regular 04.18.… · april 18, 2019, 9:00 a.m. – hpha board meeting 1 tel: (808) 832-4694 hawaii...

April 18, 2019, 9:00 a.m. – HPHA Board Meeting 1 Tel: (808) 832-4694

HAWAII PUBLIC HOUSING AUTHORITY NOTICE OF MEETING

REGULAR BOARD OF DIRECTORS MEETING 1002 North School Street, Building A Boardroom

Honolulu, Hawaii 96817 Thursday, April 18, 2019

9:00 a.m.

AGENDA

I. CALL TO ORDER/ESTABLISHING QUORUM

II. PUBLIC TESTIMONY

Public testimony on any item relevant to this agenda shall be taken at this time.Pursuant to section 92-3, Hawaii Revised Statutes, and section 17-2000-18,Hawaii Administrative Rules, the Board may limit public testimony to threeminutes per agenda item.

III. APPROVAL OF MINUTES

A. Regular Meeting Minutes, March 21, 2019B. Executive Session Minutes, December 13, 2018 (not for public

distribution)C. Executive Session Minutes, January 17, 2019 (not for public distribution)D. Executive Session Minutes, February 21, 2019 (not for public distribution)E. Executive Session Minutes, March 21, 2019 (not for public distribution)

IV. DISCUSSION AND/OR DECISION MAKING

A. To Appoint Ms. Joanna Renken to the Hawaii Public Housing Authority’s(HPHA) Federal Eviction Board as a Regular and Floating Board Member,for a Four-Year Term beginning May 1, 2019 and ending April 30, 2023

B. To Adopt the 2019 Utility Allowance Rates for the Hawaii Public HousingAuthority’s (HPHA) Section 8 Housing Choice Voucher Program for thePeriod from July 1, 2019 to June 30, 2020; and to Authorize the ExecutiveDirector to Accept Comments on the Proposed Increased Utility AllowanceRates and Undertake All Actions Necessary to Implement the ProposedIncreased Utility Allowance Rates as Allowed Under Federal Regulations

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C. To Adopt Property Specific Utility Allowance Rates Provided by NationalFacility Consultants for the Fiscal Year July 1, 2019 to June 30, 2020, forthe Federal Low-Income Public Housing Program; To Authorize theExecutive Director to Accept Comments on the Proposed Utility AllowanceRates; and To Authorize the Executive Director to Implement the UtilityAllowance Rates Effective July 1, 2019

D. To Approve the Settlement Agreement in Huynh, Tai v. State of Hawaii,Hawaii Public Housing Authority and to Authorize the Executive Director toTake All Actions Necessary to Carry Out the Agreement

The Board may go into executive session pursuant to Hawaii RevisedStatutes sections 92-4 and 92-5(a)(4) to consult with the Board’s attorneyson questions and issues pertaining to the Board’s powers, duties,privileges, immunities, and liabilities as related to Huynh, Tai v. State ofHawaii, Hawaii Public Housing Authority

E. To Replace the Hawaii Public Housing Authority’s (HPHA) ReasonableAccommodation and Modification Policy (Dated October 18, 2018) toInclude Revisions that Require the HPHA to: 1) Clarify the Rules andProcedures Relating to Air Conditioner Requests as ReasonableAccommodations; 2) Clarify Rules and Procedures Relating to Live-InAides as Reasonable Accommodations; and, 3) Add Keyholder Rules andProcedures for Extra Keys as Reasonable Accommodations; and ToAuthorize the Executive Director to Implement the HPHA’s ReasonableAccommodation and Modification Policy

F. To (1) Suspend the Termination of the Master Development AgreementBetween the Michaels Development Company I, L.P. (“MDC”), and theHawaii Public Housing Authority (“HPHA”) for Revitalization andRedevelopment of Kuhio Park Terrace and Kuhio Homes (RFP No. OED2009-15) (Contract No. PMB 11-02) dated May 2011 (“MDA”), forConvenience for Phases 2 through 11, Previously Approved by the Boardof Directors on September 7, 2017, for up to 120 days; (2) Authorize theExecutive Director to Rescind the Hawaii Public Housing Authority’sTermination Letter dated September 7, 2017; and (3) Authorize theExecutive Director to Re-enter into Negotiations with MichaelsDevelopment Company to Revise and Amend or Enter into a New MasterDevelopment Agreement for the Revitalization and Redevelopment ofKuhio Park Terrace and Kuhio Homes (TMKs 1-3-039-008-0000; 1-3-039-006-0000) for Future Phases; All in Response to the Request from theMichaels Development Company to Withdraw the Termination, datedApril 11, 2019

The Board may go into executive session pursuant to Hawaii Revised Statutes sections 92-4, 92-5(a)(8), and 103D-105 to discuss, deliberate or

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make a decision on information that must be kept confidential, 92-5(a)(3) to deliberate concerning the authority of persons designated by the Board to negotiate the acquisition of public property, and/or 92-5(a)(4) to consult with the Board’s attorneys on questions and issues pertaining to the Board’s powers, duties, privileges, immunities, and liabilities related to the above matter.

G. Update on Redevelopment Projects Mayor Wright Homes (Tax Map Key:1-7-029-003-0000), Kuhio Park Terrace Low Rise/Kuhio Homes (Tax MapKeys 1-3-039-008-0000; 1-3-039-006-0000; and 1-3-039-003-0000) andSchool Street Administrative Offices (Tax Map Key: 1‐6‐009-003-0000)

The Board may go into executive session pursuant to Hawaii Revised Statutes sections 92-4, 92-5(a)(8), and 103D-105 to discuss, deliberate or make a decision on information that must be kept confidential, 92-5(a)(3) to deliberate concerning the authority of persons designated by the Board to negotiate the acquisition of public property, and/or 92-5(a)(4) to consult with the Board’s attorneys on questions and issues pertaining to the Board’s powers, duties, privileges, immunities, and liabilities related to the Redevelopment Projects Mayor Wright Homes, Kuhio Park Terrace Low Rise/Kuhio Homes and HPHA’s School Street Administrative Offices.

V. REPORTS

Executive Director’s Report:

• Financial Report for the Month of February 2019 Financial Report is providedto the board in the monthly packet.

• Report on Contracts Executed During March 2019 and Planned Solicitationsfor April 2019/May 2019 are provided to the Board in the monthly packet. Noformal report is planned.

• Public Housing Occupancy/Vacancy Report; Federal Public Housing; EvictionHearings for the Month of March 2019.

• Obligation and Expenditure Status for Design and Construction ProjectsFunded Under the Federal Capital Fund Program (CFP) and the State CapitalImprovement Program (CIP).

• Section 8 Subsidy Programs Voucher: Voucher Lease-up and PendingPlacements; Update on Rent Supplement Program.

If any person requires special needs (i.e., large print, taped materials, sign language interpreter, etc.) please call Ms. Jennifer Menor at (808) 832-4694 by close of business three days prior to the meeting date. If a request is received after April 15, 2019, the HPHA will try to obtain the auxiliary aid/service or accommodation, but we cannot guarantee that the request will be fulfilled. Meals will be served to the Board and support staff as an integral part of the meeting.

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March 21, 2019, 9:00 a.m. – HPHA Regular Board Meeting 1

HAWAII PUBLIC HOUSING AUTHORITY MINUTES OF THE REGULAR MEETING

HELD AT 1002 NORTH SCHOOL STREET, BUILDING A HONOLULU, HAWAII 96817

ON THURSDAY, MARCH 21, 2019 IN THE CITY AND COUNTY OF HONOLULU, STATE OF HAWAII

The Board of Directors of the Hawaii Public Housing Authority held their Regular Board Meeting at 1002 North School Street, on Thursday, March 21, 2019. At approximately 9:09 a.m., Chairperson Pono Shim called the meeting to order and declared a quorum present. Those present were as follows:

PRESENT: Director Pono Shim, Chairperson Director Jason Espero, Secretary Director Myoung Oh Director George De Mello Director Lisa Darcy Director Denise Iseri-Matsubara

Deputy Attorney General Klemen Urbanc

EXCUSED: Director Alena Medeiros, Vice-Chairperson Director Pankaj Bhanot Director Laura Smith

STAFF PRESENT: Hakim Ouansafi, Executive Director Barbara Arashiro, Executive Assistant Chong Gu, Chief Financial Officer Kevin Auger, Redevelopment Officer Katie Pierce, Section 8 Subsidy Program Branch Chief Robei Broadous, Property Management Branch Chief Becky Choi, State Housing Development Administrator Renee Blondin-Nip, Hearing Officer Nelson Lee, IT Supervisor Benjamin Park, Planner Sarah Beamer, Planner Jennifer Menor, Secretary to the Board

OTHERS PRESENT (and signing in as): Christy Iriguchi, KMH LLP Desiree Kihano, Palolo Valley Homes Andrew Nakoa, Sr., Mayor Wright Homes Jane Faith Scanlan Dela Cruz

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Public Testimony

Chairperson Shim stated that the Board would accept public testimony on any item relevant to the agenda. Pursuant to section 92-3, Hawaii Revised Statutes, and section 17-2000-18, Hawaii Administrative Rules, the Board may limit public testimony to threeminutes per agenda item.

Desiree Kihano, Palolo Valley Homes resident, testified and expressed her appreciation to Benjamin Park (Planner), Kaui Martinez (Resident Services Specialist) and Sarah Beamer (Planner) for their hard work and patience with the tenants with this past Resident Advisory Board (RAB) season.

Chairperson Shim also thanked Ms. Kihano for serving as RAB President.

Approval of Minutes:

Director Espero moved,

To Approve the Regular Meeting Minutes of February 21, 2019

The minutes were unanimously approved.

Chairperson Shim deferred consideration of the Executive Session Minutes of December 13, 2018.

Chairperson Shim deferred consideration of the Executive Session Minutes of January 17, 2019.

Chairperson Shim deferred consideration of the Executive Session Minutes of February 21, 2019.

Discussion and/or Decision Making

Director Oh moved,

To Accept the Single Audit Reports for Fiscal Year July 1, 2017 through June 30, 2018 Conducted by KMH, LLP and to Authorize the Executive Director to Submit the Audit Reports to the Federal Audit Clearinghouse, the U.S. Department of Housing and Urban Development, and Other Interested Parties as Required

Executive Director Ouansafi introduced Ms. Christy Iriguchi, senior auditor with KMH LLP, the independent audit firm hired to audit the HPHA.

