June 16, 2026
Economic Development
Richmond Housing Authority (RHA)
& City of Richmond
DATE: June 16, 2026
TO: Members of the City Council and Members of the Board of Commissioners of the Richmond Housing Authority
(RHA)
FROM:
Shasa Curl, City Manager
Emily Combs, Director of Finance
Mubeen Qader, Deputy Director of Finance
Nannette Beacham, Economic Development Director
Antoinette Terrell, RHA Executive Director
Rita Martinez, Finance Manager II
Subject:
Proposed Richmond Housing Authority Budget for Fiscal
Year (FY) 2026-2027
FINANCIAL IMPACT: This action approves the Richmond Housing Authority (RHA) proposed Fiscal Year (FY) 2026-2027 operating
budget, which includes estimated revenues of
$4,154,579 and proposed expenditures of $5,439,652.
Approval of the proposed $1,260,073 General Fund
subsidy and the use of $25,000 in Hacienda proceeds
will fully balance the RHA FY 2026–2027 budget to
$5,439,652 in revenues and $5,439,652 in expenditures.
PREVIOUS COUNCIL
ACTION:
None.
STATEMENT OF THE
ISSUE:
City staff is requesting that the RHA Board of
Commissioners and members of the City Council review
and approve the RHA FY 2026-2027, proposed budget.
JOINT MEETING
AGENDA REPORT
June 16, 2026
RECOMMENDED ACTION:
ADOPT a joint resolution approving the proposed
Fiscal Year (FY) 2026-2027 Richmond Housing Authority
(RHA) budget, with total estimated revenues of
$4,154,579 and total estimated expenditures of
$5,439,652; APPROVE an RHA subsidy from the City of
Richmond General Fund in the amount of $1,260,073,
and AUTHORIZE the use of available Hacienda
proceeds in the amount of $25,000 to balance the RHA
budget to $5,439,652 in estimated revenues and
$5,439,652 in expenditures - Richmond Housing
Authority/Finance Department (Antoinette Terrell 510-
620-6784/Rita Martinez 510-621-1546).
DISCUSSION:
Background
The Richmond Housing Authority (RHA) provides affordable housing for low and very low-income Richmond residents through federally funded housing programs administered by the U.S. Department of Housing and Urban Development (HUD).
RHA owns and manages one public housing property occupied by residents (Nystrom Village) with 100 units. There are an additional 683 affordable housing units associated with RHA entities (Richmond Village, Triangle Court, Friendship Manor, Hacienda Heights, and Nevin Plaza I) for a total of 783 units.
RHA also continues to operate within the framework of the Public Housing Authority Recovery and Sustainability Agreement (PHARS), entered into between HUD, the City of Richmond, and RHA. The PHARS Agreement identifies key priorities for RHA, including improving financial and operational stability, addressing outstanding compliance matters, and advancing the repositioning and redevelopment of RHA’s public housing assets.
RHA’s funding is largely dependent on federal appropriations through HUD’s Capital Fund and Operating Subsidy and is supplemented by tenant rental income as well as other available funding sources identified by RHA. As is the case with many public housing agencies nationwide, the public housing program has been chronically underfunded creating ongoing financial and operational challenges. As a result, the proposed budget also includes a requested General Fund subsidy from the City of Richmond to support ongoing operations, maintenance, and housing initiatives.
FY 2026-2027 Proposed Budget
RHA is proposing $5,439,652.00 in expenditures during FY 2026–2027 to manage the public housing program, its affiliates, and completion of the PHARS deliverables. These expenditures include personnel costs, currently budgeted at 5.0 full-time equivalents
June 16, 2026
(FTE), utilities, contracts for property maintenance and unit turnover activities at Nystrom Village, professional services for asset repositioning, costs associated with completing outstanding financial audits, and an operating subsidy pass-through for Richmond Village.
Estimated revenue of $4,154.579.00 is comprised of operating subsidies from HUD, Capital Fund resources, tenant rental income, and other available funding sources. RHA is not proposing significant increases across most operating line items. Instead, the primary budget pressures are related to a reduction in HUD operating subsidy from the repositioning of Nevin Plaza and personnel cost increases associated with the approved Memorandum of Understanding (MOU) for staff compensation.
City staff recommend that the RHA Board of Commissioners and City Council adopt a resolution approving RHA’s FY 2026–2027 operating budget in the amount of $4,154,579.00 in revenues and $5,439,652.00 in expenditures, with a proposed City of Richmond General Fund subsidy amount of $1,260,073 and the use of available fund balance generated from proceeds of the Hacienda sale in the amount of $25,000. The most significant revenue and expenditure categories are listed below:
Category Description / Included Items FY 2026–2027
Proposed Budget
Revenues
HUD
Operating
Subsidy
HUD operating subsidy for RHA public housing operations $737,137.00 Capital Fund
Subsidy
HUD Capital Fund resources for eligible public housing capital improvements, management improvements, and allowable
operating or administrative transfers.
$2,500,000.00
Tenant Rental
Income
Rental income received from residents at Nystrom Village.
Revenue may vary based on occupancy, income changes, unit availability, and ongoing rehabilitation needs.
