CARES Act Supplemental Operating Fund Guidance Released

On April 28, HUD issued Notice PIH-2020-07 titled “Implementation of Supplemental Guidance to the Federal Fiscal Year 2020 Operating Fund Appropriations.” The Notice provides guidance on the allocation and eligible uses of the $685 million supplemental funding included in the Coronavirus Aid, Relief, and Economic Security (CARES) Act, as well as the additional flexibilities provided through the CARES Act to use previously appropriated Capital and Operating Funds to prevent, prepare for, and respond to coronavirus. The Notice applies to both MTW and Non-MTW PHAs. Obligations of the supplemental funding will be calculated based on each project’s pro rata Calendar Year (CY) 2020 Operating Fund grants. Using the waiver authority provided in the CARES Act, HUD is waiving the requirement to make payments equal to one-twelfth of the total annual Operating Fund under the formula so that HUD may make CARES Act supplemental funding available to PHAs via a single obligation.

Continue reading

HUD Publishes Notice on Accessing HCV Admin. Fee Funding in CARES Act

Earlier today, HUD published PIH 2020-08 titled “CARES Act – HCV Program Administrative Fees.” This notice details how additional administrative fees allocated in the CARES Act will be distributed to PHAs. The CARES Act allocated $1.25 billion for the Housing Choice Voucher (HCV) program ($850 million for administrative fees and $400 million for HAP). The Department will obligate administrative fees in several actions. This notice details the first action, while forthcoming notices will provide details on future distributions.

Initially HUD will provide approximately $380 million to all PHAs (including Moving to Work agencies). Each PHA will receive approximately 2 months worth of administrative fee at the beginning of May. The amount of funding will be the average of the PHA’s calendar year (CY) 2018 and CY 2019 monthly administrative fee eligibility (at 100% proration or full eligibility) multiplied by two.

  • Eligible Uses
    • Any currently eligible administrative costs during the period the program is impacted by the coronavirus;
      • includes necessary upgrades to IT or computer systems to enhance telework capacities and overtime pay for PHA staff to carry-out HCV Program responsibilities;
    • New coronavirus related-activities, including activities to support or maintain the health and safety of assisted individuals and families, and costs related to the retention and support of participating owners:
      • procuring cleaning supplies for HCV units and common areas of PHA-owned PBV units;
      • relocation of families to health units or other designated units for testing, hospitalization, or quarantine (may include transportation costs to these locations);
      • additional costs to supportive services vendors incurred due to coronavirus;
      • costs to retain or increase owner participation in the HCV program;
      • costs for providing childcare of PHA staff that would not otherwise be incurred;
      • costs associated with the delivery of goods, including food and medical supplies that comply with CDC requirements, to program participants;
      • public health security-costs to enforce shelter-in-place, stay-at-home, or visitor-restriction policies;
      • administration costs associated with the implementation of coronavirus-related activities that are not eligible HCV administrative costs;
      • other costs determined by HUD on a case-by-case basis.

Period of availability – the period of availability for these funds is the duration of the calendar year 2020, unless this period is extended by HUD.

Reporting – Unlike regular administrative fees, these funds must be tracked and accounted for separately. Funds not spent must be returned to HUD. Recipients of CARES Act funding in excess of $150,000 have quarterly reporting requirements, including a detailed list of project uses and activities (see notice for full details).

Ineligible expenses – funds may not be used to repay debts or amounts owed to HUD (including OIG, QAD or other monitoring review findings) or program participants. The funds used for salaries must comply with executive compensation requirements.

The full notice may be found here.

HUD PIH Flyer for Tenants on the Eviction Moratorium

Earlier today, HUD PIH sent an email to PHA Executive Directors, which included a flyer (in PDF format) for tenants discussing the temporary eviction moratorium. This flyer applies to tenants in the Housing Choice Voucher (HCV) program, Public Housing program, and Section 8 Mod. Rehab. program.

The flyer may be found on HUD’s COVID-19 Resources and Fact Sheets page.

It can be accessed directly here.

2020 HTF Allocations Announced

HUD has released it’s Housing Trust Fund (HTF) allocations for FY 2020. Allocations for FY 2020 total $322,564,267. Funds are distributed to states via formula, with larger states receiving more funding. All states receive at least $3 million. Larger states, such as California, New York, Texas, and Florida received $50.8 million, $29 million, $16.5 million, and $14.4 million respectively. Housing Trust Fund dollars can be used to increase and preserve the supply of rental housing for extremely low-income families with incomes between 0 and 30 percent of area median income (AMI) and very low-income families with incomes between 30 and 50 percent of AMI, including homeless families. HTF dollars can also be used for increasing homeownership for extremely low-income and very low-income families.

A full list of state awards can be found here.

HUD Publishes Multifamily Tenant Concerns COVID-19 Brochure

The Department has published a COVID-19 brochure designed to inform and address concerns of tenants living at multifamily properties. The brochure’s content applies to programs within the Office of Multifamily Housing Programs, but does not apply to Public Housing, Section 8 Mod. Rehab. (unless insured by the Federal Housing Administration), or the Housing Choice Voucher program (unless the voucher is used in a multifamily property with an FHA-insured mortgage).

The brochure can be found here.