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Ms. Iriguchi stated that the financial statement audit was completed in December 2018 and previously adopted by the HPHA’s Board of Directors. KMH LLP recently completed/submitted the single audit/compliance audit. The single audit is an audit of the HPHA’s compliance with applicable federal program rules. The HPHA has two major programs that were audited, the Housing Choice Voucher Program (Section 8) and the Federal Low Rent Public Housing Program. Two reports are issued: the report of the internal control of financial reporting and the report of program compliance. Ms. Iriguchi stated that both reports were unmodified opinions and there were no findings or deficiencies for the HPHA’s programs.

Director Iseri-Matsubara commended HPHA on having no findings and acknowledged their significant efforts.

Ms. Iriguchi further added that HPHA has made tremendous progress and made efforts each year to clean up its processes. In comparison, just a few years ago, there were several compliance findings.

Director Iseri-Matsubara recognized the completion of the audit with no findings as a huge accomplishment.

Executive Director Ouansafi thanked Ms. Iriguchi and all the staff at KMH LLP who worked on the audit for their professionalism.

The motion was unanimously approved.

Chairperson Shim stated that HPHA is starting to prepare the financial budget for next fiscal year and asked for volunteers to be a part of the Financial Task Force to review the proposed Operating Budget for Fiscal Year 2019-2020.

Chairperson Shim appointed Director Laura Smith, Director George De Mello and Director Jason Espero to the HPHA Financial Task Force.

Director De Mello moved,

To Approve the Hawaii Public Housing Authority’s Final Five-Year Public Housing Agency Plan for the Fiscal Years Beginning July 1, 2019 to June 30, 2024, and Annual Public Housing Agency Plan for the Fiscal Year Beginning July 1, 2019 to June 30, 2020, and to Authorize the Executive Director to Take Required Actions to Submit the Approved Plan to the U.S. Department of Housing and Urban Development

Executive Director Ouansafi reported that the Public Housing Agency (PHA) Five-Year and Annual Plan is a requirement of QHWRA and HERA for funding. Public hearing notices on the draft PHA revised Five-Year and Annual Plan were published in the Honolulu Star-Advertiser, The Garden Island, The Maui News, West Hawaii Today and Hawaii Tribune Herald on January 18, 2019. Meetings with the RAB on the draft PHA

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plan concluded in March 2019. There were no significant changes to the plan as a result of comments received at the public hearings.

Director Iseri-Matsubara referred to Goal 1, Objective 1b (increase voucher utilization to no less than 60% of available section 8 housing choice vouchers) and asked if the number is low as she seems to recall it being in the 80% range a few years ago.

Executive Director Ouansafi reported that HPHA receives money budgeted by HUD for the Housing Choice Voucher Program. Voucher counts will decrease when payment standards increase. The issuance of Housing Choice Vouchers is also affected by the rental market, which dictates how many vouchers can be funded, and amount of additional vouchers that HPHA requests and receives.

Director Iseri-Matsubara asked if 100% wasn’t used, the maximum HPHA receives the following year be what was used the prior year.

Executive Director Ouansafi confirmed that future year funding is based on current year expenditures, not on voucher count. He stated that HPHA will over-issue vouchers so the budget amount doesn’t drop the following year.

Executive Director Ouansafi reported that years ago, HPHA was issuing 80% of the funds. The 60% utilization is in reference to the voucher count. Currently, the total authorized voucher count for HPHA is 3,875 and 60% utilization brings HPHA to approximately 2,400 issued vouchers.

Director Iseri-Matsubara asked whether funding to cover the overutilization is coming out of program savings.

Executive Director Ouansafi responded that the over issuance of vouchers funded from program reserves.

Chairperson Shim added that if Congress allocates a certain amount of funding to the different departments and the money isn’t used, Congress may pull back on the funding. However, if departments can show that they use and exceed the funding received, it will show that the department could use more, then Congress could issue more. So, when HPHA dips into their administrative funds, it also communicates that more funding is needed.

Director Iseri-Matsubara asked for more clarification on whether the HUD program is issuing more monies or is HPHA using their reserves.

Executive Director Ouansafi clarified that HPHA uses additional funding from its reserves and at the end of the year, HUD will look at the funding that was used and will provide funds at that level in the following year. He confirmed that HUD is increasing the allotment as HPHA continues to use the funds to issue more vouchers.

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Director Iseri-Matsubara referred to Goal 3 (demand for housing: targeted assistance to families at or below 30% of median income) to exceed federal targeting requirements and asked what are HPHA’s current targets.

Executive Director Ouansafi explained that HPHA targets a minimum of 50% families that are at or below 30% of median income. HPHA wants to go beyond HUDs minimum mandate and serve more families who are financially at or below 30% of the Area Median Income.

Director Iseri-Matsubara referred to Goal 7, Objective 7h (improving the quality of assisted housing: expand the supply of assisted housing by reducing the amount of public housing vacancies, not to exceed an adjusted vacancy rate of no more than 2%) and asked if the net effect is 0 units, 0 increase.

Executive Director Ouansafi stated that to earn 100% of funding, HUD mandates that unit occupancy be at 98% or more, which includes not only units occupied by tenants, but also those vacant and under modernization. HPHA’s goal is a net gain of 0.

Director Iseri-Matsubara expressed that one of the HPHA’s biggest achievements is the improvement in the turnaround time on vacant unit renovations.

Executive Director Ouansafi reported that the turnaround time is still approximately 7 business days for repair and maintenance of vacant units. Construction and complete renovation takes longer.

Director Darcy recognized and expressed her appreciation to the HPHA staff for their continuing hard work.

Executive Director Ouansafi stated that he will extend the positive feedback to the HPHA staff.


Chairperson Shim clarified that in regards to the appointment of the Financial Task Force, “two or more members less than quorum may be assigned to investigate a matter relating to the official business of the Board and to establish the scope of the investigation and the scope of each member’s authority are defined at a meeting of the Board. All resulting findings and recommendations are presented to the Board at a meeting of the Board and deliberation and decision making on the matter investigated if any occurs only at a duly notice meeting of the Board held subsequently to the meeting at which the findings and recommendations of the investigation were presented to the Board”.

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To: (1) Repeal of Chapter 181 of Title 15, Hawai'i Administrative Rules (HAR), entitled "Resident Advisory Board"; (2) Adopt Proposed New Chapter 2032 of Title 17, HAR, entitled "Resident Advisory Board", which is Substantially Based on Chapter 15-181, HAR, and includes: (a) Changing Title Numbers from Title 15, HAR, to Title 17, HAR;

Changing Subtitle Numbers from Subtitle 14, HAR, to Subtitle 5, HAR; and Changing Chapter Numbers from Chapter 181, HAR, to Chapter 2032, HAR;

(b) Changing the State Department to Which HPHA is Administratively Attached from the Department of Business, Economic Development and Tourism to the Department of Human Services;

(c) Changing Certain Subchapter titles; (d) Amending the Definitions in Section 17-2032-2 to Add “Rental

Agreement”; (e) Section 17-2032-21, HAR [Resident advisory board]:

i. Specifying That all RAB Expenses Shall Be Part of an Approved Budget, and Expenditures Shall Require Prior Written Approval by the Executive Director for Clarity;

ii. Clarifying that the Minimum Number of Members to Serve on the RAB Shall be Nine and the Number of Representatives Required From Each Geographic Area;

iii. Clarifying that the HPHA Shall Appoint Resident Councils or Representatives to Serve on the RAB, Consistent with 24 C.F.R. 903.13(b)(2);

(f) Removing Completely Old Section 15-181-42 [Executive meetings] in its Entirety From New Chapter 17-2032;

(g) Section 17-2032-43, HAR [Agenda]: Clarifying the Content of the RAB Agenda;

(h) Section 17-2032-61, HAR [Nominees for public resident member for the authority’s board of directors]: Specifying a Minimum and Maximum Number of RAB Nominees for the Public Resident Member of the HPHA Board of Directors, and the Qualifications of a Nominator of the Public Resident Member of the HPHA Board of Directors;

(i) Section 17-2032-62, HAR [Recommendation of the resident advisory board]: Specifying a Minimum and Maximum Number of RAB Nominees for the Public Resident Member of the HPHA Board of Directors, and clarifying that the Governor May Select and Appoint the Resident Member for the Board of Directors from the List Submitted; and

(j) Other Non-Substantive Revisions to Comply with the Procedures Set Forth in Chapter 91, HRS, Hawaii Administrative Rules Drafting Manual, and for the Purposes of Clarity; and

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(3) Authorize the Executive Director to Take Required Actions to Submit the Repeal and Adoption of These Rules to the Governor of the State of Hawaii for Approval.

Executive Director Ouansafi reported that under Act 196 the HHFDC and HPHA were bifurcated into two separate agencies. After the split, certain administrative rules remained under the Department of Business, Economic Development and Tourism (DBEDT) chapter and others were transferred to the Department of Human Services (DHS). This action is to move the Resident Advisory Board rules to the Department of Human Services. On March 5, 2019, the Small Business Regulatory Review Bard concurred that the proposed repeal and adoption of these draft rules do not have any impact on small business. Executive Director Ouansafi reported that HPHA held public hearings and received 2 comments which didn’t warrant any substantive changes. HPHA made additional non-substantive revisions to correct formatting.

The motion was unanimously approved. For Information:

Update on Redevelopment Projects Mayor Wright Homes (Tax Map Key: 1-7-029-003-0000), Kuhio Park Terrace Low Rise/Kuhio Homes (Tax Map Keys 1-3-039-008-0000; 1-3-039-006-0000; and 1-3-039-003-0000) and School Street Administrative Offices (Tax Map Key: 1‐6‐009-003-0000)

Executive Director Ouansafi reported the following: • Mayor Wright Homes (MWH): HPHA met with the Hunt working team and re-

expressed concerns with the proposed plans. Hunt understands the HPHA’s concerns, and HPHA is hopeful that they will be moving forward.

