Payment Standards:
Each year the U.S. Department of Housing & Urban Development (HUD) surveys approximately 40,000 rental units in the Greater Boston Metropolitan Area to determine the value of rental units by bedroom size and amenities.  This data is then used to create guidance for Housing Authorities on how much they can spend on rental units in their cities.  The levels, by bedroom size, are referred to as the "Fair Market Rents", or "FMRs".

Each October, HUD publishes the latest FMRs to be used by housing authorities when detrmining their Payment Standards for the Housing Choice Voucher Program (also known as "Section 8").  Because HUD uses data from cities throughout the Metropolitan area to determine the FMRs, HUD's numbers often do not accurately reflect the value of rental units in Cambridge's more expensive market.  CHA typically uses its Moving to Work flexibility, informed by our own third party market data, to create Payment Standards for Cambridge, that are increased slightly above HUD's published FMRs.

Each year, the CHA announces the Payment Standards for the coming year in the November Owner Update, and in the Payment Standards & Utility Rates section on the right side of this web page.

Utility Rates:
The CHA's published Payment Standards are for high quality units that include all utilities.  An amount equal to the annual cost of a utility not included with rent is deducted from the Payment Standard for the purpose of determining reasonable rents for subsidized rental units.   

Each year, the CHA hires an outside consultant to determine the cost to tenants of paying for each utility, by utility and building type.  CHA uses this information to create the "Utility Allowance Chart".  The Utility Allowance chart is typically published each year in the Owner Update, and in the Payment Standards & Utility Rates section on the right side of this web page.