Download Guidelines for Registered Housing Agencies

Guidelines for Registered Housing Agencies
Policies for tenant eligibility, allocation and rent setting for
community housing properties funded by the Department of
Human Services
Introduction
Partnership with Registered Housing Agencies (RHAs) is a key way the Victorian Government provides affordable
housing to those unable to afford or access the private market.
The Department of Human Services (DHS) has established policies to ensure that government funds provided to
RHAs are targeted to those most in need. Compliance with these policies is generally a written condition of capital
grant funding or stock transfer.
This document provides an overview of current policy directives for RHAs that have received capital grant funding
or transferred stock from DHS. RHAs will be required to report to the Housing Registrar on compliance with these
criteria.
Eligibility
Income Eligibility
An applicant’s level of income will be used to help determine eligibility for community housing that is funded by
DHS.
The income eligibility limits are broader than those currently applied to public housing applicants. These higher
income limits help RHAs to house tenants from a wider social mix and provide a broader revenue base to support
further investment in new community housing.
The maximum income eligibility limits for applicants are linked to entitlement to full Commonwealth Rent
Assistance. Any variation to the maximum income limits requires the written approval of the Director of Housing.
Income eligibility limits are outlined in the following table:
Department of Human Services – September 2014
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Income Eligibility Limits for Applicants for DHS Funded Community Housing Applicable from September 2014
Household Size
(Includes children of any age)
1 Person
2 Persons
3+ Persons
$934
gross per week
$1,430
gross per week
$1,930
gross per week
($48,717)
($74,564)
($100,610)
Upper Limit*
* Gross household income from all sources is used. Calculations based on the maximum income eligibility limits for Commonwealth Rent Assistance.
Asset Eligibility
The value of a person’s assets will determine their eligibility for community housing that is funded by DHS.
The asset limits for applicants to community housing funded by DHS are the same as those applied to public
housing general housing applicants. These limits are currently set at $30,000 per household or $60,000 for
households that require significant disability modifications. In general, all realisable assets held by household
members are assessable. This includes cash holdings and investments such as shares, mobile homes and
recreational vehicles.
The loss of earnings component of lump sum compensation payments is also considered an assessable asset.
Where the loss of earnings component cannot be separately identified, 50% of the lump sum compensation
payment is to be considered as loss of earnings. Exceptions are made for the following assets:

Funds held in superannuation schemes where the applicant is under 65 years of age.

Funds held in trust by a court appointed administrator. The administrator is required to make a case in
writing explaining why the funds are not available to meet housing costs.
In general, applicants who own residential real estate that they could occupy or realise are ineligible for
assistance.
Other Eligibility Criteria
RHAs have the discretion to determine their own policy approach with regard to other eligibility criteria, eg.
permanent residency and outstanding debts to the Director of Housing.
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Allocation and referral from the public housing waiting list
To provide better access and choice for those on the waiting list for public housing, DHS has established a
centralised process for public housing applicants who choose to also be referred to a RHA.
There are two types of allocations which fall within the scope of this arrangement:
1. Allocations to new or newly acquired properties funded by DHS.
2. Allocations to vacancies that subsequently arise in these properties.
Up to 50% of all new tenants allocated to these properties must be from the public housing waiting list unless
explicitly agreed otherwise.
Segment 1. Homeless With Support – people with a history or high risk of homelessness as a priority.
Segment 2. Supported Housing – coordinated housing for those with a disability or long term health problem
who need modifications made to their houses and/or personal support to live independently.
Segment 3. Special Housing Needs – people whose current housing is unsuitable and are unable to obtain
more appropriate housing in the private rental market.
Segment 4. General - housing for low income households who might benefit from assistance but do not have
an urgent need for housing.
Eligibility of an applicant will be confirmed by DHS at the time of referral.
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Rent setting and affordability
RHAs are required to set rents which are affordable for tenants while maintaining financial viability for the agency.
For lower income households, the ‘Net Rent’ charged at the commencement of a tenancy should be set at no
more than 30% of gross household income. ‘Net Rent’ is the rent charged minus Commonwealth Rent
Assistance. Details of the 30% limit are outlined in the following table:
Household Income Limits for 30% Net Rent Requirement for tenants of DHS funded
community housing - Applicable from September 2014
Household Size
(Includes children of any age)
Cut off point for
30% Net Rent
Requirement**
1 Person
2 Persons
3+ Persons
Tenants earning under
these amounts should not
pay more than 30% of
household income as net
rent
$639
gross per week
$983
gross per week
$1,358
gross per week
($33,345)
($51,279)
($70,813)
** Gross household income from all sources is used, net of Commonwealth Rent Assistance. Calculations based on the maximum income eligibility
limits for Commonwealth Rent Assistance.
RHAs will be required to report to the Housing Registrar on the rent charged for low income households.
RHAs will be required to have hardship provisions in place for tenants whose incomes decrease significantly.
Further Information
Department of Human Services – Service Design and Implementation
Manager, Service Implementation Support
Ph 9096 7044
www.dhs.vic.gov.au
For matters regarding monitoring and regulation:
Housing Registrar
Ph 9651 1402
Email: [email protected]
Website: www.housingregistrar.vic.gov.au
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