Introductions

2. Introductions • Your name • Where you work • Your job responsibilities • How long you have been in the industry • What you hope to get from this class Course 4: Fair Housing

3. Introductions (Cont’d) • What types of properties do you manage? • Senior properties? 55+ or 62+? • Project-based subsidized? • Military housing? • Tax credit/Bond/Home? • Conventional? • Mobile home Park? Course 4: Fair Housing

4. Agenda • Fair Housing Laws • Government Housing Programs • Families with Children • People with Disabilities • Management Practices • Fair Housing Complaints Course 4: Fair Housing

5. Fair Housing and Accessibility Laws • The Civil Rights Act of 1866 • Title VI of the Civil Rights Act of 1964 • Title VIII of the Civil Rights Act of 1968 (Fair Housing Act) • Section 504 of the Rehabilitation Act of 1973 • Fair Housing Amendments Act of 1988 (FHAA) • Housing for Older Persons Act of 1995 • Americans with Disabilities Act of 1990 Course 4: Fair Housing

6. The Civil Rights Act of 1866 • Declared all people born in the United States are citizens and have the same rights regardless of race, color or previous condition of slavery or involuntary servitude. • Gives all citizens the same right to inherit, buy, lease or sell property regardless of race and color. • Was followed by segregation laws (“separate but equal”). • Is an active law today, often cited in cases of intentional racial discrimination. Course 4: Fair Housing

7. Title VI of the Civil Rights Act of 1964 • Federally-subsidized and public housing are covered by this law. • Protects individuals from discrimination based on their race, color, religion or national origin in programs or activities that receive federal financial assistance. Course 4: Fair Housing

8. Title VIII of the Civil Rights Act of 1968 (Fair Housing Act) • refuse to sell or rent to or discriminate against a person in terms, conditions, privileges or advertising; • threaten, coerce, intimidate or interfere with anyone exercising a fair housing right or assisting others who exercise that right; or • indicate any limitation or preference based on race, color, religion, national origin or sex (added in 1974). This law, and its subsequent amendment in 1974, makes it illegal to Course 4: Fair Housing

9. Section 504 of the Rehabilitation Act of 1973 • Section 504 applies to the availability of services, accessibility, delivery, employment and the administrative responsibilities of organizations toward the disabled if property is receiving federal financial assistance. • Provides protection against discrimination for persons with disabilities in federally-assisted housing and other federal-assistance programs. Course 4: Fair Housing

10. Fair Housing Amendments Act of 1988 (FHAA) Added two (2) more protected classes: • Familial status • Individuals with disabilities Added “teeth” to the enforcement of fair housing laws. Course 4: Fair Housing

11. Housing for Older Persons Act of 1995 (HOPA) • It eliminated the requirement that 55 and older housing have "significant facilities and services" designed for the elderly. • It established “good faith reliance” immunity from damages for persons who believe a 55 and older exemption applies to a certain property if the property so states in writing. Course 4: Fair Housing

12. Americans With Disabilities Act (ADA) of 1990 • Deals with public accommodations and services operated by private entities and requires that facilities that are open to the public be accessible to persons with disabilities (this would include the Leasing Office of the apartment community). • People with disabilities who visit the public areas of the property must have access to all services and amenities, such as parking, curbs, ramps, stairs, elevators, public drinking fountains, restrooms and public telephones. Course 4: Fair Housing

13. Federal Protected Classes • Race • Color • Religion • National Origin • Sex (Sexual Harassment) • Familial Status • Handicap Course 4: Fair Housing

14. If You Transfer, Know the Laws It is extremely important that a community manager who transfers from one state to another, or from one city to another, learns the laws particular to that city, county, and State. • Always research what differences there may be in the fair housing laws. This includes local ordinances and amendments. Course 4: Fair Housing

15. Types of Discrimination Intentional Discrimination • Intentional discriminatory acts or inactions based on the person’s protected class. Disparate Impact or Discriminatory Effect • When a neutral policy or procedure has a disproportionately negative impact on a protected class. Course 4: Fair Housing

16. How To Comply • Create a written fair housing policy detailing the company’s fair housing practices. Provide it to all staff members, and make sure applicants and residents are aware of it. • Set occupancy standards conforming to applicable local and state laws and guidelines. • Post occupancy guidelines clearly in offices where applicants will see them. • Establish specific, non-discriminatory rental criteria, and apply them consistently. Make sure all applicants are aware of the criteria. • Treat all applicants and residents in a fair and consistent manner. Course 4: Fair Housing

17. How To Comply (Cont’d) • Consult local and state government agencies to verify if additional fair housing laws are in effect. • Display a federal Fair Housing poster (11 inches by 14 inches) in a conspicuous location in all rental and sales offices. • Maintain all records for a minimum of three years, maximum of four years, including written policies, applicant and resident contact forms, completed applications, phone logs and all other documentation in the files, as all records are subject to review if a fair housing complaint is filed. The documentation will also be necessary defense evidence. Course 4: Fair Housing

