Answers_70FBR419Q00000031__Direct_Lease_Questions_and_Answers.docx

70FBR419Q00000031 Direct Lease Questions and Answers

Q. The fact that the tenant(s) will be responsible for the utilities, causes concerns. In the past we have had utilities turned off in units due to lack of payment. In some cases the tenant notified no one and continued to occupy the unit. Lack of heat and air can cause health and property condition problems. Secondly, in some cases the tenants may not have adequate credit ratings/references to have the utilities turned on.

A. FEMA policy is the utilities are the responsibility of the survivors placed in the Direct Lease properties, unless in the rare situation that the utilities are included in the lease. If applicant is found to not qualify due to credit rating/references, the applicant would be directed with the assistance of FEMA to see other courses to obtain utilities.

Q. With regards to the 30-day notices to vacate, we have found that the majority of the apartment communities will not allow such a short notice to vacate. This fact will severely limit the available inventory. As everyone is aware the present available inventory is scarce. Could the time on the notices to vacate be increased?

A. FEMA will review this on a case-by-case basis as this is the Program’s policy.

Q. I understand that there is a 200% FMR in place for the affected Counties. I understand this to be 2x (the Rates) listed in Figure 1 on page 2 of the SOW... and that the Rates Listed in the Figure have NOT already had the 200% applied.

A. Correct Q. Is the 10% Property Management Fee for each unit calculated and paid on the 12 month Lease Total upon the Execution of the Lease?

A. The 10% Property Management Fee is applied to each rental unit upon execution of each leased property.

Q. Item 7 of the SOW indicates that the Rent Payments are made by the Contractor. Is the Total Lease amount distributed to the Contractor at the Execution of the Lease?

A. The Property manager shall make rental payments to lease property owners in accordance with the lease agreements signed between Property manager and Owner for each leased property that is awarded under the BPA call/order. The Property manager shall make payments to property owners in a timely fashion and failure to not make payments may result in termination of Agreement between FEMA and Property Manager.