24 C.F.R. § 882.806
§ 882.806 Agreement to enter into housing assistance payments contract. (24 CFR Part 882)
Operative Text
(a) Rehabilitation period—(1) Agreement. Before the owner begins any rehabilitation, the HA must enter into an Agreement with the owner in the form prescribed by HUD. (2) Timely performance of work. (i) After execution of the Agreement, the Owner must promptly proceed with the rehabilitation work as provided in the Agreement. If the work is not so commenced, diligently continued, or completed, the PHA will have the right to rescind the Agreement, or take other appropriate action. (ii) The Agreement must provide that the work must be completed and the contract executed within 12 months of execution of the ACC. HUD may reduce the number of units or the amount of the annual contribution commitment if, in HUD's determination, the HA fails to demonstrate a good faith effort to adhere to this schedule or if other reasons justify reducing the number of units. (3) Inspections. The PHA must inspect, as appropriate, during rehabilitation to ensure that work is proceeding on schedule and is being accomplished in accordance with the terms of the Agreement, particularly that the work meets the acceptable levels of workmanship and materials specified in the work write-up. (4) Changes. (i) The Owner must submit to the PHA for approval any changes from the work specified in the Agreement which would alter the design or the quality of the required rehabilitation. The PHA may condition its approval of such changes on a reduction of the Contract Rents. If changes are made without prior PHA approval, the PHA may determine that Contract Rents must be reduced or that the Owner must remedy any deficiency as a condition for acceptance of the unit(s). (ii) Contract rents may not be increased except in accordance with §§ 882.408(d) and 882.805(d)(2). (b) Completion of rehabilitation—(1) Notification of completion. Section 882.507(a) applies to this program. (2) Evidence of completion. Section 882.507(b) applies to this program, except that § 882.507(b)(2)(iv), concerning lead-based paint requirements, does not apply. (3) Actual cost and rehabilitation loan certifications. Section 882.507(c) applies to this program, except that contract rents must be established in accordance with § 882.805(d). (4) Review and inspections. Section 882.507(d) applies to this program. (5) Acceptance. Section 882.507(e) applies to this program.
Section 882.806 of 24 CFR Part 882 governs the process by which a housing authority (HA) and a property owner formalize their relationship before and during rehabilitation work under the Section 8 Moderate Rehabilitation program. Before any rehabilitation begins, a written Agreement in HUD's prescribed form must be in place, and the owner is expected to carry out the work promptly, continuously, and within 12 months of the Annual Contributions Contract (ACC) execution. The HA is required to conduct inspections throughout the rehabilitation period to verify that work meets the standards outlined in the Agreement, and any significant changes to the scope of work require prior PHA approval. Upon completion, the provision incorporates several procedures from § 882.507 to confirm, document, and formally accept the finished rehabilitation.
Plain English — not legal advice.
Under § 882.806, compliant operators in the Section 8 Moderate Rehabilitation program secure the required HUD-prescribed Agreement with the HA before breaking ground on any rehabilitation work. They maintain a steady, documented pace of construction to meet the 12-month completion deadline tied to the ACC, and they submit any proposed design or quality changes to the PHA for written approval before implementing them — since unapproved changes can result in reduced Contract Rents or mandatory remediation. Throughout the process, operators cooperate with PHA inspections and follow the completion, certification, and acceptance procedures cross-referenced from § 882.507 to ensure the units are formally accepted and the Housing Assistance Payments contract can be executed.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section 882.806 establishes procedural protections that are meant to ensure rehabilitated units meet defined quality and workmanship standards before they are accepted into the Section 8 Moderate Rehabilitation program. Tenants who have concerns about whether a unit's rehabilitation was completed properly or whether required inspections occurred may raise those concerns with their local Public Housing Authority, which is responsible for oversight under this provision. Tenant-rights organizations and HUD's regional offices can also be resources for understanding how the standards set out in § 882.806 and the cross-referenced provisions of § 882.507 apply to a particular housing situation.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 4, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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