• Rental Assistance Demonstration (RAD): HPHA is in discussions with HUD on whether the Agency should give the CHAP back until they are ready for a RAD conversion. (CHAP is a Commitment to Enter into a Housing Assistance Payments Contract.)

Director Iseri-Matsubara requested that a workshop on the financing alternatives. She agrees that there’s some major concerns about general funds paying for commercial space and the market units and some of the affordable units as well. Executive Director Ouansafi confirmed that an update will be given to the Board. Chairperson Shim requested that once the proforma is made available, he would like a workshop on financing alternatives.

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Director Iseri-Matsubara asked the Executive Director to expand on his comment on the RAD and returning a check. Executive Director Ouansafi stated that when applied for RAD conversion, after their review HUD issued a CHAP to proceed. He stated that once a CHAP is issued, the development will only have a limited time to hold onto it by showing progress and timely project. Returning the CHAP is not necessarily a problem, as HUD has more available and there is an “appetite” for mixed finance redevelopment. Returning the CHAP would allow greater transparency for HUD on HPHA’s partners. He clarified that this isn’t a financial check. • School Street: No legislative hearing was scheduled for the land transfer which is

subject to disapproval. HPHA and RHF have been working on the Master Development Agreement (MDA) and anticipates it to be completed with HPHA’s redline before the next Board meeting.

• Kuhio Park Terrace (KPT) Low Rise/Kuhio Homes: HPHA submitted the termination letter and a RFQ will be ready to go at any time.

Director Oh asked if HPHA is unable to proceed until the Michaels Group accepts the termination agreement. Executive Director Ouansafi stated that HPHA is able to proceed, however, the HPHA received an email from Michaels Development Group that he would like to share with the Board and consult on with the attorneys. Executive Director Ouansafi requested to go into executive session to discuss further. Director Oh moved,

The Board go into executive session pursuant to Hawaii Revised Statutes sections 92-4, 92-5(a)(8), and 103D-105 to discuss, deliberate or make a decision on information that must be kept confidential, 92-5(a)(3) to deliberate concerning the authority of persons designated by the Board to negotiate the acquisition of public property, and/or 92-5(a)(4) to consult with the Board’s attorneys on questions and issues pertaining to the Board’s powers, duties, privileges, immunities, and liabilities related to the Redevelopment Projects Mayor Wright Homes, Kuhio Park Terrace Low Rise/Kuhio Homes and HPHA’s School Street Administrative Offices.

The Board entered Executive Session at approximately 9:55 a.m. The Board reconvened at approximately 10:07 a.m. Chairperson Shim reported that the Board consulted with its attorney on issues pertaining to the Board’s powers, duties, privileges, immunities, and liabilities to discuss, deliberate, and make a decision on information that must be kept confidential regarding Kuhio Park Terrace Low Rise/Kuhio Homes.

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Director Iseri-Matsubara stated she looks forward to settling this, as it’s been about ten years since the redevelopment for KPT first began. She thanked HPHA for all of their work on this. Executive Director’s Report: Executive Director Ouansafi reported the following regarding the 2019 legislative session:

• HB 365 - This bill gives veto power to the DHS Director regarding personnel matters.

Bill isn’t scheduled to be heard yet.

• HB 453 – Relating to Public Lands. This bill would exempt the HPHA from the definition of public lands. The bill did not make it out of committee, however, the HPHA was working with the legislature to find a way to keep the intent of the bill alive.

Chairperson requested a quick recess from 10:15 a.m. to 10:16 a.m. (Executive Director Ouansafi left at 10:16 a.m. for legislative hearings.) • Executive Assistant Arashiro reported on the expenditures for the end of the year.

All of the Branches and Property Managers are working on the proposed operating budget for FY 2019-2020 and are on track to submit the proposed budget to the Financial Task Force in May.

• Executive Assistant Arashiro reported that HPHA’s focus has shifted a little from

repair of vacant units to repair of occupied units. • HPHA is also working on lead-based paint inspections. While the majority of

properties tested negative for lead-based paint, Executive Director Ouansafi may want to still test a larger percentage of units, particularly the units with children.

• In regards to Section 8, Executive Assistant Arashiro commended S8 Branch Chief

Katie Pierce on quality control and credited her efforts to conduct file reviews with the lack of audit findings for the program.

• For the Rent Supplement Program, the HPHA will be able to fund all families due to

assistance from the Governor’s office and a transfer of funds from DHS. Katie Pierce and Chief Financial Officer Chong Gu are monitoring expenditures every month to ensure HPHA has adequate funds available.

• Executive Assistant Arashiro thanked Chong Gu for heading the audit. She

explained that the HPHA is one of very few agencies that have fiscal staff capable of preparing the financial statements.

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To Adjourn the Meeting


The meeting adjourned at 10:23 a.m.

MINUTES CERTIFICATION:

Minutes Prepared by:

_____________________________________________ _________________________ Jennifer K. Menor Date Secretary to the Board

Approved by the Hawaii Public Housing Authority Board of Directors at their Regular Meeting on April 18, 2019 [ ] As Presented [ ] As Amended

_____________________________________________ _________________________ Director Jason Espero Date Board Secretary

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For Action – April 18, 2019 Page 3 of 3

Attachment A

FEDERAL AND STATE EVICTION MEMBER ROSTER HAWAII PUBLIC HOUSING AUTHORITY

Initial Current Years Served Appointment Expiration Board Member Date Date ____ Federal Oahu A: Radiant Chase 01/25/02 07/31/21 15 Wanda Camara*** 12/19/13 12/31/19 4 Chunmay Chang 11/01/13 11/30/19 4 Federal Oahu B: Earl Mente 12/19/97 07/31/21 20 Joyce Nakamura 02/20/98 07/31/21 19 Jerry Ballard*** 09/30/16 09/30/20 2 Federal Oahu C: Clyde Namu’o** 08/18/16 08/31/20 2 Sylvia Wilmeth 11/18/10 11/30/20 7 Judy Hui Hui*** 07/01/18 06/30/22 New Federal Hilo: Jodie Aiona*** 02/29/16 02/28/20 2 Jennifer DelaCruz 02/29/16 02/28/20 2 Keith Biho 04/30/17 04/30/21 1 Federal Kauai: Fay Rapozo 10/10/13 10/31/21 5 Arde Long-Yamashita 02/01/08 02/01/20 10 Lani Laloulu*** 09/01/18 08/30/22 New Federal Kona: Arleila Andrade 09/15/10 09/30/20 7 Mary Hoffman* 10/10/13 10/31/21 5 Federal Maui: Malia Ah Nee* 12/19/18 12/19/22 New Robert G. Hill 03/01/08 02/28/20 10 Mark Nishino 03/01/15 03/31/21 11 Patrice Matsumoto 02/01/18 01/01/22 New State Eviction Board Sylvianne Young 09/01/18 08/30/22 New Douglas Kaya 09/01/18 08/30/22 New George W. Smith, Jr* 09/01/18 08/30/22 New * Resident Board Member, ** Floating Regular Board Member *** Floating Resident Board Member (Revised 03/28/19)

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Pages 17-23 were removed because they contained confidential information.


II. DISCUSSION

A. As required by the program regulations, HPHA annually reviews the utility allowance schedule to determine whether the allowances are required to be adjusted for changes in local utility rates. HPHA is required to adjust the utility allowances if the utility rate changes by 10% or more since the last revision of the schedule.

B. HPHA performed a review of the existing utility allowances in 2019 and

the rates increased more than 10%, therefore, HPHA projects a small increase in expenses as the utility allowance schedule increased in 2019.

C. Due to the increase in the utility allowances, the family’s rent portion will be reduced, providing a benefit to the participant.

D. The chart below reflects the proposed utility allowances for all electric by

dwelling type and bedroom size. Rates have increased between $12 - $33 depending on the unit type/size.

All Electric Current Current Current Current Current Current 0 BR 1 BR 2 BR 3 BR 4 BR 5 BR Single Family House $86 $99 $130 $166 $198 $223 Duplex $86 $99 $130 $166 $198 $223 Townhouse $86 $100 $130 $167 $198 $223 High-rise $86 $99 $130 $166 $198 $223 Low-rise $85 $99 $129 $166 $197 $222

E. The Utility Allowance Schedule will be effective July 1, 2019.

(End of Section)

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allowances for tenant-purchased utilities, based on a survey conducted in 2013 (which is updated annually) using the current utility rates.

II. DISCUSSION

A. NFC worked with HPHA to obtain actual utility charges from the utilitycompanies for each property to use in their calculations of the updatedutility allowance rates. NFC determined the new utility allowance rateadjustment for each property.

B. The attached charts by specific properties shows that some allowanceshave remained the same, others either decreased or increased due tofluctuating utility rate charges.

C. The sample chart below shows that the utility allowance for a two-bedroomtenant-paid electric will increase by $17.00, which means the tenantportion of their rent to HPHA will decrease by $17.00.

Example: AMP 30, Puuwai Momi

A tenant whose total tenant payment (TTP) is determined to be $300.00 per month, will have this amount reduced by the allowable utility amount as shown:

Total Tenant Payment $300.00 Utility Allowance - 125.00Payment to HPHA $175.00

D. The HPHA will work with Hawaii Energy’s Community Outreach Programto provide energy efficiency workshops at public housing projectsthroughout the State of Hawaii to encourage families to implement energyconservation measures (use of incandescent bulbs, adding timers, use ofpower strips to eliminate waste, etc.) which will help to reduce their utilityconsumption and cost.

