Richmond Village Resident Meeting
March 26, 2024
2:30 p.m.
Virtual and Community Viewing
AGENDA
1) Welcome/Introductions – Nannette Beacham
2) Housekeeping – John Stewart Company
3) Richmond Village Overview – Mike Andrews
4) Slide Presentation:
What is subsidy change? – Mike Andrews
5) RAD Facts – Mike Andrews
6) Questions?
Welcome to the
Public Housing
Subsidy Update
March 26, 2024
Richmond Housing Authority
Richmond Village
Richmond Village will be undergoing a change in
subsidy funding for some of its apartments.
Right now, approximately 30% of the community
uses a program called Project Based Vouchers for
subsidy funding.
A new program called the Rental Assistance
Demonstration program (RAD) would allow the
property to convert its public housing units to the
Project Based Voucher Program
Richmond Housing Authority
Why is it Happening?
• Why only Public Housing?
• Public Housing funding has been declining
steadily in recent years due to low congressional
support.
• At some point Public Housing funding may not
be able to keep up with the costs of necessary
maintenance and improvements.
Why is it Happening?
HUD is encouraging local housing authorities to utilize RAD to transition Public Housing properties to the more stable funding program in order to make sure there are
sufficient funds to make ongoing improvements.
The Housing Authority, is working with the owners of
Richmond Village and the John Stewart Company to
convert to RAD
Why is it Happening?
• The RAD Program utilizes voucher funding.
• Voucher funding has stronger congressional
support.
• At a later date, if needed this voucher funding can
support new mortgage financing for repairs and
improvements.
Q & A
Questions?
New voucher program (RAD), at a
glance
Goals of the Program:
• Secure long-term affordability and stability for existing Public Housing residents.
• Address building needs AND anticipated maintenance and repairs over a 20- year period.
• Ensure current residents benefit from the conversion & retain and strengthen resident rights.
RAD at a Glance
1 2 3
KEY FEATURES
Transfer from
the HUD
Public Housing
program to the
voucher
funding program
Your daily
experience
with
management
shouldn’t
change
Funding
provided
for major
improvements
needed over
the next
several years
Ongoing
affordability -
rents set at
30% of
household
income
4 RAD at a Glance
Resident Engagement Phase 1 Resident Engagement Phase 2
CONVERSION TIMELINE
RESIDENT
CONSULTATION &
HUD APPLICATION
Richmond Housing
Authority will meet with
residents before applying
to HUD to convert the
property
HUD APPROVAL
HUD approved the property
for RAD application at the
beginning of 2022..
FINAL SCOPE OF
WORK/FINANCING
PLAN
Richmond Housing
Authority & Owners share
what repairs and
improvements, if any, to be
made to the property.
CONVERSION
Residents will receive
new leases.
We Are Here
WHAT YOU CAN EXPECT
BENEFITS AND CHANGES FOR
RESIDENTS -
What Y ou Can Expect
Living Conditions
BENEFITS:
There will be an inspection every 2
years to make sure it continues to
meet federal housing quality
standards. The owner will be required
to address any deficiencies promptly
to maintain funding.
CHANGES:
You will have to provide access to
your apartment for any inspections
as do occupants of other project-
based vouchers
What Y ou Can Expect
Rents & Leases
BENEFITS:
Your rent will be affordable
and set at 30 percent of
household income.
CHANGES:
Households now paying a flat rent
will experience a rent increase, to be
phased in over a 5-year period.
Please note that increases in rent
due to increase in income are not
phased in over the 5-year period.
The household’s rent may increase
slightly if there is a difference in
utility allowances.
What Y ou Can Expect
Rents & Leases
BENEFITS:
Your development will remain
affordable low-income
housing. Every 20 years HUD
and the owner are required to
renew arrangements/contracts.
CHANGES:
RAD and the Public Housing
program—like any other
federal program—are subject
to legislative and funding
changes in Washington.
What Y ou Can Expect
Choice Mobility
BENEFITS:
After 1 year of living in a PBV-
unit, residents will have the
option to request a Housing
Choice Voucher (HCV) to
move to a unit in the private
market, if vouchers are
available.
CHANGES:
Residents in a PBV unit will
not need to requalify for a
HCV, subject to availability. If
however, a resident is offered
HCV off the wait list, then the
family would need to
requalify, including program
income rules.
