HUD issued Notice H 2014-16 on November 28, 2014 to provide guidance on the administration of waiting lists for HUD multifamily housing properties.   The Notice provides no new requirements, but does provide additional options for waiting list administration. Owners may close a waiting list for one or more unit sizes if the average wait list is excessive. HUD 4350.3, 4-16 provides additional guidance.

1. When the list is re-opened, a notice must be published in a publication likely to be read by potential applicants and in accordance with the project’s Affirmative Fair Housing Marketing Plan (AFHMP).
2. Concerns have been raised that persons with disabilities may be at a disadvantage regarding waiting list placement, so HUD is publishing additional options.

  The Notice applies to the following programs:

• Project-based Section 8;
• Section 101 Rent Supplement;
• Section 202 PAC;
• Section 202 PRAC;
• Section 202 SPRAC;
• Section 811 PRAC;
• Section 811 PRA Demonstration;
• Section 236;
• Section 236 RAP; and
• Section 221 (d) (3) BMIR

  Opening the Waiting List

• When re-opening the list, the notice must be in the same publication in which the closure of the waiting list was announced.
• The required contents of the notice are outlined in 4350.3, and include:
  • Where and when to apply;
  • Rules for applying; and
  • The order in which applications will be processed.
• Owners must ensure that notices and communication during meetings are accessible to persons with hearing, vision and other communications related disabilities in accordance with Section 504 of the Rehabilitation Act of 1973.
• Waiting lists should not be opened for limited periods, such as a single day, which may create disorderly and unsafe intake processes.
  • Waiting lists should be opened for reasonable periods and applications should be made available ahead of time.
  • Owners are encouraged to have multiple venues - both physical and online - to accept applications.

  Placing Applicants on the Waiting List

• When opening a waiting list for a set period of time, owners should consider use of a lottery or other random choice techniques to determine waiting list order.
  • Such methods should be considered only if the volume of applications is high enough that placing each eligible applicant on the waiting list would result in an unrealistic waiting period.
    • Could also be considered if persons unable to apply in person early in the process would be at a distinct disadvantage in their placement on the waiting list. (This could be mitigated by online applications).
  • If owners use any of these approaches, it must be described in the Tenant Selection Plan and in any public notice.
  • Applicants should be notified that as long as the application is submitted within the stated timeframe, the timing of the application will not affect the timing of assistance.
  • If a lottery technique is used, the date and time the lottery is held should be the date recorded on the waiting list - not the date the application was actually completed.
  • Once unit size and preference order is determined, owners must select applications from the waiting list in chronological order to fill vacancies.

  Advertising

• AFHMP requirements must be followed when advertising.
  • If ads show persons, they must depict members of all eligible protected classes, including individuals from both minority and majority groups, including both sexes.

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