Even after an PHA has derived an accurate estimate of a typical (whether mean or median) consumption level, however, the PHA must still decide whether the standard for the "energy-conservative household" should be set at that level. The notice describes when owners/agents of Multifamily Housing properties that receive a utility allowance may use the published UAFs to adjust these allowances. Informaci�n en Espa�ol, THE HOUSING CHOICE VOUCHER PROGRAM GUIDEBOOK. 4300 Boniface Parkway Anchorage, Alaska 99504 - View on Map Mailing Address: Laundry. With the engineering-based methodology, the PHA uses engineering calculations and technical data to estimate reasonable energy and water consumption for a particular type of dwelling unit or household. This guide focuses on utility allowances for federally subsidized public housing units. Some PHAs provide an allowance to cover the reasonable utility requirements of laundry. Consumption data are then grouped according to the allowance categories developed by the PHA. For example, the energy requirements of clothes washers are estimated based on the wattage of the washer and how often it is used. As the email states, guidebooks consolidate "into one document the requirements outlined in several publications: regulatory requirements, PIH Notices, Federal Register Notices, and other forms of guidance issued by HUD." Press Room The HCV Guidebook is being published as chapters are completed in order to provide our stakeholders with the most current information as soon as possible. This optional tool is designed to help multifamily housing providers gather, manage, and maintain the information and data necessary to undertake utility benchmarking. whether utility allowances can be efec-tively leveraged as a resource to inance or pay back energy improvement costs. PIH does not consider energy used for air conditioning as an allowable expense. (2) The PHA must give HUD a copy of the utility allowance schedule. (Revised Model Posted on 8/23/16) The Office of Policy Development and Research (PD&R) has developed the HUD Utility Schedule Model to provide a consistent basis for calculating utility schedules. Air Conditioning. Resources If the variation in the levels of consumption among units in an allowance category is high, however, a large sample size (i.e., data on a lot of the units in the allowance category) may be necessary in order to achieve statistical validity. If the hot water heating system involves an extensive distribution system or a storage tank, estimating the system efficiency is a more complicated task because of storage and distribution heat losses and should be performed by a licensed professional engineer. Because the utility allowances derived from the engineering methodology are not linked to past patterns of resident consumption, a PHA that switched to this method from the consumption-based methodology might experience a significant increase or decrease in the percentage of resident households whose actual consumption exceeds their allowance. The current HUSM is a web application that uses correlations and regression techniques to calculate allowances for end-uses, as specified on form HUD-52667 (Allowances for Tenant-Furnished Utilities and Other Services). Resources The number of gallons per month can be based on standard consumption levels. In the case of individually metered utilities, PHAs obtain consumption records from the local utility. For example, when a utility is master-metered, it is not included. The guide, or chapters of the guide, may become obsolete if the underlying authority is revised subsequent to the Guide’s revision date. The typical usage is determined by finding the point of central tendency. If this is the case, then the PHA may not have enough extra data available to be able to drop the units with vacancies or non-allowable end-uses, etc., entirely from its sample; instead, the PHA may need to make adjustments in these data to allow their inclusion as part of the allowance calculations. Search for PHA or ZIP? The PHA’s minimum rent is a minimum TTP and becomes a part of … Resource Links. (a) Maintaining schedule. One calculation is done for each allowance category. Lighting. The most appropriate methodology to choose depends on a PHA's particular characteristics and resources. The following inputs are needed: The heat loss calculation for each unit category will be either already on file or can be performed by the local utility, a consultant, or an in-house engineer. Program Offices As the collaborative applicant for the Indiana Balance of State Continuum of Care, IHCDA is instrumental in promoting community-wide commitment to ending homelessness and serving as a liaison to HUD for 91 of the 92 counties in the state. Cleaning the Data and Checking for Statistical Validity. HUD gives PHAs wide latitude in how they develop utility allowances for their public housing units. The utility allowance submitted will be considered a baseline Utility Allowance. For example, if the mean (average) is used as the standard, then in all probability a sizable percentage of resident households will have consumption above this level; the PHA needs to ask itself whether the "excess consumption" of these