letter Application Marketing Brochure 94 2 Applications will be returned to: Vicksburg Crossing Attn: Manager 3155 Vicksburg Lane Plymouth, MN 55447 Returned applications will be date stamped as they are received. Applications that are not completed in full will be returned to the sender with a letter stating why it is incomplete. Staff will not process incomplete applications. The Manager will conduct an initial review of the application to determine if the applicant qualifies. If an applicant DOES NOT qualify for housing, they will be notified in writing the reason for ineligibility. If an applicant DOES qualify for housing she/he shall be assigned a place on the waiting list based on the date and time of receipt of the application and the following preferences: MODERATE RATE AND AFFORDABLE UNIT PREFERENCES: 1. Applicant is at least 55 years of age and a resident of Plymouth. Applicant is a participant in the federal VASH Housing Voucher program. 2. Immediate Family live in Plymouth and applicant is at least 55 years of age. Applicant is a participant in the federal Housing Choice Voucher program. 3. Other applicants at least 55 years of age. The Plymouth HRA complies with all Federal, State and local Fair Housing and Civil Rights Laws. Vicksburg Crossing is an equal opportunity community and will not discriminate based on race, color, creed, religion, sex, national origin, age, family status or handicap. Civil Rights laws and equal opportunity requirements cover application intake, resident selection,and unit assignment. ELIGIBILITY REQUIREMENTS Vicksburg Crossing is open to all individuals who are at least 55 years and older regardless of income. However, for the Qualified Affordable Units, preference will be given to those individuals and families whose Gross Annual Income is at or below 50% of the area median income and is a resident of the City of Plymouth. All household members must be at least 55 years of age at the time of occupancy. 95 3 Ineligibility Applicants determined to be ineligible shall be notified by letter within 30 days of the determination by the Manager. The letter shall state the reason the applicant is ineligible, and that the applicant has the right within a reasonable time (specified in the letter) to request a review by the HRA Manager. If, after the review, it is determined that the applicant is still ineligible, the applicant shall be so notified in writing. An applicant may be ineligible if the applicant or another member of the household: 1.Does not age qualify. 2. Was evicted for nonpayment of his/her share of rent or for damages done to a unit somewhere else and the court required payment was not made by applicant; or, 3. Has engaged in conduct at previously leased premises which: a. resulted in physical injury to other residents or other residents’ guests, b. endangered the life, safety and welfare of other residents or other residents’ guest, or, c. caused substantial and extraordinary damage to the leased premises or the property of other residents or other residents’ guests on the leased premises. 4. Has committed drug-related criminal activity. Applicants will not be initially screened out for arrest records or criminal convictions within the categories listed below, but will be required to meet with the property manager to determine if there are facts that can be verified that would overcome or outweigh information gathered during the process. • Marijuana possession • Alcohol-related offenses (other than DUI) • Serious traffic offenses (other than DUI) • Minor public order offenses • DUI/DWI or reckless driving • Other minor violence-related offenses • Minor drug-related offenses • Disorderly conduct • Prostitution 5. Has committed bribery, fraud or any other corrupt or criminal act in connection with any federal, state or local program. 6. Has committed violent criminal activity 96 4 WAITING LIST Applicants will be notified when a suitable unit becomes available. The Manager will offer a vacant unit to the first applicant on the waiting list based on the time and date of the application and in order of the preference, if any, for which the applicant qualifies. Management will document the day, time and type of communications used in the effort to reach the applicant and notify him/her of the available unit. When an applicant has refused the offer of a unit, it will be documented. If any eligible applicant for a qualified affordable unit refuses three times, they will be removed from the waiting list. Any mailings to the applicant which require a response will state that failure to respond within ten days will result in the applicant’s name being dropped from the waiting list. An extension of ten days to respond will be granted, if requested and needed as a reasonable accommodation for a person with a disability. If an applicant fails to respond to a mailing, the applicant will be removed from the waiting list. If the applicant did not respond to the request for information or updates because of a family member’s disability, the Manager will reinstate the applicant in the applicant’s former position on the waiting list. If a letter is returned by the Post Office without a forwarding address, the applicant will be removed without further notice and the envelope and letter will be maintained in the file for a period of one year. If a letter is returned with a forwarding address, it will be re-mailed to the address indicated. If an applicant is removed from the waiting list for failure to respond, they will not be entitled to reinstatement unless the Manager determines there were extenuating circumstances beyond the person’s control. The Waiting List will be purged not more than one time each year by a mailing to all applicants to ensure that the waiting list is current and accurate. The mailing will ask for confirmation of continued interest. Once the updating is complete, applicants will be notified in writing of their new position on the waiting list. It is the responsibility of the applicant to notify the Management Company of any address and phone changes. 97 5 INTERVIEW PROCESS When an appropriate unit will be available in the near future, the Manager will interview the applicant and obtain current information about the family’s circumstances. The Manager may ask applicants to bring certain records and documents to the certification interview. At the interview, the Manager will: A. Confirm and update all information on the application. B. Explain occupancy requirements, verification procedures and penalties for false information. C. Confirm through appropriate documentation the age of the applicant(s). D. Review the financial information on the application and specifically ask Applicant whether any member of the household: 1. Receives the types of incomes listed under income definition and if the applicant is receiving a form of income not reported on the application, ask the applicant about the source of income and document the applicant’s response in the file. 2. Has any assets. E. Ask the applicant(s) to sign the release of information consent portion of any verification request used for them. F. Require the applicant(s) to give a written certification as to whether they did/did not dispose of any assets for less than fair market value during the two years preceding the effective date of the certification/recertification. The certification will include a list of all assets disposed of for less than fair market value, the dates disposed, the amount received, and the asset’s market value at the time of disposition. G. Require the applicant(s) to disclose and document all social security numbers or execute a certification when a social security number has not been assigned. H. Tell the applicant that a final decision on eligibility cannot be made until all verifications are complete. I. Inform the applicant that Federal laws prohibit the HRA from discriminating against individuals with handicaps. In summary, HRA has the responsibility for making reasonable accommodations in policies, providing auxiliary aids, making units and facilities accessible and permitting handicapped persons to use assistive animals when they provide Applicant with equal housing opportunities. J. Inform applicants of housing rules and amenities. 98 6 RENT DETERMINATIONS The amount payable monthly by the Household as rent to the Housing and Redevelopment Authority (HRA) is determined by the HRA. In all cases, Residents are responsible for their telephone, cable/satellite, internet, electric and garage rental (if applicable) in addition to their monthly rent charge. Moderate Rate Units The rent for the Moderate Rate Units will be determined based on the market conditions for the area. In setting these rents, the HRA will evaluate the annual rent survey, current vacancy rates and operating costs. OCCUPANCY STANDARDS Moderate Rate Units: There shall be no more than two persons occupying a bedroom. Qualified Affordable Units: The Manager will take into account the need to avoid overcrowding with the need to make the best use of available space and to avoid unnecessary subsidy.Typically, unit determination will be as follows: 1. One and two person households would have their choice of one-bedroom units, as available. There shall be no more than two persons occupying a bedroom. The Manager will consider the following guidelines when determining appropriate unit sizes: 1. Every household member listed on the application is to be counted. 2. No more than two persons can occupy a bedroom. Security Deposits: Prior to occupancy a Security Deposit will be collected. The Security Deposit will be $750. 