RAD PIH Notice 2012-32 (.pdf, 1 MB) - National Low Income ...

Section I: Public Housing Projectsrequirements for actions that occur after conversion. For example, a unit with ahousehold that was over-income at time of conversion would continue to be treated as anassisted unit. Thus, the first clause of section 8(c)(4) of the Act and 24 CFR § 880.603(b),concerning determination of eligibility and selection of tenants, will not apply for currenthouseholds. Once that remaining household moves out, the unit must be leased to aneligible family.2. Right to Return. Any resident that may need to be temporarily relocated to facilitaterehabilitation or construction will have a right to return to the development oncerehabilitation or construction is completed.3. Phase-in of Tenant Rent Increases. If a resident’s monthly rent increases by more thanthe greater of 10 percent or $25 purely as a result of conversion, the rent increase will bephased in over 3 years, which a PHA may extend to 5 years. To implement this provision,HUD is waiving section 3(a)(1) of the Act, as well as 24 CFR § 880.201 (definition of―total tenant payment‖), to the limited extent necessary to allow for the phase-in of tenantrent increases.4. Public Housing Family Self-Sufficiency (PH FSS) and Resident Opportunities andSelf Sufficiency (ROSS-SC). Current PH FSS participants at the covered project willcontinue to be eligible under PH FSS guidelines until the PH FSS grant expires.Once the property is converted, residents not then enrolled in FSS will not be eligible toparticipate in the program. PHAs will be allowed to use any funds already granted for PHFSS coordinator salaries until such funds are expended, at which point they are no longerrequired to include the families in the FSS program. Participants in converted units willnot be counted towards future PH FSS funding once converted.Current ROSS-SC grantees will be able to finish out their current ROSS-SC grants oncetheir housing is converted under RAD. However, once the property is converted, it willno longer be eligible to be counted towards the unit count for future public housingROSS-SC grants nor will its residents be eligible to be served by future public housingROSS-SC grants.5. Resident Participation and Funding. Residents of covered projects convertingassistance to PBRA will have the right to establish and operate a resident organization inaccordance with 24 CFR Part 245 (Tenant Participation in Multifamily HousingProjects). In addition, in accordance with Attachment 1B, residents will be eligible forresident participation funding.6. Resident Procedural RightsPIH-2012-32 (HA) Rental Assistance Demonstration – Final Implementation 41