Note: This FAQ relates to HOME
Date Published: April 2017
HUD now requires that nearly all repayments for ineligible draws be repaid to the Participating Jurisdiction’s (PJ’s) local account and receipted as "IU" (Ineligible Use) in IDIS.
Prior to repaying any HOME funds, PJs must first contact their local HUD Field Office to determine the proper repayment method. Funds that are not properly repaid may be lost to the PJ through deobligation or recapture by the U.S. Treasury.
When instructed by the Field Office to repay its local account, the PJ must deposit the repaid funds in their HOME local account; receipt the repaid amount as 'IU' in IDIS; and provide the Field Office with evidence showing the funds were repaid from non-federal funds (e.g., copy of deposit slip, canceled check, or bank statement). The Community Planning and Development (CPD) representative will contact Office of Affordable Housing Programs (OAHP) after he/she has verified the repayment and OAHP will cancel the ineligible activity in IDIS.
Drawdowns for an ineligible activity are not revised when the PJ uses IU funds.
More information regarding the IU receipt fund type is available in HOME FACTS Vol. 7, No. 1.