THE FAIR HOUSING ACT

1
THE FAIR HOUSING ACT

• MODULE 3
• THE FAIR HOUSING ACT
• TITLE VIII OF THE CIVIL RIGHTS ACT OF
  1968, AND FAIR HOUSING
  AMENDMENTS ACT OF 1988

2
LESSON OJECTIVES

• This training will provide the following
• Describe the purposes and scope of the Fair
  Housing regulations
• State the persons and/or properties subject to
  the Fair Housing regulations
• Identify the programs covered and types of
  discrimination prohibited under the Fair Housing
  legislation

3
LESSON OJECTIVES continued

• Identify separate and distinct instances when the
  stipulations against discrimination do not apply
• Identify the appropriate documentation (forms,
  etc) that must be filled out in order to be in
  compliance
• Describe the requirements of an adequate AFHM
  Plan.

4
LESSON OJECTIVES continued

• List in order the steps to take when a
  participant fails to comply with the Plan
• Determine the appropriate steps to resolve a
  compliance violation
• Describe the sanctions that can be authorized due
  to noncompliance

5
LESSON OJECTIVES continued

• Describe requirements for the display of Fair
  Housing posters to comply with Federal
  regulations
• Select among words and phrases, and symbols in a
  broad range of advertising media that can be
  considered to convey either overt or tacit
  discrimination
• Determine whether advertisements meet the Fair
  Housing regulations

6
LESSON OJECTIVES continued

• State who may file a Fair Housing complaint
• State against whom a complaint may be filed
• List of items that must be contained within the
  complaint
• Identify the appropriate office to which the
  complaint must be sent

7
TITLE VIII OF THE CIVIL
RIGHTS ACT OF 1968

• It is the policy of the United States of
  America to provide, within constitutional
  limitations, fair housing throughout the entire
  United States.

8
TITLE VIII OF THE CIVIL RIGHTS ACTS OF 1968, as
amended, seeks to provide fair housing to all
citizens, and prohibits discrimination in the
following areas

• THE SALE, RENTAL, or ADVERTISING OF HOUSING
• PROVISION OF BROKERAGE SERVICES
• THE AVAILABILITY OF RESIDENTIAL REAL ESTATE-
  RELATED TRANSACTIONS

9
PROTECTED CLASSES OR PROHIBITED BASIS

• PROHIBITS DISCRIMINATION BY
• RACE
• COLOR Included in the
  
• RELIGION 1968 Law
• NATIONAL ORIGIN
• SEX_______________________________
• FAMILIAL STATUS Added in 1988
• DISABILITY STATUS

10
Nondiscrimination in the
Financing of Housing

• USDA employees may not, on the basis of any
  protected group
• Deny a loan or grant to an eligible applicant, or
  
• Discriminate in determining
• The rate of interest
• Amount of loan/grant
• Other terms and/or conditions

11
TO WHOM THE FAIR HOUSING
LAW APPLIES

• Owned or operated by the Government
• All housing financed by Government loans or
  grants, and therefore by USDA
• All inventory properties with dwellings, held or
  being sold by USDA
• Property financed with Federal financial
  assistance

12
TO WHOM THE FAIR HOUSING
LAW APPLIES continued

• Any person selling or renting dwellings,
  characterized by
• The owner of a dwelling intended for occupancy by
  five or more families.
• Any person who has sold or rented 3 or more
  dwellings within a 12-month period.
• Any person who has acted as a sales or rental
  agent in two or more real estate transactions
  within a 12-month period.