For More Information
https://www.hud.gov/sites/dfiles/Housing/documents/RADResidentFactShe et_1_RADOverview.pdf
www.hud.gov/sites/dfiles/Housing/documents/RADResidentFactSheet_2_Re sidentsRightsOverview.pdf
Q & A
Questions?
THANK YOU
For Your Time
Today!
What is RAD?
RAD stands for Rental Assistance Demonstration. RAD is a tool developed by the U.S. Department of Housing and Urban Development (HUD) to address living conditions in public housing properties. RAD allows public housing authorities to “convert” public housing subsidy into a Section 8 subsidy that is tied to the property. These fact sheets are intended for residents of public housing properties that may be participating in RAD.
Why was RAD Created?
Public housing properties across the country need billions of dollars to pay for the repair of broken systems or replacement of outdated appliances. Public housing authorities (PHAs) do not have enough money to keep their public housing properties in good condition and make the necessary repairs. As a result, many public housing residents nationwide have seen conditions at their property worsen.
RAD was created to allow PHAs to access additional sources of funding to maintain, repair, and replace public housing properties. After a RAD conversion, the federal government continues to provide rental assistance through a Section 8 contract and ensures the property remains permanently affordable; residents continue to benefit from the same rights and protections that they had under the public housing program.
What is a RAD Conversion?
A RAD Conversion is the process of changing how the rent subsidy is delivered to a property from the Public Housing program to a Project-Based Section 8 program.
Rental Assistance Demonstration (RAD)
FACT SHEET #1
RAD Overview
Fact Sheet #1: RAD Overview
What are PHAs Required to do in a RAD Conversion?
The requirements that PHAs must follow in order for a public housing property to participate in RAD is described in the RAD Implementation Notice published by HUD (PIH 2019-23/H 2019-09). They include:
☑ The PHA is required to consult with residents throughout the conversion process and consult with the community and Resident Advisory Board (RAB) through the PHA Plan process.
☑ No resident may be displaced involuntarily. Every resident has a right to remain in the property or to return to the property if temporary relocation is necessary in order to complete repairs or construction.
☑ The PHA is required to show that it is repairing or replacing all broken or outdated items at the property. While an inspector will identify the items that need to be replaced or repaired, residents are encouraged to communicate known issues directly to the PHA. ☑ The public housing units must be replaced one-for-one, with limited exceptions.
This means that generally there must be the same amount of affordable housing after the RAD conversion. HUD allows units to be eliminated that have been vacant for 2 or more years, permits up to 5% reduction in total affordable housing units, and allows housing units to convert to community space for services. However, such reductions are rare. ☑ The PHA or a non-profit must continue to own or control the property following RAD conversion. In most cases the PHA continues to own the property directly. In some cases, the PHA will partner with other affordable housing providers. ☑ All properties enter a long-term (15 to 20 years) Section 8 contract that must be renewed each time that it expires. This ensures that the property will remain affordable permanently.
☑ Residents keep the same basic rights from public housing and gain a new right to request a “choice-mobility” voucher. After living in a RAD property for either 1 or 2 years, a family may request a voucher that they can use to rent a qualifying home of their choosing. With the voucher they will continue to pay 30% of their adjusted income towards rent.
These and many other topics are covered in the remaining fact sheets.
Will I Keep My Rental Assistance?
In a word…Y es. No resident can be displaced involuntarily or pay an unaffordable rent.
Residents of public housing developments participating in RAD are guaranteed the right to ongoing housing assistance. All residents will either remain in their property, or if temporary relocation is needed to make repairs, be offered the opportunity to return to the property after repairs have been completed. Residents may also choose to accept an alternative housing option, if offered. Residents under lease in the public housing program cannot be rescreened when the property comes under a Section 8 contract.
Will RAD Affect My Rent?
Most residents will not have rent increases because of RAD. Like in most public housing, Section 8 residents pay 30% of their income towards rent and utilities. As in public housing, your rent will increase if your income increases and decrease if your income decreases.
However, if you are currently paying a “flat rent” in public housing, your rent will transition to a new formula based on the lower of the Total Tenant Payment minus any utility allowance or other rents in the area. If this transition leads to a rent increase, your new rent may be phased in over 3 to 5 years. Under RAD, you will never pay more than 30% of your household’s adjusted income towards rent. (For more information, see Fact Sheet #6: Rent)
Will I Have to Move?
