Office of the Assistant Secretary for Public and Indian Housing; Public/Private Partnerships for the Mixed-Finance Development of Public Housing Units

This interim rule adds a new subpart F to the public housing development program at 24 CFR part 941, which authorizes a public housing authority to use a combination of private financing and public housing development funds to develop public housing units. HUD is issuing this interim rule as a result of its determination that public housing development funds may be provided to a PHA, even though the PHA will provide those funds to a non-PHA entity so that it can develop and own the resulting public housing units. This interim rule also sets forth the requirements that must be met by the owner entity before HUD will approve a proposal to use mixed-finance strategies under subpart F, and sets forth continuing requirements that apply throughout the development and operation of the public housing units by the owner entity. In addition, this interim rule clarifies that replacement public housing units for public housing units that have been demolished may be built on the original public housing site, or in the same neighborhood, if the number of such replacement units is significantly fewer than the number of units demolished.