13
Rural Development Programs
Covered by Fair Housing Laws

• Section 502 Rural Housing Loans insured
  guaranteed loans
• Section 504 Rural Housing Loans and Grants
• Rural Rental Housing Loans to Individuals and
  Organizations
• Labor Housing Loans and Grants to Individuals and
  Organizations
• Rural Cooperative Housing Loans

14
Rural Development Programs
Covered by Fair Housing Laws
continued

• Technical Assistance Grants
• Housing Preservation Grants
• Rural Housing Site Development Loans
• Community Facility Loans for Housing Purposes,
  i.e., retirement homes, group homes, nursing
  homes, drug treatment facilities
• Any farmer program assistance involving property
  with a FmHA financed dwelling on the premises

15
Title VIII, as amended,

• Extended Requirements Cover
• Community Facility Programs
• HUD Form 935.2, Affirmative Fair Housing
  Marketing Plan, required for
• Retirement Homes
• Group Homes or Nursing Homes
• Drug Treatment Facilities

16
DISCRIMINATION PROHIBITED

• The following practices are prohibited by law
• Discriminatory Housing Practices
• Discriminatory Real-Estate Related Transactions
• Discrimination due to Disability
• Design and Construction Requirements
• Enforcement Responsibilities
• Interference, Coercion, or Intimidation

17
DISCRIMINATORY HOUSING PRACTICES

• The following practices are prohibited by law
• Unlawful refusal to sell, rent or negotiate
• Unequal treatment in terms, conditions, or
  privileges
• Other prohibited sale or rental conduct
• Failing to accept or consider a bona fide offer
• Refusing to sell to or rent , or negotiate for
  the sale or rental of a dwelling

18
DISCRIMINATORY HOUSING PRACTICES cont

• The following practices are prohibited by law
• Discriminatory advertisements, statements, or
  notices
• Indicate through advertising any preferences or
  limitations
• Imposing different sale prices, or rental charges
  
• Misrepresentations on availability of housing
• Blockbusting

19
DISCRIMINATORY HOUSING PRACTICES cont

• The following practices are prohibited by law
• Using different qualifications, criteria and
  standards
• Providing different information, or promotional
  activity
• Evicting any tenant on a protected basis or the
  characteristics of a tenants guests

20
PROHIBITED DISCRIMINATION IN TERMS, CONDITIONS,
PRIVILEGES, SERVICES AND FACILITIES cont

• Imposing different terms, conditions or
  privileges
• Deny or limit services or facilities
• Using different provisions in leases, or
  contracts (i.e., rental charges, security
  deposits)
• Denying or limiting discounts, rebates or gifts
• Failing or delaying maintenance or repairs of
  sale or rental dwelling
• Limiting the use of privileges, services or
  facilities associated with a dwelling

21
Discrimination in Terms and Conditions

• Using different policies, practices or procedures
  in determining a persons eligibility other than
  those in RD regulations
• Failing to provide all rights and remedies
• Using policies and procedures in the regulations
  in an arbitrary and discriminatory manner, to
  reject a persons application or preapplication

22
OTHER PROHIBITED PRACTICES by employees

• Restricting housing choices
• Exaggerating drawbacks
• Steering Assigning a
  person to a particular section
  of a community, neighborhood, development or
  floor of a building
• Discouraging inspections, purchase or renting
• Not providing information on desirable features
  of a dwelling
• A packager may not refuse to package an
  application

23
Other Practices of Making Housing Unavailable

• Discharging or taking adverse action against an
  employee, broker, or agent
• Using codes or devices to segregate or reject
  persons
• Refusing to show listings in certain areas
• Denying or delaying the processing of an
  application
• Refusing to approve a person for occupancy in a
  cooperative dwelling

24
Discriminatory Representations on the
Availability of Dwellings

• It is unlawful to provide inaccurate or untrue
  information about the availability of dwellings
  for sale or rent.
• Examples
• Indication through words or conduct that an
  available dwelling has been sold or rented.
• Representing or enforcing covenants, deed, trust,
  or lease provisions that preclude the sale or
  rental of a dwelling to a person.
• Providing false or inaccurate information
  regarding the availability of a dwelling to any
  person, including testers.

