DANIEL G. BOGDEN
United States Attorney

GREG ADDINGTON
Nevada Bar No. 6875
Assistant United States Attorney
100 West Liberty, Suite 600
Reno, Nevada 89501
Telephone: (775) 784-5438
Facsimile: (775) 784-5181

IN THE UNITED STATES DISTRICT COURT

UNITED STATES OF AMERICA,
Plaintiff,

v.

MEADOWS APARTMENTS LIMITED
PARTNERSHIP,
MARY GENE MCDONALD,
MARY GENE MCDONALD FAMILY
LIMITED PARTNERSHIP,
IRENE SMITH, and
TRACEY A. MCDONALD
Defendant.

______________________________

CONSENT ORDER

On October 22, 2001, the United States commenced this action on behalf of Robert Lillegard and Joaquina Lillegard, and their minor child, Paolo, (collectively "The Complainants"), pursuant to Section 812(o) of the Fair Housing Act (Title VIII of the Civil Rights Act of 1968), as amended, 42 U.S.C. § 3612(o). At all times relevant to the events at issue in the Complaint:

1. Defendant Mary Gene McDonald Family Limited Partnership and Mary Gene McDonald were the owners of the subject property, a 110-unit apartment complex located at 105 East Prater Way, Sparks, Nevada.

2. Defendant Tracey McDonald was the property manager for the subject property.

The United States' Complaint alleges that the Defendants discriminated against the Complainants by discriminating in the terms, conditions, or privileges of rental of a dwelling, or in the provisions of services or facilities in connection with the rental of a dwelling, because of familial status, in violation of 42 U.S.C. § 3604(b); and by making, printing, or publishing notices or statements with respect to the rental of a dwelling that indicated a preference, limitation or discrimination based on familial status, in violation of 42 U.S.C. § 3604(c). The Defendants deny these claims.

The parties agree that the controversy should be resolved without further litigation. Therefore, without a trial or adjudication on the merits, and without admission of liability by the Defendants, the parties have consented to the entry of this Order, as indicated by the signatures appearing below.

After reviewing the terms of this Order, the Court concludes that the entry of this Order comports with the Fair Housing Act and federal law.

Accordingly, it is ORDERED, ADJUDGED, and DECREED that:

Defendants Mary Gene McDonald, Mary Gene McDonald Family Limited Partnership, and Tracey McDonald, their employees and agents, and all those acting in concert or participation with them are hereby enjoined from:

1. Discriminating against any person because of familial status in the terms, conditions, or privileges of renting a dwelling unit, or in the provision of services or facilities in connection with the rental of a dwelling unit;

2. Making, printing, publishing, or causing to be made, printed, or published any notice, statement, or advertisement with respect to the rental of a dwelling unit that states any preference, limitation, or discrimination on the basis of familial status;

3. Coercing, intimidating, threatening, or interfering with any person because of his or her exercise or enjoyment of his or her rights under the Fair Housing Act, or his or her aid or encouragement to any other person exercising such rights; and

4. Engaging in any other discriminatory housing practices prohibited by 42 U.S.C. §§ 3601-3619.

1. ADOPTION AND IMPLEMENTATION OF NON-DISCRIMINATORY POLICIES
   1. Defendants have adopted, and shall implement in all residential properties they own or manage, individually or collectively, non-discrimination policy set forth at Attachment A.

   2. Within thirty (30) days of the entry of this Order, Defendants shall:
      1. Furnish to all employees or agents with responsibility for, or who participate in, showing, renting, or managing dwelling units at any residential property owned or managed by Defendants, a copy of this Order and a copy of the non-discrimination policy set forth at Attachment A;

      2. Secure from each such employee or agent the signed certificate set forth at Attachment B;

      3. Distribute to each tenant at, and every applicant for tenancy at, any properties owned or managed by Defendants, a copy of the non-discrimination policy set forth at Attachment A and a copy of the HUD pamphlet entitled "Are you a victim of housing discrimination?" (HUD official form 903.1) ⁽²⁾;
      4. Post, in each residential property owned or managed by Defendants, an official HUD " Equal Housing Opportunity" poster (HUD form 928) by or in the manager's office or in a prominent location where it may be seen by tenants and prospective tenants; and
      5. Include the Fair Housing logo and the statement "Equal Opportunity / Fair Housing Provider" in all advertisements for dwellings, and comply with the Fair Housing Act advertising guidelines that appear at 24 C.F.R. § 100.75.

   3. During the period in which this Order is in effect, Defendants, shall ensure that each new employee or agent with responsibilities relating to the rental or sale of dwelling units shall, within thirty (30) days of the entry of this Order, or ten (10) days of commencing an employment or agency relationship with Defendants, whichever is later, receive a copy of this Order and the non-discrimination policy appearing at Attachment A, and sign the statement appearing at Attachment B indicating that he or she has received and understood these documents.

