NAHRO Together Day 3 Series: Second Session to Feature “Addressing the Affordable Housing Shortfall with ARPA”

On Thursday, Oct. 20 at 1:30 p.m. ET, NAHRO will continue week two of the “NAHRO Together Day 3 Series,” which offers National Conference style sessions every Thursday for the next 5 weeks. The second session, features guest speaker Adrienne Holloway of the Harris County Community Services Department in Houston, Texas, who will discuss her department’s experiences in addressing the housing shortfall with American Rescue Plan Act (ARPA) funding. This presentation will also share research findings, discuss the 10-year needs assessment for the county, and their goals to address the current and impending affordable housing crisis.

This session is open to all so register now!

For information on future NAHRO Together Day 3 sessions, please see the schedule below:

HUD Seeks PHAs to Participate in OpFund Web Portal Online Testing

Last week, HUD reached out to PHAs requesting participants to help test a new feature of the Public Housing Operating Fund Web Portal in a process called “User Acceptance Testing.” Participants would use this new electronic module to complete HUD forms 52723 and 52722 to help HUD improve this tool before it is fully implemented. Providing feedback on the user experience should make the module more effective.

This process will take roughly six hours in total and occur in November, 2022. To participate, executive directors should email opfundwebportal@hud.gov by October 25, 2022. HUD requests interested PHAs include the subject line “UAT PHA Participant,” their authorized representative’s name, PHA name and code, and email address.

HUD Increases Funding Available for Mainstream Vouchers

In a recently published notice (PIH 2022-31), HUD announced that it is increasing the funding available for new mainstream vouchers from $40 million to $48 million. The Department is not accepting new applications for the non-competitive allocation of these vouchers.

The short notice announcing the additional funding can be found here.

HUD Updates Small Rural Frozen Rolling Base Guidance

On October 6, HUD issued PIH Notice 2022-32, updating the guidance from Notice 2020-30 for the Small Rural Frozen Rolling Base (SR-FRB) program. This notice applies to small, rural PHAs who operate public housing. The program allows PHAs to receive subsidy amounts based on their average energy usage for the three-year period before entering the program. The money saved from improving efficiency while receiving funding at their prior energy usage level can be used to supplement either Public Housing Operating or Capital Fund needs for up to 20 years. This new notice provides additional updates for calendar year 2023 beyond those described in Notice 2021-30. The four significant updates in Notice 2022-32 are discussed below.

First, PHAs will now join the SR-FRB program via the Operating Fund web portal, unlike in years prior to 2021. Participants will use it to opt in and out of the program as well as make any changes to utility data. HUD notes that they provide a user guide.

Each year, the operating subsidy processing notice and the operating subsidy grant calendar will include the official Notification date. This date is the deadline for joining, leaving, and updating specific data for the program. For 2023 funding, the Grant Submission Schedule currently shows SR-FRB submissions opening November 7, 2022 and closing November 18, 2022. Inclusion in the submission schedule is a change from calendar year 2022.

Like previous years, PHAs may still request one adjustment to their Heating Degree Days (HDD); however, to be eligible, this change must now modify usage by at least 10%. Prior HDD regulations still apply, and this change must be completed by the submission deadline listed above.

Finally, the notice describes a new appeals process. Any denials can be appealed for seven business days after receiving the denial and must be submitted to SRFRB@hud.gov.

Like prior notices, this updated version discusses eligibility, program requirements, entering and leaving the program, modifying program data, specific participation requirements, debt service, and example scenarios. HUD includes a list of eligible PHAs here.

Notice 2022-32 can be found here.

NAHRO Together Day 3 Series Kicks Off with the Campaign for Grade-Level Reading

On Thursday, Oct. 13 at 1:30 p.m. ET NAHRO will host it’s first ever event series “NAHRO Together Day 3,” which will offer National Conference style sessions every Thursday for the next 6 weeks. The first session, which features guest speakers from the Campaign for Grade-Level Reading (CGLR), will highlight the interconnection between housing and education. CGLR will highlight themes and innovations from the 2022 All-America City Award, which focused specifically on the role of public and affordable housing tied to supporting students and their families.

This session is open to all so register now!

For information on future NAHRO Together Day 3 sessions, please see the schedule below:

HUD Releases NOFO for Choice Neighborhoods Implementation Grants

On September 30, HUD announced the Notice of Funding Opportunity (NOFO) for the Choice Neighborhoods Implementation Grants. Approximately $379 million in total will be made available to support with the implementation of neighborhood revitalization plans that are used to improve housing, economic/social factors for residents, and to create communities that attract investment for the benefit of residents.

Applications for this grant are due by Wednesday January 11, 2023. Each applicant may be eligible for up to $50 million to support implementation efforts. In addition, HUD will allocate $100 million of the total amount for Supplemental Grants to assist grantees from the fiscal years 2017 through 2020 that have already met certain requirements as per the guidelines of the grant.

For more information on this NOFO, please stay tuned for the next edition of The Monitor.

HUD Extends Two HCV Payment Standard Waivers for 2023

On Sept. 26, HUD published a notice titled “Extension of Certain Regulatory Waivers for the Housing Choice Voucher (including Mainstream) Program and Streamlined Review Process” (Notice PIH 2022-30). The notice would extend two waivers that were previously made available for the Housing Choice Voucher (HCV) program.

