04/30/06

Low-income, affordable, subsidized, workforce -- four housing terms that are often used interchangeably but actually have very different meanings.

For Sarasota County residents making $20,000 or less a year, it's the "low-income" housing they're most worried about. Both of the county's public housing authorities are attempting to win large-scale redevelopment deals that could -- potentially -- mean fewer housing units for the poorest of the poor.

That worries people like Valerie Buchand, president of the Janie Poe Residents Council and Residents Task Force with the Housing Authority of the City of Sarasota.

Add in the idea of creating a regional housing authority that combines cities like Venice, Sarasota, Arcadia and Punta Gorda and the concern only increases. The Miami office of the U.S. Department of Housing and Urban Development will have a meeting on the topic Monday at Venice City Hall.

"I would hope they're not trying to combine it just to get rid of it," Buchand said. "When I first heard about it, that was my thought. ... It's almost like we're up for grabs with all these political people, but none of the people I know running for public office even want to take a stand for our rights."

City Manager Marty Black suggested the idea while attempting to resolve controversy about Venice Housing Authority's redevelopment proposal. Every aspect of Venice's project from quality of design, the number of units dedicated to the poor, public input and overpricing has been questioned.

Suggesting a partnership with HACS means Venice could potentially inherit its $137 million redevelopment, and history of multiple failed redevelopment proposals.

Funding the deal

VHA applied Feb. 1 for about $13 million worth of low-income tax-credit financing for the first phase of a 144-unit project, while HACS plans to apply in early 2007 for its project. Venice's project will have an answer this August, and Sarasota's answer will be in August 2007.

These redevelopment projects are being paid for by private developers who've been awarded tax-credit financing. They make their money back through leasing regular tax-credit rental units and, in the case of Sarasota, home ownership units.

Sarasota's project would increase the actual number of subsidized units from 388 to 852. However, the number required to go toward the poorest people under federal guidelines would decrease by 43 units.

VHA originally suggested a similar idea. Members have since said they will veto any deal that doesn't rebuild at least as many public housing units (50) as are there now.

Venice's remaining units (94) would be tax-credit rentals using a flat fee; families making 60 percent or less of median income would qualify. The actual dollar amount varies based upon the individual family, but this amount tends to be less than $36,000 a year.

The breakdown needs to be one-third public housing units, one-third tax-credit units and one-third home ownership in order to make the Sarasota deal go through, according to Carmen Valenti, the HUD representative in charge of SHA.

There just isn't enough money to build more than 282 public housing units, he said.

"We're trying to balance the numbers," Valenti said. "When you try to do the most good for the most people, it's not a simple cookie-cutter solution."

Getting back in

Federal law requires that residents be relocated before any demolition necessary as part of redevelopment can begin. But there are no guarantees for Sarasota or Venice residents they will be readmitted when the project is completed.

Both housing authorities will be drawing up new, stricter admission policies: criminal background checks could be nationwide instead of local; credit checks might be done; and neighbor complaints could be considered.

Residents at both locations fear these could be excuses to keep people who've lived in poor conditions for years from having the chance to finally be in a brand-new apartment.

They also fear they'll be competing with people who make more money. Only 40 percent of public housing units are required to go to families making 30 percent or less of median income -- that tends to be less than $20,000 a year in Sarasota County.

Venice must rent 20 of its current 50 public housing units to people in this income bracket, while HACS is required to rent 155 of its 388 units. VHA members promise this ratio will remain the same, but Sarasota's concept doesn't require more than 282 public housing units; at that number, only 112 units must go to those making less than $20,000 a year.

Hypothetically, a person making as much as $45,000 a year -- 80 percent of median income -- could qualify to rent at either housing authority. Reality says otherwise, with 350 families of HACS make $20,000 or less, with 150 people on the waiting list for Janie Poe Complex alone, according to HACS.

Current residents fear the new apartments will be gobbled up by people making more money, while the "poorest" housing residents will be excluded and only the minimum -- 112 family units -- will be open to them.

Valenti said nothing could be further from the truth in Sarasota. The higher-income families (around $36,000) will initially be directed toward the 200 tax-credit rentals.

Pushing out minimum-income residents in favor of maximum-income ones is "something we haven't even considered doing."

"There's no way I would institute those policies, at least not while I'm here," Valenti said.

Preiksat has been highly critical of the Venice and Sarasota redevelopment projects, and his comments in an April 23 story of the Gondolier Sun angered Valenti and HACS Executive Director Bill Russell. Initially, Valenti said Preiksat has "no credibility at all," but both have since promised to work together.

Valenti was upset because Preiksat said HACS is "so bad, you can't even imagine how bad it is" and that consolidating VHA into Sarasota's would harm Venice's chances of improving local conditions. The attorney also criticized the reduction in actual public housing units.

Housing issues affect everyone, Preiksat said, pointing out that a retired or disabled person who receives a monthly $1,200 Social Security check qualifies as the poorest of the poor -- $14,400.

There are more than 400 senior citizens on the waiting list for an apartment in Sarasota.

"This is the future," Preiksat said. "We have all these baby boomers approaching retirement, and none of them have any savings.

"Social Security won't be enough. ... People say these are minorities and they deserve it. I tell you what, in another five or 10 years, this problem of shelter you can afford, living on Social Security, is only going to get worse. Pension plans, retirement plans, everything our parents knew is gone, fallen apart -- and that's why you better pay attention."

By J.J. Andrews

Assistant Editor

http://www.venicegondolier.com/NewsArchive3/043006/tp1vn6.htm