99 7 At the termination of the Lease, Management may keep all or part of the Security Deposit for (a) damage to the apartment beyond ordinary wear and tear from careful use and (b) for the rent or other money owed to Management under any agreement. Interest shall be earned on the Security Deposit at the going rate and returned to the resident within (30) days after move-out. 100 8 Pet and Service/Companion Animal Policy: Pets will be allowed in Vicksburg Crossing if the following criteria are met: Management requires a separate non-refundable pet fee of $300 be paid prior to move in. No more than 1 dog or 1 cat per apartment. Pet may not exceed 35 pounds. All pets must be neutered or spayed and provide verification animal is up to date on all vaccinations, including rabies before moving into the apartment. Pet must be on a leash at all times when out of the apartment and never allowed to freely roam the interior and exterior of the premises, nor shall pet be allowed to enter the indoor or outdoor amenities. Residents must immediately clean-up after their pet. Upon lease renewal, all owners may be required to re-register their pets and update all pet vaccination information.. All updated information shall be retained in the resident’s file. If there are more than 3 violations or complaints, the resident will be asked to remove the pet from the property. Service/Companion animals are not considered pets but must comply with the following criteria: Must not be allowed to freely roam the interior and exterior of the premises. Residents must immediately clean up after the service animal. Upon lease renewal or recertification must re-register the animal and update all vaccination information, If there are more than 3 violations or complaints the resident will be asked to move or remove the animal from the property. VERIFICATION REQUIREMENTS AND PROCEDURES The Manager will verify all income, expenses, assets, household characteristics and circumstances that affect eligibility or resident rent. All verifications must be documented in the 101 9 applicant/resident file. Four methods of verification are acceptable. They are, in order of acceptability: 1. Review of documents (such as bank statements, award letters, pay stubs, w-2 forms, tax returns, receipts etc.) 2. Third Party Written 3. Third-Party Oral 4. Certification/ Self-Declaration. (A notarized statement from the resident, only accepted when third party verifications or review of documents is not possible.) Verifications are to be date stamped when received. The initial application and income verification will be used to determine placement on the appropriate wait list. At time of notice of availability and acceptance of unit a full certification will occur. INITIAL CERTIFICATION A. Applicants’ signature is an acceptable form of certification for family composition and current residence. B. All earned income shall be verified at the time of admission or annual recertification through employers, W-2 forms, annual federal income tax forms, check stubs or other means to assure accuracy. C. Assets shall be verified by financial institutions’ statements and copies of documents in the applicant’s possession, which substantiate his/her statements. (United States Treasury checks will not be photocopied). D. Unearned incomes shall be verified by viewing checks, certificates of award or other means to assure accuracy. E. Applicants shall be required to furnish proof of their statements when required by the Manager to reasonably assure accuracy. F. All determinations shall be fully documented in the applicant’s file. G. The following statements will also be verified and documented in applicant’s file: 1. Age of family members and Social Security numbers. 2. Criteria providing the basis for denial of eligibility. ANNUAL RECERTIFICATION 102 10 All residents residing in a Qualified Affordable Unit shall have their incomes recertified annually. Recertification of the family’s composition, income, and medical expenses incurred by the Household shall be conducted by the Manager. Generally the recertification effective date should be the anniversary of the first day of the month Resident was admitted to the project. Timely completion of recertification processing requires that management: - Maintain a tracking system to identify residents to be recertified and monitor completion of all required activities. - Notify Resident 45-60 days prior to the effective date that the recertification is due. - Interview Resident and obtain information on income, assets, family composition and allowances. - Verify all information in accordance to guidelines. - Provide written notice of any changes in rent resulting from recertification (at least 30 days’ notice for increase). Recertification Notices to Residents Initial notice of recertification is sent 60-75 days in advance of the recertification anniversary. The notice should state that Resident has to contact the office, the office hours, what is to be brought to the interview and who should be contacted to make the appointment. Notice of Intent to Terminate Assistance is given on the first of the month preceding the effective date to residents who have not yet responded. The Notice must state that Resident has 10 days to respond. If Resident does not respond within those ten days, the rent shall be increased to moderate rate effective on the recertification effective date with no 30 day notice of increase. Example: Recertification Effective Date September 1 Initial Notice July 1 Notice of Intent August 1 Assistance Terminated September 1 Moderate Rate Rent begins September 1 Vicksburg Crossing will maintain all certification/recertification documentation of all verification efforts for at least three years after the effective date of the certification/recertification. 103 11 MISREPRESENTATION Applicants and Residents are to be notified in writing of any misrepresentations or lease violations revealed through the annual recertification or other occurrences and any other corrective action required by the Plymouth Housing and Redevelopment Authority. If Resident misrepresentations, at the time of admission, annual recertification, or rent review, cause a family to pay a lower rent than called for, Resident will be required to pay the differences between the rent paid and what should have been paid. Any attempt by Resident to willfully defraud the City of Plymouth or Plymouth HRA will result in an investigation and disposition as needed. 104 12 DEFINITIONS Applicant:The person or persons submitting an application to be considered for residency. Department of Housing And Urban Development:An agency of the federal government in charge of housing programs, i.e. The Housing Choice Voucher Program. This agency also determines income limits for various household sizes and programs. Effective Date:The “effective date” of a certification or recertification refers to (1) in the case of an initial certification for admission, the effective date of initial occupancy, and (2) in the case of recertification of an existing resident, the effective date of the re-determined Total Resident Rent, generally the anniversary of the first day of the month the resident was admitted to the project. Gross Annual Income:A. Annual Income is the anticipated total income from all sources received by all Family members, including net income derived from assets, for the 12 month period following the effective date of initial determination or reexamination of income, exclusive of income that is temporary, nonrecurring or sporadic. B. Annual Income includes, but is not limited to: (1) The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services; (2) The net income from operation of a business or profession (for this purpose, expenditures for business expansion or amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine net income from a business and certain other expenses may require documentation beyond what is included in a tax return.); (3) Interest, dividends, and other net income of any kind from real or personal property (for this purpose, expenditures for amortization of capital indebtedness and an allowance for depreciation of capital assets shall not be deducted to determine the net income from real or personal property). Where the Family has Net Family Assets in excess of $5,000 105 13 Annual Income shall include the greater of the actual income derived from all Net Family Assets or five percent of the value of such net family Assets (4) The full amount of periodic payments received from social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including a lump-sum payment for the delayed start of a periodic payment; (5) Payments in lieu of earnings, such as unemployment and disability compensation, worker’s compensation and severance pay; (6) Welfare Assistance. If the Welfare Assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the Welfare Assistance agency in accordance with the actual cost of shelter and utilities, the amount of Welfare Assistance income to be included as income shall consist of: a. The amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities, plus, b. The maximum amount the Welfare Assistance agency could in fact allow the Family for shelter and utilities. If the Family’s Welfare Assistance is notably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph bill shall be the amount resulting from one application of the percentage; (7) Periodic and determinable allowance and regular contributions and gifts received from persons not residing in the dwelling. (8) Any earned income tax credit to the extent it exceeds income tax liability; C. Annual Income does not include: Temporary, nonrecurring or sporadic income such as the following; 106 14 (1) Casual, sporadic or irregular gifts. Amounts that are specifically received for, or in reimbursement of the cost of Medical Expenses. Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker’s compensation), capital gains, and settlement for personal or property losses; (2) Amount of educational scholarships paid directly to the student or to the educational institution, and amounts paid by the Government to a veteran for use in meeting the costs of tuition, fees, books, and equipment. Any amounts of such scholarships, or payments to veterans, not used for the purposes that are available for subsistence are to be included in income; (3) Groceries received as a gift on a regular basis. Household:A family whose Head of Household and Spouse or a single person is at least 55 years of age or older. Head of Household: The adult member of the family who is the head of the household for purposes of determining income eligibility and rent. Immediate Family:Includes brothers, sisters, children, grandchildren, nieces and nephews. Lease:The legal contract between the resident and the Plymouth HRA. Management Company:Refer to Grace Management, Inc. Manager:The person hired by the Plymouth HRA or its management consultant, to manage the day-to-day operations of Vicksburg Crossing. This person will have an office in the housing project and will approve applicants based on the HRA’s preference criteria and other regulations outlined in this document. Moderate Rate Unit:A unit that is rented for an amount that is determined by the HRA based on current market conditions and does not have any income restrictions. Monthly Adjusted Income:One-twelfth of Adjusted Income. Net Household Assets:With respect to any person or household, the aggregate market value of all assets which are owned by such person or household or by any entity which 107 15 is related to such person or household, including but not limited to cash, securities, accounts receivable, chattel paper and other intangibles, and other real property of any nature whatsoever, less the aggregate amount of liabilities of such person, family or other entity. In determining Net Household Assets, staff shall include the value of any assets disposed of by an applicant or resident for less than fair market value (including a disposition in trust, but noting a foreclosure or bankruptcy sale) during the two years preceding the date of application for the program or recertification, as applicable, in excess of the consideration received thereof. