Housing Choice Voucher (HCV) Project Based Voucher (PBV) Program
The Project Based Voucher (PBV) program is a component of the Michigan State Housing Development Authority's (MSHDA) Housing Choice Voucher (HCV) Program. The HCV program is federally funded by the United States Department of Housing and Urban Development (HUD) and is the primary resource for providing rental assistance to very low to moderate income families. MSHDA's PBV program targets very low income supportive housing populations (Special Needs, Homeless, Chronically Homeless, Youth Aging out of Foster Care and Domestic Violence Survivors) and attaches rental assistance to specific housing units that are determined to be decent, safe and sanitary through the Housing Quality Standards Inspection. Project-Based contracts are awarded to owners and developers of properties through an owner proposal selection process.
In order for owners to participate in this program the following process must be followed:
Step One: The owner/sponsor must have received financing for the development via a competitive process through MSHDA such as LIHTC, HOME, MSHDA financing, within the last three years. This award must have been provided with no consideration that the project would receive project-based vouchers and have a minimum of five (5) PSH units.
Step Two: The owner/sponsor must submit the MSHDA/PBV 101 (Letter of Intent) to the designated MSHDA Rental Assistance and Homeless Solutions (RAHS) staff. Attach a copy of the LIHTC Reservation and the PBV MOU Attachment.
Step Three: Designated MSHDA RAHS staff will contact owner/sponsor to discuss the project and recommend the appropriate proposal to be submitted for the development. Proposal types include: Existing, Substantial Rehabilitation or Newly Constructed. (MSHDA/PBV 102, 103 or 104).
Step Four: Once the proposal is reviewed and approved, a PBV Preliminary Award Letter will be issued. The letter will outline the steps to be completed prior to execution of the Agreement to enter into a Housing Assistance Payment Contract (AHAP) or Housing Assistance Payment Contract (HAP).
Developments that have received a 9% tax credit award, but not through the Permanent Supportive Housing set-aside, will be limited to less than 25% of the total units as Project Based Vouchers. An Addendum III and MOU must be submitted for review and approval.
Developments that have received a 4% tax credit award will not be limited to 25% of the total units as Project Based Vouchers. An Addendum III and MOU must be submitted for review and approval.
URA REQUIREMENTS apply to the HCV Project Based Voucher Program per 24 CFR 983.7. The following HUD requirements and overview is provided on HUD’s website.
Overview of the Uniform Act (URA)
The Uniform Act, passed by Congress in 1970, is a federal law that establishes minimum standards for federally funded programs and projects that require the acquisition of real property (real estate) or displace persons from their homes, businesses, or farms. The Uniform Act's protections and assistance apply to the acquisition, rehabilitation, or demolition of real property for federal or federally funded projects.
Please refer to the following link for more information: Overview of the Uniform Act (URA)
If you have questions regarding these requirements you may contact: Michael C. Fobbe at 517-241-2996 or email@example.com
PBV Application Forms and Reference Material
- PBV Site Selection Standards
- PBV Owner Letter of Intent (LOI) – MSHDA/PBV 101
- PBV Proposal-MOU Attachment
- PBV Process Flowchart
- PBV Overview of Federal Regulations
- PBV Project Proposal for Existing Housing – MSHDA/PBV 102
- PBV Project Proposal for Rehabilitated Housing – MSHDA/PBV 103
- PBV Project Proposal for Newly Constructed Housing – MSHDA/PBV 104
Step Five: Immediately following the issuance of the Preliminary Award letter and prior to the commencement of any construction work; MSHDA/PHA must enter into an Agreement to Enter Into Housing Assistance Payments (AHAP) contract for new construction and rehabilitation projects; or the Housing Assistance Payment (HAP) contract for Existing Projects meeting HQS standards. It must be further noted that the HUD Subsidy Layering and Environmental Requirements at a minimum must be met prior to the execution of these documents.
- Agreement To Enter Into Housing Assistance Payments Contract (AHAP)
- Housing Assistance Payments Contract
- Housing Assistance Payments Contract
PBV CONTRACT RENTS
- PBV Annual Contract Rent Adjustment Policy
- Procedures for Establishing Initial and Re-determined PBV Rents
- MSHDA-37 Reasonable Rent Test (3/4/16)
- Rent Reasonableness Survey Areas
- HERA Final Rule
- MSHDA Housing Choice Voucher Administration Plan: Refer to Chapter 17 – PBV Program
- HQS Specifications: Exhibit 8-3 (All contract units must be designed to meet these standards at a minimum)
- Payment Standards: Effective 1/1/2013, Effective 01/01/2014, Effective 01/01/2015, Effective 12/11/2015
- Fair Market Rent: Effective 10/1/2014, Effective 12/11/2015
- Utility Schedules: Effective 1/1/2013, Effective 1/1/2014, Effective 1/1/2015, Effective 4/1/2015, Effective 4/1/2016
- Income Limits: Effective 12/11/2012, Effective 12/18/2013, Effective 7/1/2014, Effective 4/1/2015
- PBV Development Assigned PBV Specialist
HUD AND MSHDA FORMS
- PBV Tenancy Addendum (HUD-52530-C): This document must be attached to the property lease for all PBV participants.
- PBV Statement of Family Responsibility (HUD-52578-B): This document must be signed by the family at briefing.
- PBV Vacancy Loss Worksheet (MSHDA/PBV-4)
MEMORADUM OF UNDERSTANDING (MOU)
- Roles and Responsibilities
- MOU Template
- Change to Property Management Agent or Lead Agency (Amendment to MOU)
- Change to Supportive Housing Targeted Population (Amendment to MOU)
2014 PBV Awards: HCV PBV Preliminary Awards
HUD VASH: Owners proposing developments that will assist Veterans should refer to this link for additional information: HUD VASH Vouchers
A listing of current developments can be found on the Project Based Developments Listing
Questions regarding this process should be directed to: Kathy French, MSHDA Project Based Voucher Specialist at 517-241-0505 or firstname.lastname@example.org.