Presenters Updated! Tomorrow!! Complimentary PH Unit Preservation Webinar – July 2, 1pm ET

LAST CHANCE TO REGISTER. NAHRO is hosting a complimentary Public Housing Unit Preservation Webinar tomorrow, Tuesday, July 2, at 1pm eastern time. Join Andy Rodriguez, Executive Director of the Nampa (ID) Housing Authority; Edward Mayer, Executive Director of the Housing Authority of the County of Butte (CA); and Georgi Banna, NAHRO’s Director of Policy and Program Development who will share and overview of the preservation options and will their experiences and decision making process in preserving their Public Housing units.

This session is for agencies of all sizes from the smallest to the largest and will discuss HUD’s outreach, the options and first-hand PHA experiences. Below is information on the session and the registration link.

Public Housing Preservation Options – The PHA Perspective

Has HUD reached out to your agency to discuss the future of your public housing? Join us for this complimentary session to review your options, and the NAHRO Policy team is here to provide more information and help sort through a lot of the chatter. Are you interested in joining the Rental Assistance Demonstration (RAD), using the Section 18 Demolition/Disposition program, removing your Declaration of Trust, participating in a streamlined voluntary conversion process, or continuing in public housing? We’ll provide overviews of the options available to PHAs of all sizes and discuss HUD’s plans for the future. We will also be joined by Andy Rodriguez of the Nampa (ID) Housing Authority and Edward Mayer of the Housing Authority of the County of Butte (CA), who will share their experiences and decision making process in preserving their Public Housing.

Please register for Public Housing Preservation Options – The PHA Perspective on Jul 2, 2019 1:00 PM EDT at:

https://attendee.gotowebinar.com/register/4425060811873671691?source=blog2

After registering, you will receive a confirmation email containing information about joining the webinar.

Complimentary Webinar – Public Housing Repositioning – July 2, 1pm Eastern

On Tuesday, July 2, NAHRO will be hosting a complimentary webinar on HUD’s current effort of Public Housing Repositioning. Below is information on the session and the registration link. This session is for agencies of all sizes from the smallest to the largest and will discuss HUD’s outreach, the options and first-hand PHA experiences.

Public Housing Preservation Options – The PHA Perspective

Has HUD reached out to your agency to discuss the future of your public housing? Join us for this complimentary session to review your options, and the NAHRO Policy team is here to provide more information and help sort through a lot of the chatter. Are you interested in joining the Rental Assistance Demonstration (RAD), using the Section 18 Demolition/Disposition program, removing your Declaration of Trust, participating in a streamlined voluntary conversion process, or continuing in public housing? We’ll provide overviews of the options available to PHAs of all sizes and discuss HUD’s plans for the future. We will also be joined by Andy Rodriguez of the Nampa (ID) Housing Authority, who will share Nampa’s experiences and decision making process in preserving their Public Housing.

Please register for Public Housing Preservation Options – The PHA Perspective on Jul 2, 2019 1:00 PM EDT at:

https://attendee.gotowebinar.com/register/4425060811873671691?source=blog

After registering, you will receive a confirmation email containing information about joining the webinar.

HAP Pass-Throughs and HAP Contract Transfers prohibited in PBV program

Earlier today, HUD issued guidance clarifying that Housing Assistance Payment (HAP) pass-throughs and HAP contract transfers are prohibited under current rules for project-based vouchers (PBVs) under the housing choice voucher (HCV) program.

A HAP pass-through would allow the use of HAP to “provide assistance to tenants who are displaced from . . . HAP contract units due to a disaster or rehabilitation in another building or project.” Although HUD envisions guidance that may allow this in the future, at this time PHAs may not make these payments to the owners of unoccupied units  for the purpose of rehousing families.

A HAP contract transfer would allow project-based voucher contracts to be transferred from one project to a separate and distinct project. This is different from the sale, assignment, or transfer of ownership of the HAP contract–which is allowable, if done following the appropriate PBV regulations. Contract transfers of HAP are not allowable (with some Rental Assistance Demonstration exceptions), though future guidance may change this.

