FOR IMMEDIATE RELEASE
Contact: Michelle Wilmot, City of Kent, Community & Public Affairs
253-856-5709, mwilmot@KentWA.gov
KENT, Wash. – January 20, 2012 – With temperatures rising and rain falling, the city of Kent is shifting its focus to cleanup of downed trees and branches and clearing storm drains to prevent localized flooding.
Kent road crews are still working, and will continue working through the weekend, to clear roads of snow and ice, as well as downed trees and branches. Drivers are cautioned to be very careful as icy road conditions continue to exist within the city.
According to Public Works Director Tim LaPorte, residents are encouraged to clear storm drains of snow and debris to prevent and reduce flooding as the snow continues to melt.
“We’re asking residents and businesses to locate nearby storm drains in the street and — if it’s safe — to clear them of snow and debris. It’s the single most important thing people can do to protect their property and prevent standing water and creating traffic hazards,” LaPorte said.
In Kent, there are over 18,000 storm drains — far more than city crews can clear quickly.
Crews are also working to remove blocking trees/limbs from roadways. LaPorte reminded residents the city cannot address trees or branches on power lines. “We know Puget Sound Energy is working to the best of their ability to clear these, as well as restore power.” Roughly 25,000 residents are without electricity.
Residents aren’t alone in dealing with power outages. LaPorte said a dozen traffic signals are also out. “A signal without power becomes an all way stop.”
LaPorte also urged residents to be extremely cautious when entering Kent’s parks due to heavily damaged trees and equipment. “Any areas of parks and trails that are closed or barricaded are done so for safety purposes as we work towards clean-up and/or repair.”
Residents with trees or branches to dispose of can place them in their green Yard and Food Waste carts. They must be trimmed to less than 4 feet in length and not exceed 4 inches in diameter. “If you have more than your cart will hold, you may place them in cardboard boxes, paper or compostable bags, or tied in bundles less than 3 ½ feet in any dimension as long as it doesn’t exceed 60 pounds,” LaPorte said.
Residents with more limbs than will fit into Yard and Food Waste carts can save them for the next scheduled collection day, or dispose of them at the following locations, (fees may apply):
• Cedar Grove Composting in Maple Valley, 425-432-2395
• Rainier Wood Recyclers in Covington, 425-222-0008
• Pacific Topsoils in Tukwila 1-800-884-7645
Garbage, recycling, and food/yard waste that was not picked up this week will be picked up on the next regularly scheduled pickup day. Missed customers will be allowed to set out double their normal amount of garbage, recycling and yard waste at no additional charge. Learn more at www.AlliedWasteKent.com.
Kent’s Traffic Advisory page is at www.DriveKent.com and includes real-time information on road conditions.
Visit www.KentCommunityCalendar.com for updates on city meetings and events.
Monday, January 23, 2012
Monday, January 16, 2012
Does your condominium meet FHA standards for loan approval?
By: Peter Squier - peter@texascondoapprovals.com
www.texascondoapprovals.com
The following is an overview of the most pertinent conditions FHA requires for condo approvals. Many of these requirements are similar for FNMA and the VA condo approvals. Some of these criteria may vary based on condo type.
Insurance Requirements – Property, liability, D&O, flood (if in flood plain) and crime insurance coverage is required. Property (hazard) insurance must have 100% replacement cost coverage. Directors and Officers liability coverage (D&O) should be in place. Fidelity Bond/Crime Insurance is required for any project with 20 or more units. The coverage level must be at least equal to the sum of 3 months of HOA dues income plus the aggregate amount in all reserve funds, and ideally the highest deductible amount on other other insurance policies. If the HOA uses a management company, the management company must have comparable levels of coverage and name the HOA as an obligee. Over half of our clients have to increase the amount of their crime policy coverage to become compliant.
Reserves – One of the most closely scrutinized conditions is the level of replacement reserve funding, particularly with older projects. First, the FHA requires the HOA's budget to have a separate line item for reserve contributions and that level be at least 10% of the gross revenues. A project over a year old should have a balance that reflects an annual 10% contribution--meaning a 5 year old project should have a balance equal to 5 years of contributions plus any other required reserves. The only alternative to this is to provide a reserve study meeting HUD's requirements that supports a lesser reserve amount. Ideally no matter the circumstance the FHA would like some type of analysis, such as a professionally prepared reserve study, that shows the appropriate amount of reserve funding and that the HOA has that amount in reserves. The FHA has been out right rejecting some applications with inadequate reserves, and requiring other HOAs to get a reserve study before reconsidering the application. Submitting a poorly constructed submission package may result in your HOA needing to commission a reserve study, which can cost thousands of dollars and take up to two additional months.