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be for less than fair market value if the applicant or resident receives important consideration not measurable in dollar terms. Plymouth Housing And Redevelopment Authority (HRA):The Plymouth Housing and Redevelopment Authority is a Public Body Corporate under the laws of the State of Minnesota thathas decision making authority as to changes or modifications in the Admission and Occupancy Handbook for Vicksburg Crossing. This agency is under the direction of seven commissioners appointed by the Plymouth City Council. The authorityis staffed by City employees. The City of Plymouth’s Community Development Director is the Executive Director of the HRA. Qualified Affordable Unit:A unit that is designated to be rented by a person or persons whose gross annual household income is at or below 50% of the Area Median Income as determined by HUD and adjusted from time-to-time. Rent, Moderate:The moderate rent for the unit, which shall be determined by the Plymouth HRA, less utility allowances, and approved by the Plymouth HRA from time to time. Resident:Person(s) named on the lease for a given unit. Resident of Plymouth:Persons or families who have lived in Plymouth for at least 12 months shall be deemed to be a Plymouth resident. Resident Rent:The amount payable monthly by the Resident as rent to the Housing and Redevelopment Authority (HRA), based on their lease agreement. Spouse:Spouse referes to the marriage partner, either wife or husband, who is someone you need to divorce in order to dissolve the relationship. It includes the partner in a common law marriage. It does not cover girlfriends, boyfriends, significant others, or “co-heads”. 108 16 Very Low Income:A Family whose Annual Income does not exceed 50 percent of median income for the area, as determined and amended from time to time by the Department of Housing and Urban Development (HUD) with adjustments for smaller and larger families. Waiting List:A list that is kept by the Management Company that determines an applicant’s position for being offered an available unit. Welfare Assistance:Welfare or other payments to families or individuals, based on need, that are made under programs funded, separately or jointly, by federal, state or local governments 109 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:6.1 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Plymouth HRA Senior Buildings Resident Survey. 1. Action Requested: Review and discuss resident 2021 resident survey results. 2. Background: Each year Grace Management conducts a resident survey at the two senior apartment buildings to learn how the residents feel about the HRA's buildings, management and their upkeep. Jody Boedigheimer from Grace Management will present an overview of this years surveys. 3. Budget Impact: There is no budget impact. 4. Attachments: Senior Building Resident Survey 2021 Recap PTS 2021 Survey Results VC 2021 Survey Results 110 To: Plymouth Housing & Redevelopment Authority From: Jody Boedigheimer, Grace Management, Inc. Date: November 09, 2021 Subject: Plymouth Towne Square and Vicksburg Crossing Resident Survey Recap Plymouth Towne Square and Vicksburg Crossing conducted their Resident Survey in the past month. This is the first survey since the beginning of the pandemic. They were asked to rank how they feel about four general categories of Common Areas, Buildings/Grounds, Administration and Activities over a total of 19 questions. The scale is as follows: 1 = Poor (requires immediate attention) 2 = Fair (a concern) 3 = Good (acceptable) 4 = Excellent (noteworthy) PLYMOUTH TOWNE SQUARE 98 surveys were sent out and 66 were returned. The results are shown as a total number divided by the number of responses received for the specific question. Overall, the residents are very happy. The overwhelming majority of the answers are “Excellent” or “Good”. The average score for the entire survey is 3.4 out of a possible 4 points. The Common Areas section of the survey scored an average of 3.3. The Buildings and Grounds section returned an average score of 3.5. The Administration section scored highest at 3.7. The Activities section showed an average score of 3.1; the lowest category score. Resident comments received are recapped and submitted with this report. The volume and tenor of negativity does not match with the overall scores given. It’s worth noting that a majority of the negative comments were made by less than five individuals. We are working to address the negative comments through better communication. 111 P a g e | 2 VICKSBURG CROSSING 93 surveys were sent out and 43 were returned. The results are shown as a total number divided by the number of responses received for the specific question. Overall the residents are extremely happy giving an average score for the entire survey of 3.6 out of a possible 4 points. The Common Areas section of Vicksburg’s survey was 3.6. The Building and Grounds showed an average score was 3.7. The Activities section scored an average of 3.4, the lowest category this year. The Administration section scored highest at 3.8. Resident Comments received are included with this report. Overall we are pleased to receive such positive and constructive remarks from our residents. 112 113 114 115 116 117 118 Total Score # of people who answered Average Score 1 Are they well maintained and comfortable?153 43 3.6 2 Are the furnishings in the common areas suitable?144 42 3.4 3 Is the interior lighting adequate?153 42 3.6 4 Are the Elevators clean and kept up? 157 43 3.7 5 Are the corridors & stairways clean and free of obstruction?148 42 3.5 6 How well is the building maintained?166 43 3.9 7 How promptly does the maintenance staff respond?164 43 3.8 8 How well are the grounds maintained?157 43 3.7 9 How adequate is the outside lighting on the grounds?140 42 3.3 10 How clean & well maintained are the parking areas?157 43 3.7 11 How well are the rest rooms & public areas cleaned?165 43 3.8 12 How promptly are reported problems responded to?152 42 3.6 13 Entertainment programs 124 37 3.4 14 Activities programs 119 35 3.4 15 Frequency of activities/entertainment programs 110 33 3.3 16 Are the office hours sufficient?160 42 3.8 17 How timely is the manager's response to concerns?164 43 3.8 18 Explanation of the building facilities (CR, Library, maintenance)154 41 3.8 19 How well does the staff work together as a team?160 42 3.8 #1 Sometimes people leave their carts outside their door. Things are clean and well maintained. Vicksburg Crossing Survey Results: 2021 Please rate how you feel about the common areas at Vicksburg Crossing Please rate how you feel about the building and grounds at Vicksburg Crossing: Please rate how the current activities and service programs meet your needs. Carpet in corridors showing wear. Paint in the hallways or at least touch up. Community Room chairs need padding. Please rate how you feel about the administration of Vicksburg Crossing It would be better if people kept their shoes inside rather than in the hallway by their door. Chairs in the community room could use an upgrade It seems lighting is poor throughout the building. Give Joel a big raise! I like everything. The décor is pleasant, calming and always welcoming. The elevators look a little banged up from all the moving. Makes strange noise when moving. The elevators take a great deal of abuse. Hallways need repainting. Garage doors going into elevator area are dirty. Elevator lobby needs painting. Exit windows rarely cleaned. We are very proud and grateful that Vicksburg Crossing is kept up as well as it is. It's always looking very well maintained and we are proud to call it home! The cleaning staff does an awesome job on the inside, the new windows are beautiful and have really enhanced the look of our building. The flowers, the birdhouses, vegetable and flower gardens are touches that add so much! Common area furnishings out of date. Comments from Section 1: Please rate how you feel about the common areas of Vicksburg Crossing 119 #2 The parking lot is dark #3 I would like better light in my kitchen. The stainless sink in the kitchen is not easy to clean. It always looks marked up. Due to my work hours I don't attend. I plan to when I retire. Sara does beautiful in all parties Not currently using N/A Covid was a factor hoping for better in 2022 Better utilization of community room e.g. Covid related Building and grounds are well maintained and always look good We are very satisfied Comments from Section 2: Please rate how you feel about the building and grounds at Vicksburg Crossing: No complaints Walking trail light out Thanks Joel Parking lot is dark. Could use more or brighter lights. Probably due to covid Hope things are better after virus is in control. Soup gathering by residents excellent. Comments from Section 3: Please rate how the current activities and service programs meet your needs. Nice and Clean Would like an automatic door opener on 3rd floor refuse room Lawn needs work after new windows are installed Our flag is not displayed properly Chairs in the community room are uncomfortable. Hallways need repainting. Garage doors going into elevator area are dirty. Elevator lobby needs painting. Exit windows rarely cleaned. More lighting on the east side in front Lean Communication pertaining to us/bldg very good Shrubs around front of building are in need of pruning before freeze. Hosta are too big need to be cut back or removed. I am not looking for a social life here-my daughter lives in an apartment. They have coffee every day with rolls or doughnuts. I am happy with coffee once a week but it would be nice to have rolls or doughnuts. Our flag is not displayed properly. We should put it on a flag pole and get solar lights. Residents are willing to contribute. Bus rides to lunch, trips, museums and Duluth. 