HUD Office of Fair Housing and Equal Opportunity

10/17/17

James Kordich, U.S. Dept. of [email protected]

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HUD Office of Fair Housing and Equal Opportunity

U.S. Dept. of HUD <[email protected]>

What is Fair Housing?

Fair housing is the

right of all people to

be free from

discrimination in the

rental, sale or

financing of housing.

2U.S. Dept. of HUD

<[email protected]>

Fair Housing Act(42 U.S.C. §3601…)

Title VIII of the Civil Rights Act of 1968

amended 1988 (the Fair Housing Act)

Prohibits discrimination

In housing-related transactions

Based on “protected class”U.S. Dept. of HUD

<[email protected]> 3

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Implementing Regulations…(C.F.R.)

Code of Federal Regulations

24 CFR §100.1 -103.500

HUD Regulations implementing the Fair Housing Act.

4U.S. Dept. of HUD

<[email protected]>

Office of Fair Housing and Equal Opportunity (FHEO)

Our MissionU.S. Dept. of HUD

<[email protected]> 5

FHEO’s Mission

Our Enforcement Of The Law Covers Virtually

Every Housing Transaction In The

United States

6U.S. Dept. of HUD <[email protected]>

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7U.S. Dept. of HUD

<[email protected]>

Who Enforces the Act?

Washington State Human

Rights Commission

Toll Free: 1-800-233-3247

TTY: 1-800-300-7525

http://www.hum.wa.gov/index.html

8U.S. Dept. of HUD

<[email protected]>

Who Enforces the Act?(Who are you likely to meet?)

HUD

• FHEO

State Agencies

• WSHRC

9U.S. Dept. of HUD

<[email protected]>

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Who Enforces the Act?

FHEO:

Not Advocates…

•For either party.

10U.S. Dept. of HUD

<[email protected]>

Fair Housing Complaint Process

Complaint filedwith HUD, a state housing agency, or via a local fair housing organization.

Investigator takes statements and supporting papers from both sides

Throughout this process the investigator tries to get both parties to reach a settlement.

Investigation to determine if jurisdiction continued


Fair Housing Complaint Process ctd.

Investigator tries to get both parties to enter into a conciliation agreement.

No Cause FindingNo reasonable

cause to believe there was discrimination. Investigation ends.Cause Finding

Reasonable cause to believe that discrimination occurred.

Either party can opt to bring the case in federal court..

If no agreement is reached, the investigator makes a finding of either cause or a no cause.

Conciliation AgreementParties agree to settle the complaint under certain terms.

HUD Administrative Law Judge hears the case.


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13U.S. Dept. of HUD

<[email protected]>

“WHO”~ CHECK YOUR STATE AND LOCAL

LAWS! ~

“WHO”~ CHECK YOUR STATE AND LOCAL

LAWS! ~

State & Local FH Laws• Marital Status

• Source of Income

• Sexual Orientation, Gender Identity

• Veterans Status

• Age (over 18)

• Occupation

• Ethnicity, Ancestry

• Domestic Partnership


“WHO”MUST COMPLY?

Owners- vicarious liability

Managers, Maintenance Persons

Public Housing Authorities

Real estate brokers and agents

Housing developers, contractors

Mortgage lenders, financial

institutions

Advertising media

Other tenants, neighbors*

Zoning and permit departments

Manufactured Housing Communities

HOAs


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“What”Housing is Covered?

Dwellings

Apartments leased or rented

Condominiums sold, leased or rented

Houses sold, leased or rented

Rooming houses

Cooperatives

Mobile home parks

Public housing units

Housing construction sites

Vacant lots

16U.S. Dept. of HUD

<[email protected]>

In the Sale or Rental of Housing, it is illegal to - (because of protected class):

• Refuse to sell, lease, or rent housing

• Set different terms, conditions, or privileges

• Provide different housing services and facilities

• Falsely deny that housing is available

• Refuse to negotiate for housing

• Make housing unavailable

“What”Conduct is Prohibited?

