Basics of HUD’s Sec. 811 PRA

Housing Program

Tuesday, May 17, 20163:00 pm – 4:00 pm ET

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With the Technical Assistance Collaborative (TAC)

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Hosts & Presenters

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• Stephanie Mensh & Anthony Oberg, New Editions Consulting, Inc.

• Robin Cooper, NASDDDS• Lisa Sloane, Technical Assistance Collaborative• Katina Washington, U.S. Department of Housing &

Urban Development (HUD)• Brian Barnes, Montana• Devon Mayer, formerly Maryland

Agenda

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• Welcome & Introduction• Overview of the new HUD Section 811 Project

Rental Assistance (PRA) program• How state agencies might work with their Sec. 811

grantees• Q&A/Discussion

INTRODUCTION

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Rental Assistance Approaches• Tenant-Based Rental Assistance (TBRA)

– Housing Choice Vouchers (formerly Sec. 8)– Participants locate housing of their choice in the

community– If the participant moves, the subsidy moves with

them• Project-Based Rental Assistance (PBRA/PRA)

– Subsidies are tied to a unit in a building– To receive assistance, must live in that unit

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Federal & State Agencies

Housing Unit with Services

HOUSINGHUD Office of Multifamily Housing

State Housing Finance Agency

Local Housing Providers

SERVICESCMS Medicaid

State Medicaid Agency

Local ServicesProviders

State Services Agencies Funds &Tenants

Tax Credits & Other Housing Funds

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HUD Section 811 Rental Assistance Program

Background

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Frank Melville Supportive Housing Investment Act of 2010

Authorized major reforms to Section 811 including creation of the Project Rental Assistance (PRA) Option

PRA Option: A long-term supply of project-based permanent supportive

housing (30 year use restriction)

Integrated housing: No more than 25% of units in a property with Section 811 PRA funds can have occupancy preferences for people with disabilities/supportive housing

Cost effective and efficient model

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PRA Compared with Traditional S.811 Program

Traditional S. PRA Program811 Program

Applicant for Nonprofit State funding developers Housing

Finance Agency

Eligibility 50% of AMI 30% of AMI

Housing Independent No moreModels Living, Group than 25% of

Home, units in a Condominiu multifamily ms development

• The Traditional S. 811 is still authorized

• In FYs 12, 13 and 14 Budgets, Congress only provided new funding for PRA units.

• No new S.811 units of any type in FYs 15 and 16 Budgets

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Project Rental Assistance (PRA) Program

• State Housing Agencies are the applicant• Formal Interagency/Partnership Agreement between State

Housing Agency and State HHS/Medicaid agencies is required Identifies target population(s) to be assisted Describes methods of outreach and referral to Public

Housing Agency (PHA) units Includes state commitments of Medicaid and possibly

other funding for supportive services for PRA tenants

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PRA Program• Program design results in units for persons with disabilities

integrated in multifamily developments• No more than 25% of the units can be PRA or otherwise

designated for people with disabilities• Units to be dispersed throughout development• Tenants pay up to 30% of income (minus certain allowable

expenses) for rent including utilities• Services must be made available to tenants but use of

services by tenants is strictly voluntary

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Critical Element Source Examples

Capital

• Housing Finance Agency (HFA)• State or local govt.• Private foundation

• Low Income Housing Tax Credit (LIHTC)• HOME• CDBG (Community Development Block Grants)• Foundation funds

Operating Subsidy •HUD •Section 811 PRA•Section 8 Project Based Vouchers (PBV)

Support Services

• State Medicaid Agency• State Human Services Agency

• Money Follows Person Demonstration Program• Home and Community Based Waiver Services• State Plan Services• Rehab Option

Supportive Housing Partnerships

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PRA PROGRAM STATUS

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FY12 and FY13 NOFAs• HUD has issued two Notices of Funding

Availability (NOFAs)• Combined, NOFA has leveraged an estimated

1,500 federal and state vouchers/public housing units

• 43 of 50 states (86%) applied in one or both rounds

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FY12 and FY13 NOFAs, cont.• FY12 PRA Demonstration 35 States & District of Columbia applied $98 million awarded to 13 Grantees with

estimated 3,000 units

• FY13 PRA awards announced 34 States + District of Columbia applied $150 million awarded to 24 Grantees with

estimated 4,500 units

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FY 12 + FY 13 Funded States

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• Alaska• Arizona• California• Colorado• Connecticut• Delaware• District of

Columbia• Georgia• Illinois• Kentucky

• Louisiana• Maine• Maryland• Massachusetts• Michigan• Minnesota• Montana• Nevada• New Hampshire• New Jersey

• New Mexico• Ohio• Oregon• Pennsylvania• Rhode Island• South Dakota• Texas• Washington• Wisconsin

STATE PERSPECTIVES

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MONTANA SECTION 811 PRA

Montana Department of

Commerce Housing Division

Montana Department of Public Health of

Human Services Waivers and MFP

Case ManagersParticipant

Property Owner

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Eligible Individuals are:

• Extremely low-income persons with disabilities;• Between the ages of 18 and 62;• Eligible for Medicaid waiver in the following programs:• Physically Disabled Waiver;• Severe Disabling Mental Illness (SDMI) Waiver;• Developmentally Disabled (0208) Waiver; or

• Secondary consideration will be given to an adult with a severe disabling mental illness diagnosis who has case management services through a licensed mental health center and receives waiver-like mental health services as identified through an individualized service plan.

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UnitsKalispell – 8 Total Units

Leased Applicants Waiver#1 PD#2 0208#3 0208

2 potential applicants waiting

Missoula – 40 Total UnitsLeased Applicants Waiver#1 SDMI#2 SDMI

6 potential applicants waiting 20

Agencies involved in Maryland’s 811 Program• Grantee: Department of Housing and Community

Development (State Housing Finance Agency)• Core Partners

– Department of Health and Mental Hygiene (Medicaid Agency)• Money Follows the Person• Developmental Disabilities Administration• Behavioral Health Administration

– Department of Disabilities: Cabinet level agency coordinating & improving service delivery to individuals with disabilities in MD

– Centers for Independent Living• These agencies form the Maryland Partnership for Affordable

Housing:• To develop infrastructure to implement the 811 program, • To develop and implement other housing opportunities targeted to

low income individuals with disabilities22

Medicaid/MFP’s Role

• Helped define the target populations– Institutionalized Medicaid recipients (MFP)– Medicaid recipients at risk of homelessness due to current

housing situation– Medicaid recipients moving from Developmental Disabilities

Administration-/Behavioral Health Administration-funded group homes into independent renting

– Homeless Medicaid recipients

• Outreach to eligible individuals• Provide the people and the services

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Questions & Discussion

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Contact Information

• HUD Sec. 811 website:http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/mfh/progdesc/disab811

• Lisa Sloane, TAC: lsloane@tacinc.org• Stephanie Mensh, New Editions: smensh@neweditions.net• Robin Cooper, NASDDDS: rcooper@nasddds.org