The Section 8 provision in the RAD program needs to go. Guaranteed money is a central player in the RAD program. Section 8 money is considered guaranteed money or in this case secure rent. This points to a source of income as a qualification for tenancy. In this article, I discuss why RAD violates New York’s Source of Income law. And show how the Section 8 provision in RAD violates Fair Housing Laws.
Disclaimer: I am no longer a real estate broker. Nor am I a lawyer. The following is my interpretation of the laws stated previously. I invite those with better knowledge of these laws to comment on my assertions.
A Quick Look Back
“Source of income discrimination has been illegal in NYC since 2008, when then-Council Member Bill de Blasio sponsored a bill to include source of income protections in the NYC Human Rights Law, one of the strongest anti-discrimination laws in the nation.”
Source: Source of Income Discrimination
The intent of the Bill
The bill was supposed to discourage rentals based on where a person’s income originated. Real Estate professionals could not use phrasing such as “No Programs” in ads. I wrote about this and stand against it. It did not make things better for program holders. Instead, it frustrated Section 8 holders in their effort to find an apartment. To better understand the perils of Source of Income read my article.
Discrimination In Source of Income
The Source of Income law states that Section 8 tenants cannot be discriminated against because of source of income. Yet this is exactly why developers like this provision of the RAD program. Section 8 source of income is favored over earned income. This is discrimination. Discrimination in housing is not allowed.
By using source of income–Section 8–as a qualifier for accepting a tenant the developer breaks New Yorks Source Of Income Law. Then there is this; RAD’s segregation of apartments for Section 8 tenants violates Fair Housing.
Fair Housing vs. RAD
There are two things to keep in mind in looking at Fair Housing vs Source of Income in the RAD program.
First: The developer must adhere to Fair Housing laws. Fair Housing Laws are federal, not local. There are no laws that allow for the violation of Fair Housing Laws.
Second: You cannot agree to break the law, (yeah right)
Fair Housing Laws protect people in Protected Classes. Some may say the Protected Class is afforded special treatment. And to an extent that is true.
When developers or owners set aside apartments only for Section 8 they are giving them special treatment. Such treatment is reserved for Protected Classes under Fair Housing Laws.
The Section 8 Provision
Section 8 Is Not A Protected Class
Section 8 recipients are not a protected class. Familial Status is a protected class, not a program. Disabled American Vets is a protected class, not a program.
Important Points
- Section 8 participants are a class but not a protected class.
- Section 8 is a program, not a class.
- RAD converted apartments must be accessible to all classes of people.
- RAD apartments must be shown to all qualified applicants. Not just Section 8.
- The provision of rents paid by Section 8 can remain but the 25% rule must go.
Well-Meaning But Misguided
In Destruction of Public Housing By RAD Can It Be Stopped? I spoke of a roundtable committee that produced a set of principals for RAD in New York. One of those principals seeks to deal with Section 8 tenants. It violates fair housing. Well, meaning but misguided is the attempt.
This principal needs revision or removable.
PRINCIPLES FOR THE RENTAL ASSISTANCE DEMONSTRATION: SUPPLEMENTAL RESIDENT RIGHTS AND PROTECTIONS UNDER RAD CONVERSION
“Waiting List Responsibility NYCHA will administer site-based Section 8 Voucher waiting lists, which will be used to fill all vacancies in RAD-converted developments. NYCHA will notify applicants on the public housing waiting list about how to be placed on the Section 8 waiting list in accordance with HUD guidelines.”
This violates Fair Housing laws, here’s how. This calls for all converted apartments to be for Section 8 tenants. Thereby discriminating against people who do not qualify for Section 8.
Result: If your source of income is not Section 8 you cannot live in RAD apartments. This is a classic case of reverse discrimination.
This section of the RAD program must be re-written or removed.
Note: A part of the provisions which is questionable is the placing of applicants on the public housing waiting list being placed on the Section 8 waiting list. Does this mean that such applicants must become Section 8 tenants? If so, how does this work if the person makes more than Section 8 guidelines.
Consider This Under The Section 8 Provision
Today you are on Section 8 and living in a RAD unit. The next day you get a pay raise. Now your income is out of the level for Section 8. You lose your voucher and Section 8 standing. Where do you live?
You cannot stay in your apartment because you are not on Section 8. There are other apartments but they are under RAD. Because of the Section 8 tenet of the RAD Program you have to leave. But wait, your raise does not give you enough money to afford market-rate apartments. Again, where do you and your family live?
What was once your savior is now your engine for demise.
Everyone Needs A Home
No one doubts that Section 8 recipients need apartments, but so does everyone else. Laws that guarantee fair treatment to all is the only answer. It can be done but politicians have to stop looking for a quick fix, one-stop answer. And violating Fair Housing is not the answer.
Disclaimer
Disclaimer: I am not a lawyer and nothing stated here is legal advice. This article applies to the five boroughs of New York. All information deemed accurate but not guaranteed. Always check the real estate laws in your part of the country.
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