1. Each year for three (3) years after the entry of this Order, on or before the anniversary of the entry of this order, Defendants shall deliver to counsel for the United States a copy of each statement signed by new employees or agents, as set forth at Attachment B and described in Section II.A.3 above.

2. Defendants shall advise counsel for the United States in writing within thirty (30) days of receipt of any complaint against such Defendants, or against any of the Defendants' employees, rental agents, or residential rental properties, regarding fair housing. This notification shall include full details of the complaint and any action taken by the Defendants in response to the complaint, and shall be accompanied by all pertinent documents.

3. Upon reasonable notice, Defendants shall allow the United States to have access to any records of residential rental properties owned, operated, or managed by the Defendants in order to monitor the Defendants' compliance with this Consent Order. The United States shall endeavor to minimize any inconvenience to the Defendants resulting from inspection of such records.

The Complainants have, through private counsel of their choice, filed a separate action concerning the events and circumstances described in the United States' Complaint. The two actions have been consolidated. It is acknowledged that a settlement has been reached in the context of the complainants' separate action and that such settlement obviates the need for any further relief in this Consent Decree.

1. This action is dismissed with prejudice, except that the United States may move at any time to reopen the case for the purpose of enforcing this Order. This Order shall remain in effect for three (3) years, except that the United States may move to extend the term of the Order for good cause.

2. The Court shall retain jurisdiction of this action for purposes of enforcing this Order.

3. Except where explicitly limited, the provisions of this Order shall apply to the Defendants, their employees and agents, anyone acting under their direction, and all those acting in concert or participation with any of them.

4. The provisions of this Order shall apply to all residential rental properties that are owned, operated, and/or managed in whole or in party by any or all Defendants.

5. The parties may mutually agree to extend the time periods set out in this Order for any required action.

6. The parties to this Order shall endeavor in good faith to resolve informally any differences regarding interpretation of and compliance with this Order prior to bringing such matters to the Court for resolution. However, in the event that any Defendant either fails to perform in a timely manner any act required by this Order or acts in violation of any provision of this Order, the United States may move the Court to impose any remedy authorized by law or equity, including, but not limited to an Order requiring performance or non-performance of certain acts and an award of any damages, costs, and attorney's fees that may have been occasioned by that Defendant's non-action or actions.

ORDERED this ___ day of ___________, 2002.

	United States District Judge
Approved: For the Defendants:	For the United States
LORI STORY, ESQ. For Defendant	GREG ADDINGTON Assistant U.S. Attorney

NON-DISCRIMINATION POLICY

It is the policy of the owners and managers of Meadows Apartments not to discriminate against anyone in any aspect of the rental of dwellings because of race, color, national origin, sex, handicap, familial status or religion. This policy means, among other things, that all agents or employees of the Meadows Apartments with the responsibility for showing, renting, or managing any dwelling unit(s) must:

1. treat all qualified applicants equally regardless of race, color, sex, national origin, religion, handicap or familial status; and

2. treat all tenants equally regardless of race, color, sex, national origin, religion, handicap or familial status.

Any employee or agent of the Meadows Apartments with the responsibility for showing, renting, or managing any dwelling unit(s) who does not comply with the policy set forth in this document may be subject to disciplinary action, termination of employment, and/or federal court sanctions.

---

DEFINITIONS

The term "familial status" means one or more individuals (who have not attained the age of 18 years) being domiciled with:

1. a parent or another person having legal custody of such individual or individuals; or
2. the designee of such parent or the person having such custody, with the written permission of such parent or another person.

   The protections afforded against discrimination on the basis of familial status shall apply to any person who is pregnant or is in the process of securing legal custody of any individual who has not attained the age of 18 years.

   ---

   ATTACHMENT B

On ________________, I was instructed by my employer ____________, with respect to my responsibilities under the Order entered by the federal district court in United States v. Meadows Apartments, et al., CV-N-01-00603-DWH-(RAM) (Nevada), the federal Fair Housing Act and applicable state and local laws. I also was instructed as to the non-discriminatory rental policies and procedures. I have received copies of and have read the Order and the Non-Discrimination Policy. I understand my legal responsibilities and will comply with those responsibilities. I understand that the Court may impose sanctions on me if I violate a provision of the Order and that my employer may also discipline me if I violate a provision of the Order. I have been informed by my employer that I will not be reprimanded by my employer for providing information to any law enforcement agency (including the United States Attorney's Office, 100 West Liberty, Suite 600, Reno, Nevada 89501, telephone (775-784-5438)) or official regarding my employer's compliance with the Fair Housing Act and/or the Order.

_______________ (Date)	___________________ (Signature)
	___________________ (Print Name)

Document Filed: May 8, 2002