120 #4 #6 Sara is a peach! Helpful in every way. Thanks Sara and Joel and everyone who vacuums and cleans. Comments from Section 4: Please rate how you feel about the administration of Vicksburg Crossing. I like Sara very much and feel she is a great manager. I like that she is very friendly and always gives a smile. The person who planted a small garden on the Plymouth property needs to be commended. Anytime someone makes the place prettier is great. Also, when someone reserves the community room they should get it no matter the day. Would like travel presentations. It is unclear how decisions are made. I believe that the administration of Vicksburg Village is about as can be without expending any more time or energy on it. Additional Comments: Monthly catered lunch (charged) or monthly bring your own lunch Movie night once a month would be nice. Happy the halls were cleaned - should have been notified. Tell new residents where recycling is located. Too many residents think they own the community room-must invite others, show care, concern I believe additional programs would not be advisable. Would like to have the US flag displayed on a flag pole. Between Sara and Joel, things are taken care of right away. I also appreciate the ways that Sara communicates between writing a newsletter every month, hanging flyers on each door when something needs to be shared sooner, being available every day in the office if we need to talk etc. Get a committee of volunteers to find speakers. Topics could be wills, funeral planning, downsizing. Health issues could include dementia, heart disease, diabetes and stroke. Too many programs at the Plymouth senior center are in the evening. Don't drive in the dark. Sara is wonderful-she takes the time to listen to concerns Excellent! Great people 121 #8 As you can see very satisfied Every day is a blessing to be here. So many nice, kind, friendly people. Sara-totally excellent and Joel - always helpful excellent. Thank you for the wonderful job you do here. We are so happy to be here! 122 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:6.2 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Plymouth Towne Square 2022 Budget 1. Action Requested: Adopt a resolution approving the 2022 Plymouth Towne Square operating budget 2. Background: Staff has reviewed the budget for Plymouth Towne Square (PTS) submitted by Grace Management for the operation of the property for January 1, 2022 through December 31, 2022, including a current estimate of actual expenditures for 2021. After discussions with internal staff and Grace Management, the attached operating budget is ready for review and approval by the HRA board. Revenue: Overall revenues for 2022 are projected to be $1,058,670. Included in this figure are revenues from tenants, parking stall rentals, application fees, investment income and the HRA tax levy. Tenant rents are anticipated to be $733,320, which is an increase of approximately $22,000 from last year and includes a rent increase of three percent. The subsidy is projected to be $260,000, which is similar to 2021. Expenditures: Staff has reviewed the 2021 year-to-date financials and contacted our vendors to arrive at the anticipated 2022 expenditures. The proposed operating expenditures are $620,908, which is approximately $17,500 higher than 2021. Reserve/Replacement Account: The 2022 budget anticipates adding $84,000 to our replacement reserve account, which is the same as last year. Staff continues to review the Reserve/Replacement schedule to ensure that there is sufficient capital set aside to maintain the property over the long term. Staff is proposing a number of capital and non-capital improvements to the building in 2022 including the following: Capital Improvements 1. Install drain tile at the north side of building ($5,350 est.) 123 Non-Capital Improvements 1. Replace 15 stoves ($13,000) 2. Replace ten refrigerators ($10,000) 3. Refurbish apartment cabinetry ($15,000) 4. Replace glider/swing on patio ($1,800 est.) 5. Repair and paint 15 pillars at front of building ($3,300 est.) 6. Replace exterior signage ($1,900) 7. Purchase cab cover for John Deere tractor ($2,000) The funds for these improvements will come from the building’s replacement reserves that has a balance of approximately $750,000. 3. Budget Impact: The operating budget will be covered through a combination of building revenue and the HRA tax levy. 4. Attachments: PTS 2022 Budget Comparison Draft PTS 2022 Budget Draft PTS Budget Assumptions 2022 Draft 2021-19 PTS 2022 Budget Resolution 124 PLYMOUTH TOWNE SQUARE 2022 Budget - Draft Percentage 2020 2021 2021 2022 Difference ACTUAL Jan-July BUDGET BUDGET Budget 22 Budget 22 TOTALS ACTUALS TOTALS TOTALS Actual 20 to Budget 21 UNITS OCCUPIED 98 98 97 97 -1%0% PERCENTAGE OCCUPIED 99%99%98%98%-1%0% INCOME RESIDENT RENTS 710,723 412,561 711,204 733,320 3%3% HRA SUBSIDY 175,000 150,500 258,000 260,000 49%1% GARAGE RENTAL 38,550 23,061 38,400 42,240 10%10% GUEST ROOM REVENUE 325 0 780 780 140%0% LAUNDRY REVENUE 3,891 7,270 10,620 12,000 208%13% TRANSFER FEE 1,000 0 500 500 N/A 0% APPLICATION FEE 455 385 630 630 38%0% INVESTMENT INCOME 29,514 8,759 15,000 8,000 -73%-47% MISC. REVENUE 635 848 1,200 1,200 89%0% TOTAL INCOME 960,093 603,384 1,036,334 1,058,670 10%2% OPERATING EXPENSES PROPERTY ADMINISTRATION: MANAGER SALARIES 60,475 41,208 60,200 61,800 2%3% MAINTENANCE SALARIES 48,321 19,458 56,516 54,496 13%-4% PAYROLL TAXES 7,893 4,837 9,337 9,304 18%0% HEALTH INSURANCE 16,609 7,950 12,036 23,306 40%94% WORKERS COMP INSURANCE 1,546 916 1,620 1,680 9%4% EMPLOYEE COSTS 1,040 725 1,110 1,170 13%5% CLASSIFIED ADVERTISING 0 0 0 0 N/A N/A DUES & SUBSCRIPTIONS 60 60 60 60 0%0% LICENSES, PERMITS & FEES 934 0 954 954 2%0% MILEAGE REIMBURSEMENT 534 25 630 300 -44%-52% POSTAGE/OVERNIGHT DELIVERY 68 112 159 159 134%0% MANAGEMENT FEES 58,080 34,895 59,822 59,822 3%0% PROFESSIONAL FEES 1,279 271 7,000 7,000 447%0% TELEPHONE EXPENSE 4,541 2,707 4,608 4,728 4%3% EQUIP REPAIRS/MAINT/LEASE 8,337 7,305 4,800 7,200 -14%50% OFFICE SUPPLIES & EXPENSES 1,082 512 1,080 1,080 0%0% BANK CHARGES 1,108 611 1,320 1,320 19%0% PRINTING 826 47 240 240 N/A 0% SEMINARS/TRAINING 0 0 200 200 N/A 0% TOTAL PROPERTY ADMINISTRATION 212,733 121,639 221,692 234,819 10%6% RESIDENT SERVICES EXPENSES RESIDENT PROGRAMS/ACTIVITIES 2,784 957 4,800 5,300 90%10% MARKETING & LEASING:0 0 120 120 N/A 0% HOUSEKEEPING CONTRACT LABOR 25,094 10,699 28,164 18,420 -27%-35% CLEANING SUPPLIES 2,071 664 2,100 2,220 7%6% TOTAL HOUSEKEEPING EXPENSES:27,165 11,363 30,264 20,640 -24%-32% BUILDINGS & GROUNDS: CABLE TV EXPENSE 1,044 620 1,074 1,112 7%4% UTILITIES-ELECTRIC 20,110 13,031 22,225 22,225 11%0% UTILITIES-WATER & SEWER 21,873 12,357 22,500 23,250 6%3% UTILITIES-GAS 18,254 14,060 23,100 23,100 27%0% WATER SOFTENING EXPENSE 5,489 2,813 5,760 5,880 7%2% CONTRACT LABOR 0 11,486 1,788 5,400 N/A N/A DOORS, KEYS & WINDOWS 678 2,563 1,872 2,400 254%28% FIRE SYSTEM SERVICE 5,771 13,266 7,500 7,500 30%0% 125 PLYMOUTH TOWNE SQUARE 2022 Budget - Draft Percentage 2020 2021 2021 2022 Difference ACTUAL Jan-July BUDGET BUDGET Budget 22 Budget 22 TOTALS ACTUALS TOTALS TOTALS Actual 20 to Budget 21 LAWN CARE/SNOW REMOVAL 18,890 21,405 33,500 29,700 57%-11% PEST CONTROL 726 4,607 720 790 9%10% TRASH REMOVAL 16,231 11,245 13,860 21,000 29%52% UNIT TURNOVER 32,805 30,438 36,900 38,700 18%5% ELEVATOR REPAIRS & MAINT 7,665 4,581 8,300 8,580 12%3% REPAIRS & MAINTENANCE 32,676 31,096 40,000 40,000 22%0% BUILDING & GROUNDS SUPPLIES 24,930 8,159 23,500 24,000 -4%2% HVAC SUPPLIES & REPAIR 9,564 7,596 20,004 16,200 69%-19% MISC UNBUDGETED EXPENSE 0 0 10,000 12,000 N/A 20% TOTAL BUILDINGS & GROUNDS 216,706 189,323 272,603 281,837 30%3% OTHER OPERATING EXPENSES PROPERTY & LIABILITY INSURANCE 34,008 23,402 38,594 41,792 23%8% PAYMENT IN LIEU OF PROPERTY TAX 35,225 20,545 35,225 36,400 3%3% TOTAL OTHER OPERATING EXPENSES 69,233 43,947 73,819 78,192 13%6% TOTAL OPERATING EXPENSES 528,621 367,229 603,298 620,908 17%3% NET OPERATING INCOME / (LOSS)431,472 236,155 433,036 437,762 1%1% OTHER EXPENSES: DEPRECIATION EXPENSE 197,197 114,275 195,900 195,900 -1%0% AMORTIZATION EXPENSE (6,324)(3,689)(6,320)(6,320)0%0% INTEREST EXPENSE 40,005 29,867 28,500 6,590 -84%-77% RESERVE/REPLACE/CAP EX EXPENSE 85,250 47,351 14,350 -83%-70% HRA SUBSIDY - TIF (80,000)130,054 0 0 -100%N/A TOTAL OTHER EXPENSES:236,128 270,507 265,431 210,520 -11%-21% NET INCOME:195,344 (34,352)167,605 227,242 16%36% PERCENT OF INCOME 20%-6%16%21%5%33% CASHFLOW ADJUSTMENTS: DEPRECIATION 197,197 114,275 195,900 195,900 -1%0% AMORTIZATION (6,324)(3,689)(6,320)(6,320)0%0% RESERVE/REPLACE/CAP EX 85,250 47,351 14,350 -83%-70% PRINCIPAL ON DEBT (305,000)0 (320,000)(328,000)8%3% NET CASHFLOW:81,217 76,234 84,536 103,172 27%22% TRANSFER TO RESERVE REPLACE 84,000 42,000 84,000 84,000 0%0% OPERATING RESERVE (2,783)34,234 536 19,172 -789%3477% 126 PLYMOUTH TOWNE SQUARE 2022 BUDGET Draft 99 INDEPENDENT UNITS BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS UNITS OCCUPIED 97 97 97 97 97 97 97 97 97 97 97 97 97.00 PERCENTAGE OCCUPIED 98%98%98%98%98%98%98%98%98%98%98%98%98% INCOME RESIDENT RENTS 61,110 61,110 61,110 61,110 61,110 61,110 61,110 61,110 61,110 61,110 61,110 61,110 733,320 HRA SUBSIDY 21,667 21,667 21,667 21,667 21,667 21,667 21,667 21,667 21,667 21,667 21,667 21,667 260,000 GARAGE RENTAL 3,520 3,520 3,520 3,520 3,520 3,520 3,520 3,520 3,520 3,520 3,520 3,520 42,240 GUEST ROOM REVENUE 65 65 65 65 65 65 65 65 65 65 65 65 780 LAUNDRY REVENUE 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000 TRANSFER FEE 0 0 0 0 0 0 500 0 0 0 0 0 500 APPLICATION FEE 70 35 70 35 70 35 70 35 70 35 70 35 630 INVESTMENT INCOME 667 667 667 667 667 667 667 667 667 667 667 667 8,000 MISCELLANEOUS REVENUE 100 100 100 100 100 100 100 100 100 100 100 100 1,200 TOTAL INCOME 88,198 88,163 88,198 88,163 88,198 88,163 88,698 88,163 88,198 88,163 88,198 88,163 1,058,670 Prepared by Grace Mgmt, Inc.PTS 2022 Budget Draft v.3 11/4/2021 127 PLYMOUTH TOWNE SQUARE 2022 BUDGET Draft 99 INDEPENDENT UNITS BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS OPERATING EXPENSES PROPERTY ADMINISTRATION: MANAGER SALARIES 5,150 5,150 5,150 5,150 5,150 5,150 5,150 5,150 5,150 5,150 5,150 5,150 61,800 MAINTENANCE SALARIES 4,541 4,541 4,541 4,541 4,541 4,541 4,541 4,541 4,541 4,541 4,541 