Explanation of Burden Adjustment

Explanation of Burden Ajustments.docx

Section 8 Contract Renewal Policy – Guidance for the Renewal of Project-Based Section 8 Contracts

Explanation of Burden Adjustment

OMB: 2502-0587

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ROCIS was not updated correctly during the previous submission so the program office has to readjust the burden based on the numbers currently in ROCIS.


However, as mentioned during the conference call, the three areas the program office has devoted efforts for reducing burden with this program were in: 


  1. The new Automatic OCAF Process:  The purpose for the Amend Rents Auto OCAF enhancements to the integrated Real Estate Management System (iREMS) is to provide Owners of project-based Section 8 housing that have a multi-year Section 8 contract with automatically calculated annual OCAF rent increases where applicable.  iREMS electronically notifies HUD Asset Management/Contract Administrators (CA) in advance of a property’s annual OCAF rent increase due date; which is the Housing Assistance Payments contract anniversary date. The iREMS system calculates the new OCAF rent increases; the calculated rents are sent to the Owners for acceptance. The Auto-OCAF Letter Option One and Three (HUD - 9626), or Auto-OCAF Letter Option Two and Four (HUD - 9627), and Exhibit A of the Multifamily Housing Assistance Payments Basic Renewal Contract will reflect the new rent adjustment for the property.  The Auto-OCAF Letter Option One and Three (HUD - 9626),  letter will be mailed to the Owner that is not eligible to submit a budget-based rent increase and Auto-OCAF Letter Option Two and Four (HUD - 9627),  will be mailed to the Owner that is eligible to submit a budget-based rent increase. The project Owner must also sign and date the form, validate/certify the debt service and non-Section 8 rent potential, and return to the HUD/CA office.  The process utilizes the subject forms by streamlining rent adjustment processing by eliminating duplicate processes and significantly reducing paperwork.  Costs related to time and materials have been reduced for HUD/CA and the Owner’s/Agent’s staff members.  Owners/Agents benefit from receiving one of the subject letters as opposed to completing an entire OCAF Worksheet (HUD 9625) and submitting it to their local HUD/CA office for processing. This effort reduced burden by 7,172 hours.


  1. Modification of forms and combining systems data: three forms were modified to significantly reduce burden.  This effort reduced burden by 8,497 hours.


  1. Deletion of forms – 13 forms were deleted from the collection.  After further evaluation of the program we identified that data from these forms were being duplicated and that some data could be retrieved from, and is covered under other collections.  This effort reduced burden by 13,273 hours.





Form Numbers

Previous Total Annual Burden Hrs

Current Status of Form Numbers

New Total Annual Burden Hrs

Reduction due to OCAF Process

Reduction due to modification of forms

Reduction due to Deletion of forms

9624

7707

kept form

11428

 

-3721

 

9625

6651

kept form

7957

-1306

 

 

9626

2397

kept form

210

2187

 

 

9627

7192

kept form

901

6291

 

 

9628

1056

deleted form

 

 

 

1056

9628a

1056

deleted form

 

 

 

1056

9628b

1056

deleted form

 

 

 

1056

9628b

1056

deleted form

 

 

 

1056

9628d

1056

deleted form

 

 

 

1056

9629

5

kept form

5

 

0

 

9630

7636

kept form

44

 

7592

 

9631

100

deleted form

 

 

 

100

9632

51

deleted form

 

 

 

51

9633

7636

deleted form

 

 

 

7636

9634

71

kept form

55

 

16

 

9635

748

kept form

2546

 

-1798

 

9636

10

kept form

669

 

-659

 

9637

7636

kept form

52

 

7584

 

9638

71

kept form

127

 

-56

 

9639

5

kept form

160

 

-155

 

9640

5

kept form

40

 

-35

 

9641

5

kept form

51

 

-46

 

9642

5

kept form

47

 

-42

 

9643

5

kept form

88

 

-83

 

9644

50

kept form

25

 

25

 

9645

55

deleted form

 

 

 

55

9646

50

deleted form

 

 

 

50

9647

1

deleted form

 

 

 

1

9648a

25

kept form

50

 

-25

 

9648b

50

deleted form

 

 

 

50

9648c

50

deleted form

 

 

 

50

9648d

50

kept form

50

 

0

 

9649

 

added

50

 

-50

 

9651

 

added

50

 

-50

 

Totals

53,547

 

24605

7172

8497

13273


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