UNITED STATES OF AMERICA,
Plaintiff,

v.

HENRY K. VERNON d/b/a MONTEREY
MANOR APARTMENTS; ANITA SCHIKORE,
Defendants.

___________________________________

The United States and defendants wish to avoid the expenses and uncertainties of additional litigation and, as indicated by the signatures appearing below, have voluntarily agreed to resolve this action by jointly entering into and filing this Consent Order ("Order"). The parties hereby agree as follows:

1. INTRODUCTION
   1. The United States filed this action on July 26, 1998, pursuant to Section 814(a) of the Fair Housing Act, 42 U.S.C. §3614(a). The parties have engaged in active litigation since that time.

   2. Defendant Henry K. Vernon owns Monterey Manor Apartments ("Monterey Manor"), which is located at 12201 Lomas Boulevard NE in Albuquerque, New Mexico. Defendant Vernon also owns Shalom House Apartments, located at 2306 Garfield SE, Albuquerque, New Mexico. He presently assists in managing Continental Arms Apartments, 1200 Madeira SE, Albuquerque, New Mexico, and Applewood Square Apartments, 317 Adams SE, Albuquerque, New Mexico.

   3. Defendant Anita Schikore was formerly employed by defendant Vernon as the resident manager at Monterey Manor. Ms. Schikore was resident manager at Monterey Manor from in or about July 1993 until in or about July 1998.

2. THE UNITED STATES' ALLEGATIONS
   1. In its complaint, the United States alleges that defendants engaged in a pattern or practice of discriminating against African Americans and families with children who inquired about renting apartment units at Monterey Manor. The United States specifically alleges that defendants violated Section 804 of the Fair Housing Act, 42 U.S.C. §3604, by refusing to rent apartment units at Monterey Manor to African Americans. According to the government, defendants' exclusionary practices included giving prospective African American tenants false information about the availability of apartment units and otherwise treating such prospective tenants differently and less favorably than their non-African American counterparts. Additionally, the United States alleges that defendants refused to rent apartment units at Monterey Manor to families with minor children.

3. DEFENDANT VERNON'S NON-ADMISSION OF LIABILITY
   1. By entering into this Order, defendant Vernon does not admit the allegations made by the United States in its complaint.

4. DEFENDANT SCHIKORE'S ADMISSION OF LIABILITY
   1. Defendant Schikore admits that when she managed Monterey Manor, she adhered to a deliberate policy of refusing to rent apartment units to African Americans. To avoid renting to African Americans, she routinely gave false information to them. Specifically, she falsely informed prospective African American tenants that there were no apartment units available or soon to become available, or that she already had applications pending on those that were vacant or expected to become vacant. At the same time, she gave truthful information about apartment availability to prospective white tenants.

   2. Defendant Schikore also admits that she adhered to a practice of refusing to lease apartment units at Monterey Manor to families with minor children. She would not rent one bedroom units to anyone with a child. She also actively discouraged prospective tenants with children from renting at Monterey Manor by telling that they would not be comfortable there because it was a quiet, "adult" complex populated primarily by senior citizens. Through these actions, defendant Schikore deliberately excluded families with children from Monterey Manor.

   3. In or about July 1996, Nancy Gower sought an apartment unit at Monterey Manor for her and her teenage daugther. When Ms. Gower visited the leasing office, defendant Schikore falsely told her that there were no apartments available to rent. Defendant Schikore misled Ms. Gower because Ms. Gower intended to live at Monterey Manor with her daughter. Defendant Schikore's actions toward Ms. Gower violated 42 U.S.C. §§3604(a), (b) and (d).

   4. Through her conduct, set forth in ¶¶6 - 8 above, defendant Schikore engaged in a pattern or practice of discrimination based on race and familial status, in violation of the Fair Housing Act, 42 U.S.C. 3601 et seq.

5. JURISDICTION, SCOPE, AND TERM OF ORDER
   1. The parties have consented to the entry of this Order. Accordingly, the parties stipulate that this Court has personal jurisdiction over defendants for purposes of this action and subject matter jurisdiction over this action pursuant to 28 U.S.C. §1345 and 42 U.S.C. §3614(a).

   2. This Order addresses all discriminatory conduct that occurred at Monterey Manor up through the date on which the Court adopts this document as its own ORDER ("date of this Order"). The provisions of this Order shall apply to defendants, their employees, agents, anyone acting under their direction, and all those acting in concert or participation with any of them.

   3. This Order is effective immediately upon its entry by the Court and shall be effective for a period of four (4) years thereafter, absent an extension as set forth in this Paragraph. The Court shall retain jurisdiction of the action and over all defendants for the term of the Order. If no action is taken by the United States within four (4) years of the date of the Order, the Order shall terminate. In order to stay dismissal, the United States must serve a written objection, which shall be grounded upon a violation or breach by any defendant of some provision of this Order, no later than thirty (30) days prior to the expiration of the four-year term of the Order. If an objection is filed, the Court shall hold a hearing on the motion to stay dismissal and the burden shall be on the United States to demonstrate why this Order should not be terminated and the specified defendant(s) dismissed. If the United States fails to meet its burden, or if no objection is timely filed except for good cause shown, this Order shall terminate forthwith.

