By BRENDA JOSEPHSON
An Anchorage landlord has filed a complaint with the Alaska State Ombudsman, raising serious concerns about the Alaska Housing Finance Corporation’s (AHFC) Housing Voucher Program.
The landlord’s issues include frequent overpayments made to landlords, insufficient recovery processes for these overpayments, and AHFC’s alleged noncompliance with the Alaska Landlord Tenant Act (ALTA).
In correspondence with the Ombudsman’s office, the landlord reported that their AHFC tenants had issues with overpayments, amounting to $10,068 for one tennant. The landlord alleges that with over 4,000 tenants in AHFC’s program, such errors may suggest systemic problems, could potentially cost the agency hundreds of thousands or even millions of dollars in losses.
The complaint further contends that AHFC’s methods for recovering overpayments—often agency errors—can leave landlords with losses or the losses of public funds, especially if they were unaware of the overpayments. Additionally, they claim AHFC does not follow ALTA’s notification requirements, such as providing a full calendar month’s written notice for significant changes like rent adjustments or termination of assistance.
While AHFC asserts that it is not obligated to follow ALTA since it is not referenced in the landlord-tenant rental agreement. The landlord disputes this claim, emphasizing that AHFC’s 12-page contract with landlords and tenants plays a crucial role in the rental process.
In response, the intake assistant from the Ombudsman’s office requested additional documentation, specifically the landlord’s Housing Assistance Payments (HAP) contract, to facilitate further investigation.
The Ombudsman’s office noted that it typically does not investigate systemic issues unless multiple complaints are received. The landlord expressed frustration and suggested that others might hesitate to file complaints against a large state agency. They also inquired about which government entity could investigate if they choose not to pursue the matter.
The complaint requests an audit of the accounting practices of AHFC’s Housing Voucher Program, a review of its compliance with ALTA, and a resolution. The Ombudsman’s office has kept the complaint open while awaiting additional documentation.
For more information on filing complaints with the Alaska State Ombudsman, contact (907) 269-5290 or (907) 465-4970 or email [email protected].
Brenda Josephson is a board member of Alaska Gold Communications, Inc., the publisher of Must Read Alaska. You can contact her via email at [email protected].
Editors note, clarification on parties of lost funds.
Well this sure sounds like a problem that SOMEONE at the state needs to look into! Sheesh, passing the buck . . . “does not investigate systemic issues”
Landlords are providing a good service, keeping people housed, so consider this a tip from taxpayers. “Jesse James and the Widow” Is fake news from the biased leftist media.
What an absurd notion, “giving a tip”. These are tax dollars!!
If money is spent in excess, it means less assistance can be provided over all to fewer recipients. If this agency is so loose with accounting, it is also rife for fraud and abuse and the looser in all of this is the taxpayer, whose dollars are not spend on the function they were collected and appropriated for.
Your Jesse James analogy while not really applicable in the obvious sense, ironically has a ring of truth, since if these allegations are true, we the taxpayers are being robbed!
$10,068.00
Nice tip!
The $10,068 was recovered by AHFC, but if that rental subsidy overpayment happened between two separate periods of overpayment (adding up to the $10,068) with just one tenant out of three tenants that landlord had, how often is it happening with AHFC’s 4,000 or so other tenants? How many are going uncaught?
Brenda. This is a good MRAK AK investigative piece.
Thanks.
Sounds like the same scam that is happening Minnesota please look into this.