17U.S. Dept. of HUD

<[email protected]>


In Mortgage Lending, it is illegal to -(based on protected class)

Refuse to make a mortgage loan

Refuse to provide information regarding loans

Impose different terms or conditions on a loan

(e.g., interest rates, points, fees, etc.)

Discrimination in appraising property

Refusing to provide insurance

Refuse to purchase a loan

Set different conditions or terms

for purchasing a loan 18U.S. Dept. of HUD

<[email protected]>

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In Addition, it is illegal to:

Refuse to make reasonable accommodations /modifications

Threaten, coerce, intimidate or interfere

Sexual/Gender harassment

Advertise or make statements that

indicate a limitation or preference

19U.S. Dept. of HUD

<[email protected]>

“When”Statute of Limitations

An aggrieved person may file a complaint with HUD

Not later than one year after the last discriminatory incident

20U.S. Dept. of HUD

<[email protected]>

“How” --Best Practices for Housing Providers

Advertisements

Display the Equal Housing Opportunity logo or slogan. It conveys that you are an equal opportunity housing provider.

Don’t make “statements of preference.”

Don’t engage in “selective advertising.”

The prohibition against discriminatory advertising applies to single-family and owner-occupied housing that is otherwise exempt from the Fair Housing Act.

21U.S. Dept. of HUD

<[email protected]>

10/17/17


“How” –Best Practices for Housing Providers

Applications ProcessRepresent availability accurately. Let all

applicants know about available housing.

Accept applications from all qualified buyers/ applicants. Negotiate, rent or sell to any qualified individual.

Avoid steering (directing buyers to specific homes based on their protected class).

Establish reasonable rates and fees. Apply them to all buyers equally.

22U.S. Dept. of HUD

<[email protected]>


Buyer Screening & Selection

Relevant Qualification standards

Application and screening policy

Consistent application of policies

Avoid Stereotyping; questionable judgment calls

Record & Document23



Race, National Origin, Ancestry Issues

Avoid questions about citizenship unless there is a business reason

Costs + Fees: Apply the same charges to all residents

Customer Service: Ensure that you treat all sellers and buyers respectfully and provide prompt services to all

24U.S. Dept. of HUD

<[email protected]>

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“How” –Acceptable Questions:

● Employment history

● Current salary

● Rental history

● Prior criminal record/history*

● What accessibility features does that individual need to make it accessible for them


Best Practices…

Tenant Treatment

•Okay to warn tenants who break rules

•Disturb other residents

•Create nuisances

•Damage the property

•Do not pay the rent

•Endanger other tenants

26U.S. Dept. of HUD

<[email protected]>

Best Practices…

Evictions

Evictions are costly.

Make sure you are knowledgeable of state and local eviction laws.

Make sure resident’s protected class is not factor in eviction decision.

27U.S. Dept. of HUD

<[email protected]>

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Best Practices…

Document

•Rental payments

•Tenant complaints

•Warnings & notices

•Eviction/termination reasons

28U.S. Dept. of HUD

<[email protected]>

Best Practices…

Sexual Harassment

Covered under the Act

29U.S. Dept. of HUD

<[email protected]>

Best Practices…

Sexual Harassment

Offensive language

Quid pro quo

Printed materials

Physical acts30


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Best Practices…

Harassment- -Generally

•Landlord’s Exposure:

•Liability under the Act

•Protect yourself

•Protect your tenants

•Protect your staff

31U.S. Dept. of HUD

<[email protected]>

Additional Aspects

*Common trouble spots

32U.S. Dept. of HUD

<[email protected]>

Retaliation

Adverse Action

Against any person

Because asserted fair housing rights

33U.S. Dept. of HUD

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10/17/17


Fair Housing & Disabilities

Quiz

Disability Laws

Definitions

Reasonable Accommodations/Modifications

•Service Animals

•Accessible Parking

34U.S. Dept. of HUD

<[email protected]>

Fair Housing & Disabilities…

Federal

• Federal Fair Housing Act

Section 504

State

• Revised Code Washington

• Administrative Rules

Local Ordinances35


Section 504 of the Rehabilitation Act of 1973

(29 USC 794)(24 CFR Parts 8 & 9)

If HUD funding-

unlawful to

discriminate based on:

Disability

U.S. Dept. of HUD <[email protected]> 36

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It’s about disabled Access to:

Programs & dwellings/ facilities.



