The Texas Department of Housing and Community Affairs (TDHCA) is responsible each year for reviewing and approving Utility Allowances using the HUD Model, Energy Consumption Model, Written Local Estimate, and Actual Use Models. These annual submissions are required by August 1 (Actual Use) or October 1 (all others).
In reviewing the submissions during the past 12 months, the Department has noted an increase in the use of rate plans/providers to calculate the Utility Allowance when these rate plans/providers are not available to the development’s residents. As a result, the Department is now requiring a copy of the common area electric bill (e.g. community center electric bill) to evidence the applicable provider. Please note, TDHCA is not necessarily requiring the same provider be used for the community center and the UA calculation; this will only be used to determine whether the development is located within a regulated or deregulated area.
The Utility Allowance Questionnaire has been updated to require this information, along with other updates requested by housing partners, and can be found at https://www.tdhca.texas.gov/compliance-utility-allowance-information. The new Questionnaire should be used for all submissions received after today, March 31, 2026.
Failure to include the updated Questionnaire and/or common area electric bill will result in delays and possibly denials of the UA submission. If the form/bill is missing, the CMTS contacts and person that submitted the UA package to CMTS will receive an email giving a 5-day window to correct and provide the missing information. Failure to do this will result in a denial of the UA package.
Please contact Cara Pollei at [email protected] for any questions or if more information is needed for this policy and procedure change. Thank you for your attention and compliance.