The full guidance document can be found here.

HUD Publishes Notice on Treatment of ABLE Accounts

[5/6/2019 (12:58 PM ET) – The original version of this post linked to the wrong notice; the links have been corrected.]

In late April, HUD published a notice titled “Treatment of ABLE Accounts in HUD-Assisted Programs” (PIH 2019-09). The notice states that for the purpose of determining eligibility and continued occupancy, HUD and HUD program administrators  must disregard amounts in an individual’s Achieving Better Life Experience (ABLE) account. These accounts are established by states and allow for contributions to be made to the account to benefit the designated beneficiary for qualified disability expenses. According to the notice, “[t]he designated beneficiary must be a person with disabilities, whose disability began prior to [his, her, or their] 26th birthday and who meets the statutory eligibility requirements.”

The notice requires that the entire value of the ABLE account be excluded, including actual or imputed interest on the ABLE account balance. Additionally, distributions from the ABLE account are also not considered income.

Owners and PHAs should develop a policy and procedure for verifying ABLE accounts that obtains the following:

  • the name of the designated beneficiary; and
  • the State ABLE program administering the account to verify that the account qualifies as an ABLE account.

This notice applies to the public housing program; the housing choice voucher program; project-based section 8; Section 202/162 project assistance contract; Section 202 project rental assistance contract; Section 202 senior preservation rental assistance contracts; Section 811 project rental assistance contract; Section 811 project rental assistance; Section 236; and Section 221(d)(3) and Section 221(d)(5) below market interest rate.

The full notice can be found here.

HUD Offers Technical Assistance for PHAs Considering Repositioning their Public Housing Assets

Last week, HUD’s Office of Public and Indian Housing sent an email detailing the communication and technical assistance efforts HUD was making to ensure that PHAs understood the range of options that were available to reposition their public housing assets. The following are bullet points quoted directly from the email:

  • PIH staff have been making presentations at local and national industry meetings to help PHAs become more aware of their repositioning options.
  • PHAs wanting to learn more about their repositioning may ask their local Field Office staff to walk them through the benefits of the various options—always with a focus on how best to address the local needs.
  • PIH has set up Repositioning Assistance Panels. Field office staff can reserve time with program experts identified by the Office of Recapitalization, Special Applications Center (SAC), Urban Revitalization Division, and Office of Housing Voucher Programs. These experts can discuss the various repositioning options with a PHA, enabling an informed decision about what strategy would best meet local needs. You can set up a time with a Panel through your local Field Office.
  • We have also trained Repositioning Expeditors in most Field Offices. These Expeditors are available to help PHAs with their RAD, voluntary conversion, and demo/dispo applications.
  • Understanding that these repositioning options are complex, particularly for small PHAs, the Department is working to provide the following starting late spring:
    1. Develop training materials, sample documents and other tools that help PHAs consider repositioning strategies and understand available options;
    2. Provide local training sessions to present available repositioning tools and considerations to address local affordable housing needs;
    3. Develop an online training platform and training materials to help PHAs and their boards understand repositioning options and HUD requirements; and
    4. Provide direct technical assistance to small PHAs (operating 250 or less assisted units) in how to start and sustain affordable housing strategies.

NAHRO reminds our members that repositioning is a voluntary process. The Department is providing a range of options, none of which are mandatory. Interested agencies should take actions–or not–based on the needs of their local communities and the households the agencies serve.

Public Housing Operating Fund Payments for March, April, and May Prorated at 88.7%

Earlier today, HUD sent an email to PHA Executive Directors informing them that HUD will make subsidy obligations available in the Line of Credit Control System (LOCCS) for the Public Housing Operating Fund within the next six business days. The payments for the months of March, April, and May will be obligated at a 88.7 percent proration. Although PHAs are being funded for three months, they are required to only draw down funds one month at a time, unless a multiple month withdrawal is approved by a HUD field office.

