HUD Sends Update on HOTMA Implementation (Sections 102, 103, and 104)

On July 18, HUD sent an email to Executive Directors of PHAs providing additional information on the implementation of certain provisions of the Housing Opportunity Through the Modernization Act of 2016 (HOTMA). Specifically, the email provides information on the over-income provisions (section 103), the income review provisions (section 102), and the asset limitation provisions (section 104) of HOTMA.

Over-income Provisions (Section 103) – All PHAs with public housing should have taken appropriate steps to implement the over-income provisions of HOTMA. The Department published Notice PIH 2023-03 (HA), which details the exact requirements and steps to implement the provisions.

Income Review and Asset Limitation Provisions (Sections 102 and 104 respectively) – These provisions will still take effect on Jan. 1, 2024, but PHAs will have additional time to bring their systems into compliance as quickly as possible, but no later than Jan. 1, 2025. This compliance date will be established by HUD via a notice. Despite the later compliance date, PHAs must have updated their Admissions and Continued Occupancy Policies (ACOPs) and Administrative Plans to reflect the changes made by these HOTMA provisions by Jan. 1, 2024. Once a PHA is ready to transition to the HOTMA rules, it must do so in all affected areas of operations. Once the new Housing Information Portal (HIP) is in place, HUD will monitor HIP submissions and reach out to PHAs that are not submitting through HIP to check on their status.

The full email can be found here.