The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) provides $1 billion of additional appropriations to Project-Based Rental Assistance (PBRA) to prevent, prepare for, and respond to coronavirus, including to maintain normal operations and take other necessary actions during the time that the program is impacted by the COVID-19 pandemic. On May 28, HUD completed funding actions to provide $800 million of CARES Act supplemental appropriations to approximately 16,500 properties with Section 8 PBRA contracts to maintain normal operations. This money, in addition to amounts appropriated under the FY 2020 appropriations Act, will help compensate owners for decreased tenant rent payments resulting from reductions in tenant income. The funds will also assist in covering increases in vacancy payment claims that may occur due to COVID-19 related delays in moving in new tenants.
Owners will receive automated notifications through TRACS/ARAMS that funds have been obligated on HAP contracts. Owners/Agents (O/As) do not need to take any special actions to access these CARES Act funds. O/As should follow current protocols for interim tenant recertifications when a loss of income is reported and voucher for subsidy accordingly.
A notice (or notices) describing the allocation methodology and the requirements governing the remaining $200 million of CARES Act PBRA supplemental funding will be released by HUD shortly.
A small percentage of owners will receive more than $150,000 in funding. The CARES Act requires monthly reporting in these cases. HUD will work to ensure that this requirement can be fulfilled by recipients in a manner that utilizes to the greatest extent possible existing reporting streams with minimal additional burden.
O/As should contact their assigned account executive at HUD with any questions regarding CARES Act funds.