18. Establishing Rental Criteria • Rental qualifications must be reasonable and non-discriminatory • They can include: • Credit history • Rental history • Occupancy limitations • Other objective standards Course 4: Fair Housing

19. Five Things Fair Housing Law Does Not Cover • Fair housing laws do not guarantee a person the right to housing they cannot afford. • Owners are not required to rent to anyone involved in illegal drug activity. • Owners may set rents at whatever the market (or rent control ordinances) will allow. Course 4: Fair Housing

20. Five Things Fair Housing Law Does Not Cover (Cont’d) • Property owners can apply nondiscriminatory rental criteria designed to evaluate an applicant’s credit history and reliability. • Property owners can refuse to rent to an individual if there is documented, reliable information that shows the individual is a direct threat to the health and safety of the residents or property. Course 4: Fair Housing

21. Federally-Assisted Housing Programs • Most federally-assisted housing programs fall into three (3) categories: • Public housing programs • Funding for privately owned and managed properties • Tenant-based subsidies • (Tax Credits) Course 4: Fair Housing

22. Federally-Assisted Housing Programs Course 4: Fair Housing

23. Federal Rent Subsidy Programs – Project-based • Families receive the benefit of a rental subsidy, known as a housing assistance payment, equal to the difference between their share of the rent and the rent charged by the owner. Adjustments are made if the rent does not include all utilities. • Public or private owners receive the housing assistance payments directly from HUD or from a Public Housing Authority (PHA) that administers the program for HUD for a fee. Course 4: Fair Housing

24. Section 8 Voucher Program • Must accept vouchers in tax-credit properties. • This program assists very-low income families, the elderly and the handicapped to secure decent, safe and sanitary housing in the private market. Participants can find their own housing, including single-family homes, townhouses and apartments. • An eligible family is issued a voucher and is responsible for finding suitable housing where the owner agrees to rent under the program. • The subsidy is paid directly to the owner with the family paying the difference between the voucher amount and market rent. Course 4: Fair Housing

25. Section 8 Termination Requirements • An owner’s ability to terminate such a tenancy without cause is limited by • Federal law • The terms of the HUD-required lease addendum • In project-based subsidized programs, termination of tenancy always requires cause. • Always consult with an experienced attorney when terminating a subsidized tenancy. Course 4: Fair Housing

26. Types of HUD Reviews Course 4: Fair Housing

27. Sanctions for Violations • Remove the manager for failing to maintain physical condition of the property  follow proper management practices  keep proper records and reports  observe fair housing and equal opportunity requirements • Impose civil penalties, such as fines, with possible referral to the Justice Department for civil action. • Impose criminal penalties, such as fines or imprisonment, for making false statements or misusing funds. Course 4: Fair Housing

28. Familial Status and the Law • The Fair Housing Amendments Act of 1988 prohibits owners and managers from • refusing to rent to families with children • unreasonably restricting family’s use of facilities • establishing restrictive “children’s rules” • Senior housing is exempted from familial status laws. Course 4: Fair Housing

29. Protections under Familial Status • Households containing one or more people under the age of 18 who live with a parent or guardian. • Households with pregnant women. • Foster and adoptive families. • People in the process of adopting or becoming a foster family. • Households in the process of acquiring legal custody of a child under the age of 18. Course 4: Fair Housing

30. The Keating Memorandum • The Keating Memorandum states that 2 persons per bedroom can be considered a reasonable policy unless there are special circumstances allowing more persons. • HUD uses this policy for enforcement purposes. Course 4: Fair Housing

31. Which action could create a liability risk? • You adopt occupancy standards limiting the number of children that may live in the apartment. • You ask a prospect how many people will occupy the apartment and he says “Four – me, my wife, and our two children.” • You count a pregnant woman as two people when deciding which apartment she may rent. • You base your rent partly on how many children live in an apartment. Course 4: Fair Housing

32. Complying with Fair Housing Law • Do not prohibit children from using the facilities, but requiring adult supervision is permitted if there is a legitimate and verifiable health and safety risk. • Establish those age-related supervision requirements that are necessary for the health and safety of the children or the protection of the property, based on a verifiable source. • Ensure the property is internally and externally safe for all residents, including children. • Use advertising materials that do not suggest a preference for applicants without children (except in senior housing). Course 4: Fair Housing

33. Complying with Fair Housing Law (Cont’d) • Do not charge a higher security deposit to households with children because there may be more wear and tear on the apartment. • Always have your rules reviewed by counsel. • Remove all references to children from the lease, occupancy standards, house rules and other documents unless there is a legitimate health and safety reason for doing so, such as supervision of children at a swimming pool. Course 4: Fair Housing

34. Potential Dangers on the Property • The owner of a rental property cannot restrict or steer families with children from a property because the property presents risks to the health, safety or welfare of children. • Any such conditions, where possible, should be corrected rather than used to discourage families with children by emphasizing the unsafe conditions for children. Course 4: Fair Housing

35. Potential Dangers on the Property (Cont’d) • If the community manager is directed to explain to applicants about any possible dangers, he/she must do this carefully and consistently with all potential residents (not just those with children) in order to avoid the appearance of illegal steering. • It should be clear that he/she is not steering an applicant away from renting, nor will the terms, privileges or conditions relating to their occupancy be affected. Course 4: Fair Housing

36. Examples of Reasonable Restrictions for Children • Prohibiting children under (age) from swimming in the pool unless an adult is present, per state or local law. • Requiring adult supervision for children under (age) when using the spa, per state or local law. • Don’t require the adult to be a parent. Course 4: Fair Housing

37. Potentially Unreasonable Restrictions on Children • Children 14 to 18 must be supervised by an adult while using the billiard room. • Children must be supervised at all times. • Children may not play in common areas. • Children under age 5 are prohibited from using the hot tub (unless prohibited by state or local law). Always have your rules reviewed by a knowledgeable fair housing attorney! Course 4: Fair Housing

38. Definition of Disability • Under the FHA, an individual is considered disabled if he or she has a physical or mental impairment which substantially limits one or more major life activities; • has a record of such an impairment; • or is regarded as having such an impairment. Course 4: Fair Housing

39. Definition of Disability (Cont’d) • “Major life activities” means functions such as caring for one’s self, performing manual tasks, walking, seeing, hearing, speaking, breathing, learning, and working. • You may not ask about the nature or severity of the disability. Course 4: Fair Housing

40. Rules for Subsidized Communities under Section 504 • Section 504, introduced earlier, is entirely devoted to disability on federally subsidized properties. • Because there are specific programs for the disabled, including accessible housing for wheelchair users and those who are hearing and vision-impaired, management is required to ask certain qualifying questions. Course 4: Fair Housing

41. Rules for Subsidized Communities At a subsidized community with these programs, a manager can ask an applicant or resident for more information if • the existence of the disability will help determine eligibility, • the person is eligible for an accessible unit, • the applicant or resident asks for a reasonable accommodation or Course 4: Fair Housing

42. Rules for Subsidized Communities (Cont’d) • if the applicant or resident is eligible for an allowance for medical expenses. • The manager may NOT ask about the nature or severity of the individual’s disability. • If necessary, the manager must obtain • written verification from a third party that a member of the household meets at least one of the applicable definitions for disabled individuals and • written verification from a third party of the expected medical expenses for the next twelve months. Course 4: Fair Housing

43. Information the Rental Application Can Include (Subsidized Only) • An opportunity to request an accessible apartment. • An opportunity to describe any accommodations and/or any accessible features needed. • A description of the definition of the eligibility criteria for the property, followed by the question “do you meet this criteria?” with a choice of yes or no. • A question of whether the applicant wants the expenses for continuing prescriptions and other medical expenses considered for medical deductions from the applicant’s income. Course 4: Fair Housing

44. Accommodations & Modifications • Accommodations are changes in the rules, services, practices or policies that allow individuals with disabilities equal enjoyment of housing but do not change the nature of the program or pose undue financial or administrative burdens on the provider. • Modifications are changes to the physical characteristicsof a residence or to the common areas of a building. Course 4: Fair Housing

45. Qualifying for an Accommodation or Modification • An oral or written request must be made first. • Verification • If obvious – no verification required • If partially obvious – verification of non-obvious part only • If not obvious – verification required Course 4: Fair Housing

46. Qualifying for an Accommodation or Modification • Verifiers • Doctor or medical professional • Credible third party (e.g., case worker) • Non-medical service agency (e.g., Canine Companions for Independence) • Peer support group (e.g., A.A or V.A.) • Self-statement (e.g., receiving SDI if under 65; receiving SSDI) Course 4: Fair Housing

47. Examples of Accommodations • Allowing an assistive animal to live in apartments with a “no pets” policy. • Providing a reminder that rent is due for a person with a developmental disability. • Providing a reserved parking space when reserved parking is not otherwise provided. • Using oral presentation of material or providing written material in large print or Braille for the vision impaired. Course 4: Fair Housing

48. Examples of Accommodations (cont’d) • Allowing a live-in caregiver in a unit with a disabled resident even if the caregiver’s presence exceeds the maximum occupancy standards for the property. • Altering chemicals used for pest control or maintenance or, if alternative chemicals are not effective, providing a notice period to an allergic resident several days prior to using the chemicals in their building. Course 4: Fair Housing

49. Accommodations - Assistive Animals • Fair housing laws prohibit owners from refusing to allow a disabled person to have an assistive animal. This includes • A guide animal • An alert or signal animal • A service animal • A companion animal Course 4: Fair Housing

50. Accommodations - Assistive Animals (Cont’d) • An assistive animal is not to be viewed as a “pet.” • An assistive animal is not necessarily a dog. It may be a cat, bird, miniature horse, monkey or guinea pig, to name a few. • An assistive animal may be formally or informally trained or an untrained therapy or companion animal. • No certification or proof of training may be required. Course 4: Fair Housing