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NAHRO Sets Record Straight on Housing Agencies' Section 8
HUD Secretary Mel Martinez and the Senate HUD-VA Appropriations Committee lobbed a number of criticisms against the housing industry on March 13, citing a culture of corruption. The comments came during a hearing set up to examine FY 2003 appropriations issues, but which also reviewed overall management and performance for HUD and local housing agencies (LHAs).
Martinez referred to what he called daily indictments of LHA executives, while Sen. Barbara Mikulski (D-MD) raised concerns abut low success rates in Section 8 households and HUD oversight.
NAHRO is pointing out, however, that according to HUD's most recent Section 8 Management Assessment Performance (SEMAP) data, only 102 LHAs, or just 3.9 percent received a troubled performer score. The majority of LHAs - 80.7 percent - received a standard performer score, while 15.3 or 399 LHAs were high performers.
NAHRO Executive Director Saul N. Ramirez, Jr. said, "Poor performance is unacceptable, even if it is only 3.9 percent of all agencies nationally. LHAs strive to achieve excellent performance. Unfortunately, a series of technological problems with the department's Internet-based information systems have contributed to MTCS reporting delays by LHAs seeking to fully comply with HUD's reporting requirements. In late January 2001, in recognition of their systems problems, the department issued a notice giving LHAs a forbearance on earlier reporting thresholds. Nevertheless, the small scope of agencies with troubled performance scores is manageable with the resources HUD has received to provide technical assistance for improvement of these agencies' performances."
LHAs are only scored under SEMAP for the number of households they assist in successfully leasing under the Section 8 program - not for the number of vouchers issued as was suggested during the March 13 hearing.
HUD's just-published "Study on Section 8 Voucher Success Rates in Metropolitan Areas" demonstrates that success rates were lower and search time for successful households was longer in tight housing markets compared with looser markets. This emphasizes that low-income households ability to successfully lease under the Section 8 Housing Choice Voucher program, is affected largely by rental market conditions, rather than just LHA management performance.
Volume II of HUD's success rate study demonstrated that rural LHAs are working
harder to maintain acceptable levels of program utilization. This phenomenon
points to a possible need-not for less funding, but for more flexible funding
that can be used to provide immediate assistance to families with housing emergencies.
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