This is a friendly reminder to owners using a utility allowance methodology other than the Public Housing Authority (PHA) Methodology that the deadline to submit an annual utility allowance request is October 1, 2024. The Actual Use Method must be updated once a calendar year. The update and all back up documentation required by the method must be submitted to the Department no later than August 1, 2024. Failure to submit, as required by the current methodology, may result in noncompliance.
Properties funded with TDHCA’s MFDL funds (HOME, HOME-ARP, NHTF, NSP, or TCAP RF) that are submitting an annual utility allowance request must meet the October 1, 2024, deadline. If a request is not received by October 1, the Department will calculate the utility allowance using the HUD Utility Schedule Model as prescribed in 10 TAC Section 10.614.
With the exception of MFDL developments, if an owner fails to submit for annual review during the calendar year, the Development’s Utility Allowance will default to the applicable PHA allowance for the purposes of any monitoring review. If the Development is located in an area that does not have a PHA, then the Development fails to have a properly calculated Utility Allowance. If the Owner fails to submit the annual utility allowance review and the property is monitored by the Department, noncompliance may be cited during the review. The Utility Allowance for MFDL Developments that fail to submit for annual review will be calculated as outlined in the paragraph above.
All required forms can be found on the TDHCA’s website at https://www.tdhca.texas.gov/compliance-utility-allowance-information.
The Department has conducted and posted a detailed training on Utility Allowances, which can be found online at https://www.tdhca.texas.gov/compliance-program-training-presentations. A live, virtual training is being offered on August 9, 2024, that will offer insight and guidance on this topic; registration can be found online at https://attendee.gotowebinar.com/register/3914100205964143703.
Guidance on acceptable methodologies can be found at https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=10&pt=1&ch=10&rl=614.
If you have questions related to the annual utility allowance request, please contact Cara Pollei by email at [email protected].