Tip:
Highlight text to annotate it
X
>>> GOOD AFTERNOON. MY NAME IS MICHAEL DENNIS.
I'M THE DIRECTOR OF THE OFFICE OF HOUSING CHOICE VOUCHER
PROGRAMS HERE AT HEADQUARTERS. I'D LIKE TO WELCOME YOU TO
TODAY'S BROADCAST. TODAY WE'LL BE TALKING ABOUT THE
FUNDING PROVISIONS FOR 2013 FOR THE HOUSING CHOICE VOUCHER
PROGRAM. AS MANY OF YOU KNOW, THIS IS A
PARTICULARLY CHALLENGING YEAR INCORPORATE VOUCHER PROGRAM DUE
TO THE IMPACTS OF SEQUESTRATION. WE'RE LOOKING AT LOW PRORATIONS
IN THE HAP RENEWAL ACCOUNT AND IN OUR ADMINISTRATIVE FEES IFS
WHAT WE'RE GOING TO HOPEFULLY ACCOMPLISH THIS AFTERNOON IS TO
WALK EVERYONE THROUGH OUR RECENT NOTICE, NOTICE 2013-12, WHICH
TALKS ABOUT NOT ONLY OUR RENEWAL IMPLEMENTATION FOR THE VOUCHER
PROGRAM, BUT ALSO SOME OTHER IMPORTANT PROVISIONS OF THE
CONTINUING RESOLUTION THAT IMPACT OUR VOUCHER PROGRAM AND
ITS OPERATIONS. I'M JOINED HERE TODAY BY MIGUEL
FONTANEZ, WHO IS THE DIRECTOR OF OUR FINANCIAL MANAGEMENT
DIVISION. MIGUEL, I'M GOING TO TURN IT
OVER TO HIM WITHOUT ANY FURTHER ADO BECAUSE WE HAVE A LOT OF
MATERIAL TO COVER AND HE WILL INTRODUCE THE REST OF THE PANEL.
>> THANK YOU FOR THE OPENING REMARKS.
HELLO, MY NAME IS MIGUEL FONTANEZ, I'M THE DIRECTOR OF
THE HOUSING CHOICE VOUCHER FINANCIAL MANAGEMENT DIVISION
AND OUR PRESENTERS TODAY ARE BERNICE ALLEN, AN ADVISOR FOR
THE HOUSING CHOICE VOUCHER DIVISION AND ALSO NICHOLAS
BILKA, HOUSING ANALYST. THE GOAL, LIKE MICHAEL
MENTIONED, IS TO ENSURE THAT YOU UNDERSTAND HOW THE FINANCIAL
MANAGEMENT DIVISION DETERMINES YOUR 2013 HAP RENEWAL FUNDING.
WE HAVE DESCRIBED THIS CALCULATION PROCESS IN OUR PIH
NOTICE RECENTLY PUBLISHED LAST WEEK, NUMBER 2013-12.
IN THIS NOTICE, WE DESCRIBE THE HOUSING CHOICE VOUCHER FUNDING
PROVISIONS AS ENACTED BY THE CONSOLIDATED AND FURTHER
APPROPRIATION OR CONTINUING APPROPRIATIONS 2013.
WE WILL ALSO PROVIDE YOU WITH ALL THE FUNDING THAT HAS BEEN
APPROPRIATED FOR THE PROGRAM. THE HAP AMOUNT APPROPRIATED, THE
ADMINISTRATIVE FEES AMOUNT APPROPRIATED, FUNDING AWARDED
FOR FAMILY SELF-SUFFICIENCY COORDINATORS, FUNDING AWARDED
FOR�-- OR APPROPRIATED FOR THE VETERANS OR HOMELESS VETERANS,
ALSO KNOWN AS VASH, AND ALSO FUNDING APPROPRIATED FOR TENANT
PROTECTION ACTIONS BUT MOST IMPORTANTLY, WE'RE GOING TO
GUIDE YOU THROUGH THE APPLICATION REQUIREMENTS AND
FUNDING ADJUSTMENT CATEGORIES STATED IN THE APPROPRIATIONS ACT
TO BE ABLE TO APPLY FOR THE SET-ASIDE FUNDING IN CALENDAR
YEAR 2013. TODAY WE WILL NOT BE TAKING
PHONE CALLS. HOWEVER, WE HAVE A MAILBOX AND
THAT ADDRESS IS PIHFINANCIALMANAGEDIVISION@HUD.
GOV. ALL TOGETHER, NO SPACES.
IN THE LAST 15 MINUTES OF OUR PRESENTATION, WE'LL BE ABLE TO
ADDRESS THOSE QUESTIONS THAT YOU SEND US TO THE MAILBOX AND WE'RE
ALSO GOING TO ADDRESS SOME QUESTIONS THAT WE RECEIVED IN
ADVANCE FROM SOME HOUSING AUTHORITIES.
VERY IMPORTANT YOUR HOUSING AUTHORITY HAS ALREADY RECEIVED
THE 2013 FUNDING AWARD LESSERS AND ENCLOSURES.
-- LETTERS AND ENCLOSURES. KEEP THAT HANDY BECAUSE THE
GUIDANCE WE'RE GOING TO PROVIDE TO YOU TODAY WILL GO OVER ALL
THE CALCULATION PROCESS. WITH NO FURTHER ADO, I'M GOING
TO LEAVE YOU NOW WITH BERNICE, PROGRAM ADVISOR FOR THE
FINANCIAL MANAGEMENT DIVISION. >> THANK YOU, MIKE AND MIGUEL.
GOOD AFTERNOON, EVERYBODY. THANK YOU FOR JOINING US FOR
WHAT WE HOPE WILL BE VERY INFORMATIVE AND WE THINK WILL BE
A VERY IMPORTANT CONVERSATION. NOW, YOU ARE SEEING SOME POWER
POINT SCREENS ON YOUR COMPUTER OR YOUR TELEVISION, AND I DID
WANT TO LET YOU KNOW THAT THOSE SCREENS WILL BE POSTED ON OUR
WEBSITE BY TOMORROW, SO THAT YOU WILL HAVE THEM, YOU KNOW, FOR
YOUR REFERENCE. LIKEWISE, THE WEBCAST WILL BE
ARCHIVED AND CAN BE VIEWED BY PEOPLE WHO MISSED IT TODAY OR IF
YOU JUST CAN'T GET ENOUGH OF US, YOU WILL BE ABLE TO SEE IT
AGAIN. ALSO, MIGUEL MENTIONED WE'LL BE
TAKING QUESTIONS. IF WE DON'T GET TO ALL THE
QUESTIONS OR IF YOU HAVE ADDITIONAL QUESTIONS AFTER THE
BROADCAST THAT YOU SEND TO US, WE WILL BE POSTING A SET OF
QUESTIONS AND ANSWERS THAT WOULD BE USEFUL TO MOST OR ALL PHAs,
SO YOU CAN LOOK FOR THOSE, PROBABLY BY THE END OF THIS
WEEK, ALSO ON OUR WEBSITE. SO WITH THAT, LET'S MOVE
FORWARD. WE HAVE FOUR MAJOR TOPICS THAT
WE WANT TO ADDRESS THIS AFTERNOON.
OUR 2013 VOUCHER RENEWAL FUNDING, OUR 2013 OBLIGATION AND
DISBURSEMENT PROCESS, THE HAP SET-ASIDE, AND FINALLY,
ADMINISTRATIVE FEES AND A FEW OTHER IMPORTANT PROGRAM NOTES.
FIRST OF ALL, OUR 2013 VOUCHER RENEWAL FUNDING.
LET'S TAKE A MINUTE JUST TO LOOK AT THE BACKGROUND, TO SEE HOW WE
GOT WHERE WE ARE TODAY. OUR DEPARTMENT ACTUALLY OPERATED
UNDER A CONTINUING RESOLUTION FROM THE BEGINNING OF FISCAL
YEAR THROUGH MARCH 27th. YOU MAY BE FAMILIAR WITH THAT.
IT WAS PUBLIC LAW 112-175. THAT CONTINUING RESOLUTION
BASICALLY SAID THAT WE WOULD OPERATE THE PROGRAM FINANCIALLY
IN THE SAME MANNER THAT WE HAD IN FISCAL YEAR 2012 AND USING
THE SAME LEVEL OF APPROPRIATED FUNDING WITH A MODEST INCREASE
OF A .612% INFLATION FACTOR. SO SLIGHTLY OVER ONE-HALF OF ONE
PERCENT INFLATION. BASED UPON THE CRs, ALLOTMENTS
WERE RECEIVED BY THE DEPARTMENT FOR YOUR VOUCHER PROGRAM THROUGH
MARCH 27th OF THIS YEAR, AND WE MADE OBLIGATIONS AND
DISBURSEMENTS TO YOU FOR JANUARY THROUGH JUNE, ALSO BASED ON THE
PROVISIONS OF THE CONTINUING RESOLUTION.
AT THE TIME THAT THAT RESOLUTION WAS SET TO EXPIRE, BOTH CHAMBERS
OF CONGRESS DID PASS, AND THE PRESIDENT DID SIGN INTO LAW, A
FULL-YEAR CONTINUING RESOLUTION, AND THAT IS REFERENCED AS PUBLIC
LAW 113-06. AND WHAT A YEAR-LONG CR MEANS IS
THAT WE ARE BOUND BY THE PROVISIONS OF THE FISCAL YEARS
2012 APPROPRIATIONS ACT AND THE FUNDING OF THAT ACT, EXCEPT FOR
THOSE SPECIFIC INSTANCES THAT ARE CHANGED IN THE LANGUAGE OF
THE CR, BUT OTHERWISE IT IS A REPEAT OF THE PRIOR YEAR.
JUST FOR COMPARISON PURPOSES AS TO WHAT THIS MEANT FOR OUR
FUNDING, THE PRESIDENT'S REQUEST FOR OUR FISCAL YEAR 2013 BUDGET
FOR THE TENANT-BASED RENTAL ASSISTANCE PROGRAM, ALL
CATEGORIES OF FUNDING WITHIN TENANT-BASED RENTAL ASSISTANCE,
WAS JUST OVER $19�BILLION. THAT, COMPARED TO THE AMOUNT
THAT WAS ENACTED FOR FISCAL YEAR 2012 OF $18.9�BILLION, SO THE
REQUEST WAS A MODEST INCREASE OVER 2012.
THE CR PROVIDES APPROXIMATELY 17.964�BILLION FOR ALL
TENANT-BASED RENTAL ASSISTANCE PURPOSES, SO YOU SEE THAT IS A
DROP OF GETTING CLOSE TO ONE�BILLION DOLLARS OVERALL.
AS MENTIONED, THE DETAILS OF THE FUNDING AND THE IMPLEMENTATION
OF THAT FUNDING ARE PROVIDED IN NOTICE 2013-12, SO IF YOU
HAVEN'T PULLED THAT DOWN YET FROM THE WEB, YOU WILL
DEFINITELY WANT TO DO SO AND GO THROUGH IT VERY CAREFULLY.
THE IMPORTANT FEATURES THAT YOU NEED TO BE AWARE OF AS THEY
AFFECT YOUR RENEWAL FUNDING. FIRST OF ALL, THE FISCAL YEAR CR
FUNDING INCLUDES WHAT IS KNOWN AS SEQUESTRATION, A TERM THAT
HAS BEEN BECOME VERY FAMILIAR WITH MANY OF US IN RECENT
MONTHS, AND AN ACROSS-THE-BOARD REDUCTION.
THESE ACTIONS REDUCE THE VOUCHER PROGRAM FUNDING BY APPROXIMATELY
5% AND .2% RESPECTIVELY, BOTH BASED UPON THE FISCAL '12
APPROPRIATED AMOUNT, SO THERE WERE TWO TYPES, BASICALLY, OF
REDUCTIONS THAT CAME IN. SEQUESTRATION, SIMPLY PUT,
AFFECTS THE FISCAL YEAR 2013 APPROPRIATIONS WHICH ARE USED TO
FUND THE VOUCHER PROGRAM FOR CALENDAR YEAR 2013.
I'D LIKE TO MAKE THAT CLARIFYING POINT BECAUSE THE BUDGET IS A
FISCAL YEAR BUDGET FROM 10/1 THROUGH SEPTEMBER 30th, BUT WE
HAVE FOR A NUMBER OF YEARS NOW ALWAYS FUNDED ON A CALENDAR YEAR
BASIS, SO THIS FUNDING IS TO TAKE US THROUGH DECEMBER OF
2013. THE SEQUESTRATION REDUCTION IN
FUNDING COVERS BOTH HAP AND ADMINISTRATIVE FEE FUNDING, AS
WELL AS ALL OTHER TYPES OF FUNDING, BUT EXEMPTS FUNDS FOR
VASH, AND THIS IS BECAUSE, GOVERNMENT-WIDE, PROGRAMS THAT
AFFECT VETERANS HAVE BEEN SPECIFICALLY EXEMPTED FROM THE
SEQUESTRATION AND WITHIN HUD, ONLY THE VASH PROGRAM MET THOSE
QUALIFICATIONS. SO IT IS EXEMPTED.
AND AS YOU WILL SEE, THAT'S WHY YOU SAW SOME SEPARATE
CALCULATIONS FOR YOUR VASH AND YOUR NON-VASH RENEWAL VOUCHERS
ON THE DOCUMENTATION THAT WE HAVE SENT TO YOU.
