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Housing Authority Meeting 12/17/91 Santa Monica, California
TO: Housing Authority
FROM: City staff
SUBJECT: Recommendation to Adopt Resolutions ( 1) Approving a
Revised Section 8 Housing Certificate Annual
Contributions Contract, (2) Approving the Execution of
the Annual Contributions Contracts for 12 Housing
Assistance Vouchers and 12 certificates, and (3 )
Approving the Submission for an Application for 79
Housing Assistance Certificates
INTRODUCTION
This report recommends that the Housing Authority take the
following actions to preserve existing HUD funding and to receive
new HUD funding for section B rental assistance: (1) approve a
resolution amending the Consolidated Annual contributions Contract
(CACC) to receive new HUD funding for an expiring allocation of 175
section 8 rental assistance Certificates; and (2) approve a new
Annual Contributions Contract which will permit the City to receive
12 additional section 8 certificates and 12 additional section
Vouchers; and (3) authorize the submission of an application for an
additional 79 certificates in response to the September 30, 1991
HUD Notice of Funding Availability.
BACKGROUND
The Housing Authority currently administers 580 Certificates and
188 Vouche.rs. The lease up rate has averaged around 99% for the
past year with vacancies occurring when current participants leave
the program. The Housing Authority currently has over 2,500
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households on our waiting list. The Housing Authority aggressively
pursues any opportunities to obtain an increased allocation of
Section 8 Certificates and Vouchers. The actions recommended in
this report could increase the Housing Authorityfs allocation by 12
additional Section B certificates and 91 additional Vouchers, while
preserving an additional 175 Section 8 certificates which are due
to expire on December 23, 1991.
DISCUSSION
( 1) Resolution Arnendinq the Consolidated Annual contributions
Contract (CACC) to Receive New HUD Funding for an Expirinq
Allocation of Section 8 Rental Assistance
Like many other local Housing Authorities, the Santa Monica Housing
Authority has been monitoring the expiration date of its section 8
contracts. These federal contracts, by their terms, all have
scheduled expiration dates. Without additional funding to renew
these expiring contracts, needed rental assistance subsidies would
disappear. Fortunately, the current federal budget contains an
appropriation to finance the renewal of section 8 contracts which
are scheduled to expire this year. These renewals will enable low
income households to continue to receive rental assistance with no
interruption of benefits.
One of the allocations administered by the Housing Authority
consists of 175 certificates with a term of 15 years, expiring on
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December 23, 1991. HUD has invited the Santa Monica Housing
Authority to renew this expiring allocation with new budget
authority to support the continued participation of 175 eligible
households. The new contract will have a term of five years.
Approval of the Amended Consolidated Annual contributions Contract
will permit the continued utilization of these 175 section 8
certificates without interruption.
(2) Resolution Approving a New Annual Contributions Contract which
will Permit the City to Receive 12 Additional Section 8
certificates and 12 Additional section Vouchers
In May 1991, the Department of Housing and Urban Development (HUD),
through a Notice of Funding Availability (NOFA) , informed Housing
Authorities of the availability of new Vouchers and certificates
for the Section 8 program. The Santa Monica Housing Authority
submitted an application for additional Vouchers and certificates
in response to that NOFA, and was informed that we were awarded 12
additional section 8 certificates and 12 additional Vouchers.
Approval of this new Annual Contributions Contract will provide the
Housing Authority with these additional 24 units and will allow the
Authority to assist applicants who have waited over two years for
a subsidy.
(3) Resolution to Authorize the Submission of an Application for an
Additional 79 Section 8 certificates in Response to the Seotember
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30, 1991 HUD Notice of Funding Availability
On September 30, 1991 HUD through a Notice of Funding Availability
informed Housing Authorities of the availability of new Vouchers
and certificates for the Section 8 Housing Assistance program.
Unlike prior allocations, the allocation of certificates announced
on September 30, 1991 links housing subsidies with other social
services to assist the Section 8 family in becoming self
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sufficient. HUD has termed this new program the Family Self
Sufficiency (FSS) program. FSS links housing with existing
community soclal services, such as job training, education, child
care, transportation or any other services which would be helpful
in guiding families toward becoming self sufficient. The detailed
implementation program for Santa Monica is not required to be
developed by the Housing Authority until after the application is
approved. However, it would not require the funding of any new or
additional social services by the Housing Authority or the City,
but would utilize programs already funded and existing in the
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community.
Beginning in Federal FY 1992-93, all housing authorities receiving
new allocations of Certificates or Vouchers must operate an FSS
program involving Certificates and Vouchers equal to the cumulative
number of all new Certificates and Vouchers received by them during
that year.
