Jondi Gumz
The local housing authority is one of more than 200 public housing authorities sharing in $15 million in federal funds to help public housing residents find jobs, increase their income, eliminate the need for welfare and move out of subsidized housing.
“Yes, it is a boost to our community to get any good news from Washington, D.C., these days,” said Ken Cole, executive director of the Housing Authority of the County of Santa Cruz. “We only have 243 units of ‘public housing’ so this grant creates some real opportunity for these families.”
The grant announced Friday is for $69,000 to fund the coordinator of the family self-sufficiency program. Only 15 housing authorities in California were funded.
Over the past 16 years, 84 participants have graduated from the program, including nine who bought a home.
The U.S. Department of Housing and Urban Development required the Santa Cruz housing authority to establish the self-sufficiency program in 1994 for people with Section 8 housing vouchers, with 140 slots available.
The agency started a similar program for residents of low-income public housing with 25 slots available. The new grant is specifically for families in public housing.
The size of the program is decreased by one slot for each family that graduates.
Currently, there are 90 participants, 57 people with housing vouchers, 22 in public housing and 11 in Hollister, where housing vouchers are administered by the Santa Cruz agency.
Participants sign a contract to seek and maintain suitable employment and all family members must become independent of welfare, Cole said.
Goals are set over a five-year period. In Santa Cruz, goals range from post-secondary education and vocation training to career advancement.
Participants get interest-bearing escrow accounts funded by increased income, which can go toward education, a major purchase, or improving a credit score. As the family’s income increases, rent increases, and the housing authority deposits a sum equivalent to the rent increase into the account. If the family completes the contract, the account is paid to the head of the household.
Cole said 59 percent of the participants have escrow accounts with positive balances, with some exceeding $20,000.
The program coordinator connects residents with education and training opportunities, job placement organizations, and employers.
“Family self-sufficiency programs have a proven track record of helping families succeed,” said HUD Secretary Shaun Donovan, noting two studies found participants fared better financially than nonparticipants, and those completing the program gained substantial financial benefits.
Cole said the agency is required to continue the self-sufficiency program regardless of funding.
He noted the agency won grant funding for the coordinator working with voucher families for the past nine years, and for the coordinator working with public housing families for the past four years. The Hollister program was funded in 2009, but is not eligible this year due to the low participation.
