implications of work and earnings on supportive and ... 02... · • maria enters job training, job...
TRANSCRIPT
Implications of Work and Earnings on Supportive and
Subsidized Housing
Program on Employment and DisabilityA distance education series promoting utilization of work incentives sponsored by the Research Foundation for Mental Hygiene under agrant from the U.S. Department of Labor with the support of the NYS Developmental Disabilities Planning Council and Office of Vocational
and Educational Services for Individuals with Disabilities
2
The thoughts and opinions expressed in this and future programs are those of the trainers and do not necessarily reflect the viewpoints or official policy positions of the Social Security Administration, Department of Labor and/or any other state or federal agency. The information, materials and technical assistance are intended solely as informal guidance and are neither a determination of legal rights or responsibilities, nor binding on any agency with implementation and/or administrative responsibilities for programs discussed.
3
Presenters • Thomas Golden, Program on Employment and
Disability, Cornell University• Grace Andriette, Housing Unit, Neighborhood
Legal Services, Inc.• James Sheldon, Disability Law Unit,
Neighborhood Legal Services, Inc.
5
Federally Assisted Housing Programs
• Traditional public housing programs• Privately owned federally subsidized
housing programs• Housing Choice Voucher Program
(tenant based Section 8)
6
HUD Project-Based Subsidy Programs
• Includes:– Section 221(d)(3) Below Market Interest Rate (Section
221 (d) BMIR)– Section 236– Rental Assistance Payment (RAP)– Rent Supplement– Section 8 Project-Based Assistance– Section 202 Supportive Housing for the Elderly– Section 811 Supportive Housing for Persons with
Disabilities
7
Eligibility for Federally Assisted Housing is Based Upon:
• Household income• Household composition• Citizenship status• Prior tenant history• Prior criminal activity
8
Federal Regulations Define a Person with a Disability as a Person Who:
• Has a disability as defined in Section 223 of the Social Security Act, or• Is determined by HUD regulations to have a physical, mental or emotional
impairment that:– Is expected to be of long, continued, and indefinite duration;– Substantially impedes his or her ability to live independently; and– Is of such a nature that such ability could be improved by more suitable housing
conditions, or• Has a developmental disability as defined in Section 102 of the
Developmental Disabilities Assistance and Bill of Rights Act.– The definition of a person with disabilities includes persons with HIV– The definition does not include a person whose disability is based solely on any
drug or alcohol dependence– For purposes of reasonable accommodations and program accessibility for a
person with disabilities, the definition of “individual with handicaps” found in Title 24 of Code of Federal Regulations Section 8.3 is used.
9
Calculating Rent in Federally Assisted Housing
• Total tenant payment is the greater of:• Thirty percent (30%) of the family’s
monthly adjusted income, or• Ten percent (10%) of the family’s monthly
income, or• If the family is receiving welfare assistance
payments, the amount of that assistance that is specifically designated for housing.
10
Mandatory Income Exclusions Include:
• Children’s employment income• Lump-sum additions to family assets• Amounts received to cover the cost of medical expenses • Income of a live-in aide• Student financial assistance • HUD training program stipends
– Amounts disregarded for a limited time for purposes of Supplemental Security Income (SSI) eligibility and benefits because they are set aside for use under a Plan for Achieving Self-Support (PASS)
– State or local employment training program earnings and benefits– Amounts received by participants in publicly assisted training programs for job-
related expenses – Deferred periodic amounts from SSI and Social Security benefits
• Unreimbursed medical expenses of elderly or disabled families• Unreimbursed reasonable attendant care and auxiliary apparatus expenses for a family
member with a disability to the extent necessary to enable any family member to be employed
11
The Example of Joan
• Retroactive SSI benefits = $20,000• Monthly SSI check = $587• First retroactive check = $7,044• Second retroactive check = $7,044• Third retroactive check = 5,912• Monthly SSI check ($587) is counted as income• Retroactive checks are not counted as income
12
Example of Gary
• Increased expense for specially equipped van = $500
• Family medical expenses = $1,000• Family income = $20,000• 3% of family earnings = $600• Total exclusion = $900 (total expenses of
$1,500 minus $600, as 3% of annual income)
13
Annual Income Adjustments
• $480 for each dependent• $400 for elderly families• $400 or disabled families
14
Application of Earned Income Disregard Requirements
Applies to: • public housing tenants AND • to people with disabilities receiving benefits
through:– The Housing Choice Voucher Program– The HOME Investment Partnerships Program– The Housing Opportunities for People with AIDS
Program– The Supportive Housing Program
15
Self-Sufficiency Incentives:Earned Income Disregards
• 100% disregard of any increased employment income for initial 12 months
• 50% of any increase in employment-related income for the second period of 12 months
• Disallowance limited to a lifetime 48 month period
16
Example of Maria • Tenant family receives income from SSI and welfare
benefits• Maria enters job training, job placement program, earning
$162 per month. Earns $162 for 3 months.• 100% of $162 increase disregarded for 3 months.• 3 months later Maria finds a new job and earns $274 per
month• 100% of $274 is disregarded for 9 months (making 12
months of 100% exclusion)• If retains job, 50% of $274 (i.e., $137 per month) is
disregarded for 12 months
17
Earned Income Disregard Eligibility
• Families whose income increases as a result of employment of a previously employed family member
• Families whose annual income increases due to increased earnings by a family member during participation in a self-sufficiency or other job training program
• Families with an annual income increase due to new employment or increased earnings during, or within six months after the receipt of TANF-funded assistance
18
Example of Michael • Joe and Rose reside with son Michael, age 17• Joe works as janitor, Rose receives SSI, Michael (who no
longer attends school) works bussing tables• When Michael turns 18, his earnings will not longer be
excluded as a minor• Joe and Rose must now report Michael’s earnings• However, family will be entitled to the earned income
disregard on Michael’s earnings (i.e., 100% for 12 months, 50% for a second 12 months)
19
Example of Robert
• Robert receives monthly SSI of $587• He transfers from day treatment to supported
employment program, earning $685 per month• SSI benefits reduced to $287, but total income
increases by $385 to $972• Because this increased income is associated with
the job training program, Robert is entitled to the earned income disregard
20
Example of Roberta
• Roberta gets SSI of $587 per month• Housing Choice Voucher lease requires report of
increased income each December• Starts job in July 2004, earning $1,085 per month• Can wait until December 2004 to report increase• However, earned income disregard will still end in
June 2005 (i.e., 12 months after start of work)
21
Individual Savings Accounts
• Tenant may only withdraw the monies deposited in the account for:– Purchasing a home– Paying the education costs of a family member– Moving from public or assisted housing– Paying other expenses approved by the housing
authority that promote economic self-sufficiency• If the family moves from public housing, the
housing authority must pay the family any balance in the account, minus any amounts owed to the housing authority.
