811 PRA Demo Program

January 2014

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Agenda

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• 811 PRA Demo Overview• Program Lead: Ms. Lessie P. Evans

Program ManagerGRANT POLICY AND MANAGEMENT DIVISION

• Business Assumptions• Grantees• Parent Contract (Cooperative Agreement)• Child Contract (Rental Assistance Contract)

Overview

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Section 811 Project Rental Assistance Demonstration

Authorized by the Frank Melville Supportive Housing Investment Act of 2010, the 811 PRA Demo will award rental assistance funds to state housing agencies (or other appropriate entities) that have formed partnerships with state Medicaid and health and human services agencies that have developed methods for identifying, referring, and conducting outreach to a target population of extremely low-income persons with disabilities requiring long term services and supports.

These operating funds will be used to set aside supportive units for this target population in affordable housing complexes whose capital costs are funded through Low-Income Housing Tax Credits, HOME funds, or other sources. 

Business Assumptions

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811 PRA Demo Rental Assistance Program

Automation Rule: This new rental assistance program must adhere to the Automation Rule (see attached automation rule); thus, must submit tenant certifications and electronic vouchers to TRACS for payment (see TRACS tenant and voucher processes below.)

Business Requirements

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Parent Level Contracts

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Parent Level Contracts

The parent level contracts represent the cooperative agreement entered into between HUD and the state housing finance agencies for the 811 PRA Demonstration program. The new PRA 811 Demonstration program cooperative agreements are as follows:

Name of the Grantee Cooperative Agreement Number

Georgia Housing and Finance Authority GA06RDD1201

Massachusetts Dept. of Housing and Community Development MA06RDD1201

Minnesota Housing Finance Agency MN39RDD1201

Maryland Dept. of Housing and Community Development MD06RDD1201

Texas Dept. of Housing and Community Affairs TX59RDD1201

Pennsylvania Housing Finance Agency PA23RDD1201

Illinois Housing Development Authority IL06RDD1201

Washington State Department of Commerce WA19RDD1201

Louisiana housing Corporation LA48RDD1201

Delaware State Housing Authority DE26RDD1201

Montana Department of Commerce MT06RDD1201

California Housing Finance Agency CA39RDD1201

North Carolina Housing Finance Agency NC19RDD1201

Rental Assistance Contract (RAC)Child Level Contract

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Child Level Contracts

The Grantee (state housing finance agency) will enter into new Renal Assistance Contracts (RAC). The child level contracts that will be between the state housing finance agency (grantee) and each owner providing rental units under the new 811 PRA Demonstration cooperative agreement.

Request New Rental Assistance Contract (RAC) Number

Grantee (state housing finance agency) will request new 11 digit RAC number from the HUD.

RAC Number Schema

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The cooperative agreement for Georgia Housing Finance Agency is GA06RDD1201 and the resulting new RAC number will be as follows:

Parent Contract Number: GA06RDD12011st Child RAC Number: GA06RDD12022nd Child RAC Number: GA06RDD1203

Contract Administrator ID

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811 PRA Demo Contract Administrator FunctionThe state agency administering the 811 PRA Demo rental assistance program will assume the function of Contract Administrator for the purpose of oversight of the program, including responsibility for reviewing, approving, and submitting tenant certifications and electronic vouchers to TRACS. The 811 PRA Demo CA will require a New Contract Administrator ID for the purpose of paying administrative fees. This new CA identification number for the 811 PRA Demo program will be series 500. For example, the 811 PRA Demo CA ID would be as follows:

State Contract Administrator ID

Georgia State Agency GA500

District of Columbia DC500

Pittsburgh, Pennsylvania PA500

San Francisco, California CA500

Sacramento, California CA500

811 PRA Demo Administrative Fee

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811 PRA Demo Program Contract Administrator Administrative Fee

The 811 PRA Demo Contract Administrator (grantee) will receive an Administrative Fee. The 811 PRA Demo staff in Headquarters will use the current LOCCS functions to establish and pay the administrative fee.

Subsidy Payments @ Parent Level

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State Agency Must Roll UP subsidy Payment from Child Level (RAC Contracts) Issue: No tenant data at the Parent Level (cooperative agreement) to support subsidy payment because the tenant data will be reported at property represented by the Rental Assistance Contract (RAC). There is no way in TRACS to identify the RAC associated tenant data to a cooperative agreement (parent level cooperative agreement) to support payment (i.e., tenant threshold business edit).

Result: Electronic vouchers submitted at Parent Level (cooperative agreement) will be suspended for payment requiring manual release by Voucher Processing Team.