The funds being obligated are based on an estimate of PHA eligibility. The department believes that it should know actual eligibility, based on PHA submissions, by June at the earliest. As certain developments may be under- or over-funded based on current estimates, in instances where the estimated funding varies from the actual eligibility, the PHA should contact its field office representative. The PHA should also refrain from drawing down overfunded amounts and–if underfunded–should utilize its reserves until it receives its actual eligible funding.

If a development has been fully converted to RAD in 2018, but has still been awarded 2019 Operating Funds, the PHA should advise its field office immediately and not draw down 2019 funds.

The full notice can be found here.

HUD Funds Available for February, But Not for March

NAHRO has learned that the Department of Housing and Urban Development (HUD) has enough money to ensure that February payments for the Housing Choice Voucher (HCV) program and the public housing Operating Fund will be made available to public housing authorities (PHAs). HUD intends to make those payments on time. NAHRO has also learned that there is not currently enough money to make HCV and Operating Fund payments for March, if the government shutdown continues until then.

In order to end the government shutdown, Congress must agree to a funding bill. Now is the time to reach out to your Congresspeople and demand that a fiscal year 2019 appropriations bill for HUD is passed. NAHRO has prepared a letter that can be sent to your Congressional members through the NAHRO Advocacy Action Center.

As PHAs make their voices heard to Congress, NAHRO will continue to fight for you and the families you serve and will continue to inform members as soon as we learn more.

HUD Posts RAD Rent Levels for 2019 (Based on 2018 Public Housing Funding Levels)

Earlier today, the Department of Housing and Urban Development sent an email through its RADBlast! email list announcing RAD rents levels for 2019 (based on 2018 Public Housing Funding Levels). These rents will be used for new awards used in 2019. They may also be used for current awardees to update rents in existing Commitments to enter into Housing Assistance Payment contracts (CHAPs). Closed transactions are ineligible to receive these new rents. Remember, these new rents–after being updated with 2019 Operating Cost Adjustment Factors (OCAFs)–may not necessarily be higher than your current CHAP rents depending on how the transaction is structured. NAHRO strongly recommends carefully reading HUD’s Frequently-Asked-Questions (FAQ) document on updating RAD rents before requesting updated rents.

Additionally, HUD has created a streamlined, online RAD application for public housing conversions that can be accessed here.

The 2019 RAD Rents can be accessed here.

The FAQ can be found here.

Secretary Carson to Lead Opportunity and Revitalization Council

In a press release published earlier today, HUD announced that the President established the White House Opportunity and Revitalization Council and named Secretary Carson its chairperson. The White House Opportunity and Revitalization Council’s activities include the following:

  • Engage all levels of government on methods to effectively use taxpayer dollars to revitalize low-income communities;
  • Streamline, coordinate, and target existing Federal programs to Opportunity Zones and distressed communities;
  • Consider legislative proposals and undertake regulatory reform to remove barriers to revitalization; and
  • Present the President with options to encourage capital investment in economically distressed communities.

Secretary Carson has said that “[t]hese are still early days for the work of the Council and Opportunity Zones, but the groundwork has been laid . . . [t]he seeds the President has planted are growing and the promise they hold will improve places long forgotten, and the lives of those who call those places home.”

The full press release can be found here.

HUD Updates RAD Notice on Davis-Bacon Prevailing Wage Requirements

The Department of Housing and Urban Development published a notice in the Federal Register announcing that it has published guidance clarifying the use of Davis-Bacon Prevailing Wage Requirements. With the conversion of Rent Supp., RAP, Mod. Rehab., or Mod. Rehab. SRO contracts to PBRA contracts, Davis-Bacon prevailing wage requirements are not triggered.

The full Federal Register notice can be found here.

The guidance document (H-2018-11; PIH-2018-22) can be found here.