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The proposed rule would address HUD OIG’s recommendations on the eligible uses of funds that PHAs pay to the Central Office Cost Center (COCC), the type and amount of fees that a PHA’s COCC are permitted to charge the programs, and HUD’s process for assessing the reasonableness of the fee rates. The rule would create restrictions on the appropriate and prohibited uses of COCC funds. The proposed rule also would establish limits and constraints on Section 8 & 9 program (Housing Choice Voucher, Operating Fund and Capital Fund) fees paid to the COCC. Under the proposed rule, Section 8 & 9 program fees would be limited in use to the authorized use of these programs, activities that provide or enhance low income housing in the PHA’s community, and other HUD-defined activities. In addition, funds paid into the COCC from Section 8 or 9 programs would be fully fungible and PHAs would not be required to track Section 8 or 9 funds individually.