Month: October 2023

Build America, Buy America Waiver Form, Webpages, and Webinars Published

~ Andrew Van Horn ~ Leave a comment

Waiver Form

A proposed waiver form is available to view, and it is housed on the Office of the General Counsel webpage, described below. This waiver form will be used for multiple waiver types.

Webpages

The Department has published two new webpages containing resources for the Build America, Buy America Act (BABA).

  1. Build America, Buy America Office of General Counsel Webpage: use this new webpage for the following:
    1. An overview of BABA,
    1. A breakdown of situations in which BABA applies,
    1. An overview of BABA compliance,
    1. A centralized explanation of waivers—including a copy of the proposed waiver form, and
    1. Frequently Asked Questions.
  2. Build America, Buy America HUD Exchange Webpage: use this new webpage for the following:
    1. Learn about BABA as it relates to CPD programs specifically,
    1. Find links to BABA training webinars and “quick guides” covering CPD programs including webinars beginning Thursday November 2nd, and
    1. Find a list of recent BABA news and announcements.

Webinars

There are four upcoming webinars.

See the November 15 edition of The NAHRO Monitor for more information about the waiver form.

HUD Publishes Proposed Rule Addressing Criminal Convictions in Two Housing Programs

~ Andrew Van Horn ~ Leave a comment

On October 31, HUD published a proposed rule titled “Removing Criminal Conviction Restrictions for Testers in FHIP- and FHAP-Funded Testing Programs,” which removes prohibitions against individuals with certain criminal convictions in two programs. These programs, the Fair Housing Initiatives Program (FHIP) and Fair Housing Assistance Program (FHAP), provide money to non-profits (FHIP) or state and local governments (FHAP) to combat fair housing violations. One way these organizations pursue this mission is through “testing,” in which program representatives participate in the housing application processes to determine if housing organizations and providers violate fair housing laws during this process. HUD has barred people with felony, fraud, or perjury convictions from serving as these “testers.”

This proposed rule would no longer forbid FHIP and FHAP testers who have prior felony, fraud, or perjury convictions. The final rule outlines the ways in which this change aligns with HUD’s goals as well as the legal basis for this rule.

For more information, see the November 15 edition of The NAHRO Monitor or the proposed rule.

PRO Housing Application Deadline Extended

~ Steven Molinari ~ Leave a comment

On October 25, HUD announced that the application deadline for the the Pathways to Removing Obstacles to Housing (PRO Housing) Notice of Funding Opportunity (NOFO) has been extended to November 6 at 11:59 pm ET.

PRO Housing is a newly established program focused on supporting communities who are actively taking steps to remove barriers to affordable housing. The program is governed by statutes and regulations of the Community Development Block Grant (CDBG) program.

For those interested in applying, please see the NOFO here.

For more information on the program please see here.

Day 3 Webinar Series: Week Two to Highlight “Breaking Barriers to FSS” on October 26

~ Steven Molinari ~ Leave a comment

The second week of the NAHRO Day 3 webinar series will be on Thursday October 26 at 1:30pm ET, featuring a discussion on the current landscape of the Family Self-Sufficiency (FSS) program.

This week’s webinar, titled “Breaking Barriers to FSS,” explores the common obstacles in accessing the FSS program. Speakers will share their vision for a new FSS model, grounded in behavioral economics, in which families automatically enroll in the program.

The session is led by Compass Working Capital, an organization focused on ending asset poverty for families with low incomes and narrowing the racial and gender wealth divides. Since 2010, Compass has partnered with public housing agencies and other affordable housing providers to operate an asset-building model for the FSS program.

To register for the Day 3 webinar series, please see here.

Future Webinar Topics:
November 2: This USDA Program is for Rural and Urban Areas
November 9: Centering Impacted Communities in Advocacy
November 16: Building Resident and Owner Financial Resiliency

HUD to Expand Mandatory Use of Small Area FMRs

~ Tushar Gurjal ~ Leave a comment

On October 23, a pre-publication copy of a notice titled “Small Area Fair Market Rents in the Housing Choice Voucher Program Metropolitan Areas Subject to Small Area Fair Market Rents” was made publicly available. The notice would add additional metropolitan areas to the list of areas in which PHAs are required to adopt the use of Small Area Fair Market Rents (FMRs). Small Area FMRs are Fair Market Rents calculated over a zip code, instead of a larger geography. The Department’s regulations require that HUD update the list of areas that must adopt Small Area FMRs every 5 years. The designation is permanent. These designations will take effect on October 1, 2024, but affected PHAs have until January 1, 2025 to update their payment standards.

