Bifurcating Section 8 Contracts Posts to Multifamily Drafting Table for Public Comment
Today, the Office of Multifamily Housing (MFH) Programs published the Bifurcating Section 8 Contracts chapter to the Multifamily Drafting Table for public comment, kickstarting the first set of comprehensive updates to the Multifamily Asset Management and Project Servicing Handbook since 1992.
The first posted chapter, Bifurcating Section 8 Contracts, explains the standards and conditions an Owner must meet to obtain approval from the Office of Multifamily Housing Programs to bifurcate a Section 8 Project-Based Rental Assistance (PBRA) Housing Assistance Payments (HAP) contract, and the processing of approved bifurcation requests. This chapter is intended to supersede Housing Notice 2024-03.
Comments are due to HUD by Monday, November 18, 2024. Please send NAHMA comments on the attached worksheet by Nov. 14th.
Additional chapters will be released on a rolling basis through 2026. To receive a notification when a new handbook chapter is posted for feedback, submit a request to AssetManagementPolicy@hud.gov.
See the press release for additional details.
FY24 Family Self-Sufficiency Funding Notices Post & Webinar Q&A Sessions Available
Last week, HUD published the FY24 Family Self-Sufficiency (FSS) Funding Notices, which describe how FSS programs will apply for their funding for calendar year 2025.
PLEASE NOTE – FY24 funding is available only to FSS programs that were funded in at least one of the last three years. We do not anticipate having funding available to new applicants this year. A link to apply was sent to all Authorized Organizational Representatives (AORs) from GrantSolutions. If your AOR did not receive this email, follow the instructions in the Notice to correct this issue.
The process for FSS funding applications will look different this year, so please read both Notices to learn more and access all the information you need to know. The Priority Deadline is November 1, 2024.
To learn more, the Offices of Multifamily Housing and Public and Indian Housing invite you to a series of webinars where you can ask all your questions about the FY24 funding process. Hear about what’s new and how to apply. All updates will be posted on the FSS Funding Page. Read the FSS Funding Notices Here!
Please Join Us for these Q&A Webinar Sessions: October 8, 2024: 2–3 PM ET, October 16, 2024: 2–3 PM ET, October 24, 2024: 2–3 PM ET, October 29, 2024: 2–3 PM ET
For more information, questions on FSS in Multifamily Housing Programs can be sent to MF_FSS@hud.gov and join the FSS Mailing list.
- Deadline Approaching for DOE’s Low-Income Adder to Help Fund Solar Panels on HUD Multifamily Properties
The Low-Income Communities Bonus Credit Program, administered by the Department of Energy (DOE) and the Department of the Treasury, promotes cost-saving solar or wind investments in low-income communities, on Indian land, as part of affordable housing developments, and for projects that benefit low-income households. The Low-Income Communities Bonus Credit (also referred to as the “Low-Income or EJ Adder”), created through the Inflation Reduction Act (IRA), supplements the existing Clean Electricity Investment Tax Credit (ITC). The standard ITC provides owners with a base credit of up to 30% of the cost of a renewable energy project. For qualifying projects, the Low-Income Adder can add up to 20 percentage points to the base credit, funding up to 50% of a project. If a project qualifies for additional ITC bonuses, up to 70% of the solar facility costs can be funded.
Earlier this year, HUD’s Office of Multifamily Housing Programs launched a new series of recordings to help owners of HUD-assisted multifamily housing properties and other stakeholders apply for this credit under Category 3 (Qualified Low-Income Residential Project), as most HUD-assisted and public housing are considered eligible covered housing under Category 3 in the 2024 Program Year.
This week, DOE and Treasury announced upcoming application cut-off dates for Program Year 2024.
Owners working on applications or who are planning on resubmitting a rejected application in 2024 must submit them before these deadlines or wait until the 2025 Program Year. Please send any questions related to this program to assetmanagementpolicy@hud.gov with the word ‘SOLAR’ in the subject line.
Additional information forthcoming regarding the 2025 application opening for the Low-Income Adder. DOE has proposed new rules for the Low-Income Adder to take effect in 2025 and public comments can be submitted here until tomorrow. October 3, 2024, at 11:59 pm ET.
Disclaimer: The information provided in this email or HUD’s guidance materials on this topic should not be considered tax advice or tax filing support. Please consult a tax professional, accountant, or attorney if you need tax-related assistance