Title:Calculation and Submission of Operating Subsidy Training
Description:
Final Rule (Sep. 19, 2005) PIH 2005-34 (Nov. 2, 2005) General Information ... Consequences of Final Rule. Project-Based Funding. Direct funding of asset ...
Title: Calculation and Submission of Operating Subsidy Training
1 Calculation and Submission of Operating Subsidy Training
June July and August 2006
Forms HUD52722 and
HUD52723
2 Training Modules
Module 1 Introduction
Module 2 Unit and Unit Months
Module 3 UEL Utility Expense Level
Module 4 Other Formula Expenses Addons
Module 5 Formula Income
Module 6 Transition Policy/Completion of Form
Module 7 Deleted Units and Asset Repositioning Fee
Module 8 New Units
3 Module 1 Introduction
Calculation and Submission of Operating Subsidy Training
4 Training Objectives
Understand Final Operating Fund Formula the Formula
Complete Revised HUD52722 and HUD52723 Forms
Emphasize Complex Parts of Formula and Forms
5 Historical Background
Quality Housing and Work Responsibility Act of 1998 QHWRA
Negotiated Rulemaking 1999
Harvard Cost Study
Negotiated Rulemaking 2004
Revision of 24 CFR Part 990 the Rule
6 Reference Materials
Final Rule Sep. 19 2005
PIH 200534 Nov. 2 2005 General Information
FR5016N02 Jan. 5 2006 Calculation of PEL
PIH 200610 Feb. 3 2006 Guidelines to Identify AMPs
PIH 200614 Mar. 22 2006 Transition Calculation and Asset Management Compliance
7 Consequences of Final Rule
ProjectBased Funding
Direct funding of asset management properties
ProjectBased Budgeting and Accounting
Training in the Fall
Asset Management
Primer Webcast Available
8 Funding Shift PHA to Property
FY 2006 PHALevel Funding
Interim Funding Formula AEL
FY 2007 PHALevel Funding
Final Funding Formula WAPEL
FY 2008 PropertyLevel Funding
Final Funding Formula PEL
9 Funding Method ComparisonInterim Rule Operating Fund Public Housing Authority 10 Funding Method ComparisonFinal Rule Operating Fund AMPs Public Housing Authority 11 Revised Funding Forms for FY 2007 Funding
HUD52723 Operating Fund Calculation of Operating Subsidy
HUD52722 Operating Fund Calculation of Utilities Expense Level
12 Eliminated Funding Forms
HUD52722a Calculation of Allowable Utilities Expense
HUD52722b Adjustment for Utility Consumption and Rates
HUD52720a Formula Data Collection
HUD52720b Calculation of Formula and Delta
HUD52720c Range Test and Determination of Base Year Expense Level
HUD52728 HA Calculation of Occupancy Percentage for a Requested Budget Year RBY
13 Other Required Forms
SF424 Application for Federal Assistance
HUD50071 Certification of Payments to Influence Federal Transactions
14 Operating Fund Submission Timeline 15 Types of Revisions
PHA Error
New/Deleted Units
Transition/Stop Loss
Extenuating Circumstances
16 Final Operating Subsidy Formula Major Components
EUM Eligible Unit Months
PEL Project Expense Level
UEL Utility Expense Level
Addons Non PEL/UEL expenses
Formula Income Rental Income
k
17 Operating Subsidy FormulaInterim Rule
Operating Subsidy
[AEL UEL x UMA] Addons
minus
[Formula Income x UMA]
18 Operating Subsidy FormulaFinal Rule
Operating Subsidy
[PEL UEL x EUM] Addons
minus
[Formula Income x EUM]
19 Operating Subsidy FormulaRelationships
PEL
Subsidy 20 Operating Subsidy FormulaRelationships
EUM
Subsidy 21 Operating Subsidy FormulaRelationships
UEL
Subsidy 22 Operating Subsidy FormulaRelationships
Addons
Subsidy 23 Operating Subsidy FormulaRelationships
Income
Subsidy 24 HUD52723 Format
Hard Copy Submission
Signed copy
Mailed to HUD
Excel Tool
Autopopulated data
Autocalculation
Submitted electronically
Provides Historical Data
25 Form HUD52723 Section 1
Name and Address/ACC Number/DUNS
Autopopulated in Excel Tool
Please Verify Information
26 Form HUD52723 Section 1
Type of Submission Original vs. Revision
Original submission due Sept. 15 2006
