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Eligible Uses of the Operating Fund Program

Overview

This page provides information on eligible uses of Operating Fund program receipts.

PHAs frequently request guidance on eligible/ineligible uses of Operating Funds. Under Section 9(3) of the Housing Act of 1937, Operating Funds are available to PHAs for the operation and management of public housing, including:

(A) procedures and system to maintain and ensure the efficient management and operation of public hosing units (including amounts sufficient to pay for the reasonable costs of review by an independent auditor of the or other information maintained pursuant to section 6(j)(6) by a public housing agency or resident management corporation to substantiate the performance of that agency or corporation);
 
(B)activities to ensure a program of routine preventative maintenance;
 
(C) anticrime and anti-drug activities, including the costs of providing adequate security for public housing residents, including above-baseline police service agreements;
 
(D) activities related to the provision of services, including service coordinators for elderly persons or persons with disabilities; activities to provide for management and participation in the management and policy making of public housing by public housing residents;
 
(E) the costs of insurance;
 
(F) the energy costs associated with public housing units, iwht an emphasis on energy conservation;
 
(G) the costs of administering a public housing work program under Section 12, including the costs of any related insurance needs;
 
(H) the cost of repaying, together with rent contributions, debt incurred to finance the rehabilitation and development of public housing units, which shall be subject o such reasonable requirements as the Secretary may establish;
 
(I) the costs associated with the operation and management of mixed finance projects, to the extent appropriate; and
 
(J)the costs of operating computer centers in public housing through a Neighborhood networks initiative described in subjection (d)(2)E), and of activities related to that initiative.