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For the Fiscal Year Beginning July 1, 2018 and Ending June 30, 2019

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For the Fiscal Year Beginning July 1, 2018 and Ending June 30, 2019 FY 2019 Budget The Housing Authority of the City of Atlanta, Georgia For the Fiscal Year Beginning July 1, 2018 and Ending June 30, 2019 Approved by the Board of Commissioners on June 27, 2018 PDF Page 1 FY 2019 Budget The Housing Authority of the City of Atlanta, Georgia ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ TABLE OF CONTENTS pdf page number Executive Summary.………………..…………...………..………..…..………..………..………..………..………..……..…..3 I. FY 2019 Budget Discussion & Analysis AH Organizational Chart……………………………………………………………………………………………..….…8 Five-Year Plan and FY 2019 Priorities……………………………………………………………………………….….....9 Budget Process……………………………………………………………………………………………………….……16 HUD Funding and Appropriation Process…………………………………………………………………………….…..19 Budget Overview - Three-Year Comparison…………………………………………………………………………...…20 Operating Budget - Sources and Uses……………………………………………………………………………………..23 Development and Revitalization Budget – Sources and Uses…………………………………………………………….37 Impact of Development and Revitalization Expenditures on Future Operating Budgets...……………………………….44 Budget Risk Analysis……………………………………………………………………………………………………...44 Funds Structure and Description………………………………………………………………………………………..…46 Financial Policies……………………………………………………………………………………………………….....49 Glossary of Terms …………………………………………………………..…………………………………………….51 Statistical and Other Information………………………………………………………………………………………….59 II. Department Information - Operating and Corporate Support………………………………………..71 Organizational Chart Mission, function, service description FY 2019 Budget Staffing FY 2019 Initiatives and Performance Measures III. Budget Financial Schedules……………………………………………………………………………………………….176 IV. Support for Certain Financial Schedules and Strategic Contracts……………………………………………..………200 V. Department Financial Schedules………………………………………………..………..………..………..………..……226 PDF Page 2 FY 2019 Budget The Housing Authority of the City of Atlanta, Georgia ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Executive Summary To pave a solid ground for the success of Vision 2022, a number To the Board of Commissioners: of initiatives have already been implemented: Successful reopening of our waiting list in March of 2017— I am pleased to present Atlanta Housing’s FY 2019 adding 30,000 registrants, with preference for those who Comprehensive Budget Book. This document includes critical live/work in the city of Atlanta. information regarding AH’s proposed FY 2019 operating, Creation of a new human development services delivery revitalization and development expenditures, and it reflects the model, which secures financial resources and provides continued initiatives and actions toward our five-year plan, Vision greater access to opportunities that further the economic, 2022: Live. Work. Thrive. educational and wellness advancement of AH-assisted households across programs. As a former commissioner on AH’s board, who served for three Board authorization to enter into a Memorandum of years, I am proud of our achievements since the launch of Vision Understanding (MOU) for $30 million in a co-investment 2022, the agency’s comprehensive and strategic plan that renews opportunity with Atlanta Beltline. Two additional MOUs for the organization’s focus of being the frontrunner of affordable $45 million in co-investments were entered into with housing in the city of Atlanta by building stronger communities Westside Future Fund and Invest Atlanta. This will help and brighter futures for those we serve. utilize MTW funds currently held at HUD. Redevelopment of our former Herndon public housing site Inspired by the belief in the potential of the individual, Vision 2022 was successfully launched with a new developer. Developers takes a people-centered, holistic approach that creates were also procured for over half of Englewood’s 37-acre opportunities for those we serve to live, work and thrive in site. innovative, safe and healthy communities. This ideology rests Conversion under HUD RAD program of three communities upon three vital tenets: as part of the rehabilitation of 422 assisted units at Juniper and Tenth and Piedmont Road high-rises and Villages at Live: Better living is the gateway to a better life (creating modern, Castleberry I, a MIXED community. distinctive, and quality communities). Increase of the real estate division’s core competencies and Work: Economic, educational and wellness opportunities create staffing to manage pipeline development deals. an entryway to independence. Focus added on regulatory compliance with the completion of the design of a new compliance monitoring team. Thrive: Keeping our finances in check by measuring our progress is just good business. PDF Page 3 FY 2019 Budget The Housing Authority of the City of Atlanta, Georgia ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ The enclosed FY 2019 Budget was developed to support the activities and initiatives outlined in our FY 2019 MTW Implementation Plan and, ultimately, to achieve our Vision 2022 and MTW Statutory Goals. Our budget projects sources of funds at $320.8 million from the following: $274.3 million in MTW funds provided by HUD, of which $40.1 million to be drawn from funds held at HUD. 1 $8.4 million from the Choice Neighborhoods Grant. $24.4 million from Replacement Housing Factor Grants. $4.7 million primarily from development-related income earned from deals expected to close during FY 2019. $9.0 million consisting of tenant dwelling income, interest on surplus cash, public improvement funds and other revenue from ancillary sources. As planned, AH reopened its Housing Choice Voucher waitlist in FY 2018, giving preference to residents of and those who work in Our FY 2019 Budget projects that the uses of these funds will total the city of Atlanta. In addition, with the decreasing availability of 2 $314.9 million , primarily for the following: affordable housing options in the city of Atlanta, AH’s budget also provides funding for business marketing and outreach programs to LIVE – Increasing the number of households served. AH’s landlords in order to encourage and expand new landlord highest priority remains to serve more low-income individuals in participation in AH’s Tenant-Based Voucher program. need of affordable housing. As depicted in the following chart, AH has made significant strides toward improving its voucher In total, our budget provides for $157.8 million in housing utilization rate and plans to continue its efforts during FY 2019 to assistance and public subsidy payments, an increase of $7.5 million reach 83.4 percent from less than 70 percent in FY 2015. AH’s goal over the FY 2018 Budget, due to a projected 1,541 gain, net of is to increase this rate to 90 percent by FY 2020/2021. attrition, in Tenant- and Project-Based (HomeFlex) vouchers, as depicted in the chart below. Please note that the units converted 1 Additional funds may be drawn from HUD-held reserve after AH has proven the co- under HUD’s Rental Assistance Demonstration (RAD) Program investment framework is an efficient investing tool. Once proven, AH may seek to increase its commitments based on opportunities that become available. do not represent an overall increase in households served. 2 Please note, this will result in a $5.9 million excess of funds which will be held primarily in AH’s program income and non-federal cash reserves. See page 47 for a more detailed description of AH-held reserves. PDF Page 4 FY 2019 Budget The Housing Authority of the City of Atlanta, Georgia ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Increase in Assisted Units (Section 8) communities. AH will continue its mission of expanding quality New Tenant- Units affordable housing opportunities throughout the city of Atlanta New Fiscal Year Based Converted Attrition Total Gain HomeFlex through its various real estate initiatives, which include the Vouchers under RAD revitalization and continued development of MIXED communities 2017 A 933 76 149 (652) 532 as well as new initiatives. 2018 F 967 630 273 (820) 1,050 To this end, our FY 2019 Budget provides for $92.5 million of 2019 B 1,120 520 677 (776) 1,541 development and revitalization expenditures, primarily comprised of the following initiatives: WORK – Increased focus on building partnerships, securing $23.6 million for the redevelopment of former public financial resources and creating greater access to opportunities. housing sites and acquisitions, primarily at Herndon and To stabilize families and foster growth and advancement, Englewood sites, including a projected $6.0 million for affordable housing must be coupled with incentives and economic, demolition and remediation at the Civic Center site educational and wellness opportunities for our participants. acquired in FY 2018. $22.8 million in
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