Why Charlotte’s new housing discrimination policy won’t be enforced yet
The city of Charlotte passed a policy Monday banning some housing providers from refusing to rent to Section 8 voucher holders, becoming the first city in North Carolina to pass such protections and ban “source of income discrimination.”
But the policy can’t be enforced just yet.
While the City Council approved the policy, Charlotte Mayor Vi Lyles sent the enforcement part of the policy back to the Great Neighborhoods Committee to be reworked. The council is expected to vote on the policy’s enforcement at its August meeting.
The policy says developers or housing providers who receive city support for the project cannot deny renters who use what are known as Section 8 vouchers. The vouchers provide a federally-funded subsidy to assist the tenant in rent payment.
City-supported housing includes developments that received financial incentives, real estate conveyance, tax increment grants or capital-funded partnerships. The Great Neighborhoods Committee will decide on adding specific language about which market-rate housing is included in the policy.
It’s unclear how many housing units the policy would apply to because it only would be relevant to future contracts between the city and developers, said Councilwoman Victoria Watlington who chairs the Great Neighborhoods Committee.
Watlington spearheaded the policy’s creation with the purpose of providing “opportunities for individuals and families to obtain safe, quality affordable housing,” city documents state.
Anyone who violates the policy would first receive a written notice and undergo mandatory compliance training. A second violation would result in another training and a daily $500 fee until the violation is fixed.
If a housing provider violates the policy a third time, they will receive a written notification of default under the agreement between the city and the developer, which will provide a time period to cure the violation.
Just 1% of apartments in Mecklenburg County rent for less than $1,000 per month. To afford this, a person would need to make at least $40,000, and Charlotte’s per capita median income falls just under this at $39,834.
While Section 8 vouchers, also known as Housing Choice vouchers, provide additional support for the renter, 1 in 5 renters who get a voucher return it after failing to secure housing within the search period according to the U.S. Department of Housing and Urban Development. Under the federal housing program, renters in Charlotte can wait up to eight years before it’s their turn for a voucher and then have 180 days to find housing.
A 2018 Urban Institute study commissioned by HUD shows widespread discrimination by landlords who refuse to accept vouchers. Tenants fared better, however, in cities that had protections.
This story was originally published July 13, 2022 at 6:00 AM.