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Participation in the FSS program by the Section 8 tenant is
voluntary. However, the program provides participants with an
opportunity and an incentive to relieve themselves of government
assistance. Under the existing section 8 program as one's income
increases, one's rent increases, which creates a disincentjve for
increased earnings. Under the FSS program any increase in tenant
rent payments resulting from an increase in earned income is placed
in an escrow account for the tenant. This escrow account is set up
utilizing Federal HUD rental subsidy funds and is maintained by the
local housing authority. When the tenant is independent of any
government subsidy, the family may then withdraw the escrow funds.
These funds may be then be used in any manner that the family
wishes, including home ownership. Any families still receiving
housing assistance 10 years after signing the contract will forfeit
the escrow account.
If this application is approved, the Housing Authority will have
the budget authority to subsidize 79 new households in need of
housing. Applications are due to HUD on January 10, 1992 and are
ranked competitively against other Housing Authorities. Based on
current program performance and lease up rate, staff believes that
the Housing Authority has an excellent opportunity to receive these
additional certificates. The detailed FSS implementation program
does not need to be in place until 12 months following execution of
a contract with HUD. staff feels that the Housing Authority will
be able to create a program in the allotted time frame and lease up
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all 79 units in the following 12 months.
BUDGET/FINANCIAL IMPACT
Payments to Santa Monica Housing Authority's section 8 program are
budgeted in account number 12-700-695-00000-7734-00000.
(1) with respect to the renewal of the expiring section 8
Certificate contract, as described in section 1, the Housing
Authority's FY 1991-92 budget already provides for this anticipated
renewa 1. Thus approval of the contract will not require any budget
action at this time. Current costs for both subsidy payments and
earned administrative fees under this contract are approximately
$885,000 annually.
(2) with respect to the execution of the new Annual Contributions
Contract, as described in Section 2, HUD has set aside annual
contract authority of $170,011. The Housing Authority's adopted
budget for FY 1991-1992 has already incorporated this anticipated
increase. Therefore, there is no need to modify the Housing
Authority's 1991-1992 adopted budget at this time.
(3) with respect to the submission of an application in response
to the Family Self SUfficiency Notice of Funds Availability, as
described in section 3, funds for this program most probably will
not be received until after June, 30, 1992. Therefore, there is no
need to modify the Housing Authority's 1991-1992 adopted budget at
this time. However, prior to setting up the tenant escrow funds it
will be necessary to create an account for the funds.
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RECOMMENDATION
It is recommended that the Housing Authority ( 1) approve the
resolution amending the Consolidated Annual contributions contract
(CACC) to receive new HUD funding for an expiring allocation of
section 8 rental assistance; and (2) approve the new Annual
contributions Contract which will permit the City to receive 12
additional Section 8 certificates and 12 additional section
vouchers; and (3) authorize the submission of an application for an
additional 79 certificates in response to the September 30, 1991
HUD Notice of Funding Availability. And further that the Housing
Authority authorize the Executive Director to execute the Annual
contributions Contract, the Revised Annual contributions Contract
and other necessary documents.
Prepared by: Chuck Elsesser, Housing Program Manager
steven Wagner, Housing Coordinator
Department of Community and Economic
Development
Attachments: Resolutions
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BEFORE DISTRIBUTION CHECK CONTENT Of ALL FOq CITY CLERK'S ACTIO~
--- - 1_:'/1~V ORDINANCE _
DIST~IBUTION OF RESOLUTI0N
Council Heet1ng Date /d(~719./ Introduced'
Agenda Item t )-l/l-;; - Adopted:
110 , ALWAYS PUBLISH ADOPTED ORDINANCE
~s it amended? Cross out Attorney's approval
VOTE: Affirrnative:'~i ~> ~I ~f*'7-1 ~/ b~~
Negative: /
Abstain: t
Absent: ~
PROOF VOTES WITH ANOTHER PERSON BEFORE ANYTHING
DISTRIBUTION: ORIGINAL to he signed, sealed and filed in Vault.
NEWSPAPER PUBLICATION (Da te : )
--
D~partment originating staff report( Laurie L1eberman}
Ordinances only for Attorney ( Claud~a Thompson) 2
Management Services Lynne Barrette ORDINANCES O~LY 1
-
Agency mentioned 1n document or staff report
(cert1f1ed?)
Subject file (agenda packet) 1
Counter file 1
. ,
Others: (Review for departments who need to know).
Airport parJsing Auth.