E. The HPHA will provide notification of the proposed changes in utility

Project Electric kwh Total Total Utility 2019 Allowance

2018 Allowance Basic Cooking Ind HW Electric

1 bdrm 47.18 22.05 24.69 $93.92 $93.92 $94.00 $81.00

2 bdrm 53.21 22.05 49.36 $124.62 $124.62 $125.00 $108.00

3 bdrm 59.37 27.05 74.05 $160.47 $160.47 $160.00 $140.00

4 bdrm 66.86 27.05 98.75 $192.66 $192.66 $193.00 $168.00

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1as of 4/12/2019

AMP Project Customer ChargeElectric Basic

kwhCooking Solar

Total Electric

Customer Charge

SNG Cooking

Therms Indiv WH

LPN Cooking

Therms Indiv WH

Total GAS

Total Utility

2019 Allow

2018 Allow

Diff 2019 & 2018

Ind WH Ind Solar Ind HP30 HI001026 Puuwai Momi

48 1 bedroom incl. basic 47.18 22.05 24.69 $93.92 $93.92 $94 $81 1386 2 bedroom incl. basic 53.21 22.05 49.36 $124.62 $124.62 $125 $108 1788 3 bedroom incl. basic 59.37 27.05 74.05 $160.47 $160.47 $160 $140 2038 4 bedroom incl. basic 66.86 27.05 98.75 $192.66 $192.66 $193 $168 25

HI001027 Hale Laulima20 2 bedroom incl. basic 59.42 22.05 13.35 $94.82 $94.82 $95 $82 1316 3 bedroom incl. basic 65.28 27.05 22.17 $114.50 $114.50 $115 $99 16

HI001066 Salt Lake28 1 bedroom incl. basic 61.45 22.05 49.36 $132.86 $132.86 $133 $116 17

HI001038 Waipahu I13 2 bedroom incl. basic 53.55 22.05 $75.60 $75.60 $76 $65 116 3 bedroom incl. basic 59.93 27.05 $86.98 $86.98 $87 $75 12

HI001039 Waipahu II16 2 bedroom incl. basic 55.91 22.05 $77.96 $77.96 $78 $67 114 3 bedroom incl. basic 59.71 27.05 $86.76 $86.76 $87 $75 12

31 HI001005 Kalihi Valley HomesNon-Mod Units

24 1 bedroom incl. basic 48.27 22.05 24.69 $95.01 $95.01 $95 $82 1328 2 bedroom incl. basic 55.20 22.05 49.36 $126.61 $126.61 $127 $110 1755 3 bedroom incl. basic 60.57 27.05 74.05 $161.67 $161.67 $162 $141 2152 4 bedroom incl. basic 67.50 27.05 98.75 $193.30 $193.30 $193 $169 2412 5 bedroom incl. basic 68.35 27.05 123.42 $218.82 $218.82 $219 $191 28

Mod Units28 1 bedroom incl. basic 57.10 22.05 8.81 $87.96 $87.96 $88 $76 1232 2 bedroom incl. basic 64.25 22.05 13.35 $99.65 $99.65 $100 $86 1468 3 bedroom incl. basic 72.47 27.05 22.17 $121.69 $121.69 $122 $106 1660 4 bedroom incl. basic 83.80 27.05 31.11 $141.96 $141.96 $142 $124 1814 5 bedroom incl. basic 84.76 27.05 40.06 $151.87 $151.87 $152 $132 20

32 HI001003 Mayor Wright Homes24 1 bedroom incl. basic 50.60 $50.60 $50.60 $51 $43 8

114 2 bedroom incl. basic 57.46 $57.46 $57.46 $57 $49 8168 3 bedroom incl. basic 63.94 $63.94 $63.94 $64 $55 950 4 bedroom incl. basic 73.52 $73.52 $73.52 $74 $64 108 5 bedroom incl. basic 73.93 $73.93 $73.93 $74 $64 10

33 HI001009 Kaahumanu Homes116 2 bedroom incl. basic 58.28 $58.28 incl cooking 32.62 60.18 $92.80 $151.08 $151 $116 3536 3 bedroom incl. basic 64.66 $64.66 incl cooking 37.63 83.16 $120.79 $185.45 $186 $142 44

HI001099 Kamehameha Homes62 1 bedroom incl. basic 51.58 $51.58 incl cooking 32.62 37.61 $70.23 $121.81 $122 $98 24

123 2 bedroom incl. basic 57.27 $57.27 incl cooking 32.62 60.18 $92.80 $150.07 $150 $120 3036 3 bedroom incl. basic 65.47 $65.47 incl cooking 37.63 83.16 $120.79 $186.26 $186 $148 38

34 HI001062 Kalakaua Homes high rise123 1 bedroom incl. basic 52.68 22.05 $74.73 $74.73 $75 $65 10

HI001062 Kalakaua Homes low rise4 1 bedroom incl. basic 48.54 22.05 $70.59 $70.59 $71 $61 10

58 2 bedroom incl. basic 55.30 22.05 $77.35 $77.35 $77 $67 1036 3 bedroom incl. basic 61.65 27.05 $88.70 $88.70 $89 $77 12

35

2as of 4/12/2019


kwhCooking Solar

Total Electric

Customer Charge

SNG Cooking

Therms Indiv WH

LPN Cooking

Therms Indiv WH

Total GAS

Total Utility

2019 Allow

2018 Allow

Diff 2019 & 2018

Ind WH Ind Solar Ind HP35 HI001073 Spencer House

1 2 bedroom incl. basic 56.65 $56.65 $56.65 $57 $49 816 3 bedroom incl. basic 62.10 $62.10 $62.10 $62 $53 9

37 HI001004 Lanakila Homes I6 1 bedroom incl. basic 56.37 $56.37 incl cooking 26.87 28.03 $54.90 $111.27 $111 $118 -7

14 2 bedroom incl. basic 64.46 $64.46 incl cooking 26.87 44.85 $71.72 $136.18 $136 $141 -518 3 bedroom incl. basic 73.00 $73.00 incl cooking 30.61 61.99 $92.60 $165.60 $166 $173 -74 4 bedroom incl. basic 82.11 $82.11 incl cooking 30.61 78.81 $109.42 $191.53 $192 $201 -9

HI001013 Lanakila Homes II2 1 bedroom incl. basic 57.34 $57.34 incl cooking 26.87 28.03 $54.90 $112.24 $112 $116 -4


HI001028 Punahele Homes30 2 bedroom incl. basic 65.86 $65.86 incl cooking 26.87 44.85 $71.72 $137.58 $138 $143 -5

HI001097 Kauhale O'Hanakahi20 3 bedroom incl. basic 73.12 $73.12 30.61 61.99 $92.60 $165.72 $166 $173 -7

HI001104 Lanakila Homes IV2 1 bedroom incl. basic 57.60 $57.60 incl cooking 26.87 28.03 $54.90 $112.50 $113 $116 -3


HI001105 Lanakila Homes IIIAADA Units

4 1 bedroom (ADA units) incl. basic 56.00 24.78 $80.78 7.01 $7.01 $87.79 $88 $89 -16 2 bedroom (ADA units) incl. basic 64.09 24.78 $88.87 11.21 $11.21 $100.08 $100 $102 -24 3 bedroom (ADA units) incl. basic 71.20 30.40 $101.60 15.50 $15.50 $117.10 $117 $120 -3

Lanakila Homes IIIA6 2 bedroom incl. basic 64.09 $64.09 incl cooking 26.87 11.21 $38.08 $102.17 $102 $104 -2

38 HI001018 Kapaa6 1 bedroom incl. basic 57.86 $57.86 $57.86 $58 $54 48 2 bedroom incl. basic 66.87 $66.87 $66.87 $67 $62 5


HI001020 Eleele Homes2 1 bedroom incl. basic 57.47 $57.47 $57.47 $57 $54 36 2 bedroom incl. basic 65.50 $65.50 $65.50 $66 $61 5


HI001021 Hui O Hanamaulu6 1 bedroom incl. basic 57.50 $57.50 $57.50 $58 $54 4

12 2 bedroom incl. basic 66.37 $66.37 $66.37 $66 $62 416 3 bedroom incl. basic 73.18 $73.18 $73.18 $73 $68 512 4 bedroom incl. basic 82.75 $82.75 $82.75 $83 $77 6

HI001022 Kalaheo2 2 bedroom incl. basic 67.45 $67.45 $67.45 $67 $63 44 3 bedroom incl. basic 73.70 $73.70 $73.70 $74 $68 62 4 bedroom incl. basic 78.65 $78.65 $78.65 $79 $73 6 36

3as of 4/12/2019


kwhCooking Solar

Total Electric

Customer Charge

SNG Cooking

Therms Indiv WH

LPN Cooking

Therms Indiv WH

Total GAS

Total Utility

2019 Allow

2018 Allow

Diff 2019 & 2018

Ind WH Ind Solar Ind HPHI001064 Kekaha Ha'aheo

42 1 bedroom incl. basic 58.96 $58.96 incl cooking 26.56 $26.56 $85.52 $86 $79 712 2 bedroom incl. basic 67.83 $67.83 incl cooking 26.56 $26.56 $94.39 $94 $87 724 3 bedroom incl. basic 76.63 $76.63 incl cooking 30.22 $30.22 $106.85 $107 $99 8

HI001086 Kawailehua - Federal25 3 bedroom incl. basic 78.80 $78.80 incl cooking 30.22 60.82 $91.04 $169.84 $170 $158 12

39 HI001016 David Malo Circle2 1 bedroom incl. basic 48.97 26.00 $74.97 $74.97 $75 $65 104 2 bedroom incl. basic 57.37 26.00 $83.37 $83.37 $83 $72 11

10 3 bedroom incl. basic 63.65 31.90 $95.55 $95.55 $96 $83 132 4 bedroom incl. basic 72.02 31.90 $103.92 $103.92 $104 $90 14

HI001017 Kahekili Terrace12 1 bedroom incl. basic 55.69 $55.69 incl cooking $55.69 $56 $49 722 2 bedroom incl. basic 65.84 $65.84 incl cooking $65.84 $66 $57 936 3 bedroom incl. basic 74.04 $74.04 incl cooking $74.04 $74 $64 1012 4 bedroom incl. basic 81.92 $81.92 incl cooking $81.92 $82 $71 11

HI001088 Kahale Mua - FederalNon-Mod Units

7 3 bedroom incl. basic 77.32 $77.32 incl cooking 30.64 62.07 $92.71 $170.03 $170 $152 18Kahale Mua - Federal

Mod Units18 3 bedroom incl. basic 84.45 $84.45 incl cooking 27.89 57.27 $85.16 $169.61 $170 $158 12

HI001092 Makani Kai Hale25 3 bedroom incl. basic 76.38 $76.38 $76.38 $76 $66 10

HI001097 Makani Kai Hale II4 3 bedroom incl. basic 76.38 $76.38 $76.38 $76 $66 10

