HUDBlast – January 3, 2006
HUD has officially released the new 9834 Management Review of Multi-family Projects. This is the form used by HUD and Contract Administrators when performing management reviews. Significant revisions include:
The revised form HUD-9834 includes the following Addenda:
The original memo from Bill Hill indicated that all reviewers are to start using the new 9834 effective January 1, 2006.
For those of you managing Section 8 properties and reporting to a Contract Administrator, please keep in mind that your PBCA will need some time to review the form and work with HUD to get clarification on some of the changes. We understand that PBCAs will be provided at least an additional month to implement the new 9834 so that they can review and incorporate process enhancements.
RBD strongly recommends that you review this form so you can anticipate changes that may occur during your next Management & Occupancy Review (MOR).
In addition, HUD also released the Office of Multi-family Housing Guidance for Civil Rights Front End Monitoring. This guide provides instruction for conducting various Fair Housing reviews including;
HUD also provides a resource for additional research on Fair Housing concerns.
The new 9834 and associated memos can be found on HUDclips http://www.hudclips.org/cgi/index.cgi or on our web site www.rbdnow.com/noticesforms.htm.
In a memo from Brian Montgomery, dated December 29, 2005, HUD extended the deadline to automate the 2530 information.
Effective immediately and through April 30, 2006, participants in HUD programs may file previous participation clearance applications, HUD Form 2530 either in paper form or via the Active Partner Performance System (APPS). Hub and Program Center Directors are responsible for informing participants of this option. HUD is processing a formal notice of this option.
Owner/agents are reminded that failure to register and complete the data input required by APPS will restrict new and revised participation until after system inputs are completed. Introductory and explanatory information, including a system tutorial, are available on HUD’s Internet Site at: www.hud.gov/offices/hsg/mfh/apps/appsmfhm.cfm
On December 30, 2005, HUD issued additional clarification regarding the eligibility of Students. This speaks strictly to students enrolled in “an institution of higher education.” While you should review the entire notice, changes of interest include those that affect eligibility and income determination.
Restrictions on assistance to students enrolled in an institution of higher education
No assistance shall be provided under section 8 of the 1937 Act to any individual who:
(a) Is enrolled as a student at an institution of higher education, as defined under section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002);
(b) Is under 24 years of age;
(c) Is not a veteran of the United States military;
(d) Is unmarried;
(e) Does not have a dependent child; and
(f) Is not otherwise individually eligible, or has parents who, individually or jointly, are not eligible on the basis of income to receive assistance under section 8 of the 1937 Act.
Income
For Section 8 programs only and as provided in 24 CFR 5.612, any financial assistance, in excess of amounts received for tuition, that an individual receives under the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.), from private sources, or from an institution of higher education (as defined under the Higher Education Act of 1965 (20 U.S.C. 1002)), shall be considered income to that individual, except that financial assistance described in this paragraph is not considered annual income for persons over the age of 23 with dependent children. For purposes of this paragraph, ‘‘financial assistance’’ does not include loan proceeds for the purpose of determining income.
Section 5.609(c) (6) of subpart F lists forms of compensation that are excluded from the calculation of annual income. Prior to the change being made by this final rule, § 5.609(c) provided for the full amount of student financial assistance paid directly to the student or the educational institution to be excluded from annual income. Section 5.609(c)(6) is amended to provide, by cross-reference to § 5.609(b), that the exclusion does not pertain, with regard to Section 8 programs, to the financial assistance described in Section 327(b) of the Act
We strongly recommend that you review this information so you may be prepared for any changes mandated by HUD. We will let you know more as HUD responds to specific questions about student eligibility.
The notice can be found on the HUDclips web site http://www.hudclips.org/sub_nonhud/cgi/newsdoc_run.cgi or on our web site www.rbdnow.com/noticesforms.htm