6. NONDISCRIMINATION INJUNCTION
   1. Defendants, their employees, agents, assigns, anyone acting under their direction, and all those acting in concert or participation with any of them, are hereby enjoined from:
      1. Refusing to rent or refusing to negotiate for the rental of, or otherwise making unavailable, dwellings to persons because of race, color or familial status;

      2. Imposing different terms and conditions in the rental of dwellings on account of race, color or familial status;

      3. Making statements with respect to the rental of a dwelling that indicate a preference, limitation or discrimination on the basis of race, color or familial status;

      4. Representing to any person because of race, color or familial status that a dwelling is not available for inspection or rental when it is in fact so available; and

      5. Engaging in any conduct which has the intent or effect of deterring, discouraging, and/or interfering on the basis of race, color or familial status with any person who is inquiring about or applying for residency in any property.

7. AFFIRMATIVE INJUNCTIVE RELIEF
   1. Defendant Vernon shall take the measures set forth in this Section to ensure compliance with all state and federal fair housing laws and to ensure in the future that all dwellings at Monterey Manor and other properties which defendant Vernon owns and/or manages are made available for rental to all persons on an equal basis and under the same terms and conditions.
   A. Policies
   1. Within sixty (60) days after the date of this Order, defendant Vernon shall adopt and implement objective, uniform and non-discriminatory written standards and procedures for receiving and handling rental inquiries made in person or by telephone; maintaining up to date records regarding existing and upcoming vacancies; showing apartment units to prospective tenants; keeping records of rental inquiries made by prospective tenants; processing, reviewing, accepting and rejecting rental applications; keeping records of all applications, whether accepted, rejected or otherwise; establishing, maintaining and administering waiting lists; and any and all other aspects of the process of renting apartment units at Monterey Manor. The United States shall review and agree upon these standards and procedures before they are put into effect.

   2. Defendants shall make the standards and procedures referenced in the preceding paragraph available upon request to all tenants and prospective tenants at defendant Vernon's properties and shall post, in a prominent place in the leasing office at Monterey Manor, a notice that the standards and procedures are available for review upon request.

   3. If defendants propose to change these standards and procedures, they shall first notify the United States and provide the United States with a copy of the proposed changes. If the United States does not deliver written objections to defendants within thirty (30) days of receiving the proposed changes, the changes may be effected. If the United States makes any objections to the proposed changes within such thirty (30) day period, the specific changes to which the United States objects shall not be effected until the objections are resolved.
   B. Notice to Employees
   1. Within ten (10) days after the date of this Order, defendant Vernon shall send a copy of this Order and a copy of the Anti-Discrimination Notice, attached hereto as Exhibit 1, to each of his agents and employees who is involved in renting apartment units at Monterey Manor, specifically including all resident managers and any persons who have routine contact with prospective tenants or residents, whether in person or by telephone (collectively, "Monterey Manor Managerial and Leasing Staff"). Within twenty (20) days after the date of this Order, each person receiving the Order and the Notice shall execute an Employee Fair Housing Acknowledgment Form, attached hereto as Exhibit 2.

   2. Defendant Vernon shall provide any Monterey Manor Managerial and Leasing Staff member hired or otherwise retained after the date of this Order with a copy hereof and with Exhibit 1 upon commencement of his or her employment or agency. Within ten (10) days of being hired or otherwise retained, each such Staff member shall execute an Employee Fair Housing Acknowledgment Form.
   C. Training
   1. Since the United States filed this action, defendant Vernon has completed the following educational training programs concerning his responsibilities and obligations under federal, state and local fair housing laws, regulations and ordinances: (1) "Your Obligations and Responsibilities to Fair Housing in Albuquerque," conducted by the Albuquerque Human Rights Office and the Albuquerque Board of Realtors; and (2) a "Fair Housing Conference," conducted by Protection and Advocacy, Inc. Additionally, all Monterey Manor Managerial and Leasing Staff employed since the date the complaint was filed have attended at least one of the foregoing educational training programs.

   2. Within ten (10) days after the date of this Order, defendants shall provide the United States with an agenda and a summary of the topics covered at each of the training programs referenced in the preceding paragraph.

   3. For the duration of this Order, on at least an annual basis, Defendant Vernon shall continue to attend, and have all Managerial and Leasing Staff at the residential rental properties he owns and/or manages attend, educational fair housing training programs similar to those referenced in ¶20. Defendant Vernon and/or such Managerial and Leasing Staff shall collect and retain all agendas or topic summaries provided at such training programs. After completing any such training program, defendant Vernon and/or such Managerial and Leasing Staff who attended such program shall sign a written certification verifying their attendance.

