DEPARTMENT OF COMMERCE

Monday, July 25, 2011

 

CONTACT: Penny Cope

               Marketing & Web Specialist

               Montana Housing Division

               406-841-2846

 

               Marissa Kozel

               Communications Director

               Montana Department of Commerce

               406-841-2772

 

(HELENA) – The Montana Department of Commerce (MDOC) Housing Division was recently selected by the U.S. Department of Housing and Urban Development (HUD) to serve as the Project Based Contract Administrator (PBCA) for Section 8 projects in the state of Montana. As the PBCA, the MDOC will manage 95 Housing Assistance Payment (HAP) contracts covering over 4,244 units throughout the state.

 

Every PBCA contract in the country was reviewed by HUD, and either renewed or awarded to new agencies in July, after a competitive application process. The MDOC is one of only 22 entities in the nation that maintained its PBCA contract with HUD.

 

“Only the most accurate and efficient organizations are chosen by HUD to administer the contracts for the Project Based Section 8 Program,” said Dore Schwinden, Director of the Montana Department of Commerce. “This federally-funded program preserves, maintains and improves housing stock for low income families. We are proud to continue providing this service to assist Montanans that are most in need.”

 

The MDOC has been the program’s state contract administrator since 2000 and has reviewed, approved, and distributed approximately $149 million to private landlords and property management companies across the state of Montana during that time. MDOC will continue its mission to ensure that owners of Montana’s Section 8 Project-Based properties fulfill their obligations to provide quality affordable housing for eligible families and seniors. Despite the challenge of managing 95 contracts spread across the third largest state of the lower-48 continental United States, MDOC has earned eight “Outstanding” and two “Above Average” ratings during HUD’s annual compliance reviews. 

 

The Project-Based Section 8 rental assistance program was created by the Housing and Community Development Act of 1974. Under the program, HUD enters into contracts with property owners to provide rental assistance for a fixed period of time for low-income families with incomes no greater than 80 percent of the area median income. Tenants pay rent equal to 30 percent of adjusted household income. HUD’s contract with MDOC for the oversight and administration these Section 8 project-based contracted properties includes delegation of responsibility for conducting management and occupancy reviews, adjusting contract rents, making monthly rent payments to Section 8 owners, renewing contracts with owners, responding to resident health, safety and maintenance issues and reporting regularly to HUD. 

 

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