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

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Administrative Plan 7/1/2025 Page 17-82 PART VIII: DETERMINING RENT TO OWNER 17-VIII.A. OVERVIEW [24 CFR 983.301(a)] The amount of the initial rent to an owner of units receiving PBV assistance is established at the beginning of the HAP contract term. Although for rehabilitated or newly constructed housing, the AHAP states the estimated amount of the initial rent to owner, the actual amount of the initial rent to owner is established at the beginning of the HAP contract term. 17-VIII.B. AMOUNT OF RENT TO OWNER [24 CFR 983.301(b)] Except for certain tax credit units (discussed below), the rent to owner must not exceed the lowest of the following amounts:  An amount determined by the PHA in accordance with the administrative plan not to exceed 110 percent of the applicable fair market rent (or amount of any applicable exception payment standard) for the unit bedroom size minus any utility allowance;  The reasonable rent; or  The rent requested by the owner. Rent to Owner for Certain Tax Credit Units [24 CFR 983.301(c)] For certain tax credit units, the rent limits are determined differently than for other PBV units. Tax credit units that do not meet the criteria below will have their rents determined by the PHA pursuant to 24 CFR 983.301(b) as stated above. Rents are set differently in contract units that meet all of the following criteria:  The contract unit receives a low-income housing tax credit under the Internal Revenue Code of 1986;  The contract unit is not located in a qualified census tract;  In the same building, there are comparable tax credit units of the same bedroom size as the contract unit and the comparable tax credit units do not have any form of rental assistance other than the tax credit; and  The tax credit rent exceeds 110 percent of the fair market rent (or any exception payment standard) as determined in 24 CFR 983.301(b); For contract units that meet these criteria, the rent to owner must not exceed the lowest of:  An amount determined by the PHA in accordance with the administrative plan, not to exceed the tax credit rent minus any utility allowance;  The reasonable rent; or  The rent requested by the owner. The tax credit rent is the rent charged for comparable units of the same bedroom size in the building that also receive the low-income housing tax credit but do not have any additional rental assistance (e.g., additional assistance such as tenant-based voucher assistance). EXHIBIT 1