HomeMy WebLinkAboutKit Housing - 2016-09-21
Minutes
Board of Directors Meeting
Wednesday, September 21 , 2016
City of Kitchener City Hall,
Conestoga Room
PRESENT: B. McColl (Chair)
Directors: T. Bleaney, R. Parent, A. Chin, B. Ioannidis, L.
Keys, F. Etherington, P. Kohli, M. Seiling
General Manager: L. Trumper
Manager of Accounting: S. Heide
Manager of Facilities: I. Anghel
Account Analyst: C. Suciu
REGRETS: B. Vrbanovic
Meeting Opening
1.1 Call to Order
Bob McColl- Chair, called the meeting at 3:00
1.2 Declaration of Conflict of Interest.
There was no conflict of interest declared.
1.3 Approval of Agenda:
Res #01-09-16: Approval of Agenda
On a motion by B. Ioannidis seconded by R. Parent, that the agenda be
approved as modified.
1.4 Approval of Minutes
Minutes were circulated with the agenda.
Res #02-09-16: Approval of Board Minutes – June 15, 2016
On a motion by L .Keys seconded by A. Chin, it was resolved that the minutes
of the Board Meeting of June 15, 2016 be accepted as true.
2. Finance & Administration Business
2.1 Rental Arrears Report for August 31,2016
Rental Arrears Report for August 2016 was circulated with the agenda. Camelia presented the
report. The rent arrears were at 5% and we had 7.1 vacancies.
2.2 Tenant Placement Report
Tenant Placement Report for August 2016 was circulated with the agenda. Scott presented the
report. During the month of August we had 8 notices to vacate.
The Region of Waterloo performance indicator uses a 15 day target for days vacant. At the end
of August we have had a total of 40 vacancies with an average of 35 days vacant. There are a
few instances that will drive the number of days a unit stays vacant. Scott will prepare a report
for the next Board meeting to show the reason we had an average of 35 days vacancy on the
40 vacant units
2.3 Howe Drive Mortgage Renewal
On August 1, 2016 the term of the mortgage on 45 Howe Drive expired with a remaining
balance of $2,921,173. The mortgage is currently held with Versa Bank who offered a renewal
rate of 4.76%. KHI management obtained an extension with Versa through September to
facilitate the tender of anew mortgage as the renewal rate offered was not considered to be a
competitive rate.
KHI obtained three additional mortgage quotes with key terms as follows:
Royal Bank of Canada (RBC): 2.60% fixed rate; 5 year term; 25 year amortization
period; estimated fees $7500
Canadian Imperial Bank of Commerce (CIBC):3.04% fixed rate; 5 year term; 25 year
amortization period; estimated fees $11,500
First National Financial LP: 2.58% fixed rate; 10 year term; 25 year amortization period;
estimated fees $10,000-$15,000
After discussions and reviewing all options the board decided to approve the recommended
option First National Financial.
Res #03-09-16: Mortgage Renewal: 45 Howe Drive
On a motion by T. Bleaney seconded by A. Chin, it was resolved that the
Board approve the loan proposal from First National LP for 2.5% fixed rate ,
ten year term.
2.4 2017 Market Rent Increase
In accordance with the Residential Tenancies Act, a landlord has the right to increase rent on
an annual basis. Accordingly, management is presenting proposed market rent increases for
st
2017 which would take effect on January 1, 2017.
Res #04-09-16: Market Rent Increases
On a motion by R. Parent, seconded by L. Keys it was resolved that the Board
approves the 2017 Market Rent Increases
2.5 Region of Waterloo Annual Subsidy Entitlement
On an annual basis, KHI is required to submit an operating budget to the Region of
Waterloo for the provincial portfolio. This budge determines the organization’s estimated
annual funding for the upcoming fiscal year and is referred to as the Annual Subsidy
Entitlement. There are several main components to the submission: Indexed benchmark
revenues, market rents, indexed operation costs, other operating expenses.
Res #05-09-16: Region of Waterloo 2017 Annual Subsidy Entitlement
On a motion by B. Ioannidis seconded by T. Bleaney, it was resolved that the
Board approve the Region of Waterloo 2017 annual Subsidy Entitlement.
2.6 Region of Waterloo 5 year Capital Plan
The 2017 ROW 5 Year Capital Plan was presented by Scott.
On an annual basis, KHI is required to submit a five year capital plan to the Region of
Waterloo. This budget is for the Provincial Portfolio only and does not include properties
funded by other programs. KHI management is currently in the process of a comprehensive
review of our capital requirements and is developing a 20 year capital forecast that will be
tabled by the end of this fiscal year.
Res #06-09-16: Region of Waterloo 5 Year Capital Plan
On a motion by M. Seiling seconded by P. Kohli, it was resolved that the
Board approve 5 year Capital Plan for submission to the Region of Waterloo.
2.7 2017 Investment Summary
Scott presented the Investment Summary as of December 31, 2015.
3 Facilities Operations/Property Management Business
3.1 430 Connaught Housing Development Update
st
On July 1, 2016 Dakon Construction broke ground for the new housing development.
3.2 Elevator modernization at 25 Joseph and 20 Union Lane
As per board recommendation at the last board meeting, KHI staff has submitted a RFP to 3
elevator consultants: KJA, Soberman Engineering and Solucore Inc. All consultants have
submitted their proposals and
4. Matters for Discussion
4.1 GM’s report
Lori provided information on the following:
Board Governance and Sub-committees.
Lori recommended that the Board reconsider the Sub-Committee structure to
more accurately reflect our current focus and strategic plan initiative. A list
with the current Board Sub-Committee was circulated at the meeting
Board Term Renewal
4.2 Strategic Plan Update
Throughout the last few months, considerable time and attention has been put to
completing the strategic plan document, formalizing the implementation plan,
establishing dates and timelines for completion and determining goal champions.
4.3 Smoke Free Policy
Over the past few months Lori consulted with a representative of the Region of Waterloo
Public Health and Licensing and Enforcement to review our policy and practice with
respect to our smoke free policy as it relates to 35 David Street and 25 Joseph Street. A
Public Consultation Meeting was held on July 2016 with the residents of both properties
to present and discuss changes to the policy that would prohibit smoking in all leased
space, common areas and outdoor space of both properties.
Res #07-09-16: Smoke Free Policy
On a motion by R. Parent seconded by A.Chin, it was resolved that the Board
approve Smoke Free Policy as revised on September 16, 2016.
5. In-Camera Business
5.1 Motion to go In-Camera
Res #08-09-16: Approval for In-Camera
On a motion by A.Chin seconded by R. Parent, it was resolved that the Board
meet in-camera at to discuss a legal matter.
5.2 Motion to come out of in-camera
Res #09-09-16 Approval to come out of In-Camera
On a motion by T. Bleaney seconded by L. Keys, it was resolved that the
Board come out of in-camera meeting.
6 Matters for Noting – N/A
7 Meeting Closing
7.2 Next Regular Meeting
Next meeting: Wednesday October 19, 2016 @ 4:00 PM.
7.3 Meeting Adjourned
Res #10-09-16: Approval to Adjourn
On a motion by T. Bleaney seconded by L. Keys, it was resolved that the
Board meeting of June 15, 2016 be adjourned at 5:40p.m.
.
__________________________ _____________________________
Chair Date
__________________________ ____________________________
Date
Vice--Chair