Most repairs made as part of RAD allow you to stay in your home during construction. However, some apartments and buildings need more extensive repairs that require residents to move out during construction.
In these cases, the PHA will pay for temporary relocation and you will be protected by RAD relocation rules.
Y ou will have the right to return to the property once construction is completed.
If construction at your property takes longer, the PHA may offer you other housing options, such as another public housing unit or a tenant-based voucher that you can use to rent a qualifying home you choose and continue paying 30% of your income towards rent. (For more information, see Fact Sheet #9: RAD and Relocation)
Fact Sheet #1: RAD Overview
Will RAD Affect My Rights Under My Lease?
RAD maintains the resident processes and rights under public housing, including:
• Requires lease renewal, except with good cause (For more information, see Fact Sheet #7: Y our Lease) • A right to organize and have access to tenant participation funds to support resident organizing and participation (For more information, see Fact Sheet #8: Resident Organizing and Funding) • Procedures for hearing grievances and minimum timelines for being notifed if your assistance is being terminated. (For more information, see Fact Sheet #10: Resident Grievance and Termination Rights) • Continued participation in FSS, ROSS, or Jobs Plus, while funding remains available. (For more information, see Fact Sheet #11: Family Self-Sufficiency & Resident Opportunities And Self-Sufficiency) RAD also gives residents a significant new right to request a tenant-based, “choice-mobility,” voucher. (For more information, see Fact Sheet #12: Choice Mobility) Who Will Own and Manage the Property?
Most but not all public housing is owned by a public housing authority (PHA) and most, but not all, RAD converted properties are also owned by a PHA. Sometimes, the owner of the property changes through RAD. However, in all cases RAD requires that a public entity, generally the PHA, or a non-profit retain ownership or control of the property. In some cases, particularly when the PHA is using the Low-Income Housing Tax Credit (LIHTC) program to fund repairs, the PHA may partner with other housing organizations to own the property together. As with some public housing properties today, the PHA may partner with another company, including a for-profit, to manage the property day-to-day.
How Can I Be Involved?
HUD encourages residents and their PHAs to work together during the RAD conversion process. PHAs are required to hold meetings with residents and send notices at various stages in the conversion process to educate residents about RAD and provide updates on plans. Once the RAD application has been accepted, HUD encourages PHAs to hold quarterly meetings with residents. During these meetings, you can learn about the conversion plans, ask questions, express concerns, and provide comments . The PHA must submit your comments and its responses to HUD. (For more information, see Fact Sheet #5: Resident Engagement and Consultation)
Fact Sheet #1: RAD Overview
How Will the PHA Ensure Everyone Can Participate
in the RAD Process
PHAs must provide adequate notice of meetings and work to reduce barriers to resident participation.
For example, by providing childcare or refreshments. Meetings should be convenient (place and time) for residents and accessible to residents with disabilities.
Meeting notifications and materials must be available in accessible formats. PHAs must use effective communication for people with disabilities including providing materials in appropriate alternative formats (Braille, large type, accessible email,etc.), and providing sign language interpreters and assistive listening devices at meetings as needed. Electronic (virtual) or in-home meetings should be offered when needed.
The PHA must provide meaningful access to its programs and activities for people who have a limited ability to read, speak, or understand English. Language assistance may include providing translated notices and oral interpretation of meetings.
Who Can I Talk to if I Have Questions?
Y ou should talk to a PHA representative if you have specific questions about the RAD conversion process and the specific plans for your property. Y ou may also direct any questions to HUD at [email protected] and Office of Recapitalization staff will respond confirming receipt and indicating next steps.
Fact Sheet #1: RAD Overview
Chicago, IL: A resident enjoys his newly renovated kitchen in the Fannie Emanuel Apartments.
The 181-unit senior apartment building was the first RAD conversion by the Chicago Housing Authority.
RAD was designed with a strong set of resident rights and protections to ensure that current residents benefit from the RAD conversion.
Will I Be Able to Participate in the RAD Process?
Y es. The PHA must engage with residents through both written notifications and at least five meetings during the RAD process. PHAs must use effective communication for people with disabilities including, as needed, providing materials in alternative formats and providing alternative meeting options, sign language interpreters and assistive listening devices at meetings. The PHA must also provide meaningful access to its programs and activities for people who have a limited ability to read, speak, or understand English, using, as needed, translation of written information and oral interpretation of meetings. (For more information, see Fact Sheet #5: Resident Engagement and Consultation.) Will I Still Have Rental Assistance After a RAD Conversion? Y es. Each resident in good standing at the public housing property has a right to live in the property after a RAD conversion. In some cases, a resident may need to be relocated temporarily to facilitate rehabilitation but will have a right to return to an assisted unit at the property once rehabilitation or construction is complete.