Owner-Occupancy – At least 50% of the units in a project must be owner-occupied (as opposed to rented). One of the documents to be submitted is a list of all rented units and the owners of those units. This criterion has sunk condo projects near colleges that have the majority of units rented to students.
Investor Ownership – No more than 10 percent of the units may be owned or controlled by one investor (through one or multiple entities). The unit an owner-occupier lives in is not counted as an investor owned unit. This 10% limit includes all rented and leased units that a developer/builder owns, including those acquired during a project acquisition. Unoccupied and unsold units owned by a builder/developer are not considered as investor owned and are not part of the 10% limit. Eligible non-profit and/or eligible government housing programs are not subject to the 10% ownership interest limitation. Units in rent regulated projects are not subject to the investor cap. In no event can the investor ownership exceed 49% of the total units at the time of approval.
Non-Residential and Commercial Space – No more than 25% of the total floor area can be used for non-residential or commercial purposes. Any non-residential or commercial portions must be of a compatible nature with residential use. Exception requests may be considered on a case by case basis by the HUD regional homeownership center. Non-residential exceptions will not be allowed above 35% of total floor space. This includes live / work projects. A project with a live/work unit where the living area is on the 2nd floor and the work area is directly underneath it would not be eligible because this unit would have over 50% non-residential floor space.
Delinquent HOA dues – No more than 15 percent of the total units can be in arrears, defined as 30 days past due, for their condo association fee payments. This amount does not include late payments for prior late fees, pool fees or other administrative expenses. The 15 percent includes all units, including vacant and bank owned units. Exceptions may be considered on a case by case basis, only under a HRAP submission, up to a 20% cap.
Financial Documents – HOA budgets, last year's and current month's financial statements, bank statements and potentially a reserve study may be required. Financials must show solvency, specific line items showing at least 10% of monthly dues going into reserves, and adequate funding to cover insurance payments and deductibles.
Special Assessments – FHA considers special assessments to be a potential flag indicating bigger problems and the underfunding of reserves. A signed and dated thorough explanation of the special assessment is required, and unsatisfactory explanations can result in a reserve study requirement in the best case and an application rejection in the worst case.
Litigation – Any current or pending legislation must be disclosed and the total potential exposure to the HOA must be fully explained. Routine items such as a mortgagee foreclosure do not have to be reported. The FHA will assess the risk the lawsuit presents to the overall health of the HOA and the marketability of the units, and will reject any sceanrios deemed risky.
Loan Concentration -- The FHA limits its risk in any one project by capping the number of loans it will insure to 50% of all units in the project. The current “concentration level” can be viewed on the HUD approved condo website at: https://entp.hud.gov/idapp/html/condlook.cfm. It is possible to get an exception approved for up to a 100% concentration level for existing projects in good health. ACA can assist you with this request. Additionally, any FHA-to-FHA streamlined refinance transaction is always allowed.
Sales Restrictions – Any language in the condo legal documents that can be interpreted to either restrict one's ability to sell the unit or to violate the Fair Housing Act will result in a submission rejection. This includes restriction or discriminatory first rights of refusal, or even the restriction on the number of people in a bedroom. ACA's underwriting review will check on this and we will consult with you before submitting anything we believe may be result in a rejection.
Project Certification – Depending on the condo type and submission package, certain “certifications” need to be signed by an authorized representative, under penalty of law, attesting to the condo conditions and submission accuracy. Unlike several years ago, no attorney certification or letter is required.
Conversions -- Both gut-rehabs and non-gut rehab conversions have special rules and requirements which are too many to list here. However, one of the more restrictive requirements is for an independent reserve study to be performed and any items deemed to require replacement within five years must have the amount of replacement cost contributed into the reserve fund by the developer before any loan can be insured.
www.texascondoapprovals.com
The following is an overview of the most pertinent conditions FHA requires for condo approvals. Many of these requirements are similar for FNMA and the VA condo approvals. Some of these criteria may vary based on condo type.
Insurance Requirements – Property, liability, D&O, flood (if in flood plain) and crime insurance coverage is required. Property (hazard) insurance must have 100% replacement cost coverage. Directors and Officers liability coverage (D&O) should be in place. Fidelity Bond/Crime Insurance is required for any project with 20 or more units. The coverage level must be at least equal to the sum of 3 months of HOA dues income plus the aggregate amount in all reserve funds, and ideally the highest deductible amount on other other insurance policies. If the HOA uses a management company, the management company must have comparable levels of coverage and name the HOA as an obligee. Over half of our clients have to increase the amount of their crime policy coverage to become compliant.
