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CONSIDERATION OF A RESOLUTION AND AGREEMENT BETWEEN SEDGWICK COUNTY AND CITY OF WICHITA FOR TRANSFER OF THE SEDGWICK COUNTY HOUSING AUTHORITY, SECTION 8 HOUSING CHOICE VOUCHER PROGRAM TO WICHITA HOUSING AUTHORITY (WHA).
Presented by: Justin Waggoner, Assistant County Counselor.
RECOMMENDED ACTION: Approve the resolution, authorize the Chairman to sign the agreement with City of Wichita, and authorize the Chairman and the Executive Director of the Sedgwick County Housing Authority (SCHA) to sign the letter requesting the voluntary transfer, and, upon approval of the voluntary transfer by the U.S. Department of Housing and Urban Development.
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This agenda item proposes to transfer Sedgwick County’s Section 8 Housing Choice Voucher program (referred to as the SCHA) to the City of Wichita so that it would be administered by the Wichita Housing Authority (WHA).
Presently, the SCHA acts as the administrator for the Section 8 Housing Choice Voucher program within all of Sedgwick County that is not within the city limits of Wichita, all of Harvey County, and all of Butler County.
The agenda item also includes an agreement that would propose to have the WHA sub-contract with the SCHA so that the WHA would act on behalf of the SCHA in administering the Section 8 Housing Choice Voucher program beginning on October 1, 2017. After approval of the recommended action by governing bodies for Sedgwick County and the City of Wichita, a request would be made for HUD to approve the voluntary transfer from the SCHA to the WHA. If the voluntary transfer were to be approved, it would become effective January 1, 2018. This process would be completed pursuant to HUD Notice PIH 2015-22, which applies to voluntary transfers of Section 8 Housing Choice Voucher programs.
There are two (2) key reasons this transfer has been suggested: First, the parties believe that tenants and landlords that participate within the Section 8 Housing Choice Voucher program will be better served by having a single agency as the point of contact within the region. Second, as the WHA has a significantly higher volume in its Section 8 Housing Choice Voucher program, the parties believe that the transfer would result in the realization of economies of scale benefits that would increase efficiency of the Section 8 housing operations within the region. To summarize, the view is that this is an appropriate consolidation of services that can result in the most appropriate and efficient usage of resources within the region.
The agreement would authorize the County Manager, or his designee, to sign any agreements or other documents to effectuate the transfer. Also, after approval of the voluntary transfer by HUD, Sedgwick County would pay the City of Wichita $35,000.00.
The agenda item also includes a resolution, which, pursuant to K.S.A. 17-2348, would amount to Sedgwick County’s authorization for the City of Wichita, through the WHA, to act on Sedgwick County’s behalf with regard to the Section 8 Housing Choice Voucher program. This resolution is also required under HUD Notice PIH 2015-22.
Alternatives: Not to take the recommended action.
Financial Considerations: With approval from the U.S. Department of Housing and Urban Development (HUD) there will be a full transfer of all administration and operation responsibilities for the HUD Section 8 Housing Choice Voucher program from Sedgwick County to City of Wichita effective January 1, 2018. Sedgwick County will pay the City of Wichita $35,000.00 as a fee for administrative costs for the management of the Section 8 Housing Choice Voucher program once HUD has approved the voluntary transfer. In the event HUD denies the transfer, the County would not be responsible for any payment to City. The City will also receive any and all HUD payments that are for the purpose of administering the Section 8 Housing Choice Voucher program.
Legal Considerations: Pursuant to 12-2908, any municipality may contract with another municipality to perform any governmental service, activity or undertaking which each contracting municipality is authorized by law to perform. Pursuant to K.S.A. 17-2348, any municipality, by resolution, can authorize another municipality to exercise housing authority within its jurisdiction. Approval is by simple majority vote.
Policy Considerations: N/A