HUD Announces Availability of

Supplemental Operating Funds for

Section 8, Section 202, and Section 811 Properties

 Yesterday, HUD's Office of Housing published Housing Notice, H-2020-08 Availability of Funds for COVID-19 Supplemental Payments for Properties Receiving Project-Based Rental Assistance under Section 8, Section 202, or Section 811 Programs. 

HUD is making CARES Act funds available to offset property expenditures to combat the effects of COVID-19.  

The Notice provides a method for owners to receive payments beyond the amounts available under the terms of their current rental assistance contracts. 

"HUD recognizes that many owners are also incurring additional operational costs to maintain their properties in decent, safe, and sanitary condition when owners have reason to believe that COVID-19 is or may be present in the community. 

To the extent that rent receipts and other project funds are inadequate to address these needs and meet other ongoing financial obligations, HUD is now making available additional CARES Act funds for supplemental payments to offset recent property expenditures made to combat the effects of COVID-19." 

The supplemental payments are to cover additional cleaning and disinfecting, additional staff, face coverings, and other expenses to help keep properties safe for residents.  

HUD will consider requests to reimburse eligible expenses incurred between the enactment of the CARES Act (March 27, 2020) and July 31, 2020. 

HUD has posted a draft of the CSP Request Form (HUD 52671-E) so that owner/agents may submit payment requests. 

Owner/agents should contact their Contract Administrator or HUD Account Executive with any questions about property eligibility for a CSP. 

This Notice applies to administration of the following programs:

1. Section 8 Project-Based Rental Assistance (PBRA)
2. Section 202/162 Project Assistance Contract (PAC)
3. Section 202 Project Rental Assistance Contract (PRAC)
4. Section 202 Senior Preservation Rental Assistance (SPRAC)
5. Section 811 PRAC 

Specific eligible activities and purchases for which costs may be reimbursed through CSP requests include the following: 

1. Increased frequency of cleaning and disinfecting common areas and property management offices as a preventative measure.
2. Intensive deep cleaning and sanitizing services in response to presence of COVID-19 cases at the property, which may include treatment in units being prepared for occupancy, in addition to common areas.
3. Office technology and other equipment needs to facilitate social distancing.
4. Personal Protective Equipment (PPE) such as face masks and goggles, gloves, hand hygiene products for use by property management staff and for residents entering leasing offices or using common areas.
5. Facility and equipment needs related to maintaining adequate social distancing, including but not limited to cough/sneeze barriers or modifying or limiting access to communal spaces.
6. Site control measures to enforce orders to shelter-in-place, stay-at-home orders, or visitor-restriction policies within properties.
7. Temporary staffing, contract services, and/or supply expenditures to maintain or enhance on-going service coordination in properties designated to serve the elderly or persons with disabilities (excludes grant-funded service coordinators).
8. Temporary staffing increases to process higher-than-normal volumes of interim tenant recertifications requested by tenants due to loss of income. 

CSP funding is not being provided on a first-come, first-served basis.