   4. Defendant Vernon shall require any Managerial and Leasing Staff member hired or otherwise retained at any of the residential rental properties he owns and/or manages after the date of this Order to attend a comprehensive educational fair housing training program similar to any of those referenced in ¶20 within a reasonable time after the commencement of his or her employment or agency, and shall also require such Staff to undergo follow-up training in accordance with ¶22.
   D. Notice to the Public and Advertising
   1. Defendants shall take the following measures to notify the public that all dwellings at defendant Vernon's properties and all facilities and services associated therewith are available without regard to race, color or familial status:
      1. Within ten (10) days after the date of this Order, defendant Vernon shall provide all tenants at Monterey Manor with written notice of his nondiscrimination policies;

      2. Within ten (10) days after the date of this Order, defendant Vernon shall post in a prominent place in the leasing office at each of the properties he owns and/or manages a notice no smaller than 11 inches by 14 inches which indicates that all dwellings are available for rent on a nondiscriminatory basis. A poster which comports with HUD regulations formerly set forth at 24 C.F.R. Part 110 will satisfy this requirement;

      3. Defendant Vernon shall publish at least once a month for the first six (6) months following the date of this Order an advertisement regarding Monterey Manor in The Albuquerque Journal and The Perspective. Each such advertisement shall include the Fair Housing logo (house with "=" sign) and slogan ("Equal Housing Opportunity"). Such advertisements shall occupy no less than two inches by two inches;

      4. Beginning six (6) months after the date of this Order, defendant Vernon shall publish in each succeeding six month period at least two advertisements of the size and content identified in the preceding subparagraph, in each publication identified in such subparagraph;

      5. Any advertisement regarding any residential rental property owned and/or managed by defendant Vernon that is published during the term of this Order shall indicate that such property is an equal housing opportunity property;

      6. Defendants shall prominently display the fair housing logo (house with "=" sign) and slogan ("Equal Housing Opportunity"), or shall otherwise indicate that they are an equal housing opportunity provider, on the following materials, which are routinely used at defendant Vernon's properties: (1) rental application forms; (2) lease agreement forms; (3) tenant rules and regulations; (4) guest cards; and (5) employer-supplied business cards. Defendants shall print and begin using these materials six months after the date of this Order or after the current supply of any such materials is exhausted, whichever comes first.

8. TESTING
   1. As part of his overall effort to ensure compliance with this Order and with fair housing laws, defendant Vernon, in consultation with the United States, shall retain an independent, third party entity to perform fair housing testing at Monterey Manor at least twice during each of the first two years following the date of this Order and at least once a year thereafter for the duration of the Order. Defendant Vernon shall share the results of any testing conducted pursuant to this paragraph with the United States within ten (10) days after receiving written notification of such results.

9. RECORD-KEEPING
   1. Defendant Vernon shall preserve and maintain the following records relating to Monterey Manor:
      1. all guest cards. Managerial and Leasing Staff at Monterey Manor shall ask each person making an in-person inquiry about the availability of apartment units to complete a guest card;

      2. all completed rental applications, including those that are withdrawn or rejected;

      3. all vacancy listings, i.e., documents that show, at any given time, the units that are occupied and/or rented, the units that are vacant, and the units on which Monterey Manor has received notice of an impending vacancy;

      4. a "Log" of all persons making inquiries in person about the availability of apartment units at Monterey Manor. The log shall reflect, for each such inquirer: his or her name; current address; race; race of accompanying household members; the number of people in his or her household; the age of each household member; the date of inquiry; the date of application (if applicable); whether accepted for tenancy; lease date (if applicable); whether placed on a waiting list; and the reason and date of rejection (if applicable). With the exception of information concerning the race of inquirers and accompanying household members, defendants shall obtain such information from an inquirer's guest card or, where applicable, rental application. Defendants shall note the race of an inquirer and any accompanying household members on the basis of visual observation, after taking a guest card; and

      5. copies of all advertisements and the dates of their publication.

   2. Defendant Vernon shall permit the United States, upon reasonable notice, to inspect and copy any of the records described in this paragraph or any other documents related to defendant Vernon's obligations under this Order. The United States shall attempt to minimize any inconvenience to defendant Vernon during the inspection and copying of such records.

   3. If defendant Vernon wishes to make material changes to the content or the form of, or the practices involving, any of the records identified in the preceding paragraph, he shall first notify the United States and provide the United States with a copy of the proposed changes. If the United States does not deliver written objections to the defendants within thirty (30) days after receiving the proposed changes, the changes may be effected. If the United States delivers such objections to defendants within the thirty (30) day period, the specific changes to which the United States objects may not be effected until the objections are resolved.

