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NEW HAMPSHIRE HOUSING FINANCE AUTHORITY

MANAGEMENT AGREEMENT

THIS AGREEMENT is made this _______________

day of _______________________

, 20______

between ______________________________________________________________ (the OWNER)

AND ________________________________________________________________ (the AGENT).

1. Appointment and Acceptance: The OWNER appoints the AGENT as exclusive agent for the

management of the property described in Section 2 of this AGREEMENT, and the AGENT accepts the

appointment, subject to the terms and conditions set forth in the AGREEMENT.

2. Description of Project: The property to be managed by the AGENT under this AGREEMENT (the

"PROJECT") is a housing development consisting of the land, buildings, and other improvements.

Name:__________________________________________________________________________

Location: City or Town: _______________________________________County:

_______

State:

_______________

Number of Dwelling Units:

________

3. Definitions: As used in this AGREEMENT:

a) "Mortgagee" means New Hampshire Housing Finance Authority (NHHFA).

b) "Principal Parties" means the OWNER and the AGENT.

c) "Consenting Party" means New Hampshire Housing Finance Authority (NHHFA).

4. NHHFA Requirements: The OWNER has or will enter into a Regulatory Agreement. In performing

its duties under this MANAGEMENT AGREEMENT, the AGENT will comply with all pertinent

requirements of the Regulatory Agreement and the directives of NHHFA. In the event of any

instructions by the OWNER, which is in contravention of such requirements, the latter will prevail.

5. Management Plan: Attached hereto as Exhibit "A" and hereby incorporated herein, is a copy of the

Management Plan for the PROJECT, which provides a comprehensive and detailed description of the

policies and procedures to be followed in the management of the project. In many of its provisions,

this AGREEMENT briefly defines the nature of the AGENT'S obligations with the intention that

reference be made to the Management Plan for more detailed policies and procedures. Accordingly,

the OWNER and the AGENT will comply with all applicable provisions of the Management Plan,

regardless of whether specific reference is made thereto in any particular provision of this

AGREEMENT.

6. Basic Information: As soon as possible, the OWNER will furnish the AGENT with a complete set of

plans and specifications and copies of all guarantees and warranties pertinent to construction, fixtures,

and equipment. With the aid of this information and inspection by competent personnel, the AGENT

will thoroughly familiarize itself with the character, location, construction, layout, plan, and operation

of the PROJECT, and especially the electrical, heating, plumbing, air conditioning and ventilating

systems, the elevators, and all other mechanical equipment.

7. Liaison with Architect and General Contractor: During the planning and construction phases, the

AGENT will maintain direct liaison with the architect and general contractor, in order to coordinate

management concerns with the design and construction of the PROJECT, and to facilitate completion

of any work and the AGENT'S responsibilities for arranging facilities and services pursuant to Section

13 of this AGREEMENT. The AGENT will keep the OWNER advised of all significant matters in this

connection.

8. Marketing: The AGENT will carry out the marketing in accordance with the approved Resident

Selection Plan, Marketing Plan and Affirmative Fair Housing Marketing Plan as attached.

Subsequent to initial rent-up, advertising expenses will be paid out of the Project Operations

Account, as Project Expenses or from a marketing reserve.

9. Rentals: The AGENT will offer for rent and will rent the dwelling units in the PROJECT.

Incident hereto, the following provisions will apply:

a) The AGENT will make preparations for initial rent-ups, as described in the Management

Plan, Resident Selection Plan and Marketing Plan. The AGENT shall formulate renting

plans and policies and advertise the premises or portions thereof, prepare and secure signs, publicity

releases, brochures, layouts, circulars, and other materials necessary for the proper discharge of its

responsibilities hereunder. Such expenses shall be paid out of the allowable funds from the

Marketing Reserve, if applicable.

b) The AGENT will show the premises to prospective tenants.

c) The AGENT will follow the tenant selection policy described in the Management Plan.

d) The AGENT will take and process applications for rentals. If an application is rejected,

the applicant will be told the reason for rejection, and the rejected application, with reason for

rejection noted thereon, will be kept on file for three (3) years. A current list of prospective tenants

will be maintained.

e) The AGENT will prepare all dwelling leases, parking permits, and will execute the same in its name,

identified hereon as AGENT for the OWNER. All leases and lease terms will be in a form

prescribed by the NHHFA and will comply with the pertinent provisions of the Regulatory

Agreement, Housing Assistance Payments Contract (if applicable), and the directives of NHHFA.

f) The AGENT will anticipate needs for rental increases and alert the OWNER to this requirement.

