[Code of Federal Regulations]
[Title 24, Volume 4]
[Revised as of April 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR983.5]

[Page 653-654]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 
 
PART 983_PROJECT-BASED VOUCHER (PBV) PROGRAM--Table of Contents
 
                            Subpart A_General
 
Sec.  983.5  Description of the PBV program.

    (a) How PBV works. (1) The PBV program is administered by a PHA that 
already administers the tenant-based voucher program under an annual 
contributions contract (ACC) with HUD. In the PBV program, the 
assistance is

[[Page 654]]

``attached to the structure.'' (See description of the difference 
between ``project-based'' and ``tenant-based'' rental assistance at 24 
CFR 982.1(b).)
    (2) The PHA enters into a HAP contract with an owner for units in 
existing housing or in newly constructed or rehabilitated housing.
    (3) In the case of newly constructed or rehabilitated housing, the 
housing is developed under an Agreement between the owner and the PHA. 
In the Agreement, the PHA agrees to execute a HAP contract after the 
owner completes the construction or rehabilitation of the units.
    (4) During the term of the HAP contract, the PHA makes housing 
assistance payments to the owner for units leased and occupied by 
eligible families.
    (b) How PBV is funded. (1) If a PHA decides to operate a PBV 
program, the PHA's PBV program is funded with a portion of appropriated 
funding (budget authority) available under the PHA's voucher ACC. This 
pool of funding is used to pay housing assistance for both tenant-based 
and project-based voucher units and to pay PHA administrative fees for 
administration of tenant-based and project-based voucher assistance.
    (2) There is no special or additional funding for project-based 
vouchers. HUD does not reserve additional units for project-based 
vouchers and does not provide any additional funding for this purpose.
    (c) PHA discretion to operate PBV program. A PHA has discretion 
whether to operate a project-based voucher program. HUD approval is not 
required.