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Shelter Plus Care:Focus on the Basics

Technical Assistance Workshop for the SPC/SHP Project Sponsors of

Harris County August 24, 2010

Presented by:

Steven Dimayuga, Public Services Manager Pamela Wyatt, Senior Project Monitor Debra Hayes, Project Monitor Martha Stafford, Rent Specialist Shalla Bass, Project Assistant

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Terminology 24 CFR 582 – SPC Program 24 CFR 583 – SHP Program Grantee - Harris County Participant = Tenant = Client Project Sponsors/Sponsor Agencies

AIDS Foundation Houston (AFH) HOPWA Housing Corporation (HOPWA) Mental Health Mental Retardation Authority of Harris County (MHMRA) Service of the Emergency Aid Resource Center for the Homeless

(SEARCH) Veterans Affairs (VA) Volunteers of America (VOA) Houston Area Community Services (HACS) Wheeler Ave. 5C’s

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Eligible Participants 24 CFR 582.1

A person must be both homeless and disabled

In the case of a homeless household, at least one adult member must meet the program’s definition of disabled

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Examples of Inadequate Homelessness Documentation Letter from referral source states: “Client has

completed treatment and is ready for permanent housing.”

Letter from shelter states: “This letter is not to verify homelessness.”

Too much time between the date that the client was documented as being homeless and the lease start date. Stayed in shelter on 6/15/10 Lease start date 07/1/10

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What’s wrong with this scenario?

The Homeless Status Checklist indicates Mr. Anderson was living on the streets. A mobile outreach team provided documentation that Mr. Anderson was living under the bridge at I-45/Pierce. The physician’s note states that Mr. Anderson is looking forward to getting permanent housing so he can stop staying at his parents’ house.

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Fair Market Rents

The gross rent (amount of contract rent on the lease plus the amount of utility allowance) cannot exceed the Fair Market Rent for the unit.

FY2009 FMR’s effective November 1, 2009 for Harris County are: SRO $496 1BR $661 2BR $735 3BR $1189 4BR $1495

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Rent Reasonableness 24 CFR 582.305The amount of rent charged must be certified as

reasonable in relation to rents being charged for comparable

unassisted units with similar features and amenities and not more than rents currently being charged by

the same owner for comparable unassisted units

Submit a Rent Reasonableness Request form for CSD approval before a new participant moves into the unit.

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Rent Reasonableness(continued)

Once the unit contract rent amount has been certified as reasonable, the Rent Reasonableness Request form is effective for the participant’s stay in the unit. If the participant moves or the rent amount increases, a new Rent Reasonableness Request form is required.

If an “all bills paid unit” will change to requiring the tenant to pay the utilities, a new Rent Reasonableness Request form must be submitted before the change.

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Utility Allowance Worksheet When utilities are not included in the rent paid to

the landlord, the SPC participant is given a utility allowance to be deducted from their resident rent portion.

Complete the Utility Allowance Form issued by either the Harris County Housing Authority (or the City of Houston Housing Authority if the unit is in the City of Houston.) Remember there are different forms/amounts based on single

family, mobile home, up to 4 units, and 5 or more unit complexes.

The worksheet must be submitted along with the Rent Reasonableness Request form.

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What’s wrong with this scenario?

On 9/12/09, a Rent Reasonableness Request for Mr. Smith was submitted indicating that the contract rent would be $450.00. CSD certified this amount as reasonable on 9/13/09. The lease submitted with the October 2009 reports had $460.00 as the contract rent amount for the time period 10/1/09 through 9/30/10.

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Housing Quality Standards 24 CFR 582.305

HQS sets acceptable conditions for interior living space, building exterior, heating and plumbing systems and general health and safety

Before any rental assistance may be provided the grantee, or other qualified entity, must physically inspect and pass each SPC unit

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Housing Quality Standards 24 CFR 582.305(a) Grantee must conduct annual physical

inspections of all units – requests must be submitted at least 90 days prior to expiration of previous passed inspection

Problems must be corrected within 30 days from the date of initial inspection

Grantee has no funds to cover costs for the duration of non-compliance

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What’s wrong with this scenario?

The last HQS inspection passed on 6/16/09 for Ms. Smith. In preparing the reports for July 2010 rents, Sponsor Agency staff noticed that the annual inspection is past due. Ms. Smith continues to live in the same unit, so a new HQS request is submitted and the unit passed on 6/20/10.

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Lead-Based Paint Requirements

Regulations at 24 CFR Part 35 Applicability Required activities Training requirements

Place a copy of the Disclosure Form signed by the participant in the file.

For more information (regulations, disclosure forms, training opportunities, guides): HUD Office of Lead Hazard Control homepage:

www.hud.gov/offices/lead EPA Clearinghouse: (800) 424-LEAD

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Occupancy Agreements

Requires the names of all persons living in the unit, their relationship to the participant, date of birth and gender. Remember, the information on the Occupancy

Agreement must match the information on the Lease, Rent Calculation Worksheet, Persons Served Worksheet and Household Characteristics Reports

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What’s wrong with this scenario?

Occupancy Agreement lists 2 persons living with the participant: a 17 year old spouse and a 1 year old son

Rent Calculation Worksheet shows an allowance for 2 dependents

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What’s wrong with this scenario?