4,541 54,496 PAYROLL TAXES 775 775 775 775 775 775 775 775 775 775 775 775 9,304 HEALTH INSURANCE 1,942 1,942 1,942 1,942 1,942 1,942 1,942 1,942 1,942 1,942 1,942 1,942 23,306 WORKERS COMP INSURANCE 140 140 140 140 140 140 140 140 140 140 140 140 1,680 EMPLOYEE COSTS 90 90 90 90 135 90 90 90 90 90 135 90 1,170 CLASSIFIED ADVERTISING 0 DUES & SUBSCRIPTIONS 60 0 0 0 0 0 0 0 0 0 0 0 60 LICENSES, PERMITS & FEES 0 0 0 0 0 0 0 200 0 694 60 0 954 MILEAGE REIMBURSEMENT 25 25 25 25 25 25 25 25 25 25 25 25 300 POSTAGE/OVERNIGHT DELIVERY 0 53 0 0 0 53 0 0 53 0 0 0 159 MANAGEMENT FEES 4,985 4,985 4,985 4,985 4,985 4,985 4,985 4,985 4,985 4,985 4,985 4,985 59,822 PROFESSIONAL FEES 583 583 583 583 583 583 583 583 583 583 583 583 7,000 TELEPHONE EXPENSE 394 394 394 394 394 394 394 394 394 394 394 394 4,728 EQUIP REPAIRS/MAINT/LEASE 600 600 600 600 600 600 600 600 600 600 600 600 7,200 OFFICE SUPPLIES & EXPENSES 90 90 90 90 90 90 90 90 90 90 90 90 1,080 BANK CHARGES 110 110 110 110 110 110 110 110 110 110 110 110 1,320 PRINTING 20 20 20 20 20 20 20 20 20 20 20 20 240 SEMINARS/TRAINING 0 0 0 200 0 0 0 0 0 0 0 0 200 TOTAL PROPERTY ADMINISTRATION 19,506 19,499 19,446 19,646 19,491 19,499 19,446 19,646 19,499 20,140 19,551 19,446 234,819 RESIDENT SERVICE EXPENSE RESIDENT PROGRAM/ACTIVITIES 50 250 250 100 100 225 225 850 100 1,000 350 1,800 5,300 MARKETING & LEASING:10 10 10 10 10 10 10 10 10 10 10 10 120 HOUSEKEEPING: CONTRACT LABOR 1,535 1,535 1,535 1,535 1,535 1,535 1,535 1,535 1,535 1,535 1,535 1,535 18,420 CLEANING SUPPLIES 185 185 185 185 185 185 185 185 185 185 185 185 2,220 TOTAL HOUSEKEEPING EXPENSES:1,720 1,720 1,720 1,720 1,720 1,720 1,720 1,720 1,720 1,720 1,720 1,720 20,640 Prepared by Grace Mgmt, Inc.PTS 2022 Budget Draft v.3 11/4/2021 128 PLYMOUTH TOWNE SQUARE 2022 BUDGET Draft 99 INDEPENDENT UNITS BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS BUILDINGS & GROUNDS: CABLE TV EXPENSE 89 93 93 93 93 93 93 93 93 93 93 93 1,112 UTILITIES-ELECTRIC 1,625 1,600 1,600 1,600 1,600 2,100 2,400 2,500 2,100 1,700 1,700 1,700 22,225 UTILITIES-WATER & SEWER 1,700 1,700 1,800 2,000 2,000 2,100 2,200 2,200 2,000 1,950 1,800 1,800 23,250 UTILITIES-GAS 3,200 3,200 3,000 1,900 1,200 600 600 600 1,200 1,900 2,500 3,200 23,100 WATER SOFTENING EXPENSE 490 490 490 490 490 490 490 490 490 490 490 490 5,880 CONTRACT LABOR 450 450 450 450 450 450 450 450 450 450 450 450 5,400 DOORS, KEYS & WINDOWS 200 200 200 200 200 200 200 200 200 200 200 200 2,400 FIRE SYSTEM SERVICE 625 625 625 625 625 625 625 625 625 625 625 625 7,500 LAWN CARE/SNOW REMOVAL 3,000 3,000 3,000 2,600 3,000 2,200 2,200 2,200 2,000 2,000 2,000 2,500 29,700 PEST CONTROL 0 0 165 0 65 165 0 65 165 0 0 165 790 TRASH REMOVAL 1,750 1,750 1,750 1,750 1,750 1,750 1,750 1,750 1,750 1,750 1,750 1,750 21,000 UNIT TURNOVER 3,225 3,225 3,225 3,225 3,225 3,225 3,225 3,225 3,225 3,225 3,225 3,225 38,700 ELEVATOR REPAIRS & MAINT 715 715 715 715 715 715 715 715 715 715 715 715 8,580 REPAIRS & MAINTENANCE 3,333 3,333 3,333 3,333 3,333 3,333 3,333 3,333 3,333 3,333 3,333 3,333 40,000 BUILDING & GROUNDS SUPPLIES 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 24,000 HVAC SUPPLIES & REPAIR 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 1,350 16,200 MISC UNBUDGETED EXPENSE 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000 TOTAL BUILDINGS & GROUNDS 24,752 24,731 24,796 23,331 23,096 22,396 22,631 22,796 22,696 22,781 23,231 24,596 281,837 OTHER OPERATING EXPENSES PROPERTY & LIABILITY INSURANCE 3,361 3,361 3,361 3,424 3,424 3,424 3,424 3,603 3,603 3,603 3,603 3,603 41,792 PAYMENT IN LIEU OF PROPERTY TAX 3,033 3,033 3,033 3,033 3,033 3,033 3,033 3,033 3,033 3,033 3,033 3,033 36,400 TOTAL OTHER OPERATING EXPENSES 6,394 6,394 6,394 6,457 6,457 6,457 6,457 6,636 6,636 6,636 6,636 6,636 78,192 TOTAL OPERATING EXPENSES 52,433 52,605 52,617 51,265 50,875 50,308 50,490 51,659 50,662 52,288 51,499 54,209 620,908 NET OPERATING INCOME / (LOSS)35,765 35,558 35,581 36,898 37,323 37,855 38,208 36,505 37,537 35,876 36,700 33,955 437,762 OTHER EXPENSES: DEPRECIATION EXPENSE 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 195,900 AMORTIZATION EXPENSE (527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(6,320) INTEREST EXPENSE 549 549 549 549 549 549 549 549 549 549 549 549 6,590 RESERVE/REPLACE/CAP EX EXPENSE 2,000 1,900 1,800 5,350 3,300 14,350 HRA SUBSIDY - TIF 0 0 0 0 0 0 0 0 0 0 0 0 0 TOTAL OTHER EXPENSES:18,348 16,348 18,248 16,348 18,148 21,698 19,648 16,348 16,348 16,348 16,348 16,348 210,520 NET INCOME:17,418 19,211 17,334 20,551 19,176 16,158 18,561 20,157 21,189 19,528 20,352 17,607 227,242 PERCENT OF INCOME 20%22%20%23%22%18%21%23%24%22%23%20%21% CASHFLOW ADJUSTMENTS: DEPRECIATION 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 16,325 195,900 AMORTIZATION (527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(527)(6,320) RESERVE/REPLACE/CAP EX 2,000 1,900 1,800 5,350 3,300 14,350 PRINCIPAL ON DEBT 0 0 0 0 0 0 0 0 (328,000)0 0 0 (328,000) NET CASHFLOW:35,216 35,009 35,032 36,349 36,774 37,306 37,659 35,956 (291,012)35,327 36,151 33,406 103,172 TRANSFER TO RESERVE REPLACE 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 7,000 84,000 OPERATING RESERVE 19,172 Prepared by Grace Mgmt, Inc.PTS 2022 Budget Draft v.3 11/4/2021 129 PLYMOUTH TOWNE SQUARE 2022 Budget Assumptions – Draft REVENUE: Resident Rent Revenue is based on July 2021 average rent per unit of $612 plus a 3% increase. We budget 97 occupied units to allow for turnover time & rent fluctuations based on new resident’s rent rate which is driven by income. The rental increase will go into effect on January 1, 2022. The minimum rents are proposed to increase 3% to $453 for a one-bedroom (up $13) and increase 3% to $610 (up $18) for a two-bedroom. The market rate rents are proposed to increase 3% also to $1,020 (up $30) for a one- bedroom and $1,307 (up $38) for a two-bedroom. HRA Subsidy will be $260,000 for the year. Garage Rental is based on 64 stalls leased at $55 a month each. This is an increase in the monthly rental rate of $5. Guest Room Revenue is based on 12 nights rented per year at $65 a night. This is aggressive, but possible given pre-pandemic levels. Laundry Revenue To reduce the handling of money we eliminated the coin operation in our laundry in 2020 but reinstated in 2021. We are budgeting based on 2021 revenue. Transfer Fee Income is budgeted for one internal move at $500. Application Fee Revenue is budgeted at 1.5 per month (we process a background check on each person occupying an apartment) per month. We pass on the expense for rental verification (credit check & criminal background check) to the prospective resident. The corresponding expense is included in the Legal and Other Professional line item. Investment Income is an estimate provided by City of Plymouth Finance Department. Miscellaneous Revenue includes any forfeited security deposits due to damage beyond normal wear and tear. This is the same as last year. 130 OPERATING EXPENSES: Property Administration: Manager Salary This figure includes a 3% increase. Maintenance Salary is based on a full-time position. The position is budgeted at 40 hours/week regular time and 1 hour per week over time to account for emergency calls. Each building has a full-time maintenance technician who works primarily at that location. The line item reflects a decrease because extra stipend for on-call has been eliminated as we have contracted with BMM for on-call services. Payroll Tax is budgeted at 8% of the total of all salaries. It includes FICA, FUTA & SUTA. Health Insurance includes healthcare, dental, and life. Health, dental and life insurance are provided to full-time employees if they wish to participate. The employee is responsible for paying 20% of the premium for health and is provided dental and life free of charge. Family coverage is 100% employee paid. The amount is based on the 2021 premiums for the current employee on the healthcare plan with a 10% increase anticipated in premiums for 2022. The increase is due to both employees taking health insurance. The 2021 budget only had one employee on the healthcare plan. Worker’s Compensation Insurance premium is budgeted to increase due to increased wages. Employee Costs include ADP fees, help wanted ads, background checks for new employees. Dues & Subscriptions includes the price for Costco membership. Licenses, Permit & Fees are based on fees for the boiler license, elevator permit and dwelling license fees. Employee Mileage is estimated. The current team is not tracking mileage and requesting reimbursement as former staff members did. We feel it is prudent to allocate funds in the event they begin requesting reimbursement. Postage/Overnight Delivery remains the same estimated using 2021 budget. Management Fees increases are alternated each year with Vicksburg Crossing. Plymouth Towne Square will remain the same in 2022. 131 Legal and Other Professional Fees is an estimate based on conducting background checks for new residents (1.5 per month at $35 each), a small amount for legal services, and audit/tax fees as provided by City of Plymouth Finance Department. Telephone includes the cellular phones for the maintenance staff (split with VC) and the incoming lines for the property along with internet and long-distance expenses. The budget reflects estimates showing a 3% increase from previous year’s budget. Equipment Repairs/Maintenance/Lease is based the copier maintenance fees, copy overages and occasional maintenance on the resident and office computers. Budget amount increase is due to the ongoing need for IT support related to resident computer repairs/clean up. Office Supplies & Expenses include the office supplies for the office and printer cartridges and some paper for the resident computers. We are not budgeting an increase over 2021. Bank Charges are estimated based on a 19% increase over 2020 actuals anticipating higher participation with online payments. Printing is for printing of stationery, envelopes and work orders. Budget remains the same as 2021. Seminars/Training $200 is budgeted for 2022. Resident Service Expense Resident Service Expense reflect expenses for the monthly entertainment/birthday celebration, with bigger events scheduled for Valentine’s Day, St. Patrick’s Day, Night to Unite, Halloween and the Holiday party. It also includes the purchase of table decorations. This is an increase over 2020 and 2021 as we are planning a few more group events than the previous 2 years have allowed due to COVID-19 restrictions. Marketing