Willington Housing Authority
MINUTES
May 12, 2014
60 Old Farms Road – Senior Center
Willington, CT
PRESENT – Chairman Robert Campbell, Vice Chair Wilbur Gangaway, Secretary Don Berg,
Member Laurel Millix, Treasurer Claudia D’Agata, financial consultant David Berto; Recording Secretary Brenda Sullivan.
1. Call to order – The meeting was called to order at 6:12 p.m.
2. Present to speak – No member of the public present to speak.
3. Old Business – Button Hill senior housing project
D. Berto reported on a meeting with the First Selectman, consultant Larry Wagner, Engineer Eric Peterson and the Town's financial director regarding spending funds allocated to the project through the Town (EDI funds). He said the requirements were spelled out in the original resolution authorizing the funding. He said this includes sending bills to the town for review by L. Wagner and the Town before they are paid by the WHA.
C. D'Agata asked if the Town or WHA will be writing checks to pay bills. D. Berto said his understanding is that the Town will write checks to the WHA and the WHA will then write checks to contractors or to pay other expenses.
R. Campbell said this is similar to how the Department of Housing dispersed funds to the WHA in the past; funds were deposited in the WHA's account and then WHA paid contractors.
D. Berto said now that the WHA has a project, the Authority's financial records are separate from the Town's, and that this makes it easier to audit the project.
R. Campbell asked if the WHA needs a tax number. D. Berto said the WHA has a Tax I.D Number (TIN). C. D'Agata gave R. Campbell and D. Berg copies of a document with that number.
D. Berto said the Town also will deduct funds from the WHA's balance to pay for L. Wagner's services.
D. Berg asked if the Town has to look at every bill. D. Berto said L. Wagner will have a list of items to refer to, so that when bills come in, he will know what they're baed on.
D. Berto said L. Wagner also will review the bid package before it's published to determine such things as if it meets the EDI and the Town's procurement requirements. L. Wagner will also review contractors' agreements.
Therefore, L. Wagner will have records he's familiar with that he can compare the bills to, D. Berto said. L. Wagner will be paid about $12,000 for his services.
D. Berg asked if the WHA has to use prevailing wages. D. Berto said EDI doesn't require prevailing wages, nor does the Town, but last month the Department of Housing gave the WHA more money in order to make up for higher costs based on prevailing wage, because of a new rule applied to Housing Authorities. D. Berto said the rationale behind the new rule is that Housing Authorities are now considered an arm of a municipality.
D. Berto said the contractor chosen by the WHA, Zlotnick Construction, was asked to revise their pricing using the prevailing wage figures, but the company was told those numbers can only be released to the Housing Authority, not to the contactor.
So, D.Berto's office has submitted a request for that information and when it is received, it will be given to Zlotnick to reprice the project – and these figures will be used for the infrastructure bid package.
D. Berto said he is working with consultants Larry and Nancy Wagner, and Eric Peterson, to develop a scope of work using the EDI funds.
R. Campbell said the bid request for the infrastructure work hasn't gone out yet. He added that the Town's requirements include accepting the lowest qualified bidder.
C. D'Agata asked who determines whethr a company is “qualified.” R. Campbell said the WHA does and bidders would be expected to have experience with a project like Button Hill senior housing. D. Berto said that unless the WHA can prove the lowest bidder is not qualified, the Authority does have to award the contract to that company.
D. Berto said the plan is to do as much work with the Town funds ($176,000) as possible, such as clearing and grading the site, possibly putting in some pipes, laying down a gravel road, etc.
D. Berto said Zlotnick was asked to bid the whole project, so now he will have to remove some of the site preparation/infrastructure work and reprice
C. D'Agata asked if the WHA will be responsible for Button Hill senior housing once it's completed.
R. Campbel said, yes – and the WHA will probably hold monthly meetings at first, then meet quarterly. The town is required to have a Housing Authority, he said. D. Berto said the day-to-day operations, however, would be handled by the Button Hill property management company.
D. Berto reported that Putnam Bank sent him standard bank loan applications to complete – one for the $1,730,000, a second for the $500,000, and a third for the $20,000 “gap funding” request. Once R. Campbell and D. Berg sign the applications, they will be sent to the bank which will take the applications to the board of directors for approval.
D. Berto said the bank also wants revised financials reflecting the change in funding amounts.
D. Berg asked how the checks from the bank will be made out. R. Campbell said they will be payable to the Willington Housing Authority. D. Berto said the WHA is the legal entity, while Button Hill Senior Apartments is the project name that was used on funding applications.
There was discussion about closing out the WHA Rockville Bank account and using the $100.04 balance to open a new account at Putnam Bank.
D. Berg then distributed copies of two draft resolutions regarding procedures for signing checks.
There was discussion about changing the word “two” (2) to “any authorized officer”; removing the word “homes” from Button Hill; and removing the word “draft” from the document.
