HOTMA: An In-Depth Review of Programmatic Changes-Presentation

Presentation - HOTMA In Depth

Pdf Summary

This training provides an in-depth review of HOTMA (Housing Opportunity Through Modernization Act) and its impact on HUD housing programs, especially Public Housing, HCV, PBV, and Multifamily Housing. It explains HOTMA’s phased implementation, distinguishing between effective dates and compliance deadlines, and whether changes are mandatory or discretionary.<br /><br />Key topics include eligibility and admissions, where HOTMA revises definitions of family, foster adult/child, minor, and dependent, and adds asset limits and real property rules at admission. It also introduces inspection flexibilities, such as optional occupancy before inspection passes and use of alternative inspections from other programs.<br /><br />A major focus is verification. The training covers safe harbor verification, self-certification of SSNs, zero income, assets, and no property ownership, plus the new HUD consent form (HUD-9886-A/9887-A). It also explains updated EIV use and when third-party verification is required.<br /><br />The annual income module details new definitions of income and earned income, updated exclusions for items like nonrecurring income, foster care payments, veterans’ aid and attendance, loans, settlements, and student aid. It also covers new asset exclusions, including retirement accounts, ABLE accounts, education savings accounts, FSS accounts, and certain tax refunds. HOTMA redefines net family assets and changes how actual and imputed asset income is calculated.<br /><br />Adjusted income changes include inflation-adjusted dependent and elderly/disabled deductions, new childcare and hardship rules, increased thresholds for medical and disability-related deductions, and phased-in or general hardship relief.<br /><br />For reexaminations, HOTMA establishes when interim changes are required based on 10% income thresholds, clarifies non-interim reexaminations, and modifies annual reexamination procedures. It also changes payment standard rules, public housing over-income limits, and asset limit enforcement after admission.<br /><br />Finally, the training addresses compliance issues such as de minimis errors, PHA-owned housing definitions, and program-specific application across LIHTC, RD, HOPWA, and FUP.

Keywords

HOTMA

HUD housing programs

Public Housing

Housing Choice Voucher

Project-Based Voucher

Multifamily Housing

income verification

asset limits

reexaminations

compliance deadlines