MHSA AND HOUSING:
Understanding the Relationship – Recognizing the Opportunities
MHSA Regional Training IICorporation for Supportive Housing
www.csh.org
HOUSING
– PERMANENT: Not time limited, not transitional;
– AFFORDABLE: For people coming out of homelessness; and
– INDEPENDENT: Tenant holds lease with normal rights and responsibilities.
SERVICES
– FLEXIBLE: Designed to be responsive to tenants’ needs;
– VOLUNTARY: Participation is not a condition of tenancy; and
– INDEPENDENT: Focus of services is on maintaining housing stability.
HOUSING AND SERVICES
Who Is Supportive Housing For?
People who are homeless or
at-risk for homelessness
- and -
face persistent obstacles
to maintaining housing,
such as mental health issues,
substance use issues,
other chronic medical issues,
and other challenges.
Supportive Housing Is For People Who:
BUT FOR HOUSING cannot access and make effective use of treatment and supportive services in the community; and
BUT FOR SUPPORTIVE SERVICES cannot access and maintain stable housing in the community.
MHSA OVERVIEW
The First “Four” Fiscal Years:– FY 2004/05 (Already completed!)
• $254,000,000
– FY 2005/06• $683,000,000
– FY 2006/07• $690,000,000
– FY 2007/08• $733,000,000
MHSA Fund Allocation – Year 1
Education/Training = 45%
Capital Facilities/ Technology = 45%
State Imp/Adm = 5%
Local Plan = 5%
Prevention = 0%
CSS = 0%
Ed&Tr
Cap&T
State
Local
Prev.
CSS
MHSA Fund Allocation – Years 2-4
Education/Training = 10%
Capital Facilities/Technology = 10%
State Imp/Adm = 5%
Local Plan = 0%
Prevention = 20%
CSS = 55%– (5% of Prev & CSS for
“innovative programs)
Ed&Tr
Cap&T
State
Local
Prev.
CSS
Capital and Technology
Total estimated funds through year 4 = $325 million
State has yet to determine split between technology and capital facilities
State has yet to determine allocation formulas and procedures
MHSA Fund Allocation – Years 5+
State Imp/Adm = 5%
Prevention = 20%
CSS = 75%– (5% of Prev & CSS for
“innovative programs)
NOTE: Capital Facilities is no longer a “set aside” but counties can choose to devote CSS funds to meet capital needs on an ongoing basis!
State
Prev.
CSS
“One Time” Funding
In the current fiscal year only, every county will have access to “One Time” funds.
These are Community Service and Support funds.
They can be used in a variety of ways. They can be used for capital expenses but
should not be confused with “Capital Facilities and Technology” set aside funds
What Does MHSA Have to Do With Housing?
Lots of agreement among consumers and family members, county mental health directors and other stakeholders Safe, affordable, stable housing is a foundation for
recovery, resiliency, and wellness Reducing homelessness is a major focus of MHSA
implementation and performance measurement Consumers and families need a range of housing
options
Preliminary Findings from the AB2034
Housing Strategies Evaluation
Purpose of Evaluation
Identify the range of housing strategies implemented by the 34 counties that have received AB2034 funding;
Determine if there is any correlation between the housing strategies or range of strategies that a county (or program within a county) employed and successful housing outcomes for AB2034 participants;
Begin to calculate the immediate and projected long-term costs associated with each housing strategy.
Housing is Really Important!
If you give consumers housing, they are MUCH more likely to stay enrolled in the
program.
Major Findings
Consumer Preferences
Most consumers want their own apartment without roommates
Majority of consumers don’t want the structure and rules associated with “clean and sober” housing, but program staff think consumers need a mix of housing models (including “clean and sober” and “low demand” housing)
Nearly all counties report that there is not enough affordable housing available in their community
Major Findings
Housing Outcomes
Programs that enroll “more challenging” consumers (those that have had longer histories of homelessness or more barriers to housing stability) are not getting worse results in terms of housing outcomes, in fact sometimes the results are better
“Housing readiness” is not a good predictor of housing outcomes
Major Findings
Housing Makes a Very Big Difference
There is wide variation among counties/programs in the proportion of ever-enrolled consumers who are now in stable housing. The range is 11% to 62%.
There is a very strong correlation between having a high proportion of ever-enrolled consumers who are in housing and having a very low proportion of consumers who dis-enroll.