10. REPORTING PROVISIONS
    1. Defendant Vernon shall serve the United States⁽¹⁾ with the following reports:
       1. Ninety (90) days from the date of this Order, defendant Vernon shall submit a report indicating the steps he has taken up through that date to comply with terms of this Order. This report shall include the following: (1) representative copies of advertisements published during the preceding ninety (90) days, pursuant to ¶24 of this Order, along with a list indicating the date of each such advertisement, the publication in which each such advertisement appeared, and the page on, and section in which, each such advertisement appeared; (2) all employee Fair Housing Acknowledgment Forms completed during the preceding ninety (90) days pursuant to ¶¶18-19; (3) all written certifications of any fair housing educational training program completed by defendant Vernon and/or any Managerial and Leasing Staff during the preceding ninety (90) days pursuant to ¶22; (4) any agenda or summary of any fair housing educational training program completed by defendant Vernon and/or any Managerial and Leasing Staff during the preceding ninety (90) days; (5) representative copies of any revised application forms, lease forms, promotional materials or any other documents containing the equal housing opportunity slogan and/or logo that Defendants had printed and began utilizing pursuant to ¶26; (6) copies of all Logs created during the preceding ninety (90) days pursuant to Paragraph ¶26; (7) a copy of existing tenant rules and regulations; (8) a copy of existing policies and procedures governing apartment rentals; (9) written verification that the notices regarding defendant Vernon's non-discrimination policies have been distributed, pursuant to ¶24(a), and a representative sample of such notice.

       2. Six (6) months from the date of this Order and once every six (6) months thereafter, defendant Vernon shall provide to the United States a report containing the materials identified in subparagraph (a) of this paragraph for the preceding six month period, except that the materials identified in subparagraphs (a)(5)-(a)(9) need not be provided unless they have been materially revised since the preceding report.

    2. Defendant Vernon shall notify counsel for the United States in writing within thirty (30) days of the receipt of any oral or written complaint alleging housing discrimination at any of defendant Vernon's properties. This notification shall include full details of the complaint and any action taken by defendant Vernon in response to the complaint, and it shall be accompanied by all pertinent documents. The United States shall not disclose to any person or entity any information which is provided under this provision without either defendant Vernon's written consent or approval of the Court.

    3. If defendant Vernon sells or otherwise transfers any interest in any of defendant Vernon's properties during the term of this Order, he shall provide, within (10) ten days of such sale or transfer, written notice to the United States that he has made such sale or transfer and shall also identify the person to whom, or entity to which, such sale or transfer has been made. Furthermore, should defendant Vernon acquire a new interest in any residential rental property during the term of this Order, he shall provide, within ten (10) days of acquiring such interest, written notice to the United States that he has acquired such interest.

11. MONETARY RELIEF FOR AGGRIEVED PERSONS
    A. Compensation for Identified Aggrieved Persons
    1. Within ten (10) days after the date of this Order, defendants shall issue a check or money order for the sum of ten thousand dollars ($10,000) payable to Nancy Gower. They shall deliver the check or money order to counsel for the United States. The award is intended to compensate Ms. Gower for the injuries she suffered as a result of defendants' conduct, described in ¶8. The United States shall not deliver the award to Ms. Gower until it receives from her an executed release of claims, attached hereto as Exhibit 3. The United States shall forward the executed release to defendants immediately upon receiving it.

    2. Within ten (10) days after the date of this Order, defendants shall issue a check or money order for the sum of ten thousand dollars ($10,000) payable to Lloyd Brown. They shall deliver the check or money order to counsel for the United States. The award is intended to compensate Mr. Brown for the injuries he suffered when he, an African American, was denied housing at Monterey Manor in 1988 on account of his race. The United States shall not deliver the award to Mr. Brown until it receives from him an executed release of claims, attached hereto as Exhibit 3. The United States shall forward the executed release to defendants immediately upon receiving it.
    B. Settlement Fund For Other Aggrieved Persons
    1. Within ten (10) days after the date of this Order, defendants shall issue a check or money order for the sum of twenty thousand dollars ($20,000), to be deposited in an interest-bearing account held in trust by defendants' counsel. The money deposited in this account shall hereinafter be referred to as "the Fund." The Fund shall be established for the purpose of compensating "aggrieved persons" -- i.e., persons identified through the procedures set forth in this Section who, at any time between January 1, 1985 and the date of this Order, experienced discriminatory treatment at Monterey Manor on account of their race, color or familial status.

    2. At least once each week between the 20^th and 50^th days following the date of this Order, including at least two Sundays, the United States shall publish a Notice to Potential Victims of Housing Discrimination ("Notice"), attached hereto as Exhibit 4. Each Notice shall be at least one-eighth page in size and shall be published in news sections of The Albuquerque Journal and The Perspective. Each notice shall also contain a clearly identifiable photograph of Monterey Manor.

    3. Alleged aggrieved persons shall have sixty (60) days from the date of the last published Notice to contact the United States to assert a claim on the Fund. Within seventy-two (72) hours after an alleged aggrieved person contacts the United States for this purpose, the United States shall send to him or her, via first class mail, a blank "Claim Form," attached hereto as Exhibit 5. An alleged aggrieved person must complete, sign and return this Claim Form to the United States no later than ninety (90) days after the date of the last published Notice in order to maintain a valid claim on the Fund. Within one hundred eighty (180) days after the date of the last published Notice, the United States shall determine which persons submitting timely claims are in fact aggrieved persons, and shall determine in its sole discretion an appropriate amount of damages to be awarded to each such aggrieved person, provided that:
       1. No person shall be compensated pursuant to this Section until after he or she executes a written release of all claims, legal or equitable, that he or she might have against defendants relating to the claims asserted in this lawsuit;

       2. An award from the Fund generally shall not exceed ten thousand dollars ($10,000) per unit of occupants. For the purposes of this Order, "unit of occupants" means either one person who resided or unsuccessfully sought to reside at Monterey Manor or two or more persons who resided or unsuccessfully sought to reside together, in the same unit, at Monterey Manor. If two or more members of a "unit of occupants" submit separate Claim Forms, the claims shall be consolidated and considered as one claim;

       3. The total amount to be paid by defendants pursuant to this Section shall not exceed $20,000 (plus any interest accruing from the date the Fund is established).