In deciding which areas must use Small Area FMRs, HUD considers the following factors:

  • at least 2,500 vouchers must be under lease in the metropolitan FMR area;
  • at least 20% of the standard quality rental stock within the metropolitan FMR area is in zip codes where the Small Area FMR is more than 110% of the metropolitan FMR;
  • the percentage of voucher families living in within low-income areas within the area must be at least 25%;
  • the percentage of voucher holders living in low-income areas relative to all renters within these areas over the entire metropolitan area exceeds 155%; and
  • the vacancy rate for the metropolitan area is higher than 4 percent.

Through recent research, HUD has found that “[n]ew voucher recipients were more likely to move to low-poverty neighborhoods after [Small Area FMRs] were implemented . . . [though] the magnitude of these positive effects is modest.” The research also found that Small Area FMRs “did not affect the success of households with vouchers in leasing up (i.e., the number of households leasing up within 180 days), even for high-barrier households or those living in zip codes where [Small Area FMRs] were lower than FMRs.” Additionally, HUD staff analysis found “little discernable difference in the annual change in [per unit cost] in [Small Area FMR areas].”

In implementing Small Area FMRs, HUD has committed to providing the following: “adequate technical assistance, opportunities for peer-to-peer training, additional program materials, and additional training for HUD field office staff.”

The full pre-publication notice can be found here.

The new mandatory Small Area FMRs designations are the following:

Continue reading →

Reminder: NAHRO’s Free Day 3 Webinar Series Starts Today!

~ Andrew Van Horn ~ Leave a comment

NAHRO’s 2nd annual Day 3 webinar series is back! Starting today, October 19, this five-week webinar series will feature sessions and topics that give attendees a taste of what they could expect from concurrent sessions at our National Conference. Registration is free to all. Attendees that sign-up for a session will automatically be enrolled in the five-week series. Sessions run from 1:30-2:30pm ET.

This week’s topic is “Building Cyber Resiliency Safeguarding Public Housing in the Digital Frontier.” While rapidly evolving technologies have improved housing agency operations, they’ve also created new and emerging cybersecurity risks like ransomware and business email compromise that can disrupt operations for weeks. So how can agencies become more cyber resilient? The panelists will answer that question by walking attendees through Denver Housing Authority’s 2021 ransomware incident. Using Denver’s experience as a backdrop, panelists will outline common cyber vulnerabilities, common sense defense strategies, and best practices to fortify housing agencies against cyber risks, ensuring the safety and privacy of residents and employees in this rapidly evolving digital landscape.

Register here: https://nahro-org.zoom.us/webinar/register/WN_Zhq2tIjNRtOkYjsjfbfuag

Future Webinar Topics:
October 26: Breaking down Barriers to FSS
November 2: This USDA Program is for Rural and Urban Areas
November 9: Centering Impacted Communities in Advocacy
November 16: Building Resident and Owner Financial Resiliency

Reallocation of EHVs for Calendar Year 2024

~ Tushar Gurjal ~ Leave a comment

On October 13, HUD published a notice titled “Revocation and Reallocation of Emergency Housing Voucher Awards CY2024” [Notice PIH 2023-31 (HA)]. The notice explains the process by which HUD intends to revoke EHVs from certain PHAs and reallocate them to other PHAs.

The Department will target housing agencies that have 10 or more Emergency Housing Vouchers (EHVs) and less than 75% utilization according to data in IMS/PIC or the Housing Information Portal (HIP) as of February 15, 2024. After that date, HUD will identify PHAs with this criteria and revoke the EHVs, though HUD will not revoke vouchers in cases where voucher holders are searching for a unit. When notified that vouchers will be revoked, PHAs must verify that its voucher issuance numbers are correct as of February 15, 2024. HUD will take into account the number of voucher issuances when deciding on the number of EHVs to revoke. HUD estimates there are currently 104 PHAs that may be subject to this revocation. Housing agencies should return any funds associated with EHVs including ongoing administrative fees and unspent fees.

