CARH’S BROADCAST E-MAIL – Regulatory Alert

June 30, 2025

In today’s Federal Register, the Rural Housing Service (RHS) published a Proposed Rule entitled, Revisions to the Calculation of Annual Household Income and Net Family Assets in the Section 515 Rural Rental Housing and Section 514/516 Farm Labor Housing Programs. The changes are to align RHS’ annual income certification requirements with the Housing Opportunity Through Modernization Act of 2016 (HOTMA).

According to the Proposed Rule, RHS proposes to amend its regulation “to implement changes related to income calculation and net family assets for properties that receive funding from the Multi-Family Housing (MFH) Section 515 Rural Rental Housing and the Section 514/516 Farm Labor Housing Direct Loan and Grant Programs.” The following changes “are intended to align the MFH Rental Assistance Programs with the income and asset calculation updates, as required by HOTMA:

  1. Update 7 CFR 3560.153 (a) stating that annual income will be calculated in accordance with 24 CFR 5.609 (a) and (b).
  2. Add a new paragraph at 7 CFR 3560.153(c) stating that net family assets will be calculated in accordance with 24 CFR 5.603(b).”

CARH is reviewing the Proposed Rule and, if necessary, may submit comments before the August 29, 2025, deadline. If you have any comments that you would like CARH to consider adding to our response, please submit them to carh@carh.org no later than August 22, 2025.

For other news and information affecting the affordable rural housing industry, please visit the Newsroom on CARH’s website, www.carh.org.