In a letter to public housing agencies (PHAs) sent on January 28, HUD provided instructions on administering the FY14 Housing Choice Voucher program funding for the remainder of the fiscal year.
HUD anticipates that the $17.3 billion in voucher renewal funding appropriated by Congress in the just passed FY14 appropriations bill will provide 99% of funding needed for all Housing Assistance Payments (HAP). The $1.5 billion appropriated for administrative fees is only expected to cover 75% of administrative costs. The so-called pro-ration for FY13 for administrative fees was 69%. Some agencies that administer the voucher program have indicated that they can no longer afford to do so with reduced funding for administration.
HUD reiterates its intention to use funds set-aside under the HAP allocation to “prevent the termination of families as a result of insufficient funding” or reduce the need for proration of renewal allocations.
The letter also provides deadlines for PHAs to report FY14 leasing and HAP expenses incurred thus far to HUD.
View the letter at: http://bit.ly/1kEj7ZJ