In January of 2011, HUD published Notice 2011-01, which requires ownership entities of our subsidized properties (see attached Notice for applicability) to obtain a DUNS number and have an active registration in CCR. Enforcement of the Notice has been delayed; however, this appears to be changing. HUD has brought to our attention that accounting systems will be changed around May 2012. Once the change has occurred in the accounting system, those who have yet to comply with the Notice, may not be able to receive payment.
It is strongly encouraged that owners who do not have a DUNS number and/or an active registration in CCR, comply with the Notice as soon as possible. Please know that Hub offices nationwide are now reporting to HQ on a weekly basis to monitor compliance.
HUD offices have received notification that implementation of the Auto OCAF will commence on March 1, 2012 for Ohio. For those who are not familiar with the Auto OCAF, the process is summarized below:
1. 150 days prior to the Amend Rents anniversary HUD/PBCA will generate a letter reflecting an OCAF increase and an amended Exhibit A of the contract.
2. The information will be mailed to the owner.
3. Upon receipt the Owner will:
a. Accept the OCAF calculation and return completed/signed rent schedules to HUD/PBCA within 10 days
b. Not accept the OCAF calculation. Instead, submit a zero percent budget to keep rents at current or submit a budget based rent increase to HUD/PBCA within 10 days. For an owner to submit a budget (no increase/increase), the property must be eligible to receive a budget based increase to contract rents.
All remaining processes associated with rent increases remain unchanged.