# Presentation: 025534

## AAHRA/HUD

**AAHRA/HUD**
**2007 Spring Workshop**
**(Preparing for a REAC Physical Inspection)**
**May 8 - 9, 2007**

## Training Agenda

_**TUESDAY, MAY 8**__**TH**_**:**

**9:00 am – Welcome / Go over this thing**

**9:05 am – How to prepare for the inevitable**

**10:15 am – BREAK (10 Minutes)**

**10:25 am – “Inspection Day” Video**

**11:30 am – Lunch on your own (1-1/2 Hours)**

**10:55 am – How to prepare ... (Continued)**

## Training Agenda

_**TUESDAY, MAY 8**__**TH**_**:**

**1:00 pm – Welcome / Go over this thing**

**1:05 pm – How to prepare for the inevitable**

**2:30 pm – BREAK (30 Minutes)**

**3:00 pm – “Inspection Day” Video**

**4:30 pm – Adjourn**

**3:30 pm – How to prepare ... (Continued)**

## Training Agenda

_**WEDNESDAY, MAY 9**__**TH**_**:**

**8:30 am – Welcome / Go over this thing**

**8:35 am – How to prepare for the inevitable**

**9:45 am – BREAK (15 Minutes)**

**10:00 am – “Inspection Day” Video**

**11:30 am – Adjourn**

**10:30 am – How to prepare ... (Continued)**

## Ground Rules

_**RULE NUMBER 1**_**:**

**“****Don’t shoot the messenger!”  (Me.)**

_**RULE NUMBER 2**_**:**

**Ask questions!  Remember, there are no dumb questions, just dumb answers.  (Which I’ll try my best not to give.)**

**When in doubt, refer to RULE NUMBER 1 above.**

_**RULE NUMBER 3**_**:**

## =

**=**

## Questions to be Answered

**Questions to be Answered**

**- Where should I focus my resources?**

**- What is my role during the inspection?**

## Questions to be Answered (Continued)

**- How will certain things, like smoke detectors, be checked?  (Will the inspector use canned smoke or just push the button?)**

**- What kind of questions should I ask the inspector before he leaves my site so that I can better understand what went wrong?**

## Questions to be Answered (Continued)

**- How do I educate my residents during their annual inspections in order to prevent findings during the REAC inspection?**

**- Is there a checklist of standards I can use *****before***** the inspection to help me make sure everything is up to par?**

**- How do I appeal a finding, and what kinds of documentation do I need to back up my appeal?**

## HQS VS. UPCS, SCORING,

**HQS VS. UPCS, SCORING,**
**APPEALS, ETC.**

## The Process

_**OLD**_**:** (HQS)

- Regulatory requirement that housing providers must
- inspect their units/properties to a HUD defined standard.

_**NEW**_**:** (UPCS)

-  Paper based
-  Pass/Fail
-  Subjective
-  Inconsistent

-  Electronic
-  Point Deductions
-  Objective
-  More Consistent

## The Standard

_**MEASUREMENT**_

**1978 - 1998**
**Housing Quality Standards (HQS)**

**1998 - Future**
**Uniform Physical Condition Standards (UPCS)**

**The Standard**

## HQS vs. UPCS

**HQS vs. UPCS**

## LEVEL 3

**Dwelling Units**

**Holes/Missing Tiles/Panels**

**LEVEL 3**

- Building

- Dwelling
- Units

- Living Room

- Ceiling

## Slide 15

## Slide 16

## Slide 17

## Item: Ceiling Condition

-  Uses “subjective” measurements such as “serious”, “large”, “significant” and “severe” without specifying a quantifiable amount.  (Makes consistent ratings more difficult to obtain amongst different inspectors.)
-  If just one item is marked “Fail”, then the entire unit fails the inspection.
_**UPCS**_**:**
-  Uses “objective” measurements such as “larger than 8-1/2 x 11” or “more than 3 tiles”.  (Makes consistent ratings more obtainable amongst different inspectors.)
- If an item receives a “Level 3” rating, then the score for that unit will be reduced from its potential maximum points.

**Item: ****Ceiling Condition**

## Item: Ceiling Condition

**HQS**** Guidance ****(paper)**

**UPCS**** Guidance ****(electronic)**

- *_Covered under either_:
- “Bulging/Buckling”, “Peeling/Needs Paint” or “Water Stains/Water Damage/Mold/Mildew”.

