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Local Housing Administrators Coalition, Inc. (LHAC) members are federally defined public housing agencies and act as performance-based contract administrators (PBCAs) under the United States Housing Act of 1937.
PBCAs play a critical role in helping the US Department of Housing and Urban Development administer the Section 8 Project-Based Rental Assistance (PBRA) program, which serves nearly 1.2 million families.
All LHAC members are public housing authorities or their instrumentalities that act as PBCAs and work to assure the performance of owners who receive project based rental assistance that provide America’s most vulnerable residents and families with safe, decent, and affordable housing.
The PBCA – HUD partnership has been a success for both residents and property owners. However, this partnership could be improved through further modifications and employing existing authorizations that would also result in more effective risk mitigation for HUD and better housing quality for residents.
With the federal budget already under stress, the efficiencies that PBCAs bring to PBRA program oversight are more important than ever. HUD currently lacks the resources and staffing to assume the functions now performed by the PBCAs. The work done by PBCAs is vital to HUD’s ability to meet its legal obligations of the PBRA program. LHAC PBCAs look forward to working with HUD and Congress to strengthen the program for our residents.
When health and safety issues are identified at properties, it is also important to understand – at present – PBCAs do not have significant and timely enforcement authority to compel contractually obligated property owners to correct deficiencies. While their responsibilities and commitment to safe, habitable housing are essential to residents and the Department, HUD is the only authority who can address concerns about property owner responsiveness to conditions that require immediate attention. PBCAs need to be empowered to recommend owners and properties to HUD under existing authority for partial or full subsidy abatement based on conditions observed during an MOR.
Procuring the services of PBAs through fair and open competition among PHAs, as required by the Housing Act of 1937, is also the most effective way to ensure HUD and taxpayers receive the best return on their investment in affordable housing. HUD acknowledges that PBCAs are integral to the Department’s own efforts to be “more effective and efficient in the oversight and monitoring” of the PBRA program. PBCAs need the ability to compete for contracts with HUD in an open and fair manner to be preserved.
