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HomeMy WebLinkAbout2024_11_04 Housing Authority Minutes MINUTES Housing Authority Meeting Monday, November 4, 2024 Conference Room C, Ground Floor of Town Center 7:00 PM PRESENT: Joseph Mileto, Board Member Christie Philbrick-Wheaton, Board Member Lawrence Thaul, Board Member Sabrina Fiddelman, Councilwoman OTHERS PRESENT: Margaret C. Delohery, Secretary to the Housing Authority Johnathan Di Bari, Dibbini &Assoc. Stephen V.Altieri, Housing Authority Consultant Michael Padernacht, Midas Management 7:00 PM The Housing Authority Regular Meeting 1. Call to order Chair Mileto called the meeting to order at 7:15pm. Approval of Minutes 1. Report of Minutes from the October 7, 2024 Housing Authority Meeting Moved by Board Member Philbrick-Wheaton, seconded by Board Member Thaul Resolved, that the Town of Mamaroneck Housing Authority does hereby approved the minutes of the October 7, 2024 meeting. Carried Business Agenda 1. Report of Midas Property Management Mr. Padernacht reviewed the monthly report with the Housing Authority. He explained why some line items are higher than budgeted. Income is lower than expected because of the vacancies. Two more applicants have been approved, but two more vacancies are expected. He reviewed who the vacancies have been marketed to and the arrears with the Housing Authority. The Housing Authority discussed when the vacancies should be filled. Mr. Altieri reviewed who the new tenants are, and Mr. Padernacht said six units are vacant. The Housing Authority reviewed why there are vacancies at the complex and how many tenants would not have their lease renewed, based on income requirements. Mr. Thaul discussed a sign that needs upkeep. Mr. Di Bari said he spoke with a resident who commented on cracked sidewalk, Mr. Padernacht said he would have Brendan look at the area. 2. Presentation of Proposed 2025 THMA Budget Mr. Altieri reviewed the budget with the Housing Authority. The vacancy rate was added as a new line item, it will be shown as an expense on the budget. Mr. Padernacht and Mr. Di Bari's firm would like to increase their respective fees; both fees have not been raised in two years. Housing Action Council's scope of work was updated to include to include the review of new housing applicants. The fee shall remain at$400 per application and will be subject to a 4% increase on the anniversary of the agreement. Water is a big issue as the rate is increasing significantly, due to the construction of a water filtration plant. Chair Mileto and Mr. Padernacht reviewed different water cost saving appliances. Mr. Altieri reviewed the Page 1 of 9 Housing Authority November 4, 2024 different reserve funds the Housing Authority has in place that the Town requires. Moved by Board Member Philbrick-Wheaton, seconded by Board Member Thaul Resolved, that the Town of Mamaroneck Housing Authority does hereby approve the 2025 budget and increase of rent. Carried 2025 TMHA Budget 3. Update on Furnace Replacement Grant Program Mr. Altieri reviewed the history of the current heating system, which is the original system. A grant was found for the replacement of the heating system. A concern is that the system would go from fossil fuel to electric, which could lead to an increase in a tenant's electric bill. Mr. Altieri would like to study how beneficial the grant would be for the Housing Authority and tenants. Many costs are associated with replacing gas such as disconnecting a gas line. Mr. Altieri has drafted an RFP for the Housing Authority to have the study done. He also said if the Housing Authority stayed with gas, there are probably more efficient boilers on the market. Mr. Padernacht discussed the cost associated with replacing the heating system. Ms. Philbrick- Wheaton discussed using a wall mounted heating system. Chair Mileto said there may be venting issues that an Engineer would review. She then discussed completing a solar project to offset the electric costs to tenants, Mr. Altieri replied that is more work then worth it. The Housing Authority reviewed the solar project the Town did. Mr. Thaul and Mr. Altieri reviewed the timeline of the RPF and project. 4. Other Business Landscape Project- Mr. Altieri reviewed the project and history. The project cost was too large and so a small area in the complex was designated as the project zone. Mr. Padernacht had the current landscaper evaluate the area, and they proposed a locked in price of$29k for the project cost. He is recommending moving forward with the use of the current landscaper. The project will involve planting grass and other smaller plantings. Tenant Information Session -The Housing Authority agreed that the meeting would be held on December 3rd at 7pm. An agenda was proposed by Mr. Altieri and Mr. Padernacht. Councilwoman Fiddelman suggested having a member of the Town Board attend the meeting. Moved by Board Member Philbrick-Wheaton, seconded by Board Member Thaul Resolved, that the Town of Mamaroneck Housing Authority does hereby approve the use of the locked in price of$29,000.00 for landscaping at the Hommock Park Complex. Carried 5. Request for Executive Session - Potential Litigation Moved by Board Member Philbrick-Wheaton, seconded by Board Member Thaul The Mamaroneck Housing Authority agreed to enter into Executive Session to discuss potential litigation. Carried 6. Adjournment The meeting was adjourned at 8:29PM. Next Regularly Scheduled Meeting - December 2,2024 Page 2 of 9 Housing Authority November 4, 2024 Page 3 of 9 Memorandum To: Chair and