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federalUnited StatesSection 8 Project-Based Rental Assistancerecertification

Pre-HOTMA: the owner had to process an interim on the listed changes, and had to leave an income increase of under $200 a month out of the calculation

mfh.recertification.pre_hotma_owner_duty_to_process_and_the_two_hundred_dollar_floor · v1.0.0

SUPERSEDED IN PART -- this is the pre-HOTMA position. Under Handbook 4350.3 REV-1 CHG-4 the owner had to process an interim recertification when a tenant reported a change in family composition, an increase in cumulative income of $200 or more a month, an increase in allowances, most decreases in income, or a change in the citizenship or eligible immigration status of any family member. Where the reported income change did not raise cumulative income by $200 or more a month the owner should not process an interim to increase the rent, and where the tenant reported such an increase alongside some other processable change the owner should process the interim for the other change but leave the income increase out of it -- the handbook's own example is a new baby reported together with $100 a month of new part-time earnings: process the dependent, exclude the income. On receiving a tenant request the owner had to process within a reasonable time, being only the time needed to verify what the tenant provided, and generally not more than four weeks. HOTMA replaced this framework at 24 CFR 5.657(c); apply the regulation for certifications effective on or after the property's transition date.

SUPERSEDED IN PART. This states the PRE-HOTMA position as printed in Handbook 4350.3 REV-1 CHG-4. The HOTMA amendments to 24 CFR 5.657(c) replaced the handbook's interim recertification triggers with a ten percent of annual adjusted income test and an earned-income carve-out. Apply this rule only to certifications effective before the property's HOTMA transition date; on and after that date the regulation governs. Mandatory compliance is 1 January 2027. HUD Handbook 4350.3 REV-1 was last amended by Change 4, issued 27 November 2013, and has not been reissued since. HUD's HOTMA implementing rule and its implementing notices (H 2023-10 and successors) govern wherever they conflict with this handbook paragraph. The chapter PDF this rule is quoted from was fetched from HUD's own archive on 2026-09-01 and hashed; see the source record.
Confidence
high
Effective from
2013-11-27
Effective to
2026-12-31
Last reviewed
2026-09-01

Citations

All sources verified within 1 day
  • HUD Occupancy Handbook 4350.3 REV-1 CHG-4 — Chapter 7, Recertification, Unit Transfers, and Gross Rent Changes
    para. 7-11.A
    binding_agency_guidanceSource ↗verified 1d ago
  • HUD Occupancy Handbook 4350.3 REV-1 CHG-4 — Chapter 7, Recertification, Unit Transfers, and Gross Rent Changes
    para. 7-11.B
    binding_agency_guidanceSource ↗verified 1d ago
  • HUD Occupancy Handbook 4350.3 REV-1 CHG-4 — Chapter 7, Recertification, Unit Transfers, and Gross Rent Changes
    para. 7-11.C
    binding_agency_guidanceSource ↗verified 1d ago