and Leasing: We continue to budget a nominal amount for 2022. Housekeeping: Contract Labor is budgeted at the anticipated cleaning company contract rate and guest room cleaning. The decrease is due to the discontinuation of extensive extra cleaning contracted for during the earlier days of the pandemic. Supplies – Cleaning includes paper towels & toilet paper for common area restrooms, 132 trash bags, air freshener, vacuum repair, disinfectant, supplies for guest suite and other supplies. This line item is a 7% increase over 2020 actuals. Buildings and Grounds: Cable TV is based on monthly expense incurred for the TVs in the activity room and exercise room as currently billed with a 4% increase effective in February 2022. Electric is based on an 11% increase over 2020 actuals. Utility Costs are expected to see double digit increases in the coming years. Water and Sewer is based on 6% increase over 2020 actuals due to the potential to experience another extremely dry and/or hot year. Gas budget reflects a 27% increase over 2020 actuals. We are anticipating a cooler winter and increased rates. Water Softener is based on 7% increase over 2020 actuals. Contract Labor is a contract with Building Maintenance Management to handle on-call rotation. The increase over 2021 budget is due to the response history. Doors, Keys and Windows are for the miscellaneous window replacement/repairs, garage door repairs/service, keys made and any other lock/door repairs. Fire System Service includes costs to test, monitor and service the fire suppression system (including all manual fire extinguishers,) front entry system and emergency pull cord system. This represents a 30% increase over 2020 actuals. This line item tends to fluctuate significantly year to year but represents a reasonable average. Lawn Care/Snow Removal is based on historical. Work includes spring clean up, weekly mowing, weed control, spring/fall shrub trimming, tree trimming, spring parking lot sweeping and snow plowing. Budget represents an 11% decrease over 2021 Budget because there will not be any mulch added this budget year. Pest Control includes quarterly treatments at $165 plus two addition miscellaneous service calls per year. Trash Removal is based on actual 2021 rates which represent an additional pick up per week. Unit Turnover includes carpet/vinyl replacement or cleaning, contract painter, cabinetry/countertop repair, paint and plumbing supplies, etc. for apartments that are being re-leased or turned over. We are budgeting 9 turns at $4,300 each based on five- year historical average. 133 Elevator Repairs and Maintenance includes contract for maintenance, plus any service calls that may not be covered by the maintenance contract . Repairs & Maintenance includes garage floor power washing, window washing, carpet cleaning of apartments occupied three years, painting of apartments occupied more than seven years, vinyl/carpet repair/replacement in occupied units, cleaning of common area carpet annually, generator maintenance, plumbing repairs, repairs to the exterior siding, fascia, and roofing and all other misc. repairs. Building & Grounds Supplies includes common area paint and repairs, light bulbs, plumbing supplies, tractor supplies/repairs, common area blinds, guest suite supplies, holiday decorations and other misc. supplies/tools/equipment. HVAC Supplies & Repair includes all HVAC supplies, repairs and maintenance contract with Owens for the boilers, etc. Miscellaneous Unbudgeted B&G Expense is a contingency figure for the unexpected issues. Non-Departmental Expenses Property and Liability Insurance is based on current rates $21,412 for liability with a 10% increase expected in August at renewal and $1 8,920 for property with a 4% increase in April at renewal. Payment in Lieu of Taxes (PILOT) is budgeted at 5% of 2021 rental dwelling revenue ($728,000 rental revenue estimate) to be paid in 2022. Capital Expenses: • Install drain tiles for north side of building $5,350 (not done in 2021) • Purchase glider/swing for BBQ area $1800 • Paint 15 pillars in front of building $3,300 • Replace Fire Lane and other exterior signs $1,900 • Cab Cover for tractor $2,000 Non-Capital Expenses: • Replace 15 stoves: $13,000.00 • Replace 10 refrigerators: $10,000.00 • Refurbish apartment cabinetry $15,000 Reserve Replacement Funding: Remains at $84,000 for 2022. 134 PLYMOUTH HOUSING REDEVELOPMENT AUTHORITY HRA RESOLUTION NO. 2021-19 AUTHORIZING THE 2022 OPERATING BUDGET FOR PLYMOUTH TOWNE SQUARE WHEREAS, pursuant to Minnesota Statutes, sections 469.001 to 469.047 (the "HRA Act"), the City Council of the City of Plymouth, Minnesota (the “City”), declared the need for a housing and redevelopment authority to function in the City and granted to the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota (the “Authority”) all of the powers and duties of a housing and redevelopment authority under the provisions of the HRA Act; and WHEREAS,the Authority owns and operates a senior independent apartment building named Plymouth Towne Square; and WHEREAS,the Authority is required to adopt an operating budget for Plymouth Towne Square; and WHEREAS, Grace Management, Inc., the HRA’s contract property management company has provided a proposed 2022 budget for Plymouth Towne Square; and WHEREAS, staff from the Authority and the City have reviewed the proposed budget; and WHEREAS,the Authority has before it for its consideration a copy of the budget for the operations of Plymouth Towne Square for the fiscal year 2022. NOW, THEREFORE, be it resolved by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota: The Plymouth Towne Square Operating Budget for the fiscal year of 2022 has a total operating expense amount of $620,908 and other expenses of $210,520 for a total budget of $831,428. Passed and duly adopted by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota on this 18th day of November, 2021. 135 Regular Housing and Redevelopment Authority November 18, 2021 Agenda Number:6.3 To:Housing and Redevelopment Authority Prepared by:James Barnes, HRA Manager Reviewed by:Danette Parr, HRA Executive Director Item:Vicksburg Crossing 2022 Budget. 1. Action Requested: Adopt a resolution approving the 2022 Vicksburg Crossing operating budget. 2. Background: Staff has reviewed the budget for Vicksburg Crossing submitted by Grace Management for the operation of the property for January 1, 2022 through December 31, 2022, including a current estimate of actual expenditures for 2021. After discussions with internal staff and Grace Management, the attached operating budget is ready for review and approval by the HRA board. Revenue: Overall revenues for 2022 are projected to be $1,366,235. Included in this figure are revenues from tenants, parking stall rentals, application fees, investment income and the HRA tax levy. Tenant rents are anticipated to be $1,221,151, which is an increase of approximately $21,500 from last year and includes a rent increase of two percent. The subsidy is projected to be $45,000, which is $5,000 higher than 2021. Expenditures: Staff has reviewed the 2021 year-to-date financials and contacted our vendors to arrive at the anticipated 2022 expenditures. The proposed operating expenditures are $621,824 which is approximately $15,500 higher than 2021. Reserve/Replacement Account: The 2022 budget anticipates adding $72,000 to our replacement reserve account, which is the same as last year. Staff continues to review the Reserve/Replacement schedule to ensure that there is sufficient capital set aside to maintain the property over the long term. Staff is proposing a number of capital and non-capital improvements to the building in 2022 including the following: Capital Improvements 1. Automatic Door Operator for 1st and 3rd floor refuse rooms ($6,400) 2. Hallway and common area painting ($15,000) 3. Water heter ($12,000) 136 4. Replace hallway and common area carpet ($115,000) 5. Magic Pak unit replacement ($35,000) 6. Remove and Replace Sofit and fascia on front patio ($16,000) Non-Capital Improvements 1. Concrete replacement ($4,000) 2. Appliances ($6,000) The funds for these improvements will come from the building’s replacement reserves that has a balance of approximately $841,000. 3. Budget Impact: The operating budget will be covered through a combination of building revenue and the HRA tax levy. 4. Attachments: VC BUDGET Comparison draft VC 2022 BUDGET draft VC 2022 Budget Assumptions 2021-20 Vicksburg Crossing Operating Budget Resolution 137 VICKSBURG CROSSING 2022 BUDGET Draft Percentage Percentage 96 INDEPENDENT UNITS - rentable, 96 constructed 2020 2021 2021 2022 Difference Difference ACTUAL Jan-July BUDGET BUDGET Budget 22 Budget 22 TOTALS ACTUALS TOTALS TOTALS Actual 20 Budget 21 UNITS OCCUPIED 93 93 92 92 -1%0% PERCENTAGE OCCUPIED 99%99%97%97%-2%0% INCOME APARTMENT RENTAL REVENUE 1,222,251$ 709,616$ 1,199,639$ 1,221,151$ 0%1.79% APARTMENT RENTAL REVENUE-COUNTY*31,870$ 20,306$ 34,176$ 34,824$ 9%2% HRA SUBSIDY-TAX LEVY 40,000$ 23,331$ 40,000$ 45,000$ 13%13% GARAGE RENTAL*44,757$ 26,037$ 44,880$ 48,960$ 9%9% GUEST SUITE REVENUE*1,360$ 710$ 1,400$ 1,260$ -7%-10% APPLICATION FEE REVENUE*525$ 490$ 420$ 560$ 7%33% TRANSFER FEE REVENUE*1,500$ 500$ 500$ 1,000$ -33%100% INVESTMENT INCOME 24,094$ 2,509$ 17,000$ 10,000$ -58%-41% MISCELLANEOUS REVENUE 5,094$ 27,087$ 3,480$ 3,480$ -32%0% TOTAL INCOME 1,371,451$ 810,586$ 1,341,495$ 1,366,235$ 0%2% OPERATING EXPENSES PROPERTY ADMINISTRATION: MANAGER SALARIES 66,969$ 38,607$ 66,300$ 68,289$ 2%3% MAINTENANCE SALARIES 58,269$ 31,251$ 60,475$ 56,472$ -3%-7% PAYROLL TAXES 9,209$ 4,957$ 10,142$ 9,981$ 8%-2% HEALTH INSURANCE 16,414$ 11,695$ 19,464$ 24,763$ 51%27% WORK COMP INSURANCE 1,554$ 987$ 1,584$ 1,680$ 8%6% EMPLOYEE COSTS 1,127$ 600$ 1,110$ 1,110$ -2%0% DUES & SUBSCRIPTIONS*180$ -$ 65$ 65$ 177%0% CLASSIFIED ADVERTISING -$ -$ -$ -$ 0%N/A LICENSES, PERMITS*876$ 676$ 906$ 906$ 3%0% MILEAGE REIMBURSEMENT*276$ 25$ 707$ 240$ -13%-66% POSTAGE/OVERNIGHT DELIVERY*114$ 61$ 120$ 120$ 5%0% MANAGEMENT FEES 55,368$ 32,298$ 55,368$ 57,583$ 4%4% LEGAL & OTHER PROFESSIONAL FEES 1,276$ 325$ 2,676$ 2,676$ 110%0% TELEPHONE EXPENSE*5,424$ 3,420$ 5,520$ 5,880$ 8%7% EQUIP REPAIRS/MAINT/LEASE*2,314$ 4,343$ 2,280$ 2,400$ 4%5% OFFICE SUPPLIES & EXPENSES*1,282$ 913$ 1,320$ 1,380$ 8%5% BANK CHARGES*1,089$ 578$ 1,500$ 1,320$ 21%-12% PRINTING*99$ -$ 120$ 120$ 21%0% SEMINARS/TRAINING*-$ -$ -$ 250$ N/A N/A TOTAL PROPERTY ADMINISTRATION 221,840$ 130,736$ 229,657$ 235,235$ 6%2% RESIDENT SERVICE: RESIDENT