Item HA 03 - Update to the Housing Choice Voucher Administrative Plan

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Administrative Plan 7/1/2025 Page 17-8 17-I.D. CAP ON NUMBER OF PBV UNITS IN EACH PROJECT [24 CFR 983.54] Project Cap [24 CFR 983.54(a)] In general, the PHA may not select a proposal for units in a project or enter into an AHAP or a HAP contract to provide PBV assistance for units in a project if the total number of dwelling units in the project that will receive PBV assistance is more than the greater of 25 units or 25 percent of the number of dwelling units (assisted or unassisted, as adjusted) in the project. Higher Project Cap [24 CFR 983.54(b)] The PHA may provide PBV assistance to the greater of 25 units or 40 percent of the number of dwelling units (assisted and unassisted, as adjusted) in the project if the project is located in an area where vouchers are difficult to use [24 CFR 983.54(b)]. An area where a voucher is difficult to use is defined as:  A census tract with a poverty rate of 20 percent or less, as determined by HUD;  A ZIP code area where the rental vacancy rate is less than 4 percent, as determined by HUD; or  A ZIP code area where 90 percent of the Small Area FMR is more than 110 percent of the metropolitan area or county FMR. Exceptions to the Project Cap [24 CFR 983.54(c)] Certain units are removed from the number of dwelling units for purposes of calculating the project cap. These are known as excepted units, which are defined as units in a project not counted toward the project cap because they exclusively service or are made available to certain families. The PHA determines the number of units in the project for which the PHA will provide project- based assistance, including whether and how many units will be excepted. The PBV HAP contract must specify, and the owner must set aside, the number of excepted units made available for occupancy by families who qualify for the exception. For a unit to be considered excepted, it must be occupied by a family who qualifies for the exception. Which units are considered excepted differs depending on when the HAP contract was executed. Contracts executed prior to April 18, 2017, follow the “old” statutory PBV requirements for excepted units. Projects where the HAP contract was executed on or after April 18, 2017, follow new requirements. In this case, PBV units are not counted toward the project cap if the units are:  Exclusively for elderly families;  Exclusively made available to eligible youth receiving FUP or FYI assistance; or  For households eligible for supportive services available to all families receiving PBV assistance in the project. EXHIBIT 1