Congress Holds Hearings on Oversight and Rental Assistance

On June 9, the Senate Committee on Banking, Housing, and Urban Affairs held a committee hearing on the oversight of housing regulators. The two witnesses at the hearing were Secretary Ben Carson of the Department of Housing and Urban Development (HUD) and Director Mark Calabria of the Federal Housing Finance Agency (FHFA).    

Secretary Carson shared that HUD is working to meet all statutory requirements related to the distribution of CARES Act funds. Of the $12.4 billion that HUD received from the CARES Act, $9.1 billion has already been allocated. The remaining CDBG funds will be allocated by October 1st and the remaining ESG fund allocations were announced on the same day as the hearing. Regarding rent payments, Secretary Carson urged HUD-assisted renters to recertify their incomes with their local PHAs if they need lower rent payments due to COVID-19.   

A few Senators expressed their opinion that Americans need expanded rental assistance and unemployment benefits. Secretary Carson did not comment on any plans for future housing-related COVID-19 funding, other than to express that HUD will closely monitor the situation.   

This hearing was followed by a June 10 hearing held by the House Subcommittee on Housing, Community Development, and Insurance which featured four witnesses speaking about the impact COVID-19 will have on evictions and rental assistance.  

Cashuana Hill, the Executive Director of the Louisiana Fair Housing Action Center, spoke of the role systemic racism plays in housing segregation, as well as the pandemic’s disproportionate impact on black and Latino workers. She called for rental assistance programs to consider equity concerns and reduce housing discrimination.  

Mike Kringsella, the Executive Director of Up for Growth, claimed that the COVID-19 pandemic has exacerbated a pre-existing housing shortage of roughly 7.3 million units, and urged Congress to provide additional renter assistance.  

Ann Oliva, a Visiting Senior Fellow from the Center on Budget and Policy Priorities, linked housing availability to public health and spoke of the importance a stable housing situation can play in helping people protect themselves from COVID-19. 

Jennty Schuetz, a Fellow from the Brookings Institute, noted that the federal government plays a smaller role in rental housing regulation than in the mortgage market – rental housing oversight is instead left to states, resulting in a patchwork of regulations. She added that an eviction moratorium is not a long-term solution, as owed rent builds up over time and small-scale landlords forgo revenue.  

The Subcommittee’s questions centered around possible funding mechanisms to disburse rental assistance, how to best promote racial equity in the disaster response, and how to help small landlords navigate loss of income and maintenance demand during the pandemic. 

NAHRO continues to advocate for affordable housing funding and effective, community-based policy solutions. Learn about NAHRO’s 2020 Legislative and Regulatory Agenda and more about NAHRO advocacy at www.nahro.org/advocacy.  

Mainstream HCV Two-Year Tool Now Available

I received word from a HUD official that the Mainstream Two-Year Tool is now available. For PHAs with Mainstream voucher programs, the Mainstream Two-Year Tool is within the regular Two-Year Tool and can be accessed by clicking the “Access Additional Tools” button. Additionally, the tool provides information on cash management to be used to assess the need for additional disbursements. “Reserve reconciliations” will be sent this week for PHAs with Mainstream programs.

The Two-Year Tool may be accessed here.

COVID-19 CDBG Eviction Moratorium Q&A Released

Earlier today, HUD released a Q&A to address questions concerning the eviction moratorium established by the CARES Act. Section 4024 of the Act imposes a 120-day moratorium on evictions, ending July 24, 2020. The moratorium extends to units in projects receiving funding from Community Development Block Grants (CDBG), Neighborhood Stabilization Programs (NSP) or Disaster Recovery.  

The Q&A clarifies which units are covered by the eviction moratorium, and which fees landlords may charge tenants for accrued costs after the moratorium ends. The full Q&A can be found here. For additional guidance, please visit the CDBG COVID-19 Resources page.  

NAHRO provides additional COVID-19 resources at www.NAHRO.org/coronavirus.

Managing During COVID-19: Homelessness Resources Webinar – Wed, May 27 at 2pm ET

On Wednesday, May 27. 2020, NAHRO is hosting a complimentary webinar – Managing During COVID-19: Homelessness Resources.