Major Findings
Housing Strategies
Some strategies are being used by nearly every county – and offered to virtually every consumer. These include:
Advocacy on behalf of individuals to help them find and get housing
Supportive services to help people keep housing Back-up problem-solving help for landlords
Major Findings
Housing Strategies, cont’d
Other widely implemented housing strategies include:
Assist consumers to apply for housing subsidies Provide short-term subsidies or help with move-in
costs Provide long-term rent subsidies to some consumers
(This strategy may have negative cost implications over the long term, particularly if Section 8 becomes less available.)
Provide temporary or transitional housing to get people off the streets and/or for respite/crisis
Major Findings
Housing Strategies, cont’d
Some strategies are used in about half of the counties/programs:
Actively recruiting landlords, systematically finding available units, making arrangements with landlords to secure the next vacant unit
Master-leasing buildings or apartments within buildings and sub-leasing units to consumers
Use AB2034 funds to secure dedicated or set-aside units for consumers
Major Findings
Housing Strategies, cont’d
Strategies more likely to be implemented in large/urban counties:
Administer Section 8 or Shelter + Care rent subsidies that are available to consumers
Partner with Housing Authority or other public agencies that control rent subsidies
Work with other supportive housing providers
Major Findings
Housing Strategies, cont’d
Strategies more likely to be implemented in smaller/rural counties:
Offering maintenance or cleaning – either ongoing to help tenants keep housing or when tenants move out to keep landlords willing to rent to other consumers
Major Findings
Housing Strategies, cont’d
A small, but growing number, of counties/programs are getting involved in
developing or operating permanent supportive housing.
Major Findings
Overall Focus of Housing Strategies
About a third of counties/programs report that the primary focus of their housing activities is on helping INDIVIDUALS
About two-thirds report that their housing activities focus on BOTH helping INDIVIDUALS and EXPANDING HOUSING OPPORTUNITIES by working to develop housing and/or build partnerships with landlords
Major Findings
What is Most Needed?
More affordable housing Permanent supportive housing Landlords and property managers who are
tolerant and understanding of consumers “Wet/Damp” and “Harm Reduction” housing
models for people with substance use problems Support for both landlords and tenants Wide range of housing options
The Financial Structure of Supportive Housing
Priority Populations for Housing
Adults/older adults with serious mental illness who are homeless or inappropriately housed in restrictive settings
Youth and young adults diagnosed with SED/mental illness who are at risk of homelessness
Families with children/youth diagnosed with SED who are experiencing housing instability or homelessness that interferes with treatment and recovery / resiliency
1. Housing Choice
2. Housing and Services Roles are Distinct
3. Housing Affordability
4. Integration
5. Tenancy Rights / Permanent Housing
6. Services are Recovery-Oriented and Adapted to the Needs of Individuals
What is Supportive Housing?6 Dimensions of Best Practice
Strategies for Creating More Housing Options for Consumers
Development of new buildings Acquisition and renovation of existing buildings Long-term lease agreements with private landlords
for single units or entire apartment buildings (master-leasing)
Identifying private landlords who rent directly to consumers– “Rent Plus” strategies
Three Types of Financing for Supportive Housing Costs
Capital (land or buildings) Operating costs (or rent subsidies) Services
MHSA Capital facilities funds may be used for capital costs and/or for capitalized reserve for operating costs of capital projects
MHSA Community Services and Supports funds may be used for operating costs and/or services (and in years 5+ may be used for capital)
The Three Fundamental Elements of Capital Facilities
Create Housing& other Facilities
Manage the Asset
Support Tenants / Clients
STAYSWORKS
EFFECTIVE
The Three “Flavors” of Money
Capital Operating
Services
Targeting Investments to Change the Equation
Capital Operating
Services
ADDING HEREReduces Costs Here
$$ Here can be a magnet for capital and
operating funds.
