Updated August 16, 2004

LOCAL CONSEQUENCES OF HUD’S FISCAL YEAR 2004 VOUCHER FUNDING POLICY

Press Release: HTM | PDF
Survey Results: HTM | PDF
Glossary: HTM | PDF

Related Report:
Further Action By HUD Needed to Halt Cuts In Housing Assistance for Low-income Families

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This table has been revised and incorporates the latest information as of Monday, August, 16, 2004.

The table below lists effects that HUD’s fiscal year 2004 housing voucher funding policy has had on individual local and state housing agencies and the families they serve.  For additional information on HUD’s policy and the reasons it has resulted in funding shortfalls, see Further Action By HUD Needed to Halt Cuts In Housing Assistance for Low-income Families.

The information in the table was gathered by the Center on Budget and Policy Priorities, the National Low Income Housing Coalition, and the Council of Large Public Housing Authorities.  The agencies listed here are those for which information is available and that are expecting a shortfall due to HUD’s policy; they are not a representative sample of housing agencies as a whole, and the table is not a complete listing of the adverse consequences of HUD’s policy.  A description of the sources and methods used to compile the information in the table is provided at the bottom of the table.

Some of the terms in the “Consequences of HUD Policy” column describing measures taken by local and state housing agencies are somewhat technical.  The attached glossary defines and describes the impact of the following measures:

Local or State Housing Agency

Number of Authorized Vouchers

 Consequences of HUD Policy

Alabama    
Huntsville Housing Authority

1,189

Expects funding shortfall of $350,000. May reduce number of vouchers by attrition or termination.
Tuscaloosa Housing Authority

1,156

Expects $152,000 shortfall through December. Considering lowering payment standard or setting preference for working families.
California    
Housing Authority of the City of Alameda

1,625

To meet a $3 million shortfall (which was due in part to HUD’s new policy and in part to overleasing), the city and the agency used $2.4 million of non-HUD funds reserved for repairs and improvements to other low-income housing and all of the agency’s $600,000 of Section 8 administrative fee reserves.  Due to the ongoing shortfall of $200,000 per month, the agency notified 239 families that their Section 8 assistance would be terminated at July 1.  (Families receiving termination notices were those that had last entered the program.)  That number was reduced to 108, due to families leaving the Alameda program in June (some of whom were able to transfer their vouchers to other agencies) and owners’ voluntary rent reductions.  For July, the City of Alameda used a portion of its federal HOME funds to keep these 108 families in their homes.  In mid-July HUD announced it would provide an additional $636,000, an amount that will allow the 108 families to receive voucher assistance again until November 1.  The agency will decide at the end of August whether to reissue termination notices based on the status of its appeal for additional funding from HUD.

Benicia Housing Authority

372

Increasing minimum rent and requiring more frequent recertification of family income.
Butte County Housing Authority

 

1864

$671,040 shortfall for 2004.  Lowering voucher payment standard (requiring some families to pay more for rent).  Sending termination notices in July to terminate some families’ vouchers effective September 1 (likely due to overleasing in fiscal year ending 9/30/04).  Will use local funds to cover families’ rent for September and hope to be able to reinstate them in the voucher program after October 1.
Contra Costa Housing Authority

6,687

Actual per-voucher cost more than $40 per month over HUD’s reimbursement rate.  Reducing voucher payment standard and freezing issuance of new vouchers.
Fresno Housing Authorities

11,764

Expecting shortfall of about $19 per voucher per month. Reducing voucher payment standard and prohibiting moving with vouchers to other communities.
Imperial Valley Housing Authority

1,607

Actual costs are about $15 per voucher per month above HUD’s reimbursement rate, for an anticipated shortfall through end of year of $372,200.  Considering lowering voucher payment standard, raising minimum rents from $25 to $50, refusing portability, and asking landlords to contain rents.
Housing Authority of Kern County

 

 

 

 

3,228

Reducing voucher payment standard, which may require residents to pay more of their income for rent.  Asking landlords to voluntarily freeze rents through the end of the year, but many landlords are resisting.  May not approve rent increases above HUD’s inflation factor or for landlords who have had an increase in the past 12 months.  Considering restricting portability moves to higher cost areas if lawful.  The county will have to use about $500,000 of its reserves to balance the budget by year’s end.
Kings County Housing Authority

688

Will probably start targeting higher income families for new vouchers.  Denying families’ right to use vouchers to move to other areas.
Lake County Housing Commission

224

Anticipate shortfall of $120,000 for the year.  Lowering payment standard effective August 1.
Long Beach Housing Authority

6,280

Received a $2.9 million loan from the City’s HOME rental rehabilitation program, allowing it to rescind its June 1 decision to cancel more than 4,000 Section 8 contracts and reissue them under new terms, which would have meant raising tenants’ rent payments an average of $90 as of August 1.  (Funding shortfall was in part a result of overleasing for fiscal year ending June 30, 2004.)

