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. Administrative Plan 7/1/2025 Intro-iii <br />ABOUT THE ADMINISTRATIVE PLAN <br />REFERENCES CITED IN THE ADMINISTRATIVE PLAN <br />The authority for PHA policies is derived from many sources. Primary among these sources are <br />federal statutes, federal regulations, and guidance issued by HUD. State law also directs PHA <br />policy. State law must be followed where such law exists and does not conflict with federal <br />regulations. Industry practice may also be used to develop policy as long as it does not conflict <br />with federal requirements or prohibitions. <br />HUD <br />HUD provides the primary source of PHA policy through federal regulations, HUD notices, and <br />handbooks. Compliance with federal regulations, current HUD notices, and current HUD <br />handbooks is mandatory. <br />HUD also provides guidance to PHAs through other means such as HUD-published guidebooks, <br />expired HUD notices, and expired handbooks. Basing PHA policy on HUD guidance is optional, <br />as long as PHA policies comply with federal law, federal regulations and mandatory policy. <br />Because HUD has already determined that the guidance it provides is consistent with mandatory <br />policies, PHA reliance on HUD guidance provides the PHA with a “safe harbor.” <br />Material posted on the HUD website can provide further clarification of HUD policies. For <br />example, FAQs on the HUD website can provide direction on the application of federal <br />regulations in various aspects of the program. <br />State Law <br />Where there is no mandatory federal guidance, PHAs must comply with state law, if it exists. <br />Where state law is more restrictive than federal law, but does not conflict with it, the PHA <br />should follow the state law. <br />Industry Practice <br />Where no law or HUD authority exists on a particular subject, industry practice may support <br />PHA policy. Industry practice refers to a way of doing things or a policy that has been adopted <br />by a majority of PHAs. <br />EXHIBIT 1