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1 1 (December 8, 2023)

handle is hein.crs/govenqp0001 and id is 1 raw text is: Congressional ____ 'aResearch Service Implementation Status of HOTMA Income and Rent Changes December 8, 2023 Between January 1, 2024, and January 1, 2025, the way that incomes and rents are calculated for the roughly 5 million households that participate in federal rental assistance programs will change, as the Department of Housing and Urban Development (HUD) finalizes implementation of the Housing Opportunity Through Modernization Act of 2016 (HOTMA; P.L. 114-201), which was enacted in 2016. The timing of these changes, and HUD's decision to delay the final compliance deadline, has led to some confusion among assisted housing residents and their landlords. HOTMA Rulemaking HOTMA made a range of changes affecting HUD's rental assistance programs, including the public housing, Section 8 Housing Choice Voucher, Section 8 project-based rental assistance, Section 202 Housing for the Elderly, and Section 811 Housing for Persons with Disabilities programs. (These changes also affect other HUD programs, such as HOME and Housing for Persons With AIDS that refer to rental assistance program regulations revised pursuant to HOTMA.) Some HOTMA changes took effect upon enactment, whereas others required rulemaking, as identified in initial guidance published by HUD in 2016. Among the last HOTMA provisions to be implemented are those contained in Sections 102, 103, and 104 of the act that pertain to income and affect both tenant eligibility and the amount of rent tenants are required to pay. Following publication of a notice seeking public input in 2016, a proposed rule in 2019, and a reopened comment period in 2020, HUD published a final rule implementing these provisions in February 2023. The final rule included an effective date of January 1, 2024; however, on September 29, 2023, HUD announced it was delaying compliance with certain provisions until HUD, PHAs, and owners adopt system updates to reflect HOTMA changes, no later than January 1, 2025. Congressional Research Service https://crsreports.congress.gov IN12285 CRS INSIGHT Prepared for Members and Committees of Congress

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