An occupancy agreement dated 5/1/10 for Ms. Pristiq and two (2) dependents was submitted. As of today, 08/24/10, the participant has married and has one (1) additional dependent. The annual certification is not due until 5/1/11, however, the original occupancy agreement is still on file.

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Termination of Assistance

Rental assistance may be terminated if a participant violates conditions of occupancy

Regulations recommend that participants be terminated only for the most serious rule violations

If termination is necessary, the Project Sponsor must follow a formal process that recognizes the participant’s rights to the due process of law

May resume assistance to persons whose assistance was previously terminated

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Fair Housing and Equal Opportunity Federally funded projects cannot discriminate in the

renting, selling, and advertising of dwelling units on the basis of race, color, religion, sex, familial status, or national origin, or on the basis of the renter or buyer being disabled.

Even though the SPC regulations permit housing providers to establish a target population, HUD’s position is that no homeless person with a disability can be denied admission to a SPC funded project just because he/she does not have that targeted disability.

Refer to Corporation for Supportive Housing, “Between the Lines”, Chapter Four: Serving Designated Populations, http://www.csh.org/html/btlnat1-6.pdf

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Resident Rent Calculations24 CFR 582.310

Each resident of SPC must pay the highest of:

30 percent of monthly adjusted income 10 percent of monthly gross income

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Annual Certification

Annual Certification is the day that a new lease, a new Resident Rent Calculation Worksheet with supporting income source documentation, and a new Occupancy Agreement are completed.

“New lease” applies to a participant moving to a new unit, renewing a lease, or when the lease changes due to an increase in rent or change in the utilities paid by the landlord/tenant.

In order for a participant to move, Sponsor Agency has to approve the move, and the move must be justified (unit burned in fire, HQS failed multiple times) – no hopping around.

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CSD Programmatic Reports

Monthly Reports:Project Status ReportSPC Household Characteristics Summary SPC Household Characteristics ReportPersons Served Worksheet Security Deposit Request (if applicable)

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Monitoring Areas Participant Eligibility

Housing

Project Progress

Match Documentation

Overall Management

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Purpose of Annual Monitoring

To determine compliance with HUD regulations, circulars and statutes

To determine whether activities are implemented as described in the application and APR

To verify that all required documentation is in the file

To determine if all applicable income was used to calculate resident rent

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Recordkeeping 24 CFR 583.300(g)

When you receive the notice of an upcoming monitoring visit, review the attached Monitoring Checklist for areas which will be reviewed.

If your agency keeps electronic records, you need to print out all forms for monitoring purposes.

Even if a participant has been in the SPC program for years, CSD will check for eligibility (homeless and disabled documentation, date of entry into program/first lease, etc.) during annual monitoring visits.

Closed participant files are subject to review. Be careful when “thinning out” large files that all

required documentation is available for review.

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Participant File (should include)

Application into the program which includes how your agency determined client met eligibility

Documentation of homelessness and disability Initial assessment, service plan, ongoing

assessments, progress notes Rent calculations, income source documentation,

occupancy agreements, and leases Discharge summaries with exit dates And other items deemed necessary for SPC

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Other Files Approved application/amendments/,award

documents, and renewal agreements

Program procedures

Correspondence, regulations and program guidance

Financial Records

Property information, if applicable

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Policies and Procedures Manual for your SPC program Not for the agency overall Must include CSD reporting forms for the SPC program Outreach plan/how applicants are received Application process Determining eligibility for SPC Procedure for meeting SPC Participation of Homeless

requirement A copy will be obtained at the monitoring visit (then

reviewed at each visit thereafter)

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Capacity

When a SPC project has not been at capacity for three (3) consecutive months, Harris County may issue a Finding. Sponsor Agencies will have 60 days to correct the deficiency. Future renewal requests may be jeopardized due to projects not operating at 100% capacity.

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Participation of Homeless Individual(s) - 24 CFR 582.300(a)(1),(2)

Must provide for participation of at least one homeless or formerly homeless individual on the board of directors or other equivalent policy-making entity, to the extent that the entity makes policies and decisions regarding the SPC project

If unable to do so, must otherwise consult with homeless or formerly homeless persons when considering and making policies and decisions regarding the SPC project

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Documenting Participation of Homeless

Sponsor Agency should provide documentation, such as Board approval, of formal participation, listing the duties and responsibilities of how the person assists the Board with homelessness issues.

Sponsor Agency should obtain a written statement from the respective person detailing their current or formerly homeless situation.

A copy will be obtained at the annual monitoring visit.

Annual Performance Reports Data collection requirements

The new APR relies on data collected according to the revised HMIS Data Standards published in March 2010. These revised Data Standards are available at:

http://www.hudhre.info/documents/FinalHMISDataStandards_March2010.pdf

Effective June 1, 2010, all HUD-required client-level data collected in an HMIS must comply with the new HMIS Data Standards.

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Most common issues:

Monthly Reporting Incorrect income calculationRent amount on lease document does not

match Rent Reasonableness request Inaccuracies in the Persons Served

worksheetHMIS certificationHQS

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Most common issues:

Monitoring Insufficient documentation of homelessness Initial and On-going AssessmentsDocumentation of Disability

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CSD Financial Reports and Monitoring

Presented by CSD Finance Staff

Reporting Forms

Samples of reporting forms are contained in the CD and can be emailed to you if requested. They will also be posted in the CSD website.

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Questions/Answers