THE SEQUESTRATION IS IMPOSED AT AN APPROPRIATION-LINE LEVEL,
WHICH MEANS THAT THE DEPARTMENT HAS NO FLEXIBILITY IN TERMS OF
APPLYING THE REDUCTIONS DIFFERENTLY THAN STRICTLY
ACCORDING TO THE APPROPRIATIONS. SO IF X-DOLLARS NEED TO COME OUT
OF THE TBRA ACCOUNT, TENANT-BASED RENTAL ASSISTANCE
RENEWALS, WE CAN'T CHANGE THAT AND SAY NO.
WE WILL INSTEAD REDUCE ANOTHER LINE ITEM IN THE BUDGET BY A
GREATER AMOUNT SO WE CAN HAVE MORE FUNDING THAN WE WOULD
OTHERWISE HAVE FOR OUR TENANT-BASED RENTAL ASSISTANCE
RENEWAL VOUCHERS. THAT FLEXIBILITY HAS NOT BEEN
GRANTED TO THE DEPARTMENT IN IMPLEMENTING THE SEQUESTRATIONS
FOR THIS YEAR. SO LET'S TAKE A LOOK AT SOME OF
THE COMPARABLE NUMBERS. IN 2012, OUR RENEWAL FUNDING�--
AND HERE I'M JUST TALKING ABOUT RENEWAL, WAS, AS YOU SAW,
17.242�BILLION LESS 103�MILLION ABLE TO BE SET ASIDE FOR HAPPEN
SET-ASIDE�-- HAP SET-ASIDE PURPOSES FOR AGENCIES THAT
NEEDED ADDITIONAL FUNDING. FOR 2013, THE RENEWAL FUNDS ARE
16.349�MILLION AND SOME -- BILLION AND SOME DOLLARS.
THIS FUNDING AND THE CALCULATIONS THAT WE HAVE
COMPLETED HAVE MEANT THAT ALL YOUR RENEWAL VOUCHERS WITH THE
EXCEPTION OF YOUR VASH VOUCHERS, HAVE BEEN PRORATED AT 93.976% OF
ELIGIBILITY. AND YOUR VASH RENEWAL VOUCHERS
HAVE BEEN PRORATED AT 99.005% OF ELIGIBILITY.
WHILE NOT SUBJECT TO SEQUESTRATION, THE FUNDING FOR
VASH VOUCHERS IS STILL SUBJECT TO PRORATION WHEN WE COMPARE
NATIONAL ELIGIBILITY TO TOTAL APPROPRIATIONS.
SO IT IS SLIGHTLY LESS THAN 100%, AS IT HAS BEEN FOR A
NUMBER OF YEARS. IN TERMS OF THE ADMINISTRATIVE
FEES FOR 2012, WE HAD 1,350,000,000 AND AS WE ALWAYS
REMIND YOU, THE FUNDING INCLUDES ADDITIONAL UNITS AND VOUCHERS
THAT DID NOT EXIST LAST YEAR, BUT HAVE BEEN AWARDED SINCE AND
WHOSE FEE ELIGIBILITY MUST BE COVERED.
AS A RESULT OF SEQUESTRATION AND THE PRORATION, THE EXPECTED
PRORATION THAT WE WILL RECONCILE YOUR FEES AT EACH QUARTER IS
ABOUT 69% OF ELIGIBILITY. I WILL JUST SAY NO ONE IS
PLEASED WITH THIS, BUT THAT IS WHERE IT LANDED.
OBVIOUSLY, THE ACTUAL PRORATION WILL DEPEND UPON THE LEASE-UP
THAT YOU PERFORM AND THE NATIONAL LEASE-UP THAT DOES
OCCUR ACROSS THE YEAR. THIS NEXT SLIDE MAY BE A LITTLE
HARD TO READ ON YOUR SCREEN, BUT ONCE YOU GET THE SCREENS ON YOUR
COMPUTER, YOU WILL BE ABLE TO READ IT MUCH MORE CLEARLY.
THIS LOOKS AT ALL THE FUNDING WITHIN THE TENANT-BASED RENTAL
ASSISTANCE ACCOUNT. WE'VE TALKED ABOUT THE HAP
RENEWAL FUNDING AND HOW THAT NUMBER ARRIVED.
YOU WILL SEE WE HAVE THESE THESE ARE FOR TENANT PROTECTION
VOUCHERS AND THESE ARE NEW VOUCHERS AWARDED BECAUSE A
PROJECT-BASED CONTRACT FOR WHATEVER REASON HAS CEASED TO
EXIST OR A PUBLIC HOUSING PROPERTY IS NO LONGER GOING TO
BE USED. WE ALSO HAVE ADMINISTRATIVE FEES
AND THE FAMILY SELF-SUFFICIENCY PROGRAM.
ALL OF THESE ARE SUBJECT TO BOTH THE ACROSS-THE-BOARD REDUCTION
AND SEQUESTRATION. THEN YOU SEE THE VETERANS
AFFAIRS SUPPORTIVE HOUSING AND THIS IS FOR NEW ADDITIONAL VASH
VOUCHERS. THIS IS SUBJECT ONLY TO THE
ACROSS-THE-BOARD REDUCTION OF .2%, NO SEQUESTRATION.
FINALLY THE MAINSTREAM IS SUBJECT TO BOTH AND YOU WILL SEE
THERE THE TOTAL APPROPRIATIONS THAT ARE AVAILABLE.
IN TERMS OF THE RENEWAL LINE ALONE, JUST A LITTLE BIT OF
INFORMATION ABOUT THAT, HOW WE GOT TO THAT NUMBER, BECAUSE THAT
IS REALLY WHAT IS VERY IMPORTANT TO MOST PHAs TODAY.
AS MENTIONED, WE START WITH WHAT WAS ENACTED IN 2012, THE
APPROPRIATED AMOUNT. IT WAS INFLATED BY, YOU KNOW,
.612%, A LITTLE OVER HALF A PERCENT, AND THAT IS ACTUALLY
THE FISCAL 2013 RENEWAL APPROPRIATION.
THEN WE HAD TO TAKE THE ACROSS-THE-BOARD REDUCTION AND
WE HAD TO TAKE OUT THE SEQUESTRATION AMOUNT, AND THAT
SEQUESTRATION AMOUNT IS A DOLLAR AMOUNT THAT WE HAD TO REDUCE AND
IT WAS BASED ON 5% OF THE FISCAL 2012 ENACTED.
THAT'S WHY YOU CAN'T JUST DO THE MATH, BECAUSE THERE'S ALL THESE
OTHER ADJUSTMENTS, SO IF YOU TRY TO RE-CREATE IT, IT WON'T COME
OUT EXACTLY FOR YOU. BUT ONCE WE'VE TAKEN THE
ACROSS-THE-BOARD AND SEQUESTRATION OUT, THAT EQUALS
OUR 2012 RENEWAL APPROPRIATION. TO THAT, WE WERE ABLE TO ADD A
SMALL AMOUNT OF FUNDS THAT WE CARRIED OVER FROM 2012, YOU
KNOW, TO INCREASE THE FUNDING THAT WE COULD USE, AND WE
SUBTRACTED THE 103�MILLION THAT IS PROVIDED TO BE USED FOR THE
SET-ASIDE PURPOSES. THIS BRINGS US TO THE RENEWAL
FUNDING THAT'S AVAILABLE. FROM THIS, WE TAKE THE VASH
REQUIREMENTS PRORATED AND WHAT IS LEFT IS WHAT'S AVAILABLE FOR
THE NON-VASH RENEWAL NEEDS. SO IT'S A LITTLE BIT COMPLICATED
AND I DON'T EXPECT THAT YOU WILL, YOU KNOW, WANT TO COMMIT
THIS TO MEMORY, BUT WE JUST WANTED YOU TO HAVE, YOU KNOW, A
BRIEF UNDERSTANDING OF HOW WE GET TO WHERE WE ARE WHEN WE COME
TO DOING THE FUNDING. NOW, AS MIGUEL MENTIONED, THE
PHA RENEWAL FUNDING ALLOCATIONS HAVE BEEN CALCULATED PER THE CR
AND THE BULK OF THEM WERE ISSUED THURSDAY, MAY 23rd.
THE REMAINING FEW THAT HAD SOME, YOU KNOW, CORRECTIONS THAT HAD
TO BE MADE, A LITTLE BIT OF CLEAN-UP, THOSE SHOULD BE OUT TO
YOU TODAY, SO IF YOU DO NOT RECEIVE SOMETHING BY THE CLOSE
OF BUSINESS TOMORROW, THAT PROBABLY MEANS THAT THERE HAS
BEEN A TRANSMISSION ISSUE AND YOU WILL WANT TO CONTACT.
YOU CAN EITHER CONTACT YOUR ANALYST AT THE FMC OR DROP AN
EMAIL TO THE BOX THAT MIGUEL HAS ALREADY REFERENCED FOR YOU.
THE RENEWAL FORMULA UNDER THE CR DOES FOLLOW THE REQUIREMENTS FOR
2012 WITH ONE ADDITION. AND THOSE REQUIREMENTS IN BRIEF
ARE, WE BASE YOUR RENEWAL ELIGIBILITY ON THE ACTUAL
VALIDATED HAP COSTS FOR THE LATEST CALENDAR YEAR, WHICH OF
COURSE IS CALENDAR YEAR 2012 AS THEY WERE REPORTED IN VMS AS OF
THE MARCH 7 DEADLINE TA WE ESTABLISHED FOR ALL ADJUSTMENTS
TO BE MADE AND ANY SUBSEQUENT REVISIONS THAT HUD DIRECTED
BECAUSE DATA WAS OUT OF LINE OR MISSING, SOMETHING LIKE THAT,
BUT IT'S YOUR MARCH 7th DATA THAT WAS THE BASE.
THEN WE MADE ADJUSTMENTS FOR FIRST-TIME RENEWALS.
WE'LL GO THROUGH SOME EXAMPLES OF THESE, BUT THIS IS TO ENSURE
A COUPLE OF THINGS. FIRST OF ALL, THAT INCREMENTS
THAT WERE INITIALLY FUNDED FOR FEWER THAN 12 MONTHS ARE BROUGHT
FULLY FUNDED THROUGH DECEMBER 2013, AND SECONDLY, THAT ANY
INITIAL INCREMENT THAT WAS EFFECTIVE IN 2012 AND CARRIED
INTO 2013 IS PROVIDED INFLATION FOR 2013 JUST TO REFLECT THAT
COSTS MAY HAVE INCREASED, SO THOSE ARE THE TWO TYPES OF
ADJUSTMENTS THAT WE HAVE MADE FOR FIRST-TIME RENEWALS.
THE ADDITION THAT WAS MADE TO THE 2012 REQUIREMENTS IS THAT
PHAs MAY BE ELIGIBLE UNDER THE DISASTER RELIEF APPROPRIATIONS
ACT FOR PHAs WHO EXPERIENCED A PRESIDENTIALLY DECLARED NATURAL
DISASTER IN FEDERAL FISCAL YEAR 2013.
SO IF THEY EXPERIENCED A DISASTER SUCH THAT IT IS
AFFECTING THEIR HAP FUNDING OR THEIR HAP COSTS IN 2013 AND WHEN
WE GET INTO THE FEES, HAS ALSO AFFECTED THEIR HAP FEES, THESE
PHAs WERE ELIGIBLE TO APPLY FOR ADDITIONAL FUNDS AND THESE FUNDS
ARE HANDLED AS AN ADJUSTMENT TO THEIR ELIGIBILITY FOR 2013.
THEN WE, AGAIN, APPLIED THE RENEWAL INFLATION FACTOR AND
OVERALL, THESE FACTORS WERE VERY MODEST.
THE MOST COMMON INFLATION FACTOR THIS YEAR WAS 1.000, MEANING
THERE WAS NO MEASURABLE INFLATION TO BE APPLIED TO THE
2012 COSTS TO GET YOU TO 2013. AND FINALLY, WE APPLIED A
NATIONAL PRORATION FACTOR. THIS WAS DETERMINED BY COMPARING
NATIONAL ELIGIBILITY TO THE FUNDS APPROPRIATED, AND AS
MENTIONED, IT'S DIFFERENT FOR VASH AND NON-VASH BECAUSE OF THE
SEQUESTRATION, BUT THE SAME FACTORS DO APPLY TO ALL PHAs.
THAT INCLUDES NON-MTW AND MTW AGENCIES THE SAME BECAUSE
PRORATION IS SIMPLY A FACTOR OF ELIGIBILITY VERSUS DOLLARS THAT
ARE AVAILABLE. EACH PHA'S PRORATED ELIGIBILITY
WAS THEN COMPARED TO THE RENEWAL FUNDS THAT WERE OBLIGATED FOR
THAT PHA IN CALENDAR YEAR 2013 TO DATE, WHICH IS JANUARY
THROUGH JUNE HAS BEEN COMPLETED. THROUGH JUNE, IF THE OBLIGATIONS
ARE LESS THAN THE PRORATED ELIGIBILITY, THE DIFFERENCE BEEN
OBLIGATED IN THE MONTH OF JUNE. IF THE OBLIGATIONS MADE THROUGH
JUNE EXCEED THE PHA'S PRORATED ELIGIBILITY, THE REMAINING
ELIGIBILITY WILL BE SPREAD OVER THE REMAINING MONTHS, SO EACH
SUBSEQUENT MONTH WOULD GET A LITTLE BIT LESS THAN OTHERWISE
TO MAKE UP FOR THE FACT THAT THE PHA ALREADY RECEIVED SOME OF THE
OBLIGATIONS THAT WOULD APPLY TO THOSE MONTHS.
AND, GEE, THIS IS ALL FUN, SO LET'S PUT IN A HAPPY WORD.
