New Information about Gross Rent Changes and TRACS

If you submitted a Gross Rent Change to TRACS this year (2019), you should be aware of a recent announcement from HUD.

In April, HUD identified a minor TRACS glitch that is preventing some Gross Rent Change transactions (GRC/MAT 70 50059A) from recording successfully. 

This affected some GRCs submitted since February 2019.

Some GRC transactions may not have recorded correctly in TRACS. This only happens when the Effective Date of the GRC is before the Effective Date of any MI, AR, IR or IC already in TRACS. 

HUD is working to address this issue and will apply a “fix” on May 31. 

Originally, owner/agents were advised to suspend transmission of all GRCs until June 1 or later.  

However, after a conference call with HUD, software vendors and other industry stakeholders, it has been determined that OAs should NOT stop transmitting GRCs. Since most GRCs will be recorded successfully, there is no reason to suspend transmission of GRC transactions.  

See HUD’s new guidance on HUD’s TRACS web site at https://www.hud.gov/sites/dfiles/Housing/documents/FinalTRACSGRCNotification.pdf 

After June 1, Contract Administrators (CAs) will be asked to check the TRACS Certification Query to identify any missing GRC transactions. Any missing GRCs can be submitted again. If you report to a CA, you should wait for additional information from your CA. 

If you are an owner/agent who does not report to a CA (e.g. PRAC, RAD, etc.), and if you submitted a GRC in February 2019 or later, you will need to review the TRACS Certification Query sometime after June 1. If you notice that some GRCs are missing, you can resubmit those certifications to TRACS.  

If you have attended any of the RBD HUD Today classes or if you have attended an RBD Online Training Workshop for TRACS, please refer to your training materials to see how to check the TRACS Certification Query. 

You can also go to our TRACS resources page to review the RBD FASTFacts - Monitoring TRACS. 

You should consult with your software vendor if you need to submit missing GRCs and you do not know how.