Reduced maximum rent for families moving to new units.  (Reduced payment standard takes effect for tenants in place after about one year.)

Housing Authority of the City of Los Angeles

44,022

Reduced voucher payment standard from 110% of the 50th percentile to 100% of the 40th percentile.  Imposed a minimum rent of $50.
Los Angeles County Housing Authority

20,275

Reduced payment standard.
Housing Authority of the County of Monterey

3,770

Shortfall of about $500,000 for year.  Reduced payment standard effective June 1.  Denying families’ right to use vouchers to move to more expensive areas and limiting families to one move annually.
Napa Housing Authority

1,174

May terminate up to 85 families if it does not receive additional HUD funds.  Using administrative fee reserves and HOME funds to avoid terminations as long as possible.  Denying portability moves.

Stopped issuing vouchers in May. Froze new admissions to Family Self Sufficiency program.  Lowered payment standard.

Oakland Housing Authority

10,754

Freezing issuance of vouchers.
Oxnard Housing Authority

1,640

Shortfall of about $800,000 for year.  Reducing payment standard except for one-bedroom units, limiting rent increases, denying moving vouchers for families seeking to leave project-based units, and considering limitations on portability moves.
Roseville Housing Authorities

562

Shortfall of nearly $300,000.  Have stopped issuing vouchers and are considering lowering voucher payment standard.
Sacramento Housing and Development Agency

10,989

Anticipate shortfall of $8 million by end of year due to HUD funding at $60 - $70 below actual cost per voucher per month

Increasing minimum rents from $0 to $50. Canceling or reducing 216 project-based voucher contracts as of June 30, 2004. Have frozen issuance of new vouchers to cure overleasing. Generally denying landlord requests for rent increases.

San Diego (city) Housing Commission

12,034

Anticipate shortfall of $2.3 million by end of year.   Lowering payment standard and reducing rents by 2.2 percent.
Oceanside Housing Authority

1,313

Expect shortfall.  Reduced voucher payment standard effective July 1.
Housing Authority of San Luis Obispo

1,823

Expects shortfall.  Lowering payment standard.
Housing Authority of City of Santa Barbara

1,955

Expecting shortfall.  May not approve moves to higher cost units.
Housing Authority of Santa Clara County

9,527

Received additional funding from HUD to make subsidy payments in June, but still facing future shortfalls.
Santa Rosa Housing Authority

1,367

Frozen issuance of new vouchers.
Sutter County Housing Authority

803

May lower payment standard and would like to restrict portability moves to higher cost areas if HUD continues to pay based only on local rent costs.
Tehama County Housing Authority

144

Considering lowering payment standard.
Yolo County Housing Authority

1,466

Reducing the number of vouchers from authorized level of 1,466 to 1,383 to meet funding shortfall. Revoked vouchers from families searching for housing if landlords had not yet signed the final documents. 
Colorado

 

 
Aurora Housing Authority

1,083

Shortfall of $311,704 by December.  Lowering payment standard. Considering terminating 60 vouchers, reducing rents, freezing vouchers, refusing portability.
Colorado Division of Housing

2,392

Freezing issuance of new vouchers. They will cut 30-40 vouchers by attrition to compensate for inflation and may increase the minimum rent to $50.
Summit Housing Authority

49

Freezing issuance of new vouchers.
Connecticut

 

 
East Hartford Housing Authority

312

Shortfall of $67 per unit per month.  Anticipates total shortfall of $180,000 for subsidy payments and has notified owners it will likely reduce subsidy payments (increasing amount tenants will have to pay), and will terminate some families’ vouchers.
Greenwich Housing Authority

