In 2005 the State of Illinois created a new Rental Housing Support Program (RHS Program) to provide “project-based” rental assistance for families at 30% and below of area median income. One half of the units will be for families at 15% or below of area median income. This program is being funded by a $10 surcharge on real estate documents recorded in each county. McHenry County Housing Authority (MCHA) will request funding from Illinois Housing Development Authority that would subsidize 30 units throughout McHenry County. (There is no guarantee how much funding McHenry County will receive.) The McHenry County Housing Authority will contract with local landlords to provide units for the program. McHenry County Housing Authority will also work with the landlords in providing outreach to potential tenants and will maintain a waiting list. Unlike the Section 8 Housing Choice Voucher program the assistance will be tied to the unit; if a qualified tenant moves he or she would lose the rental assistance and the next qualified tenant for that unit would receive the benefit of rental assistance. The landlords will receive the rental assistance for subsidized units from MCHA quarterly in advance. Records of occupancy will be maintained and reconciled for each unit.
Role of MCHA:
- Outreach for potential tenants
- Contract with landlord to provide units including negotiating rents for three year contracts
- Work with landlords to create and follow a Tenant Selection Plan which includes the management of potential tenant applications and waiting list
- Assist and approve tenant income certifications and recertifications
- Perform Housing Quality Standard and LBP inspections
- Provide dispute resolution between landlords and tenants
- Oversee funding and compliance; including forwarding funding to landlords quarterly up front
- Maintaining records, working with IHDA staff and reporting activity
Role of the Landlord:
- Provide units
- Units must pass a Housing Quality Standards Inspection
- Certify that units do not contain a Lead Based Paint hazard
- Assist with income certifications and annual recertifications of tenant income
- Follow a Tenant Selection Plan & Waiting List
- Provide a 12-month lease to each household
- Include a RHS Lease Rider with each lease
- Abide by all fair housing laws
- Provide a Tenants Bill of Rights (IHDA document) to each household
- Charge a reasonable rent (as determined by MCHA) to the tenant
It is assumed that the RHS program will begin in April 2008. More information on the RHS Program is on the Illinois Housing Development Authority website located at www.ihda.org. MCHA will be putting information regarding this program on its website located at www.mchenrycountyhousing.org.
Please complete the attached Landlord Intent to Participate if you are interested in the RHS Program. Note that the program regulations provide that for projects that exceed 6 units, no more than 30% of the units may receive the RHS Program subsidy.
MCHA will include the Landlord Intent to Participate in its application to IHDA. Completion of the Landlord Intent to Participate is not a commitment of the Landlord to participate in the Program nor a commitment by MCHA to provide subsidy to your units. MCHA cannot guarantee that all interested landlords will receive a set-aside of units for this program. MCHA anticipates knowing more about the status of its application by January 2008 with a proposed program start of April 2008.
The Landlord Intent to Participate should be submitted to MCHA by November 15, 2007. Please feel free to call Julie Biel Claussen, Executive Director at 815-338-7752 if you should have questions regarding the program.