South Carolina State Housing Finance and Development Authority (SCSHFDA)

1. South Carolina State HousingFinance and Development Authority(SCSHFDA) HUD Section 8 Housing Choice Voucher Program www.SCHousing.com

2. Mission and Goals • Create quality affordable housing opportunities for the citizens of South Carolina. • Create and maintain a positive work culture that reinforces our mission, encourages innovation, and is based on a spirit of cooperation and teamwork. • Improve customer service and enhance employee performance by constantly reviewing processes and the use of technology. • Develop mutually supportive relationships that expand our ability to provide affordable housing while enhancing the value of investments. • Actively seek new and innovative ideas to improve affordable housing opportunities.

3. Section 8 Housing Choice Voucher Program Valarie M. Williams Executive Director Vacant Deputy Director for Programs Carl E. Bowen Director – Housing Choice Voucher Program Phone: (803) 896-8670; E-Mail: Carl.Bowen@SCHousing.com Ronald W. Phillips Assistant Director – Field Operations Phone: (803) 896-8671; E-Mail: Ron.Phillips@SCHousing.com Christine H. Watkins Assistant Director – Administration Phone: (803) 896-9152; E-Mail: Christine.Watkins@SCHousing.com

4. Counties Served by SCSHFDA

5. OVERVIEW AND HISTORY OF THE PROGRAM • The United States Housing Act of 1937 • Provided financial assistance to states and cities for public works projects, slum clearance and development of affordable housing developments for low-income residents • The Housing and Community Development (HCD) Act of 1974 • Section 8 Existing program/Section 8 Certificate program • The Housing and Community Development (HCD) Act of1987 • Section 8 Voucher program • The Quality Housing and Work Responsibility Act (QHWRA) of 1998 • Merged the Section 8 Existing and Section 8 Voucher programs into the Housing Choice Voucher (HCV) program

6. HUD Responsibilities • Develop regulations, requirements, handbooks, notices and other guidance • Allocate program funds to PHAs • Provide technical assistance to PHAs • Monitor PHA compliance with HCV program requirements and PHA performance in program administration

7. Housing Authority Responsibilities • Determine applicant eligibility • Brief landlord/participant family on program rules • Approve the owner, unit, Housing Quality Standards (HQS), and rent reasonableness • Make timely Housing Assistance Payments (HAP) • Comply with the HAP Contract • Ensure unit and family continue to qualify

8. Landlord/Owner Responsibilities • Screen tenant families for suitability • Maintain Housing Quality Standards (HQS) • Collect tenant portion of rent • Comply with the HAP Contract • Comply with and enforce the assisted lease • Comply with Fair Housing Laws, the SC Residential Landlord and Tenant Act, and the Violence Against Women’s Act

9. Participant Family Responsibilities • Take responsibility and care for the unit • Pay rent on time • Comply with the assisted lease • Provide accurate and timely information • Comply with the Family Obligations under the Section 8 Program

10. The Voucher Program • Income limits – extremely low income (income targeting) 75% of new admissions at or below 30% area median income • Maximum initial rent burden (affordability) No more than 40% of adjusted monthly income toward rent and utilities

11. How It Works • Family applies – placed on Waiting List Disabled families and Veterans have preference (SCSHFDA Policy) • Family receives Voucher when they reach the top of the list and funding is available Provided they meet final eligibility criteria • Voucher – Family and the Authority • 60 days to locate a unit

12. How It Works (continued) • Landlord and tenant complete the Request for Tenancy Approval (RFTA) • Unit inspected and rent negotiated Unit must meet HQS and be rent reasonable as compared to other unassisted units of like type and features, and meet affordability requirements for the participant • Assisted Lease – family and the owner

13. How It Works (continued) • HAP Contract – owner and the Authority • Owner – tenant relationship same as in open rental market – (SCRLTA) HousingAuthority HAP Contract Owner Participant Voucher Lease

14. Section 8 Housing Choice Voucher Program Start Applicant Eligible Informal Review Applicant Attends Briefing Issued Voucher (60 Days) No No Yes Yes Extension Requested/ Approved Unit Selected No No Eligibility Approved No Yes Housing Search Continues Yes Yes Family Must Reapply Voucher Expires Rent Reasonable No Eligibility Re-verified Annually Yes Rental Assistance Begins HAP Contract Executed Owner Executes Lease Meets HQS Affordable Yes Yes