Final Revision Due July 15 2007
27 Form HUD52723 Section 1
Funding Period
Funding Period Not Linked to PHA FYE
FY 2007 01/01/2007 to 12/31/2007
28 Form HUD52723 Section 1
PHA Fiscal Year End
Not in Operating Fund Calculation Data Purposes Only
29 Form HUD52723 Section 1
Operating Fund Project Number
Use existing PHA Project Number
30 Section 3 Part A Lines 01 through 04
In FY 2007 PEL will be replaced by WAPEL
31 WAPEL
Weighted Average PEL
FY 2007 Only
Weighted by Asset Management Property Units
Form HUD52723 will not change for FY 2007
32 Section 3 Line 01 PUM Project Expense Level
Calculation Method 990.165
FY 2006 PEL WAPEL
Provided by HUD
33 Line 02 Inflation Factor
Weighted Average Local Government Wages and NonWage Expenses
Provided by HUD
34 Line 03 PUM Inflated PEL
FY 2007 PEL WAPEL
Calculated Automatically
35 Line 04 PEL
PUM PEL x EUM
Calculated Automatically
36 Module 2 Units and Unit Months
Calculation and Submission of Operating Subsidy Training
37 Funding Period
January 1 to December 31 of a given year
Example For FFY 2007 it is Jan. 1 2007 to Dec. 31 2007
All PHAs will be funded for the same period regardless of PHA fiscal year end
38 Reporting Period
12month period from July 1 to June 30
Ends six months prior to the first day of the funding period
Example For FFY 2007 it is Jul 1 2005 to Jun 30 2006
Time period used to report unit information
39 Section 2 ACC Units
ACC Units on 7/1/__ 7/1/05
Units Added to ACC
Units Deleted from ACC
ACC Units on 6/30/__ 6/30/06
40 Section 2 Lines 01 through 17 41 ACC Unit Categorization
Calculate the number of months a unit meets the criteria for a particular category
TwoStep Process
Identify under which category unit was classified
Determine number of months unit was classified in that category during the reporting period
42 Unit Categorization First or Last Day of Month
PHA must choose first or last day
Method must be consistent
Example Unit was vacant on Jul. 1 2005. Unit was approved for special use on Sep. 20 2005. PHA uses first day of month.
Sep. 1 Vacant
Oct. 1 Special Use
43 Section 2 Column A
Unit Months
Includes all ACC units
Used to determine
Asset management and IT fee addons
44 Section 2 Occupied Unit Categories 45 Section 2 Line 01
01 Occupied dwelling units by public housing eligible Family
Occupied by public housing eligible family under lease
Residents meet the income/eligibility qualifications for public housing
990.140
46 Section 2 Line 02
02 Occupied dwelling units by PHA Employees police officers
Occupied by PHA employee police officer or other security personnel who is not otherwise eligible for public housing
If these individuals are eligible for public housing report on Line 01
990.190e
47 Section 2 Line 03
03 New units
Eligible to receive subsidy during the funding period but not included on Lines 01 02 or 0513 of this section
Discussed during New Units module
990.155a1 and b1
48 Section 2 Line 04
04 New units
Eligible to receive subsidy from 10/1 to 12/31 of previous funding period but not included on previous Calculation of Operating Subsidy
Discussed during New Units module
990.155a1 and b1
49 Section 2 Vacant Unit Categories 50 HUDApproved Vacancies
Vacancies approved by the HUD field office
Approval is limited to the time period agreed to by the field office
PHA must request renewal every two years
51 Section 2 Line 05
05 Units undergoing modernization
Two possible scenarios
Scenario 1 conditions
Modernization contract awarded or force account work started
Construction on schedule according to HUDapproved PHA Annual Plan and
Unit is vacant to perform work.
52 Section 2 Line 05
Scenario 2 conditions
PHA treats unit as undergoing modernization in HUDapproved PHA Annual Plan
Time period for placing unit under construction not yet expired and
Unit is vacant to perform work.
