DATE: 08/05/2026
TO: Chairperson and Members of the Community Development Commission
FROM: Housing and Neighborhood Services Department
TITLE: HOUSING CHOICE VOUCHER (HCV) WAITING LIST CLOSURE
RECOMMENDATION
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Staff recommends that the City of Oceanside Community Development Commission (CDC) authorize the closure of the Section 8 HCV waiting list effective September 30, 2026.
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BACKGROUND AND ANALYSIS
The Oceanside Housing Authority (OHA) administers the federally funded Section 8 HCV Rental Assistance program. OHA currently maintains an active HCV waiting list and as of July 7, 2026, there are 5,013 applicant households on that list. OHA's maximum authorized vouchers is 1,600 vouchers based on its Annual Contributions Contract (ACC) with the U.S. Department of Housing and Urban Development (HUD). However, the actual number of vouchers currently being used by families is 1,397 participant households given the current rental market rates and the average HCV rental assistance (the difference in the rental rate and what the tenants are able to pay).
ANALYSIS:
OHA operates under strict federal budgetary constraints determined by HUD's ACC. For Calendar Year 2026, OHA's total renewal funding allocation for the HCV program is $31,212,504. Currently, OHA has 1,397 vouchers in active play (leased households requiring monthly subsidy) with an annualized expenditure of $30,694,908. This leaves a restrictive remaining balance of only $517,596. This is a minimal cushion that is insufficient to absorb mandatory program reserves by HUD, administrative fee shortfalls, and any inflationary rent adjustments occurring throughout the year. Federal funding allocations for the HCV program remain stagnant and no further additional allocations are anticipated to address the demand of eligible households on the waiting list or increased housing costs.
The fundamental driver of the current crisis is the hyper-inflation of the rental market in coastal San Diego Count...
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