25
DISCRIMINATION IN REAL- ESTATE RELATED
TRANSACITIONS

• The following practices are prohibited by law
• Discrimination in the making of loans, grants, or
  other financial assistance
• Discrimination in the purchase of loans
• Discrimination in the terms and collection of
  loans
• Unlawful practices when selling, brokering, or
  appraisal of property as loan security

26
Discrimination Due to a Disability

• It is unlawful to
• Discriminate in the sale or rental of housing
• Discriminate in the terms or conditions of the
  sale or rental of housing
• Inquire whether the intended resident has a
  disability
• Fail to provide services and facilities
  reasonable accommodations in connection with a
  dwelling unit

27
Prohibition Against Discrimination Because of a
Disability

• It is unlawful to discriminate due to the
  disability of
• The buyer or renter
• A person residing in, or intending to reside in a
  dwelling
• Any person associated with the buyer or renter

28
Disability (Cont.)

• It is unlawful to discriminate based on the
  following
• Making a dwelling unavailable or deny a dwelling
  that is for rent or sale
• In terms, conditions, or privileges of the sale
  or rental of a dwelling
• In providing services or facilities connected
  with a dwelling

29
Disability (Cont.)

• It is unlawful to discriminate based on the
  following
• Fail to meet design and construction requirements
  since March 13, 1991
• Failure to make reasonable modifications of
  existing premises

30
Disability (Cont.)

• It is unlawful to discriminate based on the
  following
• Fail to provide reasonable accommodation in
  rules, policies, or services to afford equal
  opportunity for use and enjoyment of a dwelling
• Refusing to permit at the expense of the disabled
  person, reasonable modifications of a dwelling
  in some cases, at owner expense

31
Disability (Cont.)

• Regarding Inquiries Remember!!!
• You cannot inquire to determine if an applicant
  for a dwelling, or the applicants associate, has
  a disability, or inquire as to the nature of or
  severity of a disability.

32
Disability (Cont.)

• Inquiries- Certain inquiries can be made, if
  made of all applicants
• An applicants ability to meet the requirements
  of ownership or tenancy
• An applicants qualification for a priority
  available to persons with disabilities or with a
  particular type of disability.

33
Disability (Cont.)

• Inquiries- Certain inquiries can be made, if
  made of all applicants continued
• If an applicant is an illegal user or addict of a
  controlled substance
• If an applicant has been convicted of the illegal
  manufacture or distribution of a controlled
  substance

34
Disabilities (Cont.)

• When reasonable modifications of existing
  rental units are granted, tenants must adhere to
  some, or all of the following guidelines
• Restore interior to condition before modification
  was made
• Renter may be required to provide a reasonable
  description of the proposed modification
• Work may not detract from appearance of rental
  unit or project
• Hiring of professional licensed contractors

35
COVERED MULTI- FAMILY DWELLINGS

• DESIGN AND CONSTRUCTION REQUIREMENTS
• HUD REFERS TO THIS AS THE FEDERAL FAIR HOUSING
  DESIGN REQUIREMENTS. Refer to their Design
  Manual for actual building requirements.

36
COVERED MULTI- FAMILY DWELLINGS

• DESIGN CONSTRUCTION REQTS.
  FOR FIRST OCCUPANCY AFTER MARCH 13,
  1991, BLDGS. MUST HAVE
• At least one building entrance on an accessible
  route
• Public common areas must be readily available
  to disabled persons
• All doorways must be wide enough to allow for
  passage by persons in wheelchairs

37
COVERED MULTI- FAMILY DWELLINGS

• DESIGN AND CONSTRUCTION REQUIREMENTS
• FOUR OR MORE UNITS IN BUILDINGS WITH ELEVATORS
• GROUND FLOOR UNITS IN OTHER BUILDINGS WITH FOUR
  OR MORE UNITS

38
DESIGN CONSTRUCTION REQUIREMENTS

• REQUIREMENTS
• Multifamily dwellings must be designed and
  constructed in a manner that the public use and
  common use areas are readily accessible to and
  usable by disabled persons
• Doors passageways into and within the common
  use areas must be designed to allow disabled
  persons in wheelchairs sufficient passage

39
DESIGN CONSTRUCTION REQUIREMENTS (cont.)

• FEATURES OF ACCESSIBLE DESIGN
• All interior premises must contain
• Accessible route into and through the dwelling
• Light switches, electrical outlets, thermostats,
  other environmental controls that are accessible
• Reinforcements in bathroom walls, grab bars
• Usable kitchens and bathrooms that are wheelchair
  maneuverable

