Evaluation of the Section 8 Loan Management Set-Aside Program in Region IX. Phase II Report: Preliminary Assessment of Project Impact

摘要

The Section 8 Loan Management Set - Aside program in Region IX was initiated in March 1976, and was designed to provide financial assistance to tenants of those projects which were owned or insured by HUD, thereby preventing repossession and the subsequent drain on the Department's insurance fund. From the 274 housing projects in Region IX benefiting from this program, 160 projects were selected and a random sample conducted. Data were gathered into a descriptive analysis of Region IX's overall projects and an assessment of the program's initial impact was made through a detailed examination of 25 panel projects from 4 of the largest field offices. Some of the findings based on these data include: (1) over half of the panel projects were funded primarily because of financial difficulty, whereas the remaining projects were funded for rent - burden relief; (2) funding has had a significant impact on vacancy rates in that 60 percent of the panel projects reported reductions in monthly vacancy rates from those for the year prior to funding; (3) tenant turnover has declined in two - thirds of the projects; (4) funding has relieved the burden of many tenants who had to allocate most of their income for rent; (5) the impact of funding has not affected the racial, income, or age characteristics of tenants in the program; (6) the role of management in ensuring a project's financial viability is as crucial as the subsidy program itself; and (7) funding has improved the physical condition of most projects. Other observations and a methodology for continuing evaluation of funding programs are presented.