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HomeMy WebLinkAboutHousing & Redevelopment Authority Minutes 05-17-2007MINUTES PLYMOUTH HOUSING AND REDEVELOPMENT AUTHORITY May 17, 2007 PRESENT: Chairman Steve Ludovissie, Commissioners Jim Kovach, Jenny Flansburg and Bob Stein ABSENT: Commissioner Jeff Kulaszewicz STAFF PRESENT: Housing Program Manager Jim Barnes and Office Support Representative Barb Peterson OTHERS PRESENT: Vicksburg Crossing Manager Jennifer Monahan, Mr. Mohamed Roushdy 1. CALL TO ORDER Chair Ludovissie called the Plymouth Housing and Redevelopment Authority meeting to order at 7:05 P.M. 2. CONSENT AGENDA A. Approve April 19, 2007 HRA Meeting Minutes B. Plymouth Towne Square. Accept monthly housing reports. C. Vicksburg Crossing. Accept monthly housing reports. Chair Ludovissie asked to pull Item 2C., Vicksburg Crossing, from the Consent Agenda and make it Item 3AL MOTION by Commissioner Kovach and seconded by Commissioner Flansburg to approve the consent agenda excluding Item 2C. Vote. 4 Ayes. MOTION approved unanimously. 3. NEW BUSINESS Al. Vicksburg Crossing. Accept monthly housing reports. Commissioner Ludovissie inquired as to whether a marketing plan had been done prior to the opening of Vicksburg Crossing and if the projections are being met. Vicksburg Manager Monahan said there are currently 55 occupants which is approximately 60% of the total building. She said they have been using many different sources for marketing and have narrowed the advertising down to those which are working best. Plymouth Housing and Redevelopment Authority Minutes May 17, 2007 Page 2 Commissioner Ludovissie asked Housing Program Manager Barnes if a marketing plan with projections had been done with Grace Management. Mr. Barnes replied there is a marketing plan and it contains a bonus structure that rewards Grace Management if they achieve certain occupancy levels. He said Vicksburg Manager Monahan and Grace Management Representative Boedigheimer put together the marketing plan for advertising. Ms. Monahan stated that the City of Plymouth newsletter has had the best success. They are also advertising in the Sun Sailor newspaper and the Senior Housing Guide. She said they have also put in place a referral bonus plan at the building whereby residents will receive $100 off their rent at the time their referral moves in. Commissioner Ludovissie asked whether they are planning any summer promotions. Ms. Monahan said they have not planned any yet. Commissioner Stein asked about whether they are using the Lakeshore Weekly News. Ms Monahan said they have not. Housing Program Manager Barnes said they would look into it. Commissioner Ludovissie stated he is concerned they do as much marketing as they can to fill the units before fall. Commissioner Stein asked what the difference was between the E units & E2 units. Ms. Monahan said the E units have bedrooms next to each other and the E2 units have bedrooms on either side of the unit. The E2's are located due north and the E's are northwest and northeast. Commissioner Stein asked if the current housing market has anything to do with the rental market. Ms. Monahan said it has been a factor but there are only a few names remaining on the list in this situation. She said they are averaging 5-8 move -ins a month. Commissioner Kovach asked if any tenants have moved out. Ms. Monahan said there has been one due to a death and another is going to move out due to respiratory issues and the smoke odor in the building. A2. First Time Homebuyer Program. Appeal denial for subordination. HRA Specialist Schaffer presented an overview of the staff report. She said Mr. Roushdy is here tonight to appeal staffs' decision. Housing Program Manager Barnes asked the Board if they have any questions. Commissioner Stein asked Housing Program Manager Barnes to explain the policy further. Mr. Barnes said there is a policy in the guideline which restricts the use of any cash taken from First Time Homebuyer loans or Rehabilitation loans that states when taking cash out 20% of that dollar amount can be used for anything and 80% needs to go back into the home as eligible home improvements. He said that policy is not being met by Mr. Roushdy. He said any lender has the right to subordinate or not and the HRA is considered a lender. Mr. Roushdy indicated that repairs over the past three years have totaled $31,250. Commissioner Ludovissie asked if staff had received any receipts for work that has been done. Mr. Barnes stated they have not received verification of those expenses. Mr. Roushdy stated that he feels his income was calculated wrong and questioned the difference between moderate and maximum income limits. He said if his income was calculated correctly it should meet the income guidelines. Discussion occurred regarding the income