990.145a1
53 Section 2 Line 06
06 Special use units
Resident services
Resident organization offices
Related activities such as selfsufficiency and anticrime initiatives
Eligibility conditions apply
990.145a2 and Notice PIH 9471 HA
54 Section 2 Line 07
07 Units vacant due to litigation
Legally enforceable court order or settlement agreement
Regulatory and statutory requirements to avoid potential litigation
Voluntary compliance agreements with HUD or acceptable to HUD
990.145b1
55 Section 2 Lines 08 and 09
08 Units vacant due to disasters
Federallydeclared statedeclared and otherdeclared
990.145b2
09 Units vacant due to casualty losses
Delays in settling insurance claims
990.145b3
56 Section 2 Line 10
10 Units vacant due to changing market conditions
External reason for changing market conditions
PHA has taken aggressive marketing and outreach measures
HUDapproved vacancy through appeal process
990.145c
57 Section 2 Line 11
11 Units vacant and not categorized above
Vacant
Available for occupancy
Not included on Lines 01 through 10 above
58 Section 2 Other ACC Unit Categories 59 Section 2 Line 12
12 Units eligible for asset repositioning fee and still on ACC occupied or vacant
Discussed during Deleted Units module
990.190h
60 Section 2 Line 13
13 All other ACC units not categorized above
Not eligible but still on ACC
Not included on Lines 01 through 12
61 Section 2 Column A Line 15
Total Unit Months
Sum of Section 2 Column A
Lines 01 through 04
Lines 05 through 11
Lines 12 through 13
62 Section 2 Column B
Eligible Unit Months EUMs
Used to determine
Project Expense Level PEL
Utilities Expense Level UEL
Formula Income
63 Section 2 Line 06a
06a Units on Line 02 that are occupied by police officers and that also qualify as special use units
Included in eligible unit months EUMs
Special Use Unit
64 Section 2 Line 14
14 Limited vacancies
Used in column B
PHAs with more than 100 units
May receive subsidy for vacant units up to 3 of total unit months
Calculation is lesser of
3 of Section 2 Column A Line 15 or
Section 2 Column A Line 11
65 Section 2 Line 14
14 Limited vacancies continued
PHAs with 100 or less units
May receive subsidy for up to five vacant units
Calculation is lesser of
60 unit months or
Section 2 Column A Line 11
990.150
66 Section 2 Column B Line 15
Total Unit Months Eligible Unit Months
Sum of Section 2 Column B
Line 1
Lines 3 through 4
Lines 5 through 10
Line 14
67 Section 2 Column C
Resident Participation Unit Months
Used to determine funding for resident participation activities addon
68 Section 2 Column C Line 15
Total Unit Months Resident Participation Unit Months
Sum of Section 2 Column C
Line 1 through 4
69 Section 2 Line 16
Units eligible for funding for resident participation activities
[Total Unit Months] [12]
Section 2 Column C Line 16
[Section 2 Column C Line 15] [12]
Only in Column C
70 Section 2 Line 17
Unit months for which the actual consumption is included in Line 01 of form HUD52722 and that were removed from Lines 01 through 11 above because of removal from inventory including eligibility for the asset repositioning fee
Discussed during Deleted Units module
Only in Column B
71 Exercise 1a and 1b
Refer to Units and Unit Months Exercise 1a and form HUD52723 Operating Fund Calculation of Operating Subsidy
Refer to Units and Unit Months Exercise 1b and form HUD52723 Operating Fund Calculation of Operating Subsidy
72 Module 3Utilities Expense Level UEL
Calculation and Submission of Operating Subsidy Training
73 UEL Summary
Utility expense level UEL is based on
PHAs consumption of its utilities
Actual average utility rates for each utility
Inflation/deflation factor
74 UEL Summary Continued
Sum of consumption of many utilities
Historical utility data
Utility consumption incentive
Same reporting period as HUD52723
75 Consolidated UEL Forms 76 Section 1 General Information
Name of Public Housing Agency
ACC Number
Operating Fund Project Number
DUNS Number
77 Section 1 General Information
Funding Period
Type of Submission
Fiscal Year End
78 Section 1 General Information
Unit Change Indicator
Frozen Rolling Base
