Section 8 Housing Assistance Payments Program_Special Allocations

To reduce claims on the Department's insurance fund by aiding projects with FHA-insured or Secretary-held mortgages that have immediate or potentially serious financial difficulties.

Examples of Funded Projects

Projects with HUD-insured mortgages; projects with HUD-held mortgages; projects with non-insured mortgages; projects with Section 202 Direct Loans.

Agency - Department of Housing and Urban Development

The Department of Housing and Urban Development's mission is to increase homeownership, support community development and increase access to affordable housing free from discrimination. HUD fulfills this mission through high ethical standards, management and accountability, and by forming partnerships with community organizations.

Office - Persons may contact local field offices listed in Appendix IV of the Catalog.

Program Accomplishments

No new commitments for additional projects will be made under this program.

Uses and Use Restrictions

This program is inactive.

No new projects are being approved; however, tenants may apply for admission to projects with existing Section 8 assistance contracts.

The assistance is paid by HUD to the owner of an assisted unit on behalf of an eligible family.

The payment is the difference between the contract rent and the tenant rent.

Assistance is currently available only on a renewal basis, i.e., projects currently assisted may receive a 1-year renewal, or multiple years, up to twenty years, upon expiration of the Section 8 contract.

Eligibility Requirements

Applicant Eligibility

No funding is available to new applicants.

Funding is currently available only for the owners of record of projects with an existing expiring project-based Section 8 contract.

The project must meet minimum decent, safe, and sanitary standards.

Beneficiary Eligibility

Families currently receiving assistance as long as their income does not exceed 80 percent of area median income adjusted for smaller or larger families.


Applications for new projects are no longer being accepted. Project must meet minimum decent, safe, and sanitary standards for HUD to renew the Section 8 contract.

Aplication and Award Process

Preapplication Coordination

This program is excluded from coverage under E.O.


No applications for new projects are being accepted.

Application Procedures

Project owner must notify HUD within 120 days of contract expiration that it wishes to renew the Section 8 contract.

Award Procedures

Contract is renewed upon expiration.


Owner must notify HUD within 120 days of contract expiration that it intends to renew contract. Owner must notify the residents one year in advance of contract expiration that it intends not to renew the contract.


United States Housing Act of 1937, Section 8(c)(9).

Range of Approval/Disapproval Time

Approval given by date of contract expiration.


Not applicable.


Subject to appropriations and owner's interest in renewing contract.

Assistance Considerations

Formula and Matching Requirements

Not applicable.

Length and Time Phasing of Assistance

1 year.

Post Assistance Requirements


The owner must submit to HUD within 60 days after the end of each fiscal year of the project, financial statements for the project audited by an Independent Public Accountant and other statements as to project operation, financial conditions and occupancy.


The owner must permit HUD to review and audit the management and maintenance of the project at any time to assure the owner is meeting its obligation to maintain the units and related facilities in decent, safe, and sanitary condition.


The owner must reexamine the income and composition of all families at least once each year and prepare and furnish other information required under the Section 8 contract.

Financial Information

Account Identification

86-0319-0-1-604; 86-0164-0-1-604;
86-0311-0-1-604; 86-0316-0-1-604; 86-0303-0-1-604.


FY 07 $8,421,000; FY 08 est $8,549,000; and FY 09 est $8,529,000.

Range and Average of Financial Assistance

Eligible tenants pay no more than 30 percent of their monthly adjusted income for rent.

Regulations, Guidelines, and Literature

HUD Section 8 Renewal Policy Guide (1/15/08); 24 CFR 886 Subpart A - Additional Assistance Program for Projects With HUD-Insured And HUD-Held Mortgages Payments Program_Special Allocations.

Information Contacts

Regional or Local Office

Persons may contact local field offices listed in Appendix IV of the Catalog.

Headquarters Office

Department of Housing and Urban Development, Office of Housing Assistance and Grant Administration, 451 7th Street, S.W., Washington, DC 20410. Telephone: (202) 708-3000.

Criteria for Selecting Proposals

Not applicable.

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