Moving to Work Discussion

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Metropolitan Council Housing and Redevelopment Authority Moving to Work Discussion May 21, 2018 Community Development Committee

What is Moving to Work? Demonstration program launched in 2008 Allows public housing authorities (PHA) the opportunity to create and test innovative, locally designed strategies in how they provide housing assistance. Gives PHAs exemptions from many program rules. Provides flexibility in how they use federal funds. There are 39 MTW agencies 3,300 PHAs nationally Minneapolis Public Housing Authority (MPHA) 2

Moving to Work (MTW) Goals 1. Achieve greater cost effectiveness reduce costs 2. Increase housing choices for low-income families 3. Help residents make progress toward economic self-sufficiency 20 years later no quantitative analysis of program success Is MTW a more effective way of meeting residents needs than traditional Section 8 or Public Housing? 3

Moving to Work (MTW) Research December 2014 MTW Study Catalogues and describes MTW innovations Descriptive with no success measurement July 2017 MTW Study Part II Develop and test performance measures for MTW agencies First ever attempt to quantify the impact of MTW Result = MTW overall has succeeded in its goals in many areas Better performance on self-sufficiency and housing choice outcomes Better able to serve families not reached by traditional housing assistance Better able to offer additional support services to exhibit higher earnings 4

Moving to Work (MTW) Flexibilities Minor Administrative Changes Complete New Business Models Simplify rent calculation Ease administrative process Simplify medical deductions Implement triennial recertifications Use alternative inspection process Eliminate cap on project-based vouchers Award project-based vouchers opportunistically instead of competitively Develop new partnerships Develop new programs Implement work incentives with service provisions Exclude certain income sources Develop landlord incentives Change affordability limits Waive or expand 12-month stay requirement for project-based vouchers 5

Moving to Work (MTW) Opportunities In 2016, Congress voted to expand the MTW program Authorized an additional 100 agencies 97 small to medium agencies (1,000-6,000 units) 3 large agencies > 6,000 units (includes the Council) Expansion agencies will be selected in cohorts to implement specific policy changes Cost effectiveness Self-sufficiency Housing choice 6

Moving to Work (MTW) Potential Expansion initiative likely to continue under current administration Efficiency of government programs Self-sufficiency components Federal push for work incentives and work requirements Regional conversations have been happening Timeline for the expansion unknown Cohorts will be offered through 2023 Small agencies likely to have initial application opportunities May be several years before Council able to apply independently 7

Moving to Work (MTW) Potential The 2016 expansion statute includes: The Secretary may, at the request of a Moving to Work Agency and one or more adjacent public housing agencies in the same area, designate that MTW agency as a regional agency. Consideration Submit a formal request to the U.S. Department of Housing and Urban Development (HUD) to approve a Regional Moving to Work designation for the Minneapolis Public Housing Authority (MPHA), the Council and others in the region, expanding MPHA s current Moving to Work status. Obtaining approval of this regional designation would be a win-win for the Council and families of the region. 8

Considerations Submitting request does not commit the Council to anything Goal is for collaboration to cover a full range of regional strategies while maintaining independent governance and operating structures. Expand housing choice and mobility options Create efficiencies in service delivery Shift focus from administrative process to family success Would include public process Would need congressional support 9

Moving to Work Designation: Discussion and Questions? Terri Smith Director, Housing and Redevelopment Authority Terri.smith@metc.state.mn.us (651) 602-1187 10