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HomeMy WebLinkAbout05-17-2012 Housing & Community Development CommissionAGENDA HOUSING AND COMMUNITY DEVELOPMENT COMMISSION DALE HELLING CONFERENCE ROOM, CITY HALL THURSDAY, MAY 17, 2012 6:30 P.M. 1. Call Meeting to Order 2. Approval of the April 19, 2012 Minutes 3. Public Comment of Items Not on the Agenda 4. Staff/Commission Comment 5. Review of the FY13 CDBG/HOME and Aid to Agency Allocation Process 6. Review of the Iowa City Housing Authority Administrative Plan and Admissions & Continued Occupancy Plan • Recommendation to City Council 7. Summer Meeting Schedule 8. Monitoring Reports • The Housing Fellowship — CHDO Operating Expense (Chappell) • Big Brothers Big Sisters — Aid to Agencies & Equipment (Chappell) • IV Habitat for Humanity — Industrial Park Property Acq. (Chappell) • IV Habitat for Humanity — FY12 Land Acquisition (Chappell) • United Action for Youth — Transitional Housing (Dragoo) • Crisis Center — Parking & Facility Rehabilitation (Dragoo) • Mayor's Youth — Facility Rehabilitation (Dragoo) • Old Brick — Accessibility (Dragoo) • Arc of Southeast Iowa — Facility Rehabilitation (Dragoo) 9. Adjournment MINUTES PRELIMINARY HOUSING AND COMMUNITY DEVELOPMENT COMMISSION APRIL 19, 2012 — 6:30 PM DALE HELLING CONFERENCE ROOM, CITY HALL MEMBERS PRESENT: Michelle Bacon Curry, Charles Drum, Jarrod Gatlin, Holly Hart, Jim Jacobson, Rachel Zimmermann Smith MEMBERS ABSENT: Andrew Chappell, Cheryll Clamon, Scott Dragoo STAFF PRESENT: Tracy Hightshoe OTHERS PRESENT: Mark Patton, Charlie Eastham, Maryann Dennis, Chad Dyson RECOMMENDATIONS TO THE CITY COUNCIL: The Commission voted 6-0 to recommend the FY13 Annual Action Plan to City Council with the financial terms for housing projects recommended by staff (with the corrected financial terms for Charm Homes LLC). The Commission voted 6-0 to recommend a FY11 Annual Action Plan Amendment for the City of Iowa City Parkland Acquisition project to City Council. The City is unable to purchase the Chadek property and proposes to use the funds to install a splash pad and park amenities at Fairmeadows Park. CALL TO ORDER: The meeting was called to order by Vice Chair Jarrod Gatlin at 6:30 p.m. APPROVAL OF THE MARCH 8 AND MARCH 22. 2012 MINUTES: Drum moved to approve the minutes of March 8, 2012. Zimmerman Smith seconded. A vote was taken and the motion carried 6-0. Zimmerman Smith moved to approve the minutes of March 22, 2012. Jacobson seconded. A vote was taken and the motion carried 6-0. PUBLIC COMMENT FOR ITEMS NOT ON THE AGENDA: None. HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 2 of 10 STAFF/COMMISSION COMMENT: Hightshoe explained that HUD takes a CDBG expenditure rate test annually to ensure that federal grantees are spending the CDBG funds on a timely basis. The next test is scheduled for May 2. She said that as of May 2, the City will fail its timeliness expenditure ratio. She said that with the CDBG program, you can only have 1.5 times your CDBG entitlement in your line of credit. She explained that in May 2011 the state allowed the City to retain the construction loan proceeds from The Housing Fellowship's Aniston Village LP project (a Low Income Housing Tax Credit Project). The source of these funds was CDBG Disaster Recovery funds. $2.7 million was deposited in the City's CDBG line of credit; however our annual entitlement is only $638,000. She said that last week HUD notified city staff that to make the expenditure deadline, the City would have to spend over $1.7 million by May 2. Hightshoe stated the City would not be able to accomplish this amount by May 2. Hightshoe said she contacted our regional HUD office. They were aware of the unique situation but that approval still must go through national headquarters. She said it's not likely that HUD will take those funds away but the City will get placed on a mandatory work plan that includes identifying projects, committing and expending funds on a timely basis. She said staff will be looking at every project from this point on and reviewing timeliness. Project that are stalled or can't proceed on a timely basis will have their funds reallocated to eligible projects that can be accomplished on a tight time frame. The City's goal will to have all issues resolved and to be off the work plan by the next time HUD reviews timeliness. Hightshoe said that the City's HOME commitment deadline is July 31. The City must commit $359,000 by that time or that money is recaptured by HUD. The commitment deadline is different than the expenditure test. To commit funds, the applicant must identify the location of a housing project, the environment review process must be completed and an agreement entered. At this point, the HOME funds can be "committed." She said the City has started allocating more money to larger projects, but if those projects are delayed you only have two years to commit funds. HUD will be moving this deadline to one year for FY13 HOME projects. She said she thinks between UAY, Habitat for Humanity and City HOME rehab funds, the City should be able to meet the deadline. Hightshoe said when looking at projects in the future they will need to look at how fast they applicant can identify a property and complete the project. Zimmerman Smith asked what the rationale was for shortening the commitment deadline. Hightshoe explained that an OIG audit found that many major metropolitan areas are sitting on millions of HOME dollars that they aren't spending. She said that although this wasn't the case in many communities, HUD will revise the rules and all grantees would be subject to the new rules. PUBLIC MEETING: Discussion Regarding FY13 Community Development Block Grant (CDBG) and HOME Investment Partnerships Program (HOME) Requests • Review Financial Terms for Housing Projects, specifically HACAP and CHARM HOMES LLC Hightshoe explained that after the March 22 meeting, staff reviewed the Commission's recommendations for funding and the financial terms for housing projects. She said that if staff recommended something different than what the applicant requested, then our recommendation was identified in the Annual Action Plan under the activity. The only two housing projects that HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 3 of 10 staff recommended terms different than those proposed were Charm Homes and HACAP. Staff recommends a deferred payment loan for 10 years, thereafter $1,000 per year for 10 years and a balloon payment at the end the 20 years for Charm Homes. She said they have a required period of affordability of 10 years. Should they sell the property after the compliance period, the loan is immediately due. Hightshoe noted that for HACAP, staffs recommendation is a conditional occupancy loan based on an annual review of the revenue and expenses. Each year, the total operating expense shall be no less than $2,750 per unit to ensure adequate reserves and operating expenses. They have a required period of affordability of 10 years. She said they might also include conditions regarding garbage screening and additional lighting per the police and HIS requests. Jacobson questioned the terms for Charm Homes in regards to the $1,000 per month identified in the plan. Hightshoe clarified that what she meant to type is $1,000 per year, not month. This was a typo and will need to be corrected on the final plan submitted to HUD. Gatlin asked for a motion. Drum moved to recommend to City County the staff recommended financial terms for Charm Homes LLC (with correction) and HACAP. Zimmerman Smith seconded. A vote was taken and the motion carried 6-0. Review of the FY13 Annual Action Plan • Recommendation to City Council Hightshoe explained that this is a HUD required document that must be submitted 45-days before the beginning of the fiscal year. She said it included the budget that the Commission recommended on March 22, HUD required program elements, project descriptions, and the Commission's justification memo. She said they are in the process of getting the 2010 Census information for minorities and income information. Once obtained, staff would update the report. Based on preliminary info. there will be no major changes. Gatlin questioned the monitoring process identified in the plan. The City requires each organization receiving funds to submit a quarterly report, but as a Commission member, he has never seen one. Hightshoe said they come directly to staff. She said the quarterly report is a way that staff keeps in touch with the subrecipients to make sure their projects are proceeding. The subrecipient must provide status updates and beneficiary information. She said that staff could share those with the Commission. Gatlin said he thought it would helpful for some of the monitoring reports that the Commission does annually. Zimmerman Smith moved to recommend the FY13 Action Plan to City Council with the change for financial terms for Charm Homes LLC. Hart seconded. A vote was taken and motion carried 6-0. HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 4 of 10 Discussion of FYI & FYI Projects that have not Performed per the Unsuccessful or Delayed Projects Policy • Consider Request to Amend FYI City of Iowa City Park Land Acq. & FY12 Iowa Valley Habitat for Humanity Projects Gatlin said the Commission had received the comments from each of those groups. He said the City Parks and Recreation Department is unable to acquire the Chadek property and requests to use the funds to install a splash pad at Fairmeadows Park. If additional funds remain, they would replace/add park amenities or install additional parking lot space at Wetherby Park. Hart asked if there were any other locations around the city they had explored for a splash pad. Dyson said the only one they identified in an eligible low income census track was on the west side in Hunters Run but they felt that Fairmeadows would be more favorable for lower income residents. Zimmerman Smith remarked that Fairmeadows was quite a distance from Wetherby if one does not have transportation. Dyson said they use Sycamore Street as a separating point between the two. Wetherby Park has been overwhelmingly popular with area residents. Hart said that made sense but it was unfortunate that the other side of Highway 6 was not getting the splash pad. Hightshoe said she had talked to the school district's homeless coordinator today regarding this project, and she had mentioned the possibility of putting the splash pad in Fairmeadows Park. She said the coordinator was excited because Grant Wood does a before and after -school program and a summer program where there are many families with young children in that neighborhood. Zimmerman Smith asked when the full park would be upgraded. Dyson replied that first will be the splash pad and then there's a choice for remaining funds to be used for additional playground amenities or a shelter or to expand the parking lot at Wetherby. Zimmerman Smith said neighborhood residents are concerned about after dark activities at that park, and she said she thought lighting might be a good way to keep the amenities and upgrades intact. Gatlin asked where the physical location of the splash pad would be. Dyson replied that it would be put south of the shelter pending their review of the site. Hightshoe asked if the size would be the same as the one at Wetherby. Dyson said yes, it would be about 1,800 square feet. Gatlin said his concern was that Lakeside has a considerable amount of traffic on it. Dyson said they would be open to whatever the best location in that park would be. Zimmerman Smith asked how much the Wetherby splash pad cost. Dyson said it was about $220,000 and it was opened in 2010. Zimmerman Smith asked if they could get one on the west side. Hightshoe said the Hunters Run location is not truly a low income neighborhood. A park near Pheasant Ridge or lower income neighborhoods would be eligible/approved by HUD. Zimmerman Smith asked about Willow Creek and Mercer Park. Hightshoe said unfortunately neither park was eligible based on census data. HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 5 of 10 Hightshoe said it will take an Annual Action Plan amendment if the Commission approves this request. If approved, it would start a 30-day public comment period followed by a public hearing and Council approval. Zimmerman Smith moved to recommend approval of a FYI I Annual Action Plan Amendment to City Council for a change in activity and location for the City of Iowa City Parkland Acquisition project. Bacon Curry seconded. A vote was taken and motion carried 6-0. Gatlin said Habitat for Humanity requested that weatherization and energy improvements be added to their FY12 project that was submitted for accessibility for elders or persons with disabilities. Mark Patton of Iowa Valley Habitat for Humanity said that about a year ago they were one of 24 affiliates nationwide to be awarded a $60,000 Department of Energy grant that requires them to do energy audits and improvements, not limited to Iowa City. He said that the CDBG grant awarded to them by the Commission limited them to handicap accessibility and wheelchair ramps. He said they haven't gotten as many of those kinds of applicants as they thought they would. Hightshoe stated two projects have been requested by Habitat for a total of about $1,700. The CDBG award was for $40,000. The projects have been approved and waiting project completion. No funds have been disbursed yet for this project. Hightshoe said that staff has two concerns about this request. She said the first is that weatherization is a program offered by the City and by HACAP. She said the second is that for weatherization you typically deal with homes built before 1978 so all the lead rules apply, meaning you have to use certified lead safe contractors and clearance testing is required. Habitat can hire a private firm to do this or use the City Housing Rehab Department. She said City staff would not be able to handle the approximately 40-60 projects (if small in nature) anticipated so a private contractor would have to be hired, which is more expensive. Patton said they have a staff person trained and certified in lead practices, but not the clearance testing. He said they anticipate that much of the work done would be for mobile homes. Hightshoe said if they weren't going to test the structure before proceeding, and if it was built pre 1978, you have to presume there is lead present and testing would be required if surfaces are disturbed. Patton said there were approximately 3,000 mobile homes in Johnson County and about 575 were built prior to 1978. Jacobson asked how they tried to get referrals for this program. Patton said he spoke to Elder Services, worked with Bob Welsh of the Housing Assistance Committee and a county housing committee, and they have used fliers and newspaper advertising. Patton said they would have to push to get it spent in a timely way. Jacobson asked Patton what made him think at the time of the initial application that there was a need for those kinds of accessibility projects. Patton explained that the Housing Assistance Committee kept hearing anecdotal evidence that ramps were needed. He said that Habitat could purchase aluminum ramps and install them for short-term solutions, but they are expensive. HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 6of10 Hightshoe explained that these are CDBG funds, and her concern is that they expend the funds on a timely, basically this construction season. She said that the City Rehab staff does more extensive weatherization, so out of that $40,000 they could do three or four projects. Bacon Curry asked if entities other than homeowners, e.g. PATV could apply to Habitat for wheelchair accessibility projects. Patton said Habitat's application had been for low-income homeowners. Bacon Curry said she thought PATV should ask Habitat for some money for wheelchair accessibility since the Commission couldn't. Hightshoe said the Commission could do that, but that would change the beneficiaries from homeowners to a non-profit and require an annual action plan amendment. Hightshoe said that on a project that hasn't spent fifty percent of their award by March 15th HCDC can let them retain their funds for their proposed use or recommend recapture and re- use of the funds. Hightshoe stated HCDC could not wait for the next allocation round. They would have to repurpose the funds right away if recapture recommended. Patton said when they build a twelve to fourteen foot ramp it costs about $1,000 to $1,500, but when you buy an aluminum ramp, which is reusable, it costs about $5,000. Bacon Curry asked if the ramp belonged to Habitat. Patton clarified that Habitat would own the ramp and have a lease agreement with the household. Jacobson asked if this service exists somewhere. Hightshoe said the City has one in storage, but has been used for households in need. When not in use, it is stored. Zimmerman Smith suggested that perhaps people would be more willing to having a ramp if it didn't make a permanent change to their house. Patton said in that case they work with the social workers at the respective hospitals. He said he withdraws his previous request if the Commission agrees to let Habitat purchase aluminum ramps. Hightshoe advised him that he would still have to document beneficiaries — over 51 % must be for households under 80% median income. Each ramp purchased must be leased so that the project can be closed and the low -mod benefit established. There was a consensus among the Commission that ramps may be purchased by Habitat and "leased" to households in need. Jacobson said this would be a real benefit to an aging community like Iowa. Bacon Curry asked Patton what he would do to advertise that the ramps are available. Patton said they would work with the hospitals and Elder Services. Hightshoe updated the Commission on the other projects that have not spent fifty percent of their awards. She said the Wood Elementary fiber optic project is moving forward. The district took the project out to bid recently and awarded a contract. They will spend out their $33,400 by the end of June. She said Neighborhood Centers has bid out the exterior work at the Pheasant Ridge center. The contractor entered an agreement and the work should be completed before June 301h. She said the Crisis Center will be moving forward with their parking lot now that the Johnson County Board of Supervisors gifted them the 1105 Gilbert Court building so the easement issue has been resolved. The project is anticipated to be done this construction season. Hightshoe said that Old Brick had to first get approval from the State Historic Preservation Society because Old Brick is eligible for the national register. Approval was granted and Old Brick ordered the doors. They will be installed by June 30th. She said that the Neighborhood Centers Employment Training project will have no problem spending down HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 7 of 10 the money by June 30th now that they have replaced staff that left. She said the reason the Neighborhood Centers - Aid to Agencies hadn't spent down their money was because they didn't realize it was CDBG (as opposed to direct Aid to Agency funding) so they have recently billed the City for $26,000. She said Emma Goldman Clinic's award was for a computer system for medical records. She said they have been negotiating with a company and the current price of this project is now $150,000 compared to the $50,000 they projected. She said they are moving forward because they need the system and are testing a system now that they like so they will be spending their money by June 30th. Hightshoe explained that Emma Goldman is a public service, so if they don't spend these funds by June 30t , the funds are recaptured. She said the last two projects to not spend 50% of their CDBG award was Habitat and the City Parkland Acquisition project, which were already discussed. Zimmerman Smith moved to recommend that the aforementioned agencies be allowed to proceed with their projects as discussed. Hart seconded. A vote was taken and motion carried 6-0. Discussion of the Community Development Celebration Hightshoe said she put this on the agenda just to remind the Commission that there is no committee this year. She said they had an offer by the Free Medical Clinic to host the Community Development celebration in conjunction with their own open house on June 20th which will display the renovations on the front of their building. She said they would send an email out regarding Community Development Awards. Hightshoe said the committee usually chooses a speaker and awards but if the Commission prefers to have staff choose, there would not be a need for a subcommittee. Consensus by the commission not to form a subcommittee. Monitoring Reports MECCA — Facility Rehabilitation: Bacon Curry said they spent the money and are finished with the project. Table to Table — Operations: Bacon Curry reported that they had received $6,200 of the $7,000 allocation, and in the first quarter of this calendar year they collected and distributed 183,105 pounds of food to area agencies that serve the hungry. She said that every 1.5 pounds of collected food is considered an equivalent meal with an average value of $2.34, so that equates to 122,000 meals and $285,000 worth of food. She said they rely totally on outside funding, and their average monthly budget is $14,000. She said they lost a grant, so they are very grateful that the CDBG money came through. Isis Investments — Rental Housing: Hightshoe presented a report on them. She said that Isis has identified a duplex on Esther Street, which is in an allowed area on the Affordable Housing Location map, and they have an accepted purchase agreement. She said staff will be conducting an environmental review and completing the agreement. She said there are tenants in the building, so they will have to deal with relocation assistance. She said they will probably buy three homes with the funds the Commission allocated to them, and this duplex is their first. She said they expect to purchase the property by the end of June. Bacon Curry asked if these were going to be rent to own. Hightshoe replied that none of their prior units have converted to ownership. She said Isis typically leases to people with incomes less than 30% of area median income so it will take a while for the household to stabilize and afford homeownership, but they do give the tenant the option to purchase. HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 8 of 10 Wetherby Condos south LLC — Rental Rehab: Bacon Curry said she talked to Chris Villhaur of Southgate, and they are putting up new siding and are done with the new gutter system, and are installing new cabinets in the units. She said they have purchased 106 out of 108 units, and they expect to be ready to market the units in June or July. Hightshoe encouraged Commission members to drive by and take a look. The complex is getting new windows, doors, roof improvements, siding and complete gutting of the interior. She said they did have to relocate approximately 25-30 tenants. The tenants were eligible for moving costs (about $900 for each household) and relocation assistance for up to 42 months for a comparable unit to the one they were in. She said if low income, the tenants would get additional funds as the calculation takes into account income if under 80% of median income. Hightshoe explained the background of this project to Jacobson. She also said that if they sell before the compliance period, either the new owner has to take on the same conditions, or they have to pay the CDBG funds back. The Housing Fellowship — Rental Housing: Dennis provided the update. FY10 funds. Purchased two lots in Mackinaw Village for the construction of eight townhomes with four units on each lot with $220,000 in HOME funds. She said that part of the LIHTC project was that they used Housing Trust Fund funds to purchase a parcel of land in North Liberty for seven duplexes with fourteen dwellings. She said all the homes