National Technical Assistance
HUD Rental Assistance Demonstration Program (RAD)
In 2010, HUD identified over $30 billion in capital needs backlog for 1.2 million units of public housing. Congress appropriates, approximately, $2 billion annually to fund public housing capital needs. To address this gap HUD and Congress created the Rental Assistance Demonstration (RAD) program in order to stimulate the creation of public/private partnerships and infuse private funds to recapitalize these assets, preserve the affordable housing stock, and improve the quality of life for its residents.
In 2013, C. Ray Baker & Associates (CRB) was retained by HUD as the prime contractor to provide national technical assistance and program support for activities under the RAD program, and to help HUD staff to better implement and manage the program. CRB worked directly with Public Housing Authorities (PHA) as they determined whether it was in their best interest to apply for RAD. This included staff, resident, and board training; financial feasibility analysis; operational capacity assessment; and review of the building program.
- Provided targeted outreach to over 300 PHAs to assist them in determining both capacity and feasibility of participating in demonstration program;
- Facilitated balanced discussions on the costs, benefits, risks, and reduced regulatory burden of participating in the RAD program;
- Identified developers, lenders and equity investors who were interested in partnering with PHAs to recapitalize, own, and operate rental assets;
- Provided training to PHAs, Board of Commissioners, City Officials, Community Advocates, Developers, and Residents in over 100 communities;
- On the date that CRB was retained by HUD, they had 131 applications filed for 14,000 units after a year of marketing the program in contrast to the 60,000 unit cap established by Congress. Within the first year of CRB's contract, HUD had 620 applications filed for over 180,000 units;
- This level of program participation delivered a 370% increase in the amount of applications filed with HUD. The increased applications represented a 670% increase in the amount of units brought into the program;
- The increased units represents an 80% increase over the demonstration target amount of 60,000 units and 9% of the national unit count for public housing.