The Governance Committee voted to refer to the Planning & Community Development Committee a council consideration request that would create a city-sponsored program to incentivize landlords to accept Housing Choice Vouchers.

Staff said the CCR, submitted by Council District 6, asked for bridge funding to cover initial payments to landlords when HUD or housing authorities delay payments, gap funding when HUD fair market rents fall short of market rents, and solutions for inspection and administrative issues that deter landlords from accepting vouchers. Staff provided a preliminary estimate of approximately $3,700,000 annually to support the program, broken into about $1.5 million for bridge funding and $2.2 million for gap funding, and cautioned HUD rules prohibit rent payments in excess of established limits.

Council members and staff discussed engagement with HUD and local housing authorities; staff said local housing authorities have improved payment speed in some cases and can authorize up to 10% above HUD fair market rents in certain areas. Staff and sponsors emphasized the need to coordinate with Opportunity Home and housing authorities to design an approach that meets HUD compliance rules. The committee approved the referral to PCDC; staff will work closely with Opportunity Home and housing authorities in committee.