The tenant contribution must be adjusted on any revised certification or approved rent or utility allowance change, and a borrower who files late is charged overage and loses the RA

rd521.recertification.contribution_and_ra_payment_readjusted_on_every_revised_certification · v1.0.0

The Rental Assistance payment is a residual - basic rent plus the utility allowance less the net tenant contribution - so it moves whenever the contribution moves, and the regulation makes the adjustment mandatory rather than periodic. Borrowers MUST ADJUST THE TENANT CONTRIBUTION whenever there is a change in tenant household status or income sufficient to generate a revised tenant certification under 7 CFR 3560.152(e), OR an Agency-approved rent or utility allowance change that affects the contribution amount. The enforcement is financial and it is specific to this programme: because tenant certifications document interest credit and Rental Assistance eligibility, a borrower who fails to submit annual or updated certification forms within the 10-day window WILL BE CHARGED OVERAGE under 7 CFR 3560.203(c) AND LOST RENTAL ASSISTANCE. And where the borrower cannot document that the tenant received a recertification notice and the tenant is not recertified within 12 months of the most recent certification, the tenant keeps paying on the last certification while THE BORROWER remits full overage to the Agency as if the tenant were paying note rent - a cost the borrower may not pay out of housing project funds or funds collected from the tenant.

Confidence

high

Effective from

2004-11-26

Last reviewed

2026-09-02