Frequently Asked Questions
1. When should I submit a contract renewal request?
HUD requires the requests to be submitted at least 120 days prior to contract/funding expiration. In the cases of an Early Termination, the request should be submitted at least 120 days before the anticipated contract effective date.
2. What is debt service?
Debt service equals Principal + Interest + MIP (if applicable) - IRP (if applicable).
3. Can an increase factor (line Q) be less than one?
No, the increase factor must be greater than one.
4. How do I calculate line N?
Line N is a calculation consisting of line M times one plus the OCAF.
5. What is the current OCAF rate?
The current OCAF rates can be found here, They are effective on February 11th of the year they are issued for.
6. Do I have to submit a utility allowance analysis?
Any property with a utility allowance is required to submit an analysis with every contract renewal or rent adjustment. If eligible, the property can accept a factor based UA utilizing the HUD published rates.