HomeMy WebLinkAbout2022-03-02 HC Regular Meeting MinutesI. CALL TO ORDER
PALM DESERT HOUSING AUTHORITY
PALM DESERT HOUSING COMMISSION MEETING
· PRELIMINARY MINUTES
WEDNESDAY, MARCH 2, 2022-3:30 P.M.
(VIRTUAL MEETING}
CITY OF PALM DESERT, CALIFORNIA
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Chair Buller called the meeting to order at 3:30 p.m.
-II. ROLL CALL
Commissioners Current Meeting Fiscal Year to Date
Present
Jann Buller, Chair
Dennis Guinaw, Vice Chair
Carol Marcuse
Greg Ballard
Melody ry'lorrison
Also Present:
Kathleen Kelly,-City Councilmember Liaison
Jessica Gonzales, Senior Management Analyst
Teresa Vakili, RPM Company Vice President
Kevin Collins, Recording Secretary
Martin Alvarez, Director of Development
Veronica Chavez, Finance Manager
Anqy Firestine, Assistant City Manager
Randy Chav~z, Landscape Supervisor
Azalia Gomez, participant
Ill. ORAL COMMUNICATIONS
X
X
X
X
Absent Present Absent
7
7
7
X 3 4
(2 Excused)
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Senior Management Analyst, Jessica Gonzales, advised the Commission no
comments or inquiries were received by email, nor were any requests for public
participation received for the meeting.
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PRELIMINARY MINUTES
VIRTUAL HOUSING COMMISSION MEETING MARCH 2, 2022
IV. CONSENT CALENDAR
A. MINUTES of the virtual Regular Housing Commission meeting of March 2, 2022.
Rec: Approve as presented.
Upon a motion by Commissioner Morrison, seconded by Commissioner
Marcuse, and a 4-0 vote of the Housing Commission the Consent Calendar was
approved as presented (AYES: Buller, Guinaw, Morrison, Marcuse; NOES: None;
ABSENT: Ballard).
V. ACTION ITEMS
A. REQUEST FOR CONSIDERATION to recommend approval of the Pc1lm Desert
Housing Authprity Proposed Budget for FY 2022-2023
Senior Management Analyst, Jessica Gonzales, ,.introduced Finance Manager
Veronica Chavez, who provided a brief introduction of herself and moved onto
acknowledge the budget memo and report provided. ·
Ms. Chavez reminded commissioners that one of the responsibilities of the
Housing Authority is to monitor the costs associated with operating the properties.
Pursuant to that, RPM Company provided expenditure estimates for budget
consideration on the 15 properties for the 2022-2023 period. The budget expenses
provided to the Commission within the agenda packet were reviewed by staff for
submission to Council for consideration pending Commission review and approval.
She further advised the Commission the overall projected net income for all fifteen
properties is expected to be approximately $1.2M and the net increase was
positive bc1sed on rental income increases and is approximately $273,000.
Ms. Chavez then stated an update to the reserve study on the properties had been
included in the budget because the current study used was about ten years old
and should be updated to reflect improvements and additional complexes not
completed when the original study was conducted. With that, Ms. Chavez
concluded her remarks and invited .questions.
Commissioner Marcuse asked why the advertising line item of the budget had
increased from $2,886 in 2021 to a projected amount for 2022 of $12,900. Ms.
Vakili responded stating advertising costs were reduced because fewer
promotional events could be held under COVID, such as back to school
promotions. Further, that occupancy attrition rates were not changing as in prior
years so a need for advertising had decreased.
Commissioner Guinaw inquired on three questions. The first related to the overall
bl!dget increase, specifically asking if it was approximately eight percent.
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PRELIMINARY MINUTES
VIRTUAL HOUSING COMMISSION MEETING MARCH 2, 2022
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Ms. Chavez deferred to Teresa Vakili, who said she did n9t have the exact
percentage, but it may be about eight percent. She added that there had been an
income increase in part due to a change in rental rates, however the proposal was
based on actuals.
Commissioner Guinaw then clarified his question and asked if the higher inflation
rates were accounted for in the budget. Ms. Vakili said yes, but this year turnover
was lower during the pandemic. People were not moving as much as in pastiyears.
She further stated delinquency rate~ increased and RPM had been working with
Lift-to-Rise to.assist residents with rental assistance to offset.
Commissioner Guinaw then stated that during 2021 One Quail had a significant
deficit, but in 2022 the property anticipated a surplus of $504,000. He asked if the
estimated surplus would be enough to offset deficits reflected on some of the other
properties:
Ms. Chavez replied stating to keep in mind that there were capital improvements
made to One Quail in 2021; and those costs are generally not considered an
operating expense. If he were to look at the rest of the budget compared to other
operating costs, they are pretty much in line wit~ 2021.
Last, Commissioner Guinaw asked about securing RDA funds. Ms. Chavez said
the process for qualifying for those funds changed and at this point the City of Palm
Desert did not qualify as in past years, but we would look for other opportunities in
the future. ' ·
Commissioner Morrison asked about laundry room income listed on the report for
Carlos Ortega in the amount of $42,000. Ms. Chavez mentioned it was on the
report provided by RPM under income, but it was for One Quail Place, not Carlos
Ortega. Ms. Vakili replied stating there was no increase in pricing. The laundry
income listed was actual income generated ..
Chair Buller then inquired on the age of the reserve study and was concerned
about a statement on the report. The statement indicated sufficient funds deposited
covered the immediate costs, but no long-term source had been identified_ for
~dequate support. She further asked if the commission needed to be concerned
or attentive to that statement.
Ms. Gonzales responded stating we were looking for other opportunities that may
be available as a source to assist, but if there were opportunities Commissioners
became aware of, to provide it so it could be reviewed.
