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Adopt a resolution to allow the Solano County Housing Authority to submit a Letter of Interest Package to participate in the first cohort of the U.S. Department of Housing and Urban Development’s (HUD) Move-to-Work (MTW) demonstration expansion
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Department of Resource Management recommends that the Solano County Housing Authority (SCHA) adopt a resolution to allow the SCHA to submit a Letter of Interest Package to participate in the first cohort of the Department of Housing and Urban Development’s (HUD) Move-to-Work (MTW) demonstration expansion.
SUMMARY/DISCUSSION:
The HUD Housing Choice Voucher (HCV) Program provides rent subsidies on behalf of very low-income Solano County households (annual income below $42,850 for a household of four) so they can live in decent, safe and affordable housing. The SCHA voucher program is administered by the Vacaville Housing Authority by contract with Solano County. The SCHA program contributes an annual investment of approximately $2,050,000 into the local economy through rental subsidies on behalf of approximately 290 households.
In 1996 HUD established the MTW Demonstration Program. MTW allows public housing authorities (PHAs) to design and test innovative, locally designed housing and self-sufficiency strategies for low-income families. The MTW program permits PHAs to use federal housing assistance and administrative dollars received more flexibly by allowing certain exemptions from existing HCV program rules, as approved by HUD. The MTW Statute provides statutory and regulatory flexibility to participating PHAs under three statutory objectives. Those three statutory objectives are to:
• reduce cost and achieve greater cost effectiveness in federal expenditures;
• give incentives to families with children where the head of household is working; is seeking work; or is preparing for work by participating in job training, educational programs, or programs that assist people to obtain employment and become economically self-sufficient; and
• increase housing choices for eligible low-income families.
In 2016, HUD released a notice to expand the MTW demonstration to PHAs that meet certain size and site selection requirements, and that represent geographic diversity across the country. The first cohort of the MTW Expansion is open to PHAs that administer less than 1,000 vouchers and public housing units (if applicable) and are rated a High Performing agency. This first cohort will evaluate the overall effects of MTW flexibility on a PHA and the residents it serves.
To understand the overall effect and success of MTW flexibility, HUD will compare results related to the three MTW statutory objectives: cost effectiveness, self-sufficiency and housing choice, between applicant PHAs that receive MTW designation and applicant PHAs that do not receive MTW designation. To receive the designation, a PHA will be selected from a regional lottery of PHAs that submit a Letter of Interest. Submittal of this resolution does not guarantee acceptance into the MTW program.
Public Noticing Requirement: Public notice is not required.
FINANCIAL IMPACT:
The Housing Authority program is financed through HUD.
ALTERNATIVES:
The Housing Authority may choose not to approve the resolution. This action is not recommended because participation in the MTW program will provide the SCHA with greater flexibility in how it administers its voucher program.
OTHER AGENCY INVOLVEMENT:
The Vacaville Housing Authority, on behalf of Solano County, administers the SCHA and recommends the submittal of this resolution to enter the lottery to participate in the MTW program. The County Administrator and County Counsel have reviewed this item and concur with the recommended action.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION