February 7, 2005

 

Dear Housing Choice Voucher Participant:

 

Over the years, HOC has worked diligently to provide participants of the Housing Choice Voucher program (formerly Section 8) with quality service and rental subsidy assistance.  With the New Year, all of us who work with the program and benefit from it will face new challenges.  In late December 2004, the U.S. Department of Housing and Urban Development (HUD) notified the Housing Opportunities Commission that funding for the Housing Choice Voucher program would be drastically reduced.  The reduction in funding went into effect January 1, 2005.

 

Our challenge is to determine how best to serve you, the program participants, within the new financial constraints.  We will need to reduce the direct program cost while we provide rental subsidies to as many eligible families as possible.  Rising housing and utility costs in our area increase the difficulty.  We are also committed to communicating these and future changes to you.

 

Changes to the Housing Choice Voucher program, although difficult, are inevitable.  The Commission reluctantly approved the following changes that went into effect on January 18, 2005:

 

  • The minimum rent increased from $25 per month to $50.00.  At your next annual re-certification the minimum program rent for a participant family will be $50.00.

 

  • Participants are required to notify HOC of all changes in the household composition and income within ten days of the change.  Increases and additions to the household income that equal $1,000 annually will result in an increase to the family portion of the rental cost. 

 

  • The Voucher Payment Standard has been reduced to equal the area Fair Market Rents (FMR). 
      • Efficiency                   $   915.00
      • One Bedroom           $1,045.00
      • Two Bedrooms         $1,187.00
      • Three Bedrooms      $1,537.00
      • Four Bedrooms        $2,000.00
      • Five Bedrooms         $2,300.00
      • Six Bedrooms           $2,600.00

 

These standards will be used to calculate the rental subsidy for all new contracts, including when participants move to new units.  If you remain in your current unit the new standards will be used to calculate the rental subsidy at your second annual re-examination after January 18, 2005.  If you move to a new unit, the new standards will be used immediately.

 

Providing you with quality and informed customer service is an opportunity HOC  welcomes. HOC anticipates that there will be additional program changes in the coming months.  Please be assured that we will be working to find short and long-term financial solutions with property owners, service providers, government and elected officials.

 

Additional information regarding these policy changes is available on the HOC web page (www.hocmc.org).  You may also contact your HOC Housing Specialist through (301) 929-2350.

 

Sincerely,

 

 

Joy Flood

Acting Director, Rental Assistance