03/25/04, 7:45 A.M.

Pursuant to the e-mail notification dated March 18, 2004, the March Heartland Apartment Association Board of Directors meeting was held at the above stated date and time at the offices of Oddo Development Co., 8460 Nieman Road, Overland Park, KS.

Board members present were: Rick Oddo, Lee Harris, Chris Erdley, Jim Adams, Mike Cassin, Bill Charcut, Jim Beverlin, and Ralph Lewis. Also present were Tom Anderson and Julian Foster of Triad Capital Advisors (and PPM, an associated lender), Jim Bowers, and Sam Alpert. (Doug Price, Ward Katz, Jerry Miller, Dennis Watts, Ron Nolan, and Ken Riedemann were absent.)

In Doug Price's absence Sam Alpert convened the meeting by introducing Julian Foster, a guest of Tom Anderson, who proceeded to make a brief presentation on his group's current menu of financing products and services. After completing the presentation, Mr. Foster and Tom Anderson departed the meeting.

The minutes of the last meeting on 02/26/04, which had been previously circulated, were reviewed and approved by those present.

BROAD LEGAL REPRESENTATION- Sam Alpert requested Jim Bowers, who at the February meeting had previously been apprised of several issues potentially requiring a legal remedy, to discuss the terms of an on-going engagement with his firm…….White, Goss, Bowers, Schulte & Weisenfels. Following some clarification of the terms and scope of a tentative engagement, it was decided to that in addition to acting as " oversight general counsel" for the HAA, it would be prudent to proceed on a case by case basis with respect to establishing specific anticipated cost parameters commensurate with the appropriate legal action(s) to be taken.

JACKSON COUNTY COURTS- Ralph Lewis and Jim Bowers lead a discussion on what may be required to cause the Johnson County court system to be responsive to the need to docket and provide timely service for pending rent and possession cases. A motion was made by Lee Harris, seconded, and unanimously approved by those present to authorize White, Goss, Bowers, Schulte & Weisenfels (Jim Bowers) to proceed to exhaust all available administrative remedies to cause the Jackson County courts to docket cases and provide expeditious service in conformance with applicable Missouri statutes.

FHEO/ HUD- Chris Erdley reported that one of his properties had been notified by the Kansas City Fair Housing Center (KCFHC) that were seeking a meeting with respective legal counsel present to discuss certain instances of alleged ADA non-compliance on the property. When questioned about the authority under which the meeting was being requested, KCFHC was less than forthcoming, which causes the HAA serious concerns as to what the actual motivation might be. All present agreed that further research and vigilance on the part of HAA is warranted, even while we continue to monitor HUD's treatment of "frivolous" fair housing claims, and attempt to create a higher awareness of these problems at the national level.

KCMO FIRE INSPECTION FEE SCHEDULE- Sam Alpert, Chris Erdley, and Jim Adams reported that the City Council's Neighborhood Development and Housing Committee had passed out the Fire Chief's ordinance that effectively placed a $100.00 cap per "property" on the initial inspection fee for all multifamily properties, (without regard to the number of buildings included per property). Alpert had notified the entire City Council that the ordinance (expected to gain full City Council approval on March 25th) passed by the Neighborhood Development and Housing Committee without the support of the HAA or BOMA, as it did not address the core issue of fees being charged under any circumstance for a basic public service. A lawsuit, prepared by Lathrop & Gage, setting out our specific complaint against the city was scheduled to be filed within a couple of weeks. Also considered was the need to orchestrate appropriate press coverage in order that the business community's position receive a fair public hearing.

CATHERINE HANAWAY LUNCHEON- Lee Harris reported that the March 12th luncheon with the Missouri House Speaker resulted in a request for funding her run for Missouri Secretary of State. While those in attendance agreed that as Secretary of State, Hanaway would be most effective at helping to facilitate an appealing state business climate, a motion by Lee Harris was seconded and unanimously approved by those present to refer a request for a $500.00 Hanaway for Secretary of State campaign contribution to the HAPAC for consideration.

VOTER REGISTRATION- It was reported that voter registration packets continue to be widely distributed to member properties.

JOHNSON COUNTY WASTE WATER- Sam Alpert reported that no significant activity had occurred on the issue since the last HAA meeting, but that directly following today's HAA meeting, he would be attending a meeting of the BOCC to hear testimony on efforts to engage the services of an independent auditor, who would be charged with performing an in-depth study of the entire JOCO Waste Water operation.

OP STORM WATER ASSESSMENT- Sam Alpert commented that, short of a strong legal challenge (following the exhaustion of all administrative remedies), until much broader support of our position is available through the OP Chamber of Commerce and other potential allies, it will be difficult to convince the City Council that any "equitable" change is necessary.

The next meeting of the HAA Board of Directors is tentatively scheduled to be held on Thursday, April 29, 2004, 7:45 a.m. at the offices of Oddo Development Co., 8460 Nieman Road, Overland Park, KS.

There being no further business to come before the Board of Directors, the meeting was adjourned at approximately 9:15 a.m.