SERVICE EXPENSES 3,350$ 2,022$ 6,000$ 6,300$ 88%5% MARKETING & LEASING: ADVERTISING*318$ 18$ 716$ 500$ 57%-30% TOTAL MARKETING & LEASING 318$ 18$ 716$ 500$ 57%-30% HOUSEKEEPING: CONTRACT LABOR*19,685$ 10,661$ 21,612$ 21,600$ 10%0% CLEANING SUPPLIES*1,447$ 486$ 1,860$ 1,860$ 29%0% TOTAL HOUSEKEEPING 21,132$ 11,147$ 23,472$ 23,460$ 11%0% BUILDINGS & GROUNDS: CABLE TV EXPENSE 2,430$ 1,649$ 2,484$ 2,892$ 19%16% UTILITIES-ELECTRIC*21,491$ 14,256$ 24,350$ 24,810$ 15%2% UTILITIES-WATER & SEWER*16,295$ 10,988$ 16,800$ 18,225$ 12%8% UTILITIES-GAS*18,933$ 11,362$ 25,450$ 24,750$ 31%-3% WATER SOFTENING EXPENSE*1,544$ 754$ 1,752$ 1,740$ 13%-1% CONTRACT LABOR*-$ 5,279$ 2,808$ 10,800$ n/a 285% DOORS, KEYS & WINDOWS*602$ 192$ 1,920$ 780$ 30%-59% FIRE SYSTEM SERVICE*3,511$ 1,617$ 6,570$ 5,970$ 70%-9% LAWN CARE/SNOW REMOVAL*19,248$ 10,285$ 23,905$ 22,720$ 18%-5% PEST CONTROL*825$ 306$ 820$ 840$ 2%2% TRASH REMOVAL*14,566$ 10,015$ 13,800$ 17,376$ 19%26% UNIT TURNOVER*38,182$ 36,399$ 55,000$ 50,050$ 31%-9% ELEVATOR REPAIRS & MAINT*6,201$ 3,729$ 7,812$ 7,812$ 26%0% REPAIRS & MAINTENANCE*18,612$ 12,199$ 24,100$ 25,125$ 35%4% 138 VICKSBURG CROSSING 2022 BUDGET Draft Percentage Percentage 96 INDEPENDENT UNITS - rentable, 96 constructed 2020 2021 2021 2022 Difference Difference ACTUAL Jan-July BUDGET BUDGET Budget 22 Budget 22 TOTALS ACTUALS TOTALS TOTALS Actual 20 Budget 21 BUILDING & GROUNDS SUPPLIES*13,306$ 11,706$ 18,000$ 18,000$ 35%0% HVAC SUPPLIES & REPAIR*9,682$ 5,883$ 9,200$ 9,600$ -1%4% MISC UNBUDGETED BUILDINGS & GROUNDS -$ -$ 10,000$ 10,000$ N/A 0% TOTAL BUILDINGS & GROUNDS 185,428$ 136,619$ 244,771$ 251,490$ 36%3% OTHER OPERATING EXPENSES PROPERTY & LIABILITY INSURANCE 34,989$ 22,133$ 39,143$ 42,340$ 21%8% PILOT (payment in lieu of taxes)82,485$ 36,456$ 62,500$ 62,500$ -24%0% TOTAL OTHER OPERATING EXPENSES 117,474$ 58,589$ 101,643$ 104,840$ -11%3% TOTAL OPERATING EXPENSES 549,542$ 339,131$ 606,259$ 621,824$ 13%3% NET OPERATING INCOME / (LOSS)821,909$ 471,455$ 735,236$ 744,411$ -9%1% OTHER EXPENSES: DEPRECIATION EXPENSE 311,116$ 180,229$ 308,968$ 317,640$ 2%3% AMORTIZATION EXPENSE 1,240$ 721$ 1,240$ (26,486)$ -2236%-2236% INTEREST EXPENSE 219,200$ 107,400$ 211,800$ 211,400$ -4%0% RESERVE/REPLACE/CAP EX EXPENSE 37,672$ 53,226$ 748,602$ 203,400$ 440%-73% CONTRIBUTIONS FROM PLY TOWNE SQ -$ -$ TOTAL OTHER EXPENSES:569,228$ 288,350$ 522,008$ 705,954$ 24%35% NET INCOME:252,681$ 183,105$ 213,228$ 38,457$ -85%-82% PERCENT OF INCOME 18%23%16%3%-85%-82% CASHFLOW ADJUSTMENTS: DEPRECIATION 311,116$ 180,229$ 308,968$ 317,640$ 2%3% AMORTIZATION 1,240$ 721$ 1,236$ (26,486)$ -2236%-2243% RESERVE/REPLACE/CAP EX EXPENSE 37,672$ 53,226$ 748,602$ 203,400$ 440%-73% PRINCIPAL ON DEBT (435,000)$ (450,000)$ (450,000)$ (460,000)$ 6%2% NET CASHFLOW:130,037$ (85,945)$ 73,432$ 73,011$ -44%-1% TRANSFER TO RESERVE REPLACEMENT 72,000$ 36,000$ 72,000$ 72,000$ 0%0% OPERATING RESERVE 58,037$ 1,432$ 1,011$ -98%-29% 139 VICKSBURG CROSSING 2022 BUDGET Draft 95 INDEPENDENT UNITS - rentable, 96 constructed BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS UNITS OCCUPIED 94 92 91 92 92 92 92 92 93 92 93 93 92 PERCENTAGE OCCUPIED 99%97%96%97%97%97%97%97%98%97%98%98%97% INCOME APARTMENT RENTAL REVENUE 104,173 101,298 99,973 101,298 101,263 101,263 101,143 101,263 102,778 101,263 102,658 102,778 1,221,151 APARTMENT RENTAL REVENUE-COUNTY*2,902 2,902 2,902 2,902 2,902 2,902 2,902 2,902 2,902 2,902 2,902 2,902 34,824 HRA SUBSIDY-TAX LEVY 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 45,000 GARAGE RENTAL*4,080 4,080 4,080 4,080 4,080 4,080 4,080 4,080 4,080 4,080 4,080 4,080 48,960 GUEST SUITE REVENUE*0 0 140 0 0 140 140 140 140 140 140 280 1,260 APPLICATION FEE REVENUE*35 35 70 35 35 70 35 35 70 35 35 70 560 TRANSFER FEE REVENUE*500 0 0 0 0 0 500 0 0 0 0 0 1,000 INVESTMENT INCOME 833 833 833 833 833 833 833 833 833 833 833 833 10,000 MISCELLANEOUS REVENUE 290 290 290 290 290 290 290 290 290 290 290 290 3,480 TOTAL INCOME 116,563 113,188 112,038 113,188 113,153 113,328 113,673 113,293 114,843 113,293 114,688 114,983 1,366,235 Prepared by Grace Mgmt, Inc.VC 2022 BUDGET draft v.3 11/4/2021 140 VICKSBURG CROSSING 2022 BUDGET Draft 95 INDEPENDENT UNITS - rentable, 96 constructed BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS OPERATING EXPENSES PROPERTY ADMINISTRATION: MANAGER SALARIES 5,691 5,691 5,691 5,691 5,691 5,691 5,691 5,691 5,691 5,691 5,691 5,691 68,289 MAINTENANCE SALARIES 4,706 4,706 4,706 4,706 4,706 4,706 4,706 4,706 4,706 4,706 4,706 4,706 56,472 PAYROLL TAXES 832 832 832 832 832 832 832 832 832 832 832 832 9,981 HEALTH INSURANCE 2,064 2,064 2,064 2,064 2,064 2,064 2,064 2,064 2,064 2,064 2,064 2,064 24,763 WORK COMP INSURANCE 140 140 140 140 140 140 140 140 140 140 140 140 1,680 EMPLOYEE COSTS 85 85 85 130 85 85 85 85 85 130 85 85 1,110 CLASSIFIED ADVERTISING 0 0 0 0 0 0 0 0 0 0 0 0 0 DUES & SUBSCRIPTIONS*0 0 0 0 0 65 0 0 0 0 0 65 LICENSES, PERMITS*0 0 676 30 0 200 0 0 0 0 0 0 906 MILEAGE REIMBURSEMENT*20 20 20 20 20 20 20 20 20 20 20 20 240 POSTAGE/OVERNIGHT DELIVERY*10 10 10 10 10 10 10 10 10 10 10 10 120 MANAGEMENT FEES 4,799 4,799 4,799 4,799 4,799 4,799 4,799 4,799 4,799 4,799 4,799 4,799 57,583 LEGAL & OTHER PROFESSIONAL FEES 223 223 223 223 223 223 223 223 223 223 223 223 2,676 TELEPHONE EXPENSE*490 490 490 490 490 490 490 490 490 490 490 490 5,880 EQUIP REPAIRS/MAINT/LEASE*200 200 200 200 200 200 200 200 200 200 200 200 2,400 OFFICE SUPPLIES & EXPENSES*115 115 115 115 115 115 115 115 115 115 115 115 1,380 BANK CHARGES*110 110 110 110 110 110 110 110 110 110 110 110 1,320 PRINTING*10 10 10 10 10 10 10 10 10 10 10 10 120 SEMINARS/TRAINING*0 0 0 250 0 0 0 0 0 0 0 0 250 TOTAL PROPERTY ADMINISTRATION 19,494 19,494 20,170 19,819 19,494 19,694 19,559 19,494 19,494 19,539 19,494 19,494 235,235 RESIDENT SERVICES: RESIDENT SERVICE EXPENSES*200 350 350 250 600 300 200 700 350 800 350 1,850 6,300 MARKETING & LEASING: ADVERTISING*0 500 0 0 0 0 0 0 0 0 0 0 500 TOTAL MARKETING & LEASING 0 500 0 0 0 0 0 0 0 0 0 0 500 HOUSEKEEPING: CONTRACT LABOR*1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 1,800 21,600 CLEANING SUPPLIES*155 155 155 155 155 155 155 155 155 155 155 155 1,860 TOTAL HOUSEKEEPING 1,955 1,955 1,955 1,955 1,955 1,955 1,955 1,955 1,955 1,955 1,955 1,955 23,460 Prepared by Grace Mgmt, Inc.VC 2022 BUDGET draft v.3 11/4/2021 141 VICKSBURG CROSSING 2022 BUDGET Draft 95 INDEPENDENT UNITS - rentable, 96 constructed BUDGET 2022 MONTH JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC TOTALS BUILDING & GROUNDS: * CABLE TV EXPENSE 241 241 241 241 241 241 241 241 241 241 241 241 2,892 UTILITIES-ELECTRIC*1,750 1,750 1,750 1,500 2,060 2,700 2,700 2,700 2,450 1,850 1,850 1,750 24,810 UTILITIES-WATER & SEWER*1,325 1,325 1,325 1,325 1,350 1,850 1,850 1,850 1,850 1,525 1,325 1,325 18,225 UTILITIES-GAS*3,400 3,400 3,400 2,300 1,100 750 750 750 1,100 1,700 2,800 3,300 24,750 WATER SOFTENING EXPENSE*145 145 145 145 145 145 145 145 145 145 145 145 1,740 CONTRACT LABOR*900 900 900 900 900 900 900 900 900 900 900 900 10,800 DOORS, KEYS & WINDOWS*65 65 65 65 65 65 65 65 65 65 65 65 780 FIRE SYSTEM SERVICE*1,350 180 180 1,000 180 180 180 2,000 180 180 180 180 5,970 LAWN CARE/SNOW REMOVAL*2,650 2,650 2,150 1,100 3,000 1,500 1,100 1,300 1,200 1,400 2,070 2,600 22,720 PEST CONTROL*0 0 175 75 0 175 75 0 170 0 170 0 840 TRASH REMOVAL*1,448 1,448 1,448 1,448 1,448 1,448 1,448 1,448 1,448 1,448 1,448 1,448 17,376 UNIT TURNOVER*4,171 4,171 4,171 4,171 4,171 4,171 4,171 4,171 4,171 4,171 4,171 4,171 50,050 ELEVATOR REPAIRS & MAINT*651 651 651 651 651 651 651 651 651 651 651 651 7,812 REPAIRS & MAINTENANCE*1,275 1,275 1,275 6,950 2,450 1,250 1,275 1,275 1,250 2,950 1,450 2,450 25,125 BUILDING & GROUNDS SUPPLIES*1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 18,000 HVAC SUPPLIES & REPAIR*800 800 800 800 800 800 800 800 800 800 800 800 9,600 MISC UNBUDGETED BUILDINGS & GROUNDS 833 833 833 833 833 833 833 833 833 833 833 833 10,000 TOTAL BUILDING & GROUNDS 22,504 21,334 21,009 25,004 20,894 19,159 18,684 20,629 18,954 20,359 20,599 22,359 251,490 OTHER OPERATING EXPENSES PROPERTY & LIABILITY INSURANCE 3,406 3,406 3,406 3,471 3,471 3,471 3,471 3,647 3,647 3,647 3,647 3,647 42,340 PILOT (payment in lieu of taxes)5,208 5,208 5,208 5,208 5,208 5,208 5,208 5,208 5,208 5,208 5,208 5,208 62,500 TOTAL OTHER OPERATING EXPENSES 8,614 8,614 8,614 8,680 8,680 8,680 8,680 8,856 8,856 8,856 8,856 8,856 104,840 TOTAL OPERATING EXPENSES 52,767 52,247 52,098 55,708 51,623 49,788 49,078 51,634 49,609 51,509 51,254 54,514 621,824 NET OPERATING INCOME / (LOSS)63,797 60,942 59,941 57,481 61,531 63,541 64,596 61,660 65,235 61,785 63,435 60,470 744,411 OTHER EXPENSES: DEPRECIATION EXPENSE 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 317,640 AMORTIZATION EXPENSE (2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(26,486) * INTEREST EXPENSE 17,617 17,617 17,617 17,617 17,617 17,617 17,617 17,617 17,617 17,617 17,617 17,617 211,400 RESERVE/REPLACE/CAP EX EXPENSE 6,400 15,000 12,000 115,000 4,000 35,000 16,000 203,400 CONTRIBUTIONS FROM PLY TOWNE SQ 0 0 0 0 0 0 0 0 0 0 0 0 0 TOTAL OTHER EXPENSES:48,280 41,880 41,880 56,880 53,880 156,880 45,880 76,880 57,880 41,880 41,880 41,880 705,954 NET INCOME:15,517 19,062 18,061 601 7,651 (93,339)18,716 (15,220)7,355 19,905 21,555 18,590 38,457 PERCENT OF INCOME 13%17%16%1%7%-82%16%-13%6%18%19%16%3% CASHFLOW ADJUSTMENTS: DEPRECIATION 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 26,470 317,640 AMORTIZATION (2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(2,207)(26,486) RESERVE/REPLACE/CAP EX EXPENSE 6,400 15,000 12,000 115,000 4,000 35,000 16,000 203,400 PRINCIPAL ON DEBT 0 (460,000)0 0 0 0 0 0 0 0 0 0 (460,000) NET CASHFLOW:46,180 (416,675)42,324 39,864 43,914 45,924 46,979 44,043 47,618 44,168 45,818 42,853 73,011 TRANSFER TO RESERVE REPLACEMENT 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 72,000 OPERATING RESERVE 1,011 Prepared by Grace Mgmt, Inc.VC 2022 BUDGET draft v.3 11/4/2021 142 VICKSBURG CROSSING 2022 Budget Assumptions - Draft REVENUE: Resident Rent Revenue: Is based on the attached income schedule. We propose a rent increase of $20 for all apartment types. We remain sensitive to price increases due to our fixed income population and wanting to remain affordable. The budget projects an average occupancy of 92 units or 97%. Resident Rent Revenue-Section 8: Is based on the current resident roster who receive federal housing voucher. HRA – Subsidy (tax levy): The subsidy is budgeted this year at $45,000. Garage Income: Is based on 68 spaces at a rental rate of $60 a month each. This is an increase in the monthly rental rate of $5. Guest Suite Revenue: Is based on 18 nights annually at $70/night, which is historically achievable. We anticipate slowly returning to our past amount of rental revenue from the guest suite. Application Fee Revenue: We pass on the expense incurred for rental verification (credit check & criminal background check). We are budgeting 16 $35 verification fees this year. The corresponding expense is included in the Legal and Other Professional line item. Transfer Income: Is based on 2 transfers per year at $500 each. Investment Income: Is based on estimates provided by City of Plymouth Finance Department. Late Fees: We did not budget any late fees. Miscellaneous Revenue: Includes storage space revenue based on $10/month/space, charges for extra key fobs and security deposit amounts withheld for damages incurred. No increase to this line item is budgeted. OPERATING EXPENSES: Property Administration: Manager Salary This figure includes a 3% increase. 