40
Familial Status and Housing for the Elderly

• Federal law does not limit restrictions on the
  number of occupants to live in a dwelling
• Federal law regarding familial status may not
  apply to dwellings provided under state or other
  Federal programs for the elderly

41
Other Exemptions to the Fair Housing Act

• Provides for specific exemptions due to
  special circumstances. The Fair Housing Act does
  not
• Prohibit preference in sale/rental by religious
  or non-profit organizations to other members of
  their organization.
• Allow families with children to live at housing
  designed for the elderly or the disabled (under
  the MFH program), unless the children are part of
  the elderly household.

42
Other Exemptions to the Fair Housing Act cont

• Other Exemptions include the following
• Does not apply to the sale or rental of a single
  family home by the owner
• Does not apply to the rental of rooms or units in
  a dwelling in which the owner currently resides
  Mrs. Murphy clause

43
Other Exemptions to the Fair Housing Act

• Other Exemptions include the following
• Does not prohibit adverse action/conduct against
  a person convicted on drug charges
• Does not limit local, State, or Federal
  restrictions on maximum occupancy of a living
  unit.

44
Enforcement Responsibilities

• The State Director or designee is responsible
  for assuring that Multi-Family Housing facilities
  are constructed according to the provisions of
  the Fair Housing Act.
• S/D is also responsible for assuring that no
  loans are closed on facilities that have not met
  the design, construction, occupancy
  requirements.

45
Enforcement Responsibilities

• The RDM or designee/specialist is responsible
  for preparing documentation sheets for compliance
  review purposes.
• The Area Office staff is also responsible for
  reviewing and maintaining documentation that
  every MFH facility is following the guidelines
  given in RD Instruction on these topics. If not,
  then action must be taken to bring facilities
  into compliance.

46
Prohibited Interference, Coercion or Intimidation

• USDA employees, borrowers, or participants in MFH
  programs may not
• Coerce
• Intimidate
• Threaten
• Interfere
• with any person in the enjoyment of his/her
  home, because that person aided or encouraged any
  other person to exercise his/her legal rights.

47
Prohibited Interference, Coercion or Intimidation

• Coercing a person, orally or in writing, to deny
  or limit benefits provided with the sale or
  rental of a dwelling or in connection with a
  residential real estate-related transaction
• Threatening, intimidating or interfering with
  persons in their enjoyment of a dwelling

48
Prohibited Interference, Coercion or Intimidation

• Threatening an employee or agent with dismissal
  or an adverse action for assisting a person
  seeking access to the sale or rental of a
  dwelling or any real estate-related transaction
• Intimidating or threatening any person because
  he/she is engaging in activities designed to make
  others aware of or to exercise their rights
  protected by the Federal government.

49
Prohibited Interference, Coercion or Intimidation

• Tenants living in USDA financed facilities cannot
  
• Coerce
• Intimidate
• Threaten
• Interfere
• another tenant, potential tenant, or guest
  because of race, color, national origin,
  religion, sex, familial status, or disability
  status. Such action should be grounds for
  immediate eviction.

50
Rural Developments Fair Housing
Policy

• To administer the USDA housing program
  affirmatively so that all individuals of similar
  income levels have a like range of housing
  choices available to them. USDA employees
  administering the housing program are prohibited
  from discriminating because of race, color,
  national origin, religion, sex, familial status
  or disability status.

51
Display of Fair Housing Posters

• The HUD Fair Housing Poster will be
  displayed in a conspicuous location as follows
• In all RD State offices, Area offices and
  National office
• In the business office and construction site of
  all new single family housing subdivisions where
  all dwellings are sold
• In the business office and at the construction
  site of new MFH projects, and the business office
  of existing MFH projects

52
Display of Fair Housing Posters (cont.)

• In the business office of real estate realtors
  brokers, auctioneers, and dealer contractors
  doing business with RD under Rural Housing
  programs
• At inventory properties being sold. The Fair
  Housing Logotype sticker may also be displayed at
  inventory properties
• In the business office for nursing homes, group
  homes, retirement homes, boarding homes,
  residential care and detoxification facilities,
  etc., financed under RD's CF programs

