HUD HCV Guidebook § 3.5.2
Simplified Process for Exception Payment Standards Greater than 110 percent up to 120 percent (HUD HCV Guidebook)
HUD guidance — not codified law
In Force
Verified 9/25/2026 · Next check 10/2/2026
effective 9/25/2026FederalSection 8 HCVOperative Text
HUD HCV Guidebook § 3.5.2
of the Applicable FMR....................................................................................................................................... 14
3.5.3 Exception Payment Standards That Require HUD Approval ................................................................ 16
3.5.4 Impact of HUD-Approved Exception Payment Standards on PBV Rent Determination ...................... 17
3.6 Establishing the Payment Standard Schedule ............................................................................................. 18
3.7 Payment Standards for Special Purpose Voucher Programs ...................................................................... 18
4 Revising the Payment Standards ..................................................................................................................... 19
4.1 Annual Review of Payment Standards .......................................................................................................... 20
4.2 Lowering the Payment Standard ................................................................................................................... 21
4.3 File Documentation ........................................................................................................................................ 21
4.4 Applying the Payment Standard .................................................................................................................... 21
5 Changes in Payment Standard Amounts......................................................................................................... 22
5.1 When the Payment Standard Increases ....................................................................................................... 22
5.2 When the Payment Standard Decreases...................................................................................................... 22
5.3 Change in Family Unit (Voucher) Size During the HAP Contract Term ........................................................ 25
6 Exception Payment Standard as a Reasonable Accommodation .................................................................. 25
6.1 Reasonable Accommodation Exception Payment Standard Requiring HUD Approval .............................. 25
6.2 Reasonable Accommodation Exception Payment Standard Calculation for Shared Housing .................. 27
7 Reevaluation of HUD-published FMRs/SAFMRs ............................................................................................. 27
8 Administrative Plan Requirements .................................................................................................................. 28
9 Glossary ............................................................................................................................................................. 29
Changes from Previous Version
Page Description of Change Date Change
Made
5 Added applicable FMRs to Section 2 June 2025
7 Added new Section 2.2 on payment standard groupings June 2025
8 Added Section 2.3 on SAFMRs and Project Based Vouchers (PBV) June 2025
10 Added Section 2.7 on inapplicability of SAFMRs to other HUD programs June 2025
10 Added Section 2.8 on suspension of SAFMRs or temporary exemption June 2025
12 Added guidance on phase-out of success rate payment standards to Section 3.3 June 2025
12 Updated Section 3.4 on payment standards below the basic range to align with June 2025
24 CFR 982.503(e) and include information PHAs are encouraged to provide to
HUD in its request
13 Updated Section 3.5 on exception payment standards to incorporate regulatory June 2025
changes in 24 CFR 982.503(d) which resulted from the publication of 89 FR
38224 (May 7 ,2024)
18 Updated Section 3.7 on establishing payment standard to include flexibilities June 2025
related to HUD-VASH and EHV
22 Updated Sections 5.1 and 5.2 with guidance on payment standard increases and June 2025
decreases during the HAP contract term to incorporate changes to 24 CFR
982.505(c)(3) which resulted from 89 FR 38224 (May 7, 2024)
25 Added Section 5.3 on change in family voucher size during a HAP contract term June 2025
to provide guidance in accordance with 24 CFR 982.505(c)(6)
25 Reorganized and updated Section 6 to include reference to Notice PIH 2025-12 June 2025
and added guidance on applicable FMR for reasonable accommodation
exception payment standards (RA EPS), HUD-VASH RA EPS, and calculations for
shared housing
27 Added Section 7 to include information on reevaluation of HUD-published June 2025
FMRs/SAFMRs
28 Added Section 8 to include a summary of administrative plan requirements June 2025
regarding payment standards
29 Added the term “applicable FMR” to the glossary June 2025Source: Legislative text reproduced verbatim
Effective Timeline
Current
Sep 25, 2026
Click on timeline segments to view historical versions.
References Out
No outbound references recorded yet for this provision.
References In
No inbound references recorded yet for this provision.
Related Rules
§ 888.113
§ 888.113 Fair market rents for existing housing: Methodology.
§ 888.115
§ 888.115 Fair market rents for existing housing: Manner of publication.
§ 5.512
§ 5.512 Verification of eligible immigration status.
Source Information
Source:https://www.hud.gov/sites/dfiles/PIH/documents/HCV_Guidebook_Payment-Standards_June-2025_final.pdf
Snapshot SHA:
Fetched:Sep 25, 2026, 01:03 PM UTC
Raw bytes:Download from R2 →