HUD Multifamily Posts FAQs on COVID-19 Supplemental Payments

HUD’s Office of Multifamily Programs (Multifamily) posted “Frequently Asked Questions: COVID-19 Supplemental Payments, Housing Notice H 2021-05” addressing 20 questions arising from Notice 2021-05 (see Memo, 9/27). Most of the frequently asked questions (FAQs) will be of interest only to private owners of properties receiving assistance from one of Multifamily’s programs. Two FAQs might be of interest to resident leaders and advocates.

The October 7 FAQ clarifies (page 1) that owners may request “COVID-19 Supplemental Payments” (CSP) reimbursement for the purchase of all internet infrastructure equipment and the installation costs to establish internet availability to staff and residents in buildings where broadband infrastructure does not currently exist. Equipment costs include hardware, such as modems, routers, extenders, and repeaters.

The FAQ (page 4) addresses a question regarding the eligibility of using CSP for emergency generators when an owner considers them necessary to address critical medical needs and a documented risk of recurring power outages. Two criteria are listed:

  • A property is serving vulnerable elderly residents. Designation as an elderly property is sufficient. If a property serves families, the owner justification must discuss the presence of an elderly resident population, for instance, by stating the percentage of units occupied by elderly residents.
  • A property has a documented risk of power outages that may necessitate temporary relocations. This may be established in two ways:
  1. There has been at least one break in the supply of electrical service to a property of four hours or more since January 1, 2019, or
  2. The property is in an area covered by a Presidential Disaster Declaration issued since January 1, 2019.

HUD may also consider other evidence of risk of recurring outages on a case-by-case basis.

Congress appropriated supplemental funds through the CARES Act to prevent, prepare for, and respond to the coronavirus for properties assisted by Multifamily’s Section 8, Section 202, and Section 811 programs: $1 billion for the Project-Based Rental Assistance program (PBRA), $50 million for Section 202, and $15 million for Section 811 (see Memo, 3/30/20). Multifamily calls this funding “COVID-19 Supplemental Payments” (CSP).

New eligible expenditures allowed by Notice H 2021-05 include:

  • Incremental costs for HVAC system ventilation and filtration upgrades
  • Emergency generators to protect vulnerable elderly residents from the exposure risk associated with evacuations/displacement
  • Broadband Wi-Fi infrastructure
  • Incremental costs of upgrading disposable HVAC air filters to include those with higher Minimum Efficiency Reporting Value ratings

The October 7, 2021 FAQ is at: https://bit.ly/2YRo4xi

Notice H 2021-05 is at: https://bit.ly/3AxRBtS

Multifamily has a one-page fact sheet about CSP funds announced through Notice H 2021-05 at: https://bit.ly/2XOmVX3

More information about CSP is on page 10-1 of NLIHC’s 2021 Advocates’ Guide.

More information about Project-Based Section 8 is on page 4-64 of NLIHC’s 2021 Advocates’ Guide.

More information about Section 202 Housing for the Elderly is on page 4-70 of NLIHC’s 2021 Advocates’ Guide.

More information about Section 811 Housing for Persons with Disabilities is on page 4-71 of NLIHC’s 2021 Advocates’ Guide.