TO: Chair and Housing Authority Commissioners
THROUGH: Steve Powers, Executive Director
FROM: Andrew Wilch, Administrator
SUBJECT:
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Apply for HOME funds to provide security deposits for low-income households.
Ward(s): All Wards
Commissioners(s): All Commissioners
Neighborhood(s): All Neighborhoods
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ISSUE:
Shall the Commission adopt Resolution No. 2220 authorizing submittal of an application and acceptance of funding up to $90,000 through the City of Salem FY 2018-2019 HOME Investment Partnership Program (HOME) to provide security deposit assistance for low-income households?
RECOMMENDATION:
recommendation
Adopt Resolution No. 2220 authorizing submittal of an application and acceptance of funding up to $90,000 through the City of Salem FY 2018-2019 HOME Investment Partnership Program (HOME) to provide security deposit and assistance for low-income households.
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SUMMARY AND BACKGROUND:
HOME funding provided through the Department Housing and Urban Development addresses a variety of activities aimed at developing and providing affordable housing for low- and moderate income residents. Eligible HOME activities include tenant-based rental assistance and security deposits. Since 2006, the Salem Housing Authority (SHA) has administered a Security Deposit Program to provide assistance to families and individuals who lack resources to pay the required security deposit to property owners to rent safe, decent, affordable housing.
Most recently SHA applied for and accepted $90,000 of HOME funds for the security deposit program effective on July 2017. However, due to a delay in fund availability from HUD, SHA did not receive access to HOME funds until November 2017. SHA is in the process of rolling out the program and currently has four applications totaling $2,060. Security deposits are up to one month of rent and average $650. It is anticipated that all security deposit funds will be spent down by June 30, 2018.
FACTS AND FINDINGS:
The City of Salem will close HOME applications on January 5, 2018. SHA staff recommends a request of $90,000 to continue operating the Security Deposit Program through the 2018-2019 HOME funding cycle. SHA will continue to increase efforts to assist high need populations by serving the hardest to house community residents including: homeless families and veterans; individuals experiencing domestic violence; and, individuals with disability and mental illness; in addition to working families earning 50% of the median family income or less.
Andrew Wilch
Housing Administrator
Attachments:
1. Resolution No. 2220
12/6/2017