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Memo- Update on Items for WSMEMO To: Hopkins City Council From: Stacy Unowsky, Public Housing Manager Date: July 8, 2010 Subject: Update on Items for Work session Wait List Closed The one bedroom wait list for Dow Towers remains closed. We anticipate reopening it again in 2011. Currently we have about 150 applicants on the list. Ross Update The local HUD office is completing various forms and related paperwork prior to the final approval and release of the funds for the three year ROSS program grant. We anticipate the funds will be available in August 2010 and our program and staffing changes will occur shortly after hearing the funding is in our electronic banking account. Stimulus Activity and Capital Fund Projects Generator Replacement The generator was replaced in 2009. Landscape Project Work was completed fall 2009 and a few plants were replaced in June 2010 as they did not survive. We also requested additional mulch and maintenance of the irrigation system and that follow up was recently completed as well. Window Replacement A combination of County Stimulus funds and HRA Capital Funds were used to replace all of the apartment windows and common area windows in the hallways, laundry room and office. The project was completed in April 2010. Final payment has been received from the County and all related paperwork requested by County staff and HUD has been completed. Elevator Modernization Minnesota Housing (MHFA) funding in combination with Capital Funds and the proceeds from the sale of 20th Ave land will be utilized in the modernization and code compliance work on the two elevators at Dow Towers. We estimate the total cost for the project at $450,000. Financial Overview The operating subsidy was cut significantly for the 2010 calendar year. The exact amount of subsidy was determined in May of this year. As a result, our proposed budget and related materials will most likely require a revision later this year. The HRA is a strong financial position, however if this trend were to continue some changes related to use of Capital Funds for Operations and routine items may be required. Our staffing levels are comparable to other similar sized I RA's. In relation to administrative staff, we actually have less hours worked than most others with comparable number of units. Unfortunately, due to the significant amount of administrative requirements it is difficult to compare Dow Towers to the private sector. Difficult People and Situations Recently, a number of challenging residents and issues have developed at the property. The federal regulations and the public housing rules are quite specific on how to deal with difficult residents. In addition, the State of Minnesota and Hennepin County Housing Court require a tremendous amount of documentation and steps from the HRA in trying to enforce the lease and public housing policies. We are held to a standard significantly different than other landlords. We do not have the ability to "non -renew" a lease or terminate a lease without serious and repeated lease violations. Staff and our Legal council review problems and make determinations on the strength of a case prior to proceeding with eviction actions. We continue to make every effort we can to provide decent, safe, and secure housing for our residents. Smoke Free Housing Many HRA's in Minnesota have decided to go Smoke Free in recent years. In 2009, HUD issued a notice strongly encouraging HRA's to implement non smoking policies due to business and health concerns. While careful consideration of this issue is necessary a few key facts are worth highlighting: • Units vacated by a smoker are approximately five times as expensive to turnover in comparing costs for painting, cleaning, and overall preparation of the unit • The majority of our renters are non smokers and are experiencing second hand smoke from neighboring units and our HRA staff are routinely exposed to smoke in performing their j ob s Attached with your materials you will find the HUD Notice and an article regarding Secondhand Smoke. These supporting documents illustrate the various perspectives concerning smoke free housing. A detailed packet of materials will also be provided at the work session. Following our discussion, we hope to determine, what if any plans to pursue in relation to Smoke Free Housing at Dow Towers. If you have further questions about any item related to the administration of the program please let me know.