Policy changes in housing programs to
address funding challenges, resident needs
Background
The landscape for federal funding of
housing programs continues to look uncertain for both the Section
8 program and public housing. On June 20,
2005 the Seattle Housing Board of Commissioners approved
policy changes to address this uncertainty and ensure long-term stability of SHA's
housing programs.
Changes in
Low-Income Public Housing rent policy
In 2000, SHA adopted a unique policy for
calculating rents in the public housing program using the
flexibility afforded by our Moving to new Ways (MTW) status.
After several years of monitoring and
evaluating the policy, SHA drafted proposed revisions to address current funding challenges and to
support the goals of the program more effectively.
Rent policy changes will generally
affect residents in the following ways:
-
Residents will be required to report
changes in their income immediately.
-
Residents will be charged
market-rate rent if they miss their annual
recertification.
-
Employed residents currently paying
rent according to a fixed rent step will now have their
rent calculated at 30 percent of income, which will most
likely result in an increase.
-
More residents will be able to
benefit from setting up Tenant Trust Accounts, to which
SHA will contribute a portion of paid rent.
-
The way rent is calculated for
residents on TANF will change, most likely resulting in
lower rent for these households.
Most of
the changes set forth in the original proposal were
included, except for the proposal which would have required student financial aid and
income from caring for foster children to be counted in the
calculation of
rent.
The changes went into effect October
1, 2005 and were mplemented over a 12-month
period. Employed residents were most affected by the change,
while disabled and elderly residents on a fixed income were impacted little.
Section 8 Housing
Choice Voucher program changes
New Section 8 program rules are aimed to
reduce costs and serve families. The major policy changes that will
affect Section 8 participants include the following:
-
SHA
lowered payment standards for one-, two- and
three-bedrooms units to 110 percent of HUD’s Fair Market
Rent. This means that participants' vouchers will be
worth slightly less in the apartment market, and
participants may have to pay more to rent the house or
apartment of their choice.
-
SHA changed occupancy standards so
that new households entering the program may need to
live in houses or apartments with fewer bedrooms than
previously. For example, a single parent with two
children would receive a voucher for a two-bedroom unit,
not a three-bedroom unit.
-
Current voucher holders will not be required to move.
Tshe new standards will apply to new participants and to
current tenants who choose to move.
-
Families may receive a decrease in
subsidy between annual recertification reviews if they
receive a significant increase in income.
-
In order to reduce operating
expenses, landlords or participants may be charged a fee
for missing a scheduled inspection appointment.
Most changes became effective on August
1, 2005 for new participants and current tenants moving to a
new unit.
What to do about the level of
federal funding for housing
If you are concerned about current
and proposed levels of federal funding for housing
assistance, you can make your views known. Contact your
legislators and tell them what you think about the
current and proposed federal funding levels for
low-income housing programs.
Contact
Washington State U.S. Representatives:
202-224-3121 (switchboard),
www.house.gov
Contact
Washington State
U.S. Senators:
202-224-3121 (switchboard),
www.senate.gov
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