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HUD/PIH RIN: 2577-AC99 Publication ID: Fall 2016 
Title: Housing Choice Voucher Program -- New Administrative Fee Formula (FR-5874) 

This rule establishes a new methodology for determining the amount of funding a PHA will receive for administering the Housing Choice Voucher (HCV) Program. Ongoing administrative fees under the HCV program are currently calculated based on the number of vouchers under lease and a percentage of the 1993 or 1994 local fair market rent, with an annual inflation adjustment. The new administrative fee formula established by this rule is based on a study conducted by Abt Associates for HUD that measured the actual costs of operating high-performing and efficient HCV programs and recommended a new administrative fee formula The final report for this study was published in August 2015. In this rule, HUD adopts the recommended formula as modified based largely on comments HUD received in response to the June 26, 2015 notice that solicited comment on the study.

This rule establishes an ongoing administrative fee for a PHA that would be calculated based on six variables: program size, wage rates, benefit load, percent of households with earned income, new admissions rate, and percent of assisted households that live a significant distance from the PHA’s headquarters. The PHA’s fee would be calculated each year based on these cost factors and a revised inflation factor would be applied to the calculated fee. This rule also provides HUD with the flexibility to provide additional fees to PHAs to address program priorities such as special voucher programs (e.g., the HUD-Veterans Affairs Supportive Housing program), serving homeless households, and expanding housing opportunities.

Agency: Department of Housing and Urban Development(HUD)  Priority: Economically Significant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Final Rule Stage 
Major: Yes  Unfunded Mandates: No 
CFR Citation: None     (To search for a specific CFR, visit the Code of Federal Regulations.)
Legal Authority: 24 CFR 982    42 U.S.C. 1437f(o)    42 U.S.C. 1437f(t)    42 U.S.C. 3535(d)   
Legal Deadline:  None
Action Date FR Cite
NPRM  07/06/2015  80 FR 44100   
NPRM Comment Period End  10/04/2016 
Final Action  06/00/2017 
Regulatory Flexibility Analysis Required: No  Government Levels Affected: None 
Small Entities Affected: No  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
Michael Dennis
Senior Policy Advisor, Office of Policy, Programs and Legislative Initiatives
Department of Housing and Urban Development
Office of Public and Indian Housing
451 Seventh Street SW, Room 4228,
Washington, DC 20410
Phone:202 402-4059