OMB Control Number 2502–0587 |
Project-Based
Section 8 Housing Assistance Payments
Basic Renewal
Contract
One-Year Term
This form is used for the renewal of Section 8 Housing Assistance Payment contracts as authorized under the Multifamily Assisted Housing Reform and Affordability Act of 1997 (MAHRA), 42 U.S.C. § 1437f note. The public reporting burden for completing this form is estimated to average 30 minutes per response, including the time for reviewing instructions, searching existing data sources, and gathering and maintaining the data needed. The information collected is required to obtain benefits. HUD may disclose certain information to Federal, State, or local agencies when relevant to civil, criminal, or regulatory investigations and prosecutions. Information collected will not otherwise be disclosed or released outside of HUD, except as required and permitted by law. HUD may not collect this information, and you are not required to complete this form, unless it displays a currently valid OMB control number.
Preparation of HAP Contract
Reference numbers in this form refer to notes at the end of the contract text. These endnotes are instructions for preparation of the Basic Renewal Contract. The instructions are not part of the Renewal Contract.
This form of Renewal Contract is to be used for initial and subsequent renewals of an expiring Section 8 project-based HAP contract under the authority of Section 524(a) or 524(b)(1) of MAHRA for a one-year term. Form HUD–9637 is to be used for renewals under the authority of Section 524(a) or 524(b)(1) of MAHRA for a renewal term of 2 or more years.
This form may not be used for Mark-Up-To-Market renewals. The HUD-prescribed form of Mark-Up-To-Market Renewal Contract (form HUD–9638) must be used for this purpose.
Section 2 of the Basic Renewal Contract specifies the contract term.
Table of Contents
1. Contract Information 3
c. Parties to renewal contract 3
2. Term and funding of renewal contract 3
3. Definitions 4
4. Renewal Contract 4
d. Purpose of Renewal Contract 5
5. Expiring Contract: Provisions Renewed 5
6. Contract Rent 6
7. Owner Warranties 6
8. Owner Termination Notice 6
9. HUD Requirements 6
10. Statutory Changes During Term 6
11. PHA Default 6
12. Exclusion of Third-Party Rights 7
13. Written Notices 7
Section 8 Project Number:
Section 8 Project Number of Expiring Contract:
FHA Project Number (if applicable):
Project Name:
Project Description:2
☐ Check this box for a project renewed under Section 524(a) of MAHRA (not including a Mark-Up-To-Market renewal).
☐ Check this box for a project renewed at exception rents under Section 524(b)(1) of MAHRA.
Name
of Contract Administrator3
Address
of Contract Administrator:
Name
of Owner4
Address
of Owner
a. The Renewal Contract begins on _______5 and shall run for a period of one year.
b. Execution of the Renewal Contract by the Contract Administrator is an obligation by HUD of $ ____________,6 an amount sufficient to provide housing assistance payments for approximately ____________7 months of the Renewal Contract term.
c. HUD will provide additional funding for the remainder of the Renewal Contract term subject to the availability of sufficient appropriations. When such appropriations are available, HUD will obligate additional funding and provide the Owner written notification of (i) the amount of such additional funding, and (ii) the approximate period of time within the Renewal Contract term to which it will be applied.
ACC. Annual contributions contract.
Contract rent. The total monthly rent to owner for a contract unit, including the tenant rent (the portion of rent to owner paid by the assisted family).
Contract units. The units in the Project which are identified in Exhibit A by size and applicable contract rents.
HAP contract. A housing assistance payments contract between the Contract Administrator and the Owner.
HUD. The United States Department of Housing and Urban Development.
HUD requirements. HUD regulations and other requirements, including changes in HUD regulations and other requirements during the term of the Renewal Contract.
MAHRA. The Multifamily Assisted Housing Reform and Affordability Act of 1997 (Title V of Public Law No.105‑65, October 27, 1997, 111 Stat. 1384), as amended.
PHA. Public housing agency (as defined and qualified in accordance with the United States Housing Act of 1937. 42 U.S.C. 1437 et seq.).
Project. The housing described in section 1 of the Renewal Contract.
Renewal Contract. This contract, including applicable provisions of the Expiring Contract (as determined in accordance with section 5 of the Renewal Contract).
Section 8. Section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f).
(1) The Renewal Contract is a housing assistance payments contract (“HAP Contract”) between the Contract Administrator and the Owner of the Project (see section 1).
(2) If HUD is the Contract Administrator, HUD may assign the Renewal Contract to a public housing agency (“PHA”) for the purpose of PHA administration of the Renewal Contract, as Contract Administrator, in accordance with the Renewal Contract (during the term of the annual contributions contract (“ACC”) between HUD and the PHA). Notwithstanding such assignment, HUD shall remain a party to the provisions of the Renewal Contract that specify HUD’s role pursuant to the Renewal Contract, including such provisions of section 9 (HUD requirements), section 10 (statutory changes during term) and section 11 (PHA default), of the Renewal Contract.