The Department will then reallocate the vouchers to PHAs with “a demonstrated capacity to administer an EHV program.” To reallocate vouchers, HUD will identify PHAs that have reported EHV utilization of at least 75% or greater and award them vouchers. If there are multiple PHAs in states that have a 75% or higher utilization, the vouchers will be allocated on a “prorate basis according to the the number of EHV awards that PHAs have reported leased . . . .” There will be a minimum award of 5 vouchers. If there are states that have no PHAs with at least 75% utilization of EHVs or if some PHAs do not want additional EHVs, the Department will distribute the award nationally.

Housing agencies that receive additional EHVs will also receive issuance reporting fees ($100 per new EHV that is leased if the PHA reported it within 14 days of issuance); additional ongoing administrative fees; and service fees ($3,500 per EHV to be used for eligible services). After September 30, 2023, PHAs may not reissue the EHV when assistance for a family ends.

The full notice can be found here.

$212 Million in Section 811 Funding Now Available

~ Steven Molinari ~ Leave a comment

On October 12, HUD announced the availability of $212 million in Section 811 Supportive Housing for Persons with Disabilities program funding. Applications are due by February 12 at 11:59 pm ET.

Funding for the Section 811 program is available for program participants to expand the supply of affordable housing and supportive services for very-low and extremely-low-income persons with disabilities.

Capital Advance/Project Rental Assistance Contract Program

Among the total amount, $106 million is available for Section 811 Capital Advance/Project Rental Assistance Contract (PRAC) program. This part of the Section 811 program provides capital advances that can be used for the development or rehabilitation of supportive housing and project rental subsidies. Under the PRAC program, 21 awards will be made available.

Project Rental Assistance Program

Additionally, another $106 million of the total is available for Section 811 Project Rental Assistance (PRA). This funding provides state housing and other agencies project rental assistance. This assistance is meant to cover the difference between tenant contributions of rent and the HUD-approved rental amount for tenants with disabilities. Under the PRA program, 13 awards will be made available.

Both programs within Section 811 have their own grant application.

To apply for the Section 811 PRAC program see here.

To apply for the Section 811 PRA program see here.

HUD Implements HCV Exception Payment Standard Waivers for 2024

~ Tushar Gurjal ~ Leave a comment

On October 12, HUD published a notice titled “Certain Regulatory Waivers for the Housing Choice Voucher (including Mainstream) Program and Streamlined Review Process” (Notice PIH 2023-29). The notice would allow PHAs to use an expedited process to receive waivers from HUD to use a higher payment standard and to apply the payment standard during the Housing Assistance Payment (HAP) contract term. Waiver requests must be received by HUD by midnight on June 3, 2024.

Exception Payment Standards

The notice allows PHAs to request three different payment standard waivers. The first would allow for PHAs to use exception payment standards up to 120% of the Small Area Fair Market Rents (FMRs) for PHAs that have voluntarily or mandatorily adopted Small Area FMRs. The second waiver would allow PHAs to adopt exception payment standards up to 120% of the FMR. The third waiver would allow for a PHA to adopt exception payment standards up to 120% of the Small Area FMRs for PHAs that are currently approved for exception payment standard Small Area FMRs.

In order to request one of the above three waivers, PHAs must meet certain criteria. Either one of the two following criteria must be true. Either the PHA must have a success rate under 80% for the most recent 12-month period for which there is data or more than 40% of the families in the program must be cost-burdened (i.e., pay more than 30% of adjusted income as the family share). In determining these numbers, the PHA should include special purpose vouchers.

Increases to the Payment Standard during the HAP Contract Term

The notice also allows PHAs to apply for a waiver that will allow for PHAs to increase their payment standards for a family at any time after the effective date of the increase (as opposed to the next recertification for the family). To apply for the waiver, the PHA must have “good cause.” Examples of “good cause” include, but are not limited to, instances were the PHA has experienced an increase in family rent burdens or instances where the PHA anticipates potential negative impacts to tenants or the onset of housing instability.

Requesting a Waiver

To request a waiver through the streamlined process, PHAs should email PIH_Expedited_Waivers@hud.gov. Each request should state the following in the subject line: “Streamlined Regulatory Waiver Request, [PHA name and code].” The body of the email should include the PHA business address and a point of contact’s email address; the name of the requested waiver; a justification of the waiver that shows good cause (the justification should include why the PHA needs the waiver and the impact on PHA operations or applicants, if the waiver is not provided); and the requested duration of the waiver (up until December 31, 2024). PHAs should ensure they have the budgetary authority to enact the waiver.

The full notice can be read here.