Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

How Does RAD Work?

RAD allows PHAs to convert a public housing

property’s HUD funding to either:

• Section 8 project-based voucher (PBV); or

• Section 8 project-based rental assistance (PBRA).

  This conversion of funding to long-term Section 8 contracts lets PHAs make needed repairs while ensuring permanent affordability for these units.

  Only 225,000 public housing units can convert funding through RAD. PHAs must submit applications to HUD to get approval to convert some or all of their public housing funding to PBV or PBRA contracts.

  Will RAD Affect My Housing Assistance?

  You will not lose your housing assistance because of RAD. Even though owners of a RAD property can use private money to make repairs, owners will still receive money from HUD and must follow HUD’s PBV and PBRA rules.

  
  

  FACT SHEETS FOR PUBLIC HOUSING RESIDENTS

  This series of fact sheets is intended to help residents of public housing learn about RAD. All fact sheets are posted on RAD’s website at www.hud.gov/rad, under the ‘Residents’ tab. This fact sheet provides a summary of the program with a focus on elements that affect residents.

Will RAD Affect My Rent?

Since Section 8 programs also set rents at 30% of income like in public housing, most residents will not have rent increases because of RAD.

However, if you are paying a flat rent in public housing, you will most likely have to pay more in rent over time. In these cases, your new rent will be phased in over a few years, meaning that you will only pay a little more each year.

How Can I be Involved?

HUD encourages residents and their PHAs to work together during the RAD conversion process. Before PHAs can apply to participate in RAD, they must:

• Notify all residents at a property proposed for RAD conversion about their plans; and

• Conduct at least two meetings with residents.

During these meetings, you can learn about the conversion plans, ask questions, express concerns, and provide comments. The PHA must submit your comments and its response to them in the RAD application.

The PHA must have at least one more meeting with all residents of the property before HUD approves the conversion. This is another chance for you to ask questions and provide comments.

F A C T S H E E T # 1 : R E N T A L A S S I S T A N C E D E M O N S T R A T I O N ( R A D ) O V E R V I E W

Will I Have to Move During Construction?

Some properties will not require any repairs or construction. In other cases, the repairs can be completed while you stay in your home. However, some apartments and buildings will require more work.

In these cases, you will be relocated and

protected by RAD relocation rules. You will have the right to return to your development once construction is completed. You may not be permanently displaced without your consent.

If construction at your property takes longer, the PHA may offer you other housing options, such as another public housing unit or a Housing Choice Voucher (HCV) that you can use to rent another affordable unit in the private market.

Whether you choose to move temporarily or to move permanently to other housing, the PHA will help you find the best possible option and pay for your moving expenses.

Will RAD Affect My Rights?

When the property converts, you will sign a new Section 8 lease. RAD keeps many of the resident processes and rights available under public housing, such as the ability to request a grievance process and the timelines for termination notification.

Residents will also have a right to organize.

Owners must provide $25 per occupied unit each year to support resident participation, $15 of which must be provided to resident organizations.

Will I Still be Able to

Participate in FSS and ROSS?

You will be able to continue participating in the Family Self-Sufficiency (FSS) program. If your

property converts assistance to PBV, you will be moved from the public housing FSS program to the HCV FSS program. The rules in both programs are very similar.

If your property converts assistance to PBRA, you may continue your participation in FSS until your current contract of participation ends. The owner may choose to establish a PBRA FSS program to admit new participants.

If you are currently participating in the Resident Opportunities and Self Sufficiency (ROSS) program, you can participate until all the program funding is used.

Does RAD Affect Where I Can choose to Live?

Once the property has converted, residents of most properties will have a new “choice mobility” option, which will allow you to request a Housing Choice Voucher (HCV) that the household can use to select a rental unit in the private market:

• Under the PBV program, you can request an HCV after living in a RAD property for one year;

• Under the PBRA program, you may request an HCV after living in a RAD property for two years.

A resident is under no obligation to move from the RAD property or to request an HCV.

Rental Assistance Demonstration (RAD)

What Is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, repair, or replace properties.

What Are The Steps in a RAD Conversion?