THERE WAS NO NET RESTRICTED ASSETS OFFSET FOR CALENDAR YEAR
2013. CAN I SAY THAT LIKE TWO OR THREE
TIMES SO WE CAN HAVE SOME GOOD NEWS?
NO NRA OFFSET THIS YEAR. OKAY.
EACH PHA RECEIVED A DOCUMENT THAT DOESN'T LOOK EXACTLY WHAT
IS ON THE SCREEN, BUT HAS EXACTLY THE DATA THAT IS SHOWING
ON THE SCREEN FOR YOUR PARTICULAR AGENCY.
YOU ALSO RECEIVED A SET OF DESCRIPTIONS THAT IDENTIFY HOW
EACH LINE IN THESE CALCULATIONS WAS DETERMINED AND WHAT THE DATA
WAS, AND THEN YOU RECEIVED THE COVER LETTER THAT SET FORTH THE
POLICIES AND, YOU KNOW, WHAT BASICALLY WAS GOING ON UNDER THE
2013 APPROPRIATIONS. I WOULD LIKE TO WALK THROUGH
THIS SAMPLE ONE AND AS MIGUEL MENTIONED, IF YOU HAVE YOURS AT
HAND, THAT WOULD PROBABLY BE HELPFUL TO YOU.
WE TRIED TO INCLUDE A NUMBER OF THE VARIABLES IN THIS SAMPLE.
AND YOU CAN ALSO HAVE YOUR DESCRIPTIVE NOTES SIDE-BY-SIDE
WHEN YOU GO THROUGH YOURS TO IDENTIFY WHAT'S GOING ON AND IF
YOU HAVE ANY QUESTIONS. BECAUSE VASH AND NON-VASH HAD TO
BE LOOKED AT DEFINITELY, WE FIRST DETERMINED THE ELIGIBILITY
FOR THE VASH VOUCHER RENEWAL FUNDING.
AND WE DID THAT, FIRST OF ALL, WE LOOKED AT THE UNIT MONTHS
LEASED VERSUS THE UNIT MONTHS AVAILABLE, AND YOU WILL SEE ON
LINES 3 AND 4 FOR THE SAMPLE, THIS PHA WAS UNDERLEASED FOR
THEIR VASH. 2,000 LEASED, 232 UNIT MONTHS
AVAILABLE. THE NEXT LINE IS A CAPPING
PERCENTAGE AND THIS ALWAYS RAISES A LOT OF QUESTIONS.
THE PURPOSE OF A CAPPING PERCENTAGE IS TO ENSURE THAT WE
DO NOT FUND ANY OVERLEASING. YOU KNOW THAT PHAs ARE NOT
PERMITTED TO USE APPROPRIATED FUNDS TO LEASE MORE THAN THEIR
BASELINE NUMBER OF VOUCHERS OR THEIR BASELINE UNIT MONTHS
AVAILABLE, AND THEREFORE, HUD ALSO CANNOT FUND FOR MORE THAN
THAT LEVEL. SO A CAPPING PERCENTAGE APPLIES
IF A PHA WAS OVERLEASED. IF YOU'RE OVERLEASED, YOU MAY
SEE A CAPPING PERCENTAGE OF LESS THAN 100%.
IF YOU SEE 100% AS THE VAST MAJORITY OF YOU WILL, THAT MEANS
EVERY DOLLAR OF ELIGIBLE EXPENSES THAT YOU REPORTED FOR
HAP EXPENSES IN CALENDAR 2012 HAS BEEN INCLUDED IN YOUR 2013
CALCULATIONS. SO THIS PHA WAS NOT OVERLEASED
IN THEIR VASH PROGRAM. NOW, WE'RE GOING TO LOOK AT
THEIR NON-VASH AS WELL BECAUSE WHAT WE DID, YOU MAY RECALL IN
THE PAST, WE HAVE ALLOWED PHAs TO LOOK AT THEIR CAPPING ON AN
AGENCY-WIDE BASIS, WHICH IS APPROPRIATE, SO IF YOU HAD VASH
AND NON-VASH, WE TOTALED UP YOUR UNIT MONTHS LEASED AND YOUR UNIT
MONTHS AVAILABLE. WE DID THAT AGAIN THIS YEAR, SO
IF, IN TOTAL, YOU WERE IN THE OVERLEASED, YOUR CAPPING
PERCENTAGE FOR BOTH VASH AND NON-VASH IS 100%.
IF THE PHA WAS OVERLEASED ON ONE SIDE OR THE OTHER AND THIS ONLY
DID HAPPEN ON THE NON-VASH SIDE, THAT IS, WE HAD NO OVERLEASING
IN VASH, SO IF YOU'RE OVERLEASED ON YOUR NON-VASH, WE ALLOWED
THOSE UNLEASED VASH UMAs TO COVER SOME OF YOUR OVERLEASING
ON THE VASH SIDE. SINCE OVERLEASING IS A
PROGRAM-WIDE RESTRICTION, IT IS NOT A VOUCHER BY VOUCHER OR
SUBPROGRAM BY SUBPROGRAM RESTRICTION.
SO WHEN WE GET A LITTLE FURTHER DOWN, WE'LL SEE HOW THAT
APPLIED. ON LINE 6, WE SIMPLY PULLED THE
PHA'S TOTAL VASH/HAP EXPENSES FROM VMS.
LINE 7 SHOWS THE ELIGIBLE PORTION WHICH, BECAUSE THEY'RE
NOT OVERLEASED, IS THAT TOTAL AGAIN, AND THEN WE APPLIED THE
RENEWAL FUNDING INFLATION FACTOR WHICH IN THE CASE OF THIS PHA IS
1.000, TO YIELD THE INFLATED ELIGIBILITY SUBTOTAL FOR VASH.
IN TERMS OF THE RENEWAL FUNDING INFLATION FACTOR, AS I
MENTIONED, MANY OR THE MAJORITY ARE 1.000.
BASICALLY A NATIONAL INFLATION FACTOR WAS DETERMINED BY OUR
POLICY DEVELOPMENT AND RESEARCH OFFICE, AND THAT IS BASED UPON
THE PROJECTED INCREASE IN THE PER-UNIT COST FROM 2012 TO 2013,
USING A NUMBER OF ECONOMIC ASSUMPTIONS.
THEN THAT NATIONAL FIGURE WAS DISAGGREGATED DOWN TO THE LEVEL
OF CLASS A CITIES AND CENSUS REGIONS ON THE BASIS OF THE
CHANGE IN FMR BETWEEN 2012 AND 2013 FOR EACH OF THOSE
GEOGRAPHIC AREAS AND THAT SIM MY MEANS ONCE THEY HAD ALL BEEN
ASSIGN, IF YOU ROLL THEM ALL BACK UP PROPORTIONATELY, YOU
WOULD GET TO THE NATIONAL INFLATION FACTOR AND BECAUSE IT
WAS SO LOW, IT WAS LIKE .4%, MANY, MANY PHAs ENDED UP WITH
1.000. SO FOR THIS PHA THEN, WE SEE WE
HAVE THAT INFLATED TOTAL BEING THE SAME AS THE CAPPED EXPENSES.
THE OTHER TWO TYPES OF FUNDING THAT A VASH AGENCY MIGHT HAVE
BEEN ELIGIBLE FOR, FIRST OF ALL, ON LINE 10, FIRST-TIME RENEWALS,
AND LINE 11, THE SECOND ONE, VASH TRANSFERS IN OR OUT.
FIRST-TIME RENEWALS, WE MENTIONED THAT THERE'S TWO WAYS
THAT THESE COULD BE EFFECTIVE, BUT ACTUALLY FOR VASH, IT'S
STRICTLY THE INFLATION ISSUE AND THE BEST EXAMPLE IS MANY VASH
INCREMENTS LAST YEAR WERE EFFECTIVE APRIL 1 AND THEY RAN
THROUGH MARCH 31st OF THIS YEAR. BECAUSE THOSE FINAL THREE MONTHS
ARE IN CALENDAR YEAR 2013, WE HAVE PROVIDED ADDITIONAL
INFLATION FOR THAT PERIOD SINCE THE FUNDING WAS BASED UPON PRIOR
COST, AND IT'S BASED UPON THE NUMBER OF MONTHS THAT THE
INCREMENT LASTED INTO 2013, THE INFLATION FACTOR AND THE AMOUNT
THAT WAS ORIGINALLY FUNDED. AND AS YOU CAN REALIZE, EVEN
THOUGH SOME AGENCIES MAY HAVE THESE VASH INCREMENTS RUNNING
INTO 2013, IF THE INFLATION FACTOR IS 1, THERE WAS NO
INFLATION FUNDING TO BE PROVIDED.
IN TERMS OF THE VASH TRANSFERS IN OR OUT, THIS OCCURRED IF YOU
WERE ONE OF THE FEW AGENCIES WHO EITHER TRANSFERRED OUT VASH
VOUCHERS TO ANOTHER AGENCY OR RECEIVED VOUCHERS VIA TRANSFER,
AND IN THAT CASE, WE SIMPLY TOOK THE VALIDATED VMS COSTS FOR THE
I DID VESTING AGENCY UP TO THE POINT�-- DIE VESTING AGENCY UP
TO THE POINT OF THE TRANSFER IN 2012 AND MOVED THOSE COSTS WITH
THE INFLATION FACTOR APPLIED TO THE RECEIVING PHA.
WITH THAT, WE THEN WOULD ADD UP THOSE THREE LINES, INFLATED
ELIGIBILITY, FIRST-TIME RENEWALS AND TRANSFERS PLUS OR MINUS TO
COME UP WITH A TOTAL VASH RENEWAL ELIGIBILITY.
THEN WE DID THE SAME THING FOR THE NON-VASH AND IT FOLLOWS
RIGHT THROUGH. THE UNIT MONTHS LEASED, THE UNIT
NO, SIR AVAILABLE, AND THE�-- MONTHS AVAILABLE AND THE CAPPING
PERCENTAGE. NOW, OUR SAMPLE PHA, AS YOU CAN
SEE, THEY WERE OVERLEASED IN THE NON-VASH VOUCHERS.
THEY LEASED 104,000 WHEN THEY HAD 102,000 AND CHANGE
AVAILABLE. IF WE HAD CAPPED THOSE BASED
UPON THOSE FIGURES, THEIR CAPPING WOULD HAVE BEEN JUST
OVER 98%, MEANING ONLY 98% OF THEIR ACTUAL HAP COSTS WOULD
HAVE BEEN ELIGIBLE FOR RENEWAL BECAUSE THE OTHER 2% REPRESENTED
OVERLEASING THAT COULD NOT BE FUNDED, BUT BECAUSE THEY WERE
UNDERLEASED IN THEIR VASH PROGRAM, WE TOOK THOSE UNLEASED
UNIT MONTHS FROM THE VASH PROGRAM AND MADE THEM AVAILABLE
TO COVER SOME OF THE LEASING IN THE NON-VASH SIDE OF THE
PROGRAM, SUCH THAT THEIR CAP MOVED UP TO 99.44%.
IT'S A SMALL FACTOR, BUT IT'S HELPFUL TO PHAs AND IT IS
CONSISTENT WITH THE FACT THAT IT IS ONE PROGRAM.
WE'RE SIMPLY DOING A SEPARATE FUNDING BECAUSE OF THE
SEQUESTRATION. SO THIS PHA THEN HAD ABOUT
$70�MILLION OF NON-VASH EXPENSES WHICH WERE CAPPED AT 69.6.
SAME RENEWAL INFLATION FACTOR AS WE SAW BEFORE TO COME UP WITH
THEIR INFLATED ELIGIBILITY, AND THEN THEY HAVE SOME FUNDING FOR
FIRST-TIME RENEWALS THAT WERE NOT VASH, AND IN THIS CASE, THE
PHA COULD BE ELIGIBLE BOTH FOR THE INFLATION THAT WE DESCRIBED
AS WELL AS FUNDING TO BRING THE TERM TO THE END OF THE CALENDAR
YEAR. YOU MIGHT RECALL, LAST YEAR IN
CALENDAR '12, WE DID NOT HAVE ENOUGH TENANT PROTECTION FUNDING
TO FULLY FUND ALL OF THE NEW TENANT PROTECTION INCREMENTS FOR
12 MONTHS, WHICH IS OUR NORM. SO SOME WERE FUNDED FOR A
SHORTER PERIOD OF TIME, AND IF THEY WERE, WE WANT TO MAKE SURE
WE BRING THEM CURRENT THIS YEAR. A COMMON EXAMPLE WAS, YOU MAY
HAVE RECEIVED AN INCREMENT EFFECTIVE OCTOBER 1st OF 2012,
BUT EXPIRING MARCH 31, 2013, WHICH IS ONLY SIX MONTHS.
TYPICALLY IN THE PAST, YOU KNOW, WHEN FUNDS ARE AVAILABLE, WE
WOULD HAVE FUNDED THAT THROUGH 9/30 OF 2013 FOR THE FULL 12
MONTHS AND WE WOULD NOW BE PROVIDING RENEWAL FUNDING FOR
THREE MONTHS, BUT THIS PHA WAS ONLY FUNDED FOR SIX MONTHS.
