HUD Offers Additional COVID-19 Supplemental Payments to Multifamily Owners

On October 31, 2022, HUD issued Notice H 2022-06, “Continued Availability of Funds for COVID-19 Supplemental Payments for Properties Receiving Project-Based Rental Assistance Under the Section 8, Section 202, or Section 811 Programs.”

This permits owners of affected properties to apply for more than $148 million in supplemental operating funds to support expenses associated with protecting residents and staff from COVID-19. Owners of Section 8 PBRA, Section 202, and Section 811 projects are now eligible to receive reimbursements for eligible expenses incurred from March 27, 2020, through January 31, 2023. The deadline for applications is February 21, 2023.

HUD has expanded the current list of eligible expenses to include reimbursement for resident training on the use of technology to access online property management portals and supportive services, and costs to enhance outdoor seating spaces to allow for gatherings.

HUD has also extended the timeframe for delivery and installation of equipment (capital expenses) and provided additional detail on reimbursements for allowable Internet infrastructure costs and emergency generator purchase eligibility. HUD anticipates that this will be the last round of COVID Supplemental Payments.

The reimbursements may be used for capital improvements such as ventilation systems and broadband installation, as well as operating costs.

Owners of eligible properties should obtain and carefully review the Notice, keeping in mind the February 21 deadline for applications.