will be rented to households with incomes below sixty percent of the area median income, and construction is scheduled to begin in June. She said they were awarded low income housing tax credits, which will result in $4,142,484 of private equity in the project. She said they have many partners, including the Housing Trust Fund of Johnson County, Iowa Finance Authority, Hills Bank and Trust, MidWest Housing Equity Group Foundation Development, Advantage Custom Builders, Burns and Burns Architects, Element Energy Group, Hart Frederick Consultants, Bradley Riley and Tom McMurray. FY11 project: UniverCity Affordable Rental Homes. The Housing Fellowship was awarded $408,451. They have spent $231,376 to purchase three existing dwellings in allowed areas. She said one of them was 1301 Muscatine Avenue, which is under rehab now and should be finished in two to four weeks. She said they also purchased a duplex at 230 and 232 Elizabeth Street where they may have to provide relocation assistance. She said that the competitive bidding process, which must be done for all of these homes, will begin on May 4th for this one. She said they have a signed purchase agreement for a single family home at 514 Fairchild Street. Dennis said that all of these homes will be rented to households with incomes below fifty percent of the median income. She said it's important for the Commission to know that it's not just The Housing Fellowship working on these housing projects, but that they engage many partners. Jacobson asked if Davis -Bacon applies in all the projects they do. Hightshoe explained that Davis Bacon requirements apply to all public facility projects if over $2,000. For housing, it depends on the program. For CDBG, if 8 or more units it applies, for HOME its eleven or more. She said that The Housing Fellowship is acquiring 4-5 properties with CDBG/HOME funds, thus not eligible. Jacobson asked if the Commission had the authority to require prevailing wage as a condition to receive funds. Hightshoe said that HCDC could recommend it to the Council. Staff would have concerns in regards to if they have the staff capacity to broaden the regulations, when not specifically required. Jacobson said it seemed that the City should be taking the lead and making sure that the people who are working on the projects are properly paid and are union members. He said he would be interested in knowing how much it would slow down a project to do this and that it would speak well of the Commission's work to be able to say that they are making sure that people are getting paid properly for the HOUSING AND COMMUNITY DEVELOPMENT COMMISSION April 19, 2012 PAGE 9 of 10 job they are doing. Jacobson asked if a consensus to put on a subsequent agenda. Hightshoe said this subject would be put on a forthcoming agenda for discussion. Free Medical Clinic — Facility Rehabilitation: Hightshoe said the improvements were done. FY08 Habitat for Humanity — Homeownership: Hightshoe said there were four homes in this project. Three were done and sold. She asked Patton for an update on the remaining home. Patton said the foundation has been poured and construction will start the third week in May, with completion scheduled for June 15th. Hightshoe explained that this project has to be finished and sold by June 30th because they are at their statutory five year HOME deadline. If not, HUD will move to recapture the funds from the City, this would force the City to declare the agreement in default and Habitat would have to repay the City. Patton stated they anticipated it being completed by then. ADJOURNMENT: Drum moved to adjourn. Hart seconded. A vote was taken and the motion carried 6-0. Z O U) U) O U F- z W d O J W W Z O U 0 Z N 00 (D N Z C6 O U) - W :).E0 � Qa(L X X X X X X O O O X X X X X X X X M O X X X X X X X X M O N X X -O X X X X i X LLJ r X X X X X X X a W � o N 0 Nr 0 M 0 CM 0 N 0 m 0 � 0 N 0 W rn rn rn rn rn rn rn rn rn H J W J J W W = U Z 2 U v m W Z Q J W V J W = Z V O V O C J U G O C9 W Z >- J O = 2 9 O m C) n = H N Z OC UJ W � N W YXOz CITY OF IOWA CITY FY13 ALLOCATIONS TIMELINE Dec. 14, 2011 Public notice that CDBG and HOME applications are available Dec. 29, 2011 CDBG/HOME Applicant Workshop, Emma Harvat Hall, City Hall, 3:00 PM Jan. 9, 2012 CDBG/HOME Applicant Workshop Emma Harvat Hall, City Hall, 11:00 AM Jan. 20, 2012 Applications due to City of Iowa City by 12 noon Feb. 16, 2012 HCDC meeting: question/answer discussion with CDBG/HOME applicants. Senior Center, Assembly Room, 6:30 PM Feb. 24, 2012 HCDC ranking forms due to City staff Mar. 8, 2012 HCDC meeting: review of groupings and consensus funding scenario. City Hall, Emma Harvat Hall, 6:30 PM (CDBG/HOME applicants encouraged to attend, but not mandatory) Mar. 22, 2012 HCDC meeting: recommendation on CDBG/HOME funding awards. City Hall, Emma Harvat Hall, 6:30 PM (CDBG/HOME applicants encouraged to attend, but not mandatory) April 3, 2012 HCDC justifications memo due for council packet April 13, 2012 Draft FY13 Annual Action Plan done — 30-day comment period begins April 19, 2012 HCDC meeting: Review FY13 Annual Action Plan and recommendation to City Council May 15, 2012 Expiration 30-day comment period on the FY13 Annual Action Plan May 15, 2012 City Council: public hearing on the FY13 Annual Action Plan (If needed, joint HCDC/City Council meeting) May 15, 2012 City Council Meeting: resolution -approving the FY13 Annual Action Plan July 1, 2012 Start FY13 projects (If awarded funding, no expenses may be incurred prior to both July 1 AND execution of a CDBG/HOME agreement) 111912011 FY13 Aid to Agency Allocation Process • Summer 2011 United Way Advertises Funds Available • September 2011 Applications due under the United Way Joint Funding Process for Johnson County, Iowa City and Coralville (Applications on United Way Form) • December 2011 HCDC Discusses Allocation Process, Copies of Applications Received by HCDC members • January 2012 HCDC Reviewed and Formulated a Budget Recommendation to Council Phone. • (319) 356.5400 FAX: (319) 356.5459 Using TDD: (319) 356.5404 UTH RiTY410 E. IPashington Street • Iowa Ciir • Iowa • 52240.1826 DATE: Thursday, May 10, 2012 TO: Housing and Community Development Commission FROM: Steven J. Raclds, Housing Administrator SUBJECT: Updates and amendments to the Iowa City Housing Authority's Housing Choice Voucher (HCV) Administrative Plan and Admissions and Continued Occupancy (ACOP) Plan The Iowa City Housing Authority is proposing changes to the following Sections of our Housing Choice Voucher (HCV) Administrative Plan and Admissions and Continued Occupancy (ACOP) Plan: HCV: Section 4.8 Section 8 Tenant Selection Section 5.1 Waiting List Admissions and Special Admissions Section 5.2 Preferences ACOP: 8.4 Public Housing Tenant Selection Criteria 10.1 Preferences Proposed changes to HCV Section 4.8/ACOP Section 8.4 Family/Tenant Selection Criteria: Under federal regulations found at 24 CFR 982.552 and 24 CFR 960.204, the Housing Authority must deny certain applicants and it has the discretion to deny others based on certain actions or inactions by family members. The Housing Authority proposes the following changes to our selection criteria that falls into the may deny category (complete selection and termination criteria are attached): Add: • Burglary in the 2nd degree or higher as defined in Chapter 713 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section (3-year period of ineligibility). Modify: • Change the period of ineligibility from 3-years to 1-year for the following offenses: ➢ Disorderly house as defined in Section 8-5-5 of the City Code or a law of any city, county, or state that substantially corresponds to this section; ➢ Disorderly conduct as defined in Section 8-5-1 of the City Code or section 723.4 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section. Disorderly conduct that does not constitute violent criminal behavior. SRackis Page 1 5/11/2012 No change in intent, new language: If the family currently owes rent or other amounts to the a) ICHA; b) to any other Housing Authority; c) to other Federally assisted housing under the 1937 Act (as amended); d) Federally assisted housing as defined in 24 CFR 5.100; e) any other affordable housing program (I-yearperiod of ineligibility). Proposed changes to HCV Section 5.1 Waiting List Admissions and Special Admissions: The Housing Authority may admit an applicant for participation in the program either as a special admission or as a waiting list admission. If HUD awards funding that is targeted for families with specific characteristics such as families living in specific units (e.g. HUD project based opt out), the Iowa City Housing Authority will use the special admission for those families. Remove: • Family Unification Program (FUP) as a Special Admission In 1998, the Iowa City Housing Authority received funding to operate a Family Unification Program in partnership with the Iowa Department of Human Services. This funding was "rolled into' the regular HCV program in 1999 and HUD stopped tracking these vouchers. While we continued this program through this 2012, we now recommend removing FUP as a Special Admission. Proposed changes to HCV Section 5.2/ACOP 10.1 Preferences Current Displaced: Individuals or families displaced by government action or whose dwelling has been extensively damaged or destroyed as a result of a disaster declared or otherwise formally recognized pursuant to federal disaster relief laws. r Displaced: Individuals or families displaced by government action or whose dwelling has been extensively damaged or destroyed as a result of a disaster declared or otherwise formally recognized - pursuant to federal disaster relief laws. This preference is only for disaster victims in the State of Iowa. SRackis Page 2 5/11/2012 24 Housing Choice Voucher (HCV) Administrative Plan 4.8 SECTION 8 TENANT SELECTION CRITERIA (24CFR 982.552 & 982.553) In selecting families for admission to its Section 8 Housing Choice Voucher program, the Housing Authority is responsible for screening family behavior and suitability for assistance. The Housing Authority may consider all relevant information. The tenant selection criteria and information are reasonably related to individual attributes and behavior of an applicant and not related to those which may be imputed to a particular group or category of persons of which an applicant may be a member. This policy takes into account the importance of screening for program integrity, and the demand for assisted housing by families who will adhere to program responsibilities. Under federal regulations found at 24 CFR 982.552, the Housing Authority must deny certain applicants and it has the discretion to deny others based on certain actions or inactions by family members. Denial of assistance for an applicant may include any or all of the following: denying listing on the Housing Authority waiting list, denying or withdrawing a voucher, refusing to enter into a HAP contract or approve a lease, and refusing to process or provide assistance under portability procedures. MUST DENY -LIFE TIME BAN Is subject to a "lifetime" registration requirement under a State sex offender registrations program. MUST DENY -3 YEAR PERIOD OF INELIGIBILITY The Housing Authority must deny assistance: 1) For a family evicted from housing assisted under the program for serious violation of the lease. 2) For three years from the date of eviction, if a household member has been evicted from federally assisted housing for drug -related criminal activity. However, the Housing Authority may admit the household if the Housing Authority determines: a) That the evicted household member who engaged in drug -related criminal activity has successfully completed a supervised drug rehabilitation program approved by the Housing Authority; or b) That the circumstances leading to eviction no longer exist (for example, the criminal household member has died or is imprisoned). 