San Diego County to Lose 50th Percentile FMR Status

Yesterday HUD published a revision to the list of areas that were eligible to pay Housing Choice Voucher rents at the 50th percentile level. San Diego County has qualified for this higher payment level for some years and when the initial notice was published in June 2, 2005 the County still qualified for that payment level. 

However, HUD has updated their analysis and determined that San Diego no longer qualified for the 50th percentile payment level and will revert to the 40th percentile level, the standard payment level. The means that the allowed FMR for a 2 bedroom apartment will be REDUCED from $1,158 per month to $1,065, an 8% reduction.

The reason for the reduction is because the county does not meet the Concentration of Participants criterion that requires that 25 percent or more of voucher program participants be located in the five percent of census tracts with the highest number of voucher participants. Click here to view the Federal Register.

The impact of this change is likely to increase the dropout rate by landlords in the program who have been used to getting 110% of the 50th percentile rate. It will also reduce the cash flow for project-based voucher funded projects.

San Diego Releases Draft Housing Element 

The City of San Diego Planning Department has published the draft Housing Element for the period FY2005-2010. The document outlines the steps that the City will take to meet the housing production goals set by SANDAG and the State Department of Housing & Community Development.

SANDAG has identified that the City should plan to develop sufficient units to meet the following demand for low income households:

The Housing Element notes there is sufficient zoned land to meet these needs, but there is insufficient resources to actually achieve the goal. The document estimates the maximum number of housing units which can feasibly be constructed, rehabilitated and conserved during the cycle at:

Thus, the City believes that it, at best, can achieve 35.4% of the need using the tools that it has available. Click http://housingsandiego.org/documents/HElement_08_24_05.pdf Here (4.7 mb pdf) to download the full document. Comments should be sent to Bill Levin by e-mail [WLevin@sandiego.gov], FAX (619-533-5951) or phone message (619-542-0807.

Housing Voucher Program Would Fare Better
Under Senate Appropriations Bill Than House Version
New Report Includes Data on Bills' Local Impact

The Center on Budget and Policy Priorities released a report this week on the two appropriations bills that fund the Housing Choice Voucher Program for FY06.  The Senate Appropriations Committee's HUD funding bill for 2006 would do a better job than the comparable House bill of repairing recent damage to the housing voucher program, a new Center report finds.  The report shows how each of the bills would affect state and local housing agencies across the nation. To see the full report, including State by State impacts Click Here.

APPLICATION WORKSHOP
MULTIFAMILY HOUSING PROGRAM
Presented by State HCD
Multifamily Housing Staff
September 1, 2005
10:00  AM - 1:00  PM
Mission Valley State Office
Glass Room, 3rd Floor
7575 Metropolitan Dr
San Diego, CA
TO REGISTER CONTACT MHP STAFF AT (916) 323-3178
OR EMAIL chorn@hcd.ca.gov
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San Diego, CA

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   Celebrating 15 Years of Support and Advocacy for Affordable Housing

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