40 HI001007 Kuhio Homes20 1 bedroom incl. basic 46.96 $46.96 $46.96 $47 $40 732 2 bedroom incl. basic 53.88 $53.88 $53.88 $54 $46 837 3 bedroom incl. basic 59.37 $59.37 $59.37 $59 $51 837 4 bedroom incl. basic 67.08 $67.08 $67.08 $67 $58 98 5 bedroom incl. basic 68.73 $68.73 $68.73 $69 $59 10

43 HI001053 Hale Hookipa20 0 bedroom incl. basic 50.72 24.78 $75.50 $75.50 $76 $76 012 1 bedroom incl. basic 50.77 24.78 $75.55 $75.55 $76 $76 0

HI001032 Kaimalino10 1 bedroom incl. basic 52.89 $52.89 $52.89 $53 $53 014 2 bedroom incl. basic 61.18 $61.18 $61.18 $61 $62 -114 3 bedroom incl. basic 66.15 $66.15 $66.15 $66 $67 -12 4 bedroom incl. basic 72.32 $72.32 $72.32 $72 $73 -1

HI001061 Ka Hale Kahaluu8 1 bedroom incl. basic 53.82 24.78 $78.60 $78.60 $79 $80 -1

12 2 bedroom incl. basic 61.36 24.78 $86.14 $86.14 $86 $87 -122 3 bedroom incl. basic 69.07 30.40 $99.47 $99.47 $99 $101 -28 4 bedroom incl. basic 76.61 30.40 $107.01 $107.01 $107 $109 -2

HI001063 Nani Olu (E)32 1 bedroom incl. basic 52.30 24.78 27.76 $104.84 $104.84 $105 $106 -1

37

4as of 4/12/2019


kwhCooking Solar

Total Electric

Customer Charge

SNG Cooking

Therms Indiv WH

LPN Cooking

Therms Indiv WH

Total GAS

Total Utility

2019 Allow

2018 Allow

Diff 2019 & 2018

Ind WH Ind Solar Ind HPHI001070 Kealakehe

16 1 bedroom incl. basic 54.91 24.78 $79.69 $79.69 $80 $81 -116 2 bedroom incl. basic 62.57 24.78 $87.35 $87.35 $87 $89 -216 3 bedroom incl. basic 68.99 30.40 $99.39 $99.39 $99 $101 -2

44 HI001033 Maili I7 2 bedroom incl. basic 58.76 22.05 13.35 $94.16 $94.16 $94 $82 12

13 3 bedroom incl. basic 64.35 27.05 22.17 $113.57 $113.57 $114 $99 15HI001035 Nanakuli Homes

36 3 bedroom incl. basic 72.45 27.05 22.17 $121.67 $121.67 $122 $106 16HI001057 Waimaha-Sunflower F-G (former Phase I)

8 1 bedroom incl. basic 48.14 22.05 24.69 $94.88 $94.88 $95 $82 136 2 bedroom incl. basic 54.48 22.05 49.36 $125.89 $125.89 $126 $109 178 3 bedroom incl. basic 60.08 27.05 74.05 $161.18 $161.18 $161 $140 21

HI001057 Waimaha-Sunflower (former Phase II)32 1 bedroom incl. basic 50.15 22.09 8.81 $81.05 $81.05 $81 $70 1116 2 bedroom incl. basic 57.97 22.05 13.35 $93.37 $93.37 $93 $81 12

HI001057 Waimaha-Sunflower A-E (former Phase III)12 1 bedroom incl. basic 51.52 22.05 8.81 $82.38 $82.38 $82 $71 1124 2 bedroom incl. basic 60.47 22.05 13.35 $95.87 $95.87 $96 $83 1324 3 bedroom incl. basic 65.18 27.05 22.17 $114.40 $114.40 $114 $99 15

HI001091 Kau'iokalani50 3 bedroom incl. basic 63.60 $63.60 incl cooking 37.63 83.16 $120.79 $184.39 $184 $146 38

HI001108 Maili II12 2 bedroom incl. basic 65.23 22.05 13.35 $100.63 $100.63 $101 $87 1412 4 bedroom incl. basic 84.36 27.05 31.11 $142.52 $142.52 $143 $124 19

45 HI001025 Waimanalo Homes 6 2 bedroom incl. basic 68.45 $68.45 incl cooking 42.02 88.79 $130.81 $199.26 $199 $188 11

10 3 bedroom incl. basic 75.28 $75.28 incl cooking 49.41 121.94 $171.35 $246.63 $247 $235 123 4 bedroom incl. basic 81.86 $81.86 incl cooking 49.41 155.66 $205.07 $286.93 $287 $274 13

HI001030 Koolau Village8 1 bedroom incl. basic 54.57 $54.57 incl cooking 42.02 55.07 $97.09 $151.66 $152 $143 9

24 2 bedroom incl. basic 62.15 $62.15 incl cooking 42.02 88.79 $130.81 $192.96 $193 $183 1036 3 bedroom incl. basic 71.98 $71.98 incl cooking 49.41 121.94 $171.35 $243.33 $243 $232 1112 4 bedroom incl. basic 78.38 $78.38 incl cooking 49.41 155.66 $205.07 $283.45 $283 $271 12

HI001069 Kaneohe Apartments5 1 bedroom incl. basic 52.29 22.05 24.69 $99.03 $99.03 $99 $86 13

19 2 bedroom incl. basic 58.91 22.05 49.36 $130.32 $130.32 $130 $113 17HI001072 Hookipa Kahaluu

8 1 bedroom incl. basic 49.36 22.05 24.69 8.81 $104.91 $104.91 $105 $91 1432 2 bedroom incl. basic 54.20 22.05 49.36 13.35 $138.96 $138.96 $139 $121 1816 3 bedroom incl. basic 61.88 27.05 74.05 22.17 $185.15 $185.15 $185 $161 24

HI001090 Kauhale O'Hana25 3 bedroom incl. basic 67.62 $67.62 incl cooking 37.63 83.16 $120.79 $188.41 $188 $150 38

HI001107 Waimanalo Homes II14 2 bedroom incl. basic 68.45 $68.45 incl cooking 42.02 88.79 $130.81 $199.26 $199 $188 117 3 bedroom incl. basic 75.28 $75.28 incl cooking 49.41 121.94 $171.35 $246.63 $247 $235 121 4 bedroom incl. basic 81.86 $81.86 incl cooking 49.41 155.66 $205.07 $286.93 $287 $274 13

38

5as of 4/12/2019


kwhCooking Solar

Total Electric

Customer Charge

SNG Cooking

Therms Indiv WH

LPN Cooking

Therms Indiv WH

Total GAS

Total Utility

2019 Allow

2018 Allow

Diff 2019 & 2018

Ind WH Ind Solar Ind HP46 HI001071 Noelani I

7 1 bedroom incl. basic 53.70 $53.70 incl cooking 26.87 7.01 $33.88 $87.58 $88 $89 -112 2 bedroom incl. basic 61.36 $61.36 incl cooking 26.87 11.21 $38.08 $99.44 $99 $102 -3

HI001078 Noelani II24 3 bedroom incl. basic 69.29 $69.29 incl cooking 30.61 9.30 $39.91 $109.20 $109 $112 -3

HI001097 Ke Kumu 'Ekolu20 3 bedroom incl. basic 72.37 $72.37 incl cooking 30.61 9.30 $39.91 $112.28 $112 $115 -3

49 HI001015 Wahiawa TerraceNon-Mod Units

9 1 bedroom incl. basic 49.49 $49.49 incl cooking 42.02 $42.02 $91.51 $92 $83 912 2 bedroom incl. basic 56.69 $56.69 incl cooking 42.02 $42.02 $98.71 $99 $89 1018 3 bedroom incl. basic 63.14 $63.14 incl cooking 49.41 $49.41 $112.55 $113 $102 116 4 bedroom incl. basic 69.14 $69.14 incl cooking 49.41 $49.41 $118.55 $119 $108 11

Wahiawa TerraceMod Units

3 1 bedroom incl. basic 55.70 $55.70 incl cooking 42.02 $42.02 $97.72 $98 $88 105 2 bedroom incl. basic 61.20 $61.20 incl cooking 42.02 $42.02 $103.22 $103 $93 106 3 bedroom incl. basic 72.37 $72.37 incl cooking 49.41 $49.41 $121.78 $122 $110 121 4 bedroom incl. basic 77.35 $77.35 incl cooking 49.41 $49.41 $126.76 $127 $115 12

HI001056 Kauhale Nani14 1 bedroom incl. basic 49.15 $49.15 incl cooking 42.02 55.07 $97.09 $146.24 $146 $138 916 2 bedroom incl. basic 56.64 $56.64 incl cooking 42.02 88.79 $130.81 $187.45 $187 $178 920 3 bedroom incl. basic 62.03 $62.03 incl cooking 49.41 121.94 $171.35 $233.38 $233 $223 10

50 HI001008 Palolo Homes Non-Mod Units

8 1 bedroom incl. basic 45.66 24.69 $70.35 incl cooking 32.62 $32.62 $102.97 $103 $86 1726 2 bedroom incl. basic 51.91 49.36 $101.27 incl cooking 32.62 $32.62 $133.89 $134 $114 2034 3 bedroom incl. basic 57.17 74.05 $131.22 incl cooking 37.63 $37.63 $168.85 $169 $144 2526 4 bedroom incl. basic 64.34 98.75 $163.09 incl cooking 37.63 $37.63 $200.72 $201 $171 304 5 bedroom incl. basic 65.70 123.42 $189.12 incl cooking 37.63 $37.63 $226.75 $227 $194 33

Mod Units4 1 bedroom incl. basic 47.32 $47.32 incl cooking 32.62 $32.62 $79.94 $80 $0 808 2 bedroom incl. basic 53.91 $53.91 incl cooking 32.62 $32.62 $86.53 $87 $72 156 3 bedroom incl. basic 60.19 $60.19 incl cooking 37.63 $37.63 $97.82 $98 $81 176 4 bedroom incl. basic 68.05 $68.05 incl cooking 37.63 $37.63 $105.68 $106 $88 183 5 bedroom incl. basic 69.00 $69.00 incl cooking 37.63 $37.63 $106.63 $107 $0 107

39


ATTACHMENT A

Draft Settlement Agreement for Huynh, Tai v. Hawaii Public Housing Authority is forthcoming.