SO WE HAVE TO FUND THEM FOR THAT ADDITIONAL PERIOD, AND IF YOU
THINK ABOUT HOW WE FUND FOR THAT INCREMENT, THREE MONTHS OF COSTS
ARE IN VMS FOR OCTOBER THROUGH DECEMBER AND THEY ARE ALREADY
FUNDED THROUGH MARCH IN THEIR ORIGINAL INCREMENT, SO WE HAVE
TO COVER SIX MONTHS TO GET THEM TO THE END OF THE CALENDAR YEAR
AND IF YOUR AGENCY HAD AN INCREMENT LIKE THAT, THAT
ADDITIONAL FUNDING WOULD BE SHOWN ON THIS LINE AND AT THE
END OF THE ENCLOSURE IS A DETAIL AS TO WHICH END KREMENTS
THESE�-- INCREMENTS THESE ARE AND HOW MUCH FUNDING IN EACH
CATEGORY, ADDITIONAL MONTHS OR INFLATION, IS PROVIDED FOR EACH
ONE OF THOSE AFFECTED INCREMENTS.
AND LIKEWISE, AS WE DID WITH THE VASH, THE NON-VASH HAS TRANSFERS
IN OR OUT AND THE CONCEPT IS THE SAME IN TERMS OF HOW WE
DETERMINED USING THE VMS EXPENSES FROM THE DIVESTING
AGENCY. AS A RESULT, WE COME UP WITH A
SUBTOTAL OF THE NON-VASH RENEWAL ELIGIBILITY FOR THE PHA.
THIS IS THE RANGE OF $69�MILLION.
THE OTHER ELIGIBILITY A PHA MIGHT HAVE IS SOME PHAs STILL
HAVE SOME DHAP UNITS OUT THERE AND IF YOU ARE ONE OF THOSE FEW
PHAs, YOU WOULD HAVE SEEN A DHAP ELIGIBILITY AMOUNT ON LINE 23
BASED UPON THOSE VOUCHERS STILL IN USE AND THE LATEST COSTS THAT
WE HAVE. AND THOSE DHAP ELIGIBILITY
DOLLARS ARE ALSO AFFECTED BY THE SAME INFLATION FACTOR TO COME UP
WITH A DHAP ELIGIBILITY. AND THE FINAL NON-VASH ENTRY
WOULD BE FOR THOSE DISASTER ADJUSTMENTS THAT WE TALKED
ABOUT. SO WHEN YOU TAKE THE REGULAR
VOUCHER ELIGIBILITY PLUS THE DHAP PLUS THE DISASTER
ADJUSTMENT, YOU ARRIVE AT THE PHA'S TOTAL NON-VASH RENEWAL
ELIGIBILITY. SO GOING THROUGH ALL THAT, WE'VE
COME UP WITH RENEWAL ELIGIBILITY FOR VSH AND NON-VASH.
WHAT IS LEFT TO DO IS TO PRORATE THEM AND THIS IS WHERE THE
DIFFERENCE COMES IN. YOU SEE LINE 28 THROUGH 30 DEALS
WITH VASH AND THE NEXT THREE WITH NON-VASH.
WE TAKE THE TOTAL VASH RENEWAL ELIGIBILITY, APPLY THE VASH
PRORATION FACTOR TO GET THE RENEWAL FUNDING AND FOR THE
NON-VASH, WE DO THE SAME THING, APPLYING THE NON-VASH PRORATION
FACTOR AND THE REASON THEY'RE DIFFERENT IS VASH IS NOT SUBJECT
TO SEQUESTRATION, SO WE BASED THAT PRORATION FACTOR ON LOOKING
AT THE TOTAL PROGRAM-WIDE EXPENSES NATIONWIDE AND COMPARED
TO THE TOTAL APPROPRIATION BEFORE SEQUESTRATION AND FUND
THE VASH AND THEN THAT COMES OUT OF WHAT IS LEFT TO FUND THE REST
OF YOUR PROGRAM AND THAT'S WHY WE HAVE THE TWO PRORATION
FACTORS. WE TOTAL THE RESULTS ON LINE 34
TO ACHIEVE YOUR 2013 RENEWAL FUNDING, AND YOU SEE THIS
AGENCY, 66�MILLION, AND WE SUBTRACT ANY AMOUNT THAT IS DUE
FROM THE PHA TO HUD TO ARRIVE AT THE FINAL RENEWAL FUNDING THAT
WE WILL BE PROVIDING. THOSE AMOUNTS DUE HUD, THERE'S A
VERY SMALL NUMBER OF PHAs AND THAT JUST MEANS YOU RECEIVED
MORE FUNDS�-- YOU HAD MORE FUNDS OBLIGATED IN 2012 THAN YOU WERE
ENTITLED TO. THAT WOULD HAVE HAPPENED IF, FOR
INSTANCE, YOUR NRA OFFSET EXCEEDED YOUR ELIGIBILITY.
THEREFORE, WE COULD NOT RECOUP THAT ENTIRE OFFSET AND WE'RE
RECOUPING THAT HERE. IT ALSO HAPPENED BECAUSE OF THE
LATENESS THE APPROPRIATION LAST YEAR COUPLED WITH THE OFFSET,
SOME PEOPLE RECEIVED OBLIGATIONS BEFORE WE GOT THE APPROPRIATION
THAT ACTUALLY EXCEEDED THEIR ULTIMATE ELIGIBILITY, SO THOSE
ARE REDUCED HERE. LAST YEAR WE ALSO WENT THROUGH A
PROCESS WITH ABOUT 70 PHAs WHO DID NOT IMMEDIATELY HAVE AT HAND
THE CASH TO SUPPORT THEIR NRA OFFSET.
THOSE AMOUNTS ARE NOT REFLECTED HERE.
THOSE AMOUNTS WILL STILL BE COLLECTED, BUT THEY ARE NOT
BEING COLLECTED AS PART OF THE 2013 ALLOCATION PROCESS.
THAT WILL BE DONE SEPARATELY WITH EACH INDIVIDUAL PHA.
SO THESE ARE JUST EXCESS OBLIGATIONS FROM LAST YEAR
WITHOUT THAT CONSIDERATION. THEN AS WE MENTIONED, WE LOOK
AT, ON LINE 37, WHAT WE'VE ALREADY OBLIGATED AND LINE 38,
THE DIFFERENCE IS WHAT IS REMAINING.
LINE 39 SHOWS WHAT IN A PERFECT WORLD WE WOULD HAVE OBLIGATED,
AND YOU WILL SEE FOR THAT PHA, WE SHOULD HAVE OBLIGATED
33�MILLION. LINE 37 SAYS WE ALREADY
OBLIGATED 34, SO THEY ARE OVER-OBLIGATED, SO THE NEXT TWO
LINES, 40 AND 41, ARE WHERE WE SHOW OVER OR UNDER-OBLIGATIONS
SO BECAUSE THIS PHA HAPPENED TO BE OVER-OBLIGATED, THEY'RE NOT
DUE ANYTHING ELSE THROUGH JUNE AND THE EXCESS OBLIGATIONS ARE
THE 890,000 FIGURE YOU SEE THERE.
WHAT THAT SIMPLY MEANS IS WE'LL OBLIGATE LESS FOR EACH OF THE
REMAINING MONTHS OF THE YEAR SO THAT AT THE END OF THE YEAR, THE
PHA WILL HAVE BEEN OBLIGATED THE EXACT CORRECT AMOUNT THAT WE
HAVE CALCULATED THROUGH THIS ENCLOSURE.
AND THE FINAL TWO LINES JUST SHOW WHAT WE'RE OBLIGATING FOR
EACH MONTH REMAINING IN THE YEAR.
THEN AS I MENTIONED, WE IDENTIFY THE INCREMENTS THAT ARE ELIGIBLE
FOR INFLATION OR ADDITIONAL FIRST-TIME RENEWAL FUNDING, SO
YOU WILL HAVE THAT INFORMATION AND WE PROVIDE ANY SPECIFIC
COMMENTS RELATIVE TO YOUR PHA CONCERNING TRANSFERRED FUNDS OR
OTHER ISSUES. WE RECEIVED A NUMBER OF
QUESTIONS AND ONE OF THEM HAD TO DO WITH THE VASH FUNDING, AND
FROM PRIOR CONVERSATIONS, I KNOW PEOPLE ARE VERY CONCERNED ABOUT
THEIR VASH FUNDING. THE QUESTION THAT WE RECEIVED,
IT WAS FAIRLY COMPLICATED, BUT THE BASIC ESSENCE IS THAT THE
PHA DOES NOT THINK THEY HAVE ENOUGH MONEY TO OPERATE THEIR
VASH VOUCHERS THIS YEAR. LIKE MANY PHAs LAST YEAR, THEIR
VASH VOUCHERS RAN FROM APRIL THROUGH MARCH OF THIS YEAR AND
THEY WERE FUNDED FOR A SPECIFIC AMOUNT AND WHAT IS LEFT WILL NOT
GET THEM THROUGH THE YEAR, AND THEY'RE CONCERNED BECAUSE THEY
LEASED UP GRADUALLY AND NOW THEY ARE FULLY LEASED.
AND I WANT TO JUST KIND OF ADVISE YOU ABOUT THIS AND MAYBE
JUST USING SOME HYPOTHETICAL NUMBERS.
SUPPOSE THIS PHA'S VASH VOUCHERS LAST APRIL WERE FUNDED FOR
$120,000. NICE EASY NUMBER.
AND BY THE END OF THE YEAR, PERHAPS THE PHA HAD SPENT 50,000
OF THAT ON HAP EXPENSES FOR VASH, HAD 70,000 THEY HAD NOT
SPENT. WHAT THAT MEANS IS THAT IN 2013,
THEY STILL HAVE THAT 70,000. THE 50,000 OF EXPENSES THAT
APPEAR IN VMS ARE RENEWED AT A LITTLE OVER 99% PLUS ANY
INFLATION THAT THEY'RE ENTITLED TO, SO THE PHA HAS THE SAME
$120,000, BASICALLY, TO FUND THOSE VOUCHERS THROUGH DECEMBER
AND THEY HAVE�-- IF THEIR COSTS HAVE INCREASED, THEY MAY NEED A
LITTLE BIT MORE, BUT WE PROBABLY WEREN'T FULLY LEASED JANUARY
1st, SO THERE'S STILL A LITTLE BIT OF PLAY IN THERE TO GET
THROUGH THE YEAR. ADDITIONALLY, AS NICK WILL TALK
ABOUT, VASH UNITS ARE ELIGIBLE UNDER THE SET-ASIDE, ALTHOUGH
NOT A HIGH PRIORITY THIS YEAR, BUT IF YOU HAVE ADDITIONAL
COSTS, AND IF THIS IS PART OF THE REASON YOU'RE HAVING A
SHORTFALL, HE WILL EXPLAIN TO YOU HOW COSTS CAN BE COVERED IF
THERE'S GOING TO BE A SHORTFALL DUE TO YOUR VASH VOUCHERS OR ANY
OTHER VOUCHERS. AND THE FINAL CONCERN THAT THIS
PHA RAISED WAS, THEY WERE AFRAID THEY WERE GOING TO HAVE TO GO
INTO THE REGULAR PROGRAM TO SUPPORT THEIR VASH VOUCHERS.
WE JUST WANTED TO REMIND YOU, THE VASH VOUCHERS OF PART OF
YOUR REGULAR PROGRAM. YOU ARE NOT PROHIBITED FROM
USING ALL THE CALCULATED FUNDS FOR NON-VASH VOUCHERS OR ANY
PORTION THEREOF TO SUPPORT YOUR VASH VOUCHERS, SO DO NOT THINK
THAT YOU CANNOT CROSS THAT LINE. THE LINE THAT MUST BE MAINTAINED
IS THAT ORIGINAL VASH FUNDING MUST BE USED FOR VASH, BUT YOUR
ENTIRE PROGRAM IS ELIGIBLE TO SUPPORT THOSE VOUCHERS.
>> BEFORE WE GO FORWARD, THERE'S BEEN A COUPLE OF QUESTIONS ON
VASH VOUCHERS RELATED PARTICULARLY TO PHAs THAT FIND
THEM IN A SHORTFALL POSITION AND WE'VE HAD A NUMBER OF QUESTIONS
SAYING, BECAUSE HUD VASH WAS NOT SUBJECT TO SEQUESTRATION, WHAT
IS HUD'S EXPECTATION OR REQUIREMENT FOR A PHA TO
CONTINUE TO LEASE A HUD VASH VOUCHER?
AND ESSENTIALLY WHAT HUD HAS SAID IS TO THE EXTENT THAT A PHA
HAS A 2012 ALLOCATION OR A NEW ALLOCATION, WE DO EXPECT THE PHA
TO CONTINUE TO LEASE THOSE RECENTLY ALLOCATED HUD VASH
VOUCHES. IF YOU ARE A SHORTFALL PHA,
HOWEVER, WHO HASN'T HAD A RECENT ALLOCATION, THE QUESTION AS TO
WHY ARE YOU NOT REQUIRED OR WHY SHOULD YOU NOT CONTINUE TO LEASE
HUD VASH VOUCHERS, EVEN THOUGH HUD VASH WAS NOT SUBJECT TO THE
SEQUESTRATION, IT'S SORT OF A COMPLICATED ANSWER.