Rate Reduction Incentive
79 Section 2 Lines 01 and 01a
01 Actual consumption
By type of utility
For reporting period 7/1/__ to 6/30/__
01a Unit of consumption
Unit of measurement for each type of utility in Line 01
80 Section 3 Lines 02 03 and 04 Jan. 1st minus 18 months Jan. 1st minus 30 months Jan. 1st minus 42 months
02 03 and 04 Rolling base year 1 2 and 3 actual consumption
For 12month period ending June 30th that is 18 30 and 42 months prior to the first day of the funding period
81 Section 3 Line 05
05 Total consumption during 3year rolling base period
[Rolling base year 1 Line 02]
[Rolling base year 2 Line 03]
[Rolling base year 3 Line 04]
82 Section 3 Line 06
06 Average rolling base consumption
[Total consumption during 3year rolling base Line 05]
[3]
83 Section 3 Lines 07 and 08
07 Actual consumption for new units
Only if PHA has added units to ACC
08 Rolling base consumption
[Average rolling base consumption Line 06]
[Actual consumption for new units Line 07]
84 Section 4 Line 09
09 Base Consumption
Lesser of
[Actual Consumption Line 01]
or
[Rolling Base Consumption Line 08]
85 Section 5 Line 10
10 Actual consumption gt rolling base
If [Actual consumption Line 01]
is greater than
[Rolling base consumption Line 08] enter difference as positive
If not enter zero
86 Section 5 Line 11
11 Actual consumption lt rolling base
If [Actual consumption Line 01]
is less than
[Rolling base consumption Line 08] enter difference as positive
If not enter zero
87 Section 5 Line 12
12 75/25 Split
Consumption increased
[Actual consumption gt rolling base Line 10]
x
[0.25]
88 Section 5 Line 13
13 75/25 Split
Consumption decreased
[Actual consumption lt rolling base Line 11]
x
[0.75]
89 Section 6 Line 14
14 Annualization of consumption for new units
Only if PHA added new units to ACC that are eligible for subsidy during funding period
90 Section 6 Line 15
15 Payable consumption
[Base consumption Line 09]
[75/25 Split Line 12]
[75/25 Split Line 13]
[Annualization of consumption for new units Line 14]
91 Utility Consumption Incentive Example 92 Utility Consumption Incentive Example 93 Section 7 Lines 16 and 17
16 Actual utility costs
For consumption in Line 01
17 Actual average utility rate
[Actual average utility costs Line 16]
[Actual consumption Line 01]
94 Section 8 Lines 18 and 19
18 Base utilities expense level
[Payable consumption Line 15]
x
[Actual average utility rate Line 17]
19 Surcharges for excess consumption
95 Surcharges for Excess Consumption
PHA collects surcharges from tenants for excess utility consumption
Surcharges are treated as income
Surcharges are subtracted from base utilities expense level resulting in less UEL
96 Section 8 Lines 20 and 21
20 Base utilities expense minus surcharges
[Base utilities expense level Line 18]
minus
[Surcharges Line 19]
21 Utilities inflation/deflation factor
97 Section 9 Line 22
22 Utilities expense level adjusted for inflation/deflation
[Base utilities expense level Line 20]
x
[Utilities inflation/deflation factor Line 21]
98 Section 9 Line 23
23 Energy rate incentive
PHA gets funding for 50 of the rate savings due to incentive
Documentation to support rate savings required
99 Section 9 Line 24
24 Utilities expense level whole dollars
[Utilities expense level adjusted for inflation/deflation Line 22]
[Energy rate incentive Line 23]
100 Section 9 Line 25
25 Eligible unit months from Form HUD52723 Column B
[Total Unit Months Line 15]
[Unit months for which actual consumption is included in Line 01 of form Line 17]
minus
[New units eligible to receive subsidy from 10/1 to 12/31 Line 04]
101 Section 9 Line 26
26 Utilities Expense Level PUM
[Utilities expense level whole dollars
Line 24]
[Eligible unit months Line 25]
102 Form HUD52723 Part A Line 05
Enter PUM Utilities Expense Level
on Line 05
103 Avoid Distortion of Rolling Base Consumption Level
A PHA shall report its rolling base consumption so as not to materially distort the rolling base period
104 Situations Requiring Adjustments to Avoid Distortion of the Rolling Base Consumption Level
Conversion from one utility type to another type
