The Rental Assistance Demonstration (RAD) program overview
The federal Rental Assistance Demonstration (RAD) program provides a mechanism for public housingA federal program dedicated to providing decent and safe rental housing for low-income families, older adults, and persons with disabilities. There are around 1.2 million houesholds residing in public housing units, managed by over 3,000 housing authorities. Programs differ in types and sizes. agencies (PHAs) and private owners to convert public housing and certain types of project-based rental assistance to project-based housing choice voucherOfficially known as "Section 8 Housing Choice Voucher". It is the largest and most sought after housing program in America. Section 8 HCVs are managed by various public housing agencies (most commonly referred to as housing authorities), which falls under the supervision of HUD. Program participants typically pay 30% of the rent, and the rest is covered by the HCV.s or Section 8A federal program that assists low-income households afford rental housing. The tenant-based program allows the voucher holders to choose any unit that meets the program requirements; project-based program ensures selected units to remain affordable regardless of the tenant. In both cases, the voucher holder is responsible for paying about 30% of the unit including utilities, and the government covers the balance. project-based rental assistance.
This conversion enables applicants to tap into a wider variety of financing sources, including private sources, to help meet long-standing capital improvement needs that threaten the ongoing viability of these properties.
Participation in RAD by PHAs and private owners is voluntary, and the number of public housing units that may be converted is currently capped at 455,000 (an increase of more than 200,000 units over the prior limit, authorized through passage of the FY 2018 omnibus appropriationsRecurring funding allocations made by a committee or other authorities. act). The bill also extended eligibility for the RAD program to Section 202 properties with Project Rental Assistance Contracts (PRAC) for the first time. There is no cap on conversion of Section 202Federal program overseen by HUD aimed to aid housing for older adults. It provides very low-income elderly with options that allow them to live independently in a safe environment. PRAC projects and other eligible privately-owned developments, which include those supported by “legacy” programs for which HUD no longer authorizes new projects, including the Section 8 Moderate Rehabilitation, Rent Supplement, and Rental Assistance Payment programs.
Local public housing agency.