Title
Resolution to Approve the 2016 Utility Allowance for Public Housing
Memorandum
HUD requires the Ann Arbor Housing Commission (AAHC) to conduct an annual review of utility costs (electric and natural gas rates) to ensure that the utility allowances calculated for public housing program participants are reasonable and within regulatory compliance.
The AAHC hired a contractor, Housing Authority Services, to complete this year's review. Attached are the results of the utility study and the recommended utility allowances for the AAHC public housing and RAD PBV properties. The utility allowance change will take effect August 1, 2016.
The attached report includes both public housing and affordable housing. For the purpose of this resolution, the board is adopting the recommendations for White/State/Henry, Broadway (1404-1406), Platt (lower)/Oakwood, and West Washington which are the remaining public housing properties, as well as Garden which was previously a Turnkey III property and is now a rental property.
Staff
Prepared and Approved by Jennifer Hall, Executive Director
Body
WHEREAS, HUD requires an annual review of utility costs to ensure that the utility allowances calculated for public housing program participants are reasonable and within regulatory compliance; and
WHEREAS, the Ann Arbor Housing Commission last analyzed its utility allowances in
May 2015 with revisions effective August I, 2015; and
WHEREAS, the AAHC used a contractor, Housing Authority Services, to complete this year's review resulting in the continued use of an expanded methodology analyzing actual consumption and utility rates by each housing location and bedroom size; and
WHEREAS, HUD regulations require PHAs to adjust allowances where rates have changed 10% or more since the last time the utility schedule was revised, but provide PHAs the discretion to adjust allowances to align them with any rate changes at any time; and
WHEREAS, since there was greater than a 10% change in utility rates and the use of the public housing and Garden utility allowance schedule by Housing Authority Services for FY 2016 keeps the Commission compliant with HUD regulations and in line with current market conditions; and
RESOLVED, that the Ann Arbor Housing Commission Board approve the utility allowance schedule as provided by Housing Authority Services and attached hereto, which will be effective August 1, 2016 for White/State/Henry, Broadway (1404-1406), Platt (lower)/Oakwood, West Washington and Garden, and used by staff to determine individual utility rate allowances in accordance with AAHC policy.