A RAD conversion will typically take 6 to 18 months and will require multiple steps in engaging with residents, securing financing, and demonstrating to HUD that the property will be improved and remain in good physical condition. The major steps include:

1. PHA applies to HUD

2. HUD issues an initial approval through a “Commitment to enter into a Housing Assistance Payment” (CHAP)

3. PHA plans significant amendment

4. PHA completes and submits a financing plan to HUD

5. HUD issues a RAD conversion commitment

6. Closing/conversion

RAD APPLICATION

A PHA must first apply to HUD before it can begin a RAD conversion. Before submitting a RAD application to HUD, a PHA must have at least two meetings with residents of properties submitted for a conversion to discuss the proposed conversion plans and solicit feedback. Before the first

resident meeting, the PHA must provide a RAD Information Notice (called a RIN) to each resident that explains the residents’ rights, provides basic program information, and facilitates residents’ engagement with the PHA.

PHA Plan Significant Amendment

A RAD conversion is important enough that it must be documented in the PHA’s annual or five-year plan.

If the RAD conversion isn’t already described in the PHA plan, the PHA needs to prepare a significant amendment to the PHA plan. Any changes to a PHA plan must go through a public comment process, which includes a public meeting.

In addition to the information generally required in the PHA plan, your PHA must include the following information specific to its RAD conversion plans:

• A description of the number units to be converted, including bedroom size, and who lives in the units (families, elderly, or those with disabilities);

• Any change in the number of units;

• Any change in the bedrooms per unit;

  F A C T S H E E T # 2 : S T E P S I N A R A D C O N V E R S I O N

  
  

  Application

  CHAP

  PHA Significant Amendment

  Financing Plan Submission

  RAD Conversion Commitment

  Closing

  • Any change in policies about who could move into the units when there are vacancies; and

  • If the PHA will move any of the subsidized assistance to another site.

    Financing Plan

    HUD will only allow a property to be converted if the PHA can show that the property will be improved and maintained in good condition once it has been converted. To show that your PHA’s plans make sense, your PHA will have to submit its Financing Plan to HUD for approval before conversion. The financing plan includes the following information:

  • Type of conversion (PBV or PBRA)

  • Physical Condition Assessment (PCA)

  • Plans for rehabilitation or new construction

  • Environmental review

  • Fair housing and relocation documents

  • Development budget

  • Development team

  • Operating and maintenance costs

    After HUD reviews and approves the financing plan, it will issue a RAD Conversion Commitment (RCC) to your PHA. Receiving an RCC means that HUD has approved your PHA’s RAD plans and that the property is close to completing the conversion process.

    Closing

    After receiving an RCC, your property will move toward Closing. After closing, your property will no longer be part of the public housing program.

    The new Section 8 PBRA or PBV Housing Assistance Payment contract and the RAD Use Agreement will become effective after closing. At this point, your property is now under the PBRA or PBV programs. Your PHA will have to work on any repairs needed at the property and make sure to complete them within required timelines.

    BASIC STEPS IN A RAD CONVERSION

    
    

    
    

    DEFINITIONS:

    • Closing – The final step in a real estate transaction. In RAD, this is one of the final steps in the conversion process. After closing, a property is no longer public housing.

    • Commitment to Enter into a Housing Assistance Payments (CHAP) – After HUD reviews a PHA’s RAD application, HUD issues a CHAP. The CHAP allows PHAs to begin their RAD conversion process.

    • Financing Plan – The plan that shows the PHA has all the money needed for repairs and construction, and is ready to convert.

    • Housing Assistance Payment Contract – The agreement between your PHA and HUD that states the amount of subsidy payments provided by HUD to PBV and PBRA contracts.

    • Physical Condition Assessment – A detailed physical inspection of a PHA property that will list the repairs that the PHA will need to make as part of the RAD conversion.

    • RAD Conversion Commitment – Agreement between HUD and the PHA, following HUD approval of the financing plan, that describes the terms and conditions of the conversion.

    • RAD Use Agreement – Document requiring that the RAD property be used for affordable housing.

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

How is Rent Calculated in

Public Housing?

In public housing, there are two ways to determine rent payments:

• Income-based rent is generally calculated at

  30% of your household’s income.

• Flat rent is based on the rent charged for similar units in the private market. It is not affected by income changes.

Most public housing residents already pay an income-based rent – calculated at 30% of your household’s “adjusted” income - so most residents will not have a rent increase because of RAD.