Program Access

• Viewed in its entirety

• Readily accessible to and usable by persons with disabilities.



• HUD-DOJ Joint Statements:

• Reasonable Accommodations:http://www.hud.gov/offices/fheo/library/huddojst

atement.pdf

• Reasonable Modifications:http://www.hud.gov/offices/fheo/disabilities/reaso

nable_modifications_mar08.pdf

39U.S. Dept. of HUD

<[email protected]>

10/17/17



What does disabled mean?

Person with physical/mental impairment that substantially limits a major life activity.

Has record of having an impairment.

Is regarded as being disabled.

40U.S. Dept. of HUD

<[email protected]>


Who is not disabled?

•Sex offenders.

•Current illegal drug users.

•Conviction history for illegal manufacture or distribution of controlled substance.

•When tenancy constitutes “direct threat” to health/safety of others.

•When tenancy would result in substantial physical damage to property of others.



Don’t ask disability-related questions:

Do you have a disability?

How severe is your disability?

Why are you getting SSDI?

Do you take medications?

Can I see your medical records?

Ever been in drug/alcohol rehab?

Able to live independently?

What does your service animal do?42


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Reasonable Accommodations:

Changes in housing rules, policies, practices or services.

• Private LL & PHAs usually required to absorb costs.

Enable disabled person to have equal opportunity to use & enjoy dwelling unit & common areas.

43U.S. Dept. of HUD

<[email protected]>


Reasonable Modifications

Physical changes to a dwelling/common area.

Necessary for tenant to use and enjoy space.

44U.S. Dept. of HUD

<[email protected]>


Reasonable Modification Basics:

Tenant must describe modification.

LL allow reasonable changes.

Mods must be done to code.

45U.S. Dept. of HUD

<[email protected]>

10/17/17



ReasonableModifications

Under FHA:

Private LL mustallow mods but not required to pay for modifications needed by disabled tenant.

46U.S. Dept. of HUD

<[email protected]>


ReasonableModifications

Under FHA: ∗Private LLs ∗

Unit might have to be restored to prior condition (minus normal wear).

May need to set aside restoration fund.

No need to undo neutral changes/access enhancements.

47U.S. Dept. of HUD

<[email protected]>


What’s Reasonable?

Case-by-case basis.

Disability must be

linked to the request.

Accommodation/Modification

must be medically necessary.

48U.S. Dept. of HUD

<[email protected]>

10/17/17



What’s Reasonable?

Accommodation requests may occur at any time during tenancy/program participation.

Best practice: Notify all applicants, residents, buyers that you provide reasonable accommodations.

49U.S. Dept. of HUD

<[email protected]>


When request is not reasonable:

No disability.

No disability-related need for the accommodation.

Request imposes an undue financial burden.

Request would fundamentally alter nature of provider’s operations.



Accommodation Process:

Request (verbal is okay).

Consider all requests.

Engage in interactive process.

May require written proof of disability & related need for RA/RM.

When granted, provide accommodations promptly (avoid constructive denials).


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Best Practice:

Discuss other options and grant alternative reasonable accommodation.

52U.S. Dept. of HUD

<[email protected]>


Parking Issues:

•Respond promptly to accessible parking requests.

•Provide reserved accessible space nearest tenant’s unit (on accessible route)

•Put up proper signage.

•Enforce!