## LEVEL 3

**Building Systems**

**LEVEL 3**

- Building

- Building
- Systems

- Domestic
- Water

**Misaligned Chimney/Ventilation System**

## Item: Hot Water Heater

-  If just one item is marked “Fail”, then the entire unit fails the inspection.
_**UPCS**_**:**
-  If an item receives a “Level 3” rating, then the score for that building will be reduced from its potential maximum points.

**Item: ****Hot Water Heater**

## Item: Hot Water Heater

**Item: ****Hot Water Heater**

**HQS**** Guidance ****(paper)**

**UPCS**** Guidance ****(electronic)**

- *_Covered under_:
- “Missing Pressure Relief Valve”.

## LEVEL 3

**Dwelling Units**

**LEVEL 3**

- Building

- Dwelling
- Units

- Smoke
- Detector

**Missing/Inoperable**

## Item: Smoke Detectors

-  If this item is marked “Fail”, then the entire unit fails the inspection.
_**UPCS**_**:**
-  If this item receives a “Level 3” rating, an “Exigent Health & Safety” notation is made but no points are deducted from the overall score.

**Item: ****Smoke Detectors**

## Item: Smoke Detectors

**Item: ****Smoke Detectors**

**HQS**** Guidance ****(paper)**

**UPCS**** Guidance ****(electronic)**

## DCD 2.3 INSPECTABLE DEFECTS

**DCD 2.3 INSPECTABLE DEFECTS**

## Top 20 Deficiencies

-  1.  **HVAC** – the water heater Pressure Relief Valve discharge tube extends to within 18 inches of the floor;
-  2.  **Misaligned Chimney**** **– the vent stack on gas operated water heaters or furnaces are properly aligned;
-  3.  **Missing HVAC Covers** – there are covers on all baseboard heaters;
-  4.  **Access to the Electrical Panel** – access to electrical panels is not blocked by furniture or other items;
-  5.  **Missing Covers** – electrical panels have interior covers (aside from the panel lid box itself) to prevent exposure from the wire connections;
-  6.  **Open Breaker Ports** – Open breaker ports are covered;
-  7.  **Doors Damaged Seals** – the factory-installed seals on Exterior Doors, such as building or unit doors, are in place and undamaged;
-  8.  **Doors Damaged Hardware** – Exterior door hardware locks or latches properly and Fire Doors function as designed;
-  9.  **Security Doors** – security doors do not have dual-side key locks;
- 10. **Kitchen** – Damaged Stoves/Ovens – stove burners are working;

## Top 20 Deficiencies (Continued)

- 11.  **Plumbing**** **– pipes and faucets are not leaking, and areas around any leaks are cleaned up and repaired;
- 12.  **Damaged Sinks/Showers**** **– any hardware problems are repaired, diverters are working, drains have stoppers, Hot or Cold water handles are in place and working;
- 13.  **Clothes Dryers**** **- are properly vented to the outside from units or laundry rooms;
- 14.  **Storm Water Sewers**** **- are not clogged with trash or leaves;
- 15.  **Sanitary Sewer Damaged Covers**** **–caps located in the grass on the exterior of the building that have been damaged by a lawn mower are cleaned out. Replace and mark the areas to prevent further damage;
- 16.  **Trash Chutes**** **– hardware is in place and the chute door closes properly;
- 17.  **Trash Receptacles**** **- are not overflowing and are adequate in size for the property;
- 18. **Auxiliary Lighting**** **– the back up lighting works even when the test light does not work;
- 19. **Leaking Domestic Water**** **– there are no leaks in the domestic water supply, including the hose bibs located on the exterior of the building;
- 20.  **Switchplate Covers**** **– are not cracked or broken.