However, households who currently pay a flat rent may have their rent change because the PBV and PBRA programs do not allow flat rents. Under PBV or PBRA, you will pay an income-based rent.

Will My Rent Increase Under RAD?

In general, rent payments are very similar in the public housing, PBV, and PBRA programs.

Residents generally pay an income-based rent

calculated at 30% of household income. Residents who pay 30% of their income on rent will not see an increase in their rent payments due to a RAD conversion.

However, some public housing residents pay a flat rent established by the PHA that is not affected by income changes. Households who currently pay a flat rent may have their rent change because the PBV and PBRA programs do not allow flat rents.

If you are paying a flat rent in public housing, you will most likely have to pay a bit more in rent over time. In these limited cases, if your rent calculation would increase by more than the greater of 10% or $25, your new rent will be phased in. This means you will not have to start paying the full amount of the new rent immediately. Instead, your rent will increase a little each year. Your PHA must phase in the rent increase over at least 3 years, but may choose to phase in the increase over 5 years.

If the increase in your rent is less than 10% or not more than $25 per month, this change in rent will be effective immediately.

FACT SHEET #3: RENT

What If My Income Changes After a RAD Conversion?

Your income and assets will be re-evaluated regularly under the PBV and PBRA programs. As your calculated “adjusted” income increases or decreases, your rent payment will change.

In addition, residents may be subject to interim re-examination. In the PBV program, PHAs set their own policy related to the frequency of re-evaluating income. Under PBRA, an owner must adjust your rent every time your adjusted income increases by $200 or more per month.

2

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

How Can I Be Involved In RAD?

Your PHA must take several steps when it decides to participate in RAD. First, your PHA must apply for RAD to get HUD’s permission to convert public housing properties to Section 8 properties. Before submitting an application, your PHA will invite you to at least two meetings to discuss the conversion plans. During these meetings, you can learn about the conversion plans, ask questions, express concerns, and provide comments.

After your comments and questions are received, your PHA will need to provide written responses as part of the RAD application.

Once HUD gives the RAD conversion plan preliminary approval (a CHAP), your PHA must have at least one more meeting with residents of the property prior to submission of the financing plan. This is another chance for you to ask questions and provide comments.

Finally, after your PHA has completed and submitted all the required documents, and the RAD plans for your property have been approved by HUD, the PHA will receive a RAD Conversion Commitment (RCC). After receiving the RCC, the PHA must notify each affected household that the conversion of the project has been approved, as well as provide information on the specific rehab or construction plans and any impact the conversion may have on residents.

What are Other Opportunities For Resident and Community Input?

Every PHA has an annual or five-year plan that provides details about the programs and services the PHA offers. A RAD conversion is considered a significant part of the PHA Plan or a Significant Amendment to the plan. Any changes that

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F A C T S H E E T # 4 : R E S I D E N T I N V O L V E M E N T

happen at your property because of RAD must be included in your PHA’s annual or five-year plan.

The new (amended) PHA plan must be approved before the RAD conversion is completed. In addition to the general information required in the PHA plan, your PHA must include the following information about its RAD plans:

• A description of the number units to be converted, including bedroom size, and who lives in the units (families, elderly, or those with disabilities);

• Any change in the number of units;

• Any change in the bedrooms per unit;

• Any change in policies about who could move into the units when there are vacancies; and

• If the PHA will move any of the subsidized assistance to another site.

  Resident Advisory Board Involvement and Public Hearing

  Your PHA must work with the Resident Advisory Board (RAB) whenever it makes changes to the PHA plan, and provide the RAB with information on the RAD conversion. The RAB must have enough time to review the RAD plans and provide comments.

  Your PHA must submit these comments to HUD. While your PHA is required to consider these comments, it is not required to agree with them. However, if the RAB feels that the PHA did not provide adequate notice and opportunity for comment, the RAB may ask HUD to determine whether the PHA met these notification requirements.

  In addition to working with the RAB, your PHA must have a public hearing to discuss the PHA plan and invite the public to comment.

  
  

  Your PHA may only submit the PHA plan to HUD once it has:

• Consulted the RAB;

• Provided notice of and subsequently conducted a public hearing; and

• Considered all comments received.

What If I Need Reasonable Accommodations to Participate?

