Section 8 New Construction/Substantial Rehabilitation

History: The Program was authorized by Congress in 1974. HUD has not approved any new projects since 1983, but projects approved prior to that time still receive subsidy.

Purpose: Developed by HUD, the Section 8 Program provides rental subsidies for eligible tenants residing in newly constructed, rehabilitated and existing rental and cooperative apartment projects. Section 8 rental subsidies are provided to project owners on behalf of families that are eligible low-income families at the time of their admission by the project owners to the program. Under the Act, "low income families" are defined as those families whose annual incomes do not exceed eighty percent (80%) of the median income for the area in which the project is located, adjusted for family size, as determined by HUD at least annually.

The Section 8 New Construction/Substantial Rehabilitation program through the Department provides project-based federal rental assistance to 21 projects throughout Connecticut in order to assist very low and low income families afford rental housing.

Source of Funding: Federal Appropriation - under this program HUD provides Section 8 project-based assistance to public housing authorities (PHAs) or private owners for up to 20 or 40 years after completion of the construction or substantial rehabilitation of rental housing. Financing for the rehabilitation or new construction of these units was originally provided by the State.

Process: DOH acts as a "traditional" contract administrator to ensure that HUD-subsidized properties are: a) serving eligible families at the correct level of assistance; and b) properly maintained as decent, safe and sanitary affordable housing.

Statutory Link: Connecticut General Statutes Chapter 127c, Section 8-37r, Section 8-37u & Section 8-37x and U.S. Housing Act of 1937 as amended.

Regulatory Link: Not Applicable