24 C.F.R. § 982.514
§ 982.514 Distribution of housing assistance payment. (24 CFR Part 982)
Operative Text
The monthly housing assistance payment is distributed as follows: (a) The PHA pays the owner the lesser of the housing assistance payment or the rent to owner. (b) If the housing assistance payment exceeds the rent to owner, the PHA may pay the balance of the housing assistance payment (“utility reimbursement”) either to the family or directly to the utility supplier to pay the utility bill on behalf of the family. If the PHA elects to pay the utility supplier directly, the PHA must notify the family of the amount paid to the utility supplier. (c) The PHA may elect to establish policies regarding the frequency of utility reimbursement payments for payments made to the family. (1) The PHA will have the option of making utility reimbursement payments not less than once per calendar-year quarter, for reimbursements totaling $45 or less per quarter. In the event a family leaves the program in advance of its next quarterly reimbursement, the PHA would be required to reimburse the family for a prorated share of the applicable reimbursement. PHAs exercising this option must have a hardship policy in place for tenants. (2) If the PHA elects to pay the utility supplier directly, the PHA must notify the family of the amount paid to the utility supplier.
Under 24 CFR Part 982 § 982.514, the monthly housing assistance payment in the Housing Choice Voucher program is split between two possible recipients depending on the amounts involved. The public housing authority (PHA) pays the owner up to the amount of rent owed, and if any housing assistance payment remains after that, the surplus — called a 'utility reimbursement' — goes either to the family or directly to the utility company on the family's behalf. When a PHA pays a utility supplier directly, it must inform the family of that payment amount, and PHAs have some flexibility in how frequently they issue utility reimbursements, though certain minimum standards and hardship protections apply.
Plain English — not legal advice.
Under 24 CFR Part 982 § 982.514, a compliant owner understands that the PHA will never remit more than the contracted rent-to-owner amount, regardless of the total housing assistance payment calculated for the family. Any excess in the housing assistance payment is directed toward utility costs and flows to the family or their utility provider — not to the owner. Owners generally keep their rent-to-owner figures and HAP contract terms current so that payment distributions align with what the PHA has on file.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under 24 CFR Part 982 § 982.514, families in the Housing Choice Voucher program have a right to receive any utility reimbursement that results when the housing assistance payment exceeds the rent to owner, either as a direct payment or through the PHA paying the utility supplier on their behalf. If the PHA pays the utility supplier directly, it is required to notify the family of the amount paid, and if a PHA uses quarterly payment scheduling for smaller reimbursements, a hardship policy must be available. Families who believe a utility reimbursement was miscalculated or withheld can raise the issue with their local PHA, consult a tenant-rights organization familiar with HCV program rules, or explore complaint processes available through HUD.
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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