Your PHA must make materials available in accessible formats for persons with disabilities, and must make meetings accessible for persons with disabilities.

Your PHA must also provide language assistance to persons that have trouble understanding English so that they can read materials, participate in meetings, and provide comments on the proposed RAD conversion. This may include providing translation of written

F A C T S H E E T # 4 : R E S I D E N T I N V O L V E M E N T

materials and providing interpreters at meetings.

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

What Are Procedural Rights And How Will RAD Affect Them?

This fact sheet explains how RAD will affect your procedural rights, which are the steps or procedures your landlord must follow when taking any action against residents of HUD-subsidized housing.

There are two major procedural rights:

1. Grievance process - Steps the PHA must offer you to address a dispute, or grievance, you have with your PHA about an action that negatively affects you.

2. Termination notification - Steps the PHA must take to inform you that it intends to terminate your lease.

   RAD requires that you keep many of the same procedural rights related to the grievance process and termination notification that you had in public housing.

   How Will RAD Affect The Grievance Process?

   
   

   FACT SHEETS FOR PUBLIC HOUSING RESIDENTS

   This series of fact sheets is intended to help residents of public housing learn about RAD. All fact sheets are posted on RAD’s website at www.hud.gov/rad, under the ‘Residents’ tab. This fact sheet explains your rights related to grievance procedures and lease termination under RAD.

A grievance is any dispute you may have with your landlord about an action involving your lease, or other landlord actions that you believe negatively affect you. The grievance process involves steps for you and your landlord to follow to resolve these disputes. A grievance does not have to be related to an eviction.

Whether your property is a part of the public housing program, or has converted to PBV or PBRA through RAD, you will receive a written notice of the reasons for an action and that you can request a hearing where you can present the reasons why you think an action might be unfair.

RAD requires that you receive a fair hearing and a written decision within a reasonable timeframe, just like you would under public housing. Your PHA must follow the grievance hearing decision unless it notifies you that the:

• Matter exceeded the authority of the grievance hearing; or

• Decision conflicts with laws or HUD regulations.

Requesting or participating in a grievance hearing does not affect your right to take legal action if you think your dispute was not settled fairly. You may seek an attorney, including your local legal aid office, with any further questions or concerns.

F A C T S H E E T # 5 : R E S I D E N T P R O C E D U R A L R I G H T S

advance notice that explains why and when your lease will be terminated and whether you can ask for a grievance hearing.

If the reason for your termination is very serious, for example being convicted of a crime on the property, you may not be eligible to request a hearing.

How Will RAD Affect Termination Notification?

Similar to public housing, under PBRA or PBV the property owner may terminate your lease if it follows certain procedures and if it has cause. An owner has cause if you seriously or repeatedly violate your lease terms, including by:

• Not making payments due under the lease, such as rent or utility payments;

• Not following the rules listed in the lease, such as keeping your unit clean and safe;

• Involvement in criminal activity or alcohol abuse, depending on the seriousness of the activity; or

• Making false statements in your initial application or during your annual recertification, for example about your income or family size.

If your property owner moves to terminate your lease after the RAD conversion, he or she must notify you in advance. This notification is

Public housing units across the country need more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

What Are Resident Organizations?

HUD recognizes the importance of resident involvement in improving the quality of life for residents. Resident organizations and councils should work to improve resident satisfaction and participate in initiatives that enable residents to create a positive living environment for all families.

In the public housing program, residents are able to organize and form a resident council to represent their interests to the PHA. Resident councils are encouraged to meet regularly with

their PHA to discuss issues, plan activities, and review progress.

To establish and operate a resident council, your PHA must allow you to:

• Contact other residents;

• Conduct surveys of residents to determine interest in establishing an organization or to offer information about an organization;

• Distribute leaflets in the lobby and common areas and place leaflets at or under

  residents’ doors;

• Post information on bulletin boards;

• Hold regularly scheduled meetings in a location where residents can easily attend; and

• Conduct other reasonable activities.

  
  

  Your resident organization may coordinate a response on behalf of residents to proposed PHA actions such as:

• Changing from PHA-paid utilities to resident-paid utilities;

• Reducing resident utility allowances;

• Converting units to non-residential use;

• Rent increases; or

• Major construction or modernization work at your property.

