From Les Sparks:

I think the answer is in the document you sent from Handbook 4381.5. You are only to include utility payments when the TTP of the tenant is less than the allowance. This is due to the fact that they are allowing you to collect as close to the total payment as possible. The goal is to get you as close to the gross potential rent as possible. However they will not let you go over the that amount. There is no GPR+Utility Allowance * fee rate.

So you can only charge it only on instances where TTP < UA.

Les

From client:

Yes, at 100% capped at gross potential, so that makes sense. 

From client:

A HUD audit client had storm damage from Hurricane Mathew. Per GAAP guidance, we accrued the estimated insurance recovery, and the estimated remaining repairs required after the year of the storm as of 12/31/16.

If seems the net loss (approx 40,000) should be separated from the other normal repair contract work #56000 in the COA. Is that the case, and instead should we use #6590-020 Misc Operating and describe as storm damage?

And, for the surplus cash, we didn’t include the insurance receivable nor the accrued estimate of additional damages in the calculation. Do you agree.

From Les:

David, there really isn’t any place to do what you want, which I assume is to separate the amount from operations. For a casualty loss, I would likely include the amount in 6790 or 6890. One is insurance and the other is financial. I can live with either one. Further, i am fine with the exclusion of the insurance receivable. I have seen people include those if they had received the money by report release date and they were going to artificially reduce surplus cash as a result of the loss.