THE REALITY IS ALTHOUGH HUD VASH WAS NOT SUBJECT TO
SEQUESTRATION, WE DON'T HAVE A SEPARATE LINE ITEM FOR HUD VASH
RENEWALS. HUD VASH RENEWALS ARE PART OF
THE OVERALL RENEWAL POT, JUST LIKE ANY OTHER VOUCHER THAT YOU
COULD THINK OF, SO TO THE EXTENT THAT WE DON'T HAVE A SEPARATE
LINE ITEM FOR THOSE RENEWAL COSTS FOR THOSE PHAs, THAT'S
PART OF YOUR REGULAR RENEWAL POT AND TO THE EXTENT THAT YOUR
RENEWALS ARE NOT SUFFICIENT TO SUPPORT THE FAMILIES YOU
CURRENTLY HAVE UNDER LEASE, THERE'S NO EXPECTATION OR
REQUIREMENT, NOR WOULD HUD EXPECT THE PHA TO CONTINUE TO
LEASE ADDITIONAL FAMILIES, AT THE RISK OF THEN HAVING TO
TERMINATE FAMILIES BECAUSE YOU KNOW YOU ALREADY DON'T HAVE THE
COSTS TO COVER THAT. AS BERNICE WAS SAYING, WHERE WE
HAVE AN ALLOCATION THAT WAS EARMARKED SPECIFICALLY FOR HUD
VASH FAMILIES, THAT INITIAL INCREMENT YOU RECEIVED, THAT'S
DIFFERENT. YOU CAN'T USE THAT FUNDING FOR
ANYTHING OTHER THAN TO LEASE HUD VASH, AND SO TO THE EXTENT THAT
YOU HAVEN'T LEASED ESSENTIALLY THE DELTA OF WHATEVER THAT
ALLOCATION WOULD HAVE SUPPORTED FROM THE TIME THAT YOU RECEIVED
IT, OUR EXPECTATION IS THAT YOU DO HAVE FUNDING AVAILABLE UNDER
THAT INITIAL INCREMENT THAT YOU CAN'T USE FOR ANYTHING OTHER
THAN TO LEASE HUD VASH VOUCHERS, AND THEN IN THOSE VERY LIMITED
INSTANCES, OUR EXPECTATION IS YOU WOULD CONTINUE TO LEASE ON
HUD VASH VOUCHERS UP UNTIL YOU'VE REACHED THAT DELTA, THAT
TIPPING POINT WHERE YOU MAXIMIZED THAT PARTICULAR
ALLOCATION. SO I HOPE THAT CLARIFIES THINGS.
WE HAD A LOT OF QUESTIONS FROM PEOPLE SAYING I THOUGHT YOU SAID
THAT HUD VASH WASN'T SUBJECT TO SEQUESTRATION.
THE DIFFICULTY WE HAVE IS WE DON'T HAVE A SEPARATE LINE ITEM
NO HUD VASH RENEWALS, UNLIKE NEW HUD VASH VOUCHERS THAT ARE
COMING IN TO THE PROGRAM FOR THE FIRST TIME.
THANK YOU. >> THANK YOU, MIKE.
ONE MORE THING I WANTED TO MENTION ON THE RENEWAL FUNDING
IS TO REMEMBER THAT WHAT WE HAVE BEEN WALKING THROUGH ARE YOUR
RENEWAL ALLOCATIONS AND THE FUNDS WE'LL OBLIGATE.
THIS HAS NOT BEEN ABOUT DISBURSEMENTS.
IT'S STRICTLY ABOUT YOUR ALLOCATION.
SO THE AMOUNTS THAT YOU SEE ON, YOU KNOW, LINES 42 AND 43 WHERE
WE SHOWED JULY AND THE REST OF THE YEAR, THOSE ARE NOT
NECESSARILY THE AMOUNTS THAT WILL BE DISBURSED.
YOUR DISBURSEMENTS WILL CONTINUE TO BE BASED ON CASH MANAGEMENT.
THESE LINES SHOW WHAT WILL BE OBLIGATED AND YOU'RE ELIGIBLE
FOR DISBURSEMENT FOR UP TO THOSE AMOUNTS FOR THE YEAR, BUT PLEASE
DO NOT LET YOURSELF BECOME CONFUSED, THINKING THAT WHAT
YOU'RE SEEING ON THOSE LINES WILL BE SHOWING UP IN THE BANK
ON THE FIRST OF EACH MONTH BECAUSE THAT IS NOT NECESSARILY
THE CASE. OKAY, I WANT TO TURN OUR
ATTENTION JUST BRIEFLY TO SOME OTHER ELEMENTS OF THE
APPROPRIATION, SPECIFICALLY THE NON-RENEWAL FUNDING.
FUNDING FOR OUR TENANT PROTECTION VOUCHERS AND YOUR MOD
REHAB RENEWALS AS WELL AS YOUR MAINSTREAM UNITS IS SUBJECT TO
THE ACROSS-THE-BOARD REDUCTION AND TO SEQUESTRATION.
AS WE HAD TO DO LAST YEAR, IF HUD DETERMINES THAT WE DO NOT
HAVE SUFFICIENT FUNDS, SUFFICIENT BUDGET AUTHORITY TO
FULLY FUND ALL OF THESE ACTIONS, FUNDING WILL BE PROVIDED FOR
FEWER MONTHS AND THE MISSED MONTHS WILL BE FULLY FUNDED
LATER. IN SOME CASES, THEY MAY BE FULLY
FUNDED YET THIS YEAR IF NEEDS, YOU KNOW, START TO SLOW DOWN, OR
IN OTHER CASES, THEY MAY BE PICKED UP IN THE NEXT RENEWAL AS
WE HAVE JUST DESCRIBED WE'RE DOING THIS YEAR.
AND FUNDING FOR THE NEW VASH AWARDS THAT WILL BE GOING OUT
UNDER 2013, THAT FUNDING IS NOT SUBJECT TO SEQUESTRATION.
IN TERMS OF THE OBLIGATIONS, LET'S KIND OF GET UP TO DATE
WITH WHERE WE ARE ON THAT, JANUARY THROUGH APRIL, WE
OBLIGATED BASED UPON OUR PROJECTED PRORATION OF WHAT WE
THOUGHT YOU WOULD BE ELIGIBLE FOR IN 2013, AND THAT WAS BEFORE
THE DISCUSSION ON SEQUESTRATION. MAY AND JUNE WILL ALSO BASED ON
YOUR PROJECTED PRORATION, BUT AT THIS POINT, WE WERE ABLE TO
START INCLUDING EXPECTATIONS OF SEQUESTRATION.
AND IN BOTH CASES, THAT ESTIMATED ELIGIBILITY WAS
CALCULATED USING THE LATEST CALENDAR YEAR 2012 ACTUAL
VALIDATED HAP COSTS FROM VMS THAT WE HAD, AND THEN AN
INFLATED VALUE FOR THE REMAINING MONTHS OF THE YEAR WITHOUT
ADJUSTMENT FOR NEW UNITS AND WITHOUT ANY ESTIMATED INFLATION
GOING FORWARD. SO THOSE WERE ALL BEST ESTIMATES
AT THE TIME. DISBURSEMENTS YEAR TO DATE HAVE
BEEN BASED THROUGHOUT ON THE CASH MANAGEMENT REQUIREMENTS
THAT WERE ORIGINALLY SET FORTH IN PIH 2011-67, AND AGAIN,
JANUARY THROUGH MARCH, THAT WAS BASED ON LAST JULY THROUGH
SEPTEMBER PLUS THE MARGIN LIMITED TO WHAT WAS OBLIGATED
AND AT THAT TIME, WE ALSO DID MAKE REDUCTIONS IF A PHA HAD
EXCESS DISBURSEMENTS THROUGH THE THIRD QUARTER OF LAST YEAR.
AND THEN APRIL THROUGH JUNE WE BASED ON THE AVERAGE COST FOR
OCTOBER THROUGH DECEMBER PLUS THE MARGIN.
IN ALL CASES, LIMITED TO WHAT HAVE BEEN OBLIGATED.
NOW, WE DID TAKE STEPS TO MAKE SURE THAT PHAs, WHEREVER
POSSIBLE, HAD THE COSTS TO OPERATE THE PROGRAM AND THAT WAS
SUCCESSFUL. WHAT WE PROVIDED IN ADDITION TO
WHAT WAS CALCULATED, IF THE PHA NEEDED IT, WAS ANY UNDISBURSED
BUDGET AUTHORITY FROM LAST YEAR, FROM 2012, AND ANY THAT HAD NOT
BEEN DISBURSED FOR THIS YEAR IF THE PHA NEEDED IT.
WE ASSUMED THAT THEY WOULD USE THEIR NRA OR THEIR CASH IF IT
WAS LESS THAN THE NRA, AND WE HAVE CONTINUED TO PROVIDE FRONT
LOADS AGAINST THE ULTIMATE 2013 ELIGIBILITY WHERE THESE OTHER
SOURCES WERE NOT SUFFICIENT. FOR THE REMAINDER OF THE YEAR,
PHAs MUST STILL ASSESS THE LEVEL OF THE PROGRAM THAT THEY CAN
SUPPORT AND NOW HAVING YOUR ACTUAL ALLOCATIONS IN HAND, YOU
ARE IN A GOOD POSITION TO DETERMINE THAT BASED UPON THE
FUNDING AVAILABLE, YOUR ACTUAL EXPENSES TO DATE, AND WHAT YOU
PROJECT WILL BE YOUR EXPENSES FOR THE BALANCE OF THE YEAR.
WE WILL CONTINUE TO DISBURSE PER CASH MANAGEMENT AND WE WILL
CONTINUE TO MAKE FRONTLOADING AVAILABLE UP TO THE TOTAL BUDGET
AUTHORITY AVAILABLE AND OBLIGATED FOR YOUR PHA.
AND REMEMBER WHEN YOU ARE ASSESSING WHAT YOU CAN SUPPORT,
REMEMBER WHAT WE HAVE TALKED ABOUT AND WHAT IS ON THAT
ENCLOSURE THAT WE SENT YOU IS ONLY YOUR RENEWAL FUNDING.
BE SURE TO BRING IN ANY FUNDS FROM PRIOR INCREMENTS THAT WERE
RUN INTO 2013, AND ONCE YOU GET A SET-ASIDE AWARD, IF THAT DOES
HAPPEN, BE SURE TO BRING THAT IN TO YOUR ASSESSMENT TO SEE WHAT
YOU CAN TRULY AFFORD TO DO. NOW, WE'VE TALKED A LOT ABOUT
THE IMPACT OF THE SEQUESTRATION AND NOW WE'VE TALKED ABOUT THE
VASH, SO IT'S APPROPRIATE AT THIS TIME THAT WE TURN OUR
ATTENTION TO THE 2013 SET-ASIDE TO SEE HOW THAT CAN BE USEFUL TO
HELP WITH YOUR PROGRAM TO MAINTAIN YOUR LEVEL OF SUPPORT
AND IDEALLY TO ENSURE THE NUMBER ONE GOAL, THAT WE DO NOT
DISPLACE PARTICIPANTS IN THE PROGRAM.
FOR THIS CONVERSATION, I'M GOING TO TURN YOU OVER TO MY COLLEAGUE
NICK TO TALK ABOUT THE SET-ASIDE.
>> THANK YOU, BERNICE. THE 2013 HAP SET-ASIDE, LIKE
LAST YEAR, AS WE'RE OPERATING UNDER A CONTINUING RESOLUTION,
THERE'S 103�MILLION AVAILABLE FOR THE HAP SET-ASIDE.
THE APPLICATION DEADLINE FOR ALL CATEGORIES IS JUNE 24th, 2013.
ONE CHANGE THIS YEAR FROM PREVIOUS YEARS IS THAT WE WILL
ACCEPT EMAIL APPLICATIONS. THE SPECIFIC INSTRUCTIONS FOR
THAT ARE IN THE PIH NOTICE AS TO THE EMAIL ADDRESS AND WHAT WE
WANT ON IT WHEN YOU SUBMIT IT. CATEGORY ONE APPLICATIONS
RECEIVE PRIORITY FOR FUNDING. ONE THING YOU WILL NOTICE ABOUT
THE SET-ASIDE THIS YEAR AS OPPOSED TO LAST YEAR, THERE'S NO
LONGER A CATEGORY FOR THOSE DHAP AND DVP VOUCHERS.
THIS YEAR UNDER THE SET-ASIDE THERE'S A CATEGORY ONE
APPLICATION CATEGORY FOR SHORTFALL AGENCIES.
CATEGORY ONE APPLICATIONS CAN BE SUBMITTED AFTER THAT JUNE 24th
DEADLINE, BUT THOSE REQUESTS WILL BE FUNDED ON A
FIRST-COME/FIRST-SERVED BASIS. AND THEN IMPORTANT TO KEEP IN
MIND WITH THE DEADLINE, THAT DEADLINE IS FOR HUD TO RECEIVE
YOUR APPLICATION FOR ALL THE CATEGORIES, NOT FOR YOU TO SEND
IT. SO IF YOU'RE USING SOMETHING�--
IF YOU'RE NOT GOING TO SEND BY EMAIL AND YOU'RE GOING TO SEND
SOMETHING THAT'S NONGUARANTEED RECEIPT DATE, YOU MAY COME AFTER
THAT DATE AND NOT BE ELIGIBLE, SO IF YOU USE ONE OF THOSE
GUARANTEED RECEIPT DATE, FED EX OR UPS, THEN WE'LL BE ABLE TO
MAKE SURE THAT IT GETS IN BEFORE THE DEADLINE AND YOU WILL BE
CONSIDERED FOR FUNDING. PHAs CAN SUBMIT CATEGORY ONE
APPLICATIONS BY THE DEADLINE, CAN EXPECT A PRELIMINARY
RESPONSE AND COMMITMENT BY JULY 24th.
ANOTHER THING TO KEEP IN MIND WITH SUBMITTING YOUR
APPLICATIONS, PLEASE SUBMIT ONLY BY EMAIL OR MAIL.
