HUD HCV Guidebook § 3.2.6

PHAs must assess requests for accommodations on a case-by-case basis. Once the PHA determines a
disability-related need for the accommodation, the PHA must approve the request unless doing so would
result in a fundamental alteration in the essential nature of the program or activity or an undue financial and
administrative burden. A fundamental alteration is a modification that alters the essential nature of a
provider’s operations. This is a high standard.

A housing provider may incur some costs associated with providing a reasonable accommodation. Under
Section 504, PHAs are obligated to pay for accommodations, including structural modifications that have
costs associated with them unless doing so would result in an undue administrative and financial burden. The
determination of an undue financial and administrative burden involves various factors, such as: the cost of
the requested accommodation, all of the financial resources of the PHA at the time of the request, the
benefits that the accommodation would provide to the individual with a disability, and the availability of other,
less expensive alternative accommodations that would effectively meet the individual’s disability-related
needs. 94

If the accommodation being requested poses an undue financial and administrative burden on the PHA, or the
accommodation would result in a fundamental alteration to the essential nature of the program or activity, the
PHA is still obligated to engage in an interactive process to determine whether an alternative accommodation
would effectively address the applicant or participant’s disability-related needs. An interactive process occurs
when the PHA and the requester discuss the requester's disability-related need for the requested
accommodation and possible alternative accommodations. The interactive process can be helpful because it
often results in the PHA gaining a better understanding of the needs of the individual with a disability so that
they can provide an effective accommodation for the requester that does not pose an undue financial and
administrative burden or fundamental alteration in the essential nature of the PHA’s programs or activities.
Note that persons with disabilities typically have the most accurate knowledge about the functional limitations
posed by their disability, and the accommodations that will meet their disability-related needs. While the
interactive process can occur at any time, it is required to occur prior to a denial of a reasonable
accommodation. The PHA is still required to provide a reasonable accommodation up to the point of an
undue financial and administrative burden.95

93 24 CFR 8.4, 8.20, 8.33.
94 HUD/DOJ Joint Statement on Reasonable Accommodations 5/17/04, Q&A 9.
95 24 CFR part 100, 24 CFR part 8, 28 CFR. part 35; HUD/DOJ Joint Statement on Reasonable Accommodations 5/17/04.

Fair Housing and Nondiscrimination Requirements                                                                  25
US Department of Housing and Urban Development                                                           April 2025

Once the PHA determines whether to approve or deny the request, the PHA would document the disposition of
the request and date of any action taken in the tenant file unless the PHA maintains separate tracking log for
reasonable accommodation requests. If the person does not have a disability or there is no disability-related
need for the accommodation, then the accommodation request would be denied. Persons whose requests
are denied have the right to appeal using the PHA’s appeal policies and procedures described in the PHA’s
reasonable accommodation policy or grievance procedures. Persons who believe their request was
improperly denied are also permitted to file complaints with HUD and are not required to utilize the PHA’s
grievance procedures prior to filing a complaint.