HUD’s Office of Public and Indian Housing (PIH) posted Notice PIH 2024-20 clarifying guidance on using public housing Operating Funds and Capital Funds relating to air conditioning when responding to extreme heat. On June 13, Principal Deputy Assistant Secretary Richard Monocchio also sent an email to public housing agency (PHA) directors highlighting provisions in the Notice and urging PHAs to “think broadly and comprehensively about how you can reduce the risks of extreme heat for all of your residents.”
Operating Funds
Operating Funds may be used to pay for the cost of cooling public housing common areas.
In general, PIH does not allow Operating Funds to be used to cover in-unit air conditioning expenses. When a household pays for its own utilities, its PHA establishes a utility allowance to cover reasonable utility expenses. When utilities are provided by a PHA using a check-meter system, the PHA sets an allotment for allowable utility consumption for the unit. In check-meter situations, if a household chooses to use in-unit air conditioning and the household’s air conditioning use exceeds the allotment, the PHA can add a surcharge. Surcharges are also imposed on households choosing to use air conditioning in public housing that does not have check-metered systems.
Individual Relief Policies and Use of Operating Funds
PHAs may adopt “individual relief” policies to grant residents relief from utility bills that are in excess of utility allowances or to grant relief from utility surcharges – upon request by residents. When a PHA approves a request for individual relief, it can set a higher utility allowance or decide not to assess a surcharge for excess use of specified PHA-furnished utilities. Regulations provide examples of reasonable grounds for granting individual relief, such as special needs of elderly, ill, or disabled residents. PHAs have discretion to develop policies to provide individual relief for other reasonable grounds, including factors beyond residents’ control.
Severe or Extreme Heat as a Reasonable Ground for Individual Relief
As PDAS Monocchio’s email emphasizes, with this Notice, PHAs may establish a policy stating that all residents have reasonable grounds to request relief due to severe or extreme heat (as defined by the PHA). However, because the regulations require a household to request relief, a PHA cannot automatically grant individual relief for extreme heat to all residents. Rather than requiring every household to write an explanation of their request for individual relief in the context of extreme heat, the Notice allows PHAs to provide all households with a streamlined option for requesting relief, which could simply involve checking a box on a form.
The regulations require PHAs to provide notice to all residents about the availability of and criteria for granting individual relief. This information must be provided when a PHA notifies all residents about utility allowances, scheduled surcharges, and revisions. Newly admitted households must also be given this information.
The Notice states that PHAs may immediately begin to grant individual relief requests on the basis of extreme heat before providing a new utility allowance notice or before updating their Admissions and Continued Occupancy Policy (ACOP) or lease. Also, PHAs may immediately announce their intention to approve all requests for individual relief due to extreme heat and provide residents with streamlined request forms.
Capital Funds
A PHA may use public housing Capital Funds to purchase and install air conditioning for public housing units, including bracing for window air conditioning units. Capital funds may also be used to purchase and install air conditioning for common areas (such as community rooms), especially to serve as cooling spaces for residents. Capital Funds may also be used to improve cooling efficiency by installing weatherization features, smart thermostats, upgraded electrical wiring, and renewable energy generation.
Read Notice PIH 2024-20 at: https://tinyurl.com/5eup6u44
Read PDAS Monocchio’s email at: https://tinyurl.com/mrxvvrxz
Read HUD’s “Extreme Heat Quick Guide” on HUD User at: https://tinyurl.com/2t6n9aza
HUD’s Extreme Heat website is at: https://tinyurl.com/ba9tw688
Basic information about public housing is on page 4-36 of NLIHC’s 2024 Advocates’ Guide