Switch of utilities from residentpurchased to PHAsupplied or vice versa
Interruptible service
Unoccupied projects and units
105 Frozen Rolling Base
PHA freezes rolling base at level prior to energy conservation measures
Rolling base remains frozen for length of energy conservation measure contract
106 Frozen Rolling Base Continued
Benefit
One time consumption decrease will benefit the PHA over the length of the contract rather than only for three years
PHA is funded for 100 of consumption savings rather than only 75 of consumption savings
107 Frozen Rolling Base Continued
PHA must prepare separate forms for projects and utilities involved
Follow specific frozen rolling base instructions on form HUD52722 pages 6 and 7
990.1851
108 Exercise 2
Refer to Utilities Expense Level Exercise 2 and form HUD52722 Operating Fund Calculation of Utilities Expense Level
109 Module 4 Other Formula Expenses AddOns
Calculation and Submission of Operating Subsidy Training
110 Section 3 Part A Lines 07 through 15 111 Line 07 Selfsufficiency
Elderly/Disabled Service Coordinator EDSC Program only no other ROSS programs
Only applies to 1995 grant recipients
Based on allowable amount in FY 2004 adjusted for inflation
112 Line 07 Selfsufficiency continued
For reasonable cost of salary fringe benefits and related administrative costs
Supporting documentation must be provided in Section 4 Remarks
990.190a
113 Line 08 Energy loan amortization
Must be HUDapproved
Includes the following costs accrued during the funding period
Principal and interest for the energy conservation measures
PHA receives 10 of shelter rent even if it has cooperation agreement with locality to pay less
If shelter rent is a negative number PHA receives 0 for PILOT
116 Line 10 Cost of an independent audit
Most recent actual audit costs from FDS submitted in FASSPH
From FDS Line 912 Auditing fees
Operating Fund portion only
117 Line 10 Cost of an independent audit continued
If PHA does not intend to have audit for the period must enter zero
If PHA intends to have audit for the period but has no recent actual audit cost in FASSPH PHA must work with FO to establish audit cost
If funding for audit is requested audit must be completed
990.190d
118 Line 11 Funding for resident participation activities
25 per unit
Based on units occupied by
Public housing resident
PHA employee police officer or other security personnel not otherwise eligible for public housing
119 Line 12 Asset management fee
Based on total ACC unit months
PHAs with at least 250 units
4 per unit month
PHAs with fewer than 250 units
Must transition to asset management to receive addon
2 per unit month
120 Line 12 Asset management fee continued
Asset management fee
[Total Unit Months]
x
[2 or 4]
Section 3 Part A Line 12
[Section 2 Column A Line 15]
x
[2 or 4]
121 Line 13 Information technology fee
Based on total ACC unit months
2 per unit month
Information technology fee
[Total Unit Months]
x
[2]
122 Line 14 Asset repositioning fee
Discussed in Deleted Units module
123 Line 15 Costs attributable to changes in Federal law regulation or economy
No amount permitted at this time
Bookmark for future use
124 Line 16 Total AddOns
Sum of Part A Lines 07 through 15
Total AddOns autocalculated on Line 16 125 Line 17 Total Formula Expenses
Sum of Part A Lines 04 06 and 16
Total Formula Expenses autocalculated on Line 17 126 Exercise 3
Refer to Other Formula Expenses AddOns Exercise 3 and form HUD52723 Operating Fund Calculation of Operating Subsidy
127 Module 5 Formula Income
Calculation and Submission of Operating Subsidy Training
128 Formula Income Summary
Formula income is based on
Rent charged to tenants
Unit months leased
Data obtained from PHAs 2004 audited financial information in the FDS submitted in FASSPH
129 Frozen at 2004 Level
Formula income frozen at 2004 level
Not recalculated for FFY 2007 through 2009
Exceptions
Appeal for severe local economic hardship
Adjustment for changes in tenant utility allowances
130 Line 01 PUM formula income
[Rent charged to tenants 2004]
from FDS Line 703 Net tenant rental revenue
[Unit months leased 2004]
from FDS Line 1121 Number of unit months leased