The Renewal Contract is entered pursuant to section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f), and section 524 of MAHRA.
Previously, the Contract Administrator and the Owner had entered into a HAP Contract (“expiring contract”) to make Section 8 housing assistance payments to the Owner for eligible families living in the Project. The term of the expiring contract will end prior to the beginning of the term of the Renewal Contract.
(1) The purpose of the Renewal Contract is to renew the expiring contract for a one-year term. During the term of the Renewal Contract, the Contract Administrator shall make housing assistance payments to the Owner in accordance with the provisions of the Renewal Contract.
(2) Housing assistance payments shall only be paid to the Owner for contract units occupied by eligible families leasing decent, safe, and sanitary units from the Owner in accordance with statutory requirements, and with all HUD regulations and other requirements. If the Contract Administrator determines that the Owner has failed to maintain one or more contract units in decent, safe and sanitary condition, and has abated housing assistance payments to the Owner for such units, the Contract Administrator may use amounts otherwise payable to the Owner pursuant to the Renewal Contract for the purpose of relocating or rehousing assisted residents in other housing.
The Renewal Contract applies to the Contract units.
(1) Identification of contract units by size and applicable contract rents;
(2) The amount of the monthly contract rents;
(3) Contract rent adjustments; and
(4) Project account (sometimes called “HAP reserve” or “project reserve”) as previously established and maintained by HUD pursuant to former Section 8(c)(6) of the United States Housing Act of 1937 (currently Section 8(c)(5) of the Act, 42 U.S.C. 1437f(c)(5)). Section 8(c)(5) does not apply to the Renewal Contract, or to payment of housing assistance payments during the Renewal Contract term.
Throughout the Renewal Contract term, the contract rent for each bedroom size (number of bedrooms) shall be the contract rent amount listed in Exhibit A of the Renewal Contract.
There shall be no adjustment of the contract rents during the term of the Renewal Contract. Special adjustments shall not be granted.
The Renewal Contract shall be construed and administered in accordance with all statutory requirements, and with all HUD regulations and other requirements, including changes in HUD regulations and other requirements during the term of the Renewal Contract. However, any changes in HUD requirements that are inconsistent with the provisions of the Renewal Contract, including the provisions of section 6 (contract rent), shall not be applicable.
If any statutory change during the term of the Renewal Contract is inconsistent with section 6 of the Renewal Contract, and if HUD determines, and so notifies the Contract Administrator and the Owner, that the Contract Administrator is unable to carry out the provisions of section 6 because of such statutory change, then the Contract Administrator or the Owner may terminate the Renewal Contract upon notice to the other party.
Contract Administrator (CA)
By:
Signature
of authorized representative
Name
and official title (print or type)
Date
(mm/dd/yyyy)
U.S. Department of Housing and Urban Development (HUD)
By:
Signature
of authorized representative
Name
and official title (print or type)
Date
(mm/dd/yyyy)
Owner
Name
of Owner (print or type)
By:
Signature
of authorized representative
Name
and title (print or type)
Exhibit A
IDENTIFICATION
OF UNITS (“CONTRACT UNITS”)
BY SIZE AND APPLICABLE
CONTRACT RENTS
Section 8 Contract Number:
FHA Project Number (if applicable):
Effective Date of the Rent Increase (if applicable):
Number of Contract Units |
Number of Bedrooms |
Contract Rent |
Utility Allowance |
Gross Rent |
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NOTE: This Exhibit will be amended by Contract Administrator notice to the Owner to specify adjusted contract rent amounts as determined by the Contract Administrator in accordance with section 6b of the Renewal Contract.
Comments:
1 To prepare the Renewal Contract for execution by the parties, fill out all contract information in section 1 and section 2.
2 Enter a description of housing that will be covered by the Renewal Contract. The description must clearly identify the Project by providing the Project’s name, street address, city, county, state, and zip code, block and lot number (if known), and any other information, necessary to clearly designate the covered Project.
3 Enter the name of the Contract Administrator that executes the Renewal Contract. If HUD is the Contract Administrator, enter “United States of America – Department of Housing and Urban Development (HUD)”. If the Contract Administrator is a public housing agency (“PHA”), enter the full legal name of the PHA.
4 Enter the full legal name of the Owner. For example: “ABC Corporation, Inc., a Maryland corporation.”
5 The Renewal Contract must be entered before expiration of the Expiring Contract. Enter the date of the first day after expiration of the term of the Expiring Contract.
6 Enter the amount of funding obligated.
7 Enter a whole number of months.
| File Type | application/vnd.openxmlformats-officedocument.wordprocessingml.document |
| Author | Stanley R Houle |
| File Modified | 0000-00-00 |
| File Created | 2023-09-06 |