Income-based rent may not exceed total tenant payment less the utility allowance

ph.tenant_payment.income_based_rent_ceiling_and_total_tenant_payment · v1.0.0

Where a public housing family pays an income-based rent, the rent is determined by the PHA's own written rent policies, which may use a percentage of family income or another reasonable system and may provide for an escrow or savings deposit, a ceiling on tenant rents, or permissive income deductions. Whatever system the PHA adopts, the income-based tenant rent must not exceed the family's total tenant payment less any applicable utility allowance for tenant-paid utilities. Total tenant payment is the highest, rounded to the nearest dollar, of 30 percent of monthly adjusted income, 10 percent of monthly income, the welfare rent where a public agency designates a portion of welfare assistance to meet housing costs, the minimum rent, and for public housing only the alternative non-public housing rent. Where the utility allowance exceeds the total tenant payment the PHA must pay the excess as a utility reimbursement, either to the family or directly to the utility supplier, and where it pays the supplier it must notify the family of the amount paid.

Confidence

high

Effective from

2023-03-16

Consequence model

agency finding with cure

Last reviewed

2026-08-30