143 Maintenance Salary is based on a full-time position. The position is budgeted at 40 hours/week regular time and 2 hours per week over time to account for emergency calls. Each building has a full-time maintenance technician who works primarily at that location. The line item reflects a decrease because extra stipend for on-call has been eliminated as we have contracted with BMM for on-call services. Payroll Tax is budgeted at 8% of the total of all salaries. It includes FICA, FUTA & SUTA. This represents a reduction in the percentage calculation to realign to historical figures. Health Insurance includes healthcare, dental, and life. Health, dental and life insurance are provided to full-time employees if they wish to participate. The employee is responsible for paying 20% of the premium for health and is provided dental and life free of charge. Family coverage is 100% employee paid. The amount is based on current premiums as of September. Worker’s Compensation Insurance premium is budgeted to increase 8% from 2020 actuals due to increased wages. Employee Costs include ADP fees, help wanted ads, background checks for new employees. Dues, Subscriptions & Memberships are based on fees for Costco membership. License & Permit are based on fees for the dwelling license, elevator license and boiler license. Employee Mileage is estimated based using past year. The current team is not tracking mileage and requesting reimbursement as former staff members did. We feel it is prudent to allocate funds in the event they begin requesting reimbursement. Postage/Overnight Delivery is an estimate based on current year to date. This includes mailing brochures to prospects. Management Fees increases are alternated each year with Plymouth Towne Square. Vicksburg Crossing will receive an increase of 4% in 2022. Legal and Other Professional Fees is an estimate based on conducting background checks for new residents (1 per month at $35 each) and audit/tax fees as provided by City of Plymouth Finance Department. Telephone includes the cellular phones for the maintenance staff (split with PTS) and the incoming lines for the property along with internet and long-distance expenses. 144 Equipment Repairs/Maintenance/Lease is based on the annual cost of $696 for copier maintenance fees ($74 a month) and occasional maintenance on the resident and office computers (budgeting 14 hours annual at $120/hr.). This is a 4% increase over the 2020 actual. Office Supplies & Expenses include the office supplies for the office and printer cartridges and some paper for the resident computers. The budgeted amount is based on 8% increase over 2020 actual. Bank Charges are estimated based on current year to date. This includes the online resident payment portal charges. Printing is an estimate based on the current year to date. This line item would include letterhead, envelopes, business cards etc. as needed. Seminars/Training we have budgeted $200 for attendance at MN Multi-Housing conference. Resident Service Expense: Resident Service Expense is an estimate. Expenses include things like monthly musical entertainer, special holiday events, dinner served during National Night to Unite and July Fourth, May month is “celebrate seniors’ month” with extra events planned, and the holiday party is a big celebration. This also includes money for decorations and paper cups, coffee, etc. We are beginning to add many of the resident activities that were canceled due to the pandemic. The amount reflects a 5% increase over the previous year’s budget. Marketing and Leasing: Advertising is an estimate based on ad placement for on-going marketing presence in local papers and the costs for monthly maintenance of a website for Vicksburg Crossing. Housekeeping: Contract Labor is budgeted using the cleaning company contract rate for current year and additional cleaning for turnovers. Supplies – cleaning includes paper towels & toilet paper for common a rea restrooms, trash bags, air freshener, vacuum repair, disinfectant, and other supplies. We are not budgeting an increase over 2021 budget. 145 Building and Grounds: Cable TV is for the exercise room, community room big screen and Guest suite. It is consistent with historical increases. Electric is based on a 15% increase over 2020 actual. Utility Costs are expected to see double digit increases in the coming years. Water and Sewer is based on a 12% increase over 2020 actual due to the potential to experience another extremely dry and/or hot year. Gas reflects a 31% increase over 2020 actuals. We are anticipating a cooler winter and increased rates. Water Softener is based on a 13% increase over 2020 actual. Contract Labor is a newer contract with Building Maintenance Management to assist in the on-call rotation, which provides some relief for our Maintenance Technicians. Doors, Keys, Windows are for window replacement/repairs, garage door repairs, key fobs and any other lock/door repairs. Fire System Service includes costs to test, inspect, monitor and service the fire suppression system, fire extinguishers and front entry system. Lawn Care/Snow Removal is based on pricing received from contractor and estimate for snow removal based on history. Work includes spring cleanup, weekly mowing, weed control, spring/fall shrub trimming, parking lot sweeping. Pest Control includes quarterly treatments and a small amount for extra treatments/inspections. Trash Removal is based on current year. This also includes the occasional extra charges for disposal of light bulbs and appliances. We have a large increase due to a higher volume of recycling. We have added a 3 cubic yard container, in addition to our 2 cubic yard containers. Unit Turnover includes carpet cleaning and stretching, paint, blinds and plumbing supplies, etc. for apartments that are being re-leased. We continue to see increased costs of turns due to the age of the building and the length residents have been in their apartments. We are budgeting 11 turns at $4,550. Elevator Repairs and Maintenance includes contract for maintenance, plus a contingency for service calls that may not be covered by the maintenance contract. 146 Repairs & Maintenance includes window washing, garage sweeping and power washing, appliance repairs, plumbing repairs, service contract for generator, including updating the controller, common area carpet cleaning of all common areas (full building anticipated each year), carpet cleaning for those living in their apartments longer than 3 years, repairs to the exterior, professional exterior tree decorating for the holiday and all other misc. repairs. Building & Grounds Supplies includes common area paint and repairs, all outdoor plantings and related supplies, holiday decorations and other misc. supplies (i.e. furnace filters for all apartments quarterly). As the building ages there are more miscellaneous items we need for repairs. HVAC Supplies & Repair includes all HVAC supplies, repairs and maintenance contract with Owens. Miscellaneous Unbudgeted B&G Expense is a contingency figure for the unexpected issues. Non-Departmental Expenses: Property and Liability Insurance is based on current rates $21,123 for liability with a 10% increase expected in August at renewal and $1 9,744 for property with a 4% increase in April at renewal. Property Taxes are based on 5% of the estimated annual 2018 income for dwelling units (approx. $1,185,320) which is payable in 2019. Capital Expenses: • Automatic Door Operator 1st & 3rd floor refuse rooms $6400 • Hallway and Common Area Painting $15,000 • Water heater $12,000 (did not complete in 2021) • New Hallway and Common Area Carpet - $115,000 • Cement replacement $4,000 • Magic Pak Unit Replacement $35,000 • Remove Soffit and fascia on front patio, replace with new and install entry access to existing sprinkler heads $16,000 Non-Capital Expenses: Appliances $6,000. Reserve Replacement Funding: Remains at $72,000 for 2021 147 PLYMOUTH HOUSING REDEVELOPMENT AUTHORITY HRA RESOLUTION NO. 2021-20 AUTHORIZING THE 2022 OPERATING BUDGET FOR VICKSBURG CROSSING WHEREAS, pursuant to Minnesota Statutes, sections 469.001 to 469.047 (the "HRA Act"), the City Council of the City of Plymouth, Minnesota (the “City”), declared the need for a housing and redevelopment authority to function in the City and granted to the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota (the “Authority”) all of the powers and duties of a housing and redevelopment authority under the provisions of the HRA Act; and WHEREAS,the Authority owns and operates a senior independent apartment building named Vicksburg Crossing; and WHEREAS,the Authority is required to adopt an operating budget for Vicksburg Crossing; and WHEREAS, Grace Management, Inc., the HRA’s contract property management company has provided a proposed 2022 budget for Vicksburg Crossing; and WHEREAS, staff from the Authority and the City have reviewed the proposed budget; and WHEREAS,the Authority has before it for its consideration a copy of the budget for the operations of Vicksburg Crossing for the fiscal year 2022. NOW, THEREFORE, be it resolved by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota: The Vicksburg Crossing Operating Budget for the fiscal year of 2022 has a total operating expense amount of $621,824 and other expenses of $705,954 for a total budget of $1,327,778. Passed and duly adopted by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of Plymouth, Minnesota on this 18th day of November, 2021. 148