The 2013 HOME rule changed the methods allowed to Participating Jurisdictions (PJs) for establishing utility allowances (UAs) for HOME assisted projects. Under the new 2013 HOME Rule, PJs no longer are allowed to use the UA schedule published by the local Housing Authority (HA).
If HOME funds were committed to your project on/after August 23, 2013 and the project is not governed by HUD or MN Housing PBA contracts, then your project is affected by the 2013 HOME Rule and your HOME assisted project must use the UA schedule approved by the PJ that provided the HOME funds to your project.
If yours is an existing HOME project and you have always used the HA’s UA, then your project is exempt. HOME assisted projects to which HOME funds were committed prior to August 23, 2013 are NOT affected by this rule change and can continue to use the local HA’s UA schedule.
HOME assisted projects with HOME units that also have S-8 PBA contracts are exempt from using the new UA method. If HUD or MN Housing establishes the rent and utility allowance for the PBA units, the rent and UA established by these agencies prevail.
The City of Minneapolis developed and adopted a new UA schedule effective 5/21/18 (see below). The City of Saint Paul is researching options before deciding how to move forward with implementing this rule change.
Hennepin County 2022 Utility Allowance – Effective 1/1/22
Metro HRA 2022 Utility Allowance – Effective 1/1/22
MPHA 2022 Utility Allowance (HTC & pre-2013 HOME) – Effective 1/1/22
Minneapolis 2022 Utility Allowance (post-2013 Home Projects) - Effective 5/1/2022
SPPHA 2022 Utility Allowance (HTC & pre-2013 HOME) – Effective 1/1/22
SPPHA 2022 Utility Allowance (HTC & post-2013 HOME Projects) - Effective 1/1/22
WCCDA 2022 Utility Allowance – Effective 1/1/22
For previous utility allowance schedules click here.
Please see the following link for additional information keeping compliant with HOME rent regulations.
Utility Allowance Method - Change Request
In conjunction with Suballocators and Minnesota Housing, AHC has established a protocol for reviewing Owner requests to change the utility allowance methodology from the utility allowance published by the local PHA to other methods allowed by program regulations.
See the UA Method Change Request Process (below) for instructions on how to submit the request as well as the documents required for submission.
Please note, due to the additional staff time required to process these requests, a separate fee will be charged to Owners for the reviews.
Copyright 2014 Affordable Housing Connections, Inc. | Design by Carloni Design Associates | www.marketwebsolutions.net