Rule Worsens Existing Tenant Accounts Receivable Problems for Some HAs
Today, HUD released the pre-publication version of a final rule, 30-Day Notification Requirement Prior to Termination of Lease for Nonpayment of Rent. Over a year has passed since the proposed rule was published, and release had not been expected in the final weeks of this administration.
PHADA is extremely disappointed in HUD’s action. In many places, this will negatively impact both tenants and agency finances. Increased owed balances create bigger barriers for tenants to overcome poverty, and increased uncollected rent further depletes already strained agency resources. Furthermore, it creates a federal procedural requirement that is different from state and local landlord-tenant laws, complicating and adding administrative burdens for owners and tenants.
PHADA and many of its members, along with others, submitted comments raising these concerns about the rule. PHADA’s full comments can be found here, or here. In addition, see HUD Receives Over 3,000 Comments on 30-Day Notice Rule for information on other comments submitted. As required by the Administrative Procedures Act, the final rule includes discussion of the comments received.
It is unclear what implications this has for the complex mechanism for Congressional rescission of the rule, as discussed in The Uncertain Future of Three Proposed Rules. PHADA will provide a review and analysis of responses to the comments in the upcoming January 1 edition of the Advocate.