Stop-Loss Year 1 Reviewer Checklist
Stop-Loss Reviewer Checklist (Mandatory Items)
SUBMISSION ITEM CENTRAL OFFICE COST CENTER Project-based Budgets Questions Relevant to Evaluating Criterion #1 1 Does the number of units in budget agree with the number of units in PIC? Comment: 2 Does the budgeted subsidy represent a reasonable subsidy based on projected HUD funding? Comment: 3 Do the property budgets reasonably contain the income and expense elements as shown in the Stop-Loss kit example? Comment: 4 Does the sum of the AMP budgets equal the public housing project budget total? Comment: 5 Are capital fund amounts that are used for subsidy (1406) reflected in the AMP budget? Comment: 6 Does analytical review of the budgets align itself to PHA historical reporting and current known revenues, including such items an energy performance contracts, investment income, and other income? Comment: Questions Relevant to Evaluating Criterion #2 8 Are the site personnel dedicated to each site in the property budgets? Comment: 9 If „Yes‟, based on the number of units and the composition of the property, are the number of people dedicated to each site reasonable? Comment: 10 Are there positions reported that seem to be unreasonable? Comment: Questions Relevant to Evaluating Criterion #4 12 Are there expenses in the AMP budgets that should have been reflected in the COCC budget? Comment: 13 Are the fees detailed on the property budgets consistent with the allowable fees for this PHA? Comment: Budget for Central Office Cost Center (COCC) Questions Relevant to Evaluating Criterion #3 15 Does the Submission Package include one spreadsheet containing an itemized Budget for the COCC? Comment: 16 Does the budget show the detail for management fees earned from the AMPs, and do they match the fees permitted under the formula? Comment:
Stop-Loss Year 1 Reviewer Checklist
17 Does the budget show the detail for bookkeeping fees earned, and do they match the fees permitted under the formula? Comment: 18 Does the budget show the detail for asset management fees earned, and do they match the fees permitted under the formula? Comment: 19 Does the budget show the detail for Section 8 fees earned or other fees earned (outside management, etc.)? Comment: 20 If the COCC showed administrative fees from other programs, do COCC payroll amounts represent full payment amounts? Comment: 21 Does the budget show the detail for Capital Fund fees earned? Comment: 22 Does the budget show the detail for administrative payroll expense at the full salary? Comment: 23 Does the budget show a detail of the benefits associated with all administrative positions? Comment: 24 Does the budget include a line item for each administrative cost category (for example, legal, staff training, travel, audit, computer hardware and software, office expenses)? Comment: 25 If the PHA does not own its own building, does the budget include a line item for rent? Comment: 26 Does the budget include line items for central office utilities (gas, electric, water/sewer, trash collection)? Comment: 27 Does the budget include maintenance and cleaning services for the central office? Comment: 28 Does the budget include insurance for the central office? Comment: 29 Does the budget show at least break-even cash flow? Comment:
Questions Relevant to Evaluating Criteria #1 and #2 31 Does the COCC management fee and fee-for-service revenue agree to the related expenses in the AMP budget? Comment: Schedule of COCC Fees and Charges Questions Relevant to Evaluating Criterion #4 32 Is any fee-for-service being provided by the COCC? Comment: If YES: 33 Are the fees-for-service clearly listed? Comment:
Stop-Loss Year 1 Reviewer Checklist
34
Are the fees-for-service calculated correctly? Comment:
35 Is the cost for the service clearly demonstrated (fee-for-service, pro rata, other)? Comment: 36 If the cost is based on fee-for-service, are the costs based on actual costs of providing the service? Comment: 37 If YES, is each person whose time is being charged clearly delineated? Comment: 38 Are central office supervisory staff being paid by the COCC in accordance with PIH policy? Comment: 39 Is each position shown on the organization chart listed on the payroll detail? Comment: 40 Does the back-up demonstrate how the pro-rata ratios have been determined? Comment: 41 Is the service being charged based on comparable cost for obtaining the service from an outside source? Comment: Schedule of Salaries and Positions for COCC Questions Relevant to Evaluating Criterion #3 43 Is there a schedule of Salaries and Positions for the COCC? Comment: 44 Does this schedule include every position included on the org chart? Comment: Copy of Current Capital Fund Annual Statement and Five-Year Capital Plan Questions Relevant to Evaluating Criterion 6 46 Does the agency have an approved CFP five-year action plan that lists "all large capital" items describing the capital improvements? (PHA-wide projects are permissible but should be minimal) Comment: 47 Are the improvements to be undertaken in the Five Year Capital Plan consistent with the Housing Authority‟s long-term strategy set forth in the asset management strategy and do they appear to be reasonable based on the property‟s condition, physical needs assessment, and market conditions? Comment: 48 Are budgetary transfers from the capital fund (BLI 1406, BLI 1408 & BLI 1410) reasonable based on the annual plan submitted? Comment: 49 Does the PHA indicate that it has or will be using the Capital Fund Financing Program to leverage funds? Comment:
