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Management & Finance
 Fiscal Year 2006 Proposed Budget

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SECTION N -- ENTERPRISE, SPECIAL REVENUE and INTERNAL SERVICES FUNDS
SECTION 8 FUND

SECTION 8 FUND

PROGRAM MISSION: To assist low income residents to obtain affordable, decent and safe housing through the provision of rental assistance.

Funding for the five Section 8 programs that Arlington County administers comes from the federal Department of Housing and Urban Development (HUD). The principal programs in Section 8 are of two types: tenant based and project based.

Housing Choice Vouchers represent tenant based assistance and can be used in Arlington and anywhere within the United States. In FY 2004 HUD changed its reimbursement policy for Vouchers by placing a cap on the average housing assistance payment and administrative fees due to budgetary constraints imposed by Congress. In addition, in October 2004 HUD decreased the Fair Market Rent rates for the first time in Section 8 history. For example, a two-bedroom subsidy was reduced from $1,340 to $1,223, a 9% decrease. This decrease in benefits may cause some landlords to stop accepting Section 8, increase the rent amount families will be responsible for, and families will have fewer choices of where they can use their vouchers.

Project based assistance includes Moderate Rehabilitation, Substantial Rehabilitation and New Construction and can only be used at designated project sites.

Section 8 also administers the Housing Opportunities for Persons With AIDS (HOPWA) Program. Referrals for this program come from the Whitman-Walker Clinic of Northern Virginia. Section 8 staff determine initial and ongoing program eligibility for families. The rental assistance provided to these families can only be used in Arlington County. In order to qualify, the family must be very low income and either the head of household or a family member must provide a doctor's statement confirming HIV/AIDS.

In FY 2004, the Section 8 Office began administering the Milestones I Program, funded by the HUD Shelter Plus Care Grant, providing rental assistance to nine homeless individuals with serious mental illness. To date nine homeless families have been admitted into the program and are living in various neighborhoods throughout Arlington County. Milestones II began in FY 2005 providing six additional units.

SIGNIFICANT BUDGET CHANGES: The FY 2006 proposed budget for Section 8 is $14,118,883, a one percent increase over FY 2005.

SECTION 8 FUND SUMMARY
FY 2004 FY 2005 FY 2006 % Change:
Actual Adopted Proposed '05 to '06
Personnel $906,030 $1,037,084 $1,025,526 -1%
Non-Personnel 263,866 290,263 292,893 1%
Housing Assistance Payments 12,676,056 12,645,744 12,800,464 1%
Total Expenditures 13,845,952 13,973,091 14,118,883 1%
Total Revenue 13,902,273 13,973,091 14,118,883 1%
Change in Operating Reserve $56,321 - - -
Authorized FTEs 16.0 17.4 17.4
Total Funded FTEs 16.0 17.4 17.4

PERFORMANCE MEASURES:

FY 2002
Actual
FY 2003
Actual
FY 2004
Actual
FY 2005
Estimate
FY 2006
Estimate
FY 2006
Goal
Mission Outcome Measures
Overall lease up rate 84% 100% 95% 96% 98% 98%
Number of families served 1,327 1,580 1,501 1,517 1,548 1,548
Customer Measure
Percent of landlords receiving timely payments 95% 95% 95% 95% 95% 100%
Workload Measure
Number of landlords served 380 400 317 400 400 N/A
  • Overall lease up rate is the percentage of allowable units from HUD that are leased by program participants. To be considered a high performance agency, HUD requires 98% minimum utilization rate for rental subsidies.
  • The total number of households that can be assisted by all Section 8 Programs is approximately 1,580.