04/27/06, 8:00 A.M.

Pursuant to the e-mail notification dated April 18, 2006, the April 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: Doug Price, Jerry Miller, Ralph Lewis, and Rick Oddo. Also present were Jim Adams, Scott Buescher; Jim Bowers, and Sam Alpert. (Lee Harris, Jim Beverlin, Bill Charcut, Chris Erdley, Ward Katz, Dennis Watts, and Ken Riedemann were absent.)

The minutes of the last meeting on 03/30/06, which had been previously circulated, were reviewed and approved by those present.

KCMO RENTAL PROPERTY REGULATION TASK FORCE- Sam Alpert reported that the final report of the Rental Property Regulation Task Force had been presented to the full City Council on April 6th. There had been funding concerns expressed by a number of city council members, who generally agreed that if "fees" were to be assessed as required financial support for the recommended codes enforcement program, approval by the voters would be necessary. Some of the city council members were of the opinion that in order to realize a marked improvement in dealing with neighborhood "blight", the city should be able to identify existing resources from which to fund a nominal increase ($765,000) in enforcement operating expenses. Jim Bowers added that due to a recent internal audit of KCMO housing initiatives, the specific concerns addressed by the task force would become a "sub-set" of issues to be considered in any administrative shake-up resulting from the findings of the comprehensive housing audit.

KCMO BUSINESS LICENSE- Jim Bowers reported that of three separate lawsuits apartment owners had filed, two in 2005 and the latest one in 2006, the city is seeking to remove the 2006 case from the state court (Jackson County Circuit Court), to be referred to federal court on the grounds that it contains a claim involving U.S. Constitutional consequences by way of our attempt to recover associated attorneys' fees. Mr. Bowers characterizes this move on the city's part as a nonsensical disruption of the adjudication process, which will undoubtedly result in the federal court remanding the case back to the state once it considers the overwhelming local implications. Meanwhile, a meeting with city officials on the subject dispute is scheduled to be held on May 1st. It is expected that in addition to Sam Alpert, Roger Buford, Dale Schulte, and Jim Bowers, city officials in attendance will be Mayor Barnes, Wayne Cauthen, Donovan Mouton, Galen Beaufort, and Debra Hinsvark.

KCMO FIRE INSPECTION FEES - Sam Alpert reported that he had contacted Mike Abrams at Lathrop & Gage regarding the coordination of filing "amicus" briefs with the appellate court. Alpert was advised that while it is still early in the process, there should be a cautious pre-filing review of any and all such filings to be sure that they are entirely consistent with the plaintiff's position.

JOCO WASTEWATER (JCW) - At the 03/30/06 HAA Board meeting Sam Alpert reported that the previously submitted joint communication to the JOCO BOCC and WaterOne had yet to receive a response, but that Lee Harris had written both boards on Cohen-Esrey's behalf (letter was included in the meeting package for review). Mr. Harris's letter expressed both frustration and disappointment that after two months following the initial contact neither governing body had seen fit to respond to the concerns advanced by the greater development community (the MDCAC). It was suggested that others follow the example of this company specific communication in making certain that the respective officials were properly put on notice that significant interests were weighing in. Subsequent to the March HAA meeting, representatives Doug Price, Lee Harris and Sam Alpert had occasion to articulate specific concerns to both JCW and WaterOne during three separate sessions on April 18th , April 19th , and April 21st. When pressed, both JCW and WaterOne continue to individually exempt themselves from any suggestion that any cost or service delivery inefficiencies of maintaining separate administrations (sometimes overlapping with significant "inter-dependency") might be in the public interest. Following extended discussion, it was thought by those present that encouraging a public discussion of the inefficiencies we perceive to be significant was in the best interest of apartment owners, as well as business community rate payers. In essence, the HAA should advocate consistently for efficient governance, as well as cost effective delivery of basic services.

KCMO MAYORAL RACE- Sam Alpert suggested that the HAA continue with the KCMO mayoral candidate screening process that began in March with John Fairfield. Following extended discussion, it was thought by those present that we should proceed to invite those three or four individuals we believe to be front running candidates to be interviewed. We hope to begin this process by getting Katheryn Shields to appear at the May 25th meeting.

SOLICITATION LETTER TO VENDORS- At the March HAA meeting Sam Alpert reported that Lee Harris had written his vendors (letter was included in the meeting package for review), encouraging them to financially support the HAA. It was suggested that other owners do the same. A follow-up request was made for those present to write vendor solicitation letters.

2006 / 2007 SLATE OF OFFICERS AND DIRECTORS- Sam Alpert circulated a proposed slate of HAA officers and directors for the coming year. The proposed slate was amended and approved by those present for submission to the membership on an official ballot to be completed and returned by the end of May.

The next regularly scheduled meeting of the HAA Board of Directors will be held on May 25, 2006.

There being no further business to come before the Board of Directors, the meeting was adjourned at approximately 9:45 a.m.