3) If the Housing Authority determines that any household member is currently engaging in illegal use of a drug. 4) If the Housing Authority determines that it has reasonable cause to believe that a household member's illegal drug use or a pattern of illegal drug use may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. 25 5) If any household member has ever been convicted of drug -related criminal activity for manufacture or production of methamphetamine on the premises of federally assisted housing. If a person is denied for any reason listed above, the person will be ineligible for assistance for three years after the date of the denial notice. MUST DENY -1 YEAR PERIOD OF INELIGIBILITY 1) In accordance with 24 CFR 5.216, applicants and participants (including each member of the household) must disclose his/her assigned Social Security Number. Failure to disclose will result in denial of assistance. 2) If the family fails to sign and submit consent forms for obtaining information in accordance with 24 CFR, part 5, subparts B and F. 3) If a family member does not establish citizenship or eligible immigration status 4) If any family member fails to meet the eligibility requirements concerning individuals enrolled at an institution of higher education as specified in 24 CFR 5.612. MAY DENY -LIFE TIME BAN The Housing Authority may deny assistance if any household member is subject to "any" registration requirement under a State sex offender registration program. MAY DENY — THREE (3) YEAR PERIOD OF INELIGIBILITY A. Criminal Activity If any household member is currently engaged in, or has engaged in within five years before admission the following criminal activity, the Housing Authority may deny assistance based on a preponderance of evidence, regardless of whether the household member has been arrested or convicted for such activity: 1. Drug -related criminal activity (defined at 24 CFR 5.100); 2. Violent criminal activity (defined at 24 CFR 5.100) [Note the exception for victims of domestic violence provided for below in section E.]; 3. Crime by household members. The members of the household may not engage in drug -related criminal activity or violent criminal activity or other criminal activity that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises. 4. Other criminal activity which may threaten the health or safety of the owner, property management staff, or persons performing a contract administration function or responsibility on behalf of the Housing Authority (including a Housing Authority employee or a Housing Authority contractor, subcontractor or agent), 5. Criminal Street Gang Activity as defined in Chapter 723A of the Iowa Code or a law of any city. county, or state that substantially corresponds to this section; c 6. Theft in the 3rd degree or higher or fraudulent practice in the 3rd degree or higher as defined in Chapter 714 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section; 7. Forgery or fraudulent criminal acts as defined in Chapter 715A of the Iowa Code or a law of any city, county; or state that substantially corresponds to this section; 8. Burglary in the 2nd degree or higher as defined in Chapter 713 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section; 9. Disorderly conduct as defined in Section 8-5-1 of the City Code or section 723.4 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section. Disorderly conduct that constitutes violent criminal behavior. 10. Fraud and other program violation. The members of the family must not commit fraud, bribery or any other corrupt or criminal act in connection with the programs. If a person is denied for any reason listed above, the person will be ineligible for assistance for three years from the date of the denial notice. B. Miscellaneous Reasons (1-year period of ineligibility) The Housing Authority may deny assistance: 1. If any member of the family has been evicted from federally assisted housing in the last five years. 2. If a Housing Authority has ever terminated assistance under the program for any member of the family. 3. Disorderly house as defined in Section 8-5-5 of the City Code or a law of any city, county, or state that substantially corresponds to this section; 4. Disorderly conduct as defined in Section 8-5-1 of the City Code or section 723.4 of the Iowa Code or a law of any city; county, or state that substantially corresponds to this section. Disorderly conduct that does not constitute violent criminal behavior. 5. If the family currently owes rent or other amounts to the a) ICHA; b) to any other Housing Authority, c) to other Federally assisted housing under the 1937 Act (as amended) d) Federally assisted housing as defined in 24 CFR 5.100; e) any other affordable housing program;. 6. If the family has not reimbursed any Housing Authority for amounts paid to an owner under a HAP contract for rent, damages to the unit, or other amounts owed by the family under the lease. 7. If the family breaches an agreement with the Housing Authority to pay amounts owed to a Housing Authority, or amounts paid to an owner by a Housing Authority. (The Housing Authority, at its discretion, may offer a family the opportunity to enter an agreement to pay amounts owed to a Housing Authority or amounts paid to an owner by a Housing Authority. The Housing Authority may prescribe the terms of the agreement.) 8. If a family participating in the FSS program fails to comply. without good cause, with the family's FSS contract of participation. 9. If the family has engaged in or threatened abusive or violent behavior toward Housing Authority personnel. 27 10. If a family member has violated a public housing requirement including but not limited to community service requirements. 11. If the Housing Authority determines that it has reasonable cause to believe that a household member's abuse or pattern of abuse of alcohol may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. 12. Use of an alias in the commission of a crime, in the application for government benefits or assistance, or to mislead or defraud a creditor. 13. The family must supply any information requested by the Housing Authority or HUD for use in a regularly scheduled reexamination or interim reexamination of family income and composition in accordance with HUD requirements. 14. Any information supplied by the family must be true and complete. 15. Other housing assistance. An assisted family, or members of the family, may not receive Section 8 tenant -based assistance while receiving another housing subsidy, for the same unit or for a different unit, under any duplicative (as determined by HUD or in accordance with HUD requirements) federal, State or local housing assistance program. If a person is denied for any reason listed above, the person will be ineligible for assistance for one year after the date of the denial notice C. Additional Considerations In determining whether to deny assistance because of action or failure to act by members of the family: 1. The Housing Authority may consider all relevant circumstances such as the seriousness of the case, the extent of participation or culpability of individual family members, mitigating circumstances related to the disability of a family member, and the effects of denial or termination of assistance on other family members who were not involved in the action or failure. Such consideration also includes the effect the denial will have on family members not involved in the criminal activity and the extent to which the offending family member and applicant have taken personal responsibility and have taken all reasonable steps to prevent or mitigate the offending behavior. 2. The Housing Authority may impose, as a condition of continued assistance for other family members, a requirement that other family members who participated in or were culpable for the action or failure will not reside in the unit. The Housing Authority may permit the other members of a participant family to continue receiving assistance. .3. In determining whether to deny admission for illegal use of drugs or alcohol abuse by a household member who is no longer engaged in such behavior. the Housing Authority consider whether such household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program, or has otherwise been rehabilitated successfully (42 U.S.C. 13661). For this purpose, the 28 Housing Authority may require the applicant or tenant to submit evidence of the household member's current participation in, or successful completion of, a supervised drug or alcohol rehabilitation program or evidence of otherwise having been rehabilitated successfully. 4. If the family includes a person with disabilities, the Housing Authority decision concerning such action is subject to consideration of reasonable accommodation in accordance with part 8 of this title. E. Exception for Victims of Domestic Violence Although the Housing Authority may deny Section 8 assistance if a member of the tenant family has engaged in violent criminal activity, there is an exception for victims of domestic violence. Domestic violence includes threatened domestic violence, dating violence, and stalking as those terms are defined in 42 U.S.C. 1437f. The Housing Authority may deny the voucher assistance to the member of the household who committed the domestic violence but not to the victim. The Housing Authority may, however, deny the assistance to the victim for other reasons not premised on the act of domestic violence. 70 Housing Choice Voucher (HC`) Administrative Plan 14.0 SECTION 8 TENANT TERMLYATION CRITERIA (24CFR 982.552 & 982.553) Under federal regulations found at 24 CFR 982.552, the Housing Authority must terminate the Section 8 assistance of certain families and it has the discretion to terminate others based on certain actions or inactions by family members. Termination of assistance for a participant may include any or all of the following: refusing to enter into a HAP contract or approve a lease, terminating housing assistance payments, and refusing to process or provide assistance under portability procedures. MUST TERMINATE - LIFE TIME BAN The Housing Authority must terminate assistance if any household member is subject to a lifetime registration requirement under a State sex offender registration program. MUST TERMINATE -3 YEAR PERIOD OF INELIGIBILITY The HA must terminate assistance: 1. For three years from the date of eviction, if a household member has been evicted from federally assisted housing for drug -related criminal activity. However, the Housing Authority may admit the household if the Housing Authority determines: a. That the evicted household member who engaged in drug -related criminal activity has successfully completed a supervised drug rehabilitation program approved by the Housing Authority; or b. That the circumstances leading to eviction no longer exist (for example; the criminal household member has died or is imprisoned). 2. The Housing Authority- determines that any household member is currently engaging in illegal use of a drug. 3. The Housing Authority determines that it has reasonable cause to believe that a household member's illegal drug use or a pattern of illegal drug use may threaten the health, safety.. or right to peaceful enjoyment of the premises by other residents. 4. If any household member has ever been convicted of drug -related criminal activity for manufacture or production of methamphetamme on the premises of federally assisted housing. If a person is terminated for any reason listed above, the person will be ineligible for assistance for three years from the last day housing assistance is paid; if no assistance is currently being paid, the 3 year period of ineligibility begims with the date of the termination notice. MUST TERMINATE - 1 YEAR PERIOD OF INELIGIBILITY 71 1. For a family evicted from housing assisted under the program for serious violation of the lease. 