[Federal Register Volume 87, Number 164 (Thursday, August 25, 2022)]
[Notices]
[Pages 52393-52410]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-18301]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-6328-N-01]


Notice of Annual Factors for Determining Administrative Fees for 
the Section 8 Housing Choice Voucher, Mainstream, and Moderate 
Rehabilitation Programs for Calendar Year 2022

AGENCY: Office of the Assistant Secretary for Public and Indian 
Housing, HUD.

ACTION: Notice.

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SUMMARY: As required by the U.S. Housing Act of 1937, this Notice 
announces the per unit, monthly fee rates to determine the on-going 
administrative fees for public housing agencies (PHAs) administering 
the Housing Choice Voucher (HCV), Mainstream, and Moderate 
Rehabilitation programs, including Single Room Occupancy, during 
calendar year (CY) 2022. PHAs use administrative fees to cover costs 
associated with administering the HCV Program. Publishing the CY 2022 
administrative fees allow PHAs to budget appropriately and is important 
for PHA record keeping purposes. This notice follows HUD's previous 
publication of the rates on HUD's website and makes no changes to those 
rates.

DATES: Applicable: January 1, 2022.

FOR FURTHER INFORMATION CONTACT: Miguel A. Font[aacute]nez, Director, 
Housing Voucher Financial Management Division, Office of Public Housing 
and Voucher Programs, Office of Public and Indian Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW, Room 4222, 
Washington, DC 20410-8000, telephone number 202-402-2934. (This is not 
a toll-free number). Hearing or speech impaired individuals may call 
TTY number 1 (800) 877-8337.

SUPPLEMENTARY INFORMATION:

A. Background

    This Notice provides the methodology used to determine the CY 2022 
administrative fee rates by area, which HUD uses to determine PHA 
administrative fees for the HCV, Mainstream Vouchers, Emergency Housing 
Voucher (Column A rate only) and Moderate Rehabilitation programs, 
including Single Room Occupancy programs. The HCV Program is the 
federal government's major program for assisting very low-income 
families, the elderly, and the disabled to afford decent, safe, and 
sanitary housing in the private market. Mainstream Vouchers are tenant-
based vouchers serving households that include a non-elderly person 
with a disability, available to PHAs through a competitive Notice of 
Funding Availability (NOFA). The Emergency Housing Voucher (EHV) 
program was made available through the American Rescue Plan Act (ARPA) 
Public Law 117-2, enacted on March 11, 2021. Through EHV, HUD is 
providing 70,000 housing choice vouchers to local Public Housing 
Authorities (PHAs) to assist individuals and families who are homeless, 
at-risk of homelessness, fleeing, or attempting to flee, domestic 
violence, dating violence, sexual assault, stalking, or human 
trafficking, or were recently homeless or have a high risk of housing 
instability. The Moderate Rehabilitation Program provides project-based 
rental assistance for low-income families. The program was repealed in 
1991 and no new projects are authorized for development. Assistance is 
limited to properties previously rehabilitated pursuant to a housing 
assistance payments (HAP) contract between an owner and a PHA. PHAs are 
local offices responsible for administering and maintaining Section 8 
housing benefits, located across the country.

B. CY 2022 Methodology

    For CY 2022, in accordance with the 2022 Appropriations Act (Pub. 
L. 117-103, 136 Stat. 49), administrative fees are determined based on 
vouchers leased as of the first day of each month. This data is 
extracted from the Voucher Management System (VMS) at the close of each 
reporting cycle and validated prior to use. For Moderate 
Rehabilitation, including Single Room Occupancy, HAP contracts, 
administrative fees are earned based on the units under a HAP contract.
    In the attached table, two fee rates are provided for each PHA. The 
first rate, Column A, applies to the first 7200 voucher unit months 
leased in CY 2022. The second rate, Column B, applies to all remaining 
voucher unit months leased in CY 2022. In years prior to 2010, Column C 
applied to all voucher unit months leased in dwelling units owned by 
the PHA. For CY 2022, as in recent years, there are no Column C 
administrative fee rates. Fees for leasing PHA-owned units is 
determined in the same manner and at the same Column A and Column B 
rates as for all other voucher leasing.
    In some cases, the fee rates calculated for CY 2022 are lower than 
those established for CY 2021. In these cases, the affected PHAs are 
held harmless at the CY 2021 fee rates.
    The fee rates for each PHA generally cover the fees for areas in 
which the PHA has the greatest proportion of its participants, based on 
Public Housing Information Center (PIC) data submitted by the PHA. In 
some cases, PHAs have participants in more than one fee area. If such a 
PHA chooses, the PHA may request HUD establish a blended fee rate to 
proportionately consider all areas in which participants are located. 
Once a blended rate is established, it is used to determine the PHA's 
fee eligibility for all months in CY 2022. The 2022 HCV Funding 
Implementation Notice will describe how to apply for blended fee rates 
and provide a deadline date for submitting such requests. The Notice 
can be accessed through the following link: https://www.hud.gov/sites/dfiles/PIH/documents/PIH2022-14.pdf.
    PHAs operating over large geographic areas, defined as multiple 
counties, may request a higher administrative fee rate if eligible. The 
2022 HCV Funding Implementation Notice will describe when to apply for 
higher fee rates and the deadline date for such requests. Higher 
administrative fee rates differ from blended administrative fee rates 
in how they are calculated. Requests for higher administrative rates 
must clearly demonstrate that the PHA's published rate cannot cover 
their projected expenses. Next, a breakeven rate is calculated to 
ensure the PHA receives sufficient funds to cover their expenses while 
also ensuring the administrative fee reserves do not grow.
    This Notice identifies the monthly per-voucher-unit fee rates to be 
used to determine PHA administrative fee eligibility. These fee rates 
are accessible through the following link: Current fee rates remain 
posted at: https://www.hud.gov/program_offices/public_indian_housing/
programs/hcv/

[[Page 52394]]

guidance_and_notices, under the Notices and Guidance for PHAs section.
    Direct questions to the PHA's assigned representative at the 
Financial Management Center or the Financial Management Division at 
[email protected].

C. Moving To Work (MTW) Agencies

    Where an MTW Agency has an alternative formula for determining HCV 
Administrative Fees in Attachment A of their MTW Agreements, HUD 
calculates the HCV Administrative Fees in accordance with that MTW 
Agreement provision.

Dominique Blom,
General Deputy Assistant Secretary for Public and Indian Housing.
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[FR Doc. 2022-18301 Filed 8-24-22; 8:45 am]
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