15. Housing Quality Standards (HQS) • Ensure units are safe, decent, and in good repair • Types of inspections: Initial, Annual, Special, and Supervisory Quality Control • Every Inspector is certified • Complete HUD Inspection Booklet and instructions are located in the Owner’s Handbook

16. The Assisted Lease • Between owner and the tenant – not the Housing Authority • 12-month initial lease term • HUD-required lease content Owner and tenant names, unit address, amount of monthly rent to owner, term of the lease, utilities and appliances supplied by owner, HUD Tenancy Addendum

17. HUD Tenancy Addendum • Conflict between the lease and the Tenancy Addendum – the Addendum shall control • Rent to owner – may not be raised during the initial term of the lease • Termination of tenancy by owner • Owner may only evict by court action • Lease automatically terminates when HAP Contract terminates

18. Security Deposits The Authority encourages owners/landlords to screen the family and collect security deposits • SCSHFDA Policy – the security deposit may not exceed the lesser of the security deposit charged to non-Section 8 families or one month’s contract rent • SCSHFDA completes a SLED check on every new adult participant as well as a check of the Sex Offender database

19. Annual Activities • Family and unit eligibility are re-certified Inspection of unit for HQS compliance Verification of family composition and income Tenant rent recalculated

20. Terminations – Family Eligible • Family moves with notice • Family no longer needs assistance • Zero HAP family – family responsible for entire rent* * Zero HAP family remains on the program for an additional 180 days

21. Terminations – Family Ineligible • Family evicted through the courts* • Family moves without providing notice • Family violates program obligations • Family misses 3 scheduled appointments * Family cannot be evicted because of PHA’s failure to pay HAP

22. Informal Hearings and Reviews • Applicants – Informal Review • Participants – Informal Hearing • Hearing Officer – Housing Authority staff employee who is not involved in the initial determination and who is not subordinate to the person who rendered the initial decision or action (General Council)

23. Homeownership Voucher Program • Have a Voucher or live in a Moderate Rehabilitation unit and be on the Voucher waiting list • Have been on the Authority's Section 8 Program for at least one year • Be in "good standing" with the Section 8 Program • Not owe monies to any Housing Authority • Complete an Authority-sponsored or Authority-approved homeownership training course • Have been employed for 12 continuous months, working an average of 30 hours per week (except elderly or disabled individuals) • Meet HUD minimum employment income standards ($15,000 annual income) • Be able to obtain standard fixed moderate rate financing from an approved financial institution • The Authority may be able to provide funds for down-payment assistance, closing costs and housing counseling

24. Homeownership Voucher Program (Continued) • Must purchase a single family home in the Authority’s jurisdiction • Qualify for a mortgage with a fixed interest rate • Maximum term of Homeownership Assistance is 15 years if the term of the mortgage is 20 years or more. Otherwise, the family may only receive assistance for 10 years (30 years for elderly and disabled families) • Must continuously meet Voucher Program eligibility requirements during the period of homeownership assistance

25. Violence Against Women Act (VAWA) • Violence Against Women and Department of Justice Reauthorization Act of 2005 signed into law on January 5, 2006 and expanded provisions of the original Act enacted in 1994 • Expanded provisions apply to applicants / participants in Section 8 programs as well as owners / landlords of property under a HAP contract with a PHA

26. VAWA (continued) Section 8 Rental Assistance Programs: • Eligibility • Transfer (Portability) • Termination • Certification

27. VAWA (continued) Lease Violation / Termination / Eviction • Protections provided: Incident will not be construed as a serious or repeated violation of the lease by the victim Criminal activity directly related to incident shall not be cause for termination if tenant or immediate family member is the victim

28. VAWA (continued) Implementing Guidance: • Owner/landlord may divide or separate lease • Owner/landlord is authorized to honor court orders • Owner/landlord may evict or terminate for other good cause not related to the incident • Owner/landlord can terminate or evict provided he can demonstrate an actual or imminent threat to other tenants, employees or service providers • Protections do not supersede any Federal, State or local law that provides greater protection

29. Section 8 Voucher Reform Act(SEVRA) • Unit Inspections (Housing Quality Standards) • Family Recertification (Annual Reexaminations) • Changes to Adjusted Income and Deductions

30. Refinement of Income and Rent Calculation Requirements – Final Rule • Social Security Numbers Required • Income Calculation – Past or Anticipated • Mandated use of EIV • Verification of Citizenship/Immigration Status • Must maintain form HUD 50058 for each assisted lease and 3 years thereafter

31. Questions ?