24 C.F.R. § 983.353
§ 983.353 Tenant rent; payment to owner. (24 CFR Part 983)
Operative Text
(a) PHA determination. (1) The tenant rent is the portion of the rent to owner paid by the family. The PHA determines the tenant rent in accordance with HUD requirements. (2) Any changes in the amount of the tenant rent will be effective on the date stated in a notice by the PHA to the family and the owner. (b) Tenant payment to owner. (1) The family is responsible for paying the tenant rent (total tenant payment minus the utility allowance). (2) The amount of the tenant rent as determined by the PHA is the maximum amount the owner may charge the family for rent of a contract unit. The tenant rent is payment for all housing services, maintenance, equipment, and utilities to be provided by the owner without additional charge to the tenant, in accordance with the HAP contract and lease. (3) The owner may not demand or accept any rent payment from the tenant in excess of the tenant rent as determined by the PHA. The owner must immediately return any excess payment to the tenant. (4) The family is not responsible for payment of the portion of the rent to owner covered by the housing assistance payment under the HAP contract. The owner may not terminate the tenancy of an assisted family for nonpayment of the PHA housing assistance payment. (c) Limit of PHA responsibility. (1) The PHA is responsible only for making housing assistance payments to the owner on behalf of a family in accordance with the HAP contract. The PHA is not responsible for paying the tenant rent, or for paying any other claim by the owner. (2) The PHA may not use housing assistance payments or other program funds (including any administrative fee reserve) to pay any part of the tenant rent or to pay any other claim by the owner. The PHA may not make any payment to the owner for any damage to the unit, or for any other amount owed by a family under the family's lease or otherwise. (d) Utility reimbursement. (1) If the amount of the utility allowance exceeds the total tenant payment, the PHA shall pay the amount of such excess as a reimbursement for tenant-paid utilities (“utility reimbursement”) and the tenant rent to the owner shall be zero. (2) The PHA must describe in its Administrative Plan its policies on paying the utility reimbursement directly to the family or directly to the utility supplier. (3) If the PHA chooses to pay the utility supplier directly, the PHA must notify the family of the amount paid to the utility supplier.
Under 24 CFR Part 983 § 983.353, the tenant's share of rent in a project-based voucher arrangement is calculated by the Public Housing Authority (PHA) as the total tenant payment minus any applicable utility allowance. This calculated amount is the absolute ceiling on what an owner may collect from the family — it covers all housing services, maintenance, and utilities the owner is obligated to provide, with no add-ons permitted. The PHA's financial obligation is strictly limited to making housing assistance payments (HAP) to the owner; the PHA bears no responsibility for the tenant's share or for any other owner claims. When a utility allowance exceeds the total tenant payment, the tenant rent drops to zero and the PHA issues a utility reimbursement, either to the family or directly to the utility supplier.
Plain English — not legal advice.
Under § 983.353, compliant operators treat the PHA-determined tenant rent as a hard ceiling — they do not collect, demand, or retain any amount from the family above that figure, and they return any overpayment immediately. Because the tenant rent is considered full payment for all services, maintenance, equipment, and utilities specified in the HAP contract and lease, owners do not impose supplemental charges for those items. Owners also recognize that a family's failure to pay the PHA's housing assistance payment is not a permissible basis for terminating tenancy under this provision, and that the PHA bears no liability for tenant-owed amounts or unit damage claims.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section 983.353 establishes that the PHA-set tenant rent is the most a project-based voucher owner can legally charge you, and that amount is meant to cover all services and utilities the owner is required to provide under the lease and HAP contract. If an owner collects more than the PHA-determined amount, the regulation requires them to return the excess immediately — tenants who believe they have been overcharged can document the payments and raise a violation of § 983.353 with their local PHA or HUD field office. Tenants should also be aware that they are not responsible for the housing assistance portion of the rent, meaning nonpayment of that PHA-covered share cannot be used as grounds for eviction; tenant-rights organizations can help clarify available complaint and defense options.
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 4, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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