About Us
The Low-Income Public Housing Program is authorized under the United States Housing Act of 1937, as amended. It authorizes the U. S. Department of Housing and Urban Development (HUD) to provide technical and financial assistance to public housing agencies (PHAs) in the provision of decent, safe and sanitary dwellings at affordable rents to low-income families. The public housing program is administered at the local level by PHAs which are non-Federal public agencies authorized by State legislation and generally established by action of a town, city, county, regional area, or state.
The PHA functions in the capacity of the developer, owner, and manager of its lower-income public housing developments. The PHA has the responsibility for planning, financing, constructing, and managing its properties subject to applicable laws and contractual relationships with HUD and the local governing body. The landlord-resident relationship of the PHA is established by virtue of its ownership of the properties and the provisions of individual leasing agreements with its residents. The PHA performs all of the functions of a private landlord, including leasing units, collecting rents, maintaining the properties, and all of the other responsibilities related thereto.
PHA responsibilities for public housing developments are embodied in the State enabling legislation and an Annual Contributions Contract (ACC) entered into between the PHA and HUD. A PHA is required to operate each low-income project for the purpose of providing decent, safe and sanitary dwelling units within the financial reach of low-income families and to operate the project with efficiency, economy, serviceability, and stability.
HUD assists PHAs financially through the ACC by providing capital funds for developing new projects and by making annual contributions (debt service payments) according to the ACC. In addition, the Department provides PHAs with annual operating subsidies to assist in maintaining the low-income character of the developments, providing adequate administrative and maintenance service, and ensuring financial solvency. Operating subsidies help cover annual deficits arising as a result of rent limits and the costs of operations, including utilities that exceed scheduled rents.