$384,000.00
Authority
Oversight
Fees
Oversight or administrative fees received by RHA related to affiliated housing assets or agreements. $5,000.00
Other
Revenue
Payments received from resident repayment agreements and reimbursements. $2,000.00
Operating
Transfer In –
Capital Fund
Allowable transfer of Capital Fund resources to support eligible operations and administrative costs. $526,442.00
Subtotal
Revenue $4,154,579.00
City General
Fund Subsidy
Requested City of Richmond General Fund subsidy to balance the RHA budget. $1,260,073.00
Hacienda
Fund Balance
Available funds related to Hacienda Heights asset
repositioning. $25,000.00
Total
Revenues w/
General Fund
$5,439,652.00
June 16, 2026
Subsidy and
Fund Balance
Expenditures
Salaries and
Wages Salaries for RHA staffing, the current budget includes 5.0 FTEs $884,576.00 Payroll Fringe
Benefits
Employer-paid benefit costs associated with RHA staffing, including retirement, health benefits, payroll taxes, workers’ compensation, and other required employee benefit costs $416,729.00
Professional &
Administrative
Services
Services including legal, audit, consulting, assessments, financial compliance work, procurement assistance, staff training, and other administrative or professional support needs. $694,440.00
Other
Operating
Other operating expenses office expense, building supplies, tools clothing and uniforms, and tenant relocation. $302,100.00 Equipment &
Contractual
Services
Contracted services and property-related needs, including, appliances, temporary staffing, HVAC, plumbing, electrical, landscaping, repairs, maintenance, and other vendor-supported operational needs.
$1,815,058.00
Grant
Expenditures
Eligible grant-funded expenditures, including Capital Fund- related costs, audit-related costs, and Richmond Village subsidy pass-through payments.
$391,637.00
Property
Insurance Insurance costs for RHA properties. $61,484.00 Utilities Telephone, internet, electricity, water, sewer, gas, garbage. $190,500.00 Cost Allocation
City cost allocation charges based on the approved cost allocation plan and applicable federal cost principles per the Title 2 Code of Federal Regulations 200 (2 CFR Part 200) compliant Cost Allocation Plan (CAP).
$156,686.00
Operating
Transfer Out –
Capital Fund
Allowable transfer of Capital Fund resources for operations and administration, including transfers to Asset Management Projects.
$526,442.00
Total
Expenditures
$5,439,652.00
Accomplishments and Operational Progress
During FY 2025-2026, RHA, in collaboration with the City of Richmond staff and development partners, have continued making progress towards stabilizing operations, maintaining existing housing assets, and advancing long-term development activities.
At Nystrom Village, RHA has continued to focus on maintenance and habitability improvements at this 100-unit public housing community. City staff completed annual inspections for all occupied units and completed 11-unit rehabilitations to address habitability concerns. Due to the age and condition of the property, unit turnover timelines have increased as more extensive repairs are required to prepare units.
Significant progress has also been made towards the long-term redevelopment of Nystrom Village. RHA has negotiated and executed an Exclusive Right to Negotiate Agreement and a Land Disposition and Development Agreement (LDDA) with Eden Housing and Community Housing Development Corporation (CHDC) establishing the
June 16, 2026
framework for continued redevelopment planning. Based on the current project schedule, we are anticipating that the redevelopment project will be ready to break ground in calendar year 2030.
Nevin Plaza Phase I has been successfully completed, marking a major milestone in RHA’s asset repositioning efforts. Nevin Plaza II has also submitted its SB 35 application and continues to move through the predevelopment process to construct new affordable housing on adjacent RHA-owned property. Based on the current project schedule, this project is also anticipated to break ground in calendar year 2030.
RHA continues to evaluate the Hacienda Excess Lot, a vacant property owned by RHA, as part of its broader asset management strategy. City staff are reviewing potential long-term uses and disposition options while considering current market conditions and the broader economic climate.
Richmond Village’s repositioning efforts continue under the Rental Assistance Demonstration (RAD)/Section 18 conversion process. Environmental review activities, physical needs assessment work, and coordination with project stakeholders remain underway. Richmond Village is currently anticipated to be fully repositioned by the end of FY 2027.
Substantial progress has also been made in resolving longstanding financial compliance matters:
Housing Choice Voucher program closeout has been completed. FY 2021 and FY 2021 audits have been completed
FY 2022 through FY 2024 audits are currently underway
City staff’s goal is to begin the FY 2025 and FY 2026 audit in October 2026 in coordination with the City of Richmond’s FY 2026 audit cycle, bringing RHA back into a current audit schedule.
Conclusion
The proposed FY 2026–2027 budget supports RHA’s continued work to meet its obligations under the Public Housing Authority Recovery and Sustainability (PHARS) agreement, including improving financial stability, maintaining safe and habitable housing, addressing outstanding compliance matters, and advancing the repositioning and redevelopment of RHA’s public housing assets.
A considerable amount of City of Richmond staff time and resources have been used to help RHA meet these obligations. RHA would like to thank the City staff outside of RHA whose continued assistance and support have helped stabilize operations.
RHA staff and City staff will continue to monitor the budget to maintain financial integrity, support the health and safety of RHA residents, and advance the long-term housing goals outlined in the PHARS Agreement. However, the ongoing cost of
June 16, 2026
maintaining aging public housing, along with the chronic underfunding of the public housing program, continues to create financial challenges. Approval of the FY 2026– 2027 budget, including the requested General Fund subsidy, will allow RHA to continue serving Richmond residents and moving forward with its long-term housing goals.
DOCUMENTS ATTACHED:
Attachment 1 - RHA FY26-27 Budget Resolution
Attachment 2 - RHA FY26-27 Position Control
Attachment 3 - RHA FY26-27 Budget Summary
Attachment 4 - RHA FY26-27 Budget Detail Report