          In addition to reviewing submitted Claim Forms, the United States shall interview all claimants in determining which ones are in fact aggrieved persons.

    4. Any alleged aggrieved person who files a claim to the Fund shall be responsible for informing the United States of his or her correct address and telephone number. Such persons shall also be responsible for informing the United States of any change of address or telephone number which occurs after he or she submits such claim. A claimant's failure to keep the United States informed of his or her correct address and telephone number, or of any changes to either, may preclude such claimant from recovering any monetary compensation from the Fund.

    5. The United States shall notify defendants in writing of its determinations regarding aggrieved persons. Within ten (10) days after receiving this written notification, defendants shall deliver to the United States separate checks made out to each aggrieved person, as directed in the written notification. Counsel for the United States shall not forward any check to an aggrieved person until the United States has received that person's executed release of claims, attached hereto as Exhibit 3.

    6. Defendants shall permit the United States, upon reasonable notice, to review any records which may facilitate its determinations regarding the claims of alleged aggrieved persons. Such records will be made available only for the purpose of evaluating claims to the Fund, and the United States shall be prohibited from releasing or otherwise divulging the contents of such records to any person or entity.

    7. In the event that the United States awards to aggrieved persons less than the total amount available in the Fund, the remainder of the Fund shall be paid to the Legal Aid Society of Albuquerque ("LASA") for the purpose of advancing the cause of fair housing throughout New Mexico. LASA shall use the remainder, if any, to conduct one or more of the following activities: fair housing testing; educational fair housing programs designed to inform the New Mexico public -- including real estate agents, apartment owners, houses of worship and community organizations -- about the provisions of the Fair Housing Act; and fair housing enforcement actions.

12. MONETARY RELIEF AFFIRMATIVELY FURTHERING FAIR HOUSING
    1. Within ten (10) days after the date of this Order, defendants shall issue a check or money order for the sum of nine thousand dollars ($9,000) to the Legal Aid Society of Albuquerque ("LASA"). The funds shall be used for the purposes enumerated in the preceding paragraph. Defendants shall deliver the check or money order to counsel for the United States. The United States shall not provide the check or money order to the LASA until it receives from LASA an executed release of claims, attached hereto as Exhibit 6. LASA shall also make a good faith effort to obtain an executed release from each of its agents who may be legally entitled to recover damages as a result of fair housing testing done for LASA at Monterey Manor in 1997. The pertinent release form is attached hereto as Exhibit 7.

13. CIVIL PENALTIES
    1. Within ten (10) days after the date of this Order, defendant Vernon shall issue a check or money order in the amount of twenty-five thousand dollars ($25,000) payable to the United States as a civil penalty pursuant to 42 U.S.C. 3614(d)(1)(C). Defendant Vernon shall deliver the check or money order to counsel for the United States.

    2. Within ten (10) days after the date of this Order, defendant Schikore shall issue a check or money order in the amount of one thousand dollars ($1,000) payable to the United States as a civil penalty pursuant to 42 U.S.C. 3614(d)(1)(C). Defendant Schikore shall deliver the check or money order to counsel for the United States.

14. REMEDIES FOR NON-PERFORMANCE
    1. 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 of a failure by a party, whether willful or otherwise, to perform in a timely manner any act required by this Order or in the event of any other act violating any provision hereof, the opposing party may move this Court to impose any remedy authorized by law or equity, including, but not limited to, an order requiring performance of such act or deeming such act to have been performed, and an award of any damages, costs, and attorneys' fees which may have been occasioned by the violation or failure to perform.

15. TIME FOR PERFORMANCE, INTERPRETATIONS AND DEFINITIONS
    1. The parties shall have the right to seek relevant modifications of the Order to ensure that its purposes are fully satisfied. If the parties are unable to reach mutual agreement concerning a particular modification, the burden of proof concerning the propriety of modification falls on the party so moving. Any time limits for performance imposed by this Order may be extended by mutual agreement of the parties.

    2. This Order constitutes the entire agreement among the parties and supersedes and renders void all prior agreements, written or oral, among the parties. In the event any provision or term of this Order is determined to be or is rendered invalid or unenforceable, all other provisions and terms of the Order shall remain unaffected to the extent permitted by law.

    The undersigned apply for and consent to the entry of this ORDER:

For the United States:

BRIAN F. HEFFERNAN
SETH ROSENTHAL
MICHELLE ARONOWITZ
Department of Justice
Civil Rights Division
Housing & Civil Enforcement Section
P.O. Box 65998
Washington, DC 20035-5998
(202) 514-4713

JOHN J. KELLY
United States Attorney
District of New Mexico
RAY HAMILTON
Assistant U.S. Attorney
P.O. Box 607
Albuquerque, NM 87103
(505) 766-3341

For Henry Vernon d/b/a Monterey Manor Apartments:

PAUL J. KENNEDY
1122 Central Ave., SW
Albuquerque, NM 87102
(505) 842-8662

For Anita Schikore:

MARY Y. C. HAN
1122 Central Ave., SW
Albuquerque, NM 87102
(505) 842-8662

IT IS HEREBY ORDERED, ADJUDGED AND DECREED this _______________ day of __________________________, 1999.

MARTHA VAZQUEZ
UNITED STATES DISTRICT JUDGE

ANTI-DISCRIMINATION NOTICE

Monterey Manor has settled a lawsuit which alleged that certain employees were discriminating against African Americans and families with children who inquired about renting at Monterey Manor Apartments. A copy of the federal court Order settling the case is available for your review in Monterey Manor's leasing office.

It is Monterey Manor's firm policy to make apartment units in all the properties he owns and/or manages available for rental on an equal basis and not to discriminate against any person because of that person's race, color, national origin, religion, sex, handicap or familial status (having children under the age of 18 years). Any employee who violates this policy of nondiscrimination will be subject to dismissal or other disciplinary action.

Exhibit 2

EMPLOYEE FAIR HOUSING ACKNOWLEDGMENT FORM

I hereby acknowledge that I have received from my employer/manager, Henry K. Vernon, and have read an Anti-Discrimination Notice, which makes clear that Mr. Vernon adheres to a policy of equal housing opportunity. I also have had made available to me a copy of the Consent Order entered in United States v. Henry K. Vernon., et al., United States District Court, District of New Mexico, CIV 98-871 MV/DJS. I agree to act in accordance with the Consent Order, and I will comply fully with fair housing laws and will not discriminate against any person in any aspect of the rental of apartment units on the basis of that person's race, color, national origin, religion, sex, handicap or familial status. I understand that if I do so discriminate, I will be subject to dismissal or other disciplinary action.

_____________________________
DATE

_____________________________
EMPLOYEE/AGENT SIGNATURE

NOW THEREFORE AND IN CONSIDERATION of the Consent Order approved by the United States District Court for the District of New Mexico on _________, 1999 in the case of United States v. Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore, Civ. No. 98-871 MV/DJS ("lawsuit") and in consideration of the payment of ________________, I, _______________________, on behalf of myself and family members, agents, heirs, executors, administrators, successors and assigns, do fully, finally and forever release and discharge Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore (hereinafter "Defendants"), along with their insurers, attorneys, related companies, principals, predecessors, successors, assigns, affiliates, partners, directors, officers, agents employers, shareholders, subsidiaries, employees, former employees, heirs, executors, and administrators and any persons acting under their respective direction or control (hereinafter "Releasees"), from any an all grievances, suits, causes of action, and claims of any nature whatsoever, legal, equitable or administrative, whether known or unknown, including but not limited to, all claims asserted or that could have been asserted against Releasees relating to or arising from any discrimination in the rental of apartment units at Monterey Manor Apartments in Albuquerque, New Mexico, including but not limited to claims for damages (both compensatory and punitive), costs, fines and attorneys' fees, as well as any and all other charges, causes of action, complaints or claims, which are based on actions, facts, occurrences or failures to act prior to the time of the date of this Release. IT IS EXPRESSLY AGREED AND UNDERSTOOD THAT THIS RELEASE IS A GENERAL RELEASE.

This Release specifically includes, but is not limited to, all claims arising under the Fair Housing Act of 1968, as amended, 42 U.S.C. § 3601, et seq., or The Civil Rights Act of 1866, as amended, 42 U.S.C. §§ 1981 and 1982, and any other charge, claim or complaint under statute, tort or contract against the Defendants.

I affirm that the only consideration for signing this Full and Final Release of Claims is the terms stated in the Consent Order signed by the parties. I have accepted the terms of this Release and the Consent Order because I believe them to be a fair and reasonable settlement and for no other reason. This Release and the Consent Order contain and constitute the entire understanding and agreement between the parties.

_________________________
Signature

Date: ________________________

NOTICE TO POTENTIAL VICTIMS OF HOUSING DISCRIMINATION AT MONTEREY MANOR APARTMENTS IN ALBUQUERQUE, NEW MEXICO

PHOTOGRAPH OF MONTEREY MANOR

On _______, 1999, the United States District Court for the District of New Mexico entered a Consent Order resolving a housing discrimination lawsuit brought by the United States Department of Justice against the owner and the manager of Monterey Manor Apartments, located at 12201 Lomas Blvd. NE in Albuquerque, across from Manzano High School. The lawsuit alleges that Monterey Manor violated the federal Fair Housing Act by unlawfully refusing to rent to people with minor children and African Americans.