Stop-Loss Year 1 Reviewer Checklist
SUBMISSION ITEMS STOP-LOSS REQUIREMENTS PHA Organizational Chart Questions Relevant to Evaluating Criterion #2 51 After reviewing the Organizational Chart, do you have a feeling that you clearly understand how the PHA is organized and that staff providing services to the site groupings (but are not listed under the staff groupings) are clearly identified and conform to an Asset Management model? Comment: Does the organizational chart detail the following: 52 (a) Reporting of project groupings? Comment: 53 (b) Reporting of property management and other departments such as finance, social services, asset management, Section 8, etc.? Comment: 54 (c) Reporting of the executive office? Comment: 55 Does it appear that all management functions are identified (social services, capital funding staff, etc.)? Comment: 56 Are all property management functions shown either at the site or at the COCC (wait list, compliance monitoring, etc.)? Comment: 57 Are there duplications of Central Office functions either among the central office departments or between the central office and the site groupings? Comment: 58 Do Central Office employees providing fee-for-service to the sites match the listing of central office staffing who perform tasks out of the central office? Comment: 59 Are there staff who are allocated back to the sites who are not part of the site grouping section of the Chart? Comment: 60 In reviewing the project budgets and central office budgets, do the staffing allocations match the listing of staffing in the organizational chart that are providing services to the site? Comment: Description of How Management Services are Arranged Questions Relevant to Evaluating Criterion #2 62 Does the Housing Authority's list of tasks cover all basic work items? Comment: 63 Are the projects able to sustain a break even or cash flow budget given the load of fee-for-service charges to the AMP? Comment: 64 Are the comments thorough enough to have a clear picture of how tasks are completed and who completes them? Comment: 65 Do the tasks listed on the Description of Management Services match those detailed in the PHA Organizational Chart? Questions Relevant to Evaluating Criterion #3 67 Does the mode of delivery match the project budgets in terms of allocation of costs back to the site? Comment:
Stop-Loss Year 1 Reviewer Checklist
68 Does the PHA show how they built the fee for service rates and the number of hours that would be billed back to each AMP? Comment: Description/Example of Process for Monitoring Project Performance Questions Relevant to Evaluating Criterion 5 70 Do the Management Monitoring Reports used by the PHA cover the systematic review of the physical, financial, and management performance of the project and are these sufficient to adequately monitor management performance? Comment: 71 Are these reports prepared in a reasonable time frame and at reasonable intervals? Comment: 72 Are the reporting items consistent with acceptable property management standards practiced in the industry? Comment: 73 If the PHA does not use reports to monitor management performance, have they provided a narrative describing the process they use to gather information each month to make determinations regarding the project‟s performance? Comment: 74 If the PHA has provided a narrative, does the process described in the narrative allow the PHA to adequately collect, analyze and monitor project performance? Comment: 75 How does the Housing Authority monitor the financial performance of the property? Operating Statement and Variance o other (specify ) Comment: 76 If the property operating budget projects a deficit, are the reasons for the deficit and approaches for dealing with the deficit described in the management performance reports or other project reports? Comment: 77 At a minimum, the PHA uses the following criteria to identify non-performing properties: (1) receives a REAC Physical Inspection score of less than 70% (2) has significant crime and drug problems? (3) is below 95% occupancy? (4) has tenant accounts receivable that exceed 7% of monthly rent roll? (5) would receive a “D” or lower score under the Public Housing Assessment System (PHAS) for the Management Operations sub-indicators related to Unit Turnaround and Work Orders (emergency and non-emergency)? (6) has utility consumption exceeding 120% of the agency average? (7) has other major management problems? Comment: 78 Does the management plan cover all of the non-performing PHA projects? Comment: 79 These reports prepared: monthly