DON'T EMAIL IT AND MAIL IT. WE'D LIKE TO MINIMIZE THE AMOUNT
OF PAPERWORK INVOLVED. IF YOU NEED TO CHECK WHETHEREE
RECEIVED YOUR APPLICATION�-- WE RECEIVED YOUR APPLICATION, JUST
CONTACT US THROUGH EMAIL. CATEGORIES TWO THROUGH FOUR ARE
FAMILIAR CATEGORIES FOR YOU. THEY WON'T BE CONSIDERED UNTIL
AFTER THE CATEGORY ONE APPLICATIONS THAT ARE RECEIVED
BY JUNE 24th ARE REVIEWED AND ELIGIBLE PHAs ARE FUNDED, AND
THEN WE'LL BE ABLE TO USE WHATEVER REMAINING FUNDS TO FUND
THOSE OTHER CATEGORIES. AND YOU CAN GET FURTHER DETAILS
ON THOSE, THE APPLICATION REQUIREMENTS IN THE
IMPLEMENTATION NOTICE, WHICH IS PIH 2013-12.
FOR THE CATEGORY ONE OF SHORTFALL, THE PURPOSE IS TO
PREVENT THE LOSS OF FAMILIES, TERMINATION OF ASSISTANCE WHEN
THE PHA HAS TAKEN ALL REASONABLE COST CONTAINMENT STEPS BUT IS
STILL EXPECTED TO HAVE A SHORTFALL IN CALENDAR YEAR 2013.
WE'RE GOING TO CALCULATE THE PROJECTED SHORTFALL BASED ON THE
TWO-YEAR FORECASTING TOOL WHICH WILL COMPARE THE RESOURCES
AVAILABLE FOR HAP COSTS TO THE ACTUAL HAP EXPENSES PROJECTED
FOR THE YEAR, AND THERE'S A LINK TO THAT�-- TO YOUR FORECASTING
TOOL IN THE NOTICE. WE USE THAT TOOL, RESOURCES WE
CONSIDER IN DETERMINING WHETHER YOUR PHA HAS A SHORTFALL INCLUDE
YOUR NRA AS OF THE END OF 2012, AS OF 12/31/2012, HUD-HELD
RESERVES AS OF THAT DATE, CALENDAR YEAR 2013 RENEWAL
BUDGET AUTHORITY, CALENDAR 2013 PORTION OF ANY INCREMENTAL
VOUCHER AWARDS AND YOUR CALENDAR YEAR 2013 SET-ASIDE PROJECTED OR
ACTUAL. WHEN WE CALCULATE THE EXPENSES
TO DETERMINE IF YOU HAVE A SHORTFALL, WE LOOK AT CURRENT
LEASING EXPENSE DATA PROJECTED THROUGH THE END OF THE YEAR THAT
THE PHA SUSPENDED VOUCHER ISSUANCE AS OF MARCH 31st, 2013,
AND THE PROJECTED ATTRITION RATE BASED ON ACTUAL ATTRITION FOR
THE LAST 12 MONTHS AS WE EXTRACT THIS DATA FROM PIC.
PHAs MUST SEND IN THIS ATTACHMENT ONE, WHICH IS
INCLUDED�-- ATTACHMENT A THAT'S INCLUDED IN THE NOTICE AND THIS
HAS TO CERTIFY THAT AT THE TIME OF THE APPLICATION, THE PHA MUST
BE WORKING WITH THE SHORTFALL PREVENTION TEAM AND MUST BE IN A
CONFIRMED SHORTFALL POSITION PER THE SHORTFALL PREVENTION TEAM.
IF YOUR PHA RIGHT NOW IS PROJECTING THAT THEY WILL HAVE A
SHORTFALL AND YOU HAVEN'T BEEN WORKING WITH THE PREVENTION
TEAM, YOU SHOULD REACH OUT TO YOUR LOCAL FIELD OFFICE AND
START TO GET IN TOUCH WITH THE SHORTFALL PREVENTION TEAM TO SEE
WHAT YOU CAN DO TO MITIGATE THE IMPACTS OF SEQUESTRATION.
IN ADDITION TO THE FIRST CERTIFICATION, YOU MUST HAVE
STOPPED ISSUING VOUCHERS EXCEPT FOR NEW AWARDS, MOVERS AND
HOMELESS VETERANS UNDER A NEW ALLOCATION.
ADDITIONALLY, A PHA MUST HAVE RESCINDED ANY OUTSTANDING
VOUCHERS AS OF HUD'S APRIL 26th LETTER EXCEPT FOR THE EXCEPTIONS
MENTIONED ABOVE. YOUR PHA MUST HAVE STOPPED OR
IMMEDIATELY STOPPED ABSORBING PORTABLE VOUCHERS AND YOUR PHA
MAY NOT ISSUE A VOUCHER TO A RESIDENT OF A PROJECT-BASED UNIT
WHO WANTS TO MOVE BUT PROJECT-BASED UNITS CAN BE�--
SHOULD BE REFILLED FROM THE WAITING LIST.
FACTORS HUD WILL CONSIDER IN DETERMINING THE SHORTFALL, AS WE
MENTIONED, THE NRA BALANCE FOR 12/31/2012, OR LESS IF A CHANGE
IS CONFIRMED, THE HUD-HELD RESERVE BALANCE DETERMINED BY
HUD, THE RENEWAL B.A. AS DETERMINED BY HUD, CALENDAR YEAR
2013 INCREMENTAL AND SET-ASIDE FUNDS AS DETERMINED BY HUD, AND
UNIT MONTHS LEASED, THE LATEST ACTUAL AMOUNT THAT WE SHOW IN
VMS PROJECTED THROUGH 2013 USING YOUR ACTUAL ATTRITION AND YOUR
ALLOWED NEW LEASING. HAP EXPENSES BASED ON UMLs AND
LATEST AVERAGE PER UNIT COSTS FOR VMS, PLAN CHANGES IN
LEASING, AND YEAR END BALANCE, PHAs WILL A PROJECTED YEAR-END
NRA AND RESERVE BALANCE WILL BE DEEMED ELIGIBLE FOR FUNDING.
PHAs MAY APPLY FOR SHORTFALL SET-ASIDE MORE THAN ONCE IF YOUR
SITUATION CHANGES LATER IN THE YEAR.
IT'S IMPERATIVE THAT YOU SUBMIT A COMPLETE AND EXECUTED
ATTACHMENT A FROM THE NOTICE FOR EACH REQUEST.
THE REST OF THE CATEGORIES ARE FAMILIAR CATEGORIES WE HAD IN
PAST YEARS. CATEGORY 2-A, UNFORESEEN
CIRCUMSTANCES, THIS IS FOR CIRCUMSTANCES THAT HAVE OCCURRED
DURING OR AFTER THE REBENCHMARKING PERIOD AND HAVE
BEEN OUT OF THE CONTROL OF THE PHA AND MUST HAVE CAUSED AN
INCREASE IN RENEWAL COSTS. FOR EXAMPLE, IF THERE'S
SIGNIFICANT INCREASE IN RENEWAL COSTS DUE TO AN UNFORESEEN RISE
IN RENTAL COSTS BEYOND THE ANNUAL ADJUSTMENT FACTOR, YOU
HAVE TO SHOW EVIDENCE OF THESE INCREASED RENTAL COSTS AND A
CALCULATION OF THE INCREASED COST.
ANOTHER EXAMPLE IS INCREASE IN HAP COSTS WHEN COMPARED TO THE
FUNDED RATE DUE TO ECONOMIC CONDITIONS, TENANTS LOSING THEIR
JOBS AND A DECREASED AVERAGE TOTAL TENANT PAYMENT.
ANOTHER EXAMPLE IS A DISASTER THAT PERHAPS CAUSES AN INCREASE
IN THE NUMBER OF�-- OR IN THE COSTS OF RENTS IN THE AREA.
THAT'S AN ADDITIONAL UNFORESEEN CIRCUMSTANCE THAT CAN BE FUNDED.
HOWEVER, IT'S IMPORTANT THAT YOU DOCUMENT THE EVENT AND THE
RESULTS. AGAIN, THE EVENT MUST BE
UNFORESEEN. SOMETHING LIKE MISMANAGEMENT OR
SOME OTHER ITEM THAT'S IN THE CONTROL OF YOUR PHA IS NOT
SOMETHING THAT WE FUND UNDER THE CATEGORY.
IT'S VERY IMPORTANT THAT YOU SUBMIT THE CALCULATION OF NEED,
WHAT YOU'VE DETERMINED THESE UNFORESEEN CIRCUMSTANCES WILL
COST. YOU MUST SUBMIT A COMPLETED AND
SIGNED ATTACHMENT B FROM THE NOTICE, INCLUDING WHAT
CATEGORIES YOU'RE GOING TO APPLY FOR.
ANOTHER CATEGORY FROM PAST YEARS THAT YOU'VE SEEN IS PORTABILITY.
YOUR PHA, TO QUALIFY FOR THIS, MUST HAVE HAD A SIGNIFICANT
INCREASE IN RENEWAL COSTS DUE TO THE TENANT-BASED PORTABILITY
DURING THE REBENCHMARKING PERIOD.
PHA WILL BE ELIGIBLE FOR THE DIFFERENCE BETWEEN THE AVERAGE
PORTABLE HAP PUC AND 110% OF THE PHA'S AVERAGE PUC FOR EACH UNIT
MONTH THAT PORTABLE COSTS WERE PAID IN CALENDAR YEAR 2012.
ALL CALCULATIONS ARE GOING TO BE PERFORMED BY HUD BASED ON VMS
DATA. THERE'S NO NEED TO SUBMIT ANY
DOCUMENTATION WITH THIS. WE'RE NOT GOING TO LOOK AT ANY
DOCUMENTATION FOR THIS, SO JUST SUBMIT THE COMPLETED AND SIGNED
ATTACHMENT B FROM THE NOTICE. NOW, IF YOU'RE APPLYING FOR
MULTIPLE CATEGORIES UNDER THIS ATTACHMENT B, JUST SEND ONE
ATTACHMENT B THAT LISTS ALL THE CATEGORIES YOU'RE APPLYING FOR.
CATEGORY 3 IS PROJECT-BASED PROJECTS.
THESE VOUCHERS MUST HAVE BEEN WITHHELD FROM USE DURING
CALENDAR YEAR 2012 IN ORDER TO MAKE�-- MEET A PROJECT-BASED
COMMITMENT UNDER SECTION 8013. THIS APPLIES ONLY TO NEW
CONSTRUCTION AND SUBSTANTIAL REHABILITATION UNITS.
DON'T APPLY WITH AN EXISTING UNIT BECAUSE IT WON'T BE
CONSIDERED FOR FUNDING. VOUCHERS WILL BE FUNDED TO THE
EXTENT THAT WHEN ADDED TO RENEWAL VOUCHERS, THEY DO NOT
EXCEED THE PHA'S BASELINE. AGAIN, AS WITH OTHER CATEGORIES,
YOU HAVE TO SUBMIT A COMPLETED AND SIGNED ATTACHMENT B BEFORE
JUNE 24th AT 5:00�P.M. EASTERN. IN ADDITION TO THIS, YOU MUST
SUBMIT A COMPLETED ATTACHMENT C, VOUCHERS WITHHELD FROM LEASING,
AND D, PROJECT INFORMATION FOR EACH PROJECT-BASED COMMITMENT.
PHA HAS TO SUBMIT IDENTIFIED SECTIONS OF THE EXECUTED AHAP
AND HAP CONTRACT IF CUTED AND IF THE�-- IF EXECUTED, AND IF THE
HAP CONTRACT HAS NOT BEEN EXECUTED, PLEASE INCLUDE A
STATEMENT THAT THE HAP CONTRACT HAS NOT BEEN EXECUTED YET.
CATEGORY 4 IS HUD VASH. AND THE WAY THIS WILL BE FUNDED
IS THE PHA'S PROGRAM-WIDE PUC FOR CALENDAR YEAR 2013 MUST BE
LESS THAN THE ACTUAL AVERAGE PUC FOR VASH VOUCHERS PER THE PHA'S
REPORTING IN VMS. WHEN YOUS A MY FOR THIS
CATEGORY�-- APPLY FOR THIS CATEGORY, YOU MUST PROVIDE
ACTUAL VASH COSTS AND LEASING AND A CALCULATION OF YOUR
ESTIMATED FUNDING NEEDED. ALL THESE CATEGORIES ARE SUBJECT
TO PRORATION BASED ON FUNDS AVAILABLE.
AS WE MENTIONED BEFORE, CATEGORY ONE FOR SHORTFALLS IS GOING TO
BE A PRIORITY, SO IF THERE IS NO FURTHER FUNDING AFTER CATEGORY
ONE IS FUNDED, THEN WE WON'T BE ABLE TO FUND THESE CATEGORIES.
IF A SUBSTANTIAL PART IS TAKEN, THEY COULD TAKE A SIGNIFICANT
PRORATION. NEXT, WE'RE GOING TO GO BACK TO
BERNICE AND SHE IS GOING TO DISCUSS THE ADMINISTRATIVE FEES
FOR 2013. >> BEFORE WE LEAVE THE
SET-ASIDE, I JUST WANT TO MAKE A COUPLE OF QUICK POINTS RELATED
TO CATEGORY ONE, WHICH IS THE CATEGORY FOR THE PREVENTION OF
TERMINATIONS DUE TO INSUFFICIENT FUNDING AFTER THE PHA HAS TAKEN
REASONABLE COST SAVINGS MEASURES, AND IN TERMS OF WHAT
THOSE REASONABLE COST SAVINGS MEASURES ARE, WHAT IS REQUIRED
IN ORDER FOR A PHA TO QUALIFY FOR SET-ASIDE FUNDING IS NOT ALL
OF THE POTENTIAL COST SAVINGS MEASURES THAT A PHA COULD
POTENTIALLY TAKE. THERE'S A WHOLE NOTICE THAT GOES
THROUGH A LAUNDRY LIST OF COST SAVING MEASURES WHICH INCLUDE
THINGS SUCH AS INCREASING THE MINIMUM RENT THAT FAMILIES PAY
OR REQUESTING A PAYMENT STANDARD REDUCTION WAIVER THAT YOU CAN
IMPLEMENT IMMEDIATELY, SO THOSE ACTIONS ARE NOT REQUIRED BY THE
PHA FOR THEM TO QUALIFY FOR SET-ASIDE FUNDING.
