HUD recently issued a revised final implementation of the Rental Assistance Demonstration (RAD) program guidance to clarify how RAD transactions will be handled moving forward in light of the 60,000 unit cap for RAD not being increased in the fiscal year (FY) 2014 appropriations package.

For projects with initial approvals or commitments to enter into a Housing Assistance Payments Contract (CHAP) made under the current 60,000 unit cap, HUD will continue to fast-track and close projects as soon as they complete indicated milestones. A regularly updated waitlist that ranks applications relative to the 60,000 unit cap can be found on the RAD web-site at

In addition, although HUD will not be able to close deals in excess of the 60,000 unit cap, the RAD team will continue to fully review and provide contingent approval for applications meeting all applicable criteria on the waitlist.  HUD will honor the standing/rank of current applicants in queue above the 60,000 unit threshold. Offering contingent approvals according to the current queue in this manner will enable the Department to quickly make CHAP awards relative to a change in the current cap upon expanded authority for RAD. Therefore, HUD is still encouraging PHAs interested in RAD to submit applications. As with applications already in hand, new applications will be issued CHAPs according to their order in the queue relative to any increase in the RAD cap that Congress may provide.

If the RAD cap is increased in 2014, the Department will use the FY 2014 funding levels to set RAD rents for all pending, active applications above RAD’s current 60,000 unit threshold that are currently in hand or received in 2014. As FY 2014 public housing operating and capital funds were not constrained by sequestration as they were in 2013, current applicants will find that RAD rents set in this way are nearly equivalent to the levels used to establish RAD rents to date.

At the request of HUD, NH&RA has formed a new working group for RAD users to meet with HUD on a regular basis to discuss challenges and share ideas for improvements to the program. To learn more, click here or contact Thom Amdur at

Click here to learn more.