Auditorium Personnel
Building Dept. Planning
~~ Police
F nance-~- ,
Purchasing
General Servo Recr!parks
Library Transportation
Manager Treasurer
Fire
SEND FOUR COP~~S OF ALL ORDINANCES TO:
CODED SYSTEMS <1
120 Main Street
Avon, New Jersey 07717
SEND FOUR COPIES or ALL ORDINANCES TO: 4
Debra Myrick
Santa Monica Municipal Court 2-
1725 Main Street, Room llB
Santa Honica, CA 90401 Total Copies
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RESOLUTION NO. 49(HAS)
(Housing Authority series)
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF SANTA MONICA
APPROVING AMENDED EXHIBIT II TO PART I OF SECTION 8 HOUSING
CERTIFICATE PROGRAM CONSOLIDATED ANNUAL CONTRIBUTIONS CONTRACT NO
SF-520 (E) AND AUTHORIZING EXECUTION
WHEREAS, the Hous1ng Authority of the city of Santa Monica (PHA)
desires to enter into an amended part I of the Consolidated Annual
contributions Contract (CACC) with the united states of America
Government for the Section 8 Existing housing certificate program;
and
WHEREAS, part I of the section 8 Existing Housing Certificate CACC
must now be revlsed so that it will consist of the following
counterparts:
(a) Part I of the CACC, HUD-52520B (8/88) applicable to the
section 8 Existing Housing certificate Program;
(b) Exhiblt I, projects appropriated before Federal fiscal year
1988;
(c) Exhibit II, projects appropriated in Federal fiscal year 1988
and later years adding replacement project no. CA16-E111-017.
NOW, THEREFORE, BE IT RESOLVED BY THE SANTA MONICA HOUSING
AUTHORITY AS FOLLOWS:
Section 1. The amended Exhibit II of the CACC for the section 8
Existing Housing certificate Program is hereby approved and
accepted. The Chairperson or Acting Chairperson lS hereby
authorized and directed to execute the counterparts of the CACC on
behalf of the PHA, and the Secretary is hereby author1zed to
lmpress the official seal of the PHA on each such counterpart and
to forward such executed counterparts to the Government together
with such other documents evidencing the approval and authorizing
the execution thereof as may be required by the Government.
section 2. The Secretary shall certify to the adoption of this
resolution, and thenceforth and thereafter the same shall be in
full force and effect.
APPROVED AS TO FORM:
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ROBERT M. MYERS
City Attorney
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ADOPTED AND APPROVED this 17th day of December, 1991
I hereby certify that the foregoing resolution was duly
adopted by the Housing Authority of the City of Santa Monica at a
meeting thereof held on the 17th day of December, 1991, by the
following vote of the Authority:
AYES: Commissioner: Abdo, Katz, Olsen, Vazquez, Zane,
Genser
NOES: Commissioner: None
ABSTAIN: Commissioner: None
ABSENT: Commissioner: Holbrook
ATTEST:
C:L3~
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BEFORE DISTRIBUTION CHECK CONTENT Of ALL FOQ CITY CLERK'S ACTION
DIS~l'IDVTION OF RESOLUTI0N f S-O(~) ORDINANCE .
Council Meeting Date /~~.J /f7/ . Introduced:
Agenda Item f ;4 n - c::?, Adopted:
ALWAYS PUBLISH ADOPTED ORDINANCE
'Was it amended? /yo Cross out Attorney's approval
VOTE: Affirmative: ~ I::; Of ?f.z, c; .
Negative:
Abstain: t
Absent: ~
PROOF VOTES WITH ANOTHER PERSON BEFORE ANYTHING
DISTRIBUTION: ORIGINAL to he signed, sealed and flIed in Vault.
NEWSPAPER PUBLICATION (Date: )
--
D~partment originating staff report( Laurie Lieberman)
Ordinances only for Attorney , Claudia Thompson) 2
Management Services Lynne Barrette ORDINANCES O~LY 1
-
Agency mentioned in document or staff report
(certi fled?)
-
Subject file (agenda packet) 1
Counter file 1
,
Others: (Review for departments who need to know).
Airport parJsinq Auth.
Auditorium Personnel
Building Dept. Planning
~~ Police .
.
nanceT'L -!- Purchasing
.
General Servo Recr/parks
Library Transportation
Manager Treasurer
Fl.re
SEND FOUR COP~~S OF ALL ORDINANCES TO:
CODED SYSTEMS 4
120 Main Street --
Avon, New Jersey 07717
SEND FOUR COPIES OF ALL ORDIN~NCES TO: 4
Debra Myrick
Santa Monica Municipal Court 1
1725 Main Street, Room 118
Santa Monica, CA 90401 Total Copies
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RESOLUTION NO. SO HAS
(HOUSING AUTHORITY SERIES)
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF SANTA
MONICA AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE THE
ANNUAL CONTRIBUTION CONTRACTS FOR TWELVE SECTION 8
CERTIFICATES AND TWELVE SECTION 8 VOUCHERS.
WHEREAS, the Department of Housing and Urban Development has
notified the Housing Authority of the availability of 12 Section
8 certificates and 12 vouchers: and
WHEREAS, these additional section 8 certificates and vouchers
are justified by the application wa~ting list and 1S consistent
w~th Housing Assistance Plans for our area of operation,
NOW, THEREFORE, THE HOUSING AUTHORITY OF THE CITY OF SANTA
MONICA RESOLVES AS FOLLOWS:
SECTION 1. The Execut1ve Director is authorized to execute
the Annual contribution Contracts for an additional 12 Section 8
Existing Housing certlficates and 12 Section 8 Vouchers.
