Corporate Policy Manual

Crest & Valley Property Management LLC

Fiduciary Status: Licensed Property Management Company

Regulatory Oversight: Oregon Real Estate Agency (OREA)

Legal Framework: ORS Chapter 696 & ORS Chapter 90

SECTION 1: CORE OPERATIONAL & CORPORATE IDENTITY

1.1 Specialized Management Scope: Crest & Valley Property Management LLC operates strictly as a specialized residential property management firm. It does not operate as a transactional real estate brokerage sideline. The singular, primary objective of all corporate operations is to manage client real estate assets to maximize long-term wealth while providing high-quality, professional operations for tenants.

1.2 Data-Driven Decision Protocol: All staff members must prioritize numerical data over speculation or personal intuition.

Market Evaluations: Before executing any new residential lease agreement or delivering a formal statutory rent increase notice, a comprehensive data-backed market analysis must be generated using real-time local analytics.

Pricing Metric: Rental pricing and rent increases must align with current localized sub-market parameters to optimize owner rental yields while maintaining minimal vacancy cycles.

1.3 Anti-Gimmick & Upfront Transparency Guarantee: The company enforces a zero-tolerance policy against corporate upsells, hidden fees, and forced ancillary protection packages.

Prohibited Programs: Staff are strictly prohibited from marketing or charging for "pet protection plans," "eviction protection schemes," or "tenant benefit packages."

High-Touch Risk Mitigation: Financial protection for the property owner must be achieved through personal screening and preventative structural upkeep, rather than costly monthly add-on packages.

Upfront Fee Structures: All operational fees and property expenses for which an owner is responsible must be fully disclosed in writing within the initial property management agreement. Hidden surcharges or unexpected operational contract deductions are strictly banned.

SECTION 2: MARKETING & TENANT SCREENING

2.1 Low-Barrier Fair Housing Standards: All property advertisements and applicant qualification workflows must strictly adhere to the federal Fair Housing Act, the Oregon Fair Housing Act (ORS 659A.145), and local municipal laws.

Source of Income: Staff must process all sources of income uniformly, including federal Section 8 Housing Choice vouchers, local non-profit rental assistance, and housing authority subsidies.

Portland Ordinances: For properties within the city limits of Portland, staff must strictly follow the Fair Access in Renting (FAIR) screening sequence regulations (PCC 30.01.086), including the mandatory 72-hour availability publishing notice and standardized low-barrier screening paths.

2.2 Beyond-the-System Verification Protocol: To eliminate reliance on automated screening software, the leasing department must go above and beyond standard algorithmic processing by executing hands-on verifications for every applicant:

Employment Verification: Direct, telephone or encrypted email contact must be established with the current supervisor or human resources department of the applicant to verify income continuity.

Landlord References: A minimum of two past property owners or managers must be contacted via phone to verify the applicant's historical lease compliance, property care habits, and payment punctuality.

SECTION 3: REPAIRS, MAINTENANCE, & VENDOR MANAGEMENT

3.1 Strict Zero-Markup Enforcement: Crest & Valley Property Management LLC strictly prohibits the application of any corporate markups, administrative surcharges, or hidden fees onto third-party maintenance bills. All invoices for physical repairs, turn cleanings, or capital upgrades must be billed to the property owner at the exact cost charged by the service provider.

3.2 The 3-Quote Mandate: For all non-routine property repairs or maintenance tasks exceeding the pre-approved baseline threshold, staff must source a minimum of three (3) independent, itemized quotes from separate service providers.

Selection Criteria: Quotes must be evaluated based on localized cost-efficiency and quality metrics to ensure the property’s structural integrity is preserved without incurring unnecessary owner expenses.

Vendor Requirements: Dispatched contractors must be fully licensed with the Oregon Construction Contractors Board (CCB), bonded, and carry active general liability and workers' compensation coverage.

SECTION 4: FINANCIAL MANAGEMENT & DELINQUENCY CONTROL

4.1 No Rent, No Pay Baseline: The accounting department shall never charge a monthly property management fee for any tenant who is delinquent, non-paying, or actively navigating a formal eviction process. If an asset is not actively producing rental revenue for the owner, corporate management fees are automatically paused.

