A new notice from the Department of Housing and Urban Development (HUD) pertains to the annual determination of administrative fees for various Section 8 programs for the calendar year 2024. You can view the document below, but here’s a breakdown of the key points:

Purpose of the Notice

• Announcement of Fee Rates: The notice announces the monthly per unit fee rates used to determine the ongoing administrative fees for public housing agencies (PHAs) administering various Section 8 programs, including Housing Choice Vouchers (HCV), Mainstream Vouchers, Emergency Housing Vouchers (EHV), and Moderate Rehabilitation Programs.
• Budgeting and Record-Keeping: These rates are essential for PHAs to budget appropriately and maintain accurate records.

Key Components

1. Programs Covered:
   • Housing Choice Voucher (HCV) Program: Assists very low-income families, the elderly, and persons with disabilities to afford decent, safe, and sanitary housing in the private market.
   • Mainstream Vouchers: Serve households that include a non-elderly person with a disability.
   • Emergency Housing Voucher (EHV) Program: Provides vouchers to individuals and families who are homeless or at risk of homelessness, among other vulnerable groups.
   • Moderate Rehabilitation and Single Room Occupancy (SRO) Programs: Provide project-based rental assistance. Note that these programs are no longer authorized for new developments, only for previously rehabilitated properties.
2. Methodology for 2024 Fees:
   • Voucher Units Leased: Fees are based on the number of vouchers leased as of the first day of each month.
   • Data Source: Information is extracted from the Voucher Management System (VMS).
   • Two Fee Rates:
     • Column A Rate: Applies to the first 7,200 voucher unit months leased in CY 2024.
     • Column B Rate: Applies to all remaining voucher unit months.
     • EHV Full Column A Rate: PHAs receive the full Column A rate for each EHV under contract as of the first day of each month.
3. Adjustment and Blended Rates:
   • Lower Fee Protection: If 2024 fees are lower than 2023 fees, affected PHAs will be held harmless at the 2023 rates.
   • Blended Rates: PHAs with participants in multiple areas can request a blended fee rate to proportionally consider all areas.
   • Higher Fee Rates: PHAs operating over large geographic areas may request higher administrative fee rates if the published rates do not cover their projected expenses.
4. Moving To Work (MTW) Agencies:
   • Alternative Formula: MTW Agencies may use an alternative formula for determining HCV administrative fees as specified in their MTW Agreements.

Important Dates and Contacts

• Effective Date: The fee rates are applicable from January 1, 2024.
• Contact Information: For further questions, PHAs can contact Miguel A. Fontánez, Director, Housing Voucher Financial Management Division, or their assigned representative at the Financial Management Center.

Links for Additional Information

• PIH Program Guidance and Notices
• PIH Notice 2024–16

This notice is crucial for PHAs to understand how their administrative fees are calculated and to ensure they receive adequate funding to cover their administrative costs for the various voucher programs they manage.