The requirements set forth in this subpart B apply to the Section 202 Program of Supportive Housing for the Elderly only, and to applicants, Sponsors, and Owners under that program.
As used in this part in reference to the Section 202 Program, and in addition to the applicable definitions in § 891.105:
Acquisition means the purchase of (or otherwise obtaining title to) existing housing and related facilities to be used as supportive housing for the elderly.
Activities of daily living (ADL) means eating, dressing, bathing, grooming, and household management activities, as further described below:
(1) Eating - May need assistance with cooking, preparing, or serving food, but must be able to feed self;
(2) Bathing - May need assistance in getting in and out of the shower or tub, but must be able to wash self;
(3) Grooming - May need assistance in washing hair, but must be able to take care of personal appearance;
(4) Dressing - Must be able to dress self, but may need occasional assistance; and
(5) Home management activities - May need assistance in doing housework, grocery shopping, laundry, or getting to and from activities such as going to the doctor and shopping, but must be mobile. The mobility requirement does not exclude persons in wheelchairs or those requiring mobility devices.
Congregate space (hereinafter referred to as community space) shall have the meaning provided in section 202 (12 U.S.C. 1701q(h)(1)). The term “community spaces” excludes offices, halls, mechanical rooms, laundry rooms, parking areas, dwelling units, and lobbies. Community space does not include commercial areas.
Elderly person means a household composed of one or more persons at least one of whom is 62 years of age or more at the time of initial occupancy.
Frail elderly means an elderly person who is unable to perform at least three activities of daily living as defined in this section. Owners may establish additional eligibility requirements acceptable to HUD based on the standards in local supportive services programs.
Owner means a single-asset private nonprofit organization that may be established by the Sponsor that will receive a capital advance and project rental assistance payments to develop and operate supportive housing for the elderly as its legal owner. Owner includes an instrumentality of a public body. The purposes of the Owner must include the promotion of the welfare of the elderly. The Owner may not be controlled by or be under the direction of persons or firms seeking to derive profit or gain therefrom.
Private nonprofit organization means any incorporated private institution or foundation:
(1) No part of the net earnings of which inures to the benefit of any member, founder, contributor, or individual;
(2) That has a governing board:
(i) The membership of which is selected in a manner to assure that there is significant representation of the views of the community in which such housing is located; and
(ii) Which is responsible for the operation of the housing assisted under this section, except that, in the case of a nonprofit organization that is the sponsoring organization of multiple housing projects assisted under this section, HUD may determine the criteria or conditions under which financial, compliance, and other administrative responsibilities exercised by a single-entity private nonprofit organization that is the owner corporation of an individual housing project may be shared or transferred to the governing board of such sponsoring organization; and
(3) Which is approved by HUD as to financial responsibility.
Services expenses means those costs needed to provide the necessary services for the elderly tenants, which may include, but are not limited to: health related activities, continuing education, welfare, informational, recreational, homemaking, meal and nutritional services, counseling, and referral services as well as transportation as necessary to facilitate access to these services.
Sponsor means any private nonprofit entity, including a consumer cooperative:
(1) No part of the net earnings of which inures to the benefit of any private shareholder, member, founder, contributor, or individual;
(2) That is not controlled by, or under the direction of, persons or firms seeking to derive profit or gain therefrom; and
(3) That is approved by the Secretary as to administrative and financial capacity and responsibility. The term Sponsor includes an instrumentality of a public body.
(a) In general. In addition to the applicable project standards in § 891.120, resident units in Section 202 projects are limited to efficiencies or one-bedroom units, except as specified under paragraph (b) of this section. If a resident manager is proposed for a project, up to two bedrooms could be provided for the resident manager unit.
(b) Exception. Resident units in Section 202 projects may be two-bedroom units if a portion of the units are financed by other sources. Resident units may be two-bedroom units provided that the square footage in excess of the one-bedroom size limits are treated as excess amenities as specified in § 891.120.
[78 FR 37113, June 20, 2013]
(a) HUD may establish, through publication of a notice in the Federal Register, limits on the number of units that can be applied for by a Sponsor or Co-sponsor in a single geographical region and/or nationwide.
(b) Affiliated entities that submit separate applications shall be deemed to be a single entity for purposes of these limits.
(c) HUD may also establish, through publication of a notice in the Federal Register, the minimum size of a single project.
Projects may not include facilities for infirmaries, nursing stations, or spaces for overnight care.
(a) In carrying out the provisions of this part, HUD shall ensure that housing assisted under this part provides services as described in section 202 (12 U.S.C. 1701q(g)(1)).
(1) HUD shall ensure that Owners have the managerial capacity to perform the coordination of services described in 12 U.S.C. 1701q(g)(2).
(2) Any cost associated with this paragraph shall be an eligible cost under the contract for project rental assistance. Any cost associated with the employment of a service coordinator shall also be an eligible cost, except if the project is receiving congregate housing services assistance under section 802 of the National Affordable Housing Act. The HUD-approved service costs will be an eligible expense to be paid from project rental assistance, not to exceed $15 per unit per month. The balance of service costs shall be provided from other sources, which may include co-payment by the tenant receiving the service. Such co-payment shall not be included in the Total Tenant Payment.
For purposes of the Section 202 Program, the selection preferences in 24 CFR part 5, subpart D apply.