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Families worry about losing HUD funding

As the partial Government shutdown continues many people worry they could get kicked out of their apartments because they won't be able to afford rent without HUD or Section 8 funding.

NORFOLK, Va. — As the shutdown continues, more people will start to feel the effects. 

Several housing advocates are worried that thousands of people that are low-income could now be at risk of getting evicted from their apartments because they may not receive HUD checks while the government is shut down.

"I'm on edge. I'm on edge because I didn't think we were safe,” explained community member Idalmys Ferro.

Families who rely on HUD or Section 8 funding have some legitimate concerns. The partial government shutdown means some could be at risk of getting evicted because they can't afford the bill without government help.

"Their nerves are shot, they just don't know what they are going to do," said Ferro.

Norfolk Redevelopment and Housing Authority's Executive Director John Kiownack said if you live in Norfolk’s public housing or receive section 8 vouchers, you don't have to worry right now.

"We do not have any intent or plans to change the way rent is calculated at this time," explained Kiownack.

Kiownack said Norfolk Housing Authority is funded by HUD in advance and its goal is to keep a four-month fund reserve. He said if the partial government shutdown lasts until the end of February, the housing authority will dip into its reserve fund.

"We definitely rely on HUD, and we really hurt if they don't hold up their end of the bargain, but we are still obligated to continue providing services and that is our intent," said Kiownack.

The people most at risk are the ones who live in a private apartment that deals with HUD directly. The company or apartment may get its HUD checks monthly and its funding could be cut off in the beginning of February.

Community Alternatives Management Group CEO, Vincent Gallo said he is at risk for loosing funding.  He said he has around 70 properties funded partly through HUD for homeless and disabled individuals. 

Gallo said he has no plan to evict any residents because HUD funding is not currently available.

13News Now reached out to other cities as well. Portsmouth Redevelopment and Housing Authority sent a letter explaining the situation to its residents. 

PRHA provided 13News Now with this statement:

“It’s impossible to predict how long the shutdown will continue, however, PRHA will not be affected for at least 45 days. PRHA received HUD’s standard monthly payment on January 2, 2019, ensuring that PRHA’s Housing Choice Voucher Program (HCVP) and public housing program remain fully funded through January. In addition, HUD’s February funding has been obligated and scheduled for release to PRHA on February 1, 2019. 

If the federal shutdown continues through February and federal funding stops, PRHA does not have enough financial reserves that would allow the agency to provide full services beginning in March 2019. Non-HUD funding and PRHA’s financial reserves will not permit PRHA to pay Housing Choice landlords beginning March 2019.

If there are any changes to this set of facts, PRHA will contact its customers, its HCVP landlord partners, the public, and the media with updates."

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