  F A C T S H E E T # 6 : R E S I D E N T P A R T I C I P A T I O N & F U N D I N G F O L L O W I N G C O N V E R S I O N

  
  

  Under the public housing program, your PHA had to recognize legitimate resident councils, provide funding to support these organizations, and give reasonable consideration to the concerns raised by these organizations.

  Will I Have A Right To Organize After A RAD Conversion?

  Following a conversion under RAD, you will have the right to maintain, establish, and operate a resident organization. The property owners must continue to recognize legitimate resident organizations, provide funding to support these organizations, and give reasonable consideration to the concerns raised by these organizations.

  What makes a resident organization “legitimate”?

  To be considered “legitimate,” your resident

  organization must:

• Be established by the residents of the property;

• Meet regularly;

• Operate democratically;

• Represent all residents at the property; and

• Be independent from the property owner.

If there is no legitimate resident organization at your property, HUD encourages your property owner to actively engage residents and develop a constructive working relationship.

Will Resident Organizations Receive Resident Participation Funding?

After a RAD conversion, your property owner must provide resident participation funding in the amount of $25 per occupied unit per year. For example, a 100-unit property fully occupied for

the whole year would need to set aside $2,500 to support resident participation.

The resident organization must receive at least

$15 of this amount to fund resident participation activities such as resident education, organizing around tenancy issues, and training activities. The owner may use $10 of this amount to pay for any costs to administer resident participation activities.

If your resident council had unused resident participation funds before participating in RAD, that money will still be available for your resident organization’s use after the conversion.

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

How Does RAD Affect My FSS Or ROSS Participation?

In public housing, your PHA could apply for funding for a Public Housing Family Self-Sufficiency (PH FSS) or Resident Opportunities and Self-Sufficiency Service Coordinators (ROSS) program. This funding helped connect you to resources and supportive services, such as education and employment programs and counseling services.

If you participated in these programs in public housing, you may continue to participate in the FSS and ROSS programs once your property is converted through RAD.

What Is The FSS Program?

The public housing FSS program helps families obtain and maintain living wage employment (jobs that provide enough income to cover a

family’s basic needs) by connecting residents to services such as:

• Child care

• Transportation

• Education

• Job training and employment counseling

  
  

  FACT SHEETS FOR PUBLIC HOUSING RESIDENTS

  This series of fact sheets is intended to help residents of public housing learn about RAD. All fact sheets are posted on RAD’s website at www.hud.gov/rad, under the ‘Residents’ tab. This fact sheet discusses residents’ participation

  in the Family Self-Sufficiency (FSS) and Resident

  Opportunities

  programs.

  for

  Self-Sufficiency (ROSS)

• Job placement

• Substance or alcohol abuse treatment or counseling, and/or

• Homeownership counseling.

  If your PHA administered an FSS program and you chose to participate, you entered into a five-year Contract of Participation, which identified program rules, activities you would complete, and your program goals.

  To operate the program, your PHA could have applied to HUD for one-year grants to fund a Service Coordinator who linked residents to resources.

  Your PHA would have also established an FSS escrow account for you. If your income from employment increased during the program, the additional rent you paid to the PHA is placed into an “escrow” account. The funds placed in the escrow account are yours and are available to you upon successful completion of the FSS program.

  How Does RAD Impact FSS?

  In all cases, your existing Contract of Participation will continue. If the property is converted to PBV, you’ll be merged into the PHA’s Housing Choice Voucher FSS program. If the property is converted to PBRA, the owner will operate a FSS program.

  The PHA may continue to use Service Coordinator

  FACT SHEET #7: FAMILY SELF-SUFFICIENCY (FSS) & RESIDENT OPPORTUNITIES AND SELF-SUFFICIENCY (ROSS)

  DEFINITIONS:

  • Contract of Participation – A five-year contract identifying the terms and conditions for you to participate in the FSS program.

  • Escrow Account – An account for FSS participants. Your PHA makes deposits into this account when your earned income increases.

  • Family Self-Sufficiency (FSS) – A program to help connect families to services that will lead to economic independence and self-sufficiency.

  • Resident Opportunities and Self-Sufficiency (ROSS) – A grant that funds service coordinators to connect residents with supportive services, empowerment activities, and support in becoming self-sufficient.