53U.S. Dept. of HUD

<[email protected]>


Service Animals:

•Certification not

required (for Simba’s

training)

• No “pet” fees, deposit or rent.

• Resident can provide training

54U.S. Dept. of HUD

<[email protected]>

10/17/17



Service Animals:

Watch Restrictions-

Breed

Weight

Size

55U.S. Dept. of HUD

<[email protected]>


Service Animals: Watch Restrictions-

• Breed • Weight • Size

Generally- LL or PHA required to accept animal if healthcare provider affirms specific animal is medically necessary.

56U.S. Dept. of HUD

<[email protected]>



• Breed • Weight • Size

LL required to show administrative/ financial burden to change insurance policies.

57U.S. Dept. of HUD

<[email protected]>

10/17/17




Policies requiring licensing, vaccinations = OK- if local laws require.

Service animal behavior agreements = OK

Policies requiring neutering, animal photos or next of kin information…= Caution. 58


Fair Housing & Disabilities…&

Reasonable Accommodations/Modifications:

Another Best Practice:

Check your policies every couple of years to ensure compliance with Fair Housing Act updates and your local laws.

59U.S. Dept. of HUD

<[email protected]>


Who Pays?Landlord

To meet minimum accessibility standards

No or low cost RAs

No extra fees/deposits for RA

Tenant

Mods to unit (no federal $)

60U.S. Dept. of HUD

<[email protected]>

10/17/17



Who Pays…?

Federal funds: LL pays unless shows great financial /administrative hardship.

Undue hardship = Cost of work is unreasonable based on the total budget

of the community.

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Housing For Older Persons Act (HOPA)

HOPA: Housing designed & operated to assist elderly persons…

Housing for those 62 & older (100%).

55+ housing w/80% occupancy required.

• LL must show intent to

serve 55+ population.

• Verification required.

62U.S. Dept. of HUD

<[email protected]>

Housing For Older Persons Act (HOPA)

Check it out…

http://www.hud.gov/offices/fheo/library/hopa95.pdf

63U.S. Dept. of HUD

<[email protected]>

10/17/17


Families with Children

Familial Status = Parental Status

•Presence of 1 or more children under 18 in unit.

•Parent, step-parent, adoptive parent, guardian, foster parent or custodian with minor child.

•Pregnant woman or someone in the process of acquiring legal custody of child.

64U.S. Dept. of HUD

<[email protected]>

Families with Children…

Housing providers may not:

Refuse to rent to families with children.

Charge families with children higher rent or deposit.

Restrict what units families can live in because of children. 65



Set rules that prohibit inappropriate conduct from all tenants .

Take action against violators consistently.

Do not target children.

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Housing providers must provide a safe environment for all residents.

Take reasonable measures to correct any potential hazards.

Do not refuse to rent to families because of safety hazards.

Do not steer families away due to hazards.



Housing providers may establish reasonable occupancy standards:

•2 people per bedroom presumed reasonable (Keating Memo).

Rebuttable based on size, configuration, kid’s age, local law…

• Cannot limit # of children.68


Legal Update

Second Circuit Holds That Obtaining Housing Is a Major Life Activity Under the Fair Housing Act

http://www.relmanlaw.com/#sthash.mL1nAfaT.dpuf

69U.S. Dept. of HUD

<[email protected]>

10/17/17


“Why?”

It’s the law.

It’s the right

thing to do.

It can be

expensive not

to.

70U.S. Dept. of HUD

<[email protected]>

Why?

Penalties:

$11,000 for 1st

offense.

$27,500 for 2nd in last 5 years.

$55,000 if 2 or more in last 7 years.

71U.S. Dept. of HUD

<[email protected]>

Questions?

72U.S. Dept. of HUD

<[email protected]>

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Contact

James D. KordichFHEO Investigator

U.S. Department of Housing & Urban Development

(971) 222-2631

[email protected]

F

73U.S. Dept. of HUD

<[email protected]>

HUD Office of Fair Housing and Equal Opportunity

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