Increased federal funding expected for Seattle Housing Authority's 2010 budget
Priorities include development, safety and self-sufficiency
SEATTLE—May 26, 2009—A struggling economy has made life more difficult for many low-income people in recent months. Layoffs have increased and finding work has become a greater challenge. Affordable housing is harder to find and critical human services have been cut at both the state and local levels.
But amid the economic hardship is some good news. As the federal government takes on a larger role in the effort to create jobs, ease credit markets, and address the nation's mortgage crisis, more funding is being made available for housing authorities. The Obama administration is placing greater focus on low-income housing in the President’s budget.
As a result, instead of cutting back on expenses—as it has been forced to do for the better part of a decade—Seattle Housing Authority expects funding for 2010 to be similar to 2009.
In a memo to Seattle Housing Authority's Board of Commissioners and management staff, Executive Director Tom Tierney outlined how changing federal funding priorities will positively affect the agency's 2010 budget.
"Early indications are that Housing Choice Voucher funding is likely to increase. The public housing operating subsidy is also likely to rise, after a decade of under-funding," he said. "This is sufficient to maintain most current program and service levels in 2010." Consistent funding will allow the Housing Authority to continue the maintenance and ongoing development of safe, affordable housing for people with low incomes.
By the end of 2009, the Board of Commissioners will select a preferred site concept for the redevelopment of Yesler Terrace. With this decision in place, 2010 will see Seattle Housing Authority focus on building community support for the neighborhood's redevelopment plan. The agency will work to secure approval of the Yesler Terrace Plan and the zoning changes associated with that plan. The creation of a comprehensive, long-term financing plan will take place in 2010 as well.
SHA will also work with the community to develop the low-income housing plan for Yesler Terrace. This includes the replacement of 561 low-income rental units for people earning 30 percent of area median income and below. It also covers the construction of more than 1,000 additional units for other low-income people.
The Housing Authority has promised current residents living on-site when redevelopment begins that they will have the right to live in the redeveloped community. The agency and its planning team hope to find a way to phase the project so that a minimum number of households have to leave the site during redevelopment. The plan for relocation is expected to be completed in 2010. A plan that outlines the economic opportunities available to residents once they return should be finished as well.
Seattle Housing Authority also looks to make substantial progress toward the completion of Rainier Vista in 2010. This includes finishing the construction of the 86-unit Tamarack Place building. Infrastructure for a large portion of the second phase of the community should also be completed. The agency will work to secure funding for the affordable rental housing it has promised to build on the site.
Safety and security at Seattle Housing Authority's family communities remains an agency priority in 2010. "We will work in partnership with residents, homeowners, community organizations, schools, the police, and other City of Seattle agencies to ensure that we are better able to deal with security threats—particularly at NewHolly," explained Tierney.
SHA staff will also work to create a system that helps low-income people make the most of opportunities to work toward financial stability or self-sufficiency.
"Much work and grant program funding is directed toward helping residents and participants improve their financial independence," said Tierney. "We are going to look anew at our internal systems, programs, and culture to ensure that we are working together to maximize opportunities and access for all of the people we serve."
In addition, Seattle Housing Authority will work to put itself on a more stable long-term financial footing. As part of this, the agency will reduce outstanding balances on its lines of credit. It will also develop transparent, balanced financial plans for the completion of its Rainier Vista and Lake City projects.
Budget priorities for 2010 were developed by Seattle Housing Authority's executive staff as recommendations to the Board of Commissioners. The recommendations were based on input from agency managers and projections of the agency's financial positions in 2010.
These priorities will form the basis for a draft 2010 budget, which is expected to be available for review in September. Public comments will be accepted before the Board of Commissioners approves a final budget—most likely in October.