Section 8 Management Reviews

Performance Based Contract Administration (PBCA)

Minnesota Housing performs performance-based contract administration (PBCA) duties on behalf of HUD for 359 project-based Section 8 projects throughout Minnesota. The agency’s responsibilities are described in the Annual Contributions Contract (ACC) awarded by HUD. PBCA staff collaborates with local HUD field office staff to help ensure that management practices, occupancy, physical conditions, and compliance with HUD and fair housing regulations are upheld. The work of PBCA aligns with Minnesota Housing’s strategic priority to preserve federally-subsidized rental housing.

Management and Occupancy Review (MOR)

Minnesota Housing's Housing Management Officers (HMOs) annually, at a minimum, perform MORs for each property and use HUD Form 9834 to conduct the review. The role of the HMO is to detect and reduce errors in income and rent determinations, to reduce rent underpayments and/or overpayments by tenants, and to maximize HUD’s housing resources, thereby helping ensure as many households as possible participate in HUD’s housing programs.

The MOR has seven components: 

  1. On-site reviews
  2. Section 8 program updates
  3. A tenant file review (Addendum A)
  4. A Fair Housing/504 Questionnaire (Addendum B)
  5. A physical inspection – REAC follow-up and vacant units
  6. Enterprise Income Verification (EIV) access, security and use
  7. An exit interview

Once completed, PBCA staff sends the MOR report to the owner/management agent (owner/agent) using Minnesota Housing’s Multifamily Secure Upload Tool. PBCA staff also sends the MOR report to the HUD field office. The owner/agent has 30 days to remedy deficiencies identified in the MOR, as applicable, and will send responses via Minnesota Housing’s Multifamily Secure Upload Tool (include the name of the assigned housing management officer (HMO) and property name in the subject line). If Minnesota Housing does not receive a compliant response, PBCA staff continues to work with the owner/agent until full compliance is reached, at which point the MOR will be closed. View instructions to learn how to use the Multifamily Secure Upload Tool.

The following resources are available to further assist the owner/agent in preparing for the MOR:

Suggested Outline for Project Based Section 8 Tenant Files - This outline is recommended to help ensure maximum compliance with HUD’s tenant file review requirements.

HUD 4350.3 - HUD 4350.3 is the governing HUD Handbook for Project-based Section 8 and contains regulations and guidance on all aspects of the program. Owner/agents should refer to this handbook when making management and occupancy decisions.

Preparing for a REAC Inspection – This document offers guidance for multifamily properties that are preparing for a Real Estate Assessment Center (REAC) inspection.