HUD HCV Guidebook § 7.4.1

Retroactive absorptions are not allowed. However, receiving PHAs have 10 business days from the effective
date of the absorption to send an updated form HUD-52665 to the initial PHA. This may result in absorptions
that are retroactive but for no more than 10 business days.
There is one exception to the limitation on retroactive absorptions. If an initial PHA requests that the receiving
PHA absorb ported vouchers as a way of avoiding terminations of assistance due to a funding shortfall, the
receiving PHA may retroactively absorb families for which the receiving PHA was previously billing. In these
cases, the receiving PHA reimburses the initial PHA for payments back to the effective date of the absorption
but only for the current calendar year. This cost saving strategy is consistent with PIH Notice 2011-28, Cost-
Savings Measures in the Housing Choice Voucher (HCV) Program.

Example: Changes in the Billing Amount

94
   PIH Notice 2016-09(14)(e)
95
   PIH Notice 2016-09(14)(e)
96
   PIH Notice 2016-09(14)(e)
97
   PIH Notice 2016-09(16)(a)

Moves and Portability                                                                                    25

Assume the billing amount changed effective October 1, 2019. The initial PHA did not receive the
Form HUD-52665 reflecting the change and the HUD-50058 until January 10, 2020.

Billing Amount Increases:                             Billing Amount Decreases:
The initial PHA would not be responsible to pay       The HAP amount decreased by $50, so the initial
for any increase in the billing amount prior to       PHA paid an additional $200 ($50 for October,
the forthcoming monthly payment for February          November, December, and January) and would
2018.                                                 offset this amount in future payments.