Last week, HUD sent a letter to Executive Directors confirming that the micro-purchase threshold and the simplified acquisition threshold have been increased. The new thresholds are as follows:

• the micro-purchase threshold is now $10,000 (previously, it was $3,500); and
• the simplified acquisition threshold is now $250,000 (previously, it was $100,000).

There was initially uncertainty about the use of these thresholds since the summer of 2018, when the Office of Management and Budget (OMB) published a notice implementing increases to the thresholds for all grant recipients. This letter clarifies that the increased thresholds apply to PHAs.

OMB’s original notice can be found here.

HUD’s letter confirming the new thresholds can be found here.