131 Line 01 PUM formula income
PUM formula income
autopopulated by HUD on Line 01
132 Adjustments in Rental IncomeChanges in Tenant Utility Allowances
Rent collections and rental income will change as tenant utility allowances increase or decrease
Frozen FY 2004 income level needs to be adjusted
Exception
If PHA is HUDapproved to freeze the tenant utility allowance base as the result of energy conservation measures then the PHA should not report the allowance in HUD52723
133 Changes in Tenant Utility Allowances Results In
Tenant Utility Allowances
Rental Income Operating Subsidy 134 Changes in Tenant Utility Allowances Results In
Tenant Utility Allowances
Rental Income Operating Subsidy 135 Line 02 PUM change in utility allowances Enter PUM change in utility allowances on Line 02
Decrease over 2004 entered as positive
Increase over 2004 entered as negative in brackets
136 Calculation of Change in Utility AllowancesStep 1
PUM Tenant utility allowances 2004
[Tenant utility allowances 2004]
from PHA records
[Unit months leased 2004]
from FDS line 1121 Number of unit months leased
137 Calculation of Change in Utility AllowancesStep 2
PUM Tenant utility allowances RP
[Tenant utility allowances reporting period]
from PHA records
[Unit months leased reporting period]
from PHA records
138 Calculation of Change in Utility AllowancesStep 3
PUM Change in utility allowances
[PUM tenant utility allowances 2004]
Step 1
minus
[PUM tenant utility allowances reporting period]
Step 2
139 Line 03 PUM adjusted formula income
[PUM formula income]
Line 01
PUM change in utility allowances
Line 02
140 Line 03 PUM adjusted formula income PUM adjusted formula income is autocalculated on Line 03 141 Line 04 Total Formula Income
[PUM adjusted formula income]
Section 3 Part B Line 03
x
[Total eligible unit months]
Section 2 Line 15 Column B
142 Line 04 Total Formula Income Total Formula Income autocalculated on Line 04 143 Exercise 4
Refer to Formula Income Exercise 4 and form HUD52723 Operating Fund Calculation of Operating Subsidy
144 Module 6 Transition Policy and Completion of Form
Calculation and Submission of Operating Subsidy Training
145 Objectives
Review Transition Schedule/Transition Funding
Explain Stop Loss Provision
Finalize HUD52723 Form
146 Transition Policy
Subpart F
Sections 990.220 990.235
Notice PIH 200614
Detailed guidance on calculation of PUM Transition Amount
Includes seven criteria for asset management compliance
147 Transition Funding
Transition Funding
Transition Funding is similar to Addon
EUM x PUM Transition Amount
148 PUM Transition Amount
Final Rule Subsidy Level Interim Rule Subsidy Level
Use FY 2004 Data for Calculation
Calculated on a PUM Basis
Modified Final Rule Formula
149 Transition Schedule Decliners
Year 1 24 of PUM transition FFY 2007
Year 2 43 of PUM transition FFY 2008
Year 3 62 of PUM transition FFY 2009
Year 4 81 of PUM transition FFY 2010
Year 5 100 of PUM transition FFY 2011 or Normal Funding under Final Rule
150 Transition Schedule Gainers
Year 1 50 of PUM transition FFY 2007
Year 2 100 of PUM transition FFY 2008 or Normal Funding under Final Rule
151 Transition Schedule Decliners Example 152 Transition Schedule Decliners Example Will vary year to year. 153 Transition Policy GainersExample 154 Transition Policy GainersExample Value is negative because the PHAs operating subsidy is reduced by transition policy. 155 Stop Loss
Subpart H
Opportunity to limit funding reduction
PHAs must be Asset Management Compliant
Calculation based on PUM transition amount
156 Stop Loss Asset Management Compliance Schedule 157 Stop Loss Example 158 MovingtoWork MTW
MovingtoWork MTW Part C Line 1
990.165
159 MovingtoWork MTW PHAs
Block Grant PHAs
Receive an operating subsidy as provided in Attachment A of MTW Agreements
Continue to have the right to request extensions of or modifications to MTW Agreements
990.165
160 Part DCalculation of Formula Amount
Formula Calculation
Part A Part B Part C
Formula Expenses Formula Income Other Formula Provisions
161 Part DCalculation of Formula Amount
Cost of Independent Audit