2. If the family fails to sign and submit consent forms for obtaining information in accordance with 24 CFR, part 5, subparts B and F. MAY DENY -LIFE TIME BAN The Housing Authority may deny assistance if any household member is subject to a registration requirement under a State sex offender registration program. MAY TERMINATE — 3 YEAR PERIOD OF INELIGIBILITY A. Criminal Activity If any household member is currently engaged in, or has engaged in within five years the following criminal activity, the Housing Authority may terminate assistance, based on a preponderance of evidence, regardless of whether the household member has been arrested or convicted for such activity: l . Drug -related criminal activity (defined at 24 CFR 5.100) 2. Violent criminal activity (defined at 24 CFR 5.100) [Note the exception for victims of domestic violence provided for below in section E.] 3. Crime by household members. The members of the household may not engage in drug - related criminal activity or violent criminal activity or other criminal activity that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises. 4. Other criminal activity which may threaten the health or safety of the owner, property management staff, or persons performing a contract administration function or responsibility on behalf of the Housing Authority (including a Housing Authority employee or a Housing Authority contractor, subcontractor or agent) If a person is terminated for any reason listed above, the person will be ineligible for assistance for a period of three years. B. Family Obligations (1-year period of ineligibility) The Housing Authority may terminate assistance for the violation of any obligation of a participant family under the program, which is: 1. Supplying required information ("Information" includes any requested certification, release or other documentation): a. The family must supply any information that the Housing Authority or HUD determines is necessary in the administration of the program, including 72 submission of required evidence of citizenship or eligible immigration status (as provided by 24 CFR part 5). b. The family must supply any information requested by the Housing Authority or HUD for use in a regularly scheduled reexamination or interim reexamination of family income and composition in accordance with HUD requirements. c. The family must disclose and verify social security numbers (as provided by 24 CFR part 5, subpart B, of this title) and must sign and submit consent forms for obtaining information in accordance with 24 CFR part 5, subpart B, of this title. d. Any information supplied by the family must be true and complete. 2. The family must not breach Housing Quality Standards as described in 24 CFR 982.404(b). 3. The family must allow the Housing Authority to inspect the unit at reasonable times and after reasonable notice. 4. The family may not commit any serious or repeated violation of the lease. 5. The family must notify the Housing Authority in writing and the owner 30 days before the family moves out of the unit, or terminates the lease on notice to the owner. 6. The family must promptly give the Housing Authority a copy of any owner eviction notice. 7. Use and occupancy of unit. a. The family must use the assisted unit for residence by the family. The unit must be the family's only residence. b. The composition of the assisted family residing in the unit must be approved by the Housing Authority. The family must promptly inform the Housing Authority of the birth, adoption or court -awarded custody of a child. The family must request in writing Housing Authority approval to add any other family member as an occupant of the unit. No other person [i.e., nobody but members of the assisted family] may reside in the unit (except for a foster child or live-in aide as provided in paragraph (h) (4) of this section). c. The family must promptly notify the Housing Authority in writing if any family member no longer resides in the unit. d. If the Housing Authority has given approval, a foster child or a live -in -aide may reside in the unit. The Housing Authority has the discretion to adopt reasonable policies concerning residence by a foster child or a live -in -aide, and defining when Housing Authority consent may be given or denied. e. Members of the household may engage in legal profit making activities in the unit, but only if such activities are incidental to primary use of the unit for residence by members of the family. f. The family must not sublease or let the unit. g. The family must not assign the lease or transfer the unit. 8. Absence from unit. The family must supply any information or certification requested by the Housing Authority to verify that the family is living in the unit.. or relating to family absence from the unit, including any Housing Authority requested information or certification on the purposes of family absences. The family must cooperate with the 73 Housing Authority for this purpose. The family must promptly notify the Housing Authority of absence from the unit of more than 30 days. 9. Interest in unit. The family must not own or have any interest in the unit. 10. Fraud and other program violation. The members of the family must not commit fraud, bribery or any other corrupt or criminal act in connection with the programs. 11. Alcohol abuse by household members. The members of the household must not abuse alcohol in a way that threatens the health, safety or right to peaceful enjoyment of other residents and persons residing in the immediate vicinity of the premises. 12. Other housing assistance. An assisted family, or members of the family, may not receive Section 8 tenant -based assistance while receiving another housing subsidy, for the same unit or for a different unit, under any duplicative (as determined by HUD or in accordance with HUD requirements) federal, State or local housing assistance program. 13. Any increases in household income must be reported to the HA in writing within 30 days of the change (Examples: employment start date; receipt of government benefits such as FIP, Social Security, SSI, or unemployment benefits) 14. The family may not allow any person to use the address of the assisted unit to receive mail. If a person is terminated for any reason listed above, the person will be ineligible for assistance for one (1) year from the last day housing assistance is paid; if no assistance is currently being paid, the 1-year period of ineligibility begins with the date of the termination notice. C. Miscellaneous Reasons (1-year period of ineligibility) The HA may terminate assistance for any of the following reasons: 1. If any member of the family has been evicted from federally assisted housing in the last five years; 2. If a Housing Authority has ever terminated assistance under the program for any member of the family; 3. If any member of the family has committed fraud, bribery, or any other corrupt or criminal act in connection with any Federal housing program; 4. If the family currently owes rent or other amounts to the a) ICHA; b) to any other Housing Authority, c) to other Federally assisted housing under the 1937 Act (as amended) d) Federally assisted housing as defined in 24 CFR 5.100; e) any other affordable housing program; 5. If the family has not reimbursed any Housing Authority for amounts paid to an owner under a HAP contract for rent, damages to the unit, or other amounts owed by the family under the lease. 6. If the family breaches an agreement with the Housing Authority to pay amounts owed to a Housing Authority, or amounts paid to an owner by a Housing Authority. (The Housing Authority, at its discretion, may offer a family the opportunity to enter an agreement to pay amounts owed to a Housing Authority or amounts paid to an owner by a Housing Authority. The Housing Authority may prescribe the terms of the agreement.) 7. If a family participating in the FSS program fails to comply, without good cause, with the family's FSS contract of participation. 74 8. If the family has engaged in or threatened abusive or violent behavior toward Housing Authority personnel. 9. If a welfare -to -work (WTW) family fails, willfully and persistently, to fulfill its obligations under the welfare -to -work voucher program. 10. If the Housing Authority determines that a household member's abuse or pattern of abuse of alcohol may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. If a person is terminated for any reason listed above, the person will be ineligible for assistance for one (1) year from the last day housing assistance is paid; if no assistance is currently being paid, the 1-year period of ineligibility begins with the date of the termination notice. D. Additional Considerations In determining whether to terminate assistance because of action or failure to act by members of the family: 1. The Housing Authority may consider all relevant circumstances such as the seriousness of the case, the extent of participation or culpability of individual family members, mitigating circumstances related to the disability of a family member, and the effects of denial or termination of assistance on other family members who were not involved in the action or failure. Such consideration also includes the effect the termination will have on family members not involved in the criminal activity and the extent to which the offending family member and participant have taken personal responsibility and have taken all reasonable steps to prevent or mitigate the offending behavior. 2. The Housing Authority may impose, as a condition of continued assistance for other family members, a requirement that other family members who participated in or were culpable for the action or failure will not reside in the unit. The Housing Authority may permit the other members of a participant family to continue receiving assistance. 3. In determining whether to terminate assistance for illegal use of drugs or alcohol abuse by a household member who is no longer engaged in such behavior, the Housing Authority consider whether such household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program, or has otherwise been rehabilitated successfully (42 U.S.C. 13661). For this purpose, the Housing Authority may require the applicant or tenant to submit evidence of the household member's current participation in, or successful completion of, a supervised drug or alcohol rehabilitation program or evidence of otherwise having been rehabilitated successfully. 4. If the family includes a person with disabilities, the Housing Authority decision concerning such action is subject to consideration of reasonable accommodation in accordance with part 8 of this title. E. Exception for Victims of Domestic Violence Although the Housing Authority may terminate Section 8 assistance if a member of the tenant family has engaged in violent criminal activity, there is an exception for victims of domestic 75 violence. Domestic violence includes threatened domestic violence, dating violence, and stalking as those terms are defined in 42 U.S.C. 1437f. The Housing Authority may terminate the voucher assistance to the member of the household who committed the domestic violence but not to the victim. The HA may; however, te=inate the assistance to the victim for other reasons not premised on the act of domestic violence. 10 Public Housing Admissions and Continued Occupancy 8.3 GROUNDS FOR DENIAL Must deny 1-Year Period of Ineligibility In accordance with 24 CFR 5.216, applicants and participants (including each member of the household) must disclose his/her assigned Social Security Number. Failure to disclose will result in denial of assistance A. Life -Time Bans 1) The Housing Authority Must Prohibit Admission To Public Housing If Any Household Member: a) Is subject to a "lifetime" registration requirement under a State sex offender registration program. b) Has ever been convicted of drug -related criminal activity for manufacture or production of methamphetamme on the premises of Federally assisted housing. 2) The Housing Authority May Prohibit Admission To Public Housing If Any Household Member: a) Is subject to "any" registration requirement under a State sex offender registration program. B. Ability to Comply with Lease Applicants must provide information demonstrating their ability to comply with the essential elements of the lease. The Housing Authority may prohibit admission to Public Housing for failure to provide this information. 