YOUR PRESENTERS. Julia Burkhead Housing Programs Manager Dora Foppiano Housing Programs Supervisor Deanna Villanueva Housing Programs Supervisor

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2 YOUR PRESENTERS Julia Burkhead Housing Programs Manager Dora Foppiano Housing Programs Supervisor Deanna Villanueva Housing Programs Supervisor Theresa Alster Housing Programs Senior Analyst Karmina Lopez Training & Outreach Developer Rosalie Duimstra Training & Outreach Developer 2

3 Introduction Housekeeping HACSC Overview Section 8 Program Overview Lease-up Processes Request For Tenancy Approval (RFTA) Affordability Rent Reasonableness Housing Quality Standards Execution of HAP Contract, Changes to Lease Agreement Rent Adjustments Change of Ownership Lease Enforcement and Owner/Tenant/HACSC Responsibilities Partner Portal Announcements and Questions 3

4 Restrooms Turn cell phones off or to silence and vibrate If you must take urgent calls on the cell phone, take your conversation outside Please do not interrupt one another Limit side conversations Participate and ask questions Inform staff if you require a reasonable accommodation 4

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6 HACSC s mission is to provide and inspire affordable housing solutions to enable low-income people in Santa Clara County to achieve financial stability and self-reliance. 6

7 1. Optimize Moving to Work (MTW) flexibility 2. Maintain a leadership role in improving existing housing and expanding the availability of new affordable housing to meet community needs, both directly and through mutually beneficial partnerships 3. Maintain a leadership role in using Housing Choice Vouchers (HCV) to optimize affordable housing options 4. Promote client s financial stability and self reliance, as appropriate to their specific needs 5. Operate in an innovative and financially responsible manner 6. Provide leadership for, collaboration with, and sharing information related to HACSC s mission with community organizations, public agencies, and the public 7

8 Funding from the U.S. Department of Housing and Urban Development (HUD) Local oversight provided by Board of Commissioners and HACSC Executive team Housing Department Managers and Supervisors o Housing Specialists and Assistants Participants in special programs Participants assigned by alphabet 8

9 Dora Foppiano Housing Programs Supervisor Phone: o Advocates for Section 8 property owners when problems arise that are not resolved by the assigned Housing Specialist or Supervisor o Researches and ensures that every owner s concerns are satisfactorily addressed As always, property owners and landlords are encouraged to call their assigned Housing Specialist with routine questions and concerns. 9

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12 Provides rental subsidies for very low-income households who reside in privately-owned rental units Participants are selected from the Housing Authority waiting list or directly referred by a case management provider Tenants pay a portion of the unit rent based on their income, HACSC pays the difference The family is issued a voucher based on family size and composition 12

13 Section 8 Housing Choice Voucher (HCV) Program Section 8 Project Based Voucher (PBV) Program Family Self-Sufficiency (FSS) Program Chronically Homeless Direct Referral (CHDR) Program Scattered Site Rental Assistance Program (SS RAP) Continuum of Care (CoC) Program Veterans Affairs Supportive Housing (VASH) Family Unification Program (FUP) Mainstream Program Non-Elderly Disabled (NED) Mod/Rehab 13

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15 Owner screens and selects a prospective tenant who has a HACSC voucher Owner completes an owner or tenant submits the Request for Tenancy Approval (RFTA) packet HACSC verifies unit affordability (40% rule) HACSC verifies the rent reasonableness of the unit HACSC conducts an inspection to ensure housing quality standards Owner and tenant sign the lease and HACSC issues a new HAP contract 15

16 Information for the prospective landlord Unit amenities form Request for tenancy approval form Legal owner and payment information IRS W-9 Pre-inspection checklist Lead disclosure form Owner certification 16

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28 The Voucher Payment Standard (VPS), based on HUD s established rates for Fair Market Rent (FMR), is the maximum subsidy HACSC can provide toward the contract rent. If the contract rent is greater than the payment standard, the family pays the difference between the approved contract rent and the payment standard. For new contracts, the tenant s rent share must not exceed 40% of the tenant s gross monthly income. 28

29 Contract rent payment standard = $ $2806 = $44 Gross monthly income = $ % = $320 40% = $400 $320 + $44 = $364 < $400 = AFFORDABLE Contract rent payment standard = $ $2806 = $94 Gross monthly income = $ % = $320 40% = $400 $320 + $94 = $414 > $400 = NOT AFFORDABLE 29

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31 HACSC must ensure that rents charged by owners to housing choice voucher program participants are reasonable. For all units, HACSC must compare the rent for the voucher unit to rents for similar unassisted units in the area. For multi-unit developments, HACSC must compare the rent for the voucher unit to rents for similar units on the premises. Ensuring rent reasonableness is very important for effective program operations. If HACSC approves rents that are too high, fewer families are assisted. 31

32 Rent reasonableness is determined by: o Location o Size o Type Detached, townhouse, condo, duplex, high-rise, etc. o Age and condition o Utilities Tenant provided vs. owner provided o Maintenance Pest control, landscaping o Amenities Washer/dryer hookups, appliances provided, ceiling fans and air conditioning, parking, pool, security 32

