Last week, several members of the DeSilva Housing Group Team attended the National Affordable Housing Management Association (NAHMA) Biannual Top Issues in Affordable Housing Conference in Washington, D.C. We participated in discussions with other industry stakeholders, several clients, and HUD Headquarters Staff regarding topics important to affordable housing professionals. During the annual Affiliates Breakfast, Jenny DeSilva led a panel discussion on actionable ways to be good stewards of HUD’s money, identifying and discussing ways in which Owners and Agents can maximize the use of limited federal funds and document responsible spending habits to minimize waste or fraud.
NAHMA is predominantly a grassroots advocacy association representing Multifamily owners and operators nationwide. Their biannual conference brings together affordable housing providers, representatives from local regional chapters, software providers, HUD and PBCA staff, and consultants and trainers like us to talk about what’s going on, what’s next, and how we get there. What follows is our high-level takeaways from the conference, and what we’re looking forward to next:
- HOTMA – The number one compliance topic in the industry… HUD acknowledged that an implementation deadline extension announcement is forthcoming. The current July 1, 2025 deadline will be extended; we’re just waiting on an official HUD announcement and new implementation deadline. HUD stated that OMB approval of new HUD Forms related to HOTMA is the biggest hold-up, and that the technology piece (TRACS Version 203A Release) is secondary. We knew the delay was coming, so it’s not a surprise. We understand implementation is not possible without the release of crucial forms like HUD Form 50059/A, HUD Model Leases, HUD Form 52670 (Vouchers) and other required HUD Forms. The unknown here is what impact will reduced HUD staffing levels have on the progression of these tasks, and what additional actions will the new administration take that will impact planned edits?
- VAWA Forms – HUD quietly released new VAWA Forms (5380 through 5383) in January of 2025. Unfortunately, now these forms do not comply with the current administration’s Executive Orders, nor do they incorporate all of the extended protections included in the 2022 Reauthorization of VAWA. Now, HUD is working on additional revisions. During the panel discussion with HUD Multifamily Asset Management Staff, HUD recommended owners use the old forms in the meantime and to expect new drafts to be released soon in conjunction with a 30-day comment period.
- NSPIRE – One contract with a company completing NSPIRE Inspections has been terminated, leaving two remaining contractors to complete inspections nationwide. While inspections are ongoing, the pace of scheduling and publishing scores from these inspections will slow due to capacity issues. If an NSPIRE inspection is required as a part of a conversion or new contract, HUD stated that you should reach out to your Account Executive to facilitate the scheduling of the inspection.
- The 4350.1 (Multifamily Asset Management and Project Servicing Handbook) – The re-write is still ongoing. More chapters will be published to HUD’s Drafting Table in the future. The Handbook (last updated in 1992) will grow from its current 38 chapters to a total of 55 chapters. HUD acknowledged that recent staff cuts at the Regional Offices will slow down progress on Handbook updates.
- The Continuing Resolution – Relatively speaking, HUD Multifamily properties fared well in the continuing resolution. While PBRA was provided funding for the remainder of Fiscal Year 2025, Tenant-based rental assistance funding levels fell short. Several NAHMA members stated that they’ve received notification from their local housing authorities that rent increases will not be approved this year.
While various stakeholders within the industry (contractors, grant recipients, and Federal workers) face real challenges now, it was reassuring and comforting to see the degree of support the attendees displayed for each other and HUD staff. The message of resilience, professionalism, and perseverance was clear. Having such a large group of smart, capable, and dedicated industry partners collaborating to overcome the setbacks and celebrate the success stories of the affordable housing industry is what makes these convenings valuable. They serve as reminders of the difference our work makes in improving the lives of the low-income households we serve. For our team, it is an honor to be a small part of that mission every day.
