HUD Reveals Fourth-Quarter Housing Waiver Approvals
Published Date: 7/6/2026
Notice
Summary
HUD gave special permission to skip some rules from October to December 2025, helping certain housing programs work more smoothly. These waivers affect people and organizations involved in housing, possibly saving time and money by cutting red tape. The list of approved waivers is now public, so everyone knows what changes were made and when.
Analyzed Economic Effects
12 provisions identified: 11 benefits, 1 costs, 0 mixed.
Waivers to Smooth EHV → HCV Transitions
HUD granted waivers that let several housing authorities (including the City of Phoenix Housing Department, County of Sacramento Housing Authority, Mendocino County CDC, Housing Catalyst, and Housing Authority of Daytona Beach) use alternative waiting-list or outreach procedures to transition large numbers of Emergency Housing Voucher (EHV) families into Housing Choice Voucher (HCV) programs to avoid families losing assistance. HUD cited examples such as Phoenix having over 300 EHV families and Sacramento having about 460 EHV participants (962 individuals, 398 children).
Flexible LMI Counting for Lee County
HUD allowed Lee County, Florida (waiver effective December 8, 2025) to count proportional infrastructure costs toward meeting the 70% low- and moderate-income (LMI) overall benefit requirement for its 2022 CDBG-DR grant even when a project's service area has less than 51% LMI residents. The County may multiply total project costs by the percentage of LMI persons in the service area, not to exceed the CDBG-DR funds invested.
Flexible LMI Counting for Volusia County
HUD allowed Volusia County, Florida (waiver effective December 28, 2025) to count proportional infrastructure costs toward meeting the 70% LMI overall benefit requirement for its 2022 CDBG-DR grant when service areas have less than 51% LMI residents. The County may multiply total project costs by the percentage of LMI persons in the service area, up to the amount of CDBG-DR funds invested.
Texas AMI and Upper-Quartile Exception
HUD allowed the State of Texas (effective December 8, 2025) to use the State Area Median Income (AMI) as the minimum in disaster-impacted counties with AMI below the statewide AMI and to apply an "upper quartile" exception in certain non-entitlement counties for meeting LMI area benefit rules. The waiver applies only to Texas' CDBG-DR grants for specified disasters and remains in effect for the duration of those grants.
One-Month Extension for Hawaii RUSH Spending
HUD extended the expenditure deadline for the State of Hawaii's Rapid Unsheltered Supportive Housing (RUSH) grant so the State may continue expending funds through December 31, 2025; HUD required a spending plan by that date to consider a further one-year extension. The waiver addressed the 24-month expenditure timing tied to RUSH funds for Maui Wildfires recovery.
South Oak Manor: Allow Non-Elderly Families
HUD waived occupancy rules that restricted South Oak Manor (North Platte, Nebraska) to elderly families (62+) so the property may house working families; the waiver was granted November 18, 2025 and applies while the property remains under a Section 8 Project-Based Rental Assistance contract.
NYCHA RAD-PBV Consolidations Approved
HUD granted waivers to allow NYCHA to treat certain public housing groupings (Jackie Robinson Houses, Harlem Scattered Sites, and Ocean Hill–Stuyvesant Gardens) as consolidated projects for RAD-Project-Based Voucher (RAD-PBV) HAP contract management to preserve current management, expedite resident transfers, and reduce administrative burden (granted September 5, 2025).
Keep 7 Veteran Units Affordable
HUD allowed the City of Santa Rosa (Benton Veterans Village) to transfer a HOME-assisted rental project from the original CHDO to PEP Housing so the seven HOME-assisted units remain affordable for the remainder of the 20-year period of affordability. The waiver was granted December 2, 2025 and requires PEP Housing to assume the HOME agreement and record amended deed restrictions.
Internal Auditor Requirement Waived (St. Louis)
HUD allowed St. Louis County (waiver effective December 8, 2025) not to hire a dedicated internal auditor under the May 2023 Consolidated Notice and instead apply the Universal Notice standard (which requires internal auditors only for grants of $100 million or more). The County must continue oversight, monitoring, and fraud-detection procedures.
Floodplain Elevation Waiver for Sunflower Flats
HUD waived certain elevation and floodproofing requirements for Sunflower Flats (Manhattan, Kansas) to permit new construction where residential units are on the second floor and above and permit occupancy by seniors aged 55+ who are individuals with disabilities. The waiver was granted December 4, 2025 and was based on flood-risk minimization measures and levee protection.
South Oak Manor: Ownership Type Waived
HUD waived the requirement that the borrower/owner of South Oak Manor be a private nonprofit or nonprofit consumer cooperative, allowing other ownership types to acquire the property to avoid further financial and physical decline; waiver granted November 18, 2025.
South Oak Manor Emergency Call System Waived
HUD waived the Housing Handbook requirement to install an emergency call system in each bathroom and one bedroom for projects serving the elderly at South Oak Manor (waiver granted November 18, 2025). The waiver was granted in the context of changing the property's occupancy to include non-elderly working families.
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Previous: 2026-13537 — Notice of Regulatory Waiver Requests Granted for the Third Quarter of Calendar Year 2025
HUD gave special permission to skip some rules for certain housing projects between July and September 2025. This helps speed up work and can save money for developers and communities. If you’re involved in housing or urban projects, these changes might affect your plans and deadlines.
Next: 2026-13542 — Section 8 Housing Assistance Payments Program-Fiscal Year (FY) 2026 Inflation Factors for Public Housing Agency (PHA) Renewal Funding
Public Housing Agencies (PHAs) will see their 2026 Section 8 renewal funding adjusted by a 2.337% inflation factor based on local rent changes. This update helps keep housing assistance payments in line with rising costs starting July 6, 2026. HUD is also asking for feedback on possible new ways to tweak these adjustments for 2027 to better reflect local housing rules.