Join Nan Roman, President and CEO of the National Alliance to End Homelessness, and leaders from NAHRO member agencies for a discussion of available homelessness resources and best practices for their use. Bring your questions and comments and join your fellow PHAs for this interactive webinar!

Register for NAHRO’s Managing During COVID-19: Homelessness Resources Webinar here!

Postponed – NAHRO Presents Webinar on CARES Act Funding and Waivers

UPDATE – The Managing During COVID-19” series: “PHA to PHA Best Practices webinar scheduled for Wednesday, May 20 from 2-3 pm eastern time has been postponed. We apologize for any inconvenience this postponement has caused. Best practices on CARES Act funding and waivers will be discussed in future webinars. Information on future webinars will be posted at www.nahroblog.org. Thanks again.

Tune in this coming Wednesday, May 20, from 2-3 p.m. eastern time for the latest installment of our complimentary Managing During COVID-19” series: “PHA to PHA Best Practices! Your fellow NAHRO members will discuss which waivers they’re using and what they’re spending their funding on. Learn from your peers, ask questions, and share your own ideas!

Click Here to Register for the complimentary webinar Managing During COVID-19: Sharing Best Practices: Waivers and Funding!

Admin Fee Set-aside Application Deadline Extended

Yesterday, HUD sent an email extending the deadline for certain requests related to the administrative fee for the Housing Choice Voucher (HCV) program. The Department will not accept regular mail or faxes for these applications. so PHAs must submit their applications electronically. The extended deadline of 5 pm ET on Wed., July 15, 2020 applies to the following administrative fee requests:

  • Blended administrative fee rate requests (questions may be sent to PIHFinancialManagementDivision@hud.gov);
  • Higher administrative fee rate requests (questions may be sent to FinancialManagementCenter@hud.gov);
  • Special fees (questions may be sent to 2020SpecialFees@hud.gov), including:
    • Category 1: HUD-VASH special fees;
    • Category 2: Family Unification Program special fees;
    • Category 3: Disaster Related Special Fees; and
    • Category 4: Application for other Special Fees under the Secretary’s Discretion.

PIH Notice 2020-04 (a notice implementing the HCV program in calendar year 2020) provides additional details on the eligibility and documentation requirements.

HUD PIH Clarifies CARES Act Funding Timeframe Eligibility and Reporting Requirements

Earlier today, HUD PIH sent an email to PHA Executive Directors clarifying the timeframe around the use of Coronavirus Aid, Relief, and Economic Security Act (CARES Act) funding and clarifying CARES Act reporting requirements. Additional questions regarding the CARES Act may be sent to PIH-COVID@hud.gov.

The text below is taken directly from the email sent by HUD.

Q: What is the start date for use of new public housing funds under the CARES Act? Is it the date of the implementation notice (April 28, 2020), the date they were awarded (May 1, 2020), or the date the CARES Act was passed (March 27, 2020)?

A: 2020 Public housing funds were disbursed for public housing starting May 1, 2020. These funds can cover expenses, including expanded COVID-19 related expenses included in Notice PIH 2020-07, that were incurred starting March 27, 2020. CARES Act obligations should not relate back to a period any earlier than March 27, 2020. 

Q: What is the start date for the use of new HCV Program Administrative Fees awarded under the CARES Act?

A: 2020 HCV Program Administrative Fee funds were disbursed starting May 7, 2020. HCV Administrative Fees can cover expenses, including expanded COVID-19 related expenses included in Notice PIH 2020-08, that were incurred starting March 27, 2020. CARES Act obligations should not relate back to a period any earlier than March 27, 2020. 

Q: My PHA incurred a number of expenses related to COVID-19 prior to the arrival of the CARES Act funds, as our local outbreak started in February. Can these funds cover those expenses? What if we used other funds to cover these expenses– can those accounts be reimbursed?

A: For the public housing program, expenses incurred beginning on March 27, 2020 can be paid for with CARES Act supplemental operating funds, public housing operating funds or public housing capital funds. For the housing choice voucher program, expenses incurred beginning on March 27, 2020 can be paid for with CARES Act funding or FY 2020 administrative fees. If the PHA used other accounts to pay expenses incurred on March 27th or later, they can be reimbursed by the CARES Act funding.

Q: Can you clarify the CARES Act reporting requirements?

