The Housing Choice (Section 8) Voucher program is funded by the U.S. Department of Urban Development (HUD) and administered through local Public Housing Agencies (PHAs). Each party plays a significant role in the execution of the program, but what exactly is that role?
HUD funds cover the cost of the program. The agency is responsible for giving these funds to PHAs, who then make subsidized rent payment to landlords on behalf on tenants enrolled in the program. PHAs also receive money from HUD to cover administration of the program. If additional funds come in, HUD requests funding applications from PHAs for additional vouchers to serve new families. HUD reviews the applications and awards funds based on the proposals. HUD is also responsible for overseeing the program in its entirety to make sure program guidelines are being followed at all times.
PHAs are responsible for carrying out the Housing Choice (Section 8) Voucher program in their area. The first step is determining participant eligibility. If a family is eligible, the PHA will process their application. Your PHA will calculate how much rent your family is responsible for paying and what a reasonable rent payment is in the area you will be living. Both determine how much rent your voucher will cover.