quarterly
annually other (specify Comment:
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80 If the PHA does not have a report identifying non-performing properties, did they provide a narrative describing how they gather the necessary information to determine which, if any, properties are non-performing? Comment: 81 Is the narrative describing the process adequate to identify properties as non-performing? Comment: 82 Is the report or narrative identifying non-performing properties or narrative consistent with the applicable scores in REAC PASS and MASS? Comment:
Stop-Loss Year 1 Reviewer Checklist
Management Plan for Non-Performing Properties Questions Relevant to Evaluating Criterion 5 84 Do all of the projects identified as non-performing have a Management Plan? Comment: 85 Does the Management Plan for each such property define the reason(s) the project was identified as non-performing? Comment: 86 Do the proposed steps in the Management Plan appear appropriate to address the problem(s)? Comment: 87 Does the plan provide measurable goals to address the problem(s) within a specified time frame? Comment: 88 If the property is classified as a non-performing property and is running a deficit, are the reasons for the deficit and approaches for addressing the deficit detailed in the Management Plan? Comment: 89 If the condition(s) causing the property to be identified as a non-performing property are expected to exist longer than one year, are the conditions adequately addressed in the Asset Management Strategy Narrative? Comment: Certification of Long-Term Capital Planning Questions Relevant to Evaluating Criterion 6 91 Does the certification reflect that the agency has adopted a long-term reduction in energy and utility consumptions by either adopting a plan to guide energy and utility consumption reduction, or utilizing HUD energy incentives, or by using Energy Star equipment for retrofits? Comment: 92 Is the certification signed by an authorized PHA official and dated? Comment: Narrative Asset Management Strategy for Each Project Questions Relevant to Evaluating Criterion 2 94 Are all properties or property groupings listed and detailed on the Narrative? Comment: 95 Does each narrative provide a summary of the property's current status with a historical note? Comment: 96 Does each narrative provide a long-term plan/vision for the property? Comment: 97 Does each narrative provide a plan for how to reach the long-term goal? Comment: 98 If a property‟s budget has a negative cash flow is there a strategy described in the narrative for revitalizing, repositioning, disposing or otherwise stabilizing the property? Comment: 99 If the narrative identifies a problem property (crime/significant disrepair, etc.), has a Management Plan for Non-Performing Properties been submitted with the Submission Kit? Comment: 100 Do the Capital Needs Assessment, Project Budget, Long-term Planning, etc., reflect the long-term vision for the property noted in the Narrative Asset Management Strategy? Comment:
Stop-Loss Year 1 Reviewer Checklist
Certification of Compliance with Risk Management Responsibilities Questions Relevant to Evaluating Criterion 7 102 Does the certification reflect that the agency meets all standards contained in Criterion 7 and is the certification appropriately signed and dated? Comment: HUD Data Items Questions Relevant to Evaluating Criterion 7 104 Under its latest PHAS designation, is the PHA not designated as troubled for physical, financial, and management or Capital Fund? Comment: 105 Does the PHA have any FHEO compliance findings, or a Voluntary Compliance Agreement that has not been implemented? Comment: 106 Does the PHA have a current energy audit within the last five years? Comment: 107 Does the PHA have any outstanding IG audit findings greater than six months old? Comment: 108 Has the PHA been designated as non-compliant with Admissions and Continued Occupancy Policies and other related occupancy directives? Comment: 109 Has the PHA had a review under the Rental Housing Integrity Improvement Project? Comment: If YES 110 Did this review result in findings against the PHA and that the PHA is not making satisfactory progress in closing the finding(s)? Comment: 111 Is the most recent PIC Delinquency Report for PHA HUD-50058 reporting above 95%? Comment: 112 Is the PHA meeting the statutory Capital Fund program obligation and/or expenditure deadlines? Comment: 113 Does the PHA have any other major compliance deficiency issue? Comment: