Important note: Information in this article was accurate in 2005. The state of the art may have changed since the publication date.
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San Francisco Examiner - March 7, 2005
Marisa Lagos, mlagos@examiner.com
People such as Kim Raasch, a 40-year-old living with AIDS, may see the portion of rent they must pay increase by a few hundred dollars - about a quarter of Raasch's fixed monthly income.
The jumps come because the U.S. Department of Housing and Urban Development - which issues Section 8 vouchers for low-income and disabled renters to offset the cost of housing - recently completed its annual analysis of fair-market rents in The City. Its analysis found that rents have drastically decreased, causing HUD to lower its average assistance level by about 16 percent for approximately 7,000 San Franciscans receiving vouchers.
Housing advocates, including AIDS Housing Alliance executive director Brian Basinger, say the new rates are not reflective of the current market, and San Francisco Housing Authority executive director Gregg Fortner called them "ridiculous."
HUD's fair-market rent for a one-bedroom apartment is $1,229; MetroRent, which does regular surveys of The City's rentals, says its most recent figures put the average one-bedroom at $1,574.
The change is putting landlords, as well as tenants, in sticky situations, said Iman Shehadeh, who owns a handful of properties and has numerous Section 8 tenants - one of whom recently moved in and received far less assistance than originally promised.
"I used to favor Section 8 tenants and now I have to think twice," Shehadeh said. "I'm trying to work something out - I can't tell tenants to leave but I'm having a hard time making ends meet, paying my mortgage."
Raasch, who has trouble walking because of an AIDS-related illness that affects his legs, is not only worried about finding a place that will accommodate his disability, but also about the stress that physically moving will have on his health. The portion of rent Raasch pays could jump from $320 a month to $520 under the new assessment, though most tenants will not see a change for at least nine months.
Larry Bush, a spokesman for HUD, pointed out that cities can appeal the fair-market prices if they feel HUD's analysis was inaccurate. Bush said The City has not appealed, but Fortner furnished a copy of the appeal for The Examiner, which is dated Nov. 2.
People with disabilities can also ask for an exception, Bush added.
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