1. A credit check of the head, spouse and co-head; 2. A rental history check of all adult family members; 3. A check of employment history of all adult family members; 4. A criminal background check on all household members, including live-in aides. This check will be made through State or local law enforcement or court records in those cases where the household member has lived in the local jurisdiction for the last five (5) years. 5. All family members over the age of 18 must sign an affidavit certifying that that no family members (including minors) have participated in any criminal behavior listed 11 in this section. 6. The Housing Authority may require a home visit to provide the opportunity for the family to demonstrate their ability to maintain their home in a safe and sanitary manner. This inspection considers cleanliness and care of rooms, appliances, and appurtenances. The inspection may also consider any evidence of criminal activity. C. Documentation Requirements The Housing Authority must prohibit admission to Public Housing if: 1. The family fails to supply any information that the Housing Authority or HUD determines is necessary in administration of the Public Housing program, including submission of required evidence of citizenship or eligible immigration status (as provided by 24 CFR part 5, subpart E). "Information includes any requested certification, release or other documentation. 2. If the family fails to supply any information requested by the Housing Authority or HUD for use in a regularly scheduled reexamination or an interim reexamination of family income and composition in accordance with HUD requirements. 3. If the family fails to comply with the requirements of 24 CFR part 5, subpart B of this title regarding family verification and disclosure of social security numbers and family execution and submission of consent forms for obtaining wage and claim information from State Wage Information Collection Agencies (SWICAs). 4. If any information supplied by the family is not true and complete. D. Eviction/Current Criminal Activity and Alcobol Abuse The Housing Authority must prohibit to Public Housing to: 1. For an applicant for three (3) years from the date of the eviction if any household member has been evicted from Federally assisted housing for drug -related criminal activity. However, the Housing Authority may admit the household if the Housing Authority determines: I. The evicted household member who engaged in drug -related criminal activity has successfully completed a supervised drug rehabilitation program approved b-y the Housing Authority; IL The circumstances leading to the eviction no longer exist (e.g., the criminal household member has died or is imprisoned. 2. If the Housing Authority, determines that any household member is currently engaging in illegal use of a drug (For purposes of this section, a household member 12 is "currently engaged in" the criminal activity if the person has engaged in the behavior recently enough to justify a reasonable belief that the behavior is current). 3. If the Housing Authority determines it has reasonable cause to believe that a household member's illegal use or pattern of illegal use of a drug may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. 4. If the Housing Authority determines it has reasonable cause to believe that a household members abuse or pattern of abuse of alcohol may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. E. Discretion to Deny for Criminal Activity (3-year period of ineligibility). If any household member is currently engaged in, or has engaged in within five years before the admission the following criminal activity the HA may deny assistance, based on a preponderance of evidence, regardless of whether the household member has been arrested or convicted for such activity: 1. Drug -related criminal activity (defined at 24 CFR 5.100); 2. Violent criminal activity (defined at 24 CFR 5.100) [Note the exception for victims of domestic violence provided for below in section H.]; 3. Other criminal activity which may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents or persons residing in the immediate vicinity; 4. Other criminal activity which may threaten the health or safety of the owner, property management staff, or persons performing a contract administration function or responsibility on behalf of the PHA (including a PHA employee or a PHA contractor, subcontractor or agent); 5. Criminal Street Gang Activity as defined in Chapter 723A of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section; 6. Theft in the 3rd degree or higher or fraudulent practice in the 3rd degree or higher as defined in Chapter 714 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section; 7. Forgery or fraudulent criminal acts as defined in Chapter 715A of the Iowa Code or a law of any city_ , county, or state that substantially corresponds to this section; S. Buralary in the 2nd Degree or higher as defined in Chapter713 of the Iowa Code or a law of any city, county. or state that substantially corresponds to this section; 9. Disorderly conduct as defined in Section 8-5-1 of the City Code or section 723.4 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section. Disorderly conduct that constitutes violent criminal activity; 10. Required to register under a State sex offender registration program. With respect to criminal activity, the Housing Authority may require an applicant to exclude a household member in order to be admitted to the housing program if that household 13 member has participated in or been culpable for actions described in 24 CFR 960.204 that warrants denial. If a person is denied for any reason listed above, the person will be ineligible for assistance for three years after the date of the denial notice. F. Discretion to Deny for Other Miscellaneous Reasons (1-year period of ineligibility). The Housing Authority may prohibit admission: 1. If any member of the family has ever been terminated from assistance under a Section 8 program or evicted from federally assisted housing. 2. If any member of the family has committed fraud, bribery, or any other corrupt or criminal act in connection with any Federal housing program. 3. If the family currently owes rent or other amounts to the Housing Authority or to another Housing Authority in connection with Section 8 or public housing assistance or any other Federally assisted housing under the 1937 Act (as amended). 4. If the family has not reimbursed any PHA for amounts paid to an owner under a HAP contract for rent, damages to the unit, or other amounts owed by the family under a Section 8 assisted lease. 5. If the family has engaged in or threatened abusive or violent behavior toward Housing Authority personnel. 6. If a Welfare -to -Work (WTW) family fails, willfully and persistently, to fulfill its obligations under the WTW voucher program. 7. If the Housing Authority determines that is has reasonable cause to believe that a household member's abuse or pattern of abuse of alcohol may threaten the health, safety, or right to peaceful enjoyment of the premises by other residents. 8. Use of an alias in the commission of a crime, in the application for government benefits or assistance, or to mislead or defraud a creditor. 9. Disorderly conduct as defined in Section 8-5-1 of the City Code or section 723.4 of the Iowa Code or a law of any city, county, or state that substantially corresponds to this section. Disorderly conduct that does not constitute violent criminal activity; 10. Disorderly house as defined in Section 8-5-5 of the City Code or a law of any city, county or state that substantially corresponds to this section: If a person is denied for any reason listed above; the person will be ineligible for assistance for one year after the date of the denial notice. G. Additional Considerations The followinQ applies to the Housing Authority's determination to approve or deny admission due to the action or failure to act by members of the family. 14 1. In the event of the receipt of unfavorable information with respect to an applicant, consideration shall be given to the time, nature, and extent of the applicant's conduct (including the seriousness of the offense). In a manner consistent with the Housing Authority's policies, procedures and practices, consideration may be given to factors which might indicate a reasonable probability of favorable future conduct, including but not limited to: a) Evidence of rehabilitation; and b) Evidence of the applicant family's participation in or willingness to participate in social service or other appropriate counseling service programs and the availability of such programs; c) The effect the denial will have on family members not involved in the criminal activity and the extent to which the offending family member and applicant have taken personal responsibility and have taken all reasonable steps to prevent or mitigate the offending behavior. 2. In determining whether to deny admission for illegal drug use or a pattern of illegal drug use by a household member who is no longer engaging in such use, or for abuse or a pattern of abuse of alcohol by a household member who is no longer engaging in such abuse, the Housing Authority may consider whether such household member is participating in or has successfully completed a supervised drug or alcohol rehabilitation program, or has otherwise been rehabilitated successfully (42 U.S.C. 13661). For this purpose, the Housing Authority may require the applicant to submit evidence of the household member's current participation in, or successful completion of, a supervised drug or alcohol rehabilitation program or evidence of otherwise having been rehabilitated successfully. H. Exception for Victims of Domestic Violence Although the HA may deny Public Housing assistance if a member of the tenant family has engaged in violent criminal activity, there is an exception for victims of domestic violence. Domestic violence includes threatened domestic violence, dating violence, and stalking as those terms are defined in 42 U.S.C. 1437d. The Housing Authority may deny Public Housing assistance to the member of the household who committed the domestic violence but not to the victim. The Housing Authority may, however, deny the assistance to the victim for other reasons not premised on the act of domestic violence. Annual Report — 2012 Ems-+ 0 usin UTHORITY 410 E. Washington Sheet Iowa City • Iowa • 52240 •1826 To improve quality of life, the Iowa City Housing Authority acts as a community leader for affordable housing, family self-sufficiency, and homeownership opportunities. Date: May 15, 2012 Annual Report — 2012 Table of Contents Staff Executive Summary Housing Choice Voucher (HCV) program Analysis of Public Housing Family Characteristics Family Characteristics and Working Families Public Housing Waiting List Housing Choice Voucher Waiting List Promoting Family Self -Sufficiency (FSS) FSS Program Coordinating Committee Promoting Homeownership Comparison of funding for Calendar Years 2009 & 2010 Housing Authority Funding Source Summary Partnerships and Community Collaborations Page 2 3 4-5 6 7 8 9 10 12-13 14 15 16 17-18 19 Annual Report — 2012 Staff Housing Assistant Vacant Housing Program Assistant Robin Butler Housing Program Assistant Denise Kinnison Housing Program Assistant Carri Fox-Rummelhart Housing Program Assistant Joan Kramer Housing Program Assistant Lucy Joseph Housing Program Assistant Diana Huff Office Manager Virginia Stroud FSS Coordinator Mary Abboud Public Housing/Homeownership Pat MacKay Coordinator Housing Choice Voucher Heidi Wolf Program Coordinator Housing Administrator Steven J. Rackis Page 3 Annual Report — 2012 Executive Summary This report contains a great deal of data, but what does it all mean? The best way to explain the data is to confront the myths that surround the programs operated by the Iowa City Housing Authority (ICHA). Myth 1: The Housing Administrator controls the information and he can "spin it" anyway he likes! The Department of Housing and Urban Development (HUD) requires Housing Authorities to submit specific demographic and economic data to HUD. This is the data reported in this annual report. "Spinning" data to the Federal govern- ment is likely to lead to a very short career in administering Federal programs and dollars. The HUD website to view this data is at: http://portal.hud.gov/ hudportal/HUD?src=/program_offices/public_indian_housing/systems/pic/50058/ rcr Myth 2: The typical ICHA participant is a single female head of household with children on welfare. The typical participant is single disabled household. In fact, elderly and/or disabled heads of household and working families account for 95% of all partici- pating families. 