Project Account. (1) HUD will es- tablish and maintain a specifically identified and segregated project ac- count for each project. The project ac- count will be established out of the amounts by which the maximum an- nual commitment exceeds the amount actually paid out under the HAP con- tract each year. HUD will make pay- ments from this account for housing assistance payments as needed to cover increases in contract rents or decreases in tenant income and other payments for costs specifically approved by the Secretary. (2) If the HUD-approved estimate of required annual payments under the HAP contract for a fiscal year exceeds the maximum annual commitment for that fiscal year plus the current bal- ance in the project account, HUD will, within a reasonable time, take such steps authorized by section 8(c)(6) of the United States Housing Act of 1937 (42 U.S.C. 1437f note), as may be nec- xxxxxx, to assure that payments under the HAP contract will be adequate to cover increases in contract rents and decreases in tenant income.
Appears in 8 contracts
Samples: Hap Contract, Hap Contract, Hap Contract
