NAHMA HUD Update: Previous Participation Reviews of Prospective Multifamily Participants - FINAL RULE
HUD has issued its final rule regarding the regulations for reviewing the previous participation in federal programs of certain participants seeking to take part in multifamily housing and healthcare programs administered by HUD's Office of Housing.Dear NAHMA Member,
HUD has issued its final rule regarding the regulations for reviewing the previous participation in federal programs of certain participants seeking to take part in multifamily housing and healthcare programs administered by HUD's Office of Housing. HUD's regulations require applicants to complete a very detailed and lengthy certification form (HUD Form 2530) of participants that have decision-making authority over their projects as one component of HUD's responsibility to assess financial and operational risk to the projects in these programs.
In August 2015, HUD published a proposed rule that revised regulations for reviewing 2530s in an effort to clarify and simplify the review process. In NAHMA's comments to the August 2015 proposed rule, members expressed some concerns, but agreed with the overall intent to improve the 2530 review process. After reviewing the comments submitted by NAHMA and other stakeholder groups, this final rule seeks to formally clarify and simplify the 2530 process. Together with an accompanying Processing Guide, the final rule clarifies which individuals and entities will undergo review, HUD's purpose in conducting such review, and the review to be undertaken.
NAHMA plans to review this final rule in comparison with the 2015 proposed rule; a forth coming NAHMAnalysis will explore these differences and how HUD has altered the regulations since our comments were submitted.
The final rule is attached to his message and may also be found on the NAHMA website here.