Same as Line 10 in Part A
162 Part D Calculation of Formula Amount
Formula amount
Greater of Formula Calculation or Audit
163 Part ECalculation of Operating Subsidy
Subpart E
Use of HUD Databases to Calculate Formula
PHAs Responsibility to Submit Timely Data
164 Part ECalculation of Operating Subsidy
Formula amount
Not Necessarily the Subsidy Amount
Completed by HUD
165 Part ECalculation of Operating Subsidy
Adjustments due to availability funds
Based on Proration of Formula Amount
Formula Amount x Proration
166 Part ECalculation of Operating Subsidy
HUD discretionary adjustments
Will vary by PHA
167 Part ECalculation of Operating Subsidy
Funds Obligated for Period
Formula Amount Appropriations Adjustment HUD Adjustment
168 Module 7 Deleted Units
Calculation and Submission of Operating Subsidy Training
169 Objectives
Define Deleted Unit
Correctly Remove Deleted Unit Data from Reporting Period in HUD52723
Understand Implications of Deleted Units on HUD52722
Review Asset Repositioning Fee
170 Definition
990.155
All units in a project or an entire building in a project which are eligible for Asset Repositioning Fee
Units removed from ACC without Asset Repositioning Fee
171 Asset Repositioning Fee
990.190
Applications for Demolition or Disposition must be HUD Approved to receive Asset Repositioning Fee
173 Asset Repositioning Fee ScheduleDemolition Units
75 of PEL for first 12 months
50 of PEL for second 12 months
25 of PEL for third 12 months
174 Asset Repositioning Fee Schedule Disposition Units
75 of PEL for first 12 months
50 of PEL for second 12 months
175 Asset Repositioning Fee Funding
Continues Despite Actual Expenses
Continues Despite Actual Disposition or Demolition Schedule
Continues Despite Replacement Vouchers or New ACC Units
176 Replacement of Prior Addons
Costs Attributable to Deprogrammed Units
Phase Down for Demolitions
Determine Remaining Asset Repositioning Schedule as of Jan 1 2007
177 Asset Repositioning Fee Timeline
Fee begins on the first day of the next quarter six months after the date the first unit becomes vacant after the relocation date included in the approved relocation plan.
178 Asset Repositioning Fee Timeline continued
HUDapproval of demolition or disposition with tenant relocation plan
Date of first vacancy
Add six months to vacancy date and determine the next quarter start date
Asset repositioning can only begin on 1/1 4/1 7/1 or 10/1
179 Asset Repositioning Units Impact on HUD52723
Units no longer eligible for Operating Subsidy due to Asset Repositioning
Must Delete Data in Reporting Period from Lines 01 to 11
Deleted Units Reported on Line 12 Units Eligible for Asset Repositioning Fee
180 Section 2 Lines 01 through 11 181 Categorization of Unit Months
Delete Unit Month Data by Categorization
Use Reporting Period Data
Delete based on Asset Repositioning Date
182 Asset Repositioning Unit Months
Line 12 Units eligible for asset repositioning
Unit months removed from Lines 01 to 11 should be reported on Line 12
183 Categorization Chart of Deleted Units 184 How to Identify Unit Month Category
Crosswalk Alignment of Reporting and Funding Period
Category in Reporting Period Determines Line to Remove
185 Asset Repositioning FeeImpact on HUD52722
Actual Consumption Reporting Period
Actual Utility Costs Reporting Period
Rolling Base
MultiYear Impact
186 HUD52722 Impacted Line Items 187 Asset Repositioning FeeDeletion of Consumption Data
Based on First Vacancy Date after HUD Approved Relocation Date
Scenario 1
12 Months of Utility Data in Line 1 Actual Consumption
Scenario 2
Less than 12 Months of Utility Data in Line 1 Actual Consumption
188 Deletion of Consumption Data Example
First unit in a project approved for asset repositioning vacated on 1/1/2007
Unit generated 100 kwh of electricity consumption annually
Unit kwh consumption cost 100 annually
189 Asset Repositioning FeeDeletion of Consumption Data Partial Year of Data Full Year of Data 190 Asset Repositioning FeeDeletion of Consumption Data Adjustment Full Year of Data 191 Special Provision for Calculation of UEL
Unit Months for which actual consumption is included..