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Councilmember Kelly stated Palm Desert was not the only city facing this
challenge and that the League of Cal Cities, an advocacy voice for housing; was
highly aware of the issue and had raised it with the Governor and legislature.
Ms. Gonzales then mentioned that a guest joined the call, Azalia Gomez and
thereafter Chair Buller called a vote on recommending approval of the budget
presented.
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PRELIMINARY MINUTES
VIRTUAL HOUSING COMMISSION MEETING MARCH 2, 2022
Upon a motion by Commissioner Guinaw, seconded by Commissioner
Marcuse, and a 4-0 vote of the Housing Commission, the request to recommend
approval of the Palm Desert Housing Authority Proposed Budget for FY 2022-2023
is approved as presented (AYES: Buller, Guinaw, Marcuse antj Morrison; NOES:
None; ABSENT: Ballard). ,
8. REQUEST FOR CONSIDERATION to recommend approval of an Amendment to
Contract No. HA38270 with Liberty Landscaping, Inc. for Landscape Maintenance ·
Services at the Palm Desert Housing Authority Properties for a two-year term in
an annual amount not to exceed $348,553.
Ms. Gonzales introduced Randy Chavez, Landscaping Supervisor for the .City of
Palm Desert, who provided an overview of the recommendation to extend the
contract.
Mr. Chavez stated Liberty had been providing maintenance services for 15
properties for the past three years, however Liberty's current term expires June
30, 2022. He informed the Commission that Liberty had two (1) year extensions
remaining under the terms of agreement. Liberty requested a CPI increase and
staff negotiated a 4.2% increase for the remaining two years. The final proposal
was reviewed by staff and approval recommended. With that he opened for
questions from the Commission.
Commissioner Guinaw asked if the additional $88,000 was included in the
$348,000 increase requested or a separate contingency fund: Mr. Chavez said it
was in fact a separate contingency fund for unforeseen items that could arise
during the year.
There were no additional question and Chair Buller called for a vote.
Upon a motion by Commissioner Guinaw, seconded by Commissioner
Marcuse, and a 4-0 vote of the Housing Commission, the request to recommend
approval of the Amendment to Contract HA38270 with Liberty Landscaping, Inc.,
for Landscaping Maintenance Services at the Palm Desert Housing Authority
Properties for a two-year term in an annual amount not to exceed $348,953. is
approved as presented. (AYES: Buller, Guinaw, Marcuse and Morrison; NOES: •
None; ABSENT: Ballard).
VI. REPORTS AND REMARKS
A. Commissioners Reports and Remarks
Chair Buller provided a brief overview on her recent participation with the
Homelessness Taskforce kick-off meeting, sharing information on her role as a
member.
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PRELIMINARY MINUTES
VIRTUAL HOUSING COMMISSION MEETING MARCH 2, 20~2
B. Commission Reports
Senior Management Analyst, Jessica Gonzales opened the discussion with a
reminder to Commissioners that the 700 Statement on Economic Interests, which
was provided to all Commissioners from the City Clerk's office, should be
completed by April 1, .2022. Ms. Gonzales then informed the Commission the City
Council would be considering approval for our Housing Element at the March 10th
City Council meeting. · ;
Ms. Gonzales provided a summary of actions from the Authority Board. She
advised Commission meetings would continue to be held in virtual format until
further notice due to ongoing construction and improvements to the meeting
roorns.
Ms. Gonzales also informed that Commissioner Donna Ault's resignation from the
Housing Commission effective January 25, 2022, had been forwarded and
· accepted by the Housing Authority Bo~rd. She also stated the City would not be
considering replacements until May as part of the broader selection process. There
were no follow-up questions on any of the items.
C. RPM Company Monthly Reports for December 2021
• Monthly Occupancy Status Report
• Monthly Occupancy and Average Re.nt Summary
• Report#1 -Monthly Occupancy and Average Rent Statement
• Report#2 -Monthly Net Operating Income Statement
• Palm Desert Housing Authority Project Report for January 2022
RPM Company Vice President, Teresa Vakili acknowledged the RPM reports
before the Commission, stating the occupancy rate was 98.2%. Further that in
December, 63 re-certifications had been conducted, 178 individuals were added
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to the property waitlist and 751 individuals were contacted. She then summarized
the remaining reports stating the information related to Average Median Income
(AMI) would be updated in July.
Commissioner Morrison asked what allowances were provided by RPM with
respect to utilities. Ms. Vakili responded, stating allowances vary from $39 to $78
a month. Ms. Morrison then asked if allowances were incorporated. in the rent.
Ms.Vakili stated no, the rental amounts are reduced by the utility allowance. Ms.
Gonzales then stated utility allowances are established by the Housing Authority
of the County of Riverside and that source is used as a basis in determining utility
allowances depending on the unit size.
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PRELIMINARY MINUTES
VIRTUAL HOUSING COMMISSION MEETING
D. Update on the Home Improvement Program
ACTIVITY January 2022
Inquiries (Calls, Walk-Ins, Emails):
Applications Provided:
Applications Received
Applications being processed:
Eligible (Possibly meets criteria):
Ineligible (Does not meet criteria):
Energy Savings Assistance Programs Referrals:
(Jf-!C Construction -SCE/Gas Co)
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0
0
0
0
0
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MARCH 2, 2022
Ms. Gonzales provided a summary of the Home Improvement Program activity,
noting there were three inquiries and one referral made related to the Energy
· Savings Assistance Program.
VII. ADJOURNMENT
With Commission concurrence, Chair Buller adjourned the meeting at 4:07 p.m.
~n&€h&t~r \?QMW1,_ ie:Jlu~ nl-'.!J .v..) ~ Collins, Recording Secretary
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