Owner Update "Question Of The Month"

Q: If funding is reduced, how will TMHA deal with the changes?

If the current proposal is enacted, the amount of funding lost for 2005 would correspond to the cost of approximately 70 Vouchers. Cuts beyond 2005 would be larger.

The options to cut that amount of funding include:

Reduce the number of voucher-holders served. This would seem like the easy solution, but is really a difficult one. The time a family would spend on the waiting list would get much longer. It is now approximately 9 - 10 months. The proposal makes clear, however, that they don't want HA's to serve fewer families, and may impose penalties on HA's who simply serve fewer families.

Lower the Payment Standard. The PS is the amount we use to calculate the Maximum Subsidy we pay to the owner. At the moment we have the PS set as high as regulation will allow. We can reduce it by 10 - 20%. That would have the effect of reducing the amount we pay to owners by a corresponding amount. In that case, tenants will have to pick up the extra. For tenants now paying 30 - 40% (or more) of their income for rent, that increase may be too much.

An additional problem with this solution is that we may only be able to reduce the PS on NEW families, not on-going ones, meaning that this option may not cut enough funds.

Serve higher income families. These families should theoretically cost us less in subsidy to the owner, in other words be cheaper for the program. That solution, however, compromises our commitment to serve very low-income families in our area. There are no other programs locally that serve primarily fixed-income families in our area. Locally, there are not other programs that could step in to help those families with housing. Particularly hard hit would be those families such as elderly and/or disabled families on fixed incomes getting $500 to $1000 per month. About 45% of families we now serve fall into this category.

Ask program owners to lower rents by 10 - 20%. We have already negotiated lower rents with some owners, so we know this will not be a popular option. We would consider it a last resort.

None of the above ideas are good ones for the program. Our hope is that we won't have to enact any of the above. Recognizing that our federal budget is stressed now with Homeland Security and Iraq war costs, we hope Congress can be convinced to either flat-fund or approve a modest inflationary increase to the program. We will keep you informed on this funding issue.


Housing Advocacy Network Formed For Tuscarawas County

Tuscarawas County HOME Network has recently been formed as a housing issues
advocacy network here in Tuscarawas County. The HOME in the network's name is an acronym standing for (Housing, Opportunities, Monitoring, Education).

The mission statement of the network is as follows: To provide decent, safe and sanitary affordable, accessible housing opportunities and services for all eligible individuals and families in Tuscarawas County through community networking, education, and training.

The network is currently in the process of formulating goals and objectives and prioritizing affordable housing issues to address. At this point the network is made up of several housing related service providers here in the county including the housing authority. However, one of the first priorities of the network is to expand our membership beyond the social service realm. The HOME Network is welcoming individuals who would like to participate who are concerned about affordable housing issues. If you have any interest in attending the next HOME Network meeting don't hesitate to contact Marty or Claudia at the housing authority office at (330) 308-8099.
Our next meeting has been scheduled for Tuesday, May 25th, 2004 at 12:00 Noon in the housing authority conference room. One participating TMHA landlord is involved in the HOME Network and we would certainly welcome more.

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