The AGENT will furnish the necessary documentation and information and upon approval by the

OWNER will submit a formal request to NHHFA for necessary rent increase. Failure to promptly

meet this requirement will be considered a breach of this AGREEMENT.

g) The OWNER will furnish the AGENT with rent and income schedules, as from time to time

approved by NHHFA, showing contract rents as appropriate for dwelling units, and other charges

for facilities and services, and income data pertinent to determination of tenant's eligibility and

tenant rents. In no event shall such rents and charges be exceeded.

h) The AGENT will counsel all prospective tenants regarding eligibility and will prepare and verify

eligibility certifications and recertification in accordance with the Regulatory Agreement and the

directives of NHHFA. The AGENT shall obtain evidence sustaining the information given on the

tenant's certifications and recertifications of income and retain the evidence in its files for a period of

three (3) years. If recertification reveals a change in income whereby a tenant becomes eligible for a

lower rent, or is required to pay a higher rent, the AGENT shall make such adjustment; provided

however, that no dwelling rent shall be more than contract rent.

i) The AGENT will collect, deposit, and disburse security deposits, in accordance with the terms of

each tenant's lease. The amount of the security deposit for residential units will be in accordance

with State Law. Security deposits will be deposited by the AGENT in an interest bearing account,

segregated from all other accounts and funds, with a bank or savings and loan association or credit

union organized under the laws of the State of New Hampshire and approved by the OWNER,

whose deposits are insured by an agency of the United States Government. This account will be

carried in the AGENT'S name and designated of record as

“__________________________________________________________________ SECURITY

DEPOSIT ACCOUNT”. The AGENT shall cause the amount in the security deposit account to

equal or

exceed at all times the aggregate of all outstanding obligations of the OWNER with respect

to security deposits. All actions taken by the AGENT related to the collection, maintenance,

payment of interest and forfeiture of security deposits shall be in accordance with New Hampshire

law and the directives of NHHFA.

10. Collection of Rents and Other Receipts: The AGENT will collect when due, all rents, charges,

and other amounts receivable on the OWNER'S account in connection with the management and

operation of the PROJECT. Such receipts (except for tenant's security deposits, which will be

handled as specified in Subsection 9 (i) above), will be deposited in an account, separate from all

other accounts, and funds, with a bank approved by the OWNER, whose deposits are insured by an

AGENCY of the United States Government. This account will be carried in the AGENT'S name

and designated of record as “________________________________________________________

___________________________________________________

OPERATIONS BANK ACCOUNT”.

11. Enforcement of Leases: The AGENT will use its best efforts to secure full compliance by each tenant

with the terms of his or her lease. Voluntary compliance will be emphasized, and the AGENT, utilizing

the services of local social service agencies when available, will counsel tenants and make referrals to

community agencies in cases of financial hardship or under circumstances deemed appropriate by the

AGENT, to the end that involuntary termination of tenancies may be avoided to the maximum extent

consisted with sound management of the PROJECT. Nevertheless, and subject to pertinent procedures

prescribed in the Management Plan, the AGENT may lawfully terminate any tenancy when, in the

AGENT'S judgment, sufficient ca

use (including, but not limited to, non-payment of rent) for such

termination occurs under the terms of the tenant's lease. For this purpose, the AGENT is authorized to

consult with legal counsel to be approved by the OWNER, to bring actions for eviction and to execute

notices to vacate and judicial pleadings incident to such actions; provided, however, that the AGENT will

keep the OWNER informed of such actions and will follow such instructions as the OWNER'S may

prescribe for the conduct of any action. Subject to the Owner's approval, attorney's fees and other necessary

costs incurred will be paid out of the Project Operations Account as Project Expenses.

12. Maintenance and Repair: The AGENT will cause the PROJECT to be maintained and repaired in

accordance with the Management Plan and local codes, and in a condition at all times acceptable to the

OWNER and NHHFA, including but not limited to cleaning, painting, decorating, plumbing, heating,

roofing, carpentry, grounds care, and such other maintenance and repair work as may be necessary,

subject to any limitations imposed by the OWNER in addition to those contained herein. Incident,

hereto, the following provisions will apply:

a) Special attention will be given to preventive maintenance and to the greatest extent feasible,

the services of regular maintenance employees will be used.

b) Subject to the OWNER'S prior approval the AGENT will contract with qualified independent

contractors for the maintenance and repair of air-conditioning systems and elevators and for

extraordinary repairs beyond the capability of regular maintenance employees.

c) The AGENT will systematically and promptly receive and investigate all service requests from

tenants, take such action thereon as may be justified, and will keep records of the same. Emergency

requests will be received and serviced on a twenty-four (24) hour basis. Complaints of a serious

nature will be reported to the OWNER after investigation.

d) The AGENT is authorized to purchase all materials, equipment, tools, appliances, supplies and

services necessary to the proper maintenance and repair at “______________________________”

as an expense of the PROJECT.

e) Notwithstanding any of the foregoing provisions, the prior approval of the OWNER will be required

for any expenditure which exceeds $____________________________ any one instance for labor,

materials, or otherwise in connection with the maintenance and repair of the PROJECT, except for

recurring repairs involving manifest danger to persons or property, or required to avoid suspension

of any necessary service. In latter event, the AGENT will notify the OWNER of the fact as

promptly as possible.

f) The AGENT shall take such action as may be necessary to comply promptly with any and all statutes,

ordinances, regulations, orders or other requirements affecting the PROJECT, whether imposed by

Federal, State, or local authority; provided, however, that the AGENT shall not take such action so

long as the OWNER is consenting, or has affirmed its intention to contest, the same. Each party shall

promptly notify the other in writing of all notices of government requirements received by that party.

13. Utilities and Services: In accordance with the Management Plan, the AGENT will make arrangements

for water, electricity, gas, fuel oil, sewage and trash disposal, vermin extermination, decorating, laundry

facilities, and telephone service. Subject to the OWNER'S prior approval, the AGENT will make such

contracts as may be necessary to secure such utilities and services.

14. Employees: Exhibit "B" of the AGREEMENT prescribes the number, qualifications and duties of the

personnel to be regularly employed in the management of the PROJECT, including a Resident Manager

(if applicable), Social Services Director (if applicable), and maintenance, bookkeeping, clerical, and

other managerial personnel. All such personnel shall be the employees of the AGENT and not the

OWNER, and will be hired, paid, supervised, and discharged by the AGENT.

a) The OWNER will reimburse the AGENT for compensation including fringe benefits payable to

the maintenance employees and managerial personnel (except supervisory staff, i.e., occupancy

maintenance and regional supervisors) who perform front line management tasks, as prescribed in

the Management Plan, and for all Federal, State, and local taxes and assessments (including

workmen's compensation, etc.) incident to the employment of such personnel. Such

reimbursements, subject to the OWNER'S approval, will be paid out of the Project Operations

Account and will be treated as project expenses. The rental value of any dwelling unit furnished

rent-free to the Resident Manager or Superintendent will not be considered a part of

his/her

compensation but will instead be treated as a cost borne by the OWNER. For the purpose of this

section, costs associated with front line management tasks are chargeable to the Project Operations

Account regardless of whether the staff works out of the AGENT'S office or at the PROJECT site.

Front line tasks include, but are not limited to, taking applications, screening applicants,

certifying, and recertifying tenants, maintaining the project and positive control over project

income and expenses.

b) The AGENT will establish and follow an employment policy which affords residents of the

PROJECT opportunities for employment in the management and operation of the PROJECT.

c) To the greatest extent feasible, the services of regular maintenance and repair employees shall be

used in the PROJECT. However, the AGENT shall engage qualified independent contractors for

exterminating services, maintenance and repair of air-conditioning systems and extraordinary repairs

beyond the capability of regular maintenance employee.

