On November 30, 2023 HUD published “Notice of Certain Operating Cost Adjustment Factors for 2024“. The notice establishes Operating Cost Adjustment Factors (OCAFs) for Fiscal Year 2024. The new OCAFs are effective February 11, 2024.

View the Operating Cost Adjustment Factors for 2024 Notice Here

On October 18, 2023, HUD provided a Multifamily Disaster Preparedness Plan Template as a resource to help HUD-assisted Multifamily Owners and PHAs produce property specific plan(s) to protect resident life and safety during a disaster. Drawing upon best practices for disaster and evacuation planning, this template provides resources for users to learn more while considering their property’s needs.

HUD designed the template to guide users through the process of gathering relevant information and resident input, drafting a plan, and educating both staff and residents about the plan. Multifamily owners and PHAs will be prompted to consider the specific climate hazards faced by the property, as well as resident needs. Worksheets for an evacuation plan that incorporates safe egress route(s), evacuating residents with special needs, and clear communication of the evacuation plan and safety resources for all residents are included in the plan template.

The tool is organized under four essential elements to disaster planning:

1. Background, Staffing, and Coordination
2. Resident Protection and Safety
3. Building Protection
4. Business Continuity

Who Should Use the Multifamily Disaster Plan Template?

HUD-assisted Multifamily Owners, including PHAs, in collaboration with staff and residents. Note: While some HUD Multifamily-assistance programs require owners to have a disaster preparedness plan, it is a best practice for ALL Multifamily properties to have a plan for disasters.

View the Multifamily Disaster Preparedness Plan Template Here

HUD has announced that in the coming weeks, they will begin implementing DocuSign for contract renewals in Arkansas and Texas, becoming the 2nd region to roll out the DocuSign process. Once implemented, all documents for contract renewals will be sent and signed via DocuSign. It’s important to note that this implementation ONLY applies to contract renewals, and not rent adjustments.

What does this mean for Owners/Agents?

• This implementation requires every Owner/Agent to have an email address as DocuSign emails cannot be forwarded.

• During the renewal process, SHCC’s Contracts Department will verify individuals that need to review and sign documents.

• Contracts Staff will also reach out and obtain necessary emails/contact information for review and execution of contract documents.

This new process aims to streamline the contract renewal process and make it more efficient and secure for all parties involved.

On July 27, 2023, HUD published a Supplement to the RAD Notice making changes to the RAD Notice in order to implement certain changes to the Rental Assistance Demonstration (RAD) authorized under the FY 2022 Appropriations Act, as well as other changes.

Key changes made in the supplement include revisions to: RAD for PRAC Initial Contract Rent Setting, Resident Engagement, Energy Efficiency and Climate Resilience, Treatment of Zero-HAP families, Housing Quality Standards, Radon Policies in RAD Conversions, Faircloth-to-RAD Developments, and RAD/Section 18 Blend Streamlining.

The changes in the Notice are effective immediately following publication in the Federal Register. These provisions are subject to a 30-day comment period. If HUD receives comment that leads to reconsideration of any changes contained within the Supplemental Notice, HUD will notify the public in a new revision. Please submit all comments to RAD@hud.gov.

Check HUD’s RAD page for the latest information on RAD or to join the RAD listserv.

The notice outlines how NSPIRE inspections will be scored and responds to comments submitted in response to the Proposed Scoring Notice. NSPIRE advances HUD’s mission to create quality affordable housing and strong, sustainable, and inclusive communities. For more information on NSPIRE, visit the NSPIRE Resources page.

The 2023 Hurricane season began on Thursday June 1st, and continues through November 30th. Multiple sources are predicting a near-normal 2023 Atlantic Hurricane season. For important tips and resources to help you prepare and plan before a storm makes landfall, visit the link below.

https://conta.cc/3JwyBSN

In-Person HOTMA Training

with Gwen Volk

September 21, 2023 – Houston, TX

8:30 AM – 4:00 PM CST

Register Online

HUD has issued final regulations implementing the Housing Opportunity Through Modernization Act of 2016 (HOTMA) and says that Owners must implement the new income rules for all tenant certifications (50059’s) beginning January 1, 2024.

This is the most sweeping change to how we determine eligibility and calculate income and rent in the last 40 years. There will be new forms 50059, 9834, 9887, and HUD Model Leases and new definitions for Day Laborer, Independent Contractor, Real Property, and Seasonal Worker, revised definitions of Dependent, Earned Income, Family, Health & Medical Care Expenses, Net Family Assets, and Unearned Income. The new regulations allow for self-certification of assets under $50,000 (not $5,000) and changes in what is included and excluded from income (must be verified at move in and re-verified every 4th year). The percentage of annual income that is deducted before taking medical and disability expenses will increase and has to be phased in to mitigate the impact on residents. Elderly/disabled families and dependent deductions will change annually based on an inflationary adjustment. 

Some rules apply only to Section 8 PBRA including making families with more than $100,000 in assets or who own another place to live ineligible for both admission to and continued occupancy in assisted housing. The requirement to do interims both for increases and decreases will be based on a % of change not on a specific dollar amount or whenever a tenant has any amount of decrease.  And there’s more! Learn how each change will work and what you need to do to implement them and be in compliance.

Areas Covered:

·       Asset limitations, verification, and imputing income

·       Income and Asset Inclusions/Exclusions

·       Medical Expense/Allowance

·       Dependent Allowance

·       Elderly/Disabled Family Deduction

·       Interim Recertification triggers

·       Hardship Exemptions and Phase-ins

·       Form changes

·       Use of EIV

·       Students will identify which rules apply to which programs

·       Students will learn how the deadline could affect their current work

Who Should Attend:

·       Owners

·       Agents

·       Managers

·       Compliance Specialists for HUD Multifamily Projects



What Programs Are Affected:

·       Section 8 Project-Based Rental Assistance (PBRA),

·       Section 202/8

·       Section 202/811 Project Rental Assistance Contract (PRAC)

·       Section 202/162 Project Assistance Contract (PAC)

·       Section 811 Project Rental Assistance (PRA)

·       Senior Preservation Rental Assistance Contract (SPRAC)

On May 15, 2023, HUD released the Fiscal Year 2023 Income Limits for Section 8 properties. The new income limits must be utilized when processing all Move In certifications effective May 15, 2023 and later. Please note that these limits do not affect the eligibility of households who are already receiving Section 8 assistance.

Please make sure you immediately update your TRACS software with the new limits. You can access the Income Limit documentation at:

HUD Income Limits