other households was actually wasteful and within the residents' ability to control. There are a number of technical terms used in this chapter that have very specific definitions established by federal statute or regulations, or by HUD. HUD issued a revised Chapter 9 of the HUD Section 8 Renewal Guidebook on December 1, 2016. Below is a brief description of how the consumption requirements for various end-uses are commonly estimated under the engineering methodology. to provide more reasonable allowances for residents. A HUD utility allowance is based on an average estimated cost for natural gas, oil or propane, electricity, water, sewage and trash collection. Public housing agencies provide each public housing family with a standard utility allowance based on the type of rental unit. We ask that you please continue to use the 2018 Utility Allowances until further notice. (1) The PHA must maintain a utility allowance schedule for all tenant-paid utilities (except telephone), for cost of tenant-supplied refrigerators and ranges, and for other tenant-paid housing services (e.g., trash collection (disposal of waste and refuse)). This guidebook provides information on establishing utility allowances for residents. Maintenance staff can measure the temperature of the hot water at the tap. Each allowance category should have one data set. Eligibility Determination and Denial of Assistance, November 2019, Housing Search and Leasing, (Updated, November 2020), Payment Standards,(Updated, November 2020), Rent Reasonableness, (Updated, September 2020), Calculating Rent & Housing Assistance Payments (HAP), November 2019, Special Housing Types, (Updated, November 2020), Family Self-Sufficiency Guidebook and Online Training, February 2017, Waiting List & Tenant Selection, Coming soon. HUD Utility Schedule Model (HUSM) U.S. Department of Housing and Urban Development Allowances Model for Tenant-Furnished Utilities and Other Services (Based on Form 52667) Location. Clarify that if an owner checks the box on HUD … Refrigerators manufactured during the last decade have labels that provide this information. This Utility Allowance Guidebook replaces the Utility Allowance Guidebook for Optional Use by Public Housing Agencies, 1998. Program forms can also be found on HUD’s Client Information Policy Systems (HUDCLIPS) website at: Housing Choice Voucher Program (Section 8), Congressional and Intergovernmental Relations, Office of the Assistant Secretary for Administration, Office of Small and Disadvantaged Business Utilization, Integrated Disbursement & Information System (IDIS), Contact the Public and Indian Housing (PIH) Resource Center, HUD's Headquarters Organizational Directory, Resident Opportunities & Self Sufficiency, Eligibility Determination and Denial of Assistance, Calculating Rent & Housing Assistance Payments (HAP), Family Self-Sufficiency Guidebook and Online Training, Find the address of the HUD office near you, To provide a one-stop resource for PHAs, families and other stakeholders, To serve as a forum for the most up to date guidance on program regulation, policy and procedures, To identify areas where PHAs have discretion to set their own policies. In many policy areas, HUD allows PHAs the flexibility to make local policy decisions, so it is important to note when a policy must be adopted as required by HUD. ( Note after Section 2-17.A.3.g) 15. Bracketed in the picture below is … PHAs that provide allowances for more than one utility (for example, electricity, gas, and water) must collect consumption data for each of those utilities. This section provides help in developing the allowance categories and gives recommendations on these important assumptions. (Data on heating degree days and outdoor design temperature are provided in Appendix C of HUD’s Utility Allowance Guidebook. For most programs, utility allowances approxi-mate the reasonable consumption of utili-ties by an energy-conservative household of modest circumstances consistent with the requirements of a safe, sanitary, and Both the mean and the median are points of central tendency. The energy requirement for hot water is estimated using an engineering calculation. The purpose of the Housing Choice Voucher (HCV) guidebook is to provide an easy-to-use, one-stop resource to assist public housing agencies (PHAs), families and other stakeholders in the administration of the tenant-based housing subsidy programs. More information on this publication is available in the Resources section. Allowances are then established through the following process: Collecting the Consumption Data. The subsequent two years the property has the option to use a Utility Allowance Factor rather than complete the full UA analysis. Water. Disadvantages of the Engineering-Based Methodology. The energy requirement for lighting is estimated by multiplying the wattage of each light bulb by the number of hours the average household would have the lights on. Calculating Rent and HAP Payments 4 November 2019 HOUSING CHOICE VOUCHER PROGRAM GUIDEBOOK PHAs are required4 to adopt a minimum rent which may be set anywhere from $0 to $50. The guidebook consolidates into one document the most up-to-date guidance and requirements outlined in multiple