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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS
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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS

• Al Hester, Saint Paul (MN) Public Housing Agency
• Candace Martin, Mount Pleasant (TX) Housing
  Authority
• Bruce McNatt, Professional Inspector

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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS1 Right to Know what the
inspector is looking for (so you can prepare)
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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS2 Right to Information
during the inspection (so you can record or
photograph it)
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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS3 Right to Object before
or during the inspection?
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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESS4 Right to Appeal after
the inspection
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PHAS SCORING 100 POINTS
PHYSICAL CONDITIONS 30
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PHAS HIGH PERFORMER INCENTIVES

• Reduced HUD Oversight
• Fewer Reporting Requirements
• Extra Points in Grant Competitions
• Extra Capital Funding (400,000?)
• Public recognition?

HIGH PERFORMER(90)
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PHAS Indicator 1 PHYSICAL CONDITION

• 5 INSPECTABLE AREAS
• Dwelling units
• Building systems
• Site
• Building exteriors
• Common areas

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Take Note of the Big Ticket Areas
INSPECTIONS?

• 5 INSPECTABLE AREAS
• Dwelling units
• Building systems
• Site
• Building exteriors
• Common areas

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Preparing for PHAS Inspections...
Is a Year-Round Process!
Every PHA employee should look at units with
PHAS eyes at every visit.
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Preparing for PHAS Inspections...
Watch for commonly-cited deficiencies in units

• Cracked Outlets and Switchplates
• Defective GFI Outlets
• Smoke Detectors
• Fire Extinguishers
• Missing Breaker Panels

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Preparing for PHAS Inspections...
BEFORE you get the notice

• Train staff
• Set staff assignments (tentative)
• Alert Residents
• Prepare paperwork

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Preparing for PHAS Inspections...
Other Paperwork

• Lead paint test results
• Lead paint notices to residents
• Proof of inspections- boilers, elevators, etc.
• Area of sidewalks, parking lots

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Preparing for PHAS Inspections...
WHEN you get the notice

• Review training and assignments
• Finalize schedules
• Notify residents of specific dates
• Check paperwork, make copies

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Preparing for PHAS Inspections...
WHEN you get the notice, continued

• Send letter listing modernization work in
  progress
• To Inspector/firm
• To Local HUD

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YOUR HOUSING AUTHORITYS RIGHTS IN THE PHYSICAL
INSPECTIONS PROCESSEXAMPLES
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EXAMPLE 1 SEAL HI-RISE 144 apartments

• 2001 REAC Inspection 96
• 2003 REAC Inspection 95
• 2005 REAC Inspection 64

WHAT CHANGED?
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EXAMPLE 1 SEAL HI-RISE

• 2003 REAC Inspection 95
• Only minor deficiencies in dwelling units

• Bathroom door latches (0.3 pts)
• Thermopane windows (0.7 pts)

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EXAMPLE 1 SEAL HI-RISE
2005 REAC Inspection 64

• Exterior Emergency door (5.9 pts)
• Bldg systems Tank leak (10.2 pts)
• Common Areas Thermopane windows (8.2 pts each)

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EXAMPLE 1 SEAL HI-RISE
2005 REAC Inspection 64

• Bldg systems Unsecure elec disconnect boxes
  (8.2 pts HS)
• (Units 5.6 pts total)

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EXAMPLE 1 SEAL HI-RISE
2005 REAC Inspection 64
But the initial score was 52, so we added 12
points with requests for Technical Reviews and
Database Adjustments
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EXAMPLE 2 MT AIRY HOMES 425 Units

• 2001 REAC Inspection 84
• 2003 REAC Inspection 79
• 2005 REAC Inspection 69

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EXAMPLE 2 MT AIRY HOMES

• 2005 REAC Inspection 69

• Site Loose handrail (5.2 pts)
• Site Broken glass in play sand (5.2 pts)

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EXAMPLE 2 MT AIRY HOMES

• 2005 REAC Inspection 69

• Exterior Door to hi-rise Maintenance shop (4.2
  pts)
• Exterior Hi-rise roof blistering (9.3 pts)
• Exterior max 11.2 pts