  • Service Coordinator – A person who links residents to resources and supportive services.

funds to support FSS activities. New participants can only be enrolled if the PHA (for PBV) or owner (for PBRA) wishes to continue to operate an FSS program.

Current HCV FSS rules allow a PHA to terminate your rental assistance if you do not comply with your Contract of Participation.

However, if you convert to the HCV FSS program through RAD, your PHA may not terminate your rental assistance for this reason.

What Is The ROSS Program?

The ROSS program provides public housing residents with coordinators to connect them to supportive services and empowerment activities. ROSS Service Coordinators work with:

• Families to increase income and become self-sufficient, and

• Elderly or residents with disabilities to improve living conditions to age-in-place.

In public housing, PHAs, resident councils, and nonprofit organizations can apply to HUD for three-year grants to fund ROSS Service Coordinators.

How Does RAD Impact ROSS?

The PBV and PBRA programs do not have a ROSS program. If you currently participate in the ROSS program and your property converts to PBV or PBRA, you may continue participating until the current three-year grant funding for the ROSS program is spent. Once the funds are spent, your PHA cannot apply for a new grant.

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

What Is A Lease?

A lease is a legally binding contract between your PHA and you, the tenant. The lease explains the rules for living in your unit. At conversion, your public housing lease will be terminated and you will be asked to sign a new Section 8 lease. The property owner cannot rescreen you as a condition to sign this lease, as you have a right to remain in your unit.

What If My PHA Started An Eviction Before RAD?

If your PHA sent you a lease termination notice and began your eviction process prior to RAD, the PHA must continue to follow all required procedures, such as allowing you to file a grievance and request a hearing. RAD does not allow the PHA to skip these steps and immediately evict you.

What Are The Rules For Renewing My Lease?

In public housing, as well as for PBV and PBRA, your lease will renew each year, unless good cause exists not to renew the lease. If your lease is not renewed, you have the right to file a grievance and request a hearing, unless the right is not provided under the terms of the lease, usually for criminal activity.

F A C T S H E E T # 8 : R E N E W I N G Y O U R L E A S E

Under the PBV and PBRA programs, if the property owner has good cause to end your lease, they must give you the same type of written notice as required in public housing.

They will notify you of your ability to request an informal hearing, except in a few cases where the right is not provided under the lease (for example, for criminal activity). The owner will also need to follow state and local laws related to evictions.

Rental Assistance Demonstration (RAD)

What is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

What is Choice Mobility?

Once the property has converted, residents of most properties will have a new “choice mobility” option, which will allow you, the resident, to request a Housing Choice Voucher (HCV) that

the household can use to select a rental unit in the private market.

When you make a request, subject to some constraints, the PHA will offer you the next available voucher. When you move out with a voucher, your former unit will be leased to another eligible family off the waiting list.

Under the PBV program, you may request an HCV after living in a RAD property for one year; under the PBRA program, you can request an HCV after you have lived in a RAD property for two years. Tenants exercising their choice mobility rights will receive priority on the PHA’s waiting list.

Public Housing

Project-Based Vouchers (PBV)

Project-Based Rental Assistance (PBRA)

Housing Choice Vouchers (HCV)

Rental assistance is for specific units and properties. Assistance is tied to a unit.

Rental assistance is attached to a specific number of units in a building. The assistance stays with the unit even after you move out.

Rental vouchers let you choose your own housing where you want

to live. The voucher moves with you either one or two years

after RAD Conversion.

F A C T S H E E T # 9 : C H O I C E M O B I L I T Y

How do Housing Choice Vouchers (HCVs) Work?

With HCVs, you can choose to rent a unit in the private market with HUD assistance. If the rent for the unit is reasonable and an inspection of the unit shows that the unit meets HUD’s housing quality standards, your PHA will approve the unit.

Once approved, (1) you sign a lease with the owner and pay about 30% of your income for rent, and (2) your PHA signs a contract with the owner to pay the difference between the rent you pay and the total rent for the unit.

Where can i Live with an HCV?

With an HCV, you may rent a unit within your PHA’s region, or you may choose to rent a unit in another part of the country where a PHA operates an HCV program. The ability to rent outside of your PHA’s region is called portability.

When choosing a new place to live with an HCV, you can think about things like the quality of schools for your children, access to public transportation, and ability to get to and from places of work.

