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Notice Listing on Awarding and Acceptance of CHAP
Questions on Awarding and Acceptance of CHAP

CHAP Acceptance

PIH Notice 2012-32 REV-1 page 76 indicates that a PHA must notify HUD within 15 days of the CHAP award (or issuance) if it decides to refuse the CHAP. Is the PHA required to confirm its intent to accept the CHAP under that same deadline?

The PHA is not required to notify HUD that it will accept the CHAP. Unless HUD hears otherwise, it is assumed that the CHAP has been accepted by the PHA.[Updated 7.29.13]

Joint CNI/RAD Application and RAD Award Date

If you submit a joint CNI/RAD application, will the RAD award date be based on the CNI award schedule?

When applying for RAD via a joint RAD/CNI application in which you indicate that the CNI application is also your RAD application, you will only receive a RAD CHAP award (Commitment to enter into a Housing Assistance Payment Contract or "CHAP") upon receipt of the CNI award. In other words, your RAD application will only be accepted if and when your CNI application is accepted so the date of your RAD award will be the date of your CNI award. If you not receive a CNI award, your RAD application is also considered rejected. If you believe the project is viable for RAD regardless of the CNI funding you should submit a separate RAD application independent of the CNI application (without any CNI grant money as a source of funds). In the latter scenario, you would receive a RAD Award (CHAP) regardless of the outcome of your CNI application.

Combining Scattered Sites into a Single CHAP & HAP Contract

My current public housing project consists of scattered sites on multiple parcels and I am considering a conversion to PBV under RAD. Under what conditions will I be allowed to combine these units under one CHAP (and one HAP)?

In the PBV program, multiple single-family buildings may be on the same HAP Contract (i.e. scattered-site single family buildings). However, if the scattered sites are not single-family buildings, each project must have its own HAP contract. A project can be defined as a single building, multiple contiguous buildings, or multiple buildings on contiguous parcels of land. HUD interprets project to apply to all these structures (i.e., single building, multiple contiguous buildings, etc.), and a PHA must consider the entire definition and apply this definition to proposed PBV units. For purposes of RAD application, the PHA will need to submit an application for each AMP (or each portion of an AMP). If the scattered-sites are eligible to be under one HAP, as described above, and are already under one AMP, one CHAP will be issued. If the scattered-sites are eligible to be under one HAP as described above, but are not currently under one AMP, separate applications should still be submitted using the “Many-to-One” application instructions found here: http://portal.hud.gov/huddoc/manyto1_appinstr.docx.