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Illinois Housing Development Authority Rental Housing Support Program

Illinois Housing Development Authority Rental Housing Support Program

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Illinois Housing Development Authority Rental Housing Support Program

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  1. Illinois Housing Development AuthorityRental HousingSupport Program National Alliance to End Homelessness Conference July 10, 2007 Thank you for attending!

  2. Rental Housing Support Program - IL • Contact Information for the program Manager –April Lasker 401 N Michigan Ave, Suite 700 Chicago, IL 60611 (312) 836- 5357 alasker@ihda.org Illinois Housing Development Authority

  3. Rental Housing Support Program - IL • The Rental Housing Support Program was created in July 2005 to provide rental assistance to Illinois households by subsidizing rental housing units. • It is a Unit-Based program targeting households who are at or below 30% of the Area Median Income in their areas. • Half of the resources will be available for severely low-income households who are at or below 15% of their Area Median Income. Illinois Housing Development Authority

  4. Rental Housing Support Program - IL • After being signed into legislation in July 2005 there were a series of community meetings to have input into the rules of the program. • Many advocates and agencies gave verbal and written comments about the program rules. • IHDA responded to the comments and adjusted the rules of the program in many cases. Illinois Housing Development Authority

  5. Rental Housing Support Program - IL • Following the rule setting, IHDA staff created the Program Guide and finalized many of the program’s documents and policies. • We are now in a 9 month RFP process that requires training sessions around the state to discuss and educate groups about the program. Illinois Housing Development Authority

  6. Rental Housing Support Program - IL • Funding comes from $10 real estate document recording fees collected at the county level, $1 of which stays with the county. • Projected funding for the program is approximately $26 million a year. • An estimated 4,000 units will be made affordable with the annual appropriation. Illinois Housing Development Authority

  7. Rental Housing Support Program - IL • Funding was allocated using Census data and based on the number of rent burdened low-income renters in the area as a percent of the rent burdened low-income renters in the state. Illinois Housing Development Authority

  8. Jo Daviess Rockford Boone McHenry Lake Stephenson RHS Overview Carroll Ogle Kane DeKalb DuPage Cook Whiteside Lee Kendall Will Rock Island/Moline Bureau LaSalle Henry Grundy Mercer Putnam Kankakee Stark Marshall • Geographic Regions • Chicago – White Star • Metro Chicago-Light Coloring • Small Metro – Dark Coloring • Rural – Medium Coloring Knox Livingston Warren Woodford Peoria Iroquois Henderson Ford Fulton Bloomington/Normal McDonough Pekin Hancock Rantoul Mason Vermilion DeWitt Schuyler Logan Champaign- Urbana Adams Cass Menard Brown Piatt Decatur Douglas Springfield Morgan Moultrie Edgar Pike Scott Christian Coles Shelby Calhoun Greene Clark Macoupin Cumberland Montgomery Jersey Effingham Jasper Fayette Crawford Bond Madison Clay Lawrence Richland Marion Clinton Edwards Wabash St. Clair Wayne Washington Jefferson Monroe Hamilton White Perry Randolph Franklin Jackson Gallatin Saline Williamson Hardin Union Johnson Pope Illinois Housing Development Authority Alexander Pulaski Massac

  9. Rental Housing Support Program - IL • To help coordinate the program, IHDA will contract with agencies around the state to manage the program in their area. Each awarded agency will have three year contracts. • These awarded agencies are called Local Administering Agencies (LAAs). LAAs can be local governments, non-profits, or housing authorities. • There will be three RFP rounds, each awarding the funding for the areas outside of Chicago. Illinois Housing Development Authority

  10. Rental Housing Support Program - IL • LAAs will contract with landlords to provide program units, do outreach for potential tenants, and will monitor the funding and compliance of the rules for the program. • Landlords will have responsibilities such as assisting with the processing of potential tenant applications, and reporting on the assistance needed. • Tenants living in program units will pay approximately 30% of their income in rent, based on a contribution schedule. There are no time limits for tenants in the program. Illinois Housing Development Authority

  11. Rental Housing Support Program - IL • The program was created through the efforts of many advocacy groups in Illinois, ranging in their focus. • Originally the program was created for families who were at the severely low and extremely low income levels. • During the process of creating the rules for the program, IHDA made some changes to broaden the program’s potential beneficiaries. Illinois Housing Development Authority

  12. Rental Housing Support Program - IL • The RHS Program was designed to benefit income eligible households with an equal opportunity to participate. Illinois Housing Development Authority

  13. Rental Housing Support Program - IL • The Program encourages outreach to special needs households, but cannot require a special need to be eligible unless another funding source establishes the requirement for the unit. • So there are no set asides built into the program. It is a First Come, First Serve structure. Illinois Housing Development Authority

  14. Rental Housing Support Program - IL • Definition of Special Needs • Homeless or imminently at risk of being homeless • Living in institutional settings because of lack of suitable housing or imminently at risk of living in an institution • Household member with a disability • Physical disability • Developmental disability • Mental Illness • HIV/AIDS • Other Illinois Housing Development Authority

  15. Rental Housing Support Program - IL • This idea of First Come, First Serve, even though it’s good to not restrict eligibility, has been one hurdle towards implementation. • Another hurdle has been the perceived complexity in managing the program. Illinois Housing Development Authority

  16. Rental Housing Support Program - IL • LAA roles: • Perform outreach for potential tenants • Contract with local landlords to provide Program units, including negotiating rents • Work with landlords to create and follow a Tenant Selection Plan, which includes the management of potential tenant applications and waiting lists • Assist and approve tenant income certifications and recertifications. Illinois Housing Development Authority

  17. Rental Housing Support Program - IL • LAA roles: • Perform physical inspections of units and properties, obtain lead based paint certifications from landlords. • Develop a service plan to connect tenants to services. • Provide dispute resolution between landlords and tenants • Oversee funding and compliance; including forwarding funding to landlords quarterly • Maintain the Program’s books and records, and working with IHDA staff during audits of those records • Report Program activity to IHDA as it occurs • On a quarterly basis, reconcile assistance sent to actual usage. Illinois Housing Development Authority

  18. Rental Housing Support Program - IL • Since the program is not yet up and running, we are trying to adapt the program to make it less complex for LAAs. • Less complexity also means less admin expenses. Illinois Housing Development Authority

  19. Rental Housing Support Program - IL • There are no service dollars associated with the program. LAAs need to provide their Plan for Services, but the requirements are not strenuous. • We are finding that many service providers are very interested in the program. • This is an area to consider in designing a program, the link between rental assistance and support services. Illinois Housing Development Authority

  20. Rental Housing Support Program - IL • Other than serving income eligible households and geographic dispersion, there are no expected outcomes. • Data from the program will be collected to see who is being served, and will be reported out to interested parties. Illinois Housing Development Authority

  21. Rental Housing Support Program - IL • If you would like to receive e-mail updates about the program, please send an e-mail to rhsp@ihda.org. • Messages will include any program changes, changes to forms, and other information such as which agencies have been awarded with grants. Illinois Housing Development Authority

  22. Rental Housing Support Program - IL Thank you for your time today. Illinois Housing Development Authority