THE LIST THAT YOU SEE IN THE NOTICE, THE LIST THAT WAS IN THE
APRIL LETTER, THE APRIL 26th LETTER, IS THE REQUIRED STEPS
THAT A PHA HAS TO TAKE IN ORDER TO QUALIFY FOR SET-ASIDE
FUNDING. THAT ISN'T TO PRECLUDE OR KEEP A
PHA FROM IMPLEMENTING ADDITIONAL COST SAVINGS MEASURES, BUT
ESSENTIALLY, THE COST SAVINGS MEASURES THAT YOU AS A PHA WOULD
BE CERTIFYING TO TO QUALIFY FOR THE CATEGORY ONE FUNDING UNDER
THE SET-ASIDE ARE THOSE SPECIFIC MEASURES THAT ARE LISTED IN THE
NOTICE. SO I JUST WANTED TO MAKE SURE
THAT WAS CLEAR TO EVERYBODY. THE OTHER QUESTION THAT WE OFTEN
GUESS RELATED TO USE OF THE SET-ASIDE HAS TO DO WITH THE
PAYMENT STANDARD REDUCTION WAIVERS, AND WE'VE GOTTEN
PROBABLY ABOUT 20 TO 25 REQUESTS TO DATE FROM PHAs REQUESTING THE
AUTHORITY TO IMMEDIATELY IMPLEMENT REDUCTIONS THEY HAVE
MADE IN THEIR PAYMENT STANDARDS TO FAMILIES UNDER HAP CONTRACT
IN ORDER TO GENERATE THE SAVINGS TO PREVENT THE TERMINATIONS OF
FAMILIES LATER IN THE YEAR, AND IN THE PAST, HUD HAS GRANTED
THOSE PAYMENT STANDARD REDUCTION REQUESTS.
WE HAVE NOT BEEN GRANTING THEM TO DATE BECAUSE OF THE SET-ASIDE
AND THE AVAILABILITY OF THE SET-ASIDE.
IT ISN'T CLEAR YET WHETHER WE WOULD HAVE SUFFICIENT FUNDING TO
PREVENT TERMINATIONS WITHOUT ESSENTIALLY REMOVING WHAT IS A
TENANT PROTECTION THAT'S PLACED IN THE REGULATION, AND THE
JUSTIFICATION FOR THOSE WAIVERS IS BECAUSE EVEN THOUGH YOU'RE
TAKING AWAY ESSENTIALLY A TENANT PROTECTION, YOU'RE PROVIDING�--
OR YOU'RE PREVENTING GREATER HARM ON THE FAMILY, WHICH IS TO
SAY IF WE DIDN'T DO THIS, THE FAMILY WOULD BE TERMINATED.
THE PROBLEM THAT HUD HAS BEEN WRESTLING WITH THE TO THE EXTENT
THAT THE SET-ASIDE FUNDING WOULD PREVENT TERMINATIONS WITHOUT
IMPOSING THAT HARDSHIP ON FAMILIES, IT REALLY ISN'T
SOMETHING THAT WE WOULD WANT TO IMPOSE ON FAMILIES PRIOR TO
KNOWING WHETHER OR NOT A TRUE SHORTFALL EXISTS.
IT IS ENTIRELY POSSIBLE WE MAY FIND THAT WE'LL HAVE TO START
ACCEPTING PAYMENT STANDARD REDUCTION REQUESTS AND AND
PROVING THOSE WAIVERS AGAIN IF THE 100�MILLION IS NOT
SUFFICIENT TO PREVENT TERMINATIONS, BUT AT THIS POINT
IN TIME, THAT'S WHY WE'VE BEEN HOLDING THOSE REQUESTS AND
HAVEN'T BEEN ACTING ON THEM. SO AGAIN, IN TERMS OF TO QUALIFY
FOR THE SET-ASIDE FUNDING, WHAT ARE THE COST SAVINGS MEASURES I
HAVE TO TAKE? THOSE ARE LISTED FOR YOU IN THE
NOTICE. THERE ARE ADDITIONAL COST
SAVINGS MEASURES THAT YOU AS A PHA COULD STILL IMPLEMENT.
THERE'S NOTHING TO PREVENT YOU FROM DOING THAT, BUT THAT'S THE
ONES THAT WE'RE LOOKING FOR AND THAT WE ARE EXPECTING A PHA HAS
TAKEN AS A REASONABLE COST SAVINGS MEASURE LISTED IN THAT
NOTICE. >> THANK YOU.
>> GENTLEMEN, I'M A PHA AND I HAVE A QUESTION FOR YOU.
I DID NOT FORESEE THAT HUD WAS GOING TO PRORATE ME SO LOW THIS
YEAR. IS THAT AN UNFORESEEN
CIRCUMSTANCE AND WILL YOU GIVE ME SET-ASIDE FUNDS FOR?
>> DO YOU WANT TO TAKE THAT ONE? >> YEAH, WE'LL SAY THAT THAT'S
NOT AN UNFORESEEN CIRCUMSTANCE BECAUSE IT AFFECTS 100% OF THE
HOUSING AUTHORITIES ACROSS THE NATION.
THIS IS NOT JUST SOMETHING THAT HAPPENED TO THIS�-- TO A
SPECIFIC HOUSING AUTHORITY. CONGRESSMAN DATED IT, SO IT IS
AFFECTING EVERY SINGLE HOUSING AUTHORITY THAT IS ADMINISTERING
THE HOUSING CHOICE VOUCHER PROGRAM, SO I'LL SAY THAT WILL
WOULD THE BE CONSIDERED AS AN UNFORESEEN CIRCUMSTANCE�-- NOT
BE CONSIDERED AS AN UNFORESEEN CIRCUMSTANCE.
>> SO WE DON'T WANT 2400 REQUESTS FOR UNFORESEEN
CIRCUMSTANCES DUE TO PRORATION. THAT WOULD DEFEAT THE PURPOSE.
>> THAT'S A GOOD QUESTION. THANK YOU, BERNICE.
>> I'M SURE PEOPLE WOULD HAVE THAT QUESTION, SO I WANTED TO
SKIT. NOW WE WANT TO TAKE JUST A FEW
MINUTES AND TALK ABOUT ADMINISTRATIVE FEES, A VERY
IMPORTANT SUBJECT. AS YOU'RE AWARE, ADMINISTRATIVE
FEE FUNDS ARE ADVANCED MONTHLY BASED ON YOUR LATEST KNOWN
ACTUAL ELIGIBILITY AND AN ESTIMATED PRORATION FACTOR THAT
WE THINK WOULD APPLY FOR THAT MONTH.
DUE TO THE YEAR-LONG CR AND THE SEQUESTRATION ISSUE, ADMIN FEE
PAYMENTS FOR 2013, WHICH WE WILL RECONCILE QUARTERLY, WE EXPECT
THAT THOSE RECONCILIATIONS WILL CENTER AT ABOUT 69% OF YOUR
CALCULATED ELIGIBILITY. WE RECEIVED A VERY INTERESTING
QUESTION ABOUT THAT. SOMEONE ASKED IF WE APPLIED THE
CASH MANAGEMENT PROCEDURES TO YOUR ADMINISTRATIVE FEES, WOULD
THAT ENABLE US TO INCREASE THE PRORATION.
AND IT REALLY WOULDN'T BECAUSE CASH MANAGEMENT DOESN'T RELATE
TO ELIGIBILITY. IT RELATES TO HOW MUCH IS BEING
ADVANCED TO YOU AND TO USE THE CASH MANAGEMENT APPROACH WOULD
NOT CHANGE ANY PHA'S ELIGIBILITY FOR THEIR FEES.
BUT THANK YOU FOR THINKING OUTSIDE THE BOX AND TRYING TO
COME UP WITH A SOLUTION. IF YOUR COSTS CANNOT BE
SUPPORTED BY YOUR FEES DUE TO THE LOWER PRORATION, YOU KNOW,
DUE TO ANY ISSUES WITH LEASING THAT MAY HAVE COSTS, YOU WILL
NEED TO TAKE ACTION, ESPECIALLY IF YOU DO NOT HAVE UNRESTRICTED
NET ASSETS TO SUPPORT YOUR ONGOING COSTS.
WE'D REFER YOU TO NOTICE 2012-15 WHICH DISCUSSES A WHOLE RANGE OF
ADMINISTRATIVE PRACTICES THAT A PHA CAN TAKE TO REDUCE ITS
COSTS. AND WE MUST REMIND YOU THAT HAP
FUNDS MAY NOT BE USED TO SUPPORT ADMINISTRATIVE COSTS NOR FOR ANY
OTHER PURPOSE. THE CALENDAR YEAR 2013 ADMIN FEE
SCHEDULES HAVE BEEN POSTED TO THE HOUSING CHOICE VOUCHER
PROGRAM WEBSITE FOR YOUR USE AND, AGAIN THIS YEAR, IT'S THE
CALCULATED RATES BASED PONT ECONOMIC FACTORS USED�-- UPON
THE ECONOMIC FACTORS USED FOR THE AREAS IN WHICH YOU OPERATE
HAVE ACTUALLY DECREASED, WE'VE HELD YOU HARMLESS TO THE 2012
RATE AND THAT IS WHAT IS POSTED. SO IF YOU SEE THAT YOUR RATE HAS
NOT CHANGED, IT'S PROBABLY BECAUSE IT WAS CALCULATED TO GO
DOWN AND WE HAVE FROZEN IT. PHA REQUESTS FOR HIGHER FEES FOR
THOSE WHO WERE ELIGIBLE DUE TO THEIR AREAS OF OPERATION OR FOR
BLENDED FEE RATES WERE DUE BY APRIL 30th AND WE DID RECEIVE A
SIGNIFICANT NUMBER OF THOSE. WE ANTICIPATE THAT PHAs SHOULD
RECEIVE RESPONSES BY THE MIDDLE OR THE END OF JUNE.
AND, OF COURSE, NO MATTER WHEN YOUR RESPONSE IS RECEIVED, IF WE
HAVE APPROVED A HIGHER RATE OR A BLENDED FEE RATE, IT DOES APPLY
FOR THE ENTIRE CALENDAR YEAR. OKAY?
AND WE'LL GET THAT TO YOU AS QUICKLY AS POSSIBLE.
WE ALSO DO HAVE AN ADMIN FEE SET-ASIDE THIS YEAR AND IT WILL
BE USED FOR VERY SPECIFIC PURPOSES, SOME OF WHICH ARE NEW.
THE ONES THAT ARE NOT NEW BUT SLIGHTLY CHANGED WILL BE
PROVIDING $200 FOR EACH COMPLETED HOME OWNERSHIP CLOSING
THAT YOU ACCOMPLISH, AND WILL BE PROVIDING $200 PER VOUCHER FOR
OCCUPIED MULTIFAMILY UNITS AT THE POINT OF CONVERSION TO
TENANT-BASED VOUCHERS, AND THAT WILL BE BASED ONLY ON OCCUPIED
UNITS AT THIS TIME. WE ALSO, AS A NEW FEATURE, ARE
PLANNING TO PROVIDE SPECIAL FEES FOR THOSE PHAs THAT ADMINISTER
PORTABLE VOUCHERS THAT REPRESENT A SIGNIFICANT PORTION OF THEIR
INVENTORY. NOW, WE HAVE NOT COMPLETED AND
VETTED WHAT THOSE PROCEDURES AND WHAT THE ELIGIBILITY CRITERIA
WOULD BE. THAT INFORMATION WILL BE COMING
TO YOU IN THE NEAR FUTURE, BUT WHAT WE'RE LOOKING AT IS THOSE
AGENCIES WHO�-- A SIGNIFICANT PORTION OF THEIR WORK IS
PORTABLE VOUCHERS FOR WHICH THEY RECEIVE, YOU KNOW, A LOWER FEE
RATE AND WE WANT TO SUPPORT THAT BECAUSE WE WANT TO SUPPORT THE
PORTABLE VOUCHER EFFORTS. AND FINALLY, ANOTHER NEW FEATURE
IS THE DISASTER FEE ADJUSTMENTS FOR THOSE PHAs THAT WERE
AFFECTED BY A DECLARED NATURAL DISASTER IN FEDERAL FISCAL YEAR
2013, WILL ALSO BE MADE IF THEIR FEE ELIGIBILITY HAS BEEN
NEGATIVELY IMPACTED AS A RESULT OF LEASING LOSS BECAUSE OF THAT
DISASTER OR LEASING REDUCED FOR THAT REASON.
AND THAT WILL BE DEALT WITH THOSE AGENCIES WHO HAVE
QUALIFIED UNDER THAT PURPOSE. A FEW OTHER PROGRAM REQUIREMENTS
THAT WE WOULD BE REMISS IF WE DID NOT MENTION.
HAP FUNDS AND NRA FUNDS THAT YOU ARE STILL HOLDING MAY NOT BE
TRANSFERRED TO ANY OTHER PROGRAM COMPONENT ANYWHERE ELSE IN OR
OUTSIDE YOUR HOUSING AUTHORITY AND MAY NOT BE USED FOR ANY
PURPOSE BEYOND THE ELIGIBLE HAP EXPENSES FOR YOUR BASELINE
NUMBER OF VOUCHER UNIT MONTHS, PERIOD, AMEN.
