Section 811 Project Rental Assistance Demonstration

Section 811 Project Rental AssistanceDemonstration ProgramOffice of Multifamily Housing ProgramsU.S. Department of Housing and Urban Development

SECTION 811 PROGRAMThe IssueVery Low Income Persons with Disabilities: Have worst case housing needs (i.e. pay more than50% of their income in rent and/or live insubstandard housing) Many who could and should be served in thecommunity end up living in institutional settingsdue to lack of housing options in the community Are homeless or at risk of homelessness Most federal housing programs only offer housingand are not connected to services2

SECTION 811 PROJECT RENTALASSISTANCESection 811PRA Supportive housing program that creates newproject-based rental assistance for extremely lowincome persons with disabilities – without capitaladvance funds Authorized by Frank Melville Supportive HousingInvestment Act of 2010 to reform the Section 811Program by emphasizing integrated models, leveragingother funds for affordable housing capital, reflectschanges in disability policy and Olmstead Requires structured state-level partnership betweenstate housing agencies and the state health andhuman services agencies and the state Medicaidagency - linking affordable housing with communitybased long-term services and supports3

SECTION 811 PRA – WHY IS IT IMPORTANT?Purpose Meet the needs of vulnerablepopulations by better connectinghousing, health care, and socialservices Help states comply with Olmstead Helps prevent and end homelessnessamong people with disabilities Provides community livingopportunities for people withdisabilities Expands integrated permanentsupportive housing options

OVERVIEWEligible PropertiesCommunity IntegrationRequirementEligible TenantsEligible Activities5New or existing multifamily properties with financingcommitments from LIHTC, HOME, or other state/local/federal programs.No more than 25% of total units in Eligible Properties canbe set aside exclusively for people with disabilitiesExtremely low-income (30% AMI) persons with disabilitiesbetween 18 -62 who are eligible for community-based,long-term services (e.g., Medicaid waiver services)811 PRA can only fund project-based rental assistanceand allowable administrative costs (up to 5%) No development costs

OVERVIEWCapital ProvidedOperating SubsidyServices6 State Housing Agency (e.g., LIHTC) State or Local Government (e.g., HOME) Other Private or Public FundsHUD Section 811 Project Rental AssistanceState Medicaid Agency and State Human Services Agency(Money Follows Person, Medicaid home and CommunityBased Waiver Services, other state/local service funds

811 PRA HUD – HHS PARTNERSHIP Development of the NOFA Application and Review Process Training and Technical Assistance Program Implementation Program Evaluation7

FIRST YEAR FUNDING8Total FundingApproximately 98 million –Initial 5 yearsNumber of Awards13 awardsAward AmountsBetween 2 million and 12million per stateUnits ProducedApproximately 3,530 units

FY 2012 SECTION 811 PRA DEMO GRANTEESCalifornia Housing Finance AgencyDelaware State Housing AuthorityGeorgia Housing & Finance AuthorityIllinois Housing Development AuthorityLouisiana Housing CorporationMassachusetts Dept. of Housing & Community DevelopmentMaryland Dept. of Housing & Community Development

FY 2012 SECTION 811 PRA DEMO AWARDEESMinnesota Housing Finance AgencyMontana Dept. of CommerceNorth Carolina Housing Finance AgencyPennsylvania Housing Finance AgencyTexas Dept. of Housing & Community AffairsWashington State Dept. of Commerce

TARGET POPULATIONSTargetPopulations Persons transitioning from institutions State priority populations set forth inOlmstead settlement agreements Persons participating in CMS Money Followsthe Person (MFP) Demonstration Program Persons receiving home and community-based waiver services and/or state planservices Persons who are homeless and have adisability (as defined in Section 811 statute)

SECTION 811 PRA PROGRAM 2013 NOFA Anticipated inSummer Approximately 60 MillionAllocated

QUESTIONS AND ANSWERSPlease watch our website for news and mWith further questions and inquiries on Section 811 reform efforts, pleasecontact Ben Metcalf at the Office of Multifamily Housing Programs atbenjamin.t.metcalf@hud.gov

SECTION 811 PROJECT RENTAL ASSISTANCE Supportive housing program that creates new project-based rental assistance for extremely low-income persons with disabilities – without capital advance funds Authorized by Frank Melville Supportive Housing Investment Act of 2010 to reform the Section 811