Hot off the presses from HUD: Relief for RAD Projects Facing Extraordinary Costs. Public housing properties converted under RAD receive annual rent increases based on HUD’s Operating Cost Adjustment Factor (OCAF). However, in recent years, rising operating costs have outpaced the standard OCAF, leaving some RAD projects under financial strain. To address this, HUD now allows owners to request a one-time good-cause exception to the standard OCAF if they can demonstrate that uncontrollable cost increases are creating severe financial hardship.
To learn more regarding the owner submission and review process for an exception to use an alternative operating cost factor, read the following: Question Details