The Department of Housing and Urban Development (HUD) has issued a final rule that updates terminology in regulations related to Housing Assistance Payments (HAP) contracts managed by State Housing Finance Agencies. The rule clarifies definitions to reflect situations where HUD or a Performance-Based Contract Administrator (PBCA) takes over contract administration when an agreement with a state agency ends. By defining these terms, HUD aims to reduce confusion about who manages certain financial accounts and ensure consistency with their longstanding policies. The changes initially proposed on July 17, 2024, are now adopted without alteration and will come into effect on January 3, 2025.
Simple Explanation
HUD has made a new rule to clear up who handles money and contracts when housing agencies change roles, making sure everyone's on the same page without changing the meanings from past rules.