publications: regulatory requirements, PIH Notices, Federal Register Notices, and other forms of guidance issued by HUD. The energy requirement for air conditioning is determined based on the wattage of the air conditioner and how often it is used. These data are in the form of billing records (where utilities are individually metered) or checkmeter records (where utilities are checkmetered). Utilities are then paid by the tenant directly to the utility company as billed. The reasonableness of the calculation of typical consumption using the consumption-based methodology depends on the selection of proper allowance categories, the quality of the consumption data, and on whether the data set was statistically valid. Where utilities are checkmetered, the consumption data are records of checkmeter readings that the PHA makes on a routine basis. With these additional funds, you can save more of your income on a … If the answer to either part of this question is "no," then the PHA should consider establishing the allowances at some level above the mean (average) consumption figure. Advantages of the Consumption-Based Methodology, Disadvantages of the Consumption-Based Methodology, Public Housing Energy Conservation Clearinghouse: Utility Allowances, Housing Choice Voucher Program (Section 8), Congressional and Intergovernmental Relations, Office of the Assistant Secretary for Administration, Office of Small and Disadvantaged Business Utilization, Integrated Disbursement & Information System (IDIS), Contact the Public and Indian Housing (PIH) Resource Center, HUD's Headquarters Organizational Directory, Resident Opportunities & Self Sufficiency, Public Housing Environmental and Conservation Clearinghouse, Find the address of the HUD office near you. The following inputs are needed: The temperature of the cold water can be estimated based on the geographical region. The revised guidance applies to any Rent Comparability Study signed by the appraiser on or after March 1, 2017. While use of this Utility Allowance Guidebook (hereinafter referred to as UA Guidebook) Your local public housing agency (PHA) is responsible for distributing this Section 8 utility reimbursement. The Department of Housing and Urban Development establishes the rent adjustment factors — called Annual Adjustment Factors (AAFs) — on the basis of Consumer Price Index (CPI) data relating to changes in residential rent and utility costs. This guide is divided into four parts: PART 1 covers basic utility allowances prin-ciples, provides an overview on the relation - ship between rents and utility allowances, and describes the methods governing how If you are looking for information, potentially included in a specific chapter that has yet to be published, please do not hesitate to seek guidance from your local HUD field office, 24 CFR Part 982, PIH Notices or by viewing other pertinent HUD websites, such as: For further information on local resources and how to locate your nearest HUD office and PHA, please click on the following link: Some of the HUD-required forms such as the voucher form, request for tenancy approval, and other HCV related forms are included in the guidebook for PHA’s convenience. 6/07 5-2 HUD Occupancy Handbook Chapter 5: Determining Income & Calculating Rent 4350.3 REV-1 5-2 Key Terms A. This is a critical step in the use of the consumption-based method. There are two basic ways to calculate allowances: This section describes these two methodologies and discusses the advantages and disadvantages of each. A more complete, step-by-step description of this method can be found in Chapter 5 of HUD’s Utility Allowance Guidebook. The reasonableness of allowances set using the engineering-based methodology depends on assumptions made in the calculations. To get the most current information out as soon as possible, we will be publishing guidebook chapters to this site as they are completed. In some cases, not all of these end-uses are included in an allowance. A household's water consumption requirement depends on whether water-saving devices have been installed and is determined using standard consumption levels. utility allowances and their importance, and to describe the purpose and use of this Utility Allowance Guidebook. In other words, this is not a completed guidebook and we have many more chapters to publish. If utilities are designated to be paid by the resident, a utility allowance is subtracted in determining the actual rent paid to the project. Notice 2015-04 when developing utility allowances. Examples include: (1) IRC §42 is revised by Congress, (2) the IRS provides formal guidance, or (3) HUD revises the definition or treatment of income as explained in HUD Handbook 4350.3, Chapter 5. If the cost of any utility (other than telephone, cable television, or Internet) for a residential rental unit is paid directly by the tenant(s), and not by or through the owner of the building, the gross rent for that unit includes the applicable utility allowance determined under this section. The webcast covers: The HOME regulatory requirements for calculating a utility allowance at 24 CFR 92.252(d)(1) and the guidance in HOMEfires Vol. HUD pays the difference between the tenant's share and the