Section 104(d) of the Housing and Community Development Act (HCD) provides minimum requirements for HUD funded programs or projects when units that are part of a community's low-income housing supply are demolished or converted to a use other than low- or moderate-income dwellings.
What are the Section 104(d) requirements?
- Replacement, on a one-for-one basis, of all occupied and vacant occupiable low- or moderate-income dwelling units that are demolished or converted to a use other than low- or moderate-income housing in connection with an activity assisted under the HCD Act, and
- Provision of certain relocation assistance to lower income residential tenants displaced as a direct result of the following activities in connection with federal assistance:
- Demolition of any dwelling unit, or
- Conversion of a low- or moderate-income dwelling unit to a use other than a low- or moderate-income residence.
What triggers Section 104(d)?
Section 104(d) requirements are triggered by the use of HOME, CDBG, Section 108 Loan Guarantee, or UDAG funding in a project involving the demolition or conversion of low- or moderate-income housing.
What are the relocation requirements under Section 104(d)?
The relocation assistance and payments for eligible persons under Section 104(d) are similar to those required for the URA but there are a number of differences. One significant difference between the laws is the period of time used to calculate a rental assistance payment; Section 104(d) factors in 60 months vs. 42 months for the URA. Section 104(d)-eligible displaced persons may choose to receive relocation assistance under Section 104(d) or relocation assistance under the URA.
What are the guiding regulations for Section 104(d) relocation requirements?
Section 104(d) Regulations: 24 CFR Part 42 is the regulation that implements Section 104(d) of the Housing and Community Development Act.
Where can you go to find more information about Section 104(d) requirements?
You should consult 24 CFR Part 42 and Chapter 7 of HUD Handbook 1378 for more guidance.
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