HUD announces $180+ million in COVID-19 funding for multifamily owners

New application period allows owners of multifamily housing for low-income elderly, persons with disabilities, and Section 8 contracts to apply for funds to cover costs to prevent and respond to COVID-19


The U.S. Department of Housing and Urban Development’s (HUD) Office of Multifamily Housing Programs announced that it is opening a new application period for owners of Multifamily properties participating in assisted housing programs to apply for more than $180 million in supplemental operating funds to support expenses for protecting residents and staff from COVID-19. Owners of properties participating in HUD’s Section 202 Housing for Low- and Very-Low Income Elderly, Section 811 Housing for Low- and Very-Low Income Persons with Disabilities, and Section 8 Project-based Rental Assistance programs are eligible to receive reimbursements from this pool of funds. The deadline for applications is November 19, 2021.

“The critical funds we are making available will help owners to ensure the health, safety, and well-being of residents and staff and make more improvements that can help combat future health emergencies,” said HUD Principal Deputy Assistant Secretary for the Office of Housing Lopa Kolluri.

“The additional flexibilities in this Notice respond to feedback from program participants and build on our own observations of how these resources can best meet the most pressing needs,” said HUD Deputy Assistant Secretary for Multifamily Housing Ethan Handelman.

To facilitate more robust use of funds, HUD has provided the following flexibilities:

  • Extended the timeframe for eligible expenses from four months to seven months. Funds can be used to cover expenses incurred between April 1, 2021, and October 31, 2021;
  • Expanded eligible reimbursements to include limited types of capital investments made in direct response to COVID-19, such as improvements in ventilation and air filtration in common areas, emergency generators, and installation of broadband Wi-Fi infrastructure;
  • Implemented minimum expected funding levels for each property, so that owners can be certain that reimbursement will occur at no less than established levels; and
  • Streamlined its prioritization schedule for approval of requests for reimbursements that exceed minimum payment amounts.

COVID-19 Supplemental Payments (CSP) help address operating cost increases incurred by owners to prevent, prepare for, or respond to COVID-19 at their properties. These payments supplement rental assistance funding. Since September 2020, the Office of Multifamily Housing Programs has disbursed $42.7 million in CSPs to owners.