Reserves – One of the most closely scrutinized conditions is the level of replacement reserve funding, particularly with older projects. First, the FHA requires the HOA's budget to have a separate line item for reserve contributions and that level be at least 10% of the gross revenues. A project over a year old should have a balance that reflects an annual 10% contribution--meaning a 5 year old project should have a balance equal to 5 years of contributions plus any other required reserves. The only alternative to this is to provide a reserve study meeting HUD's requirements that supports a lesser reserve amount. Ideally no matter the circumstance the FHA would like some type of analysis, such as a professionally prepared reserve study, that shows the appropriate amount of reserve funding and that the HOA has that amount in reserves. The FHA has been out right rejecting some applications with inadequate reserves, and requiring other HOAs to get a reserve study before reconsidering the application. Submitting a poorly constructed submission package may result in your HOA needing to commission a reserve study, which can cost thousands of dollars and take up to two additional months.
Owner-Occupancy – At least 50% of the units in a project must be owner-occupied (as opposed to rented). One of the documents to be submitted is a list of all rented units and the owners of those units. This criterion has sunk condo projects near colleges that have the majority of units rented to students.
Investor Ownership – No more than 10 percent of the units may be owned or controlled by one investor (through one or multiple entities). The unit an owner-occupier lives in is not counted as an investor owned unit. This 10% limit includes all rented and leased units that a developer/builder owns, including those acquired during a project acquisition. Unoccupied and unsold units owned by a builder/developer are not considered as investor owned and are not part of the 10% limit. Eligible non-profit and/or eligible government housing programs are not subject to the 10% ownership interest limitation. Units in rent regulated projects are not subject to the investor cap. In no event can the investor ownership exceed 49% of the total units at the time of approval.
Non-Residential and Commercial Space – No more than 25% of the total floor area can be used for non-residential or commercial purposes. Any non-residential or commercial portions must be of a compatible nature with residential use. Exception requests may be considered on a case by case basis by the HUD regional homeownership center. Non-residential exceptions will not be allowed above 35% of total floor space. This includes live / work projects. A project with a live/work unit where the living area is on the 2nd floor and the work area is directly underneath it would not be eligible because this unit would have over 50% non-residential floor space.
Delinquent HOA dues – No more than 15 percent of the total units can be in arrears, defined as 30 days past due, for their condo association fee payments. This amount does not include late payments for prior late fees, pool fees or other administrative expenses. The 15 percent includes all units, including vacant and bank owned units. Exceptions may be considered on a case by case basis, only under a HRAP submission, up to a 20% cap.
Financial Documents – HOA budgets, last year's and current month's financial statements, bank statements and potentially a reserve study may be required. Financials must show solvency, specific line items showing at least 10% of monthly dues going into reserves, and adequate funding to cover insurance payments and deductibles.
Special Assessments – FHA considers special assessments to be a potential flag indicating bigger problems and the underfunding of reserves. A signed and dated thorough explanation of the special assessment is required, and unsatisfactory explanations can result in a reserve study requirement in the best case and an application rejection in the worst case.
Litigation – Any current or pending legislation must be disclosed and the total potential exposure to the HOA must be fully explained. Routine items such as a mortgagee foreclosure do not have to be reported. The FHA will assess the risk the lawsuit presents to the overall health of the HOA and the marketability of the units, and will reject any sceanrios deemed risky.
Loan Concentration -- The FHA limits its risk in any one project by capping the number of loans it will insure to 50% of all units in the project. The current “concentration level” can be viewed on the HUD approved condo website at: https://entp.hud.gov/idapp/html/condlook.cfm. It is possible to get an exception approved for up to a 100% concentration level for existing projects in good health. ACA can assist you with this request. Additionally, any FHA-to-FHA streamlined refinance transaction is always allowed.
Sales Restrictions – Any language in the condo legal documents that can be interpreted to either restrict one's ability to sell the unit or to violate the Fair Housing Act will result in a submission rejection. This includes restriction or discriminatory first rights of refusal, or even the restriction on the number of people in a bedroom. ACA's underwriting review will check on this and we will consult with you before submitting anything we believe may be result in a rejection.
Project Certification – Depending on the condo type and submission package, certain “certifications” need to be signed by an authorized representative, under penalty of law, attesting to the condo conditions and submission accuracy. Unlike several years ago, no attorney certification or letter is required.
Conversions -- Both gut-rehabs and non-gut rehab conversions have special rules and requirements which are too many to list here. However, one of the more restrictive requirements is for an independent reserve study to be performed and any items deemed to require replacement within five years must have the amount of replacement cost contributed into the reserve fund by the developer before any loan can be insured.
Severe Weather Shelter
The City of Kent will be activating the Severe Weather Shelter (SWS) at Kent Lutheran Church the evenings of Sunday January 15th, Monday January 16th, and Tuesday January 17th due to dangerously low temperature predictions and snow.