regular rental to the owner as housing assistance. HUD Utility Allowance Memo - … Individual chapters will be amended as policies are refined. The Section 8 utility allowance is an important benefit you may qualify to receive. The utility allowance schedules are available for use by HOME Investment Partnerships (HOME), Community Development Block Grant (CDBG), Community Development Block Grant Disaster Recovery (CDBG-D), Rental Housing Tax Credits (RHTC/Section 42), Housing Trust Fund (HTF), and Section 8 HCV programs funded by Indiana Housing and Community Development Authority. Headquarters. These terms are listed in Figure 5-1 and their definitions can be found in the The list of chapters below identifies those that have been published and those that are coming soon. (a) Inclusion of utility allowances in gross rent. Hot Water. Guidance documents are intended only to provide clarity to the public regarding existing … Utility Allowances are developed in accordance with 24 CFR 965 Subpart E-Resident Allowances for Utilities and Public Housing Utility Allowance Guidebook. Determining the Typical Consumption for Each Allowance Category. Contact Us The energy requirement for refrigeration is determined using in-house information on the annual energy consumption of the refrigerators provided in the dwelling units. Miscellaneous Appliances. Instead, it is left to the PHA to decide which methodology to use in establishing allowances. Press Room Space Heating. Generally, PHAs must present a release form signed by the resident for each billing record. Note: Guidance documents, except when based on statutory or regulatory authority or law, do not have the force and effect of law and are not meant to bind the public in any way. 907-338-6100 In Anchorage. 3. The “Preview Allowance Schedule” and “Projected Family Allowances” buttons at the top of the model allow users to produce a sample utility schedule and sample HUD-52667 form, respectively, when all user input entries are made. One calculation is done for each allowance category. HUD Handbook 4350.1, Chapter 7, Section 7-24. One major improvement viewers will find in the new guidebook chapters is a footnote with a citation whenever the word “must” is used. To ensure HUD continually provides the most up-to-date guidance on evolving program policies and procedures, the HCV Guidebook chapters will be living documents on HUD’s website. of a utility allowance determined by the Secretary, after taking into account the procedures under section 8 of the United States Housing Act of 1937. This webcast demonstrates how to use the HUD Utility Schedule Model to calculate utility allowances for HOME-assisted rental projects. With this program, you can receive funds to help offset the price of utilities at your rental property. This optional tool is designed to help multifamily housing providers apply HUD’s Tier 1 and Tier 2 sampling protocols to their properties in order to create an appropriate sample set for utility benchmarking and utility allowance schedules under applicable requirements. The energy requirement for cooking is estimated using standard consumption levels. Highlight that HUD will not accept the RHS utility allowance calculation unless it developed in accordance with Housing Notice 2015-04. This section will describe two different approaches that a PHA can take in defining the timeframe of its consumption data: Next, the PHA needs to develop allowance categories that group dwelling units according to factors that affect consumption requirements. Contact Us The efficiency of the hot water heating system depends on the age and type of system. HUD does not provide assistance for telephone bills. Some PHAs provide an allowance to cover the reasonable utility requirements of air conditioning. Depending on the end-use, the consumption requirement may be estimated based on engineering formulas, standardized consumption tables, or in-house information on equipment used or the physical condition of the developments. 800-478-2432 Toll Free in Alaska. Although there is no standard specified by the regulations, PHAs frequently establish an indoor temperature of 72 degrees F for family units and 75 degrees F for elderly units. Cooking. The PHA then needs to decide on the timeframe that its historic consumption data will span. HUD Guidance . The energy requirement for space heating is estimated using an engineering calculation. Selected PHA or ZIP: Form Date: Climate Data (Degree Days) Unit Information. Earlier today, HUD sent an email announcing that the initial chapters of a New Housing Choice Voucher (HCV) Guidebook have been published. A utility allowance schedule is “up-to-date” if the PHA reviewed utility rate data within the last 12 months and adjusted its utility allowance schedule if there has been a change of 10% or more in a utility rate since the last time the utility allowance schedule was revised. The energy requirement of miscellaneous appliances can be estimated using standard consumption tables available from the local utility. Please note: the N.J. Department of Community Affairs (DCA) has not yet released the 2019 Utility Allowances. Informaci�n en Espa�ol. 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