HUD announced that December Housing Choice Voucher (HCV) shortfall payments may be delayed. HUD estimated over 500 PHAs are in current shortfall position with reported anticipated payments totaling between $700-$800 million. HUD hopes to deliver payments to PHAs by this week at the latest.
HUD indicated that PHAs may use reserves or unrestricted net position (UNP) to make payments, or PHAs may delay Housing Assistance Payments (HAP) if necessary.
PHAs can review section 7 of the HCV HAP contract which details when penalties may or may not be imposed for late payments to landlords.
