24 C.F.R. § 982.156
§ 982.156 Depositary for program funds. (24 CFR Part 982)
Operative Text
(a) Unless otherwise required or permitted by HUD, all program receipts must be promptly deposited with a financial institution selected as depositary by the PHA in accordance with HUD requirements. (b) The PHA may only withdraw deposited program receipts for use in connection with the program in accordance with HUD requirements. (c) The PHA must enter into an agreement with the depositary in the form required by HUD. (d)(1) If required under a written freeze notice from HUD to the depositary: (i) The depositary may not permit any withdrawal by the PHA of funds held under the depositary agreement unless expressly authorized by written notice from HUD to the depositary; and (ii) The depositary must permit withdrawals of such funds by HUD. (2) HUD must send the PHA a copy of the freeze notice from HUD to the depositary.
Under § 982.156, public housing authorities (PHAs) that administer Housing Choice Voucher funds are required to deposit all program money into an approved financial institution and may only withdraw those funds for program-related purposes consistent with HUD requirements. The PHA must also execute a formal depositary agreement in the form HUD specifies. If HUD issues a written freeze notice to the depositary, the financial institution must block PHA withdrawals unless HUD expressly authorizes them in writing, and HUD itself gains the authority to withdraw those funds directly — with a copy of the freeze notice sent to the PHA.
Plain English — not legal advice.
§ 982.156 governs the PHA's handling of program funds rather than directly regulating landlord conduct, but property owners participating in the Housing Choice Voucher program should be aware that HAP payments flow through a HUD-regulated depositary structure. A compliant PHA maintains a dedicated depositary account, executes the required depositary agreement, and restricts withdrawals to program-authorized purposes. Landlords who experience payment disruptions may find it useful to understand that a HUD-issued freeze under § 982.156 can temporarily restrict a PHA's ability to disburse funds, and contacting the local PHA for status updates is a common first step in those situations.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
§ 982.156 establishes how the PHA must hold and manage Housing Choice Voucher program funds, which indirectly affects the stability of rental assistance payments that support tenants' housing. Tenants should know that if a PHA's funds are frozen under this provision, it reflects a federal oversight action rather than a change in the tenant's eligibility or rights under the program. Tenants who have concerns about payment delays or PHA fund management can reach out to their local PHA for information, contact HUD's regional office, or connect with a tenant-rights organization familiar with the voucher program for general guidance.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 3, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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