THERE'S NO OTHER ELIGIBLE USE FOR YOUR HAP FUNDS OR THE NRA
THAT EMANATES FROM YOUR HAP FUNDS, AND I THINK AS WE
MENTIONED, PHAs OTHER THAN MTW AGENCIES, MAY NOT USE
APPROPRIATED HAP FUNDS TO LEASE IN EXCESS OF THEIR BASELINE AND
FOR MTW AGENCIES THAT DO LEASE IN EXCESS OF THEIR BASELINE, WE
DO NOT FUND IN EXCESS OF BASELINE IN ANY EVENT, BUT THEY
HAVE SOME FLEXIBILITIES THAT MAY ENABLE THEM TO INCREASE LEASING.
HUD DOES STILL INTEND THIS YEAR TO RECOUP ALL THE REMAINING NRA
FUNDS INTO THE HUD-HELD RESERVES.
WE WILL BE PUTTING OUT PROCEDURES AND REQUIREMENTS
CONCERNING THAT, SO YOU WILL, AS WE'VE REMINDED YOU IN THE PAST,
MAKE SURE THAT WHAT IS SUPPOSED TO BE IN YOUR NRA ACCOUNT IS
ACTUALLY AVAILABLE IN CASH OR LIQUID INVESTMENTS FOR THAT
PURPOSE. AND PHAs ARE RESPONSIBLE FOR
THEIR ACCURATE REPORTING TO ALL HUD SYSTEMS, SPECIFICALLY FOR
PURPOSES OF THIS CONVERSATION, VMS AND FAS AND THERE ARE
SANCTIONS AVAILABLE IF PHAs DO NOT REPORT BECAUSE THAT
INFORMATION IS REQUIRED AND NEEDED FOR A VARIETY OF
PURPOSES. WE DO APPRECIATE THE WORK YOU'RE
DOING UNDER THESE LESS-THAN-IDEAL CIRCUMSTANCES
THIS YEAR. WE THANK YOU FOR THAT AND I
BELIEVE WE'RE GOING TO BE ABLE TO TAKE SOME QUESTIONS NOW AND
AFTERWARDS, YOU CAN REFER QUESTIONS TO YOUR FINANCIAL
ANALYST AT THE FIELD OR YOU CAN SEND THEM TO THE EMAIL ADDRESS
THAT IS SHOWN. THANK YOU AND I'LL TURN YOU OVER
TO MIGUEL FOR THE QUESTIONS. >> THANK YOU, BERNICE AND NICK,
FOR THAT PRESENTATION. WE HAVE QUESTIONS ALREADY ON THE
SCREEN. MICHAEL, YOU WANT TO GO OVER
THEM? >> I'M CLOSEST TO THE SCREEN SO
I CAN ACTUALLY SEE IT. THE FIRST QUESTION IS IF MY
HOUSING AUTHORITY DOES NOT EXCEED ITS VOUCHER LIMIT OR ITS
UNIT MONTHS LEASED BUT DOES EXCEED ITS BUDGET AUTHORITY,
WILL THE DOLLAR AMOUNT DIFFERENCE BE FUNDED BY HUD?
THANK YOU. BERNICE, YOU WANT TO�--
>> YES. YOU COULD READ THIS A COUPLE OF
WAYS. THE WAY I'M INITIALLY READING IT
IS THIS YEAR, IF I DO NOT OVERLEASE BUT I SPEND MORE THAN
WHAT HUD HAS PROVIDED, WILL THE DIFFERENCE BE FUNDED.
THIS FALLS INTO THE ARENA OF SHORTFALL.
YOU WOULD BE EXPECTED TO UTILIZE ALL AVAILABLE FUNDS FROM YOUR
BUDGET AUTHORITY, YOUR NRA AND RESERVES, AND THEN IF YOU HAD
TAKEN THE NECESSARY STEPS TO CONTROL COSTS, YOU COULD BE
ELIGIBLE UNDER THE SHORTFALL PROVISIONS OF THE SET-ASIDE TO
RECEIVE ADDITIONAL FUNDS. IF YOU'RE LOOKING TO NEXT YEAR,
WHICH IS THE OTHER WAY TO READ THE QUESTION, THE ACTUAL COSTS
THAT YOU INCUR THIS CALENDAR YEAR, ASSUMING THE
APPROPRIATIONS REQUIREMENTS DO NOT CHANGE, THOSE ACTUAL COSTS
WOULD BECOME THE BASE FOR NEXT YEAR AS LONG AS, AS THE QUESTION
HAS POINTED OUT, YOU HAVE NOT EXCEEDED YOUR BASELINE UNIT
MONTHS IN LEASING. >> THANK YOU, BERNICE.
>> OKAY. OUR NEXT QUESTION IS, I WOULD
LIKE TO INQUIRE HOW CAN A PHA ACTUALLY INCREASE ITS BUDGET
AUTHORITY TO FULFILL THE AMOUNT OF VOUCHERS IT HAS AND ASSIST
FAMILIES? >> WELL, I CAN TAKE THAT ONE.
WE ARE, AT HUD, ARE NOT ANTICIPATING THAT PHAs WILL
LEASE UP TO 100% OF YOUR UNIT MONTHS AVAILABLE.
YOU HAVE TO MANAGE YOUR PROGRAM WITHIN YOUR FUNDING AWARDED FOR
THE CALENDAR YEAR. WITHIN THIS TIMES WHERE THE
PRORATION IS SO LOW, 94 IS A LOWER PRORATION, WE�-- IF�-- WE
CAN'T ANTICIPATE THAT YOUR HOUSING AUTHORITY WILL BE
LEASING UP UP TO THE MAXIMUM UNITS THAT YOU HAVE.
YOU CAN�-- THE ONLY WAY YOU CAN RECEIVE ADDITIONAL BUDGET
AUTHORITY WILL BE IN CASE OF TENANT PROTECTION ACTIONS, NEW
VOUCHERS THAT YOU WOULD LIKE TO ADMINISTER AS VASH VOUCHERS IF
YOU HAVE FAMILIES THAT FILL THAT CATEGORY IN YOUR AREA, BUT HUD
CANNOT PROVIDE ADDITIONAL BUDGET AUTHORITY IN EXCESS OF WHAT THE
RENEWAL ALLOCATION DETERMINED FOR YOUR HOUSING AUTHORITY.
THANK YOU. >> OKAY.
WE HAVE NO MORE QUESTIONS. WE'RE GOING TO GIVE AT LEAST
FIVE MORE MINUTES UNTIL WE GET ADDITIONAL QUESTIONS.
DO WE HAVE ANY OTHER QUESTIONS THAT HAVE BEEN RECEIVED IN
ADVANCE? >> WE CAN MAKE A COUPLE OF
POINTS ABOUT THE TENANT PROTECTION ACCOUNT.
I WOULD WANT TO STRESS TO FOLKS THAT FOR THE REMAINING�-- THE
REMAINDER OF FISCAL YEAR 2013, THE TENANT PROTECTION ACCOUNT IS
UNDER SIGNIFICANT STRAIN IN TERMS OF DEMAND VERSUS THE
RESOURCES THAT WE HAVE, AND SO THIS YEAR, WE ARE ONLY AT THIS
POINT PROVIDING VOUCHERS FOR OCCUPIED UNITS.
WE HAVE AUTHORITY UNDER THE LAW TO PROVIDE VOUCHERS FOR UNITS
THAT ARE UNOCCUPIED, BUT WERE OCCUPIED WITHIN 24 MONTHS OF THE
ELIGIBILITY EVENT. UNFORTUNATELY, GIVEN WHERE WE
ARE FUNDING-WISE AND THE DEMAND IN OUR PIPELINE, WE ARE ONLY
ABLE TO FUND OCCUPIED UNITS AT THIS TIME.
YOU WILL ALSO SEE THAT IN TERMS OF THE INITIAL FUNDING INCREMENT
THAT WE'RE PROVIDING, WE ARE PROVIDING FUNDING THROUGH THE
REMAINDER OF THE CALENDAR YEAR AS OPPOSED TO 12 MONTHS, WHICH
WE TYPICALLY DO, AND AGAIN, JUST AS WE DID THIS YEAR, WE WOULD
PICK UP THE MISSING MONTHS AS IT WERE AS PART OF FIRST-TIME
RENEWAL IN 2014. >> THANK YOU, MICHAEL.
WE HAVE NOT RECEIVED ANY MORE QUESTIONS THUS FAR.
I GUESS WE'RE GOING TO WRAP IT UP AT THIS TIME.
I WANT TO SAY THANK YOU FOR ALL THE HOUSING AUTHORITIES, FIELD
OFFICES EMPLOYEES, INDUSTRY GROUPS THAT HAVE PARTICIPATED IN
THIS BROADCAST. HOPEFULLY THE GOAL THAT WE HAD
FOR TODAY'S BROADCAST WAS MET. THAT WAS, ACTUALLY UNDERSTAND
HOW THE FINANCIAL MANAGEMENT DIVISION DETERMINES YOUR RENEWAL
ALLOCATION FOR CALENDAR YEAR 2013, EXPLAIN HOW MANY
CATEGORIES WE HAVE UNDER THE SET-ASIDE FUNDING, WHAT ARE THE
ELIGIBILITY REQUIREMENTS, THE DUE DATES THAT YOU HAVE TO BE
AWARE OF. PLEASE MEET THOSE DEADLINES TO
MAKE SURE THAT YOU ARE ACCOUNTED FOR UNDER THAT LIMITED AMOUNT OF
FUNDING. WE WANT TO, AGAIN, ADDRESS THAT
CATEGORY ONE, WHICH IS SHORTFALL PREVENTION CATEGORY, WILL BE
OPEN THROUGHOUT THE CALENDAR YEAR.
HOPEFULLY LATE�-- UNTIL LATE CALENDAR YEAR 2013, UNTIL WE
HAVE MET THAT NEED SUPPORTED BY THE SHORTFALL PREVENTION TEAM
AND OUR PHAs THAT HAVE APPLIED FOR THEM.
WE WILL NOT BE ABLE TO ANNOUNCE ANY OTHER FUNDING CATEGORIES
UNDER THE SET-ASIDE. AGAIN, MICHAEL, DO YOU WANT
TO�-- DO YOU HAVE ANY OTHER REMARKS?
>> I GUESS I WOULD JUST ADD TO WHAT MIGUEL SAID.
I WANT TO, FIRST OF ALL, THANK MIGUEL AND HIS TEAM AND
PARTICULARLY BERNICE AND NICK FOR PARTICIPATING ON THE
BROADCAST, BUT I MUST SAY MIGUEL'S TEAM HAS WORKED
EXTRAORDINARILY HARD TO TRY TO GET THE RENEWAL ALLOCATIONS OUT
TO PHAs AS QUICKLY AS WE CAN, REALIZING THAT THE JOB YOU HAVE
IS DIFFICULT ENOUGH, IT'S EVEN MORE DIFFICULT WHEN YOU'RE
MANAGING WITHOUT KNOWING WHAT YOUR ACTUAL RESOURCES ARE GOING
TO BE, SO WE DO THANK YOU FOR YOUR PATIENCE.
THIS HAS, AGAIN, BEEN A VERY DIFFICULT YEAR.
IT'S GOING TO BE A CHALLENGING YEAR FOR ALL OF US.
I DO WANT TO AGAIN EXPRESS OUR APPRECIATION TO THE WORK THAT
OUR PHA STAKEHOLDERS ARE DOING EVERY DAY UNDER EXTREMELY
CHALLENGING CIRCUMSTANCES, GIVEN THE CUTS IN ADMINISTRATIVE FEES
AND IN HAP AS WELL. WE KNOW UNDER THE BEST OF
CIRCUMSTANCES, IT'S A CHALLENGING JOB AND
UNFORTUNATELY, THIS IS A TOUGH YEAR AND TO THE EXTENT THAT MY
OFFICE CAN HELP YOU MANAGE THOSE CHALLENGES BY GETTING
INFORMATION TO YOU IN A TIMELY MANNER, BEING VERY TRANSPARENT
IN WHAT WE'RE DOING AND ADDRESSING THE QUESTIONS AND
CONCERNS THAT YOU HAVE, WE ARE GOING TO MAKE EVERY EFFORT TO DO
SO. SO AGAIN, THANK YOU FOR YOUR
ATTENTION AND FOR TUNING IN THIS AFTERNOON FOR THIS BROADCAST.
THANK YOU VERY MUCH AND GOOD AFTERNOON.
>> OKAY, ONE LAST REMARK, PLEASE CONTINUE SENDING YOUR QUESTIONS
TO OUR MAILBOX, WHICH IS PIHFINANCIALMANAGEMENTDIVISION@
HUD.GOV. WE'RE GOING TO RESPOND TO THOSE
QUESTIONS DIRECTLY AND IF THE QUESTIONS ARE BROAD ENOUGH TO
BENEFIT ALL THE PHAs ACROSS THE NATION, WE'RE GOING TO POST
THOSE QUESTIONS AS FREQUENTLY ASKED QUESTIONS IN OUR WEBSITE
AND WE'RE GOING TO TELL YOU WHEN THAT DOCUMENT WILL BE READY OR
POSTED IN OUR WEBSITE. THANK YOU SO MUCH FOR
PARTICIPATING IN THE BROADCAST. BERNICE, THANK YOU SO MUCH�--
AND NICK FOR THE PRESENTATION TODAY.
WE'LL SEE YOU NEXT TIME.