Voucher Investments in the Build Back Better Framework

The Build Back Better framework, which was released yesterday, included $24 billion in housing choice vouchers and $1 billion in project-based rental assistance. Here’s some additional information on what specifically is included in the Section 8 components of the framework.

Housing Choice Vouchers

New Vouchers – The latest Build Back Better framework includes $15 billion for new vouchers for extremely low-income families (30% of area median income). This amount includes costs for renewals and the costs of administrative fees. Administrative fees may be used for “other eligible expenses,” which may include the cost of facilitating the use of vouchers.

Vouchers for Households Experiencing Homelessness, Survivors of Domestic Violence, and Certain Other Survivors – The framework provides $7.1 billion for new vouchers for people experiencing or at risk of homelessness, survivors of domestic violence, dating violence, sexual assault, stalking, and survivors of trafficking. The amount includes costs for renewals and the costs of administrative fees. Administrative fees may be used for “other eligible expenses,” which may include the cost of facilitating the use of vouchers.

Homelessness Waiver Authority – In administering vouchers targeted for homelessness, survivors of domestic violence, dating violence, sexual assault, and stalking, and survivors of trafficking, HUD may waive or specify alternative requirements for the following: preferences in the selection of families; documentation of citizenship, ineligibility for drug crimes, drug users, alcohol abusers, and other criminal offenders, and regulatory provisions related to verification of eligibility, eligibility requirements, and admissions process; lease lengths and regulatory provisions related to the initial lease term; residency requirements; and the regulatory provisions related to the establishment of payment standards.

Tenant Protection Vouchers – The framework provides $1 billion for tenant protection vouchers (TPVs) for relocation and replacement of public housing units that are demolished or disposed as part of a public housing repositioning transaction made available in this framework. The cost also includes renewals of these TPVs and administrative fees. Administrative fees may be used for “other eligible expenses,” which may include the cost of facilitating the use of vouchers.

Mobility-related Services – The framework allocates $300 million for competitive grants for PHAs for mobility-related services for voucher families, including families with children, and service coordination.

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Housing Investments Preserved in Bill Back Better

Congress is on the brink of passing historic housing legislation that currently includes $150 billion for housing programs. But negotiations are ongoing, and the housing funding could be at risk. NAHRO needs you to speak out immediately to support this historic legislation and to ensure that the housing provisions are preserved. 

We cannot miss this once-in-a-generation opportunity to invest in housing infrastructure and address the affordable housing crisis. NAHRO must send a strong, unified message of support to Congress on the housing provisions in the Build Back Better Act. 

There are several ways to advocate NOW: 

The new framework was reduced from a total of $3.5 trillion to $1.75 trillion. Even though the topline was halved, public housing, vouchers, and community development are still in the bill. This is a direct result of your advocacy. Specifically, the framework currently contains $150 billion for housing, including: 

Public Housing Investments: $65 billion 

Housing Choice Vouchers: $24 billion

Project-Based Rental Assistance: $1 billion 

HOME Investment Partnerships Program: $10 billion 

Community Development Block Grant program: $3 billion 

National Housing Trust Fund: $15 billion 

Section 811: $450 million 

Section 202: $450 million  

We will not have this opportunity again. Speak up now to secure $150 billion for housing! 

Oct. 17th – Last Chance to Receive Issuance Reporting Fee for EHVs Issued on or before Oct. 3rd

Housing agencies with Emergency Housing Vouchers (EHVs) that have issued vouchers before or on Oct. 3, have until Sunday, Oct. 17, 2021 to submit a form HUD-50058 (or form HUD-50058 MTW) to receive the $100 issuance reporting fee. To report in IMS/PIC, PHAs should do the following:

  • “PHAs should report in line 2n when submitting the HUD-50058 by entering ‘EHV.’
  • MTW PHAs that have received HUD approval to apply MTW flexibilities to EHV vouchers may report household participant data on the HUD-50058 MTW and must enter “EHV” on line 2p and leave line 2n blank.”

HUD has created an EHV report to identify IMS/PIC reporting discrepancies.

HUD Publishes New Guidance on Eviction Requirements for Public Housing and PBRA

On Oct. 7, 2021, HUD published a notice titled “Supplemental Guidance to the Interim Final Rule ‘Extension of Time and Required Disclosures for Notification of Nonpayment of Rent’” Notice PIH 2021-29. This notice serves as additional guidance to an interim final rule that was also published in October. The interim final rule specified that where there is federal funding available due to the declaration of a national emergency, PHAs with public housing and owners with project-based rental assistance (PBRA) must do the following at HUD’s discretion:

  • Provide at least 30 days from the date a tenant receives a notice of lease termination for failure to pay rent before terminating the tenant; and
  • Provide information (e.g., information about how to apply for and receive emergency federal funding) to the tenant as determined by HUD.

This PIH notice provides additional guidance to the requirements of the interim final rule. First, it clarifies the instances in which the rule is applicable. The rule applies to PHAs with a public housing program, including Moving to Work (MTW) agencies, and owners with PBRA. For the purposes of this notice, PBRA is defined as the following (i.e., this notice applies to the following programs):

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Chairwoman Waters Holds Press Conference on Housing Funds in Build Back Better Act

On Tuesday, October 12, Chairwoman Rep. Maxine Waters (D-CA) of the House Financial Services Committee held a press conference on housing funds in the Build Back Better Act. Several members of Congress and housing advocates joined her outside at the House Triangle. During her remarks, Rep. Waters stated:

“There were 13 kids in my family and I can’t even tell you what we went through to try to have decent housing… Housing is needed all over this country – in urban areas and in rural areas – and we intend to fight for it.”  

