01/29/09, 8:00 A.M.

Pursuant to the e-mail notification dated January 19, 2009, the January Heartland Apartment Association Board of Directors meeting was held at the above stated date and time at the HAA offices, 2405 Grand, Suite 106, Kansas City,  MO 64108.

Board members present were: Chris Erdley, Lee Harris, Ryan Huffman, Doug Price, Ralph Lewis,  Scott Buescher, Lenora Carpenter, Jason Charcut, and Jim Bowers. Also present were Jeffrey Yates,  KCMO Finance Director, Wanda Gunter (KCMO staff), Councilwoman Beth Gottstein, Jay Stock, Carl Miller (American Paving & Marking) and Sam Alpert. (Dennis Watts,  Rick Oddo, Jerry Miller,  Ward Katz,  Bill Charcut, and Ken Riedemann were  absent.)

Chris Erdley convened and presided over the meeting.

Carl Miller with American Paving & Marking  was introduced and he made a brief presentation on his firm’s services.

The  minutes of the December 4, 2008 meeting were reviewed  and approved  by those present.

DISCUSSION W/ KCMO FINANCE DIRECTOR- Chris Erdley  and Sam Alpert introduced Councilwoman Gottstein and Jeffrey Yates,  KCMO Finance Director, providing some background with respect to being able to conduct an open discussion surrounding a number of concerns held by the HAA.  The Councilwoman expressed her interest in having Mr. Yates  hear directly more of the frank discussion she had previously heard from HAA members.  Nearly  1 ½ hours of  discussion ensued, including common concerns about  the KCMO “value proposition”  (for taxes paid),  the business license, trash rebates,  and general staff performance expectation. Mr. Yates invited those present to call upon him directly to voice concerns about  the provision of services that would fall under his purview. There was a mutually agreed intent to  enter into settlement talks as soon as possible regarding   the business license (litigation) considerations; along with the stated goal of  seeking a more universally  equitable  system of funding  such regulatory functions. Upon completing the discussion Mr. Yates and Councilwoman Gottstein departed the meeting.

KCMO TRASH REBATE- Jim Bowers and Sam Alpert reported that an ordinance providing for the trash rebate through the end of April, 2009 had been approved. So far, for the current fiscal year, the HAA’s efforts have resulted in reinstatement of $1,675,000 in trash rebate funding. There is continuing  frustration over the lack of prompt response from the City’s solid waste management staff, which has created the need for intervention and  oversight of Assistant City Manager Rich Noll. There is still confusion regarding pending legislation as to the future of the trash rebate program, beginning May 1, 2009, the City’s new fiscal year.

KCMO BUSINESS LICENSE LITIGATION- Based on the meeting’s earlier proceedings, it  was assumed by those present that  positive steps would be taken by City officials within the next several days to begin constructive settlement negotiations.

MISSOURI EMINENT DOMAIN PETITIONS- Jim Bowers reported that the Mo Secretary of State had approved petitions for circulation to obtain an adequate number of  qualified signatures to get  sharp eminent domain restrictions on an upcoming election ballot.  There is a danger that,  if successful, the petition initiative will result in unintended consequences of  sharply curtailing economic development, making public / private partnerships significantly more expensive and less attractive;  as well as calling into question numerous completed transactions.  It will be necessary to  assemble a formidable development community coalition to oppose an organized, well funded effort  that is intent on eliminating a valuable economic development tool that enables Missouri to compete on a regional,  national, and global basis.

NEW BUSINESS-

Sam Alpert reported that Rick Oddo was receiving some significant  financial assistance from the HBA with respect to his Leawood KS  “takings”  litigation. Whatever the outcome, this case will serve as an important Kansas state  precedent for many years to come.

The next regularly scheduled HAA Board of Directors meeting will be held on Thursday, February 26, 2009.

There being no further business to come before the Board, the meeting was adjourned at approximately  10:00 a.m.