RDA Reso 2005-024 - Laserfiche WebLink

Home

ILast Resort Housing program' Housing of Last Resort is a program that allows for the implementation of certain regulations if the Rent Differential Payment or the Purchase Differential Payment exceeds the standard limits as set by State Regulations. These regulations stipulate that any tenant occupant who is eligible to receive a Rent Differential Payment in excess of $5,250 or any tenant who pays in excess of 30% of their adjusted gross monthly income towards rent is to be considered for Housing of Last Resort. Several methods to provide LastResort Housing to qualified households are available to the Agency: 1. Provide supplemental funds in excess of the standard limit to allow occupants to replace their current unit with an affordable dwelling. All payments are based on the most comparable replacement property as approved in the Agency's Housing Valuation Studies. As with all other replacement housing payments, occupants must meet "spend to get" requirements in order to claim Last Resort Housing Payments. 2. Build new replacement housing or rehabilitate existing units or provide funds for private parties to rehabilitate existing units for occupancy by displaced households. Rents would be restricted to an amount per month not to exceed 30% of household gross monthly income. 3. Utilize Housing Authority Section 8 housing vouchers. No tenant \MJuld be required to pay in excess of 30% of gross monthly household income toward rent. This option is only available to tenant occupants. Recommended Action. The most flexible of the Last Resort options is for the Agency to pay Rent Differential Payments in excess of $5,250 and Purchase Differential Payments as needed. Section 8 vouchers are not currently available from the local housing authorities. It is the Agency's goal to relocate all eligible households in order to allow for the building's rehabilitation. Each eligible household will be notified in writing when the property is available for occupancy. Qualified, eligible households will have an opportunity to apply for an affordable housing unit on the property. They will be given 60 days from the date of notification to complete the necessary paperwork and to return to the property. The Agency's Relocation Consultant will work with these occupants to keep them inbrmed of the project schedule and to help them to identify and to secure housing. The Agency will provide full Relocation Assistance in accordance with the Relocation Assistance Program outlined later in this Study. If a household chooses to rent an affordable housing unit at the property, then Rental Assistance will be adjusted to reflect the new, affordable rent at the property. A study of the local housing market indicates that there will be an adequate supply of replacement dwellings available during the expected three-month displacement period. Some of these units, however, would not be affordable to some of the households if the standard relocation payments were made. The recommended course of action is for the Agency to provide supplemental replacement housing funds to bring the units within the financial means of the occupants. Relocation Impact Study and Last Resort Housing Plan Page 20