Conversion of Efficiencies Units to One Bedroom Units

OMB Control #2502­0592 Exp. (02/28/2011) 

ATTACHMENT 7

Steps for Reconfiguring Section 8 Contracts in Unit Conversions
These steps will be used primarily for converting efficiency units of a Section 8 HAP
Contract to one bedroom units. For the purpose of this Unit Conversion Policy
Memorandum, the there will be no increase to the existing Budget Authority available
to the project.
Step 1
Determine the new unit rents in accordance with the requirements of Section E of the
Unit Conversion Policy.
Step 2
Amend Exhibit A to the existing Section 8 Contract to reflect the revised unit
configuration. Funding notification letter with Exhibit A must be sent to the Owner.
Step 3
Amend the reconfigured one bedroom units in TRACS. Once TRACS is updated
with the new unit distribution, it will take approximately 72 hours to download into
REMS.
Step 4
REMS (Occupancy Screen, Subsidy Screen, etc.) must be reviewed to verify that all
unit, rent and contract data was downloaded from TRACS properly. Once all
required data has been verified in REMS and TRACS, the owner can start billing
HUD for subsidy payments for the reconfigured one bedroom units.
Step 5 - Owner Responsibility
The Owner/Agent must establish the appropriate tenant data in TRACS before
payments can be made and the 95% threshold requirement must also be met. New
baseline information will apply for reconfigured existing contracts.
Step 6
Annotate REMS Problem Statement with the specifics of the transaction.
*Note: Process subject to change with program and/or system updates.

Form HUD-92030-I (05/10)