Note: If the project has a budget approved by the AE/CA less than one year before…

3. AE/CA should complete the review of an owner’s submission within 30 calendar days.

   • a. The AE/CA checks to see if the owner:

     • 1. Is eligible to renew the Section 8 project-based contract under the Option selected.
     • 2. Has provided all required documentation discussed in A.1. and A.2. above.
     • 3. Specified on the Cover Sheet of Form HUD-9624 whether it wants any multiple stages or contracts combined now. See Section 2-10 above.

   • b. Under renewal Options One through Five, the AE/CA reviews the owner’s certification regarding suspension or debarment on the Contract Renewal Request, Form HUD-92624. If the owner checked that they are not suspended or debarred, verify that information by using www.sam.gov.

     • 1. If the AE/CA determines that the owner is suspended or debarred, HUD may permit the owner to renew the Section 8 contract if the project(s) in question is adequately managed and maintained, and activities there were not the cause of the administrative actions against the owner. However, the AE/CA should document his/her assessment and reasons for permitting renewal in iREMS.
     • 2. Where there are material violations and the enforcement process has progressed to the point that HUD has decided to terminate the existing contract, then HUD should deny the renewal request.

   • c. The AE/CA logs the owner’s request as indicated on the Renewal Worksheet, Form HUD-9624 and any other relevant information in iREMS.

Chapter Two – Published March 2023

18

• d. Non-renewal determination:

  • 1. If the AE determines that the contract should not be renewed, the AE should follow the procedures in Chapter 13, of this Guidebook.
  • 2. If the CA determines that the contract should not be renewed, the CA should follow the procedures in the Section 8 Contract Administrators Guide.

• e. If applicable, the AE/CA reviews the RCS to make sure that the study was done in accordance with the requirements included in Chapter Nine of this Guide and determines that the comparable market rent conclusions are reasonable. Instructions for conducting the review are found in Sections 9- 17 through 9-22. The AE/CA must record the data in iREMS.

• f. If applicable, review the OCAF Rent Adjustment Worksheet, Form HUD9625 to verify that the calculations provided include only those Section 8 units in the expiring contract and the accuracy of the computations.

If the worksheet shows that the current contract rent potential of the project is greater than the market rent potential of the comparable rents, the project may be eligible for Recap processing. (See Chapter Five, Option Three Referral to Recap.)

• g. If applicable, the AE/CA reviews the owner’s budget based request including any tenant comments received about the request. In the case of a 515 project, the AE/CA must accept the RHS approved budget that does not exceed comparable market rents without review.