What Exactly Is RAD?
According to Hud.org, “The Rental Assistance Demonstration (RAD) is a program of the Department of Housing and Urban Development (HUD) that seeks to preserve affordable housing.
Public housing across the country needs more than $26 billion in repairs and many public housing agencies (PHAs) do not have enough money to keep units in good condition. RAD provides PHAs a way to stabilize, rehabilitate, or replace properties.”
How Does RAD Work?
RAD allows PHAs to convert a public housing property’s HUD funding to either:
• Section 8 project-based voucher (PBV); or
• Section 8 project-based rental assistance (PBRA).
This conversion of funding to long-term Section 8 contracts lets PHAs make needed repairs while ensuring permanent affordability for these units.
Only 225,000 public housing units can convert funding through RAD. PHAs must submit applications to HUD to get approval to convert some or all of their public housing funding to PBV or PBRA contracts.
Did You Know?
$4 Billion in construction has been achieved under RAD!
In addition to an impressive number of construction projects, RAD has helped create an estimated 75,000 jobs. For more information on the success RAD has seen in recent years, view this helpful PDF provided by HUD.