guidelines. HRA Specialist Schaffer said he did provide proof of his income which was higher than the CDBG guideline. Plymouth Housing and Redevelopment Authority Minutes May 17, 2007 Page 3 Commissioner Ludovissie stated that 80% needs to be put back into the home and Mr. Roushdy is not meeting that guideline. Mr. Roushdy asked how he could have gotten the subordination back in 2001 using the same guidelines. Commissioner Ludovissie said that is not the issue before the Board. Commissioner Stein asked what his options would be. Housing Program Manager Barnes said he could find a lender who would put the HRA in first place which is unlikely or Mr. Roushdy could pay the amount owed to the HRA. Commissioner Stein commented that Mr. Roushdy was also being denied as the monies from the refinance did not comply with the purpose of the program. MOTION by Commissioner Ludovissie and seconded by Commissioner Kovach to deny Roushdy's request to subordinate their first time homebuyer second mortgage to a new loan offered through Countrywide Home Loans. Roll Call Vote. 4 Ayes. MOTION approved unanimously. Housing Program Manager Barnes explained to Mr. Roushdy that if he gets the loan from Countrywide Home Loans he must pay the City of Plymouth $9,000. B. Vicksburg Crossing/Plymouth Towne Square. Consider adopting a smoking fee. Housing Program Manager Barnes stated this item had been tabled from the last meeting because the Board requested more information. Commissioner Ludovissie said the $1000 smoking fee would be in addition to the security fee. Commissioner Stein asked what the normal security deposit amount is. Ms. Monahan said it is $500. Commissioner Stein asked if staff had considered a no -smoking policy. Housing Program Manager Barnes said that is something which could be discussed and implemented. Discussion occurred regarding the smoke problem at the apartment building. Ms. Monahan said the smoke smell is drifting into the hallways. Commissioner Stein suggested going smoke free and grandfathering in the people currently living in the building until the end of their lease. Housing Program Manager Barnes asked if the Board would like staff to discuss the possible implementation of a smoke free policy with the City Attorney. The Board concurred. Vicksburg Crossing Manager Monahan described an air purifier that is used in apartments to contain the smoke. The cost is approximately $600. Housing Program Manager Barnes said Grace Management is purchasing two air purifiers and will test them at Vicksburg Crossing. MOTION by Commissioner Flansburg and seconded by Commissioner Kovach approving a smoking fee in the amount of $1,000 for tenants who smoke at HRA owned buildings. Plymouth Housing and Redevelopment Authority Minutes May 17, 2007 Page 4 Commissioner Stein made a friendly amendment changing the smoking distance from the building to 25'. The last paragraph of the smoking policy will now end with the word immediately. Commissioner Flansburg seconded. Vote: 4 Ayes. MOTION passed. C. Vicksburg Crossing. Review overall project costs and approve Change Orders #6 and #7. Housing Program Manager Barnes provided an overview of the staff report. He explained that the remaining $414,580 can remain in the bond construction account to be used for building improvements or can be transferred to the debt service account and be used to pay the debt service on the bonds. Commissioner Stein asked to be filled in on why there had been a time extension for the building. Commissioner Ludovissie explained the process. MOTION by Commissioner Flansburg, seconded by Commissioner Kovach, approving Change Order Number 6 in the amount of $39,990 and Change Order Number 7 in the amount of $24,532. Vote. 4 Ayes. MOTION approved unanimously. D. Plymouth Towne Square — Aware Roof/Attic Renovation Contract. Housing Program Manager Barnes asked the Board to consider a special meeting to discuss the bids for the Plymouth Towne Square roofing project. Commissioner Ludovissie asked if the bids have been reviewed. Housing Program Manager Barnes said staff is currently reviewing the bids. At this point, AllStar Construction is the lowest bidder. Housing Program Manager Barnes stated that we need to accept the bid provided by the lowest responsible bidder. He said staff had estimated $250,000 to $350,000 for the project, however, others felt it could be $400,000 to $500,000. Commissioner Ludovissie stated his concern is that the repair work will be done right. Housing Program Manager Barnes said the Center for Environmental Energy will be monitoring the work. Commissioner Ludovissie asked when the work would start. Housing Program Manager Barnes replied it could begin as early as July. A special meeting was scheduled for May 31St at 6:00 p.m. 5. ADJOURNMENT The meeting was adjourned at 8:20 P.M.