[Code of Federal Regulations]
[Title 24, Volume 4]
[Revised as of April 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR990.145]

[Page 709]
 
                 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 B_Eligibility for Operating Subsidy; Computation of Eligible 
                               Unit Months
 
Sec. 990.145  Dwelling units with approved vacancies.

    (a) A PHA is eligible to receive operating subsidy for vacant public 
housing units for each unit month the units are under an ACC and meet 
one of the following HUD-approved vacancies:
    (1) Units undergoing modernization. Vacancies resulting from project 
modernization or unit modernization (such as work necessary to reoccupy 
vacant units) provided that one of the following conditions is met:
    (i) The unit is undergoing modernization (i.e., the modernization 
contract has been awarded or force account work has started) and must be 
vacant to perform the work, and the construction is on schedule 
according to a HUD-approved PHA Annual Plan; or
    (ii) The unit must be vacant to perform the work and the treatment 
of the vacant unit is included in a HUD-approved PHA Annual Plan, but 
the time period for placing the vacant unit under construction has not 
yet expired. The PHA shall place the vacant unit under construction 
within two federal fiscal years (FFYs) after the FFY in which the 
capital funds are approved.
    (2) Special use units. Units approved and used for resident 
services, resident organization offices, and related activities, such as 
self-sufficiency and anti-crime initiatives.
    (b) On a project-by-project basis, subject to prior HUD approval and 
for the time period agreed to by HUD, a PHA shall receive operating 
subsidy for the units affected by the following events that are outside 
the control of the PHA:
    (1) Litigation. Units that are vacant due to litigation, such as a 
court order or settlement agreement that is legally enforceable; units 
that are vacant in order to meet regulatory and statutory requirements 
to avoid potential litigation (as covered in a HUD-approved PHA Annual 
Plan); and units under voluntary compliance agreements with HUD or other 
voluntary compliance agreements acceptable to HUD (e.g., units that are 
being held vacant as part of a court-order, HUD-approved desegregation 
plan, or voluntary compliance agreement requiring modifications to the 
units to make them accessible pursuant to 24 CFR part 8).
    (2) Disasters. Units that are vacant due to a federally declared, 
state-declared, or other declared disaster.
    (3) Casualty losses. Damaged units that remain vacant due to delays 
in settling insurance claims.
    (c) A PHA may appeal to HUD to receive operating subsidy for units 
that are vacant due to changing market conditions (see subpart G of this 
part--Appeals).