47% of all families report income from work v. 7% reporting they receive welfare. Only 3% of all participating families report welfare as their sole source of income. Myth 3: Rental assistance fosters a sense of "entitlement" for low income families and does not incent an attitude to work. 61 % of all ICHA participants exit the program within 5 years. The primary reason is the families become over income and are no longer eligible for the program. Historical data also shows that 10% of all families participating in the rental assis- tance programs also participate in our Family Self -Sufficiency program. In this report that = 129 families; due to rent increases related to increases in income, 73% of these families have money deposited into an escrow savings account Since the inception of the program, 59 graduates moved on to homeownership. Page 4 Annual Report — 2012 Myth 4: The low-income families participating in the ICHA programs is severely impact- ing the Iowa City Area Community School District (ICCSD). 58% of ICHA participants do not have minor children: 53% are single households. Regarding Free/Reduced lunch, the 1CCSD reported 3,618 chil- dren were eligible for Free/Reduced lunch. The children living in assisted households eligible for Free/Reduced lunch = 778. Who are the other 2,840? Myth 5: I do not want my property taxes used to support these programs. All of the ICHA funding is Federal. The ICHA supports the general fund by making a Payment In Lieu of Taxes for our 81 Public Housing units. The ICHA also makes cash transfers to other City Departments. The ICHA also contrib- utes to increased property taxes through our homeowners programs. Since 1998, the ICHA assisted 161 families realize the dream of homeownership. The Iowa City Area Chamber of Commerce has "Buy Here" campaign. Many buy local campaigns claim that for every $1.00 spent locally, $.68 will remain in the community. Based on this ratio, of the $5.81M dollars we paid to landlords in 2011; $3.9M stayed in the community. For Public Housing, the $334,009 paid to private contractors for upgrades, maintenance and repair; $227,126 stayed in the community. Myth 6: Crime. The ICHA is the only Iowa Housing Authority conducting a National Crim- inal background check (Iowa DO and the FBI). The ICHA and all law en- forcement agencies exchange information on a daily basis. In calendar year 2011, 235 families exited the program; 117 left in good standing; 118 were terminated for cause. For a more detailed analysis, reference the 2/25/2010 memorandum to the City Manager/City Council. Conclusion: Comparing the Iowa City Housing Authority to the other 73 Housing Authori- ties in the State of Iowa: • ICHA participants have higher average annual incomes - $12,070 v. $11,136; • The ICHA assists more working families — 43% v. 33%; • The ICHA assists fewer families receiving welfare — 8% v. 28%; • ICHA participants pay a higher average monthly amount of the contract rent - $282 v. $254; Page 5 Annual Report - 2012 Housing Choice Voucher Program The Housing Choice Voucher Program (HCV) is funded by the U.S. Department of Housing and Ur- ban Development (HUD) with the intent of increas- ing affordable housing choices for low-income fami- lies, the elderly, & persons with disabilities. FamiliesIIIdL with a HCV voucher choose & lease safe, decent, and affordable privately owned rental housing. Total number of available HCV and HUD/VASH vouchers = 1,249. HCV Economic Impact: For Calendar Year 2011 (CY I I), the Housing Choice Voucher program paid approximately $5.7 million in Housing Assistance Payments (HAP) to landlords/owners of rental properties in Johnson County. The vouchers in use, as of 2/29/2012, in Iowa City (875) represents S% of the total number of rental units (16,979) in the City of Iowa City. Following is the Johnson County breakdown by City. Overall voucher utilization in Johnson County shows: Sixty-one percent (61 %) were households without minor children; Thirty-nine percent (39%) included minor children. % of % of Total Total Total % of % of Voucher Utilization Total Johnson County Vouchers Voucher Households Total Total by Place As of Popula- Incorporated By City Utiliza- without Vouchers Households Vouchers 2/29/2012 * tion Population * tion * Minors By City with Minors By City Iowa City 67,862 62.0% 875 70.9% 555 63.4% 320 36.6% Coralville 18,907 17.3% 204 16.5% 10 51.5% 99 48.5% North Liberty 13,374 12.2% 123 10.0% 69 56.1% 54 43.9% Solon 2,037 1.9% 10 0.8% 9 90.0% 1 10.0% Tiffin 1,947 1.8% 6 0.5% 1 16.7% 5 83.3% Lone Tree 1,300 1.2% 8 0.6% 4 50.0% 4 50.0% Oxford 807 0.7% 6 0.5% 2 66.7% 2 33.3% Hills 703 0.6% 3 0.2% 2 66.7% 1 33.3% Johnson County Incorporated 109,444 Johnson County Total Population 130,882 % of Johnson County Population Living in Incorporated areas 83.6% * Total Vouchers = 1,235 Page 6 Annual Report — 2012 Public Housing Public housing was established to provide affordable, decent and safe rental housing for eligible low-income families, elderly persons, and persons with disabilities. The U.S. Depart- ment of Housing & Urban Development (HUD) distributes federal subsidies to the Iowa City Housing Authority (ICHA), which owns and manages the housing. The City of Iowa City owns eighty-one (81) low -density units, constructed to conform and blend into the existing neighborhood architecture. The 81 Public Housing units represent 1/2 of 1 % of the total number of rental units in the City of Iowa City. Public Housing Economic Impact for the City of Iowa City: • Total CY I I rental income from our Public Housing properties = $200,466. • Payment in Lieu of Taxes (PILOT) paid to the Johnson County Assessor for the Public Housing properties in FYI I = $16,995. • In CYI I, the Housing Authority paid $334,009 to private sector Iowa City contractors for the capital improvement, general maintenance and repair of the Public Housing properties. Total Occupied Units w/ Public Housing Total by Occupied Occupied Units minors (includes non - Units Location 2/29/2012 No Minors school aged minors) Grant Wood 31 31 4 27 Friendship 22 22 1 21 Village Green I 1 10 8 2 Washington Hills 5 5 0 5 Miller Orchard 3 3 0 3 Shimek 2 2 0 2 Longfellow 2 2 0 2 Lucas Farms 2 2 1 1 Wetherby Friends & Neighbors I 1 0 1 Creekside I 1 0 1 Pepperwood I 1 0 1 TOTAL 81 80 14 66 Page 7 Annual Report — 2012 Family Characteristics ICHA Participant Characteristics. Definition of Participant (participant family): A person or family that has been admitted to the Iowa City Housing Authority's HCV or Public Housing program and is currently assisted in the program. Head of Household Characteristics. Total Families = 1,322 as reported to HUD: October I, 2010 —January 31, 2012 (Totals do not add up to 100% because individuals can be counted in mul- tiple categories): • Elderly or Disabled or Working = 1,255 (95%) • Elderly and/or Disabled = 895 (68%) • White Head of Household = 830 (63%) • Households Without Minor Children = 764 (58%) • Disabled = 706 (53%) • 1 Person Households = 705 (53%) • Households With Minor Children = 558 (42%) • Working = 552 (42%) • Female Head of Household with Children = 508 (38%) • African American Head of Household = 450 (34%) • Elderly = 189 (14%) • Elderly and Disabled = 113 (9%) Income Sources as reported to HUD: Total Families = 1,322 as reported to HUD: October I, 2010 — January 31, 2012 (All Family Members: Many Families Have Multiple Sources of Income): • Social Security (SS)/Supplemental Security (SSI) = 62% • Employment = 47% • Family Investment Program (FIP/Welfare) = 7% • With any Other Income = 23%* • No Income = 4% * Child Support, Self -Employment, Unemployment Insurance, Other Non -Wage Sources. As of February I, 2012, only 23 of the total 1,365 assisted households are report- ing FIP as the sole source of household income. This equals 1.7% of all assisted households. Page 8 Annual Report — 2012 Family Characteristics and Working Families Length of Participation as reported to HUD: October I, 2010 — January 3 I, 2012: • Less than I year = 348 (26%) • 1 to 5 years = 459 (35%) • 5 to 10 years = 279 (21 %) • 10 to 20 years = 194 (15%) • Over 20 years = 41 (3%) Residence prior to admission — Currently Assisted (Residency Preference does not apply to the HUDNASH program): • Johnson County = 1,156 (86%) • All Other State of Iowa Counties = 93 (7%) • State of Illinois = 66 (5%) • All Other States = 31 (2%) Iowa City Community School District (ICCSD) information 201 1- 2012: • Total ICCSD Enrollment K-12 = 12,159 • Total ICCSD Eligible for Free/Reduced Lunch (29.4% of total) = 3,618 • Total ICHA Minors K-12 = 861 • Total ICHA K-12 Eligible for Free/Reduced Lunch = 778 Businesses employing 10+ Participants Goodwill of the Heartland 74 University of IOWa/UIHC 43 Reach for Your Potential 39 Systems Unlimited 31 Self Employed 23 Walmart 22 Iowa City Community School District 21 McDonalds 20 Hy-Vee 15 Durham School Services 12 Employment Systems 12 Vangent 12 Mercy Hospital 10 Page 9 Annual Report — 2012 Public Housing Waiting List February 29, 2012 Applicant (applicant family): A person or family that has applied for admis- sion to the Iowa City Housing Authority's Public Housing program but is not yet a participant. Eli igbility for housing programs is not established until Applicants reach the top of the waiting list and their Preliminary Application for Assistance is processed. The list includes residents and non-residents of the Iowa City Housing Authori- ty's jurisdiction (Johnson County, Iowa; Iowa County, Iowa; and, Washington County, Iowa, North Highway 92). The general applicant pool from which the Housing Authority draws to determine program eligibility are elderly, disabled, and families with children under the age of 18 who are residents (have a legal domicile) or are employed, in our jurisdiction. When vacancies exist, the Housing Authority draws applicants from this pool by date and time of application and only those applications of families who qualify for the bedroom size of the available Public Housing units. The eligibility deter- mination process includes verification of residency, family composition, eligibility status, and a national criminal background check is conducted through the Iowa Department of Criminal Investigation and the Federal Bureau of Investigation. Public Housing Waiting List Number of % of Fami- Families lies Resident Applicant Characteristics 413 100% Elderly * Disabled 25 6% 202 49% Families w/minor Children * 188 46% White - Head of Household 237 57% Black - Head of Household 156 38% All Other Races - Head of Household 20 5% * Totals do not add up to 100% because families can be counted in multiple categories): An additional 1,910 applicants are on the list, but are either non- residents, or single non -elderly, non -disabled families. Page 10 Annual Report — 2012 HCV Waiting List February 29, 2012 The HCV waiting list shares the majority of the characteristics described in the Public Housing section. There is a great deal of duplication as the majority of applicants apply to both lists. For HCV applications, bedroom size is not taken into consideration. When vouchers are available, the Housing