Title
Significant Amendment to the Housing Department's Fiscal Year 2024-25 Annual Agency Plan
Description
This report requests the Economic Development and Housing Subcommittee recommend the Assisted Housing Governing Board (AHGB) approve a Significant Amendment to the Housing Department's Fiscal Year (FY) 2024-25 Annual Agency Plan. The amendment would include provisions to utilize the $1,156,029 increase in Capital Funds from the U.S. Department of Housing and Urban Development (HUD) and authorize applications for tenant protection vouchers (TPVs) for the Housing Department's Scattered Sites.
THIS ITEM IS FOR CONSENT ACTION.
Report
Summary
The HUD Capital Fund program provides funds annually for the development, financing, and modernization of public housing properties. Funds may also be used for conversions under the HUD Rental Assistance Demonstration program for public housing.
In May 2024, the Housing Department received an increased allocation of Capital Funds from HUD, amounting to $3,656,029. This increase exceeded the original estimated budgeted amount of $2.5 million. Due to the increase of funds exceeding 25 percent of the original Capital Fund budget outlined in the FY 2024-25 Annual Agency Plan, the Housing Department is required to submit a Significant Amendment to HUD. These additional funds are designated to support the rehabilitation of Maryvale Parkway Terrace, facilitate the return of relocated residents to Maryvale Parkway Terrace, demolish Sidney P. Osborn, and provide capital improvements for the Scattered Sites program.
The Housing Department also requests approval to apply for and utilize TPVs as needed to dispose of previous council-approved Scattered Sites properties. The TPVs will provide the Scattered Sites residents with a voucher for housing protection by HUD. The Significant Amendment will incorporate the request and utilization into the FY 2024-25 Annual Agency Plan.
Financial Impact
There is no impact to the General Fund. The Significant Amendment to the Annual Agency Plan is an administrative change only.
Concurrence/Previous Council Action
- On December 4, 2019, Formal Meeting, the City Council approved the adoption of the sale of 130 scattered sites single-family homes and the submission of HUD Section 18 disposition application for 40 vacant scattered sites single-family homes through Ordinance S-46222.
- On March 23, 2022, the AHGB subcommittee approved the submission of HUD Section 18 disposition applications for 90 scattered sites single-family homes through Resolution No. 211.
- On March 20, 2024, the AHGB subcommittee approved the FY 2024-25 Annual Agency Plan, Section 8 Housing Choice Voucher Administrative Plan, the Public Housing Admissions and Continued Occupancy Policy, the Capital Fund Program, and the Capital Fund Five-Year Action Plan through Resolution 220.
Public Outreach
The Resident Advisory Board representing the Housing Department programs met and approved the Significant Amendment on August 28, 2024. As required by federal regulation, the public was given a 45-day notice to provide comments. A public hearing was held on September 5, 2024.
Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Housing Department.