4.2 100% Owner Retention of Penalties: Unlike competitors who seize penalty revenues, Crest & Valley mandates that property owners retain 100% of all collected tenant late fees and pet fees to maximize their bottom-line profits. The property management company shall only assess its standard base management fee percentage on top of those collected line items.

4.3 Fiduciary Trust Account Administration: All client and tenant funds must be held and disbursed in strict compliance with the fiduciary rules of the OREA under ORS 696.301.

Segregation of Funds: Rental income and operating reserves must be held in a dedicated, segregated Clients' Trust Account, completely isolated from corporate operations cash.

Security Deposits: All tenant security deposits must be kept in a separate Security Deposit Trust Account. Moving-out deposit settlements and itemized written ledgers must be delivered to the tenant within the legally mandated 31-day accounting window (ORS 90.300).

Portland Deposit Capping: For properties inside Portland city limits, security deposit collection limits must conform to PCC 30.01.087, capping deposits at 0.5 months' rent if last month's rent is collected upfront, or 1.0 months' rent if it is not.

SECTION 5: DISPUTE RESOLUTION & CONFLICT OF INTEREST

5.1 Pre-Suit Mediation and Dispute Protocol: In the event of an operational dispute or contractual disagreement between a Property Owner and Crest & Valley Property Management LLC, both parties must engage in mandatory, face-to-face pre-suit mediation before filing a formal civil lawsuit in county circuit court.

Timeline: Mediation must be requested in writing and initiated within thirty (30) days of the dispute notification.

Venue: Any litigation resulting from an un-cured default must be filed exclusively within the Oregon County where the Property Manager’s primary corporate office is located, explicitly waiving forum non conveniens claims.

5.2 Mandatory Conflict Disclosure Mandates: All principal brokers and property managers must deliver a clear, transparent written disclosure to a property owner immediately upon identifying any potential or active conflict of interest.

Affiliated Vendors: If the company utilizes an internal or affiliated maintenance division, the corporate relationship must be disclosed to the owner in writing prior to dispatch.

Portfolio Competition: Managing similar residential assets within the same geographic neighborhood is permitted, provided all units are marketed fairly and independently under Fair Housing protocols.

Dual Agency Limits: If an employee or immediate family member of an employee applies to rent a client-owned property, a formal OREA-compliant written disclosure must be signed by the property owner before a lease agreement can be legally executed.

📄 SECTION 6: PROPERTY OWNER ONBOARDING DISCLOSURE RIDER

This disclosure rider constitutes a formal addendum to the standard Property Management Agreement and serves as an explicit itemization of the operational parameters, financial terms, and legal boundaries accepted by the signed Property Owner.

6.1 Data-First Pricing and Vacancy Acceptance: The Owner acknowledges that Crest & Valley Property Management LLC relies entirely on analytical local market indicators to establish baseline rental rates and maximize yields. While the company utilizes data precision to minimize vacancy windows, the Owner understands that market stabilization relies on screening criteria integrity, and the company will not compromise screening quality or rush tenant placement to eliminate standard structural downtime.

6.2 Explicit Sourcing and Repair Approvals: By executing this onboarding agreement, the Owner authorizes the Manager to securely manage maintenance calls via the company's 3-quote mandate.

Markup Exemption: The Manager certifies that 100% of the selected third-party contractor's raw invoice cost is forwarded directly to the Owner ledger with zero hidden markups, fees, or corporate surcharges.

Emergency Override: The Owner grants the Manager absolute authority to exceed standard non-emergency spending boundaries if immediate intervention is legally required to resolve an active Oregon habitability violation under ORS 90.320.

6.3 Ancillary Fee Distributions & Delinquency Waiver: The Owner confirms and accepts the "No Rent, No Pay" financial policy of the company. No Fee Delinquency: If a tenant defaults on their rent or enters court-monitored eviction proceedings, the company’s monthly management fees are immediately paused until collections resume.

Penalty Retention: The Owner explicitly retains 100% of all collected tenant late fees and pet fees, while authorizing the property management firm to assess its standard management percentage fee on top of those specific gathered revenue buckets.