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Housing authority reviews utility-allowance study that would change rent calculations
Summary
Summit County staff presented an annual utility-allowance study showing monthly utility averages by building type and discussed how a roughly $291 utilities estimate would affect maximum affordable rent calculations and HUD compliance.
Kim Blacom, a Somerset County HR representative leading the presentation, said the point of the study was to produce countywide averages so rent-setting matches HUD affordability rules: “The purpose of the study is to average all the cost of utilities by type, and by building type across the county.”
Blacom told the board the study would be updated annually and used to include utilities when calculating affordability standards (the HUD benchmark limits housing costs to roughly 30% of gross income including utilities). She answered questions about whether HOA fees or insurance costs count as utilities, explaining that HOA fees count only if they include utilities but that the authority could choose to subsidize HOA fees if desired.
During a walk-through example, Blacom used an illustrative affordability number and the study’s utility estimate to show how allowable rent shifts: “you would have found that it was nearly $300, for the utilities,” and, in the transcript example, “we'd have to subtract the 291 and, therefore, set the maximum rent at that $8.54.” That exchange was used to underscore how utility costs meaningfully reduce rent capacity for low-income households.
Board members raised potential additions to the allowance—insurance and broadband were singled out as items some participants think should be included to better reflect household costs. Staff said broadband could be added for consideration though it is not currently standard in HUD utility definitions. Participants also asked for clearer user guidance and translation; staff agreed a short explainer or video and clearer definitions on the web would help property managers, applicants and the public understand the inputs and outputs.
The board did not take a formal vote; staff said the study will be refined and used as a countywide reference in the development code and by local housing providers, with the plan to finalize accessibility and presentation options in coming weeks.
