HUD Finalizes Disparate Impact Rule

The U.S. Department of Housing and Urban Development (HUD) has finalized a rule titled “Reinstatement of HUD’s Discriminatory Effects Standard.” The Department has posted a pre-publication copy of the final rule on its website. The rule will go into effect 30 days after it has been published in the Federal Register.

The current final rule would recodify a 2013 rule on disparate impact. The 2013 rule is titled “Implementation of the Fair Housing Act’s Discriminatory Effects Standard.” The 2013 rule was altered by a rule published in 2020 titled “HUD’s Implementation of the Fair Housing Act’s Disparate Impact Standard.” The 2020 rule would have made significant changes to, among other things, a three-part burden-shifting test that determined whether a particular practice had an “unjustified discriminatory effect.”

A federal court stayed the implementation and enforcement of the 2020 rule, so the 2013 rule remained in effect, and will continue to remain in effect with this final rule which “reinstates and maintains the 2013 rule.”

The pre-publication copy of the final rule can be found here.

NAHRO to Host eBriefing on Cybersecurity Protection March 16

On Thursday, March 16 at 2 p.m. ET, NAHRO will be hosting an eBrieifing on Cybersecurity titled “Protecting Your Agency From Cybersecurity Threats.” This free virtual webinar will feature speakers Brandon White from the Oakland Housing Authority and Ed Malaspina from HAI Group,  a member-owned insurance carrier founded by and dedicated to the public and affordable housing communities.

Presenters will bring advanced knowledge and experience in cybersecurity training for housing organizations. These experts will provide resources and tips for housing related agencies in protecting their data and resources from cyber threats.

To register, please see here.

Guidance on HOTMA Section 103 Released

On March 13, HUD issued Notice PIH-2023-03 (HA) titled “Supplemental Guidance for Implementation of Section 103; Limitation on Public Housing Tenancy for Over-Income Families under the Housing Opportunity Through Modernization Act of 2016 (HOTMA).” The Notice provides guidance to PHAs on the new limitations for continued occupancy of over-income families living in public housing. The guidance is linked to the HOTMA Sections 102, 103, and 104 final rule that was released in February. The notice provides guidance on setting rents for over-income families allowed to remain in public housing units by PHA policy, restates instructions on how a PHA must calculate the over-income limit, addresses effective dates in the final rule, and describes the requirement to submit annual reports on over-income families. The Notice can be found here.

HUD Releases Notice on FY 2023 Consolidated and Annual Action Plans for CPD Programs

In Feb. 2023, HUD released Notice CPD-23-01, which provides guidance on the submission process of Consolidated Plans and Action Plans for Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), Housing Trust Fund (HTF), Emergency Solutions Grants (ESG), and Housing Opportunities for Persons With AIDS (HOPWA) formula grantees and participating jurisdictions (PJs). The latest submission deadline for each applicable Plan is Aug. 16, 2023.

The notice for FY 2023 Consolidated Plans and Action Plans includes instructions on:

  • applications of waivers
  • participation requirements
  • costs incurred prior to execution of a grant agreement
  • information of waivers for pre-award costs of Entitlement CDBG grantees and HOME PJs
  • specific provisions

Consolidated Plans and Action Plans may have different submission deadlines and procedures depending on the program and start date–the notice outlines these differences.


Funding allocations, which were announced on Feb. 27 for CDBG, HOME, ESG, and HOPWA grantees, amount to nearly $5.6 billion in formula funds. As allocation letters are expected to be sent to grantees by HUD shortly, grantees must ensure that the actual FY 2023 allocation amounts are reflected in form SF-424 prior to submission.

Each jurisdiction should submit its Consolidated Plan at least 45 days before the start of its program year. Submissions may be delayed by grantees and PJs 60 days after the FY 2023 allocation announcement date for those whose normal Consolidated Plan/Action Plan submission deadline is no later than the 60 day timeline.

Submission deadlines cannot be waived under these programs as the requirement is established by statute.


For HTF grantees, allocations are expected to be announced in April 2023 at the earliest. These allocation dates differ from the other programs due to source of funding, which are mandatory set-aside amounts that come from Fannie Mae and Freddie Mac instead of federal appropriations.

In cases where States would like to submit Plans before HTF allocations are released, they may submit their Plans for other Community Planning and Development (CPD) programs and then submit their HTF allocation plan as a substantial amendment to its annual Action Plan after HTF allocations are released.

While HTF formula grants are not subject to the same Aug. 16 deadline, grantees that receive CDBG funding are required to follow deadline requirements under the program for the submission of Action Plans.

For more information on the notice and the instructions provided, please see our next edition of the NAHRO Monitor on March 15.

For the original notice please see here.

HUD Awards $5.6 Billion to Community Planning and Development Programs

On Feb. 27, HUD announced that $5.6 billion in funding will go to support programs with the Office of Community Planning and Development. Among the programs to receive funding is the Community Development Block Grants (CDBG), HOME Investment Partnerships Program (HOME), Housing Opportunities for Persons With HIV/AIDS (HOPWA) program, Emergency Solutions Grants (ESG), and the Recovery Housing Program (RHP). It is estimated that the awards will amount to 2,400 grants among 1,200 communities. Funding will be provided to thousands of local programs in all 50 states, including all five U.S. territories and the District of Columbia.

Please see the outlined funding chart from HUD below:

District of Columbia$15,404,214$6,056,624$1,634,036$1,341,848$12,770,434$37,207,156
North Carolina$77,823,733$41,847,605$1,054,616$6,836,325$13,401,347$140,963,626
North Dakota$5,527,134$3,549,768$0$486,494$0$9,563,396
New Hampshire$12,594,035$5,509,613$930,886$1,104,523$0$20,139,057
New Jersey$87,566,959$40,497,391$1,072,304$7,707,811$15,951,114$152,795,579
New Mexico$18,132,257$8,851,305$1,268,811$1,590,684$1,423,600$31,266,657
New York$318,043,716$140,182,508$0$27,743,018$55,283,456$541,252,698
Puerto Rico$54,443,639$26,082,936$0$4,777,743$9,056,831$94,361,149
Rhode Island$16,149,217$6,729,938$1,213,710$1,421,391$1,477,595$26,991,851
South Carolina$38,514,758$19,135,117$1,150,177$3,327,876$6,908,690$69,036,618
South Dakota$7,400,994$3,585,073$0$639,874$0$11,625,941
West Virginia$20,971,245$8,740,015$2,191,471$1,834,845$807,359$34,544,935
Insular Areas$7,000,000$3,000,000$0$580,000$0$10,580,000
Grand Total$3,305,210,063.95$1,500,002,300.00$30,000,000.00$290,000,000.00$449,100,000.00$5,574,312,363.95