A: As described in PIH Notice 2020-07 and PIH Notice 2020-08, the CARES Act requires that recipients of $150,000 or more of CARES Act funding submit certain information regarding the use of CARES Act funds.

This reporting is required for “covered recipients,” defined as any entity that receives covered funds that amount to more than $150,000.  PHAs that receive CARES Act funds that amount to more than $150,000 will be subject to this additional reporting requirement based on the total amounts awarded, not each individual grant award. As outlined in the Office of Management and Budget (OMB) memorandum, M-20-21, existing reporting requirements are anticipated to meet the requirements of Section 15011, but the content and format for this reporting is still under development and will need to be reviewed against current program practices.  The Department will work in coordination with OMB to ensure that this requirement can be fulfilled by recipients of CARES Act funding in a manner that utilizes to the greatest extent possible existing reporting streams, providing the necessary transparency and accountability with minimal additional burden.  If additional reporting is necessary, further guidance will be released by the Department in the near future. 

Mainstream Voucher Allocation Notice Published

Earlier today, HUD published Notice PIH 2020-09 titled “CARES Act Mainstream Funding for Public Housing Authorities (PHAs) Awarded Funding Allocations in the 2017 and 2019 Competitions.” This notice establishes the process for allocating new Mainstream vouchers according to the requirements of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). Mainstream vouchers are vouchers that serve households that include a non-elderly person with disabilities.

Eligible PHAs are those that previously received a Mainstream voucher allocation through either:

A list of those PHAs can be found here (eligible PHAs are those PHAs with entries under the “2017/2018 Awards” column and the “2019 Awards” column).

Eligible PHAs will receive an increase in Mainstream voucher units of thirty percent. If an increase results in a fractional voucher, HUD will round up. Increased budget authority will be calculated based on per unit cost using the most recent data available to HUD for each PHA. A PHA may decline this increased allocation. Administrative funds will be provided in accordance with PIH 2020-04 (a notice implementing the Housing Choice Voucher program in calendar year 2020).

The Department will publish additional guidance on receiving and using extraordinary administrative fees (these fees are not provided in this allocation). Additionally, Mainstream voucher programs will also be eligible for additional CARES act supplemental HAP funding, the distribution of which will be detailed in forthcoming guidance.

The COVID-19-related waivers detailed in PIH Notice 2020-05 are applicable to Mainstream vouchers.

The complete notice can be found here.

Webinar Tomorrow: Managing During COIVD-19: Community Development: CDBG, HOME, ESG

Join NAHRO and Acting HUD Assistant Secretary for Community Planning and Development (CPD) John Gibbs from 2 p.m. – 3 p.m. eastern tomorrow, May 13, 2020, for a discussion on CPD’s response to the COVID-19 emergency. With a focus on CDBG, HOME, and ESG, Acting Assistant Secretary Gibbs will provide an update on CPD’s efforts to provide communities with access to waivers and supplemental funding and provide insights into CPD’s actions to address the COVID-19 crisis. Following the update, Acting Assistant Secretary Gibbs and his staff will join us for a moderated question and answer session.

Register for the complimentary webinar here!

HUD PIH to Hold Conference Call on Friday (5/15/2020 at 3:30 pm ET)

HUD’s Office of Public and Indian Housing will hold a conference call on Friday (5/15/2020 at 3:30 pm ET). Planned topics for discussion include the following:

  • PHAS waivers including physical inspections;
  • Protection of personally identifiable information;
  • Remote video inspections best practices; and
  • Information on a quick guide created to assist housing authorities with strategies and planning related to the impact of the pandemic on communities and stakeholders.

Call in details may be found below.

Suggested Attendees: PHA Executive Directors or Operations Managers, PHA occupancy specialists, PHA staff performing both PH and HCV HQS inspections, and PHA accountants.
See below for call-in and login information:
Step 1: Dial into the conference.
Dial-in: 1-877-369-5243 or 1-617-668-3633
Access Code: 0339017##
Need an international dial-in number?
If the automated recording indicates the conference is full, please use overflow information:
Dial-in: 1-877-369-5243 or 1-617-668-3633 Access Code: 0154662#
Step 2: Join the conference on your computer.
Entry Link: https://ems8.intellor.com/login/826642

A calendar invitation may be found here.