The U.S. Department of Housing and Urban Development (HUD) is committed to direct computer application-to-computer application exchange of standardized information between private industry and HUD. EDI is widely recognized as a strategic information systems technology in both the private sector and within the Federal Government. EDI was introduced to HUD in the early 1990s, resulting in faster payment of claims and greatly reducing the reporting and paperwork burden shouldered by FHA-approved lenders/servicers. Electronic filing of Federal Housing Administration (FHA) single family (SF) mortgage insurance claims, mortgage loan default reporting, and mortgage record changes and terminations became mandatory by December 1997 for all mortgagees. This section of the guide provides the strategic initiatives under which EDI applications have been developed and the business process that they support.

Strategic Plan

Wherever possible and feasible, HUD is committed to the use of EDI in all program and administrative initiatives that require high volume, paper-based, frequently recurring submissions to the Department from private and/or public sector sources. The HUD EDI Strategic Plan sets forth the following objectives to be achieved for the implementation of EDI capabilities within the Department:

• Explore the feasibility of applying EDI to the business practices of the Deparment
• Create a formalized process that will facilitate central administration of EDI usage within HUD
• Establish liaison within and external to the Federal Government to maintain currency in the use and advances of EDI technology and
• Become an active participant within the national EDI standards committees to promote the interests of HUD programs

EDI can be viewed as an enabling technology to be assimilated normally into the HUD business environment. It should be viewed as an enterprise capability that facilitates electronic communications (connectivity) between HUD and those clients who routinely file reports and/or submit prescribed, formatted requests for HUD program services. EDI is not just a technical solution to automate an otherwise manual or semi-automated business process. It is an opportunity to rethink the way business is conducted with an attempt to promote productivity improvements. Other issues addressed in Section II are:

• Business process overview
• Technical environment
• Gateway
• Communications

Detailed information on Section II is available in PDF format.

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