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11.B.
City Council Meeting - FINAL
Meeting Date:
02/17/2026
From:
Sarah Darr, Housing Director

TITLE:

Consideration and Approval of Resolution 2026-10, Amending the Section 8 Administrative Plan to create a local preference for existing City of Flagstaff Housing Authority (CFHA) assisted voucher holders facing termination due to insufficient or discontinued funding.
 

STAFF RECOMMENDED ACTION:

  1. Read Resolution No. 2026-10 by title only
  2. City Clerk reads Resolution No. 2026-10 by title only (if approved above)
  3. Adopt Resolution No. 2026-10

Executive Summary:

The Emergency Housing Voucher (EHV) program, created by the US Department of Housing and Urban Development (HUD) in 2021 to assist households at risk of or experiencing homelessness, fleeing domestic / dating violence or sexual assault, stalking, or human trafficking. Unlike other Section 8 programs that are required to use a waiting list for admission, EHV required close coordination with local Continuums of Care to identify the most vulnerable eligible households and vouchers surrendered or terminated after September 2023 cannot be reissued, resulting in a reduction in the number of available vouchers over time. The City of Flagstaff Housing Authority (CFHA) received 29 EHVs and currently has 18 active participants.

Originally funded through 2030, HUD announced in March 2025 that EHV funding will end five years early, with remaining funds expected to run out by early fall 2026. No replacement funds will be provided. As the program serves highly vulnerable households, preventing their return to homelessness is critical.

In June and August 2025, HUD issued guidance allowing Housing Authorities to request a waiver to place EHV households directly onto the Housing Choice Voucher (HCV) waiting list. These notices also offer a one-time $1,000 administrative fee for each EHV family issued an HCV by February 28, 2026. The guidance also reviewed the process necessary for Housing Authorities to establish local preferences, specifically mentioning that this can be done for EHV participants. CFHA applied for and was granted this waiver by HUD.

Staff is seeking approval of an amendment to the Section 8 Administrative Plan to create a local preference for any existing CFHA-assisted households facing termination from any HCV program due to insufficient or discontinued funding, currently only EHV participants. This preference will give EHV households priority for available Section 8 vouchers, keeping them stably housed and preventing reentry into the cycle of homelessness. 

As CFHA administers a number of different programs under the Section 8 umbrella, such as VASH for veterans, FYI for foster youth, and Mainstream for non-elderly disabled households, in order to be prepared for the future, should other programs face insufficient or discontinued funding, the amendment is written broadly to cover any future HCV program participants facing the same circumstances affecting EHV now.

If this amendment is approved, the change of voucher type will be seamless for the current EHV participants, and they will remain stably housed with non-expiring assistance.

Staff recommends approving Resolution 2026-xx to ensure ongoing housing assistance for current EHV participants.

At the November 20, 2025 meeting of the City of Flagstaff Housing Authority Board of Commissioners a resolution was approved recommending that the Flagstaff City Council adopt an amendment to the CFHA Section 8 Administrative Plan creating a local preference for existing CFHA-assisted households facing termination from any HCV program due to insufficient or discontinued funding. 

Financial Impact:

Funding is available within other HCV programs to facilitate the issuance of available vouchers to the remaining 18 EHV participants. There is also the potential to secure up to $18,000 in one-time Section 8 administrative funding.

Policy Impact:

The Section 8 Administrative Plan is a HUD-required policy document that provides the framework for the local operation of all Section 8 voucher programs. The Admin Plan is over 200 pages long and is available on the City's website.

Previous Council Decision or Community Discussion:

City Council has previously approved a local preference for households living or working within CFHA's service area and this remains in effect.

Options and Alternatives to Recommended Action:

Approve the amendment, which will establish a preference so that available HCV Program vouchers can be issued to EHV households that are facing termination of assistance due to HUD discontinuing program funding.

Do not approve the amendment, keeping voucher issuance based on local residency and date / time of application. Based on waiting list numbers, all available vouchers will be issued to non-EHV households.

Background and History:

The Emergency Housing Voucher (EHV) program, created by the US Department of Housing and Urban Development (HUD) in 2021 and expected to sunset in 2030, assists households at risk of or experiencing homelessness, fleeing domestic / dating violence or sexual assault, stalking, or human trafficking. Originally funded through 2030, HUD announced in March 2025 that EHV funding will end five years early, with remaining funds expected to run out by early fall 2026. No replacement funds will be provided. As the program serves highly vulnerable households, preventing their return to homelessness is critical.

Connection to PBB Priorities and Objectives:

  • High-Performing Governance:
    • Implement innovative local government programs, new ideas & best practices; be recognized as a model for others to follow.
  • Inclusive & Engaged Community:
    • Ensure city facilities, services, & programs are accessible for all residents & representatives of Flagstaff’s diverse community.
  • Livable Community
    • Actively support attainable & affordable housing through City projects & opportunities with developers.

Connection to Regional Plan:

  • HA.1: Minimize and mitigate displacement of residents and prevent the loss of existing affordable housing units.

Connection to Carbon Neutrality Plan:

  • CR-2: Strengthen existing community systems to create resilience to both short-term shocks and long-term change.
  • HA-1: Create housing options for households at all income levels and family sizes occupied by local residents.
  • HA-2: Connect people to equitable housing solutions
  • HA-3: Preserve affordable housing.

Connection to 10-Year Housing Plan:

  • Connect 1: Reduce homelessness in the Flagstaff community and seek creative solutions to foster housing permanency for all.
  • Connect 2: Implement a framework for centering equity in proposed and existing housing practices, policies, and programs.
  • Protect 1.2: Pursue local and legislative changes that increase the preservation, creation, and protection of affordable housing as necessary. 
  • Protect 3: Continue Flagstaff's commitments to further federal and Arizona Fair Housing laws in all housing-related services and programs, value the efforts of those who seek to reduce barriers to equitable housing opportunities, and provide Fair Housing education and resources to the community.

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