53
Fair Housing Complaint Processing

• Who may file a complaint
• Any aggrieved person may file a complaint no
  later than 1 year after an alleged discriminatory
  housing practice(s) has occurred or terminated.
  The complaint may be filed with the assistance of
  an authorized representative of an aggrieved
  person, including any organization acting on
  behalf of an aggrieved person

54
Persons Against Whom Complaints May be Filed

• A complaint may be filed against any RD employee
  or participant in RDs RH program or CF program
  for housing purposes, alleged to be engaged,
  about to engage, or have engaged in a
  discriminatory housing practice
• A complaint may also be filed against any person
  who directs or influences the conduct of another
  person with respect to any aspect of the sale,
  rental, advertising or financing of dwellings, or
  in the provision of brokerage servicing relating
  to the sale or rental of dwellings under RDs, RH
  program

55
Where to File Complaints

• Aggrieved persons may file complaints with the
  Secretary of Agriculture, or with a USDA, Rural
  Development, Administrator, at 1400 Independence
  Avenue, SW., Washington, D.C. 20250
• Complaints may also be filed in person or by mail
  with the Office of Fair Housing and Equal
  Opportunity, Department of Housing and Urban
  Development (HUD), Washington, D.C. 20410, or
  HUD Regional Office

56
COMPLAINT PROCESSING

• Assisted Program Complaint filed with RD are
  processed in accordance with, RD Instruction
  2000GGG
• Complaint sent to, or filed directly with HUD are
  investigated and adjudicated by HUD
• If there is a non-finding by HUD the complaint is
  referred to RD for addition jurisdiction

57
Sanctions

• Failure of a participant to comply with the
  requirements of Title VIII of Civil Rights Act of
  1968 or RD Instruction 1901-E, will result in
  denial of further participation in RD programs
  and referral to the Department of Justice for
  prosecution by the United States for injunctive
  or other penalty.

58
Sanctions (Cont.)

• Victims of discriminatory housing practices may
  seek civil penalties from the Department of
  Housing and Urban Developments administrative
  process, or by private lawsuit.
• Participants found to have engaged in
  discriminatory housing practices will be subject
  to the civil penalties set fourth in the Fair
  Housing Act

59
The Fair Housing Act (Title VIII of Civil Rights
Act of 1968, and amended by the FHAA of 1988)

• Applies to(502, 504, MFH, LH, RCH, HPG, CF and
  FP w/dwelling.
• All housing financed by govt loans
• Inventory properties held by RD

60
The Fair Housing Act (Title VIII of Civil Rights
Act of 1968, and amended by the FHAA of 1988)

• Also applies to
• Any person making a profit by selling or renting
  dwellings and characterized by
• Owner of a dwelling intended for occupancy by
  five or more families
• Person who has sold/rented 3 or more dwelling
  within 12 months
• Person who has acted as sales/rental agent in 2
  or more transactions within 12 months

61
Fair Housing Act, cont.

• Applies to the following
• Discrimination on a Prohibited Basis (because
  of race, color, national origin, religion, sex,
  disability status, or familiar status.

62
Fair Housing Act, cont.

• Applies to the following
• Discriminatory Housing Practices
• Unlawful refusal to sell, rent or negotiate for
  the sale or rental of property
• Differences in terms, conditions, privileges,
  services or privileges
• Refusal to provide reasonable accommodations
  and/or modifications, services and facilities.

63
Fair Housing Act, cont.

• Exemptions
• Religious and Non Profit organizations
• Housing for the Elderly - Familiar Status
• Sale of SFH by Owner
• Rentals where Owner occupies a portion of the
  property

64
Fair Housing Act, cont.

• Compliance
• Use of Affirmative Fair Housing Marketing Plan
  (Development and Use)
• Monitoring Compliance of AFHMP
• Sanctions for failing to comply w/requirements
  and AFHMP
• Processing complaints/Conciliation