SR-407-006 (8)
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APR 2 5 1989
C/ED:HD: SW: sc
Housing Authority Meeting: 4/25/89
Santa Monica california
TO: Housing Authority
FROM: city staff
SUBJECT: Recommendation to Adopt Resolution Approving the
Submission of an Application for 20 Housing Assistance
certificates and Authorizing the Executive Director to
Execute Annual Contributions Contract (ACe) if the
Application is Approved
INTRODUCTION
The Department of Housing and Urban Development (HUD) has invited
the city of Santa Monica Housing Authority (Housing Authority) to
apply for 20 additional certificates. This report transmits for
adoption a resolution authorizing the submission of the application
for these 20 certificates.
Also, the resolution authorizes the
Executive Director of the Housing Authority to execute the Annual
Contributions Contract (ACC) upon the approval of the application.
BACKGROUND
Hun has invited the Housing Authority to apply for 20 Housing
Assistance certificates with an annual budget authority of
$156,000.
The certificate program is a federally funded rental
assistance program under the Section 8 Existing Housing Program.
Under this program, the tenant pays 30% of their adjusted income
as their share of the rent.
The Hous ing Authority executes a
Housing Assistance Payments Contract with the owner after approval
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of the lease and determining, by inspection, that the unit complies
with housing quality standards. The Housing Authority currently
has a certificate allocation for 539 units.
The following
discusses the invitation to apply for 20 additional certificates.
DISCUSSION
The Housing Authority currently has a waiting list of approximately
6,000 households in need of subsidized housing.
There are many
applicants who have waited over two years for assistance. If the
application is approved by HUD, the Housing Authority would have
the budget authority to subsidize rents for 20 households who are
in need of housing. Applications are due to HUD on May 1, 1989.
Staff believes that the Housing Authority has an excellent
opportunity to receive additional certificates.
Contingent upon
receipt of an allocation, the Housing Authority will proceed to
enter into an Annual contributions Contract with HUD.
FINANCIAL BUDGETARY IMPACT
The contract authority of up to $156,000 from HUD under the new ACC
will cover the cost of Housing Assistance Payments and all
administrative costs involved in leasing-up the new allocation, and
would require additional budgetary authority in the following
account numbers:
Revenue:
12-905-038-000-000
12-905-039-000-000
$18,961. 00
$137,039.00
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Expenditures: 12-700-695-000-725
12-700-695-000-734
01-700-695-000-734
$18,961. 00
$137,039.00
($18,961.00)
RECOMMENDATION
It is recommended that the Housing Authority:
(1) Adopt the attached resolution authorizing submission of
the application for additional certificates and authorizing
the Executive Director to execute the ACC upon approval of the
Housing Authority's application;
(2) Contingent upon execution of the ACC, give authorization
to increase the Housing Authority's revenue and expenditure
accounts in the amounts detailed herein on an annual basis.
Prepared by: Candy Rupp, Housing Program Manager
steve Wagner, Housing Coordinator
Department of Community and Economic Development
Attachments: Resolution
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