Introduction to Property Management in MHSA Supportive Housing: Coordination is the Key MHSA Housing Program Operations Technical Assistance Call February 3, 2010 www.csh.org Agenda 2 Areas of Responsibility Forms of Property Management What’s Different for Supportive Housing Key Principles for Success Putting Principles into Practice Coordination is the Key Areas of Responsibility Components of Property Management Maintenance Tenant Selection Fiscal Management Operations Fair Housing 4 Key Areas of Responsibility Tenant Screening, Selection, and Move-In Leases, Lease Enforcement, and Rent Collection Reasonable Accommodations Safety and Security Maintaining the Physical Plant 5 Forms of Property Management Forms of Property Management Project sponsor owns the project or leases the units and provides the property management. Project sponsor owns the project but contracts for property management services from a property management company. Project sponsor leases units from a private property owner who continues to manage the units. 7 Sponsor Provides Property Management Pros: Sponsor has direct control over property management. Ensures property management follows core principles of sponsor (is “mission-driven”). Allows for streamlined operations. Can be more cost effective. 8 Sponsor Provides Property Management Cons: Sponsor may not have capacity or expertise to perform property management functions. Creates challenges for differentiating supportive services delivery from property management. 9 Contracting for Property Management Pros: Ensures property will be professionally managed. Easier to clarify roles supportive services and management staff. 10 between property Contracting for Property Management Cons: Challenge of finding a property management company who will fully support sponsor’s mission and adjust their practices. May be more expensive. 11 Sponsor Leases from Owner Who Provides Property Management Pros: Can be very cost effective. Ensures that property management meets the owner’s expectations. Functionally separates service provision from property management. 12 Sponsor Leases from Owner Who Provides Property Management Cons: Owner must support the sponsor’s mission. Sponsor has less control over how property management is performed. Sponsor may spend time mediating disputes between tenants and landlord. 13 What’s Different for Supportive Housing? Tenant Selection, Screening, and Move-In Supportive Housing starts with a target population. We want to serve the tenants many “private” landlords would deny Marketing and screening may be governed by federal and other regulations Property Management and Services need to work together to “Screen In” those who will benefit from the housing Tenants may need particular assistance in the intake and move-in process 15 Lease Enforcement and Rent Collection Property Management policies and procedures should support the underlying mission of the housing project Evictions are a last resort, when all other attempts to resolve a situation have failed Response to tenant behavior is coordinated with Support Services 16 Reasonable Accommodations How is requirement to accommodate different for supportive housing providers? Federal funding will often impose a higher standard for accommodation Marketing plans may need to be very specific about accommodations offered Supportive housing providers are in the business of housing people who need extra assistance: Their response should be characterized by compassion and flexibility! 17 Safety and Security MHSA Housing will have a higher concentration of people with mental illnesses and co-occurring disorders than market rate housing People come to the housing with a variety of experiences that may heighten their fears Some tenants may be prone to victimization Support services are available to assist with many safety concerns, but this requires coordination There is a high expectation that all staff in supportive housing will be trained in these areas 18 Maintaining the Physical Plant An effective property manager will have a “system” for ensuring that building maintenance and repair are addressed on a routine basis. Tenants take better care in housing that is clean and well maintained. 19 3 Key Principles for Success Three Key Principles Property Management Supports Mission-Driven Housing Importance of Clear Roles and Responsibilities Recognize Overlap and Built-in Tension Between Roles 21 Key Principle #1 Property Management Supports Mission-Driven Housing 22 Mission-Driven Property Management “Double Bottom Line” Commitment to success of community and each of the residents residing in the building Commitment to coordinate communication between services, management and tenant orgs 23 Mission-Driven Property Management Key Practices: 24 Development and enforcement of house rules Collaborative approaches to tenant selection and screening, move-in, orientation and crisis management Commitment to coordinate communication between services, management and tenant-led organizations Resident councils Creation of job opportunities for tenants Evictions and problem-solving Key Principle #2 Importance of Clear Roles and Responsibilities 25 Clear Roles and Responsibilities Outline clear roles Establish forum for discussing re-negotiating roles/responsibilities 26 Key Principle #3 Recognize Overlap and Built-in Tension Between Roles 27 Roles and Challenges Social Services I just want to help! Property Mgt Show me the money! Common Goal: Keeping Tenants Housed requires that we approach problems from all angles. Goal: Provide the tenants the support they need to reach their fullest potential and to keep the building in good shape, physically and financially 28 Coordinating Management and Services Supportive housing = coordinated property management and supportive services functions Collaborative relationship is essential Competing forces – Financial demands of the building – Security of larger tenant community – Needs of individual tenants 29 Areas of Overlap Areas of Overlap Between Property Management and Supportive Service Delivery Intake: Tenant Selection and Interviewing Orientation of Incoming Tenants Rent Payment and Arrears 30 Dealing with Disruptive Behaviors Procedures in Crisis Tenant Grievance Procedures Tenant Council Community Building Embracing Good Tension Respect different roles of each partner Understand all roles are necessary and important for well-managed building Acknowledge and use built-in tension between roles and functions to ensure stability and a sound asset 31 Key Goals of Staff What are the key goals of supportive service staff? What are the key goals of property management staff? What goals do all staff have in common and mutually support? 32 Putting the Principles into Practice Putting Principles into Practice MOUs or contracts between partners Guiding principle statement that spells out the working approach Carefully select, train, support, and supervise social service and property management staff Written job descriptions clearly defining roles Schedule regular communication Give staff parallel status and authority Written procedure for resolving disagreements 34 Coordination is the Key Traditional vs. Supportive Housing Property Management Supportive Housing Traditional Rental Housing 36 The management company makes all decisions regarding lease violations and evictions. The management company is solely responsible for low vacancy rate and rent collection. The management company works with resident to make payment plans. Collaboration between mgmt co. and service provider regarding lease violations and evictions. (At very least communication before acting) Mgmt company works with service provider to maintain a stable housing environment, turnover should be predictable. Service provider involved with payment plans, and “contracts” to maintain housing. Keep Lines of Communication Open Understand each other’s roles and responsibilities Understand the program and funding source missions and goals (why are you all here?) Schedule regular meetings to discuss policies, procedures, and resolve conflict Establish clear decision making process and clear lines of authority within and between property management and social services Provide joint training and retreats for team building 37 Source: HUD Tools and Resources 38 Operations Manual • If your property does not have one, develop one! • CSH has a template • Contact and collaborate with other supportive housing managers working with similar populations and funding • Outlines how you, service provider, and owner are going to work together • Provides standard process for handling situations that arise For More Information Go to www.csh.org Or www.cimh.org/Services/MHSA/MHSA-Housing 39