Switch tied to rent rise for few at LR towers

Commissioners learned Thursday that fewer than a dozen rent increases for Little Rock housing authority residents in the agency's three towers are related to a program switch from public housing to Section 8.

Commissioner Louis Jackson said he'd heard complaints from tenants about rent increases. Jackson is the sole housing authority commissioner who is a member of the agency's housing committee. He visits residents and reports their concerns to the board.

Jeannie Owens, director of housing choice vouchers, told commissioners that only 11 Metropolitan Housing Alliance tenants saw rent increases solely because of authority's transfer of the Fred W. Parris, Cumberland and Jesse Powell towers from public housing to Section 8 under the federal Rental Assistance Demonstration Program, also referred to as RAD.

"We had numerous rent increases that happened to happen on 11/1, but that was because [the tenants'] income increased," Owens said during Thursday's board of commissioners meeting. "When they saw their first tenant portion under RAD, it was increased, but it wasn't because of RAD."

The federal program allows housing authorities to partner with private companies to complete deferred maintenance on aging housing stock.

The towers have 396 households, according to the agency's website.

The three towers used to be in the public housing program, and residents could choose to pay a flat rate or 30% of their incomes. The towers are now project-based Section 8 properties, and residents pay 30% of their incomes.

The agency is scheduled to complete renovation work on the towers in the next few months, and rent increases began Nov. 1, said Owens.

If tenants' rents increase by more than 10% or $25 because of the conversion, the agency phases in the increase over three years, according to alliance policy.

During the first year, tenants who are phased in will have a $25 increase. During the second year, they will pay 50% of the increase. During the third year, they pay the additional 75% of the increase.

So, a tenant who used to pay $492 per month as a flat rate whose rent is set to increase to $618 will pay $517 for the first year, $555 for the second and $618 for the third, Owens said during the commission meeting.

Seven of the 11 tenants who saw transition-related increases will have phase-in plans, Owens said.

The other four had increases of less than 10% and paid all of it during the first year, according to Owens' presentation.

Minimum rent is set at $50, even if a tenant has no income, Owens said.

In other action Thursday, members voted to recommend that the city Board of Directors approve Leta Anthony, board chairwoman, for another five-year term as commissioner. Anthony first joined the board in 2014, and if approved, her term would end in 2024.

Despite a short executive session to discuss personnel matters, the board announced no progress on the search for an executive director. The position has been vacant since former Director Rodney Forte resigned in November.

Metro on 09/20/2019

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