15. Budgets: Annual operating budgets for the AGENT will be approved by the OWNER.

Except as permitted under Subsection 12 (c) above, annual disbursements for each type of operating

expenses itemized in the budget will not exceed the amount authorized by the approved budget.

Subsequent to the initial year of occupancy, the AGENT will prepare a recommended operating

budget for each fiscal year beginning during the term of this AGREEMENT, and will submit the

same to the OWNER at least forty-five to sixty days before the beginning of the fiscal year. The

OWNER will promptly inform the AGENT of changes, if any, to be incorporated in the approved

budget and the AGENT will keep the OWNER informed of any anticipated deviation from the

receipts of disbursements stated in the approved budget. Thirty (30) days prior to the start of the

roperty’s fiscal year, the budget on a NHHFA budget form, will be sent to NHHFA for NHHFA

review.

16. Records and Reports: In addition to any other requirements, specified in the Management Plan or

other provisions of the AGREEMENT, the AGENT will have the following responsibilities with

respect to records and reports.

a) The AGENT will establish and maintain a comprehensive system of records, books and accounts

in a manner conforming to the directives of NHHFA and otherwise satisfactory to the OWNER.

All records, books and accounts will be subject to the examination at reasonable hours by an

authorized representative of the OWNER or NHHFA.

b) With respect to each fiscal year ending during the term of this AGREEMENT, the AGENT will

cause an annual financial report to be prepared by a Certified Public Accountant or other person

acceptable to the OWNER or NHHFA, based upon the preparer’s examination of the books and

records of the OWNER and the AGENT. The report will be prepared in accordance with the

directives of NHHFA, will be certified by the preparer and AGENT, and will be submitted to the

OWNER within sixty (60) days after the end of the fiscal year, for the OWNER'S further

certification and submission to NHHFA. Compensation for the preparer's services will be paid out

of the Project Operations Account as an expense of the PROJECT.

c) The AGENT will prepare quarterly (if applicable), as required in the Regulatory Agreement, reports

comparing actual and budgeted figures for receipts and disbursements, and will submit each such

report to the OWNER and NHHFA within thirty (30) days after the end of the quarter covered.

d) The AGENT will furnish such information (including operating occupancy reports) as may be

requested by the OWNER or NHHFA from time to time with respect to the financial, physical, or

operational condition of the PROJECT. If a management firm utilizes a central office accounting

system and/or computer system, subject to the OWNER'S approval, a portion of these costs may be

charged to the Project Operations Account as an operating expense. The costs, however, should

equate to no more than the actual costs of having a bookkeeper present on-site. If a management

firm has an in- house computer operation, the costs chargeable to the project may not exceed the

costs incurred if an on-line service company were utilized.

e) Monthly, the AGENT will furnish the OWNER with an itemized list of all delinquent rental

accounts.

f) The AGENT will prepare, during the PROJECT'S initial twelve (12) months of occupancy, a

monthly report showing the total actual figures for receipts and disbursements (Monthly Operating

Summary), and will submit each such report to the OWNER and NHHFA within fifteen (15) days

after the end of each month covered. Such reports shall include the gross potential rental income

and month end balance of the accounts receivable and accounts payable account.

If, after the PROJECT reaches sustaining occupancy (95%), and the rental collections fall below

operating expenses for a sustained period of sixty (60) days, the AGENT will immediately send

written notification of the same to NHHFA.

g) The said books, records and accounts shall be kept at the principal office of the AGENT.

The OWNER and its duly authorized representatives shall have the right to examine and make

copies of the same at all reasonable times.

h) Except as otherwise provided in this AGREEMENT, all management overhead expenses will be

borne by the AGENT out of his/her own funds and will not be treated as PROJECT expenses.

17. Fidelity Bond: The AGENT will furnish, at its own expense, a fidelity bond in the principal sum of

$ ______________________________, which is at least equal to the gross potential income for two (2)

months and is conditioned to protect the OWNER and NHHFA against misapplication of PROJECT

funds by the AGENT and its employees. The other terms and conditions of the bond, and the surety

thereon, will be subject to the approval of the OWNER.