42

For Action – April 18, 2019 Page 2

II. DISCUSSION A. Review of the HPHA’s current policy indicates the following revisions are

needed:

1. Requirements to provide reasonable accommodation and modifications by various means including air conditioners to afford persons with disabilities and equal opportunity to use and enjoy housing;

2. Examples of air conditioner Reasonable Accommodation and

modifications; 3. Description of the procedure for verification of disability (including a

provision that prohibits written verification when the nature of the disability is obvious);

4. Identification of the staff person(s) responsible for monitoring HPHA’s

compliance with its Air Conditioner Amendments; 5. A detailed description of the procedure for accepting and

processing requests for air conditioner reasonable accommodations and modifications;

6. Procedure for evaluating when requests for air conditioners as

reasonable accommodations and modifications will result in HPHA providing and installing air conditioners;

7. Procedure for evaluating and providing alternatives when requests

for air conditioners as reasonable accommodations and modifications are denied;

8. Procedure outlining the right to appeal denials of requests for air

conditioners as reasonable accommodations and modifications and the applicable grievance process;

9. The HPHA also clarified the policy and procedure with respect to

Live-In Aides as Reasonable Accommodations;

10. The HPHA added its policy and procedure with respect to additional keys given to caretakers pursuant to approved Reasonable Accommodations.

B. Attached is a copy of the revisions to the HPHA’s Policy and Procedures on Reasonable Accommodations and Modifications. Substantive changes are

44

Admin Memo No. 4 - April 18, 2019 Page 1

DAVID Y. IGE GOVERNOR

STATE OF HAWAII

DEPARTMENT OF HUMAN SERVICES HAWAII PUBLIC HOUSING AUTHORITY

1002 NORTH SCHOOL STREET HONOLULU, HAWAII 96817

HAKIM OUANSAFI EXECUTIVE DIRECTOR

BARBARA E. ARASHIRO EXECUTIVE ASSISTANT

IN REPLY REFER TO:

ADMINISTRATIVE MEMORANDUM ADMIN. NO. 4

Replaced on October 18, 2018 Replaced on April 18, 2019

To: All Offices, Branches, Sections, and Units From: Hakim Ouansafi Executive Director Subject: REASONABLE ACCOMMODATION AND MODIFICATION POLICY &

PROCEDURES FOR HAWAII PUBLIC HOUSING AUTHORITY (HPHA) I. GENERAL

The purpose of this administrative memorandum is to establish that the Hawaii Public Housing Authority (HPHA) recognizes its obligations to reasonably accommodate individuals with disabilities in all phases of its operations. This includes applicants from housing operated by the HPHA, residents in housing managed by the HPHA, and employment applicants and the employees of HPHA. This policy supersedes the reasonable accommodations and modification policy and procedures adopted by the HPHA Board of Directors on October 18, 2018..

II. POLICY

In accordance with the regulations, and in recognition of the HPHA’s obligations, the HPHA’s statement of non-discrimination policy is set forth in Resolution No. 18-01 (copy attached). The HPHA will make reasonable accommodations and/or modifications to rules, policies, practices and procedures to enable an individual with a disability to benefit from the program(s) offered by the HPHA where the individual is an

46


applicant, resident, or employee. The HPHA will make accommodations that are both reasonable and necessary to afford equal opportunity to an individual with a disability. It shall be the responsibility of the HPHA or management company retained by the HPHA to explain its reasonable accommodations and modifications policy to all job and housing applicants, residents and employees. Since HPHA is prohibited from assuming any need for reasonable accommodations, it is the responsibility of the applicant, resident, or employee to request such an accommodation pursuant to this policy. A "reasonable accommodation" is a change, exception, or adjustment to a rule, policy, practice, or service that may be necessary for a person with a disability to have an equal opportunity to use and enjoy a dwelling, including common and public areas. A "reasonable modification" is a structural change made to existing premises, occupied or to be occupied by a person with a disability, in order to afford such person full enjoyment of the premises. "Employee" means an employee of the HPHA. "Staff' or "staff person" includes employees of HPHA, entities and employees of entities contracted by the HPHA to manage or operate HPHA's housing programs. Each staff person shall be provided a copy of this reasonable accommodation policy. Each staff person shall comply with the following:

A. When a staff person receives a request for a reasonable

accommodation or modification from an applicant, tenant, or other program participant, the request must be reported as soon as practicable to the staff person's supervisor. The word or phrase "reasonable accommodation" or "reasonable modification" does not need to be used. Any request for a change to HPHA rules, policies, practices and procedures, or facilities due to a disability may be considered a request for a reasonable accommodation;

Examples of reasonable accommodations include requests to have a service/assistance animal, be assigned a parking stall closer to their unit, allowing the tenant to purchase and install an air conditioner, allowing HPHA to purchase and install an air conditioner; allowing the tenant to purchase and install an extra refrigerator, extra key(s) to the common area transferring to a different unit or property, and requests for Live-In Aides. This list is not exhaustive.

47


Examples of reasonable modifications include the installation of grab bars, higher/lower toilets, requests to install stairs or ramps and/or unit and request to have a shower stall/tub installed. A request for an air conditioner to be purchased and installed can also be an example of a reasonable modification.

B. Disclosure or sharing of confidential disability-related information isprohibited, except for the specific purpose of making or assessing adecision to grant or deny a reasonable accommodation or modificationrequest or when disclosure is required by law;

C. Each staff person must cooperate with HPHA management to effectcompliance with the reasonable accommodation/modification provisions ofSection 504 of the Rehabilitation Act of 1973, the Fair Housing Act, asamended, and Title II of the Americans with Disabilities Act. Failure tocomply with the reasonable accommodations law may result in a violationof fair housing laws and the payment of damages to the complainant;

D. Each staff member responsible for the implementation of this Policy will berequired to sign the acknowledgement form attached to this policy.(Attachment A)

E. Retaliation against any individual who has exercised their right to requesta reasonable accommodation/modification is prohibited.

III. PROCEDURES

It shall be the responsibility of all Office, Branch, Project, and Unit supervisors todisseminate or communicate this policy to all staff in a timely and appropriatemanner. The Compliance Office shall have a Section 504/Fair Housing Officerwho is responsible for monitoring the implementation of these policies andrecommending changes/updates to the HPHA’s policy on non-discrimination.

A. Eligibility

In order to be eligible for a reasonable accommodation and/ormodification, an individual must be considered handicapped/disabled byfederal and/or state law. A handicapped/disabled person or person with adisability is defined as someone who:

1. Has a physical or emotional impairment which substantially limitsone or more major life activities (functions such as caring for one’sself, performing manual tasks, walking, seeing, hearing, speaking,breathing, learning, and working. This list is not exhaustive.);

48


2. Is regarded as having such an impairment; and 3. Has a record of such an impairment. The manager/supervisor or designated person receiving the request must explain to the individual their responsibility to provide the appropriate request and medical information related to the reasonable accommodation and/or modification request when the disability and/or need for the accommodation and/or modification are not obvious or apparent. The HPHA should not inquire as to the nature and severity of an individual’s disability. The HPHA should, however, explain to the individual the HPHA’s rights to request relevant supplemental medical information, if the information submitted does not clearly explain the nature of the disability (for the purposes of verifying that the individual meets the Fair Housing Act’s definition of disabled, when it is not “obvious or readily known”), need for accommodation and/or modification, or does not otherwise clarify how the requested accommodation and/or modification will assist the individual. The manager/supervisor or designated person receiving the request will explain to the individual the HPHA’s right to have medical information reviewed by a medical expert of HPHA’s choosing and at HPHA’s expense.

B. Process

1. A person with a disability does not need to personally make the

reasonable accommodation and/or modification request; the request can be made by a family member or someone else who is acting on his/her behalf. Staff may also assist an individual in completing the request form. A reasonable accommodation and/or modification request can be made orally or in writing. It is required that the staff person receiving the oral request, document the request in writing. This will help prevent miscommunication or misunderstandings regarding what is being requested, or whether the request was made. If an oral request is made to a staff person who is not designated as a person to receive such requests, the staff person will as soon as practicable report the request to their supervisor or designated person to follow up with the person orally requesting a reasonable accommodation and/or modification.

49


2. Verification through a third party is the responsibility of the AssetManagement Project, Branch, Section, or Office receiving therequest. If additional information is needed a letter should be sentto the individual requesting the additional information or arrangingto meet with the individual. Documentation is important to show theinteractive process between HPHA and the individual.

Any request for which the individual’s disability is “obvious orreadily known” and the nexus between the disability request is also“obvious or readily known” the HPHA shall not require additionalverification to approve any request for reasonable accommodationand/or modification.

The person requesting a reasonable accommodation and/ormodification may be asked to sign an authorization form to allowthe HPHA to verify the need for an accommodation and/ormodification, whether the request is made in writing, orally, or onbehalf of another. The person may refuse authorization. Ifauthorization is refused, the request will be reviewed with anyinformation that is available and may be denied due to the HPHA'sinability to verify the need for the accommodation and/ormodification.

3. Any request for minor accommodations modifications, or for whichthe individual’s disability is “obvious or known” and the nexusbetween the disability and the request is also “obvious or known”may be approved by the Project Manager and submitted to theCompliance Office within 5 working days of that approval, exceptwhere a request for reasonable modification would exceed$1,000.00. Where a request for reasonable modification wouldexceed $1,000.00, the Project Manager shall forward that requestto the Compliance Office for approval. The Property Manager isnot authorized to deny a requested accommodation or modificationas the HPHA is obligated to enter into the interactive process whichwill be coordinated by the Compliance Office.

For example, the approval of grab bars for a mobility impairedperson or, strobe lights for a hearing impaired person, orassistive/service animal for a vision impaired person may beapproved by the Project Manager without prior consultation with theCompliance Office. All approved or denied requests, however,must be submitted within 5 working days to the Compliance Officefor tracking and compliance monitoring.

