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   Adjustment Submission Information    

According to the HUD Section 8 Renewal Policy Guidebook owners must submit their renewal/adjustment option selection and the required documentation no later than 120 days prior to the expiration of their contract. "Any delays in submitting this renewal package may result in an interruption of subsidy to the project'' (Chapter 2, Section 2-2, Part C).

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OCAF Rent Adjustment (Adjustment Option 1)
Required Documents

• OCAF Rent Adjustment Worksheet Form HUD 9625 - Attachment 3B  (instruction)
  

• Amortization Schedule  
• Rent Schedule Form HUD 92458

Budget Based Rent Adjustment (Adjustment Option 2)
Documents needed

• Budget Worksheet Form HUD 92547 A
  

• A cover letter that briefly does all of the following:

- Summarizes the reasons why a rent increase is needed and the date the increase will be effective. Describe the project's physical condition and any improvements that have been budgeted for. The letter may refer to the reasons stated in the Notice or elaborate on those reasons. (The main reasons stated in the letter must be the same as the main reasons stated in the Notice to Tenants, if the project was subject to the tenant comment procedures in Section 7-2 of the 4350.1)
- Identifies any proposed change in services, equipment or charges and the reasons for the change.

• A brief statement explaining the basis for any increase in the expense line items on the budget work sheet. Generally, if an increase amounts to 5 percent or more, it must be documented.
  

Chapter 7 of 4350.1 - Appendix 4(b) provides a sample owner explanation of budget items.

• Where applicable, a copy of the Notice to Tenants annotated to show where and how the Notice was distributed (e.g., posted, mailed, hand carried).
  

-Section 7-2, Chapter 7 of 4350.1 for applicability.

-Chapter 7 of 4350.1 - Appendix 1 for an example notice.

• Where applicable, a copy of the Owner's Certification As To Compliance With Tenant Comment Procedures In 24 CFR 245 (Formerly In 24 CFR 401)
  

-Chapter 7 of 4350.1 - Appendix 2

• Owner's Certification Regarding Purchasing Practices and Reasonableness of Expenses.
  

-Chapter 7 of 4350.1 - Appendix 3

• A status report on the project's implementation of its current Energy Conservation Plan (See Chapter 12). This may be: (1) a narrative report coded to facilitate references to the plan; or (2) copy of the plan annotated to show the current status of all items that were scheduled to be completed within 60 days after the rent increase is proposed to be effective. THIS APPLIES ONLY TO SECTION 236 AND BMIR PROJECTS, PROJECTS THAT RECEIVE RENT SUPPLEMENT ASSISTANCE, AND PROJECTS THAT CONVERTED FROM RENT SUPPLEMENT TO SECTION 8. This requirement is to assure compliance with Section 329(c) of the Housing and Community Development Amendments of 1981.
  

• A signed request for a change in the Reserve for Replacement deposits if such a change is contemplated as part of the rent adjustment request.
  

-Chapter 7 of 4350.1 - Appendix 6

• If a change in the Reserve for Replacement deposits is contemplated as part of the rent adjustment request a 5-year capital needs assessment plan.
  

• Utility Allowance Analysis Paperwork (If applicable) Utility Allowance Adjustment Information
  

Note: A utility allowance analysis is required when submitting a budget-based rent adjustment. If you are submitting a budget-based rent adjustment request and according to your utility allowance analysis the utility allowances are not changing by 10% or more, then you may submit a signed statement in lieu of the analysis certifying that you have conducted a Utility Allowance Analysis and you are not recommending a change to the utility allowances based on the analysis.

• Rent Schedule Form HUD 92458