Under the Court Order, a Settlement Fund of $20,000 is being established to compensate people with minor children and African Americans whose civil rights Monterey Manor violated. You may be qualified to recover from this Settlement Fund if you asked about renting, applied to rent, or lived in an apartment unit at Monterey Manor any time after January 1, 1985, and if you were denied an opportunity to live there or were otherwise discriminated against because you have children or because of your race or the race of someone who would have been living with you.

UNITED STATES OF AMERICA,
Plaintiff,

v.

HENRY K. VERNON d/b/a MONTEREY
MANOR APARTMENTS; ANITA SCHIKORE,
Defendants.

___________________________________

THE PURPOSE OF THIS FORM IS TO GIVE YOU THE OPPORTUNITY TO EXPLAIN AS MUCH ABOUT YOUR EXPERIENCE AT MONTEREY MANOR APARTMENTS AS POSSIBLE. PLEASE TRY TO FILL IT OUT AS COMPLETELY AS YOU CAN AND WRITE DOWN AS MUCH AS YOU CAN RECALL.

IF YOU WOULD LIKE TO TALK TO SOMEONE ABOUT THIS CASE OR THIS FORM, CALL THE UNITED STATES DEPARTMENT OF JUSTICE AT (202) 514-4713 DURING BUSINESS HOURS AND TELL THE PERSON ANSWERING THE PHONE THAT YOU ARE CALLING ABOUT "THE MONTEREY MANOR CASE IN ALBUQUERQUE." IF YOU LEAVE A MESSAGE, BE SURE TO LEAVE YOUR HOME AND WORK TELEPHONE NUMBERS.

IF YOU SUBMIT THIS FORM TO THE DEPARTMENT OF JUSTICE, YOU MUST BE INTERVIEWED CONCERNING THE INFORMATION YOU PROVIDE. THEREFORE, PLEASE MAKE SURE TO INCLUDE ACCURATE INFORMATION REGARDING YOUR HOME AND WORK TELEPHONE NUMBERS AND YOUR ADDRESS.

ALSO, PLEASE NOTE THAT IF YOU LIVED OR SOUGHT TO LIVE TOGETHER WITH ONE OR MORE OTHER PEOPLE AND IF ANY OF THOSE OTHER PEOPLE FILES A SEPARATE CLAIM FORM, THE CLAIMS WILL BE CONSOLIDATED AND CONSIDERED AS ONE CLAIM.

FINALLY, YOU SHOULD UNDERSTAND THAT SECTION 1001 OF TITLE 18 OF THE U.S. CODE MAKES IT A CRIMINAL OFFENSE TO MAKE WILLFUL FALSE STATEMENTS OR MISREPRESENTATIONS TO ANY DEPARTMENT OR AGENCY OF THE UNITED STATES AS TO ANY MATTER WITHIN ITS JURISDICTION.

Your Name (please print): _________________________

Race:
[ ] Black/African-American [ ] White [ ] Other (specify) __________________

Number of children (if any): __________________

Social security number: _________________________

Birth date: ___/___/______

Address:________________________________________________________

________________________________________________

Phone numbers:
home:__________________ work:__________________

IF YOUR ADDRESS OR TELEPHONE NUMBERS CHANGE AFTER YOU FILE THIS FORM, IT IS YOUR RESPONSIBILITY TO NOTIFY THE U.S. DEPARTMENT OF JUSTICE OF THE CHANGE. IF YOU FAIL TO KEEP THE DEPARTMENT OF JUSTICE INFORMED OF YOUR CURRENT ADDRESS AND TELEPHONE NUMBERS, YOUR CLAIM MAY BE FORFEITED.

If you have no phone, the name and phone number of a friend or relative who can reach you:

Friend's or Relative's Name: ____________________

Phone number: __________________________________

If you lived, sought to live, or inquired about living at Monterey Manor Apartments in Albuquerque, and you did so together with anyone else, please give that person's name, relationship to you, phone number, race and age:

Name/Relationship:________________________________

Telephone Number: ________________________________

Race: ____________________________________________

Age: ____________________________________________

Please identify the date(s) of your visit(s) to the Monterey Manor leasing office. If you cannot recall a precise date, please give your best estimate.

DATE(S) OF VISIT(S):

(1)_____________________

(2)_____________________

(3)_____________________

For each one of the visits you identified, please fully describe what you experienced. In your descriptions, give as much of the following information as you can accurately remember:

1. whether you telephoned the property before visiting, and if so, the date you telephoned, what you asked for and what were you told;

2. the approximate date of your visit;

3. what you asked for when you visited, including the type of unit you asked for (e.g., one- or two-bedroom);

4. what, if anything, you were told by the leasing agent who assisted you;

5. the name of the leasing agent who assisted you;

6. whether you filled out any forms and if so, which ones;

7. whether you were shown any apartment units and if so, describe them;

8. whether you left any information with the leasing agent before your visit ended, and if so, what you left;

9. whether you ended up renting, and if you did not end up renting, why not.

Please provide this and any other important information as to EACH VISIT in the space provided below (or on additional pages, if necessary):

Please provide the dates you lived at Monterey Manor (if any) and the people you lived with there (if any). IF YOU NEVER LIVED AT MONTEREY MANOR, YOU SHOULD SKIP THIS SECTION.