The representatives who spoke at the press event included Rep. Nydia Velazquez (D-NY), Rep. Nikema Williams (D-GA), Rep. Sylvia Garcia (D-TX), Rep. Steven Horsford (D-NV), Rep. Sheila Jackson Lee (D-TX), Rep. Hank Johnson (D-GA), and Rep. Barbara Lee (D-CA). Each member expressed their support for the proposed housing funds. Rep. Johnson listed a few of the programs that the Build Back Better Act could fund, including:

  • $90 billion for rental assistance (HCV and PBRA)
  • $80 billion for public housing repairs
  • $40+ billion for CDBG and HOME

Congressional leadership is negotiating cuts to the original $3.5 trillion bill. One reporter who attended the conference asked Chairwoman Waters whether she would support cutting the duration of the proposed funds in order to keep them in the package. Waters responded, “I like the idea.” She closed the press conference by chanting “Housing is infrastructure!” with those in attendance. A recording of the event is available HERE on YouTube.

To voice your support for housing funds in the Build Back Better Act, send an advocacy letter from NAHRO’s Action Alert Center. Urge your legislators to keep the proposed housing and community development funds in the final bill.

HUD Creates New Eviction Requirements for Public Housing and PBRA

In a notice titled “Extension of Time and Required Disclosures for Notification of Nonpayment of Rent,” HUD updates its regulations–through an interim final rule–to give itself the authority to require that public housing and project-based rental assistance (PBRA) developments give tenants the opportunity to receive emergency rent relief before eviction. Specifically, when there is federal funding available due to the declaration of a national emergency, PHAs with public housing and owners with PBRA properties must do the following at HUD’s discretion:

  • Provide at least 30 days from the date a tenant receives a notice of lease termination for failure to pay rent before terminating the tenant; and
  • Provide information (e.g., information about how to apply for and receive emergency federal funding) to the tenant as determined by HUD.

HUD will publish another notice outlining the specific information that must be included in the lease termination notification. That notice will also provide the requirements for PHAs and owners to provide the information in an accessible manner for effective communication for people with disabilities and people with limited English proficiency (LEP).

These requirements apply to public housing and PBRA, which is defined in this rule to include Section 8, Section 8 Moderate Rehabilitation, Section 202/162 Project Assistance Contract, Section 2020 Project Rental Assistance Contract (PRAC), Section 811 PRAC, Section 236 Rental Housing Assistance Program and Rent Supplement. The rule does not apply to the Housing Choice Voucher program.

The interim final rule will become effective in 30 days after publication of the notice in the Federal Register.

Comments for the rule will be due within 30 days of publication of the notice in the Federal Register.

A pre-publication copy of the rule may be found here.

HUD Publishes 2022 OCAFs

In early Oct., HUD published the list of operating cost adjustment factors (OCAFs) for project-based assistance contracts under Section 8. These adjustment factors are used to adjust certain Section 8 rents. They were calculated in the same manner the 2021 OCAFs. They are calculated as “the sum of weighted component cost changes for wages, employee benefits, property taxes, insurance, supplies and equipment, fuel, oil, electricity, natural gas, and water/sewer/trash, using publicly available indices.” They are applicable beginning Feb. 11, 2022. These OCAFs are distinct from renewal funding inflation factors (RFIFs), which are usually applicable for the Housing Choice Voucher program.

The Federal Register notice announcing the OCAFs may be found here.

Housing at Risk of Being Cut from Infrastructure Legislation – Urgent Action Needed!

Negotiations between a divided Democratic party are threatening to undermine the hard work NAHRO and its members have done to ensure housing is included in infrastructure legislation. The Washington Post reported on Saturday that these critical housing investments “may prove among the first to hit the cutting room floor.” Your voice is urgently needed right now to tell your members of Congress and the White House that this is unacceptable.

The $3.5 trillion Build Back Better Act is stuck in the House of Representatives as leadership tries to gather votes for the Bipartisan Infrastructure Framework (BIF), which is a related piece of President Biden’s “Build Back Better Agenda.” The Build Back Better Act is a once-in-a-generation opportunity to preserve and create affordable housing that currently includes $80 billion for public housing, $75 billion for Housing Choice Vouchers, $40+ billion for HOME and CDBG, and billions more for other essential programs. These essential housing infrastructure investments are at risk of being cut from negotiations entirely. We cannot let this happen! We must tell Congress and the White House not to miss this opportunity to help the lives of millions of Americans.

Visit NAHRO’s Advocacy Action Center to send a pre-drafted letter in support of housing is infrastructure. To make your letter more powerful, add personalized stories about what the funding would mean to you, your residents, and your community. Together, our advocacy can help bring this bill across the finish line. Help us send 5,000 letters this week to Congress and the White House – send your letter today!

The NAHRO team will continue to provide real-time updates on where negotiations stand in the coming days, with detailed information provided during the 2021 NAHRO Online National Conference and Exhibition next week. Don’t miss this unique opportunity to hear from NAHRO experts and affordable housing industry thought leaders at this historic time. Join hundreds of fellow affordable housing and community development professionals from across the country at the 2021 NAHRO Online National Conference and Exhibitionclick here to register!