Reinserts deleted units into Eligible Unit Months calculation for HUD52722
Units reported in Line 17 still include consumption data in HUD52722
j
192 Other Criteria for Deleted Unit Rolling Base Adjustment
Units removed from ACC without Asset Repositioning Fee
Switch from PHA Paid to Tenant Paid Utilities
193 Demolition and Disposition Units Adjustment to Rolling Base
If less than 10 of Units in a Building are Demolished/Disposed
No Adjustment to 52722
If less than 5 Units in a Building are Demolished/Dispose
No Adjustment to 52722
Consumption data flows through Rolling Base
194 Exercise 5
Refer to Deleted Units Exercise 5 and forms HUD52723 and HUD52722
195 Module 8 New Units
Calculation and Submission of Operating Subsidy Training
196 Objectives
Define New Unit
Correctly Place New Unit Data on Form HUD52723
Understand Implications of New Units on HUD52722 Rolling Base
197 Definition
990.155
Unit Added to ACC
Occupied by Eligible Family
Added During or After Reporting Period
198 New Unit Status
First Day of Month
Last Day of Month
Consistency Same for Both New Units and Unit Categorization
Assumed to be Fully Occupied for Funding Period
199 Impact on HUD52723
Eligible Unit Months
Resident Participation
Asset Management Fee
IT Fee
UEL/PEL/Formula Income
200 Section 2 Lines 01 through 04 201 Impact on Line 01 Occupied Dwelling Units
Occupied Dwelling Units
Includes Only Partial Year of New Unit Data
0 to 12 Unit Months per Unit
202 Impact on Line 03 New Units
New Units Eligible in FY 2007
Eligible for Funding but Not Reported
Eligible for 0 to 12 Unit Months per Unit
203 Impact on Line 04 New Units
New Units Eligible in FY 2006
Not Included in FY 2006 Funding
Eligible for 0 to 3 Unit Months per Unit
204 New Unit Categories
Category 1 Units Added During Reporting Period 7/1/2005 to 6/30/2006
Category 2 Units Added After Reporting Period but Before FY 2006 Final Revision 7/1/2006 to 7/15/2006
Category 3 Units Added After Reporting Period and After FY 2006 Final Revision in CY 2006 7/16/2006 to 12/31/2006
Category 4 Units Added in Funding Period 1/1/2007 to 7/15/2007
205 Category 1 Units Added During Reporting Period 206 Category 2 Units After Reporting PeriodPrior to FY 2006 Final Revision 207 Category 3 Units Added After Reporting Period and After FY 2006 Final Revision 208 Category 4 Units Added During Funding Period 209 Impact on HUD52722
Need to Annualize New Unit Consumption
Rolling Base Changes
MultiYear Impact
210 Impact on HUD52722New Unit Revisions
No Changes to HUD52722 Due to New Unit Revisions
New Units Added After Reporting Period do not require update to UEL Calculation
UEL is PUM Base Utility Expense Funded through EUM Increase
211 Section 1 General Information
Unit Change Indicator Box
212 HUD52722 Impacted Line Items 213 Section 2 Current Consumption
Line 1 Actual Consumption
Matches Reporting Period 7/1/2005 to 6/30/2006
Includes New and Existing Unit Consumption Data
214 Section 3 Rolling Base Consumption
Line 7 Actual Consumption for New Units
New Consumption Data is added to Rolling Base
215 Section 6 Payable Consumption
Line 14 Annualization of Consumption for New Units
Estimates missing new unit consumption data from reporting period
Line 7 Line 14 should equal 12 months of consumption
216 HUD52722 Additional Reporting Requirements
Consumption Data attached with HUD52722
Consumption Estimate Methodology attached with HUD52722
217 Section 3 Rolling Base Consumption
Does not include New Unit Utility Consumption Data
218 Impact on Rolling BaseYear 1 New Units Added
No New Unit Consumption Data reported in Rolling base
Use Line 07 Actual Consumption for New Units
219 Impact on Rolling BaseYears 2 to 5 After New Units Added
Line 2 Rolling base year 1 Partial Year Data
Report zero in rolling base year 1
Use Line 7 Actual Consumption for New Units
Line 2 Rolling base year 1 Full Year Data
Rolling base year 1 as reported
Rolling base year 2 or 3 as reported or previous rolling base year
Line 7 equals 0
220 Adjustment of Consumption Data Example
Unit is added to the ACC and occupied by an eligible family on February 1 2006
Unit consumed 50 kwh of electricity consumption during reporting period
Unit is expected to consume 120 kwh of electricity consumption annually
221 Adjustments to HUD52722New Unit Consumption Data Partial Year of Data Full Year of Data Adjustment 222 Exercise 6
Refer to New Units Exercise 6 and forms HUD52723 and HUD52722