CARH’S BROADCAST E-MAIL – Regulatory Update

In today’s Federal Register, HUD published a Notice entitled, “Statutorily Mandated Designation of Difficult Development Areas and Qualified Census Tracts for 2023” for purposes of the low-income housing tax credit (Housing Credit). Housing Credit developments in Designation of Difficult Development Areas (DDAs) or Qualified Census Tracts (QCTs) are eligible for as much as 30 percent more Housing Credit subsidy.

HUD makes the designations of DDAs in this notice based on modified Fiscal Year (FY) 2022 Small Area Fair Market Rents (Small Area FMRs, SAFMRs), FY 2022 nonmetropolitan county FMRs, FY 2022 income limits, and 2020 Census population counts.

HUD uses data from the 2020 Census on total population of census tracts, metropolitan areas, and the nonmetropolitan parts of states in the designation of QCTs. The FY 2022 income limits HUD uses to designate QCTs are based on these MSA definitions with modifications to account for substantial differences in rental housing markets (and in some cases median family income levels) within MSAs.

The effective date of the new QCTs and DDAs is January 1, 2023.

Please contact the CARH national office at or 703-837-9001 should you have questions or concerns.

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