Members of the Town of Mamaroneck Housing Authority Board Re: Submission of Preliminary 2025 TMHA Budget Date: October 28, 2024 Submitted for the Board's review is the Preliminary Budget for the Town of Mamaroneck Housing Authority(TMHA)for the fiscal year beginning January 1, 2025. Overview 2024 Budget 2025 Budget Change Revenues $_1,051,540 $1,109,410 $57,870 Expenses 971,902 $1,053,945 $82,043 Vacancy Rate * $52,577 $55,465 *Vacancy Rate is calculated at 5% of total revenue and treated as an expense Revenues As noted above, total revenues will increase by$57,870 with the bulk of the increase projected for rental income. Rental income is proposed to increase by 1.5% translating into a proposed rent increase of 1.5%. With this proposed increase the average monthly rent increase is$30.25. The other proposed revenues are minor. Expenses The total proposed expenses for the coming year total$1,053,945. It is important to note that the expenses include a contingency account of$67,622. The contingency account is included in the budget to provide an expense reserve should individual expenditures exceed their budgeted amounts due to unexpected occurrences. The following is a review of select expense account increases for 2025. Acct#506200.9 Miscellaneous Administrative Expense This expense includes the annual bond filing required for each of the TMHA bond issues as well as the $2,400 administrative expense paid to the Town of Mamaroneck for the preparation of TMHA minutes, maintenance of TMHA files, and other related administrative expenses. liPage Page 4 of 9 Acct# 540000.9 Management Fee Midas Property Management is proposing a fee increase of$2,300 for the coming year. Midas has been TMHA's property manager for two and a half years. In that time there has been no increase in the property management fee. Acct#540100.9 Legal Fees The expected increase in legal fees for the coming year is$3,000. Under separate cover,the Board will be receiving from James Dibbini Law Firm a proposed change in the retainer for discussion with the TMHA's counsel. Acct#540300.9 Consulting Fees For the coming year, the proposed expense for consulting services will increase by $18,500 to a total of$30,500. The new expense added to this line for 2025 are the fees expected fees to be paid to the Housing Action Council for the annual income recertification and income certification of new applicants for housing. The second component of this line item is the fee paid to MCA Management Services (Stephen Altieri)for general consulting and project management.An estimated$15,276 will be paid to Housing Action Council and $15,000 to MCA Management Services. Acct#610600.9 Ground Lease 611400,9 PILOT Payment These accounts represent payments made to the Town of Mamaroneck for the leasing of the Hommocks Park property and an annual PILOT Payment to the Town. Both are part of the lease agreement between the Town and the TMHA. Both payments increase by 1.5%each year. Acct#611601.9 Construction Bond #2 This account represents the annual revenue bond debt payment for the most recently completed window and deck replacement project. The total annual expense is $218,657 but must be paid monthly at the rate of$18,222. Acct#650100.9 Staff and Benefit Reimbursement The Board may recall that previously the on-site Superintendent was an employee of the TMHA. This arrangement posed difficulties concerning compliance with Civil Service laws and there was the question of how the employee would be managed. Therefore, when the new property management company was retained, the agreement required the on-site superintendent to be an employee of the company. The TMHA reimburses the property management company for the salary and benefit expenses. The proposed increase is $5,650,the first in two years. 21Page Page 5 of 9 Acct#710100 Water For 2025 we are proposing an increase of$5,000 for water service for the apartments. Westchester Joint Water Works is the water provider for the Town and will incur major capital expenses in the coming year for water filtration. We have been advised by the Town that water rates could increase by an estimated 25% due to the waterworks capital expenditures. We have highlighted here those budget lines that warranted a more detailed review. As you review the budget you will note increases in other line items. These proposed increases reflect expected cost increases and the experience in maintaining the apartment complex. The Board must adopt a 2025 Budget no later than December of this year. We will review the budget with the Board at the November 4th, 2024 meeting. Prior to that meeting should you have questions please do not hesitate to contact us so that we can be prepared to answer the questions at the meeting. Respectfully submitted Stephen V.Altieri Michael Padernacht Consultant to TMHA Midas Property Management 31Page Page 6 of 9 N csi O o d 0 o 0 o o o o 0 O O O 0 O O O O O O v co o o - o o o O 0 0 0 0 0 0 l0 0 t8 W Ln 0 O 0 Ol O O O O O Ol N O O O O co 0 N Ln n V) W N N V) Ln O O O in- in- .-i in- in- O Lfl i/} i/} fh Lfl .--I O Ol Ln' Ol N W n Olks, in .O -, i/} -, -(.4 i/} ice, t 'i 'i co im/} n c-I N U1 n i/} i/} c-I c-I i/} i/} i/} i/} i/} /} i/} i/} 1.4 1.4 1.4 N 0 0 0 0 0 N 00 0 0 0 0 0 0 0 0 N O) l0 0 W Ln 0 d- 0 l0 0 O O O O Ln W 00 N O O O 0 d- 0 0 0 t0 Ln .-I 0 cr) 00 0 t0 O O) 0 . . . . . . . . . . . . . . . . . . . . . . . . . i� .� O O Ln -1 O) 4 ,i O O O Ln O O O O 4 4 4 O O 6 O O) O en O N O) i/? i/? co O N 0 N in? V)- O) O) N 0 0 i/? (Y) Ln N in? 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