18. Bids, Discounts, Rebates, etc.: The AGENT will obtain contracts, materials, supplies, utilities and

services on the most advantageous terms of the PROJECT, and is authorized to solicit bids, either formal

or informal, for those items which can be obtained from more than one source. The AGENT will secure

and credit to the OWNER all discounts, rebates, or commissions obtainable with respect to purchases,

service contracts and all of the transactions on the OWNER'S behalf.

19. Social Service Program: The AGENT will be responsible to the OWNER for coordinating, scheduling,

and supervising the social services program described in the Management Plan (if applicable).

20. Tenant-Management Relations: The AGENT will encourage and assist residents of the PROJECT in

forming and maintaining representative organizations to promote their common interests, and will

maintain good-faith communication with such organizations to the end that problems affecting the

PROJECT and its residents may be avoided or solved on the basis of mutual self-interest. The extent of

such services by the AGENT shall be mutually determined by the OWNER and the AGENT.

21. Insurance: The OWNER will inform the AGENT of insurance to be carried with respect to the

PROJECT and its operations, and the AGENT will cause such insurance to be place and kept in effect at

all times. The AGENT will forward all bills for premiums to NHHFA to be paid out of the PROJECT'S

Insurance Escrow Account and treated as an expense of the PROJECT. All insurance will be placed

with such companies, on such conditions, in such amounts, and with such beneficial interests appearing

thereon as shall be acceptable to the OWNER and the NHHFA, and shall be otherwise in conformity

with the mortgage; provided that the same will include public liability coverage, with the AGENT

designated as one of the insured, in amounts acceptable to the AGENT as well as the OWNER and

NHHFA. The AGENT will investigate and furnish the OWNER with full reports of all accidents,

claims and potential claims for damage relating to the PROJECT, and will cooperate with the

OWNER'S insurers in connection therewith.

22. Compliance with Governmental Orders: The AGENT will take such action as may be necessary to

comply promptly with any and all governmental orders or of the requirements affecting the PROJECT,

whether imposed by the Federal, State, County or Municipal authority, subject however, to the

limitation stated in Subsection 12 (f) above with respect to repairs. Nevertheless, the AGENT shall

take no such action so long as the OWNER is contesting or has affirmed its intention to contest any

such order or requirement. The AGENT will notify the OWNER in writing of all notices of such

orders or other requirements, within seventy-two (72) hours of the time of their receipt.

23. Non-Discrimination: In the performance of its obligations under this AGREEMENT, the AGENT will

comply with the provisions of any Federal, State, or local law prohibiting discrimination in housing on

the grounds of race, color, religion, national origin, sex, age, disability, sexual orientation, marital status,

familial status, or gender identity, including Title VI of the Civil Rights Act of 1964 (Public Law 88-

352.78 Stat. 241), all requirements imposed by or pursuant to the Regulations of the Secretary (24 CFR,

Subtitle a, Part 1) issued pursuant to the Title; regulations issued pursuant to Executive Order 11063,

and Title VIII of the Civil Rights Act of 1968, Fair Housing Amendments Act and 504 of the

Rehabilitation Act of 1973. In addition, the AGENT shall comply with all state and local laws

prohibiting discrimination in housing. Failure or refusal to comply with any s

uch provisions shall be

considered a breach of this AGREEMENT and proper basis for NHHFA to take any corrective action it

may deem necessary including, but not limited to, the refusal to consent to future contracts of any kind

with which the AGENT or its shareholders, trustees or beneficiaries are identified.

24. Agent's Compensation: The AGENT will be compensated for its services under this AGREEMENT by

monthly fees, to be paid out of the Project Operations Account and treated as PROJECT expenses. Such

fees will be payable on the _________ day of each month. Each such monthly fee will be an amount equal

to _____% of the rental

collections or $ ____________________

per unit per month. Rental collections

include income from sources other than rent, with the exception of restricted interest income, collected

during the month.

