VT Re-Housing Recovery Program FAQs

An eligible unit would be an existing rental unit that is currently vacant. [Vermont legislature defines vacant as unit that has been vacant 90 days or more.]   It could be an apartment, single family home, duplex, mobile home, or accessory apartment.  The money can be used to “create” a new unit of housing – either through the conversion of existing space into a code-compliant unit, or restructuring an existing unit into multiple, smaller units.  A small amount of occupied units may be considered if there are adverse property conditions that may threaten an occupant to lose their Section 8 Housing Choice Voucher.

There must be existing code violations or health and safety repairs that need to be addressed, for example: electrical/plumbing work, fire safety improvements, leaking roof, new heating system.  However, there is flexibility to make additional upgrades if any funds remain after the necessary repairs are made.

The property owner should apply with a basic idea of the work that needs to be completed to bring the unit in compliance with rental housing code.  Windham & Windsor Housing Trust (WWHT) will do a site visit to verify that the scope of work meets program guidelines, as well as any other items that may need to be addressed.  The property owner must select the contractor and have a contract the ensures completion in time to meet the December 20 deadline.

The town health officer and regional Division of Fire Safety officer are willing to inspect your rental units to help make sure you don’t overlook any provisions of the VT Rental Housing Health Code and other life-safety codes when you are developing the scope of work for your project. You should anticipate that these code officials will inspect your property when the project is complete and approve it for occupancy, so it will be to your benefit to work with them from the start on developing the scope of work and obtaining the proper permits.

The maximum grant amount is up to $30,000 per unit.  Property owners can apply for up to 15 eligible units.

Units will be selected on a first-come first-serve basis, as long as the following requirements are met:

1. The property is not delinquent on any property taxes, mortgage payments, or has any other adverse lien(s) and is not in foreclosure.
2. The property owner must contribute a 10% match (up to $3,000 of his or her own funds)
3. Written agreement that the property owner will review applicants from the Continua of Care when the unit is ready to be leased up.
4. Written agreement that the property owner will agree to lease their rehabbed units at or below the HUD Fair Market rents for at least five years.
5. Units are vacant and eligible (see question 1)
6. The project is shovel ready and can reasonably be completed by 12/20/20. Verification and or a contract documenting that from your contractor would be helpful.

Property owners are required to match at least 10% of their own funds.  If the project is estimated at $20,000, a match of $2,000 is required.  WWHT asks that the property owner pay their funds first to the contractor (i.e. initial deposit) and provide WWHT with a receipt. 

After your initial 10% match contribution, you will be paid in progress payments.  You can receive up to 25% at the start of the project, another 25% when the project is halfway completed, and 40% when construction is done.  The final 10% will be paid when the unit is leased up. 

Please include contact information for all the property owners on the application.  They all must agree to and sign a Housing Subsidy Covenant, which will be recorded in the land records.

All owners must agree to sign a Housing Subsidy Covenant, which will require compliance with keeping rents at or below HUD Fair market rents.  Each year, a landlord certificate must be sent to the Vermont Department of Housing and Community Development.

They usually change once a year, but the current rental limits are:

Windham           Windsor

Studio Apartment:          $732                    $702

One Bedroom:                 $816                    $846

Two Bedroom:                 $1,024                 $1,018

Three Bedroom:              $1,276                 $1,416

Four Bedroom:                $1,465                 $1,536

HUD Fair Market Rents are posted annually and can be found through

https://www.huduser.gov/portal/datasets/fmr.html

It’s a provision of the CARES Act funding that Vermont got from the Federal Government in response to the COVID-19 Pandemic.  Unfortunately, WWHT has no control over this deadline and we understand the challenges associated with it.

Unit should be completed construction and ready for occupancy by 12/20/2020.  A lease should be signed by that date as well.

If construction is not completed by the deadline, you will forfeit the undisbursed remainder of the grant funds, and may incur a penalty.

This is a statewide effort to help end homelessness in Vermont.  Each community has a lead agency (listed below) where there is a coordinated entry system to connect homeless households with housing and services.  By enrolling your unit in this program, it is required that you review at least three referrals from the Continuum of Care to fill these rehabbed units.  However, you can maintain your usual qualifications in screening these applicants.

Continuum of Care Contacts

Windham South – Serving towns of Stratton, Jamaica, Townshend, Athens, Westminster, Brookline, Wardsboro, Newfane, Putney, Somerset, Dover, Dummerston, Wilmington, Marlboro, Brattleboro, Whitingham, Halifax, Guilford and Vernon. 

Rhianna Kendrick
Groundworks Collaborative
802-230-7760
rkendrick@groundworksvt.org

Windham North and Windsor South – Serving Windham County towns of Grafton, Londonderry, Rockingham and Windham; and Windsor County towns of Andover, Baltimore, Cavendish, Chester, Ludlow, Plymouth, Reading, Springfield, Weathersfield, Weston, West Windsor, and Windsor.

Sue Graff, MS
VT Agency of Human Services
Field Services Director
Brattleboro & Springfield Districts
Sue.graff@vermont.gov

Windsor North – Serving Windsor County towns of Bethel, Rochester, Stockbridge, Barnard, Hartford, Hartland, Norwich, Pomfret, Royalton, Sharon, Bridgewater and Woodstock.

Linda Anderson
Capstone
802-728-8022
landerson@capstonevt.org

Yes, you are allowed to maintain your standard qualifying factors in selecting tenants. However, WWHT asks that you accept the Vermont Common Rental Application, as well as review at least three referrals of homeless families that are connected to the services offered by the Continuum of Care to help connect them to these vacant units.