AGENDA #4s
MEMORANDUM
TO: Mayor and Town Council
From: W. Calvin Horton, Town Manager
Subject: Authorization to submit a proposed Calculation of Operating Subsidy for the Public Housing Program for Calendar Year Beginning January 1, 2006
DATE: November 21, 2005
The attached resolution would authorize the Manager to submit a proposed calculation of operating subsidy to the U.S. Department of Housing and Urban Development (HUD) as required by new federal regulations. The subsidy calculation is due to HUD by December 31, 2005.
The U.S. Department of Housing and Urban Development (HUD) has traditionally allocated funding to public housing agencies on a fiscal year basis. Effective January 1, 2006, HUD will change the funding process for public housing agencies by converting from funding on a fiscal year basis to funding on a calendar year basis.
Proposed subsidy calculations that would be necessary to make the transition to calendar year funding are due to HUD by December 31, 2005. We have not yet received the information and documents from HUD that are needed to prepare subsidy calculations. We expect to receive the information and documents by November 30, 2005.
The subsidy information we would submit to HUD by December 31, 2005 would be similar to the information approved by the Council on March 7, 2005, and submitted to HUD on April 1, 2005, but will be based on allocation documents not yet received from HUD.
Although HUD will be converting to calendar year funding on January 1, 2006, our operations will continue be on a fiscal year basis beginning on July 1 and ending on June 30th .
Because there are no regular business meetings of the Council during December, we recommend that the Manager be authorized to submit proposed subsidy calculation documents to HUD by December 31, 2005. We will report to the Council at its January 23, 2006 meeting on the information that was submitted to HUD.
That the Council adopt the attached resolution authorizing the Manager to submit a proposed calculation of operating subsidy for the public housing program to the U.S. Department of Housing and Urban Development.