Annual Adjustment Factors (AAFs) 2012

On March 13, HUD released (in the Federal Register) its Annual Adjustment Factors for FY 2012 for Section 8 contracts on their contract anniversaries. These factors are based on a formula using residential rent and utility cost changes from the most recent annual Bureau of Labor Statistics Consumer Price Index (CPI) survey. These factors will be applied at Housing Assistance Payment (HAP) contract anniversaries, for calendar months beginning in May, 2012.

Ready a copy of the Federal Register Notice.

For FY 2011 and FY 2010, these AAFs were designated as ‘‘Contract Rent’’ AAFs, to differentiate them from the ‘‘Renewal Funding’’ AAFs that were used exclusively to renew funds for tenant-based rental assistance through Public and Indian Housing. Renewal Funding AAFs are being replaced by an inflation factor established by HUD, so there is no need to differentiate the AAF by use any more. A separate Federal Register Notice will be published that will identify the inflation factors that will be used to adjust tenant-based rental assistance funding for FY 2012, for use by PIH.