Authority draws applications, by date & time of application, from the applicant pool that contains elderly, disabled, and families with children under the age of 18 who are resi- dents (have a legal domicile) or are employed, in our jurisdiction. The eligibility determination process includes verification of residency, family composition, eligibility status, and a national criminal background check is con- ducted through the Iowa Department of Criminal Investigation and the Federal Bureau of Investigation. When the Housing Authority applies for, and receives additional funding (HOME Investment Funds) to operate Tenant -Based -Rental Assistance Programs (TBRA), the HCV waiting list is used to support the TBRA programs. These additional funds have targeted elderly and disabled families who are residents (have a legal domicile) of our jurisdiction. Housing Choice Voucher Waiting List Number of % of Fami- Families lies Resident Applicant Characteristics 437 100% Elderly * 27 6% Disabled * 163 37% Families w/minor Children * 263 60% White - Head of Household 244 56% Black - Head of Household 169 39% All Other Races - Head of Household 24 5% * Totals do not add up to 100% because families can be counted in multiple categories): An additional 3,412 applicants are on the list, but are either non- residents, or single non -elderly, non -disabled families. Page I I Annual Report — 2012 Promoting Self -Sufficiency The lack of safe, decent, and affordable housing undermines quality education, public health, and economic growth. Affordable housing is a contrib- uting factor to stabilizing families. Stable families are better equipped to take advantage of educational opportunities. Opportunities for and access to ad- vanced education and training increases employabil- ity. Sustainable employment offers opportunities to attain self-sufficiency. Economic self-sufficiency leads to a better society and strengthens the "sense of community." Through our Self -Sufficiency programs, the Housing Authority is helping low income families bridge the economic gap by building assets, improving employ- ment opportunities, and transitioning from renters of units to owners of homes. The Family Self -Sufficiency (FSS) Program: Promotes self-sufficiency and asset development by providing supportive services to participants to in- crease their employability, to increase the number of employed participants, and to encourage increased savings through an escrow savings program. Current FSS Enrollment Data: • Total FSS participants =129 • Participants with an escrow savings account = 93 (73%) • Average monthly escrow savings deposit (participants with an escrow balance) _ $151 • Average escrow savings account balance (participants with an escrow balance) _ $1,816 • Highest escrow savings account balance = $1 1,528 Workshop Accreditations: • "A Framework for Understanding Poverty — Bridges out of Poverty": Na- tional Association of Social Workers Continuing Education (NASW CE) Approved. • "Money Smart": Federal Deposit and Insurance Corporation (FDIC). FSS Workshops Conducted: • "Show Me The Money". Collaborated with Shelter House and Neighbor- hood Centers of Johnson County Job Readiness Program. Page 12 Annual Report — 2012 Promoting Self -Sufficiency (Continued) • November 2011: "Community Connections Day, A Resource and Referral Fair". Collaborated with numerous businesses and social service agencies. Homebuyer Education Conducted in Partnership with the Io- wa City Area Association of Realtors: • The Homebuyer Education program was developed by the Iowa City Area Association of Realtors and the Iowa City Housing Authority. It is available via the internet and DVD. Those completing the course receive a Mortgage Readiness Certificate. The course is required for families interested in par- ticipating in the Housing Authority's homeownership programs. FSS Homeownership: Through our FSS program, many families have used their escrow savings accounts and private mortgages to attain homeownership independent of the Housing Authority programs. Fifty-nine (59) FSS graduates have moved to homeownership; forty-seven (47) independent of the Housing Authority Homeownership programs and twelve (12) participated in Housing Authority Homeownership programs. Page 13 Annual Report — 2012 Program Coordinating Committee — 2011 Advisory Board for the Iowa City Housing Authorities' Family Self -Sufficiency Program (FSS). • Jon Weih, Student Life Director, Kirkwood Community College. • Karla Fay, Farmers & Merchants Savings Bank. • Cindy Lynch, Iowa State Bank Home Loan Center. • Hanan Abdelgadir, Neighborhood Centers of Johnson County. • Jan Koch, 4Cs Home Ties. • Ladiester LaMaster, Horace Mann Elementary Family Resource Center. • Lynette Jacoby, Social Service Director, Johnson County. • Laura Martinez, Neighborhood Centers of Johnson County. • Shannon Hammen, Roosevelt Elementary Family Resource Center. • Steve Federspiel, Liberty Bank. • Bruce Teague, CEO, Caring Hands & More. • Heidi Cuda, Mid -Eastern Iowa Council on Chemical Abuse (MECCA). • Roger Goedken, Successful Living. • Jessica Greving, Residential Mortgage Network, Inc. • Ray Truitt, Iowa Workforce Development. • Mary Ann Pedde, Domestic Violence Intervention Project (DVIP). • Angie Jordan, Children of Promise Mentoring Program. • LaTasha Massey, Community Projects Specialist, Johnson County. • Anthony Moore, Public Housing Tenant. • Judith Bryant, HCV Program Participant. Page 14 Annual Report — 201 2 Promoting Homeownership HCV Homeownership Program: Eligible participants have the option of purchasing a home with their HCV assistance rather than renting. • Forty (40) HCV Vouchers were used to purchase homes since January 2003; Twenty-one (2 1 ) HCV Vouchers are currently active. Tenant -to -Ownership Program (TOP): The Tenant -to -Ownership Program is funded by HUD. The TOP program offers opportunities for low to very low-income families to purchase single-family homes owned by the Housing Authority. • Twenty-six (26) homes sold and ten (10) resold since May 1998. Affordable Dream Home Ownership Program (ADHOP): The Affordable Dream Home Ownership Program is operated, managed and funded solely by the ICHA. It offers opportunities for income eligible families to pur- chase newly constructed or newer homes. • Sixteen (16) homes (10 "Universal Design" homes) were built and sold since May 1999.. Down Payment Assistance Program — Grant Award $187,500: Funded with Fiscal Year 2009 HOME funds. First -Time homebuyers with a household income of <80% of the Area Median Income (AMI) may be eligible for a forgivable loan for down payment assistance. At the date of this publication: • 20 families purchased homes; Funds expended = $185,600 • Families with household income 60-80% of AMI = I I • Families with household income <60% of AMI = 9 Page 15 Annual Report — 2012 Comparison of Calendar Year (CY) 2011 & 2012 Funding The United States Congress allocates funding and passes laws for all housing programs. The Federal Department of Housing and Urban Development's (HUD) role in the locally administered housing programs is to allocate money to the local housing authorities and to develop policy, regulations, and other guidance that interprets housing legislation. The Actual Funds Received for CYI I and Estimated Funding for CY 12: Housing Choice Voucher Program CY I I • Annual Contributions Contract = $6,939,404 • HUDNeteran's Affairs Supportive Housing = $67,899 • Self-Sufficiency/Homeownership Grant = $54,394 • Port -in Administrative Fees = $3,928 Public Housing CY I I • Rental Income = $200,466 • Capital Funds Program (CFP) _ $125,866 • Performance Funding System Operating Subsidy = $284,313 HOME Funds CYI I (Tenant Based Rental Assistance) _ $40,000 Fraud Recovery CYI I = $55,342 Total Housing Authority Funding CYI I = $7,771,612 Housing Choice Voucher Renewal CY 12 (Estimate) • Annual Contributions Contract = $5,915,052 • Self-Sufficiency/Homeownership Grant = $122,938 Public Housing CY 12 • Annual Capital Funds Program (CFP) _ $106,529 • Performance Funding System Operating Subsidy * _ $0 Total Housing Authority Funding CY 12 = $6,144,519 * The formula allocation was $299,248; however, the Housing Authori- ty received $0 due to HUD's offset against the Housing Authority's Op- erating Reserves. Page 16 Annual Report — 2012 Iowa City Housing Authority (ICHA) income sources. The uses of the cash sources are based on relevant HUD notices and signed agreements between the Housing Authority and HUD. Public Housing Operations & Housing Choice Voucher (HCV) Administrative Fee Cash Reserves Under Section 9(3) of the Housing Act of 1937, Operating Funds are available to the ICHA for the operation and management of the Public Housing & HCV Programs. Operating cash is only available for the use and benefit of public hous- ing units and residents, or HCV development activities that benefit the HCV program and its participants. Housing Assistance Payments (HAP) HUD provided funds to cover the housing subsidy paid to owners/landlords directly by the ICHA on behalf of the participating family. The family pays the difference between the actual rent charged by the landlord and the amount sub- sidized by the program. Under certain circumstances, if authorized by the PHA, a family may use its voucher to purchase a modest home. Housing Authority Capitol Fund Grants HUD provides funds to the ICHA to improve the physical condition, upgrade the management and operation, and carry out other activities for Public Housing developments. Capital Funds are calculated and allocated by an established for- mula. Affordable Dream Homeownership Program (ADHOP) On September 3, 1993, the ICHA entered into a Section 5(h) Agreement with HUD. The purpose of this program is to create affordable home ownership oppor- tunities throughout Iowa City. This agreement authorizes the ICHA to sell Public Housing units and use the sales proceeds to construct or purchase homes for reha- bilitation to continue the cycle. To ensure affordability, the ICHA provides a se- cond mortgage for the homeowners. Page 17 Annual Report — 2012 Housing Authority TBRA/HOME Grants Grant funding received by the ICHA through the City of Iowa City & the State of Iowa to operate a Tenant Based Rental Assistance (TBRA) Program. TBRA pro- vides Housing Assistance Payments to landlords/owners of rental properties on behalf of income eligible elderly/disabled families. HUD/Veterans' Affairs Supportive Housing TBRA funds targeting homeless veterans' participating in VA Case Management Services. Page 18 Annual Report — 2012 Partnerships and Community Collaborations • University of Iowa School of Social Work. • Women's Resource and Action Center (WRAC). • Montessori School. • Goodwill of the Heartland. • Farmers & Merchants Bank. • Habitat for Humanity. • Iowa Women's Foundation. • Iowa City Junior Service League. • STAR Program. • Iowa State University (ISU) Extension. • Liberty Bank. • Iowa City Area Association of Realtors. • Hawkeye Area Community Action Program (HACAP). • Iowa State Bank. • Foster Grandparents Program. • The Housing Trust Fund of Johnson County (HTFJC). • "Good Neighbors -Strong Neighborhoods". • Reclaiming Roots. • City of Iowa City Parks & Recreation. • City of Iowa City Neighborhood Services. • Iowa City Public Library. • Iowa City Human Rights Commission. • Domestic Violence Intervention Project (DVIP). • Johnson County Department of Public Health Current Homeownership Programs Lender List: • Iowa State Bank • Liberty Bank • West Bank • Farmers & Merchants Bank • Cornerstone Mortgage • Freedom Security • U. S. Department of Agriculture (USDA) • American Bank & Trust • Hills Bank • Countrywide Home Loans • UI Community Credit Union • Habitat for Humanity • Residential Mortgage Network Page 19 Annual Report — 2012 ik9UTHC3O - RITY 410 E. Washington Street Iowa City • Iowa • 52240 •1826 We provide: Information and education, Housing assistance, Public and private partnership opportunities. Phone: (319) 356-5400 FAX: (319) 356-5459 Web: www.icgov.org/icha Page 20