No resident can be displaced permanently against their wishes.
Residents under lease in the public housing program cannot be re-screened for income or criminal background when the property comes under a Section 8 contract. Each resident will be offered a new lease that cannot be terminated and must be renewed, unless there is good cause. (For more information, see Fact Sheet #9: RAD and Relocation)
Will I Need to Move Out of My Home?
It depends on the construction that will occur at your property. If relocation is necessary, the housing authority must provide you with advanced written notice. Relocation assistance will be provided and relocation costs will be covered. Residents will continue to pay the same amount of rent during the temporary relocation.
Y ou will also have the right to return to an assisted unit at the property when repairs are completed. (For more information, see Fact Sheet #9: RAD and Relocation) Rental Assistance Demonstration (RAD)
FACT SHEET #2
Overview of Resident Rights after a RAD Conversion
Fact Sheet #2: Overview of Resident Rights after a RAD Conversion Will My Rent Change?
Most residents’ rent will remain the same. As in most public housing, rents at RAD (Section 8) properties are set at 30% of your adjusted household income.
However, If you currently pay a flat rent in public housing, your rent will transition to a new formula based on the lower of the T otal T enant Payment minus any utility allowance or other rents in the area. If this transition leads to a rent increase, your new rent may be phased in over 3 to 5 years. As in public housing, you will have to recertify your income annually and report any changes. And, if your income decreases, you have a right to request an interim recertification and an adjustment in your rent. Under RAD, you will never pay more than 30% of your household’s adjusted income towards rent. (For more information, see Fact Sheet #6: Rent) Will I Have a New Lease?
After HUD has fully approved a property for conversion, you will need to sign a new Section 8 lease and other paperwork regarding your rights and responsibilities under the Section 8 program. Make sure that everyone in your household is on your public housing lease to ensure that they have the right to remain or return to the property after conversion. (For more information, see Fact Sheet #7: Y our Lease) Will Residents Continue to Be Able to Form Resident
Organizations or Associations After a RAD Conversion?
As with public housing, after a property converts through RAD, residents have the right to form and maintain a resident organization. The resident organization will be eligible to receive at least $15 per occupied apartment each year to support resident organizing and participation activities. (For more information, see Fact Sheet #8: Resident Organizing and Funding)
May I Request a Reasonable Accommodation
After Conversion?
If you or a member of your household has a disability or medical condition, you may request a reasonable accommodation, such as a larger apartment or an alternative form of communication for the blind, visually impaired, deaf or hearing impaired. To request a reasonable accommodation, you should contact the property manager.
Can I Be Evicted or Lose My Housing Assistance
Because of RAD?
After a RAD conversion your lease must be renewed each year. The only reason a lease can be ended is for “good cause.” This means that the owner must have a good reason for eviction, usually that a tenant has seriously and repeatedly broken the rules in their lease. Under RAD, you maintain the rights you had
related to eviction from public housing. Any eviction must include a written notice of termination and an opportunity for a hearing (unless the eviction is related to criminal activity). Y our lease will describe these rights. Y ou may only be evicted through court action. All state and local regulations regarding eviction must also be followed. (For more information, see Fact Sheet #7: Y our Lease and Fact Sheet #10: Resident Grievance and Termination Rights)
Am I Able to Receive a Tenant-Based Voucher
After RAD Conversion?
Any household that has lived at the RAD property for least one year (if the property converted to Project-based Vouchers, or PBV) or two years (if the property converted to Project-based Rental Assistance, or PBRA) has the option to request a tenant-based (or Choice Mobility) voucher. A Choice Mobility voucher can be used to rent a home in the private market. If a voucher is not immediately available, the household will be placed at the top of the waitlist. (For more information, see Fact Sheet #12: Choice Mobility) Fact Sheet #2: Overview of Resident Rights after a RAD Conversion North Bern, Victor Taylor: Mr. Taylor stands in front of the newly renovated unit where he was born. Mr Taylor, a veteran and former City Alderman who continues to advocate for the community, was excited to see the upgrades and new community center.