Section 8 landlords to be fined $300 weekly until tenants ousted, HOA says

Tenant Revisha Threats, who participates in the voucher program, emailed the association’s manager following the vote. She asked if she could finish her lease, which is scheduled to expire in May 2023, before moving. That’s when she was told the fines imposed on her landlord will start as soon as the regulations are filed with the Denton County Clerk’s Office and become enforceable, which is expected to happen this week.

Homeowner Judy Rooker, who oversees about 23 properties in the town east of Denton through her property management company, said HOA manager Cody Watson also told her the fines would begin right away unless Section 8 tenants move out or landlords withdraw from the housing program and begin charging tenants full rent. But she and other landlords say it isn’t what they were told before the changes were approved.

“They [the association] said all Section 8 tenants would be able to complete their lease and wouldn’t be immediately kicked out,” said landlord Alecia Mackey, who has three homes with Section 8 tenants in the town. “People voted based on that assumption.”

Though homeowners did not get to vote on the rental rules themselves, they did elect to give the board the authority to make the rules by amending the neighborhood covenants. A draft of the proposed rule changes was presented to residents before they were asked to vote to give the board authority to impose rental restrictions.

“The final version does not represent what was initially presented to us,” Mackey said. “I feel like we’ve been duped.”

Though Threats and Rooker were told after the rules were approved that the fines would begin immediately, Watson told Mackey in an email that landlords will have 30 days before charges are billed. But tenants argue that isn’t enough time to find a new home — and does not allow landlords to fulfill federal regulations regarding eviction notices.

Landlords must meet additional requirements to evict tenants from federally subsidized housing or terminate a Section 8 voucher, according to the U.S. Department of Housing and Urban Development. Permissible grounds for eviction include serious lease violations, nonpayment or the tenant being convicted of certain crimes, along with a handful of other specific grounds. Even with just cause, landlords must give tenants 90 days’ notice of eviction, according to federal rules.

If tenants want to voluntarily move but remain part of the voucher program, they must get relocation approval from their local housing authority. Move requests are typically not approved if a tenant is under a current lease or within an initial 12-month lease term.

That has left some tenants and landlords feeling like they’re up against an impossible situation.

“If they would have honored their deal and said, ‘Hey, we’ll let you finish up your leases so no one’s breaking any contracts,’ it would have been OK,” Mackey said.

The voting process itself and campaign activities by board president Jennifer Dautrich have also been called into question by several homeowners. Board members and staff of the HOA, run by First Service Residential, kept a close eye on the daily vote totals and mobilized to persuade homeowners they should OK the amendment by using “scaremongering” tactics, resident Daniel Puffer said.

The association did not respond to requests for comment for this story.

Mackey and Rooker say they were also told that homeowners with more than one rental property would be allowed to keep them, but they could not acquire more in the future. Though the written rules do not specify either way, the pair said the HOA has told them both it will keep its promise regarding prior ownership.

The new rules also have divided residents. While proponents of the ban say they believe Section 8 renters have been the source of a rise in crime in the area, those against the ban say the claims are baseless.

“Any time anything happens in the neighborhood, it’s always put on Section 8,” Threats said.

The HOA office itself is closed temporarily following threats “against members of the HOA and the HOA office,” according to an email sent to residents. The email does not give specifics on the alleged threats.

Rooker said she and several other property owners are planning to file a lawsuit against the association following the changes. In the meantime, the future looks uncertain for tenants.

“I have one landlord who already started evicting tenants because they didn’t want to deal with the fines,” Rooker said.