ADDING HERE
Can ‘leverage’ debt
Purchasing land or buildings Construction or rehabilitation costs for
buildings or office / meeting spaces Adequate reserves for projects to cover gaps
in operating costs in future years Related “soft” costs for development including
strategies to build community acceptance for projects
Capital Facilities Costs May Include (Proposed)
Decisions about how to use MHSA funds for capital facilities must be guided by the MHSA Vision and Guiding Principles
Investments in capital facilities should help achieve desired outcomes of MHSA– Safe and adequate housing; reduction in
homelessness– Timely access to needed help, including times of
crisis– Reduction in involuntary services and incarceration
Guiding PrinciplesThe Same Goal = Transformation
County’s proposed uses of these funds must be aligned with planning for Community Services and Supports – Meet identified mental health needs in the
community– Focus on unserved and underserved individuals and
reducing ethnic disparities– Support implementation of identified strategies
Guiding PrinciplesThe Same Goal = Transformation
Produce long-term impacts with lasting benefits for clients, such as reduction in hospitalization, incarceration, and the use of involuntary services, and increase in housing stability
Increase the number and variety of community-based facilities supporting integrated service experiences for clients and their families
Support a range of options that promote consumer choice and preferences, independence, and community integration
Capital Facilities Priorities
Invest in options that will be available for the long-term, such as housing that will be affordable and dedicated to consumers for many years
Leverage additional funding from other local, state, and federal sources – and support projects that are financially viable
Capital Facilities Priorities
Other Capital Facilities Priorities
Housing is essential – but not the only need
Consumer / peer operated wellness & recovery support centers
Family Resource Centers Crisis stabilization, residential treatment, and other
alternatives to hospitalization Mental health services co-located with community-
based services including schools, primary care clinics, and supportive housing sites
MHSA Funds Can Leverage Other Sources of Funding for Capital Facilities
Resources available for housing include: MHP Supportive Housing and Special Needs Programs (Prop 46
Housing Bond) administered by Department of Housing and Community Development (HCD)
Special needs loan program from California Housing Finance Agency (CalHFA)
Low Income Housing Tax Credits Federal funding from US Department of Housing and Urban
Development (HUD) including Homeless Assistance Programs coordinated through local “Continuum of Care” and resources administered by public housing authorities (PHAs)
Other resources controlled by City and County governments, which may be coordinated through 10-Year Plans to End Homelessness” or other inter-agency collaborations
State Departments of Mental Health, Housing and Community Development, and California Housing Finance Agency come together to leverage housing and services funds Up to $40 million from Prop 46 Housing Bond funding
redirected to provide loans to housing developers $3.1 million from State’s share of Prop 63 MHSA funds
for rent subsidies
Governor’s Initiative to End Chronic Homelessness
Key Challenges
NIMBY, community acceptance & fair housing Timelines for developing housing or other
facilities Risks related to future costs to sustain new
facilities Partnerships that effectively leverage resources,
skills and experience of different organizations & public agencies
Solutions Will Require Changing Systems
A Few of the Building Blocks
Where to begin …
Collaborative Planning Investment and Leveraging Resources Coordination, Streamlining, and Integration
of Funding Building Provider Capacity
Expect Resistance
The tools of System Change are meant to unsettle old systems while building new ones.
Old systems will resist – they exist because they have survived pressures and onslaughts before.
Services & Housing are not just separate systems, but (many) separate cultures, disciplines, and sets of values.
Who Creates Supportive Housing
A wide variety of entities can create and operate
supportive housing
The deciding factors include the type of SH and
the population to be served, the organization’s
experience and capacity, the competitive
environment, and even the funding sources
Partnerships are also prevalent in SH creation
– Project specific partnerships
– System wide partnerships to build capacity
Who Creates Supportive Housing
Mental Health and other Service Providers
Homeless Service Providers
NFP Affordable Housing Provider
Public Housing Authorities
Private Developers and Private Landlords
SH providers who only create and run SH
Who Creates Supportive Housing
Models for Supportive Housing: Traditional Development
Creates a permanent asset to the community Involves acquisition and construction and the full
compliment of development activities, including finding capital funding.
Can take 2-3 years (or more) to develop Involves establishing on-going funding sources
and providers for operating and services
Models for Supportive Housing: Accessing Existing Housing
Also might be referred to as Scattered Site Housing
Integrates residents into the community Can “retrofit” existing affordable housing and add
services in a single site Once secure rental subsidy secured, can move
very quickly Involves establishing ongoing funding sources
and providers for operating and services
Developing Supportive Housing
Additional CSH Resources: Publications: Not a Solo ActBetween the Lines: Legal Issues in Supportive HousingLaying A New the FoundationFamily Matters
WEB resources: On-line financing summaries (via Resource Library link) MetLife Toolkit to End Long-term Homelessness
Making the Pieces Fit
Organization
Services
Place
Money
Peop
le
Housing Collaborative Training-2006
Who writes your “Housing Element” (google)? Who controls HOME funding? Is there a Redevelopment Authority? Who participates in your Continuum of Care? Who allocates CDBG capital dollars? Is there “affordable” or “workforce” housing in
your community? Find partners through NPH, SCANPH and SDHF
To learn more
about supportive housing
visit our website
www.csh.org