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HUD Update: Section 811 Capital Advance and Project Rental Assistance (PRA) Notices

15 October 2019
 October 15, 2019
Category HUD News, News

The Department published two Notices of Funding Availability (NOFAs) to provide funding for capital advances and rental assistance contracts in support of subsidized housing for persons with disabilities. There is a combined $112 million available to expand the supply of permanent affordable housing for very low-income and extremely low-income persons with disabilities.  Funding is available for the two components of the Section 811 Program – traditional Section 811 Supportive Housing for Persons with Disabilities (Capital Advance) and Section 811 Project Rental Assistance (PRA).  The NOFAs are now posted on grants.gov.

Section 811 Supportive Housing for Persons with Disabilities

This NOFA is offering up to $75 million in capital advance funding to eligible nonprofit organizations to fund innovative permanent supportive housing models that will be at the forefront of design, service delivery, and efficient use of federal resources.  The funds may be used for the following:

  • development and operation of supportive rental housing for very-low income persons with disabilities aged 18 years or older; and,
  • project rental subsidies in the form of a Project Rental Assistance Contract (PRAC) to maintain ongoing affordability.

This funding, leveraged with other financing sources, will expand affordable housing opportunities and include supportive services such as transportation, continuing education and/or health that will allow persons with disabilities to live independently in the community.  These are the first funds for construction of new housing for persons with disabilities under the Section 811 program since 2010.

Section 811 Project Rental Assistance

This NOFA is making up to $37 million in rental assistance available to eligible housing agencies working closely with State Health and Human Service/Medicaid Agencies.  Eligible applicants include any housing agency currently allocating Low-Income Housing Tax Credits (LIHTC); participating jurisdictions administering affordable housing programs assisted through HUD’s HOME Investment Partnerships (HOME) Program; and/or housing agencies operating similar federal or state affordable housing programs.  Eligible applicants are encouraged to align their Project Rental Assistance Programs with state or local initiatives that will directly increase development of permanent supportive housing for extremely low-income persons with disabilities.

We are looking forward to supporting the creation of new units that will substantially increase the supply of integrated affordable rental housing units and provide access to appropriate services for persons with disabilities.

Please note that HUD will host a series of webinars to provide an overview of the NOFA soon.  We will keep you posted.

Due to the regulations associated with NOFAs, there is limited information that can be shared about the NOFA.  Any questions may be sent by email to FY18811NOFA@hud.gov.  HUD will maintain a repository of questions answered on the Funding Opportunities webpage.

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