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EXAMPLE 2 MT AIRY HOMES

• 2005 REAC Inspection 69

But the initial score was 57, so we added 12
points with requests for Technical Reviews and
Database Adjustments
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PHAS During Transition to Asset Management

• PHAS Physical Inspections Are Due by AMP
• NO PHAS Score for Management, Financial or
  Resident Satisfaction (Transition Year)
• On-Site Management Review

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APPEALS

1. Technical Review
2. Database Adjustment
3. Further Appeals

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APPEALS Technical Review
24 CFR Sec. 902.68 If the PHA believes that an
objectively verifiable and material error (or
errors) occurred in the inspection of an
individual property, the PHA may request a
technical review of the inspection results for
that property.
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APPEALS Technical Review

• 24 CFR Sec. 902.68
• The PHA must submit the Technical Review request
  to REAC in writing with
• Photographic evidence,
• Written material from an objective source, such
  as a local fire marshal or building code
  official, or
• Other similar evidence.

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APPEALS Technical Review
24 CFR Sec. 902.68 REAC may take one or a
combination of the following actions (i)
Undertake a new inspection if the PHAs
designation would change (ii) Correct the
physical inspection report (iii) Issue a
corrected physical condition score (iv) Issue a
corrected PHAS score.
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APPEALS Technical Review

• 24 CFR Sec. 902.68
• Material errors are the only grounds for
  technical review of physical inspection results
• Building data error (wrong building)
• Unit count error
• Non-existent deficiency error NOT a dispute over
  severity

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APPEALS Database Adjustment
24 CFR Sec. 902.25 (1) Adjustments for factors
not reflected or inappropriately reflected in
physical condition score. (2) Adjustments for
adverse conditions beyond the PHA's control. (3)
Adjustments for modernization work in progress.
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APPEALS Database Adjustment
To adjust a physical condition score based on
circumstances beyond the PHAs control, the PHA
must submit a request to the applicable HUD
HUB/Program Center requesting a reinspection of
the PHA's properties. The request must be
submitted within 15 days and must be
accompanied by a certification that all
deficiencies identified in the original report
have been corrected.
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APPEALS Timing
Both Technical Reviews and Database Adjustments
must be requested within 15 days after the
inspection score is posted.
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FURTHER APPEALS
24 CFR Sec. 902.69 PHA Right of Petition and
Appeal Appeal of PHAS score. If a PHA believes
that an objectively verifiable and material error
(or errors) exists in any of the scores for its
PHAS Indicators, which, if corrected, will result
in a significant change in the PHA's PHAS score
and its designation ( i.e., as troubled,
standard, or high performer), the PHA may appeal
its PHAS score
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APPEALS Timing
24 CFR Sec. 902.69 PHA Right of Petition and
Appeal Appeal and petition procedures (1) To
appeal troubled designation or a PHAS score, a
PHA must submit a request in writing to the
Director of REAC that must be received by REAC
no later than 30 days following the issuance of
the overall PHAS score to the PHA.
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APPEALS
24 CFR Sec. 902.69 PHA Right of Petition and
Appeal Upon receipt of an appeal of a PHAS score
from a PHA, REAC will review the PHA's file and
the evidence submitted by the PHA to support that
an error occurred. If REAC determines that an
objectively verifiable and material error has
been documented by the PHA, REAC will convene a
Board of Reviewwhich may determine that a
reinspection is required.
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APPEALS
24 CFR Sec. 902.69 PHA Right of Petition and
Appeal Final appeal decisions. HUD will make
final decisions of appeals, made under this
section, within 30 days of receipt of an appeal,
and may extend this period for an additional 30
days if further inquiry is necessary.
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Citations and Resources

• Code of Federal Regulations 24 CFR Part 902
• HUD-REAC Website on PHAS Inspectionshttp//www.h
  ud.gov/offices/reac/products/prodpass.cfm
• Non-HUD Websites
• Texas Housing Association http//txtha.com/
• REAC Solutions (Michael Gantt)
  http//www.reacsolutions.com/