50


4. Any request for a live-in aide as a reasonable accommodation mustbe approved by the Compliance Office. A Live-In-Aide is a personwho resides with one or more elderly persons, near-elderly personsor persons with disabilities and who is: (1) determined to beessential to the care and well-being of the persons; (2) is notobligated for the support of the persons; and (3) would not be livingin the unit except to provide the necessary supportive services. Inaccordance with this definition, a live-in aide is not a member of theassisted family and is not entitled to the unit as the remainingmember of the tenant family. The Property Manager is notauthorized to approve or deny a requested Live-In Aide as theHPHA is obligated to enter into the interactive process which will becoordinated by the Compliance Office.

Live-In Aide requests must include the name of the proposed Live-In Aide. The proposed live-in aide must be deemed able to performthe essential functions of their duties, pass the HPHA’s screeningprocess and sign the HPHA’s live-in aide agreement. All futurechanges of the live-in aide must be reported to the AMP manager,who will then screen the new proposed LIA, and if approved,management shall notify the Compliance Office of the change aspart of the review process and prior to approving of the change inlive-in-aides.

5. Any approval for extra keys to the building and/or unit forcaretakers to enter the building/unit to help a tenant with theirdisability must sign HPHA’s “Keyholder Agreement” whichacknowledges receipt of the key(s) and also acknowledgespossible penalties for its misuse.

6. If a person’s disability is not “obvious or readily known”, thedisability must be verified. Once the disability has been verified therequest must be faxed to the Compliance Office to determinewhether a request is reasonable and necessary.

7. Upon determination, the Compliance Office will respond in writingat the address listed on the request form or in a mannerunderstandable to the individual within 20 working days from thedate of request, unless there is a need for additional verification ora delay in receiving the authorization and/or response from theindividual. Approvals of minor accommodations and modificationsdelegated to Project Managers in #3 above will be communicatedto the individual by the Project Manager.

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8. HPHA will make accommodations and/or modifications that are both reasonable and necessary to afford an individual with a disability equal opportunity.

9. HPHA does not by law have to approve a request for reasonable accommodations and/or modifications which would result in: a. An undue administrative or financial burden, which means

an accommodation and/or modification which cannot be accomplished without a substantial financial investment which is prohibited by the nature and size of the program or could be accomplished only with a rent increase (prohibited by HUD) or a reduction in benefits and/or services to other tenants. An undue administrative burden means the accommodation and/or modification would not easily be accomplished with existing staff and would require the hiring of additional staff,. or.

b. A fundamental alteration in the nature of the program, which

means that management does not have to provide services, which are not presently being provided. In such a case, the individual may obtain service(s) on his or her own.

10. If an accommodation and/or modification request falls into one or

both of the two categories in #9 above, management will endeavor to identify an equally effective accommodation and/or modification on the basis of the individual’s need, and not based on preference. Management may also, where a request is denied for reasons permitted by law, allow the individual to make modifications at their own expense. In some cases, HPHA may require the individual to escrow money so that any modification made can be restored at the conclusion of an individual’s tenancy.

11. Approved requests for reasonable accommodations and modifications will be addressed within a reasonable time by the appropriate staff, taking into consideration the resources available at the time. The requestor shall be kept informed of the status of any approved requests.

12. HPHA will evaluate, on a case-by-case basis, tenant/applicant’s

requests to pay for reasonable accommodation or modification requests such as an air conditioner or an extra freezer. When a tenant or applicant specifically requests for HPHA to purchase and install air conditioners, HPHA will agree to purchase and install approved requests unless it is an undue administrative or financial

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burden. If the tenant or applicant is asking for permission to install their own air conditioner unit, the HPHA will evaluate that request and approve it if necessary. If for some reason the request(s) are denied, the HPHA will evaluate and propose alternatives that are not an undue administrative and financial burden or alter the fundamental nature of the program. It is the policy of the HPHA to install or require the use of Energy Star certified equipment or appliances as appropriate.

13. Management will allow service animals essential for a physical or emotional disability and may verify the need for this accommodation if the requestor's disability is not "obvious or known", or the need for the accommodation is not "obvious or known". The tenant is responsible for the conduct of the service animal at all times in a manner consistent with the lease.

14. If an individual believes that his/her reasonable accommodation request has been improperly handled or denied, the individual should request a reconsideration/and or an informal hearing pursuant to the HPHA’s grievance procedure for Reasonable Accommodations. If the reconsideration is denied, and the requestor still feels the decision is incorrect, contact the HPHA’s Section 504/Fair Housing Officer at:

Ms. Sarah Beamer Section 504/Fair Housing Officer P.O. Box 17907 Honolulu, Hawaii 96817 Telephone: (808) 832-4696 TTY: (808) 832-6083

15. The individual also has the right to file an internal Complaint under

HPHA’s Nondiscrimination Policy pursuant to Administrative Memorandum No.3 dated October 28, 2014.

16. This reasonable accommodation and modification policy and

procedures also applies to employees of HPHA with disabilities that meet the definition of a person with a disability contained in this policy. Employees with disabilities shall, subject to the limitations described in #6 above, be eligible for reasonable accommodations or modifications that will permit them to perform the essential functions of the job.

17. Consideration of all accommodation and/or modification requests shall be made on a case-by-case basis.

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18. Individuals who believe they have been discriminated against onthe basis of their disability may bring their complaint to the HPHASection 504/Fair Housing Officer listed in #11 above, and may alsofile a complaint alleging discrimination with:

Office of Fair Housing and Equal Opportunity U.S. Department of Housing and Urban Development 451 Seventh Street, S.W. Room 5204 Washington, D.S. 20410

Or, by completing the on-line complaint form available on the HUD internet site: http://www.hud.gov

Employees of HPHA and applicants for employment with HPHA who believe they have been discriminated against on the basis of their disability may also file a complaint alleging discrimination with:

U.S. Equal Employment Opportunity Commission Roybal Federal Building 255 East Tempie St., 4th Floor Los Angeles, CA 90012 Telephone: 1-800-669-4000

IV. VIOLATION OF POLICY

Employees of HPHA who fail to comply with this policy and procedures maybe subject to disciplinary action, up to and including discharge, in accordancewith the respective collective bargaining agreement.

V. IMPLEMENTATION

This policy shall be effective as of the date of approval and shall remain ineffect until cancelled or superseded.

Attachment: Acknowledgement (Appendix A)

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Admin Memo No. 4 April 18, 2019

(Appendix A) ACKNOWLEDGMENT: My signature below acknowledges that I have received, read, and understand the HPHA Administrative Memorandum (Admin No. 4). · I agree that it is my responsibility to be familiar with and know how to apply the policies, as well as existing laws to my particular job responsibilities and that failure to do so may result in further disciplinary action, which may include suspension or termination of my employment with HPHA. Privately managed Asset Management Projects (AMPs) owned by HPHA shall follow the same policies. Failure to do so may result in contract termination in addition to other possible remedies. If I do not understand the appropriate and legal course of action to take during my employment, I will review the Reasonable Accommodation Procedure and, discuss with my supervisor and take whatever other action is necessary. __________________________________________________________ Name (Please Print) __________________________________________________________ Signature Date __________________________________________________________ Branch / Section / Unit / Office

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For Action – April 18, 2019 Page 2

II. DISCUSSION

A. On April 11, 2019, MDC submitted a request for the HPHA to withdraw the termination for convenience so that the HPHA and MDC can “work on terms mutually agreeable to both parties”.

B. Staff recommends that the Board reconsider its previous decision to

terminate the MDA with MDC based on their request and their recent display of cooperation and intent to negotiate in good faith.

C. The HPHA intends to negotiate with MDC to revise and amend the

existing MDA over the 120-day period. Prior to the end of the 120-day period, the HPHA will proceed as follows: 1. Report to the Board its progress on negotiations; request approval

to completely rescind the previous termination action taken by the Board on September 7, 2017; and authorize the Executive Director to continue negotiations;

2. Report to the Board its progress; request approval to completely

rescind the previous termination action taken by the Board on September 7, 2017; and present a revised and amended or new master development agreement for the Board’s consideration; or

3. Report to the Board its lack of progress and request approval to

reissue the termination for convenience notice to MDC.

D. It is recommended that the Board go into executive session pursuant to Hawaii Revised Statutes sections 92-4, 92-5(a)(8), and 103D-105 to discuss, deliberate or make a decision on information that must be kept confidential, 92-5(a)(3) to deliberate concerning the authority of persons designated by the Board to negotiate the acquisition of public property, and/or 92-5(a)(4) to consult with the Board’s attorneys on questions and issues pertaining to the Board’s powers, duties, privileges, immunities, and liabilities related to this motion.

III. RECOMMENDATION

That the Board of Directors approve to: (1) Suspend the Termination of the Master Development Agreement Between the Michaels Development Company I, L.P. (“MDC”), and the Hawaii Public Housing Authority (“HPHA”) for Revitalization and Redevelopment of Kuhio Park Terrace and Kuhio Homes (RFP No. OED 2009-15) (Contract No. PMB 11-02) dated May 2011 (“MDA”), for Convenience for Phases 2 through 11, Previously Approved by the Board of

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For Information – April 18, 2019 Page 2

C. HPHA’s School Street Administrative Offices

Reno & Cavanagh has completed its revision of the draft of the MasterDevelopment Agreement (MDA) for the School Street Administrative Officesbased on comments received from Retirement Housing Foundation (RHF).The HPHA has reviewed and forwarded the revised draft of the MDA to RHFfor their review and comment.

RHF continues to review proposals received from various vendors foradditional studies and analysis that will be required to determine and preparea preliminary baseline budget for the overall project. These proposalsinclude:

• A revised updated ALTA/NSPS site survey;• A revised, detailed site plan prepared by RHF’s lead architect based

on the masterplan disclosed in the Hawai’i Public Housing AuthorityAdministrative Offices Redevelopment Final Environmental ImpactStatement that was accepted by the Governor on July 17, 2018;

• Civil engineering to determine demolition, erosion control, massgrading, drainage, site and utility plans;

• Geotechnical survey to evaluate subsurface conditions for determiningstorm water runoff disposal systems in order to meet the new drainagerequirements for Low Impact Development (LID), locating the presenceof any potential underground streams traversing the School Street siteand formulating geotechnical recommendations for the design of padcompaction, foundations, slabs-on-grade, retaining structures, sitegrading, and pavements for the proposed project;

• Archeological monitoring during any Geotechnical drilling activity;• A Phase 1 Environmental Site Assessment Survey; and• Electrical Design for on-site/off-site electrical and telecom utility

requirements.