## Questions to be Answered

**Questions to be Answered**

**- Where should I focus my resources?**

**- What is my role during the inspection?**

**A: Pray.**

**A: You have resources?!?**

**A: Refer to the first question above.**

## The Goal

- Assign a *score* to the overall *property*
*condition* based on the *data** *collected by the
- inspector
**Measure physical condition**
**Objective & consistent**
**Accommodates all property types & configurations**

**Notes:**
Numerical Score: 100 point scale
Property types:  High-rise to single-family homes
Property Condition Criteria: 
Decent, Safe, Sanitary
Good Repair
Data Collected:
5 Property Areas with 50 Unique Items
3 Severity Types + Health & Safety
Objective, consistent

## The inspector records the existence and the severity
of deficiencies according to preset criteria

- of deficiencies according to preset criteria

**Scoring is Based on ****Objective Data**

## Relative importance (“weights”) were assignedto each physical area, item, and deficiency in the inspection protocol

HUD applies the weightsto the inspection data to compute the score
The score is based on a 100 point scale

- HUD applies the weightsto the inspection data to compute the score
- The score is based on a 100 point scale

**The Scoring Approach**

## The weights were assigned as part of a
consensus process:
- Industry stakeholder input
Public Housing Authorities
Multifamily Housing (Owners / Agents)
Trade groups
PHA industry groups

- HUD information
- Trade professionals’ experience

- consensus process:
- - Industry stakeholder input
- Public Housing Authorities
- Multifamily Housing (Owners / Agents)
- Trade groups
- PHA industry groups
- - HUD information
- - Trade professionals’ experience

**Scoring Protocol**

## Areas&Items

- Fencing and Retaining Walls
- Grounds
- Lighting
- Mailboxes/Project Signs
- Market Appeal
- Parking Lots/Driveways/Roads
- Play Areas and Equipment
- Refuse Disposal
- Storm Drainage
- Walkways/Steps

- Doors
- Fire Escapes
- Foundations
- Lighting
- Roofs
- Walls
- Windows

- Domestic Water
- Electrical System
- Elevators
- Emergency Power
- Exhaust System
- Fire Protection
- HVAC
- Sanitary System

- Basement/Garage/Carport
- Office
- Closet/Utility/Mechanical
- Other Community Spaces
- Community Room
- Patio/Porch/Balcony
- Day Care
- Pools and Related Structures
- Halls/Corridors/Stairs
- Restrooms/Pool Structures
- Kitchen
- Storage
- Laundry Room
- Trash Collection Areas
- Lobby

- Bathroom
- Call-for-Aid
- Ceiling
- Doors
- Electrical System
- Floors
- Hot Water Heater
- HVAC System
- Kitchen
- Lighting
- Outlets/Switches
- Patio/Porch/Balcony
- Smoke Detector
- Stairs
- Walls
- Windows

- Areas&Items

- 15%

- 15%

- 20%

- 35%

- 15%

## Scoring Dynamics

**15%**

**15%**

**20%**

**35%**

**15%**

**100%**

**Scoring Dynamics**

## No Two PropertiesAre Alike

- (For example, if there are no Common Areas on a property,
-   the other inspection areas become more important)

**No Two Properties****Are Alike**

## Area Points x Item Weight x Criticality x Severity

**Area Points**** ****x ****Item Weight ****x**** ****Criticality**** ****x**** Severity**

- _Ranges are_:
**Area Points**
- 	Site        = 15	Bldg Systems    = 20	Dwelling Units = 35
- 	Bldg Ext = 15	Common Areas = 15
**Item Weight**  (Examples)
- 	Smoke Detector   = 0		Missing Toilet            = 10
- 	Damaged Ceiling = 4.5		Misalinged Chimney = 15.5
**Criticality**
- 	(5) Critical	    = 5.0	  (2) Contributes	            = 1.25
- 	(4) Very Important = 3.0	  (1) Slight Contribution = 0.5
- 	(3) Important	    = 2.25
**Severity**
- 	(3) Most Severe  = 1.0
- 	(2) Severe           = 0.50
- 	(1) Least Severe = 0.25

**Scoring Methodology**

## Scoring Methodology (Continued)

**Scoring Methodology ****(Continued)**

## Scoring Methodology (Continued)

**Scoring Methodology ****(Continued)**

## Scoring

- Ceiling - Holes/Missing . . . - Level 3

**Scoring**

- *Assuming 250 Units  (24 Sample Units)

## * EH&S TICKET ITEM! *

- Misaligned Ventilation System - Level 3

**Scoring**

- *Assuming 5 Buildings

## * EH&S TICKET ITEM! *

- Missing/Inoperable - Level 3

**Scoring**

- (Item Weight x Criticality x Severity)
- 0 x 5.0 x 1.0 = 0  _no_ point deduction

