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federalUnited StatesSection 202 Supportive Housing for the Elderly - Capital Advance / PRACrecertification

The owner must reexamine income and household composition at least every 12 months and adjust total tenant payment, tenant rent and the PRAC payment

s202prac.recertification.annual_reexamination · v1.0.0

The owner must reexamine the income and composition of the household at least every 12 months. On verification of the information the owner must make appropriate adjustments in the total tenant payment in accordance with 24 CFR 5.657, must adjust the tenant rent, and must request an appropriate adjustment to the project rental assistance payment. At the same reexamination the owner must determine whether the household's unit size is still appropriate and must carry out any unit transfer in accordance with HUD standards, and must require the household to meet the Social Security Number disclosure and verification requirements of 24 CFR part 5 subpart B. An owner may elect to apply the streamlined income determination in 24 CFR 5.657(d) to families receiving fixed income.

HOTMA sections 102 and 104 reach this program: HUD administratively extended section 102 to 202/162, 202/811 PRAC, 811 PRA and SPRAC, and made conforming changes to 24 CFR part 891 at 88 FR 9668-9669 (Feb. 14, 2023). Notice H 2023-10/PIH 2023-27 Rev. 3 section 6.2 makes full compliance mandatory 1 January 2027 and tells contract administrators to issue observations rather than findings on HOTMA-related tenant file errors at MORs before that date.
Confidence
high
Effective from
1996-03-22
Last reviewed
2026-08-29

Evidence required

  • HUD-50059 Owner's Certification of Compliance(one_per_year)
  • EIV Income Report(one_per_year)
  • Third-party employment verification(one_per_income_source)

Citations

All sources verified within 1 day
  • Supportive Housing for the Elderly and Persons with Disabilities
    24 CFR 891.410(g)(1)
    regulationSource ↗verified 1d ago
  • Supportive Housing for the Elderly and Persons with Disabilities
    24 CFR 891.410(g)(4)
    regulationSource ↗verified 1d ago
  • Section 8 and Public Housing - Occupancy Requirements, Income and Family Payment
    24 CFR 5.657(d)(5)
    regulationSource ↗verified 1d ago