What is the moderate rehabilitation
The moderate rehabilitation program provides project-based rental
assistance for low income families. The program was repealed in 1991
and no new projects are authorized for development. Assistance is
limited to properties previously rehabilitated pursuant to a housing
assistance payments (HAP) contract between an owner and a Public Housing
How can owners apply to the moderate rehabilitation
No new rehabilitation commitments are authorized under the Mod Rehab
What is the history of the moderate rehabilitation
The moderate rehabilitation (Mod Rehab) program was designed in
1978 to be an expansion of the rental certificate program. The rental
certificate program was initially amended to permit moderate levels
of rehabilitation to upgrade and preserve the nation's housing stock.
Although the rental certificate program stimulated maintenance
of the housing stock (with investment by owners averaging $1500
in repairs to meet the program housing quality standards), it was
estimated that at least 2.7 million rental units had deficiencies
requiring a moderate level of upgrading; approximately 85% of these
units were in buildings of fewer than 20 units. The Mod Rehab program
was designed to upgrade that housing stock.
Who administers the moderate rehabilitation
The program is administered locally by PHAs.
What families are eligible to apply for the
moderate rehabilitation program?
Low-income families (i.e. families with incomes below 50% of the
average median income) and low-income families (i.e. families with
incomes below 80% of average median income).
How are families selected for the moderate rehabilitation
Eligible families are placed on the PHA's housing choice voucher
or separate Mod Rehab waiting list. When vacancies occur in Mod
Rehab projects, the PHA refers eligible families for participation
in the Mod Rehab program from its waiting list to owner. Owners
select families for occupancy of a particular unit after screening
How much rent do families participating in the
moderate rehabilitation program pay?
The family pays 30% of its adjusted income towards the rent.
Which moderate rehabilitation projects are eligible
What regulations and other HUD directives cover
Expiring HAP contracts covering units in multifamily housing projects
are eligible for renewal. A multifamily housing project is a property
consisting of more than 4 dwelling units that is covered in whole
of in part by a contract for a project-based assistance under Section
8 of the United States Housing Act of 1937.
Regulations are found at 24
CFR Part 882 Subpart D and E. PIH
Notice 2001-13 covers renewal of expiring moderate rehabilitation