Important Information on Changes to Median Family Income Due to Rebenchmarking
The FY2003 Median
Family Income Estimates have been re-benchmarked with
2000 Census data, resulting in an unusual number of increases
and decreases in the figures presented. Income Limits have
been frozen at last year's levels if they would have otherwise
decreased due to decreases in income estimates.
The Income Estimates are calculated for metropolitan areas
and non-metropolitan counties in the United States and its
territories using the Fair Market Rent (FMR) area definitions
used in the Section 8 program. While they are generally based
on HUD estimates of Median Family Income, it is important
to note that this is not always the case. The statute refers
to 50 and 80 percent of area Median Family Income, but then
provides modifications so that the terms often have no relationship
to arithmetic values.
The
FY2003 Income Limits Briefing Material explains the
formulas used to calculate Income Limits and lists every metropolitan
area where Income Limits are not based on Median Family Income
amounts (Attachments 4 and 5).
The income estimates are used by local governments to determine
applicants' eligibility for HUD's assisted housing programs,
including the Public Housing program, the Section 8 Housing
Assistance Payments program, Section 202 housing for the elderly,
and Section 811 housing for persons with disabilities.
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