33 Jon and Anna and their children Rob (19), Crystal (15) and Joey (7) have received a Section 8 voucher. Jon is disabled and receives $1000 from Social Security each month. Anna works at a day care center and earns $2000 per month. What voucher size and payment standard will apply to Jon and Anna s family? 3 bedroom voucher Payment standard $

34 Jon and Anna found a 3BR unit for rent for $2825 per month. Other similar units in the neighborhood rent for more than $2900 per month. $ $2806 = $19 $3000 per month * 32% = $960 $3000 per month * 40% = $1200 $960 + $19 = $979 Tenant Rent to Owner $ $979 = $1846 HACSC HAP 34

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36 The Housing Quality Standards (HQS) have been developed by HUD and the Housing Authority covering minimum criteria that must be met to the ensure health and safety of occupants for a unit under subsidy Rental unit must be move-in ready at the time of initial inspection Inspections are conducted biennial (every two years) for most programs 36

37 Examples of HQS criteria include: o All utilities must be on o Smoke detectors must be operable on each level of the home o All windows accessible from the outside must be lockable o All electrical outlets are working and three-pronged outlets are either grounded or have working Ground Fault Circuit Interrupter (GFCI) protection o All electrical outlets and lights switches have cover plates o All appliances are in place and operable 37

38 Doors cannot have double-key dead bolt locks. If window security bars or security screens are present on emergency exit windows, they must be equipped with a quick-release system. The owner is responsible for ensuring that the family is instructed on the use of the quick-release system. Swimming pools cannot be empty or create unsafe conditions for the family. The HA may request that a safety pool barrier be installed around or over swimming pools to ensure the safety of small children. Units must have a working carbon monoxide monitor, if applicable. 38

39 The following are considered life-threatening deficiencies: Gas leak Exposed or arcing electrical Structural damage: collapsed walls, floors, ceiling Exposed broken glass Missing or inoperable smoke detector Lack of a functioning flush toilet in a one bathroom unit Lack of security of the unit Plumbing leaks or flooding Lack of permanent functioning heating equipment if inspection occurs between the months of November - March Vermin infestation No water, gas or electric service 39

40 Physical recheck will be conducted for life-threatening deficiencies within 24-hours Owner and tenant can self-certify for non-life threatening deficiencies (only for ongoing inspections) HQS deficiencies not corrected within the specified timeframe may result in abatement of HAP payments and/or termination of HAP contract Owners will not be paid for the period when the unit is in abatement 40

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42 Property ownership will be verified The new contract term must be for one year You must provide the Housing Authority with a copy of your signed lease agreement with the HUD Tenancy Addendum attached. Lease must include the following statement: All provisions of the attached HUD Tenancy Addendum are incorporated into the lease. 42

43 Notice of any change to the lease must be submitted to HACSC and the tenant in writing at least 60 days prior to the effective date of the change. Notice must include: o Type of change o Effective date of change o Date the notice was issued A new HAP contract is required when any of the following changes occur: o Change in the responsibility for utilities or appliances o Changes in the term of the lease o Family moves to a new unit, even if unit is in the same complex 43

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45 1. Submit written notice to tenant (send copy to HACSC) at least 60 days before the date of desired rent increase. Include a requested dollar amount 2. HACSC will determine if the requested rent is reasonable based on comparable rents in the neighborhood 3. If the requested rent increase is found to be reasonable, the owner/tenant will be notified of the rent change, and effective date of the rent increase Note: If the tenant is in a lease, adjustments will be effective when the lease term expires. 45

46 4. A current Unit Amenities Form must be completed, and can be found on the HACSC web-site, 5. Approved rent cannot be higher than the reasonable rent 6. The rent adjustment effective date will be the later of: The first day of the month 60 days following HACSC s receipt of the rent adjustment request The effective date specified in the letter or The first of the month following the expiration date of the current lease term 46

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48 The new owner must honor the existing lease and HAP contract through the end of the lease term Change of ownership must be reported in writing to HACSC HACSC verifies the change Old/new owners must make arrangements to transfer funds paid by HACSC before the change is verified and processed 48

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50 HACSC Owner Lease Tenant 50

51 Provide decent, safe housing to a tenant at a reasonable rent, Screen prospective tenants for suitability using the same standards as it would for any other tenant, (HACSC does not pre-screen tenants) Enforce the lease provisions and perform other necessary property management functions, Ensure the dwelling unit passes the program's HQS and maintain those standards, Inform the Housing Authority in writing of any changes in lease terms. 51

52 Find a place to live that is suitable for them, Care for the unit Comply with terms of the lease Comply with family obligations on their voucher Attend all appointments with HACSC Immediately report changes in income and family composition Provide the HACSC with complete and accurate information 52

53 Pay monthly HAP to the owner Conduct inspections and enforce Housing Quality Standards (HQS) Conduct regular reexaminations of family income and composition Enforce the family s obligations under the program 53

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55 Other handouts in packet Landlord Initiative HACSC website: 55

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59 You have 1 alert(s) Owner s name: You have an updated 1099 Go to My 1099s menu to download the latest version. Thank you! 59

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