SECTION 2. The Secretary shall certify to the adoption of
this Resolution, and thenceforth and thereafter the same shall be
ln full force and effect.
APPROVED AS TO FORM:
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ROBERT M. MYERS
city Attorney
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ADOPTED AND APPRO~17th day of December, 1991
~~
I hereby certify that the foregoing resolution was duly
adopted by the Housing Authority of the City of Santa Monica at a
meeting thereof held on the 17th day of December, 1991, by the
following vote of the Authority:
AYES: Commissioner: Abdo, Katz, Olsen, Vazquez, Zane,
Genser
NOES: Commissioner: None
ABSTAIN: Commissioner: None
ABSENT: commissioner: Holbrook
ATTEST:
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c~rk
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.
BEFORE DISTRIBUTION CHECK CONTENT OF ALL FO~ CITY CLERK'S ACTION
;IST~IBVT'ION OF RESOLUTION # S'/(~) ORDINANCE *
./
Council Meeting Date/;;;;)7/9/ Introduced:
..- "
Agenda Item i _ /-1-:71 --;<. Adopted:_
~s it amended? ~D ALWAYS PUBLISH ADOPTED ORDINANCE
Cross out Attorney's approval
VOTE: Affirmative: /1-;1;; C)i1 ~ c. -
Negative:
Abstain: t
Absent: ~
,
PROOF VOTES WITH ANOTHER PERSON BEFORE ANYTHING
DISTRIBUTION: ORIGINAL to he signed, sealed and f~led in Vault.
NEWSPAPER PUBLICATION r Da te : )
--
D~partment originating staff report( Laurie L~eberman)
Ordinances only for Attorney ( Claud1a Thompson) 2
-
Management Serv1ces Lynne Barrette ORDINANCES ON~Y 1
-
Agency mentioned in document or staff report
(cert1f1ed?)
Subject file (agenda packet) 1
Counter file 1
. ,
Others: (Review for departments who need to know) .
Airport parJsing Auth.
Auditorium PerBonnel
Building Dept. Planning
~D Police
~n~ _..L Purchasing
General Servo Recr/Parks
Library - Transportation
Manager Treasurer
Flore
SEND FOUR COP~~S OF ALL ORDINANCES TO:
CODED SYSTEMS 4
120 Main Street
Avon, New Jersey 07717
SEND FOUR COPIES OF ALL ORDINANCES TO: 4
Debra Myrick
Santa Monica Municipal Court
1725 Main Street, Room 118 ~
Santa Monica, CA 90401 Total Copies
---- -- - -- -- - -.
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RESOLUTION NO. 51 (HAS)
(HOUSING AUTHORITY SERIES)
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF SANTA
MONICA APPROVING THE SUBMISSION OF AN APPLICATION FOR 79
HOUSING ASSISTANCE CERTIFICATES AND AUTHORIZING THE EXECUTIVE
DIRECTOR TO SIGN SAID APPLICATION AND TO EXECUTE THE ANNUAL
CONTRIBUTION CONTRACT IF THE APPLICATION IS APPROVED
WHEREAS, the Department of Housing and Urban Development is
currently accepting applications from Public Housing Agencies for
Section 8 Existing Housing Certificates, and
WHEREAS, the City of Santa Monica Housing Authority proposes
to apply for a total of 79 additional Section 8 Existing Housing
Certificates which is justified by the application waiting list and
is consistent with Housing Assistance Plans for our area of
operation,
NOW THEREFORE, THE HOUSING AUTHORITY OF THE CITY OF SANTA
MONICA RESOLVES AS FOLLOWS:
SECTION 1. The Housing Authority approves the submission of
an application for 79 additional section 8 Existing Housing
certificates.
SECTION 2. The Executive director is authorized to submit an
application on behalf of the City of Santa Monica Housing Authority
and to execute the annual contribution contract if the application
is approved.
SECTION 3. The Secretary shall certify to the adoption of
this Resolution, and thenceforth and thereafter the same shall be
in full force and effect.
APPROVED AS TO FORM
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Robert M. Myers
city Attorney
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ADOPTED AND APPROVED this 17th day of December, 1991
I hereby certify that the foregoing resolution was duly
adopted by the Housing Authority of the City of Santa Monica at a
meeting thereof held on the 17th day of December, 1991, by the
following vote of the Authority:
AYES: commissioner: Abdo, Katz, Olsen, Vazquez, Zane,
Genser
NOES: Commissioner: None
ABSTAIN: Commissioner: None
ABSENT: commissioner: Holbrook
ATTEST:
06~dL6< ~
i- 1erk
ha