SB 1049 — AN ACT CONCERNING PAYMENT STANDARDS AND APPLICATIONS FOR THE FEDERAL HOUSING CHOICE VOUCHER PROGRAM.

Senate General Assembly RaisedFile Bill No.

1049150 January Session, 2023 LCOSenate Bill No.

42731049 ReferredSenate, toMarch 21, 2023 The Committee on HOUSINGHousing Introducedreported by:through SEN.

(HSG)MOORE ANof ACTthe CONCERNING22nd PAYMENTDist., STANDARDSChairperson ANDof APPLICATIONSthe FORCommittee THEon FEDERALthe HOUSINGpart CHOICEof VOUCHERthe PROGRAM.Senate, that the bill ought to pass.

AN ACT CONCERNING PAYMENT STANDARDS AND APPLICATIONS FOR THE FEDERAL HOUSING CHOICE VOUCHER PROGRAM.

[To this end an] An authority shall fix the rentals for dwelling in its projects at no higher rates than it finds to be necessary in order to produce revenues which, together with all other available money, revenues, income and receipts of the authority from whatever sources derived, will be sufficient [(a)] (1) to pay, as the same become due, the principal and interest on the bondsSB1049 of/ theFile authority;No.

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150 bonds of the authority;

and [(c)] LCO(3) 4273to \\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01049-R01create, during not less than six years immediately succeeding its issuance of 4any SB.docxbonds, Billa No.reserve sufficient to meet the largest principal and interest payments which will be due on such bonds in any one year thereafter and to maintain such reserve.

1049 (3) to create, during not less than six years immediately succeeding its issuance of any bonds, a reserve sufficient to meet the largest principal and interest payments which will be due on such bonds in any one year thereafter and to maintain such reserve.

The authority, subject to approvalapprovalby by the Commissioner of Housing, shallshallfix fix maximum income limits for the admission and for the continued occupancyoccupancyoffamiliesinsuchhousing,providedsuchmaximumincome of families in such housing, provided such maximum income limits and all revisions thereof for housing projects operated pursuant to any contract with any agency of the federal government shall be subject to the prior approvalapprovalof of such federal agency.

The [Commissioner ofofHousing]commissioner Housing]shalldefine commissionertheincome shallofafamily define the income of a family to provide the basis for determining eligibility for the admission and for the continued occupancy of families under the maximum income limits fixed and approved.

Such posting shall include (1) a disclaimer alerting program participants that the maximum allowable payment standard may not be applied in full to the actual rental rate paid by the applicantSB1049 in/ certainFile circumstances, and (2) any rules or regulations adopted by such authority regarding LCO 4273 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01042 of 4 R01-SB.docx } Bill No.

1049150 such2 rentalSB1049 assistanceFile programs.No.

150 applicant in certain circumstances, and (2) any rules or regulations adopted by such authority regarding such rental assistance programs.

(f)(f)No Noprovisionofthischapter provisionshallbeconstruedaslimiting oftheright this chapter shall be construed as limiting the right of the authority to vest in an obligee the right, in the event of a default by such authority, to take possession of a housing project or cause the appointment of a receiver thereof or acquire title thereto through foreclosure proceedings, free from all the restrictions imposed by this chapter with respect to rental rates and tenant selection.

In the cases of any tenants who are the recipients of one hundred per cent social services aid from the Department of Social Services of the state or any municipality and who have no income from any other source, rentals shall be fixed by each housing authority for the ensuing rental year established by the authority based on one-half of the costs and expenses set forth in subdivision (1) of subsection (a) of section 8- 45, as amended by this act, plus the full amount of costs and expenses LCOset 4273forth {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01043in [subsections (b) and (c) of 4said R01-SB.docxsection] }subdivisions Bill(2) and SB1049 / File No.

1049150 set3 forthSB1049 inFile [subsectionsNo. (b) and (c) of said section] subdivisions (2) and (3) of said subsection as set forth in the operating statements of the authority for the preceding fiscal year, which total amount shall be divided by the total number of rooms contained in all low-rent housing projects operated by such housing authority to establish the rental cost per room per annum for such tenants, from which figure shall be computed the rent per month per room.

150 (3) of said subsection as set forth in the operating statements of the authority for the preceding fiscal year, which total amount shall be divided by the total number of rooms contained in all low-rent housing projects operated by such housing authority to establish the rental cost per room per annum for such tenants, from which figure shall be computed the rent per month per room.

2 October 1, 2023 8-48 HSG Joint Favorable LCOSB1049 4273/ {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01049-File 4No. of 4 R01-SB.docx }

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150 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 24 $ FY 25 $ Department of Housing GF - Potential 50,000 None Cost Note:

GF=General Fund Municipal Impact:

None Explanation The bill results in a potential cost of up to $50,000 in FY 24 to the Department ofHousing (DOH)to contract for consultant services,to the extent DOH requires outside assistance to develop the regulations required by the bill.

It requires:

(1) housing authorities to provide DOH with a list of applicants for their housing projects and, (2) the department to adopt regulations on creating and maintaining a statewide waiting list for these applications.

Additionally, the bill requires housing authorities to post certain content on their or their municipality’s website, which has no fiscal impact.

1 The Out Years There is no fiscal impact after FY 24.

1Local housing authorities are autonomous public corporations, which are generally funded by the U.S.

Department of Housing and Urban Development (HUD) but may also receive state funding.

SB1049 / File No.

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150 OLR Bill Analysis SB 1049 AN ACT CONCERNING PAYMENT STANDARDS AND APPLICATIONS FOR THE FEDERAL HOUSING CHOICE VOUCHER PROGRAM.

SUMMARY This bill requires any housing authority that administers a tenant- based rental assistance program (see BACKGROUND) to publicly post a payment standard (or similar maximum monthly assistance payment) within 30 days after setting or updating it.

Under the bill and U.S.

Department of Housing and Urban Development (HUD) regulations, a “payment standard” is the maximum monthly assistance payment for a family in the voucher program before deducting the total tenant payment by the family (24 C.F.R.