[Code of Federal Regulations]
[Title 24, Volume 4]
[Revised as of April 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR990.104]

[Page 679-680]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 
               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
 
PART 990--THE PUBLIC HOUSING OPERATING FUND PROGRAM--Table of Contents
 
                  Subpart A--The Operating Fund Formula
 
Sec. 990.104  Determination of amount of operating subsidy under the Operating Fund Formula.

    (a) The amount of operating subsidy for which each PHA is eligible 
shall be determined as follows: The Projected Operating Income Level is 
subtracted from the total expense level (Allowable Expense Level plus 
Utilities Expense Level). These amounts are per unit per month dollar 
amounts, and must be multiplied by the Unit Months Available. Transition 
Funding, if applicable, and other costs as specified in Sec. 990.108 are 
then added to this total in order to determine the total amount of 
operating subsidy for the Requested Budget Year, exclusive of 
consideration of the cost of an independent audit. As an independent 
operating subsidy eligibility factor, a PHA may receive operating 
subsidy in an amount, approved by HUD, equal to the actual cost of an 
independent audit to be prorated to operations of the PHA-owned rental 
housing. See Sec. 990.110 regarding adjustments.
    (b) In the case of a PHA development involving the acquisition of 
scattered site housing, the PHA may submit, and HUD shall review and 
approve, a revised Development Cost Budget (or its successor under the 
public housing Capital Fund program) reflecting the number of units that 
were occupied during the previous six months, and the Unit Months 
Available used in the calculation of operating subsidy eligibility shall 
be revised to include the

[[Page 680]]

number of months the new/acquired units are actually occupied.
    (c) A special phase-down of subsidy to PHAs is applicable when 
demolition of units is approved by HUD. See Sec. 990.114.
    (d) The calculation of operating subsidy for a PHA in the Moving to 
Work demonstration program shall be made in accordance with the 
applicable Moving to Work Agreement, and any amendments to such 
agreements, as may be approved by HUD.