343

Anticipates shortfall of about $500,000 for the year.  If funding situation does not change, it expects it will have to reduce subsidy payments before the end of the year, which is likely to make it difficult for families to use vouchers in Greenwich due to high housing costs.
Milford Housing Authority

266

Shortfall of $107.59 per unit per month.  Imposing minimum rent.  Canceled plan to project-base about 30 vouchers in supportive housing project for the homeless and to use other vouchers for one-year transitional housing for the homeless.  Likely to have to terminate vouchers for current tenants.  Will probably use a lottery to decide which vouchers to terminate.
Willimantic Housing Authority

395

Shortfall of $45 per voucher per month.  Anticipates shortfall of more than $200,000.  Increased minimum rents, and refusing rent increases for owners.  Anticipates some owners will refuse to renew leases without rent increases, due to increasing property taxes and utility costs.
Waterbury Housing Authority

2,052

Facing a $36,900 monthly shortfall, resulting in at least 67 families who could be eliminated from the program.
Delaware

 

 
New Castle County Housing Authority

1,725

Shortfall of more than $43 per voucher per month, or more than $650,000 for the year.  Lowered payment standard.  Froze issuance of vouchers beginning May 1 despite being significantly underleased.

District of Columbia

 

 
District of Columbia Housing Authority

8,736

Facing more than a $4 million shortfall this year. As of June 17, still determining what steps they will take to deal with the cuts, but it is likely that no turnover vouchers will be issued and that other cost-cutting steps will be taken.
Florida

 

 
Avon Park Housing Authority

25

Anticipate shortfall by end of year.  Lowering payment standard.
Bartow Housing Authority

55

Stopped issuing allocated vouchers.
Clearwater Housing Authority

1,056

Proposing to increase minimum rent from $1 to $50.  Considering refusing portability to other areas.
Deerfield Beach Housing Authority

481

Expecting funding shortfall of $119,000 by end of 2004.  Reserves should be sufficient to cover.  Denying portability moves to higher cost areas.
Deland Housing Authority

549

Shortfall of $260,000 by end of year.  Lowering payment standard by $126.  Froze issuance of turnover vouchers.  Denying families’ right to move out of the jurisdiction with vouchers.  Restricting unit size allowed.
Flagler County Housing Authority

180

Families may not move out of the county with their vouchers if the move would increase subsidy cost.  Will reduce number of bedrooms allowed. Considering lowering payment standard from 110% to 90% of FMR.
Housing Authority of City of Ft. Lauderdale 1,966 Funding shortfall of over $28 per unit per month.  Has lowered payment standard and frozen issuance of new vouchers.
Gainesville Housing Authority 1,227 Expects funding shortfall.  Will not utilize about 50 vouchers because of shortfall.  Considering increasing minimum rent.  Has withdrawn vouchers from families searching for housing.
City of Green Cove Springs Housing Authority

148

Shortfall of $26 per voucher per month.  No definite decisions about possible actions.
Jacksonville Housing Authority

6,386

Shortfall expected.  Increasing minimum rent.  May freeze issuance of turnover vouchers.
Lake County Housing Agency

282

Expecting shortfall but amount unknown; no adverse actions at this point.
Marianna Housing Authority

117

Shortfall of more than $50 per voucher per month.  Proposing to limit portability to other areas.
Pahokee Housing Authority

36

Expect shortfall of approximately $8,000 by end of year.

Proposing to not allow rent increases.  Proposing to not allow portability.  Considering establishing or increasing minimum rents.

Panama City Housing Authority

418

Expect funding shortfall of $60,589 by end of year.

Increasing minimum rent from $30 to $50.  Freezing issuance of vouchers.  Refusing portability to other areas.

City of Pensacola Housing Department

603

Expect a funding shortfall of $95,927 by fiscal year end on September 30.

Lowering payment standard.  Increasing minimum rent from $25 to $50.  Moratorium on portability.

