Revised Methods of Providing Federal Funds for Public Housing Agencies, 1994
The report includes a comparative analysis of operating costs for low-income public and private multifamily housing in central city locations. In addition to operating subsidies, PHAs with 250 or more units receive capital improvement moneys under the Comprehensive Grant Program (CGP), while the older Comprehensive Improvement and Assistance Program (CIAP) continues to serve small PHAs. The study found that extra-large PHAs received $403 per unit per month (PUM) in FY 1992, compared to $183 PUM for very small PHAs.
The study's final simulation based subsidies for both operations and capital improvements on a Fair Market Rent (FMR) system, in which PHAs would be paid the difference between the market value of their dwelling units and the amount of rent paid by tenants. The FMR system, however, does not adequately compensate for the costs of clearing the long- standing backlog of repairs and maintenance to public housing.