D'Agata then moved, and L. Millix second the motion, to pass the following resolutions with the aforementioned changes as discussed “and any minor modifications that may be required by the bank” :
Resolution 1:
RESOLVED, that Robert Campbell (President), Donald Berg (Secretary), & Wilbur Gangaway (Vice President) of the Willington Housing Authority be authorized as check-signers on all “Willington Housing Authority-Button Hill” checking accounts.
Resolution 2:
RESOLVED, that The Putnam Bank is hereby designated as a depository of the “Willington Housing Authority-Button Hill” checking account.
Any authorized officer may open and maintain the above designated deposit account, enter into written lease for the purpose of renting and maintaining a Safe Deposit Box, or may enter into a written Night Depository Agreement, subject to the terms and conditions specified in the applicable account agreement.
The persons identified from time to time as authorized signers listed above have been duly designated by the officers of the “Willington Housing Authority-Button Hill” checking account.
Any and all acts of any of the authorized signers of the “Willington Housing Authority-Button Hill” checking account in connection with any deposit account or services with the Putnam Bank are hereby ratified and confirmed as duly authorized acts of the “Willington Housing Authority-Button Hill” checking account.
The Putnam Bank is authorized to act without further inquiry in accordance with writings bearing the number of authorized signatures indicated above unless and until the Putnam Bank has been notified of any change of authorized signers and of further authorization for other individuals to so sign, together with a specimen of the signature of each such individual.
The authorized signers may endorse in the name of this “Willington Housing Authority-Button Hill” checking account checks, drafts or order “for deposit only”, and such endorsement may be written or stamped without designation of the signer making the endorsement. On such items deposited, all prior endorsements are hereby guaranteed by the Willington Housing Authority.
Any authorized signers may endorse checks or other orders for the payment of money withdrawing funds, may transfer, or enter into agreements with the Putnam Bank concerning the transfer of the funds of this “Willington Housing Authority-Button Hill” checking account, whether by telephone, telegraph, or any other manner whatsoever. Such authorized signature may be in writing or by facsimile.
When dealing with any authorized signer, the Putnam Bank shall be permitted to assume that the authorized signer is representing the “Willington Housing Authority-Button Hill” checking account and the purpose of their business transaction is within the scope of the business of the “Willington Housing Authority-Button Hill” checking account.
The Putnam Bank shall not be obligated to verify or confirm any representation nor see to the application of the “Willington Housing Authority-Button Hill” checking account funds for the purpose so represented.
The Putnam Bank in no way be responsible for misapplication of “Willington Housing Authority-Button Hill” checking account funds encumbered or disposed of by an authorized signer by virtue of the authority given in this Resolution.
All prior Resolutions of the Willington Housing Authority that were adopted by the Willington Housing Authority and certified to the Putnam Bank for application in governing the Willington Housing Authority’s deposit account with the Putnam Bank are in full force and effect, unless this Resolution supplements or modifies those prior Resolutions.
The authority of this Resolution and its provisions thereof shall remain in full force and effect until the Willington Housing Authority officially notifies the Putnam Bank to the contrary in writing.
Dated 5/12/2014
The motion passed unanimously.
D. Berg also read a list of the steps that need to be done to meet the town's requirements.
D. Berto added that he needs at least one voided check to give to the State of Connecticut to set up a wire transfer of funds.
R. Campbell said the Town also may choose to wire funds to the WHA account, instead of writing actual checks.
W. Gangaway and R. Campbell said that when it comes to the WHA paying bills, they prefer that it be done by actual checks, which could be signed at WHA meetings.
C. D'Agata asked how she will know who to write checks to.
D. Berto said Rose (in his office) will prepare the request for funds, and when approved by the funder (i.e. the Dept. of Housing) will send a notice to C. D'Agata about who to write checks to. His office also will reconcile statements every month. Envelopes for sending the checks will be sent with the notice to C. D'Agata. Checks may be mailed to contractors, or given to contractors at a WHA meeting, or delivered via a WHA member by hand. D. Berto said there probably won't be more than five checks issued a month.
D. Berto gave W. Gangaway the check register from the Rockville Bank account.
4. New Business –
L. Millix said she's been asked when there will be a sign-up list for renting units at Button Hill. R. Campbell said that currently there is a sign-up list for those who are interested in being tenants and that list will be used to alert these people when there's an actual waiting list.
5. Approval of minutes – C. D'Agata moved and W. Gangaway seconded the motion to accept the April 14, 2014 minutes as presented. The motion passed unanimously.
6. Treasurer’s report – C. D'Agata presented the Treasurer's Report – the only expenditure was $53.83 for secretarial services, leaving a balance of $1,627.18.
7. Correspondence – An April 30, 2014 Rockville Bank statement was given to R. Campbell.
8. Adjourn – The meeting adjourned at 7:20 p.m.
Respectfully submitted by Recording Secretary Brenda Sullivan. Please note that minutes are posted prior to being officially approved – changes/corrections are indicated in the subsequent month’s meeting minutes.
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