As previously reported, the estimated costs for these studies in aggregate is approximately $500,000 - $1 Million depending on the level of work requested and agreed by RHF and the HPHA. As RHF has already advanced approximately $1.3 Million in predevelopment master planning and environmental clearance costs of the project, once the final costs of the additional studies detailed above has been determined, the HPHA and RHF may negotiate potential cost sharing for these additional studies so that we may continue to advance the project forward. Cost sharing proposals may be included and memorialized under the MDA or negotiated under separate agreement. Either approach would be subject to approval of HPHA’s Board of Directors.

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Executive Director’s Report For the Month of March 2019 1

Hawaii Public Housing Authority Report for the Month of March 2019 I. Planning and Evaluation

• 2019 Legislative Session

• The Planning and Evaluation Office (PEO) has been preparing testimonies to various legislative committees since the opening of the 2019 Legislative Session on January 16, 2016.

• April 5th, 2019 is “Second Decking” when all bills under consideration for second crossover to the other chamber must be submitted to the clerk of the non-originating chamber in their final form at least 48 hours prior to third reading. April 26th, 2019 is “Final Decking” which is the deadline for submitting bills for final reading by both chambers

• Below are the Senate Bills (SB) that have made it to “Second Decking”

that the HPHA has submitted testimony for thus far:

1. SB 9, RELATING TO THE HAWAII PUBLIC HOUSING AUTHORITY: Requires the Hawaii public housing authority to adopt rules without regard to chapter 91, Hawaii Revised Statutes. Appropriates an unspecified amount to the Hawaii public housing authority to reimburse landlords who participate in the section 8 housing choice voucher program for repair costs of tenant-caused property damage when such repair costs exceed the tenant's security deposit and for one full time-equivalent position to assist and administer the reimbursement program. HPHA testified in support of the intent. Status: Second Decking

2. SB 471, RELATING TO HOMELESSNESS: Appropriates funds to homeless programs, including outreach, rapid re-housing, housing first, family assessment centers, and diversion programs and the coordinated statewide homelessness initiative. Establishes a long term rental assistance pilot program for individuals over sixty years old.

HPHA testified in support of the intent. Status: Second Decking

3. SB 859, RELATING TO CAPITAL IMPROVEMENT PROJECTS: Authorizes funds for capital improvement projects for the fiscal biennium 2019-2021. HPHA testified in support. Status: Second Decking

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4. SB 1020, RELATING TO RENTAL ASSISTANCE: Requires the

Hawaii Public Housing Authority to establish a housing homeless children rental assistance pilot program to assist families with minor children experiencing or at imminent risk of homelessness due to domestic violence. Requires each family member to obtain financial management and counseling services. Appropriates funds for the pilot program. Requires report to the legislature. HPHA testified in support of the intent. Status: Second Decking

5. SB 1395, RELATING TO HOUSING: Makes an appropriation for the state rent supplement program. HPHA testified in support. Status: Second Decking.

• Below are the House Bills (HB) that have made it to “Second Decking” that the HPHA has submitted testimony for thus far:

1. HB 2, RELATING TO THE STATE BUDGET: Appropriates funds for

the operating budget of the Executive Branch for fiscal years 2019-2020 and 2020-2021. HPHA testified in support. Status: Transmitted to the Governor.

2. HB 699, RELATING TO THE HAWAII PUBLIC HOUSING AUTHORITY: Allows the Hawaii Public Housing Authority (HPHA) to evict a tenant convicted of a felony committed during the term of the tenancy and related to the HPHA's property or funds or its employees and their property. HPHA testified in support. Status: Second Decking

3. HB 1259, RELATING TO CAPITAL IMPROVEMENT PROJECTS: Appropriates funds for the capital improvement project costs for the fiscal biennium 2019-2021. HPHA testified in support. Status: Second Decking

• Governor’s Housing Stakeholder’s Group

• On Monday, March 18, 2019, the HPHA participated with the Governor’s Housing Stakeholder’s Group in discussing housing issues and legislation that could assist the State in its fight against the affordable housing crisis.

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II. Fiscal Management

A. Variance Report for February 2019

1. Revenue for the Month of February 2019

CFP Grant Income $153,087 less than budget

The Public Housing Capital Fund Program (“CFP”) is a HUD grant for capital and management activities, including the modernization and development of public housing. HUD regulation also allows each PHA to use certain percentage of CFP for administration and operational costs. By HUD rule, a PHA has two years to obligate and two years to spend it after CFP grant is made available annually. CFP is drawn through HUD’s Electronic Line of Credit System (“eLOCCS”) based on Budget Line Items (“BLI”). BLIs are further grouped into soft cost (BLI Numbers 1406, 1408 and 1410) for management activities, and hard cost (BLI Numbers greater than 1430) for capital projects.

CFP drawings and expenditures that are not capitalized are reported on this line as operating income. Capitalization of CFP expenditure is reported in Balance Sheet under construction in progress.

All of CFP drawings in February 2019 are capitalized. No operation revenue is recognized under this line. State CIP Fund $2,871 more than budget State of Hawaii appropriates Capital Improvement Project fund (“CIP”). Expenditure of CIP on capital project below the capitalization threshold ($100,000) is recognized as operation income under this line, whereas the amount equal or exceeding the threshold is capitalized and reported in Balance Sheet under construction in progress. It is impractical to estimate the amount not meeting capitalization threshold during the annual budgeting process therefore no amount was budgeted under this line for the current fiscal year. $2,871 out of $1,111,854 CIP expenditure in February 2019 is of repair and maintenance and is recognized as income under this line. Grant Income $143,799 higher than budget

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The amounts received from the State general fund for the State elder’s housing, the State family housing and the State rent supplemental programs are higher than budget by $121,661, $54,475 and $135,445, respectively. The amounts granted for the Federal housing programs, however, are $167,782 lower than budget. Other Income $70,045 less than budget

The $70,045 variance consists of unfavorable variances of: $2,683 lower fraud recovery, $12,413 less Section 8 port-in payment, and $226,034 smaller front line service fee revenues generated by Multi - Skilled Workers Pilot program team, Application Office, and Hearing Office. The unfavorable variance is partially offset by: $11,163 higher payments not directly related to dwelling unit rent; $5,618 higher investment income; $725 more revenue of admin fee earned on Section 8 port-in, and $153,579 more miscellaneous income mainly due to a payment of consultant fee received from the KPT developing project. 2. Expenses for the Month of February 2019 Administrative $271,309 less than budget

The variance consists of budget savings of: $174,428 less administrative salaries and fringe benefits of HPHA employees; $693 less administrative salaries and fringe benefits of private management companies; $6,541 lower managing agent fee charged by private management companies and Bremerton, the company managing Section 8 contract administration program; $1,460 less auditing fees; $35,141 less front line service fees; $41,814 smaller legal expenses; $10,094 less travel expense; and $6,283 lower administrative expenses not specified otherwise. The favorable variances are partially offset by budget overruns of $5,145 higher office expenses. Tenant Services $6,604 less than budget Tenant Services include relocation costs, resident participation program costs and tenant service costs for any services directly related to meeting tenant needs. The $6,604 favorable variance is a result of $1,695 lower relocation cost; $5,675 smaller resident participation program cost, and $766 higher other tenant service expenses. Maintenance $767,103 less than budget

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The $767,103 favorable variance consists of budget savings of $31,866 smaller salaries and fringe benefits of HPHA maintenance employees; $6,899 lower wages and benefits paid for maintenance employees of private management companies; $475,327 less furniture, appliance and equipment; $5,146 lower materials and supplies for building, ground, safety, painting, electric, janitorial maintenances, etc.; $56,971 less expenses paid for repair and maintenance services including refuse collection, sewer, plumbing, pest control, building, tree trimming, vehicle and equipment, janitorial, elevator, fire extinguisher, appliance, electric, HVAC, etc.; and $190,894 less repair expenses charged by the Multi - Skilled Workers Pilot program team.

Protective Services $50,293 more than budget

The $50,293 unfavorable variance is due to higher protective service expenses paid for FLRP.

Bad Debt Expense $31,022 lower than budget

The $31,022 favorable variance is a result of monthly reconciliation of tenant accounts receivable and adjustment of allowance for bad debt.

General Expenses $34,048 more than budget

The $34,048 unfavorable variance is due to $50,178 higher undistributed expenses related to Pcard purchases, which is offset by $1,199 lower motor pool vehicle rental expenses and $14,931 less fraud loses.

3. Revenue year to date

CFP Grant Income $1,188,730 less than budget

CFP drawings and expenditures that are not capitalized are reported on this line as operating income. Capitalization of CFP expenditure is reported in Balance Sheet under construction in progress.

Out of $3,906,000 FY19 YTD CFP drawings, $35,966 is recognized under this line of income, $1,188,730 less than budget.

State CIP Fund $20,034 more than budget

Out of the YTD CIP expenditure of $5,810,302, $20,034 is not capitalized and therefore recognized under this line.

Other Income $2,168,283 less than budget

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The variance of $2,163,283 is due to $2,513,143 less front line services fee revenues generated by the Multi - Skilled Workers Pilot program team, Application Office, Hearing Office, and Compliance Office

The unfavorable variance is partially offset by: $49,731 higher payments not directly related to dwelling unit rent; $11,431 more fraud recovery; $108,446 more investment income; $6,538 higher revenue of admin fee earned on Section 8 port-in, $15,777 more payment received for Section 8 port-in; and $153,937 higher miscellaneous income that captures all types of income not specified otherwise.

4. Expenses year to date

Tenant Services $77,442 less than budget Tenant Services include relocation costs, resident participation program costs and tenant service costs for any services directly related to meeting tenant needs. The $77,442 favorable variance consists of budget savings of: $30,089 relocation cost; $45,317 resident participation program cost, and $2,036 other tenant service cost. Maintenance $6,468,827 less than budget

The

regular 04.18.… · april 18, 2019, 9:00 a.m. – hpha board meeting 1 tel: (808) 832-4694 hawaii...

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