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federalUnited StatesUSDA Rural Development Section 521 Rental Assistancetenant_payment

Where the utility allowance exceeds the tenant's net contribution the borrower must pay the tenant the difference monthly

rd521.tenant_payment.monthly_utility_reimbursement_to_the_tenant · v1.0.0

Where a tenant receiving Rental Assistance is billed directly for utilities and the utility allowance exceeds the tenant's net contribution to rent, the borrower must pay the tenant the difference between the utility allowance and the net tenant contribution. That payment must be made on a monthly basis. This is a cash payment out of the project to the household, not a credit against a rent the household does not owe.

Confidence
high
Effective from
2005-01-01
Last reviewed
2026-08-30

Citations

All sources verified within 1 day
  • Direct Multi-Family Housing Loans and Grants
    7 CFR 3560.256(d)
    regulationSource ↗verified 1d ago