Will I Qualify for an HCV?

Although RAD allows residents to remain at a RAD property after conversion even if they are over-income, if you want to participate in RAD’s Choice Mobility feature, you will need to qualify for a HCV, including the program’s income rules. Your PHA will need to make sure that your family qualifies for the HCV program, including meeting any income requirements.

Is the PHA Required to Give me an HCV?

The PHA will do the best it can to provide you with an HCV, and you will be placed in a priority position on the PHA’s waiting list for a voucher. However, the PHA may establish certain limits to the number of vouchers it provides for choice-mobility including:

PBV: for PHAs where the total number of PBV units under HAP contract exceeds 20% of the PHA total authorized vouchers, the PHA may limit the number of choice-mobility vouchers it issues to 75% of its annual turnover vouchers.

PBRA: PHAs may limit the number of vouchers used for choice-mobility to one-third of its annual turnover vouchers and may limit the number of choice-mobility moves from any given property in a year to 15%.

Finally, some properties that have converted under RAD are exempt from the choice-mobility requirement because they lack access to HCVs. Properties are eligible for this exemption if the PHA:

• Does not operate an HCV program, or

  DEFINITIONS:

  • Choice-Mobility – Through RAD, the option to obtain a Housing Choice Voucher (HCV) after a certain period of time.

  • Housing Choice Voucher (HCV) – Rental vouchers that let people choose their own housing in the private rental market.

  • Portability – The ability to use a HCV to rent a unit within the United States where a PHA operates a voucher program.

  • Turnover Voucher – A voucher holder gives up their voucher and leaves the HCV program, making an HCV available for another household.

• Operates HCV programs, but has more than one-third of their turnover vouchers reserved for veterans or homeless populations.

What Is RAD?

The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.

Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.

What Is The Project-Based Voucher (PBV) Program?

PBV is part of the Housing Choice Voucher (HCV) program, which is

operated by Public Housing Authorities (PHAs) and overseen at HUD by the Office of Public and Indian Housing. PHAs with an HCV program provide rental vouchers that allow residents to choose their own housing in the private market.

PHAs can use some of their HCV funding for contracts that tie the HCV funding to a specific building, meaning that when a resident moves out, the housing assistance stays with that unit. These “project-based” contracts make up the PBV program.

What Is The Project-Based Rental Assistance (PBRA) Program?

PBRA is another form of a project-based contract and is administered by HUD’s

Office of Multifamily Housing. In the PBRA

program, like in PBV, rental assistance is tied to specific units in a property. Buildings with units assisted through PBRA are often owned and operated by private owners.

Rental Assistance Demonstration (RAD)

Will My Property Remain Affordable?

To receive PBV or PBRA funding, property owners will enter into a Housing Assistance Payment (HAP) Contract.

For PBV, the initial HAP Contract term will be at least 15 years (or up to 20 years

with the PHA’s approval) and must be renewed.

For PBRA, the initial HAP Contract term will be 20 years and must be renewed.

When these contracts end, they must be renewed. Therefore, the units will be preserved over the long-term as affordable housing for those in need of assistance.

Will I Be Able To Choose Where I Live Through RAD?

One of the goals of RAD is to give you a

greater choice in where to live. If your property

FACT SHEET #10: THE DIFFERENCE BETWEEN PROJECT-BASED VOUCHERS AND PROJECT-BASED RENTAL ASSISTANCE

converts through RAD, after a certain amount of time, you may request a Housing Choice Voucher (HCV). An HCV allows you to choose affordable housing in the private rental market, and the voucher stays with you when you move. This option in RAD is referred to as Choice Mobility.

Once the property has converted, residents of most properties will have a new “choice mobility” option, which will allow you to request a Housing Choice Voucher (HCV) that the household can use to select a rental unit in the private market.

When you make a request, subject to some constraints, the PHA will offer you the next available voucher. When you move out with a voucher, your former unit will be leased to another eligible family off the waiting list.

For PBV, you may request an HCV after living in a RAD property for one year. If your PHA does not have an HCV available at the time of your request, you will go on the waitlist to receive the next available HCV.

For PBRA, you may request an HCV after living in a RAD property for two years. If your PHA does not have an HCV available at the time of your request, you will go on the waitlist in the order your request was received.