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Housing Authority Govern. BdMEMORANDUM January 14,2002 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Housing Authority Governing Board In response to a Department of Housing and Urban Development (HUD) regulation published last year, the Council amended Chapter 15 to add a Section 8 Program participant to the membership of the Housing Commission. A tenth seat was added, designated solely for appointment by the Council of a resident currently receiving Section 8 assistance. However, a more recent interpretation by HUD of this regulation has been issued, requiring that the "governing board" of the housing authority must have a member who is a recipient of public housing assistance. In Dubuque, matters of administration of the Housing Department's Section 8 Program are under the jurisdiction of the Housing Commission. The Commission is, in turn, an advisory body to the City Council. According to HUD's interpretation, then, the governing board is the Council. For this reason, we are not in compliance, as a Section 8 participant is not, in fact, a member of the governing board. Housing and Community Development Department Director David Harris is recommending amending Sections 15-10 and 15-11 of Chapter 15 and creating a Municipal Housing Agency Governing board consisting of all current members of the City Council plus one resident who is a recipient of public housing assistance. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager David Harris, Housing and Community Development Department Director CITY OF DUBUQUE, IOWA MEMORANDUM 9 January 01 To: Mike Van Milligen, City Manager From: David Harris, Housing and Community Development Department Re: Housing Authority Governing Board Introduction The purpose of this memorandum is to request the City Council to amend Chapter 15 of the Code of Ordinances to create a governing board for purposes of administration of the Housing Department's federal Section 8 rental assistance program. Background In response to a Department of Housing and Urban Development (HUD) regulation published last year, the Council amended Chapter 15 to add a Section 8 Program paticipant to the membership of the Housing Commission. ^ tenth seat was added, designated solely for appointment by the Council of a resident currently receiving Section 8 assistance. However, a more recent interpretation by HUD of this regulation has been issued, requiring that the "governing board" of the housing authority must have a member who is a recipient of public housing assistance. In Dubuque, matters of administration of the Housing Department's Section 8 Program are under the jurisdiction of the Housing Commission. The Commission is in turn an advisory body to the City Council. According to HUD's interpretation, then, the governing board is the Council. For this reason, we are not in compliance, as a Section 8 participant is not in fact a member of the governing board. Discussion HUD has suggested the following options for compliance with this directive: 1. The Section 8 participant (resident) may be appointed/elected to the City Council, and would participate only in matters of housing authority business. 2. A separate housing authority governing board - including at least one resident - may be created, with fully independent powers. 3. The Council may create a "housing authority governing board,' consisting of all current members of the Council plus a resident. The third option is the staff's recommendation. The effect of this will be Council appointment of the Housing Commissioner currently serving as the designated Section 8 participant. Appointment will be to a "governing board," which will meet, prior to a regularly-scheduled City Council meeting, whenever housing authority business needs to be transacted. In practice, this will not result in additional business for the Council. Currently, only those housing authority matters requiring Council approval are placed on Council agendas. These primarily concern authorizations for grant applications and resulting contracts for HUD funds. Other business currently considered only by the Housing Commission, such as revisions to Section 8 administrative policies and appeals hearings, will continue to be placed only on Housing Commission agendas. Action Step The attached ordinance revision has been prepared by Corporate Counsel Barry Lindahl, amending Sections 15-10 and 15-11 of Chapter 15 and creating a municipal housing agency governing board. The action requested of the Council is to adopt the attached ordinance. ORDINANCE NO. 5-02 AN ORDINANCE AMENDING CHAPTER 15, COMMUNITY DEVELOPMENT, OF THE CITY OF DUBUQUE CODE OF ORDINANCES BY REPEALING ARTICLE II, LOW-RENT HOUSING, DIVISION I, GENERALLY, SECTION 15-11, DESIGNATION OF MUNICIPAL HOUSING AGENCY, AND ADOPTING A NEW ARTICLE II MUNICIPAL HOUSING POWERS, DIVISION 1, MUNICIPAL HOUSING AGENCY, SECTION 15-11, MUNICIPAL HOUSING AGENCYAND GOVERNING BOARD; AND BY REPEALING SECTION 15-12, HOUSING PROGRAM SUPERVISOR. Now, therefore, be it enacted by the City Council of the City of Dubuque, Iowa, as follows: Section 1. ARTICLE II, Division 1, Sections 15-11 and 15-12 of Chapter 15 of the City of Dubuque Code of Ordinances, are hereby repealed and the following new article, division and sections are adopted: ARTICLE II. MUNICIPAL HOUSING POWERS DIVISION 1. MUNICIPAL HOUSING AGENCY Sec. 15-11. Municipal housing agency and governing board: (a) The City Council has determined it to be in the public interest for the city to directly exemise its municipal housing powers under Iowa Code chapter 403A. The city is the designated municipal housing agency for the city and shall exemise all the powers as are provided for in Iowa Code chapter 403A. The goveming body of the municipal housing agency shall be the municipal housing governing board, referred to in this chapter as the"governing board", consisting of the City Council and one member appointed as provided in paragraph (b). The governing board shall comply with the procedural rules of the City Council and shall have final jurisdiction over all matters of the municipal housing agency. The City Manager is authorized to direct, administer, and manage the agency through the Department of Housing and Community Development. (b) The appointed member of the governing board shall be the member of the Housing Commission appointed pursuant to Section 15-23(e). (c) The Mayor shall preside at all meetings of the governing board and shall execute agreements, deeds and other documents as Mayor of the City of Dubuque. 2 Section. 2. This ordinance shall be in full force and effect from and after its passage and publication as provided by law. Passed, approved and adopted this 21st day of January, 2002. Ann E. Michalski, Mayor Pro-Tem ATTEST: Jeanne F. Schneider, City Clerk