The waivers that would be extended are the following:

  • Increase in Payment Standard During HAP [Housing Assistance Payment] Contract Term – this waiver would allow PHAs to increase the payment standard for a family at any time after the effective date of the increase instead of at the next regular reexamination.
  • Voucher Tenancy: New Payment Standard Amount – this waiver would allow PHAs to establish payment standards up to 120% of the FMR, instead of 110%, which is the maximum usually allowed in most scenarios.

Extending a Waiver

If a PHA already is using one of these waivers, it need only extend the waiver. Agencies that are using these waivers may continue to use them, without taking additional steps, until Dec. 31, 2022 and may extend them until Dec. 31, 2023. To extend the waivers, PHAs must email PIH_Expedited_Waivers@hud.gov, while copying their local field office. The notice provides details on the contents of the email to be sent. Waiver extensions may be requested until Dec. 31, 2022.

Requesting a Waiver

Agencies that wish to apply for one or both of the waivers, if they do not currently implement them, or agencies that have not extended their waiver before the deadline, may request the use of the waiver through a streamlined approval process. Requests for waiver usage under this process must be submitted to HUD before the end of Sept. 30, 2023.

Agencies that request a waiver through this process must provide a good cause justification. The good cause justification must include all of the following:

  • Why the PHA needs the waiver;
  • The impact on PHA operations or applicants if the waiver is not provided; and
  • The proposed waiver duration (this should be limited to the time the PHA needs the waiver, but should not exceed Dec. 31, 2023).

Examples of good cause for each of the waivers can be found below:

  • Increase in Payment Standard During HAP Contract Term;
    • Increases in family rent burdens;
    • Potential negative impacts to tenants or the onset of housing instability;
  • Voucher Tenancy: New Payment Standard Amount;
    • Rental Market Fluctuations – The PHA is in an area that HUD has determined has significant rental market fluctuations (a list of those areas is listed at the end of the notice);
    • Utilization Rate – The PHA has a lower than 98% utilization rate for the current year or more than a 5% utilization drop between 2019 and 2021; The utilization rate for this purpose is the higher of the unit utilization rate or the budget utilization rate; and
    • Timely Leasing of Vouchers – the PHA has leased less than 85% of the vouchers that it has issued in the last six months.

A PHA may request a waiver by emailing PIH_Expedited_Waivers@hud.gov, while copying their local field office. The notice provides details on the contents of the email to be sent.

Other Waivers

As always, a PHA may use the regular waiver request process for any additional waiver it may require, but those requests will not be subject to a streamlined approval process.

The full notice may be found here.

HUD Announces PHAs for MTW Asset Building Cohort

Earlier today, HUD published a press release announcing that it had selected PHAs for the fourth cohort of the Moving to Work (MTW) program. The MTW program allows PHAs that have received MTW status certain additional flexibilities in how they use their funds and greater freedom in how they operate. The program allows PHAs to innovate in how they provide housing.

The current expansion of the MTW program requires PHAs to commit to research on a particular policy topic. In addition to the regulatory and operational flexibility afforded by the program, PHAs selected in this cohort have committed to research asset building policies. Housing agencies in this cohort will have to pick, implement, and track one of the three following options for asset building policies:

  1. Opt-Out Savings Account Option – PHAs must deposit a certain amount of funds per month into an escrow account on behalf of an assisted household.
  2. Credit Building Option – PHAs must report public housing rent payments to credit bureaus.
  3. PHA-Designed Asset Building Option – PHAs must design their own local asset building program.

Currently, HUD has selected 87 of the 100 agencies, including 16 in this cohort, to which it is statutorily mandated to award an MTW designation. According to HUD, “MTW agencies are now in 40 states and the District of Columbia.”

HUD’s press release on the MTW fourth cohort can be found here.

The Request for Applications for the MTW fourth cohort (Notice PIH 2022-11) can be found here.

NAHRO congratulates all of the selected PHAs that were selected in this cohort. The complete list can be found below.

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HUD Releases Disaster Guidebook

This month, HUD released its Public Housing Agency Disaster Readiness, Response, and Recovery Guidebook. The guidebook includes a collection of information, best practices, and resources for PHAs related to preparation for, responding to, and recovering from natural disasters. The first section of the guidebook discusses PHA readiness and covers risk assessment, internal policies and resources, training and communication, coordination and partnerships, and hazard mitigation and resilience. The second portion focuses on response and covers activation and deployment, portfolio assessment, and informing HUD of a diesters. And the last section covers recovery, and includes recovery support strategies, restoring business operations, rehousing displaced residents, repairing and rebuilding the public housing portfolio, and transitioning back to normalization.

Agencies should look to the guidebook before they are impacted by a natural disaster. Although agencies impacted by presidentially declared natural disasters are eligible for assistance from FEMA, they should prepare beforehand to ensure that PHAs can expedite disaster recovery by thinking about risk beforehand and knowing what to expect when and after a disaster strikes.

The guidebook can be found here.

FSS Action Plan Deadline Is Approaching

The Department of Housing and Urban Development (HUD) will be accepting FSS Action Plans up until the deadline on September 30, 2022.

New Action Plans must be submitted as required by the FSS final rule. The Plan should describe how a program will be administered, services that will be offered, and the size/characteristics of anticipated participants of the program.

New participants of an FSS program will not be able to be enrolled until the Action Plan is approved by HUD. The reviewal process takes up to 45 days and must be approved by HUD by November 14. Plans should be submitted via email to PHAFSSActionPlans@hud.gov with the subject line and attachment names titled by PHA’s name and number.

More information on the Plan and what to submit can be found in the August 31 edition of The Monitor here.