- (Area Points x Item Weight x Criticality x Severity / # Units)
- 35 x 0 x 5.0 x 1.0 = 0 / 10 = _no_ point deduction

- *Assuming 15 Units  (10 Sample Units)

**Notes:**
40% of the inspected properties have inoperable smoke detectors

90%+ of the time the residents have disabled the detectors 

this is a national problem that we must solve together

## Questions to be Answered

**A: Push the button.  (No cigarettes please.)**

**A: Don’t let them leave!  (Lock them up.)**

**- How will certain things, like smoke detectors, be checked?  (Will the inspector use canned smoke or just push the button?)**

**- What kind of questions should I ask the inspector before he leaves my site so that I can better understand what went wrong?**

## Technical Reviews

**What qualifies for a Technical Review?**
**- Building Data Errors**
**- Unit Count Errors**
**- Non-Existent Deficiency Errors**

**You can appeal a physical score if you believe the inspection was not conducted in accordance with the Public and Indian Housing Real Estate Assessment Center (PIH-REAC) Uniform Physical Condition Standards (UPCS) inspection protocol or feel that certain inspection data may have been recorded in error that, if corrected, will result in an improvement in the property's overall score **

**What does ****NOT**** qualify for a Technical Review?**
**- Disagreements over the severity of a defect**
**- Deficiencies that were repaired or corrected**

## * OBJECTIVELY VERIFIABLE! *

**Timeline for submittal:**
**- Public Housing = ****15 days**
**- Multifamily Housing = ****30 days**

**What to include:**
**- All property identification information**
**- All deficiency location information**

**How to document:**
**- Written Material**
**- Photographs**
**- Video**

## Technical Reviews (Continued)

**Where to send your request:**
**	****Attn: PASS Technical Reviews**
**	****HUD/PIH/REAC**
**	****550 12****th**** Street SW, Suite 100**
**	****Washington, DC  20410**

**What can happen:**
**- Request Denied**
**- New Inspection Scheduled**
**- Correct the Inspection Report**
**  ****(Adjust score)**

## Database Adjustments

**- Local conditions and exceptions**
**- Ownership issues**
**- Adverse conditions beyond the owner’s control**
**- Modernization work in progress**

**You can appeal a physical score if you believe the inspection was not conducted in accordance with ... blah ... blah ... blah ...  (Same as the previous one.)**

**What does ****NOT**** qualify for a Database Adjustment?**
**- Deficiencies that were repaired or corrected**
**- Deficiencies caused by residents**
**- Items covered by the Technical Review process**

**Database Adjustments**

## * OBJECTIVELY VERIFIABLE! *

**- Public Housing = ****15 days**
**- Multifamily Housing = ****45 days**

**What to include:**
**- All property identification information**
**- All deficiency location information**

**How to document:**
**- Written Material**
**- Photographs**
**- Video**

**Database Adjustments**** (Continued)**

## Database Adjustments (Continued)

**	****Attn: PASS Database Adjustments**
**	****HUD/PIH/REAC**
**	****550 12****th**** Street SW, Suite 100**
**	****Washington, DC  20410**

**What can happen:**
**- Request Denied**
**- New Inspection Scheduled**
**- Correct the Inspection Report**
**  ****(Adjust score)**

**Database Adjustments**** (Continued)**

## Questions to be Answered (Continued)

**- How do I educate my residents during their annual inspections in order to prevent findings during the REAC inspection?**

**- Is there a checklist of standards I can use *****before***** the inspection to help me make sure everything is up to par?**

**- How do I appeal a finding, and what kinds of documentation do I need to back up my appeal?**

**A: Ha, ha ha.  That’s a good one!**
**     ****(Ever hear of “War and Peace”?)**

**A: It’s easier to just have them move out.**

**A: The “Top 20” list is a good place to start.**

## http://www.hud.gov/offices/reac/

**products/pass/pass_trng.cfm**

## Slide 52

## www.hud.gov/reac

**1-888-245-4860**

- reac@hud.gov

**For More Information**

## Any Questions?

**Any Questions?**

**Email:  ** james.arcara@hud.gov
**Phone:** (202) 475-8567