The Housing and Community Development Act of 1974 created the project-based Section 8 rental assistance program. Under the program, HUD enters into contracts with property owners to provide rental assistance for a fixed period of time for low-income families. Project-based Section 8 assistance may be provided only for tenants with incomes no greater than 80 percent of the area median income (AMI) and tenants generally pay rent equal to 30 percent of adjusted household income.
HFAs and Project Based Section 8
In 1999, HUD began an initiative to contract out the oversight and administration of most of its project-based contracts; some were contracted out to State Housing Finance Agencies. These HFAs are now responsible for conducting on-site management reviews of assisted projects; adjusting contract rents; reviewing, processing, and paying monthly vouchers submitted by owners; renewing contracts with property owners; and responding to health and safety issues at the property. These performance-based contract administrators (PBCAs) now administer the majority of project-based Section 8 contracts.
HFAs administer Section 8 project-based contracts subsidizing more than 650,000 apartments, including 250,000 apartments in properties they have financed and more than 400,000 apartments formerly administered by HUD. Advocating for enough HUD funding to honor existing project-based assistance commitments is one of NCSHA’s Legislative Priorities.
Useful Links: U.S. Department of Housing and Urban Development, HUD Section 8 Contract Administration Web Page, HUD Rental Housing Integrity Improvement Project (RHIIP)
Printer-friendly versionNCSHA Blog Posts
- January 27, 2012
The House Financial Services Subcommittee on Insurance, Housing, and Community Opportunity recently circulated new draft legislation to reform the Section 8 program, the Affordable Housing and Self-Sufficiency Improvement Act of 2012 (AHSSIA). The legislation is the latest version of the Section 8 Voucher Reform Act (SEVRA) and the Section 8 Savings Act (SESA). The Subcommittee expects to markup the legislation, which has not yet been formally introduced and thus has not been assigned a bill number, in mid-February. - January 18, 2012
At NCSHA’s HFA Institute last week, over 100 state Housing Finance Agencies (HFAs) serving as Section 8 Performance-Based Contract Administrators (PBCAs), other contract administrators, federal officials, and private sector partners gathered to discuss the future of the PBCA program and other related multifamily housing policies.
Housing Headlines
- Washington Post
- Harvard University Joint Center for Housing Studies
- New York Times
News
- August 1, 2011
On February 28, 2011, the U.S. Department for Housing and Urban Development (HUD) issued an Invitation for Submission of Application for Contract Administrators to bid for the Project-Based (Section 8) Housing Assistance Payments (HAP) contracts for the state of Kentucky.
Events
- July 27, 2009
The Institute's four program-specific conferences will strengthen your understanding of program fundamentals and explore advanced techniques for administering the Low Income Housing Tax Credit; the HOME Investment Partnerships program; Mortgage Revenue Bonds, Federal Housing Administration and rural housing mortgage insurance; and HUD's Performance-Based Section 8 Contract Administration initiative.
Project Based Section 8 - Resources
- January 25, 2012This is the draft legislation for the Affordable Housing and Self-Sufficiency Improvement Act of 2011.
- January 24, 2012A letter from Marie Head dated January 23, 2012 to the PCBA industry following up on her remarks at NCSHA's 2012 HFA Institute.