25. Term of Agreement: This AGREEMENT shall be in effect for a period of ___________ year(s),

beginning on the _________ day of _______________________________________, 20 , subject

however to the following conditions:

a) This AGREEMENT shall not be binding until endorsed by NHHFA.

b) This AGREEMENT may be terminated by either Principal Party as of the end of any calendar

month; provided that at least thirty (30) days advance written notice thereof is given to the

Consenting Party.

c) In the event that a petition in bankruptcy is filed by or against either of the Principal Parties, or in

the event that either makes the assignment for the benefit of creditors or takes advantage of an

insolvency act, the other party may terminate this AGREEMENT without notice to the other,

provided that prompt notice of such termination is given to the Consenting Party.

d) It is expressly understood and agreed by and between the Principal Parties that NHHFA shall have

the right to terminate this AGREEMENT at the end of any calendar month, or thirty (30) days

advance written notice to each of the Principal Parties, except that in the event of default by the

OWNER, NHHFA may terminate this AGREEMENT immediately upon the issuance of a notice of

cancellation to each of the Principal Parties. It is further understood and agreed by the Principal

Parties that NHHFA shall not be liable for any losses or other damages incurred by the Principal

Parties as a result of any action taken pursuant to this paragraph.

e) Upon termination of this AGREEMENT for any reason, the AGENT shall:

1. Remit to the OWNER, within five (5) working days after such termination, all monies, in the

Project Operations Account and Security Deposit Account;

2. Deliver to the OWNER all unpaid bills, outstanding leases, contracts, and other

documents pertaining to the PROJECT;

3. Notify each tenant to make rent payments to the OWNER or the OWNER'S designee;

and

4. Submit to the OWNER any financial statements required by NHHFA. After the parties have

accounted to each other with respect to all matters outstanding as of the date of termination, the

OWNER shall furnish the AGENT with security, in form and principal amount reasonably

satisfactory to the AGENT, against any obligations or liabilities which the AGENT may have

incurred on behalf of the OWNER hereunder.

f) This AGREEMENT shall automatically renew from year to year if no action is taken by the

OWNER or the AGENT.

26. Interpretative Provisions:

a) At all times, this AGREEMENT will be subject and subordinate to all rights of the NHHFA and will

inure to the benefit of and constitute a binding obligation upon the Principal Parties and their

respective successors and assignees. To the extent that this AGREEMENT confers rights upon

NHHFA, it will be deemed to inure to its benefit, but without liability to NHHFA, in the same

manner and with the same effect as though NHHFA were a primary party to the AGREEMENT.

b) The AGREEMENT constitutes the entire agreement between the OWNER and the AGENT with

respect to the management and operation of the PROJECT, and no change will be valid, unless

made by supplemental written agreement, executed and approved by NHHFA as well as the

Principal Parties.

c) This AGREEMENT has been executed in several counterparts, each of which shall constitute a

complete original AGREEMENT, which may be introduced in evidence or used for any other

purpose without production of any of the other counterparts.

27. Indemnification: The OWNER agrees to indemnify and hold harmless the AGENT in any situation

arising out of or from this AGREEMENT, where the AGENT has notified the OWNER, by certified

mail, return receipt requested, of any event, occurrence or happening which places the OWNER or

AGENT in non-compliance with any local, State or Federal notice, where the OWNER instructs the

AGENT not to take any action.

IN WITNESS WHEREOF, the Principal Parties (by their duly authorized officers) have executed this

AGREEMENT on the date first above written.

OWNER SIGNATURE ____________________________________

OWNER NAME __________________________________________

TITLE

________________________________________________

AGENT SIGNATURE

___________________________________

AGENT NAME __________________________________________

TITLE __________________________________________________

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The New Hampshire Housing Finance Authority hereby consents to the foregoing Management

Agreement, dated

by__________________________________________________________________ and

between ____________________________________________________________________.

New Hampshire Housing Finance Authority

Title Director,

Asset

Management

Date

Revised 10/29/2020

EXHIBIT "B"

A) The following employees, whose salaries and fringe benefits shall be charged as an expense of

the PROJECT, will be hired, or are currently employed by the MANAGEMENT AGENT for

the management of the PROJECT:

B) The following is a description of the duties of the above-named personnel:

C) Include a copy of the Fidelity Bond.

Title

Projected Annual Salary

% Charged to Project

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NEW HAMPSHIRE HOUSING FINANCE AUTHORITY MANAGEMENT AGREEMENT 1. (New Hampshire Housing)

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