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Federal Register / Vol. 86, No. 184 / Monday, September 27, 2021 / Rules and Regulations
HUD strongly encourages PHAs to exercise their discretion under 24 CFR
982.552c2 and consider all relevant circumstances of the specific case, as well as including the role of the case manager and the impact that ongoing case management services can have on mitigating the conditions that led to the potential termination, prior to determining whether to terminate assistance. PHAs also must grant reasonable accommodations for persons with disabilities in accordance with 24
CFR part 8. In addition, a HUDVASH
participant family must not be terminated after admission, for a circumstance or activity that occurred before admission and was known to the PHA but could not be considered at the time of admission due to the HUD
VASH Operating Requirements. The PHA can only terminate the familys assistance for program violations that occur after the familys admission to the voucher program.
Generally, in the case of a family break-up, the HUDVASH assistance must stay with the HUDVASH veteran.
However, in the case of domestic violence, dating violence, sexual assault, or stalking, in which the HUD
VASH veteran is the perpetrator, the victim must continue to be assisted.
Upon termination of the perpetrators HUDVASH voucher due to the perpetrators acts of domestic violence, dating violence, sexual assault, or stalking, the victim must be given a regular HCV if one is available, and the perpetrators HUDVASH voucher must be used to serve another eligible veteran family. If a regular HCV is not available for the victim, the perpetrator must be terminated from assistance, and the victim will continue to utilize the HUD
VASH voucher.

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i. Turnover of HUDVASH Vouchers In accordance with the Appropriations Acts, upon turnover, HUDVASH vouchers must be issued to homeless veteran families as identified by the VAMC or DSP, as noted above.
j. Moving-to-Work MTW Agencies HUDVASH vouchers may be administered in accordance with flexibilities approved under PHAs Standard MTW Agreement or MTW
Operations Notice with approval from HUDs Housing Choice Voucher office.
PHAs must submit a request through their local field office to operate HUD
VASH in accordance with approved MTW flexibilities. Requests will be approved provided the flexibilities to not conflict with the stated HUDVASH
program requirements. However, these vouchers are never eligible for MTW

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fungibility. HUDVASH vouchers must be reported in the IMS/PIC system on either the regular HUD50058 or HUD
MTW 50058 for vouchers under the agencys MTW Agreement.
k. Project-Based Assistance Section 8o13D of the USHA of 1937 42 U.S.C. 1437o13D, as amended by Section 106a3 of the Housing Opportunities Through Modernization Act HOTMA Pub. L.
114201, 130 Stat. 782, is waived for HUDVASH vouchers so that all units exclusively made available to HUD
VASH families in a PBV project are exempted from the PBV income-mixing requirements project cap. The project cap refers to the number of units in a project that may receive PBV assistance and is generally the higher of 25 units or 25 percent of units in the project.
Units exclusively made available to HUDVASH families are excluded from do not count against this PBV project cap. Additionally, HUDVASH
supportive services only need to be provided to all HUDVASH families in the project, not all families receiving PBV assistance in the project. If a HUD
VASH family does not require or no longer requires case management, the unit continues to count as an excepted PBV unit for as long as the family resides in that unit. Likewise, Section 8o13B of the USHA of 1937, 42
U.S.C. 1437fo13B, as amended by Section 106a2 of HOTMA, is waived for HUDVASH vouchers so that HUD
VASH units made available under a competitive PIH notice for HUDVASH
PBV units, are exempt from the PBV
program limitation. This exception only applies to HUDVASH PBV vouchers awarded through the HUDVASH PBV
set-aside process. All other HUDVASH
vouchers that the PHA opts to projectbase, are still subject to the PBV
program limitation.
Pursuant to the HUDVASH case management and termination requirements, a HUDVASH familys PBV assistance must be terminated for failure to participate in case management as required by the VAMC
or DSP. Upon notification by the VAMC
or DSP of the familys failure to participate, without good cause, in case management, the PHA must provide the family a reasonable time period as established by the PHA to vacate the unit. The PHA must terminate assistance to the family at the earlier of 1 the time the family vacates or 2 the expiration of the reasonable time period given to vacate the lease terminates at the same time as termination of assistance per 24 CFR 983.256f3v.
If the family fails to vacate the unit
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within the established time, the owner may evict the family. If the owner does not evict the family, the PHA must remove the unit from the HAP contract or amend the HAP contract to substitute a different unit in the project if the project is partially assisted. A PHA may add the removed unit to the HAP
contract after the ineligible family vacates the property.
If a HUDVASH family is eligible to move from its PBV unit and there is no HUDVASH tenant-based voucher available at the time the family requests to move, the PHA may require a family that still requires case management to wait for a HUDVASH tenant-based voucher for a period not to exceed 180
days. If a HUDVASH tenant-based voucher is still not available after that time period, the family must be allowed to move with its HUDVASH voucher.
Alternatively, the PHA may allow the family to move with its HUDVASH
voucher without having to meet this 180-day waiting period. In either case, the PHA may either replace the assistance in the PBV unit with one of its regular vouchers if the unit is eligible for a regular PBV for instance, so long as the unit is not on the grounds of a medical facility and so long as the unit is eligible under the PHAs program and project caps or the PHA and owner may agree to temporarily remove the unit from the HAP contract. If a HUDVASH
veteran has been determined to no longer require case management, the PHA must allow the family to move with the first available tenant-based voucher if no HUDVASH voucher is immediately available and cannot require the family to wait for a HUD
VASH voucher to become available.
Under HOTMA, PHAs no longer need authorization from HUD to convert tenant-based HUDVASH vouchers to project-based HUDVASH vouchers.
However, PHAs must consult with the partnering VAMC or DSP to ensure approval of the project. PHAs and the partnering VAMC or DSP are expected to communicate regarding the PBV
planning and development. PHAs may project-base HUDVASH vouchers in projects alongside other PBV units the other PBV units must be attached in accordance with PBV requirements and may execute a single HAP contract covering both the HUDVASH PBVs and the other PBVs. In the description of units in Exhibit A of the HAP
contract, PHAs must indicate the number of units that will be exclusively made available to HUDVASH families.
The PHA must refer only HUDVASH
families to PBV units exclusively made available to HUDVASH families and to PBV units funded through a HUD

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