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Public Housing Operating Fund Update

Seth Embry, PHADA Policy Analyst

Without a full-year FY 20 appropriations bill in place, Congress has funded the government with temporary measures known as “Continuing Resolutions” or “CRs.” To date, Congress passed, and the President signed two CRs into law; the latest bill funds the government through December 20, 2019. In the absence of full-year funding, CRs are preferred to the alternative of a government shutdown, but do not come without complications.

For the Operating Fund, the first CR provided approximately one and a half months of funding. This funding is being made available to housing authorities (HAs) in eLOCCS and can be accessed starting January 1, 2020. HAs should note that because eLOCCS cannot process less than a month of funding, this obligation will fund HAs through February 15. The proration for the January obligation is approximately 96 percent. HUD staff have previously given the caveat that proration estimates have a five percent margin of error and are not final until late in the calendar year. 

The second CR, signed into law November 21, 2019, provided an additional month of funding for government operations. Therefore, HAs should expect an obligation to provide funding from mid-February through mid-March. Monthly obligations will return to the normal monthly schedule when appropriations allow. HAs should also be aware that HUD continues to collect the data needed to accurately calculate subsidy eligibility and will adjust the February 15 obligation to reflect updated eligibility figures.