[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR880.609]



[Page 62-63]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

  CHAPTER VIII--OFFICE OF THE ASSISTANT SECRETARY FOR HOUSING-FEDERAL 

 

PART 880_SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM FOR NEW 

CONSTRUCTION--Table of Contents

 

                          Subpart F_Management

 

Sec.  880.609  Adjustment of contract rents.



    (a) Automatic annual adjustment of Contract Rents. Upon request from 

the owner to the contract administrator, contract rents will be adjusted 

on the anniversary date of the contract in accordance with 24 CFR part 

888.

    (b) Special additional adjustments. For all projects, special 

additional adjustments will be granted, to the extent determined 

necessary by HUD (for 24 CFR part 883 projects, by the Agency and HUD), 

to reflect increases in the actual and necessary expenses of owning and



[[Page 63]]



maintaining the assisted units which have resulted from substantial 

general increases in real property taxes, assessments, utility rates, 

and utilities not covered by regulated rates, and which are not 

adequately compensated for by annual adjustments under paragraph (a) of 

this section. The owner must submit to the contract administrator 

required supporting data, financial statements and certifications.

    (c) Overall limitation. Any adjustments of contract rents for a unit 

after Contract execution or cost certification, where applicable, must 

not result in material differences between the rents charged for 

assisted units and comparable unassisted units except to the extent that 

the differences existed with respect to the contract rents set at 

Contract execution or cost certification, where applicable.



[44 FR 59410, Oct. 15, 1979, as amended at 59 FR 22755, May 3, 1994; 61 

FR 13591, Mar. 27, 1996]