Kent Lutheran Church
336 2nd Ave South
Kent, WA 98032-5849
9PM - check in and registration
7AM - shelter closes, all must vacate
Priority is given to homeless families with children who are living on the streets or in vehicles, but the SWS is also available for unoccompanied women and men; separate sleeping space has been prepared for men, women, and for families with children. The SWS will be operated by Catholic Community Services staff and volunteers from Kent Lutheran Church and the greater Kent community.
The Kent SWS will be open at 9PM Sunday, Monday, and Tuesday nights. All must register at the door. As with all shelters, rules for the health and safety of clients, staff and the broader community will apply.
For more information please contact the City of Kent, Housing & Human Services office at 253-856-5070.
Kent Lutheran Church
336 2nd Ave South
Kent, WA 98032-5849
9PM - check in and registration
7AM - shelter closes, all must vacate
Priority is given to homeless families with children who are living on the streets or in vehicles, but the SWS is also available for unoccompanied women and men; separate sleeping space has been prepared for men, women, and for families with children. The SWS will be operated by Catholic Community Services staff and volunteers from Kent Lutheran Church and the greater Kent community.
The Kent SWS will be open at 9PM Sunday, Monday, and Tuesday nights. All must register at the door. As with all shelters, rules for the health and safety of clients, staff and the broader community will apply.
For more information please contact the City of Kent, Housing & Human Services office at 253-856-5070.
Wednesday, January 11, 2012
SAVE THE DATE: Board Training Seminar
On March 20th, 2012, we will be hosting another board training seminar at the Kent Senior Center at 6:30pm. The seminar will be a mock board meeting and will discuss the roles and duties of board members. Anyone is welcome to join us! For more information, contact Janice at jmccurley@bell-anderson.net.
Friday, January 6, 2012
A Note from Vickie
A post from Vickie taken from the "CaringBride" website:
Thank You to all our Family and Friends
I really didn't think that I would be posting much more to this site, but I got to thinking that I really had a whole heck of a lot of people that needed a personal "thank you" from me.
Everyday, either here at the office or when I get home and check my mail, there are cards and letters from people who were really effected by Tim's death and who also want to make sure that the girls and I are going to be ok. I can't tell you how heartwarming all of the cards and letters have been. It sure does make going home to an empty house a little bit easier to take.
Also, to those of you that have taken time to personally call me on a regular basis, I want to say "thanks" also. It's just nice to hear from those that are concerned about my well being.
I hope you had the opportunity to attend Tim's celebration. It was an absolutely wonderful event. Most of you who knew Tim well, knew that he wasn't one for big crowds or a lot of attention. Well, I think that he would have approved. To Gabe, Kasey, Debby, Mom, Doug, Ed, Gayle, Megen, Jennifer, Ray, Dan Marinelli, Jeff, Pam, Diane, and many many others who helped us out, I thank you so very much. I'm sorry if you were there and I didn't have the opportunity to talk to you. The night went so quickly. I was trying to speak with as many as possible but found out after the fact that there were people there who I hadn't talked to. Please except my sincere apologies.
All-in-all, as you know, our lives have been an absolute roller coaster these past 5 months. Dawn, Carrie and I want to make sure that all of you know just how special you are to us. Your help in getting us through everything has been immense. I really hope that we don't stop hearing from you. Give us a call or come by the office...you are forever welcome in our home and our hearts.
I really didn't think that I would be posting much more to this site, but I got to thinking that I really had a whole heck of a lot of people that needed a personal "thank you" from me.
Everyday, either here at the office or when I get home and check my mail, there are cards and letters from people who were really effected by Tim's death and who also want to make sure that the girls and I are going to be ok. I can't tell you how heartwarming all of the cards and letters have been. It sure does make going home to an empty house a little bit easier to take.
Also, to those of you that have taken time to personally call me on a regular basis, I want to say "thanks" also. It's just nice to hear from those that are concerned about my well being.
I hope you had the opportunity to attend Tim's celebration. It was an absolutely wonderful event. Most of you who knew Tim well, knew that he wasn't one for big crowds or a lot of attention. Well, I think that he would have approved. To Gabe, Kasey, Debby, Mom, Doug, Ed, Gayle, Megen, Jennifer, Ray, Dan Marinelli, Jeff, Pam, Diane, and many many others who helped us out, I thank you so very much. I'm sorry if you were there and I didn't have the opportunity to talk to you. The night went so quickly. I was trying to speak with as many as possible but found out after the fact that there were people there who I hadn't talked to. Please except my sincere apologies.
All-in-all, as you know, our lives have been an absolute roller coaster these past 5 months. Dawn, Carrie and I want to make sure that all of you know just how special you are to us. Your help in getting us through everything has been immense. I really hope that we don't stop hearing from you. Give us a call or come by the office...you are forever welcome in our home and our hearts.
Vickie
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