Seminole County Housing Authority

334

Shortfall expected.  Decided against earlier plan to terminate vouchers, instead reducing payment standards to 90% of FMR (which will likely increase tenant rent payments and could make vouchers more difficult to use).
Sumter County Housing Department

132

Expect shortfall by end of year. May borrow from General Funds and use administrative fee reserves.  Proposing to increase minimum rent from $0 to $50.  Freezing voucher issuance.  Have taken back five vouchers from people searching for units.
Tallahassee Housing Authority

1,835

Expects funding shortfall of about $347,000 by end of 2004.  Reserves will not be enough to cover.
Volusia County

322

Expect shortfall by end of year.
Walton County Housing

364

Expect shortfall of $10,000 by end of year.
Illinois

 

 
Aurora Housing Authority

800

Losing $880,000 due to new funding policy.  May reduce number of families served by between 100 and 150.
Housing Authority of the County of DeKalb

539

Per unit shortfall of $28.17.   Lowered payment standard.  Established minimum rents. Have frozen issuance of new vouchers. Refusing to allow portability to higher cost areas.  Have taken vouchers back from searchers.  Considering terminating vouchers.
Housing Authority of Elgin

913

Termination notices dated June 30, effective July 31, 2004, sent to 32 families, stating agency has insufficient funds to provide continued assistance.  Their subsidies extended through August, though further extensions are considered unlikely.  Available HUD data show per unit shortfall of about $50 per voucher per month.
Knox County Housing Authority

280

Experiencing shortfall of about $100,000 per month.  Freezing issuance of turnover vouchers, lowering payment standard and limiting portability moves.
McHenry County Housing Authority

867

Stopped reissuing vouchers as families leave the program.
Madison County Housing Authority

916

Has been using public housing and other funds to cover voucher funding shortfall, but cannot continue.  Termination and withdrawal of vouchers will begin on Aug. 1.  Terminations for approximately 130 individual voucher recipients.
Peoria Housing Authority

1,726

Per unit shortfall of $20.46, for total expected shortfall of $480,000.  Reserves may be sufficient to avoid program cuts.
Indiana

 

 
Indianapolis Housing Authority

7,519

Lowering payment standard.
Lafayette Housing Authority

1099

Expecting shortfall.  Lowering payment standard effective August 1.  If needed, it will freeze issuance of vouchers and take back vouchers from searchers.
Iowa

 

 
Area XV Multi-County Housing Authority (Appanoose, Davis, Jefferson, Keokuk, Lucas, Mahaska, Monroe, Van Buren, Wapello, and Wayne Counties)

354

Shortfall of $74,027 through 2004.  Considering lowering payment standard, increasing minimum rents, freezing issuance of new vouchers, and refusing portability.
Central Iowa Regional Housing Authority (Boone, Dallas, Jasper, Madison, Marion and Story Counties except cities of Ames and Knoxville)

725

Shortfall of $18 per voucher per month.  Lowering payment standard effective July 1, denying moves with vouchers if increase subsidy costs, and reducing of bedrooms allowed.
City of Dubuque

1,018

Expects shortfall.  Considering lowering payment standard, increasing minimum rents, and refusing portability.
Iowa City Housing Authority

1,149

Denying portability moves when new units would increase costs to the agency.  Will likely have to reduce number of families assisted if it doesn’t succeed at increasing inflation adjustment in July appeal.

Spirit Lake Low Rent Housing Agency

100

Expects shortfall.  Considering lowering payment standard and refusing portability if HUD permits.
Kansas

 

 
Hutchinson Housing Authority

221

Shortfall of $71,000.  Lowered payment standard and imposed a minimum rent effective July 1.
Kentucky

 

 
Kentucky Housing Corporation (operates in 85 of state’s 120 counties)

4,741

Shortfall of about $50 per voucher per month, or about $2.8 million for calendar year.  May lower payment standard.  To ameliorate overleasing problem, terminating families technically still on program but not receiving subsidy payments due to income.
Maine

 

 
Portland Housing Authority

1,718

Froze issuance of new vouchers.  May reduce number of families served by 65 – 75.
Maine State Housing Authority

3,990

Expects shortfall of $480,000 by end of 2004; can temporarily cover with reserve funds.
Maryland

 

 
Baltimore County Housing Authority

5,403

Shortfall expected but will use reserves to cover.  No planned adverse actions at this point.
Housing Authority of Calvert County

314

Shortfall of more than $120,000 expected by end of 2004.  Denying rent increases.
Cecil County Housing Agency

539

Shortfall of $131,000 expected by end of 2004.  Lowering payment standard and increasing minimum rent.
Easton Housing Authority

139

Expect shortfall. Considering lowering payment standard and increasing minimum rent.
Housing Opportunities Commission (Montgomery County)