HUD HCV Guidebook § 4.1

Each PHA must19 ensure that 75 percent of its admissions in each PHA fiscal year are families whose incomes
are at or below the extremely low-income (ELI) limit (see definition below).20 Less than 75 percent of ELI
permitted with HUD approval, in accordance with PHA Plan and additional circumstances described in
982.201(b)(2)(ii)(A)-(D). The Waiting List and Tenant Selection chapter contains rules pertaining to “targeting”
of assistance to extremely low-income families.

Definition of Extremely Low Income

        Extremely low-income refers to families whose incomes meet the very low-
        income threshold (50% of area median income) and do not exceed the higher
        of the federal poverty line or 30% of area median income. This definition
        became effective on July 1, 2014, ensuring working families living in areas
        where the federal poverty line exceeds 30% of area median income will meet
        the ELI income targeting requirements.

        PHAs do not need to determine the ELI limit for their local area. HUD publishes
        the ELI limits annually on HUD USER.

18
   24 CFR § 982.201(b)(1)
19
   24 CFR § 982.201(b)(2)
20
   24 CFR § 5.603; Federal Register Notice 79 FR 35940, HUD Implementation of Fiscal Year 2014 Appropriations
Provisions on Public Housing Agency Consortia, Biennial Inspections, Extremely Low-Income Definition and Utility
Allowances, July 1, 2014.