22
Family Self-Sufficiency Program
• For persons in public housing or Housing Choice Voucher Program
• Special work incentive to promote employment and increase savings
• Two main components: “Case Management” and “FSS Escrow Account”
• Money going into escrow account largely dependent on increase income from employment
23
Models for Income Reporting
• Federally subsidized programs use one of 2 models
• First model: requires mid-year reporting of wage increases when they occur
• Second model: required reporting of wage increases only upon annual recertification
• Public Housing and Housing Choice Voucher Programs have discretion to allow annual reporting under second model
24
Rent Paying Options
• Tenants in public housing can choose one of two options for rent payment: Income-based rent or flat rent
• Income-based rent: the clear choice for tenant families with low income
• Flat rent: based on actual market value of rental unit
• Can change from flat rent to income-based rent based on financial hardship
25
Minimum Rents and Financial Hardship
• Public Housing Authorities and Public Housing Agencies must establish minimum rents for tenants with little or no income
• Range of minimum rents: from $0 to $50 per month
• “Hardship Exemptions” from minimum rent requirements must be established
26
Determining the Impact of Employment Income On Costs
• Identify the specific federal housing program under which the rent subsidy is being provided
• Identify the agency or entity that administers the subsidy• Review the PHA’s Administrative Plan including any PHA
policies on income re-determinations and adjustments• For public housing tenants, review the flat rent option• Make sure earned income disregards are being correctly
applied• Check to see whether the PHA or housing authority is
participating in the Family Self-Sufficiency Program• Make sure consumers are aware of the right to request a re-
examination of income at any time
27
Resources
• www.hud.gov• www.hud.gov/group/disabilities.cfm• www.hudclips.org• www.huduser.org
28
Additional Resources• Housing Choice Voucher Program, contact Office of Public and Indian
Housing, Department of Housing and Urban Development, 451 Seventh Street SW, Washington, DC 20410, telephone (202) 708-0477, ext. 4064
• Section 8 Project-Based, contact Office of Housing, Department of Housing and Urban Development, 451 Seventh Street, SW, Washington, DC 20410; telephone (202) 708-3000
• Section 811 Supportive Housing Program for Persons with Disabilities, Office of Housing, Department of Housing and UrbanDevelopment, 451 Seventh Street, SW, Washington, DC 20410, telephone (202) 708-2866, ext. 2473
• For all of the above telephone numbers, persons with hearing or speech impairments may call 1-800-877-8339 (Federal Information Relay Service TTY). (Other than the “800” number, the telephone numbers are not toll-free numbers.)
29
Additional Resources• Greater Upstate Law Project (GULP) www.gulpny.org• Center on Budget and Policy Priorities, 820 First St. NE,
Suite 510, Washington, DC 20002, telephone (202) 408-1080, contact Will Ficher, www.cbpp.org
• National Housing Law Project, 1012 14th Street, NW, Suite 610, Washington, DC 20006, telephone (202) 347-8775, www.nhlp.org
• Office of HIV/AIDS Housing, David Vas, Director, US Department of Housing and Urban Development, 451 7th Street, SW, Washington, DC 20410, telephone (202) 708-1934, ext. 4620; TTY (202) 708-1455; 1-800-877-8339, www.hud.gov/offices/cpd/aidsshousngprograms/index.cfm
31
WRAP UP√ Complete your program evaluation√ Access toll free technical assistance 24/7 at
1-888-224-3272 √ Use your Resource Directory√ Subscribe to the FREE Benefits Planner by
calling the number above√ Subscribe to the FREE statewide listserv by
emailing your request to [email protected]√ Order transcript at 1-888-224-3272
32
Next Program
• Role of Transition Planning in Serving Youth with Disabilities
• April 16, 2004 • 2:00 – 3:30 PM