2026 Payment Standards for the Housing Choice Voucher Program
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Neighborhood Resources | Housing and Redevelopment T: 480 782 2000 | F: 480 782 3220 | Mail Stop 101, PO Box 4008, Chandler, AZ 85244-4008 | Location: 235 S. Arizona Ave., Chandler, AZ 85225 | chandleraz.gov/AffordableHousing | National Number for Relay Service 7-1-1 | TTY 800 367 8939 | Espanol Voz. TTY 800 842 2088 HHSC MEMORANDUM - NEIGHBORHOOD RESOURCES - Memo No. HD26-01 DATE: January 14, 2026 TO: Housing and Human Services Commission THRU: Riann Balch, Neighborhood Resources Director FROM: Larissa Gorski, Affordable Housing Manager SUBJECT: Briefing Item for the 2026 Payment Standards for the Housing Choice Voucher Program (Section 8 Program). Background: The U.S. Department of Housing and Urban Development (HUD) allows Public Housing Authorities (PHAs) to set the payment standards for the Housing Choice Voucher Program (Section 8 Program). Payment standards are used to calculate the housing assistance payment that the PHA pays to the landlord on behalf of the family leasing the unit. Family contribution to rent is set at 30 to 40 percent of the family’s adjusted income. Each PHA has latitude in establishing its schedule of payment standard amounts by bedroom size. The range of possible payment standard amounts is based on HUD’s published Small Area Fair Market Rents (SAFMRs) schedule for the zip code in which the PHA has jurisdiction. The PHA may set its Payment Standard amounts from 90 to 110 percent of the published SAFRMs. Discussion: The City of Chandler PHA has been designated by HUD as a SAFMR PHA and, in accordance with (24 CFR 982.503), is required to implement and annually update payment standards based on HUD- published SAFMRs by zip code. The proposed City of Chandler’s 2026 Neighborhood Resources | Housing and Redevelopment T: 480 782 2000 | F: 480 782 3220 | Mail Stop 101, PO Box 4008, Chandler, AZ 85244-4008 | Location: 235 S. Arizona Ave., Chandler, AZ 85225 | chandleraz.gov/AffordableHousing | National Number for Relay Service 7-1-1 | TTY 800 367 8939 | Espanol Voz. TTY 800 842 2088 Payment Standards Schedule (Exhibit A) reflects no payment standards adjustment compared to payment standards issued in 2025, except for a decrease in zip code 85225 for all bedroom sizes. Under federal regulations, when a payment standard decreases, an assisted family already under a Housing Assistance Payment (HAP) contract is protected from an immediate reduction in subsidy through the hold harmless provision. Per the Administrative Plan, the payment standard used under the hold harmless provision will remain the previously adopted 2025 payment standard. This higher payment standard will continue to be applied until one of the following occurs: • The family moves to a different unit; • The family’s voucher size decreases; or • A future increase in the payment standard meets or exceeds the 2025 amount. The City of Chandler is applying these protections consistent with HUD requirements and the PHA Administrative Plan. The tenant’s rent portion and subsidy calculation will continue using the previous 2025 payment standard until one of the above conditions is met. Documentation of the payment standard change, regulatory citation, and rationale for the hold harmless provision has been added to the file for compliance purposes. Financial Implications: All costs associated with the Housing Choice Voucher Program are funded by HUD. Attachments: Exhibit A - Payment Standards