2. What is
There are two main sources of funding for the multifamily service coordinator program:
Eligible project expenses remain the same, regardless of the funding source.
1. Funding through the Property’s Operating Budget
To secure ongoing funding for the service coordinator program, service coordinator expenses should be included as part of the project’s operating budget. This way, the service coordinator program becomes a standard budget expense. To add a service coordinator program to a property’s budget, owners must obtain approval from the HUD Account Executive servicing the property, regardless of whether or not they are proposing an increase in rent. Contact information for Multifamily Regional Centers and Satellite Offices is available on HUD’s website.
Owners may also use other project resources to fund the service coordinator program with approval from the HUD Account Executive servicing the property. For example, HUD may approve using residual receipts to fund the program. (Refer to Chapter 6 of the SCMF Resource Guide for more information on how owners can use their residual receipts account to fund the service coordinator program.)
It is important to remember that budget-based funding sources are more stable and consistent over time. Grants are temporary sources of assistance and the future availability of such funds is never certain.
2. Funding through HUD Service Coordinator Grants
All grants made with 2013 funds (and later) are expected to comply with Title 2, Part 200 (of the Code of Federal Regulations), the new “Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.”
HUD provides funding each year to extend service coordinator grants for an additional year. Your eligible housing project must comply with submission requirements and submit the request through GrantSolutions.
When funds are available for new programs or renewal grants, HUD makes those funds available through the Service Coordinators in Multifamily Housing Notice of Funding Availability (NOFA). The initial grant period is three years, and eligible housing projects can apply for annual extensions thereafter, subject to funding availability.
3. Combining Sources of Funding
Owners can use a combination of funding mechanisms for their service coordinator program, including residual receipts or rent increases. Note, however, that owners must exhaust residual receipts before requesting a rent increase.
If you have a grant-funded service coordinator program, you are encouraged to include the cost of the program in the property’s operating budget, after getting approval from the HUD Account Executive. Once you make the budget-based rent increase (to include all service coordinator expenses), HUD will end the service coordinator grant.
Watch the video to learn more about the role of foundations and other partners can play in funding the service coordinator position.
Please complete this quiz before you proceed to the next module. To take the quiz, use the arrow keys or click the correct answer choice. If you answer incorrectly, you will be able to try again until you select the correct response. Scores will not be recorded.
1. Which of the following statements is correct?
U.S. Department of Housing and Urban Development © 2018
HUD Service Coordinators in Multifamily Housing Program