HomeMy WebLinkAboutMINUTES - 05152012 - HA C.2RECOMMENDATIONS
ACCEPT report on the Housing Authority of the County of Contra Costa’s (HACCC) progress in complying with the
obligations set forth in the U.S. Department of Housing and Urban Development’s (HUD) Memorandum of
Agreement (MOA).
BACKGROUND
HUD evaluates a local public housing authority’s (PHA) management of the public housing program by using
indicators and scoring. This methodology utilizes four evaluation tools, collectively referred to as the Public Housing
Assessment System (PHAS). The four indicators that comprise the PHAS score are the physical condition, the
financial condition, the management operations, and the resident service and satisfaction. Each indicator is evaluated
and scored separately. The physical condition, financial condition, and management operations indicators are worth
30 points each, while the resident service and satisfaction indicator is worth 10 points, for an overall score of 100
points.
A PHA that receives a score of less than 60% either overall or in any one indicator is designated as troubled. A PHA
that is designated as troubled must enter into a Memorandum
Action of Board On: 05/15/2012 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF
COMMISSIONERS
Contact: 925-957-8028
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of
Supervisors on the date shown.
ATTESTED: May 15, 2012
Joseph Villarreal, Executive Director
By: , Deputy
cc:
C. 2
To:Contra Costa County Housing Authority Board of Commissioners
From:Joseph Villarreal, Executive Director
Date:May 15, 2012
Contra
Costa
County
Subject:MOA Status Report
BACKGROUND (CONT'D)
of Agreement (MOA) with HUD for the purpose of improving the PHA’s score to 60% or above. In 2009,
HACCC was designated as financially troubled based on its Fiscal Year (FY) 2008-2009 PHAS score. HACCC
received an overall score of 73, which would normally categorize HACCC as a standard performer. However,
HACCC received only 17 points out of 30 (57%) in the financial indicator, causing HACCC to be classified as
financially troubled. The low financial indicator score was primarily due to the 0 out of 9 points HACCC received
for reserve balances.
On April 13, 2011 HUD informed HACCC that the agency received a PHAS score of 74 for FY 2009-2010. One
day later HUD revised that score to 76. As with HACCC’s score for FY 2008-2009, either score would normally
categorize HACCC as a standard performer. However, HACCC again received only 17 of 30 points in the
financial indicator, and thus maintained a financially troubled rating. While HACCC improved its reserve balance
score, points were lost in the “Tenant Receivable Outstanding” and “Net Income or Loss” sub-components of the
financial indicators. HACCC entered into a Memorandum of Agreement (MOA) with HUD on October 1, 2010
that outlines steps the agency will take to improve its PHAS score. The estimated completion date was December
31, 2011. HACCC turned in documentation to HUD by that date for all items in the MOA apart from a handful
that either required staff training for items approved by the Board in December, or that are longer term, ongoing
projects such as monitoring crime rates to judge the success of strategies employed by HACCC. On March 2,
2012 HUD responded to HACCC’s MOA submissions with a request for documentation for the following items:
1. 1.1 Provide oversight of Executive Director’s performance A & B.
2. 2.1 Establish plan for completing transition to Asset Management organizational model B & E.
3. 3.1 Increase awareness of performance under FASS indicators A & B.
4. 3.3 Ensure all Finance policies and procedures are current A & B.
5. 4.1 Ensure ACOP is current and includes all HUD guidance B, C, D, E & F.
6. 4.4 Improve marketing strategies for less desirable properties C.
7. 5.1 Provide maintenance policy and procedural guidance via an up to date Maintenance plan B.
8. 8.1 Maintain focus on improving security at all properties C & D.
9. 9.1 Improve the management and scoring of the Section 8 Management Assistance Program (SEMAP) A & B.
Most of these items had been submitted to HUD previously. After meeting with HUD staff, HACCC re-submitted
documentation for the following Targets and Strategies:
1. 1.1 Provide oversight of Executive Director’s performance A & B.
2. 2.1 Establish plan for completing transition to Asset Management organizational model B.
3. 3.1 Increase awareness of performance under FASS indicators A.
4. 3.3 Ensure all Finance policies and procedures are current A & B.
5. 4.1 Ensure ACOP is current and includes all HUD guidance B, C, D, E, & F.
6. 4.4 Improve marketing strategies for less desirable properties C.
7. 5.1 Train staff on the new Maintenance Plan B.
8. 8.1 Maintain focus on improving security at all properties C.
9. 9.1 Improve the management and scoring of the Section 8 Management Assistance Program (SEMAP) A.
HACCC is awaiting HUD’s review of this documentation. Staff has asked HUD to clarify what additional
documentation is needed for any submissions that are not approved.
The Targets and Strategies for which no documentation has been submitted yet are as follows:
1. 2.1 Establish plan for completing transition to Asset Management organizational model E.
2. 3.1 Increase awareness of performance under FASS indicators B.
3. 8.1 Maintain focus on improving security at all properties D.
6. 9.1 Improve the management and scoring of the Section 8 Management Assistance Program (SEMAP) B.
HACCC will ask HUD to move target items 2.1 E, 8.1 D and 9.1 B into the PHARS agreement, since PHARS is
an outgrowth of the MOA process. All three of these target items are ongoing processes that will not be completed
in the near term. For example, item 2.1 E requires HACCC to execute an asset management transition plan.
Because the most significant outstanding step in this process requires HACCC’s property managers to develop
and submit budgets to the executive staff and the Board for approval, this item will not be completed until next
March, the end of the current fiscal year.
Target item 3.1 B concerns a report that is dependent on HUD’s approval of HACCC’s previous submission for
3.1 A. Once that approval is received, the report will be put in place and this item can be cleared.
Similarly, target items 4.1 F and 5.1 B involve training staff on items for which HACCC was awaiting HUD’s
approval. HUD approved the relevant earlier submissions in its March correspondence, so HACCC has begun to
train staff in these areas. Training for target items 4.1 F and 5.1 B should be complete by the end of May, 2012.
A copy of the most recent MOA chart received from HUD is attached.
FISCAL IMPACT
No immediate impact.
CONSEQUENCE OF NEGATIVE ACTION
This item is an information item only.
CLERK'S ADDENDUM
ATTACHMENTS
MOA Agreement 5-15-12