05/28/09, 8:00 A.M.

 Pursuant to the e-mail notification dated May 18, 2009, the May  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, Ralph Lewis,  Scott Buescher, Rick Oddo,  and Jim Bowers. Also present were Mary Jo Shaney  and Sam Alpert. (Doug Price, Jason Charcut,  Dennis Watts, Lenora Carpenter, Jerry Miller, Bill Charcut, and Ken Riedemann were  absent.)

Chris Erdley convened and presided over the meeting.

In the absence of a quorum, the  minutes of the April 16th  meeting were reviewed, but not approved  by those present.

KCMO TRASH REBATE- Jim Bowers and Sam Alpert reported that while negotiation efforts  with the City Attorney and staff  have been underway for several months, no progress toward a definitive permanent resolution had been made. An ordinance is currently pending that would effectively eliminate the trash rebate program as of April 30, 2010. Funding of the program through the currently unfunded portion of the remaining fiscal year (July 1, 2009- April 30, 2010) would also require an appropriation ordinance. A public hearing is currently scheduled before the Finance & Audit Committee on June 17^th, at which time the HAA will go on record in opposition to termination of the trash rebate program in the absence of  a settlement that would provide for trash service to apartments comparable to that provided to  non-multifamily  residents.

KCMO BUSINESS LICENSE LITIGATION-  Jim Bowers, Mary Jo Shaney, and Sam Alpert reported that the one year mutually agreed (by the parties)  continuance of the business license lawsuit(s) was about to expire, bringing the matter before the Jackson County Circuit Court during the week of July 20, 2009. HAA’s good faith attempts to settle the matter have dragged on for several months without any substantive response from the City. There is substantial frustration that there is little motivation on the City’s part to make a serious effort at seeking a mutually  acceptable solution, so the HAA instructed Jim Bowers to write a concise letter to the City Council, setting out HAA’s position,  requisite to  reaching a tentative settlement prior to  the July 20^th court date. It is possible that  one or more parties to the lawsuit may seek a further continuance, depending on developing circumstances, which may include bringing “LANDS”, a national conservative “property rights” legal foundation, into the mix.

JOCO TAX BASE FORUM, MAY 20, 2009 - Lee Harris reported that he attended the May 20^th event sponsored by BOMA, CUC, and  HAA, which brought together various segments of the development community and representatives of  the Johnson County Board of County Commissioners.  Mr. Harris  was discouraged at observing the general “disconnect” between the County’s perception of  projected growth in assessed valuation and  actual depressed market  values for both residential and commercial real estate. He observed that several hundred million dollars worth of commercial real estate will be recycling their respective financing over the next few years, most of which will be problematic as earlier property valuations are  now likely to be sharply discounted.

MUNICIPAL CANDIDATES (SELECTION & BACKING) – Sam Alpert requested that the Board consider allying itself with others in the real estate and business communities to more effectively identify, groom, and support (both financially and through grass roots voter coordination)  qualified candidates for municipal level public office. The first step in this direction will be to focus on key regional election cycles, and to prioritize office holders of  most  relevance to on-going industry concerns and interests.

HAA 2009 / 2010 OFFICERS & DIRECTORS OFFICIAL ELECTION BALLOT- Sam Alpert submitted an official  HAA 2009 / 2010  Officers & Directors Official Ballot (see attached). Ballots will be sent out  via e-mail  requesting  return member votes by June 12, 2009.

NEW BUSINESS-

Sam Alpert submitted a request from Dan Schmelzinger of the KCMO Housing & Community Development Dept. to help identify participants for  a HUD prescribed private technical review committee to assist staff in reviewing multifamily deals involving CDBG or HOME funds. This is in light of  KCMO’s attempt to recapture the assets of the formerly troubled HEDFC.  Scott Buescher responded that he would be willing to respond to the City’s invitation to sit on the three-person technical review committee. Mr. Alpert said that he would notify Dan Schmelzinger  of Mr. Buescher’s willingness to serve.

The next regularly scheduled HAA Board of Directors meeting will be held on Thursday, June 25, 2009.

There being no further business to come before the Board, the meeting was adjourned at approximately  9:50 a.m.