DATES OF TENANCY (if applicable):

1. _____________________

2. _____________________

3. _____________________

Persons you lived with: _______________________________

_______________________________________________________

Using the space below (or additional pages if necessary), please state, in your own words, any facts which lead you to believe that Monterey Manor discriminated against because of your race or because you have a child or children. Also please describe any resulting injuries or damages you suffered:

I declare under the penalty of perjury that, to the best of my knowledge, the information contained in this Proof of Claim form is true and correct,

_____________________________ Date

_____________________________ Signature

THIS FORM MUST BE SENT OR DELIVERED TO THE FOLLOWING ADDRESS NO LATER THAN ----, 1999:

Chief
Housing and Civil Enforcement Section
U.S. Department of Justice
Civil Rights Division
P.O. Box 65998
Washington, DC 20035-5998

NOW THEREFORE AND IN CONSIDERATION of the Consent Order approved by the United States District Court for the District of New Mexico on _________, 1999 in the case of United States v. Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore, Civ. No. 98-871 MV/DJS ("lawsuit"), and in consideration of the payment of ________________, the Legal Aid Society of Albuquerque ("LASA"), on behalf of its agents, employees, heirs, executors, administrators, successors and assigns, does fully, finally and forever release and discharge Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore (hereinafter "Defendants"), along with their insurers, attorneys, related companies, principals, predecessors, successors, assigns, affiliates, partners, directors, officers, agents employers, shareholders, subsidiaries, employees, former employees, heirs, executors, and administrators and any persons acting under their respective direction or control (hereinafter "Releasees"), from any and all grievances, suits, causes of action, and legal, equitable or administrative claims, whether known or unknown, that were asserted or that could have been asserted prior to the date of this Release against Releasees based on any fair housing "testing" conducted by LASA at Monterey Manor Apartments in Albuquerque, New Mexico, in 1997, including but not limited to claims for damages (both compensatory and punitive), costs, fines and attorneys' fees. This Release does not prohibit LASA from using evidence gathered in the course of the aforementioned fair housing testing in future legal, equitable or administrative proceedings, but LASA hereby agrees not to use such evidence in any legal, equitable or administrative proceeding arising more than five years after the date of this Release.

This Release specifically includes, but is not limited to, all claims arising under the Fair Housing Act of 1968, as amended, 42 U.S.C. § 3601, et seq., or The Civil Rights Act of 1866, as amended, 42 U.S.C. §§ 1981 and 1982, and any other charge, claim or complaint under statute, tort or contract against the Defendants.

LASA affirms that the only consideration for signing this Full and Final Release of Claims is the terms stated in the Consent Order signed by the parties. LASA has accepted the terms of this Release and the Consent Order because LASA believes them to be a fair and reasonable settlement and for no other reason. This Release and the Consent Order contain and constitute the entire understanding and agreement between the parties.

________________________ On behalf of LASA

Date: ________________________

NOW THEREFORE AND IN CONSIDERATION of the Consent Order approved by the United States District Court for the District of New Mexico on _________, 1999 in the case of United States v. Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore, Civ. No. 98-871 MV/DJS ("lawsuit"), I, _______________________, on behalf of myself and family members, agents, heirs, executors, administrators, successors and assigns, do fully, finally and forever release and discharge Henry K. Vernon d/b/a Monterey Manor Apartments and Anita Schikore (hereinafter "Defendants"), along with their insurers, attorneys, related companies, principals, predecessors, successors, assigns, affiliates, partners, directors, officers, agents employers, shareholders, subsidiaries, employees, former employees, heirs, executors, and administrators and any persons acting under their respective direction or control (hereinafter "Releasees"), from any and all grievances, suits, causes of action, and legal, equitable or administrative claims, whether known or unknown, that were asserted or that could have been asserted against Releasees relating to or arising from any discrimination in the rental of apartment units at Monterey Manor Apartments in Albuquerque, New Mexico, including but not limited to claims for damages (both compensatory and punitive), costs, fines and attorneys' fees, prior to the date of this Release.

This Release specifically includes, but is not limited to, all claims arising under the Fair Housing Act of 1968, as amended, 42 U.S.C. § 3601, et seq., or The Civil Rights Act of 1866, as amended, 42 U.S.C. §§ 1981 and 1982, and any other charge, claim or complaint under statute, tort or contract against the Defendants.

I affirm that the only consideration for signing this Full and Final Release of Claims is the terms stated in the Consent Order signed by the parties. I have accepted the terms of this Release and the Consent Order because I believe them to be a fair and reasonable settlement and for no other reason. This Release and the Consent Order contain and constitute the entire understanding and agreement between the parties.

_________________________ Signature

Date: ________________________

1. All notifications, mailings, or submissions to the United States under the terms of this Decree should be sent to: Chief, Housing and Civil Enforcement Section, Civil Rights Division, U.S. Department of Justice, Post Office Box 65998, Washington, D.C. 20035-5998.