Operating Cost Adjustment Factor (OCAF)
WAHC will send the owner/agent an Auto OCAF letter roughly 150 days prior to the rent adjustment effective date. Upon receiving the Auto OCAF letter, the owner/agent should take the following steps:
Access the OCAF Rent Adjustment Worksheet the link below.
Review WAHC’s Auto OCAF letter and ensure the information for the project is correct including the annual debt service and the rents listed in the Exhibit A. If correct, select the appropriate option on page 1 and sign the letter and return to WAHC. If the debt service has changed, send WAHC a copy of the most recent mortgage statement or other appropriate documents demonstrating the new debt service.
The owner/agent must complete a utility analysis if there are tenant-paid utilities at the project. Under HUD Notice 2015-04, the owner/agent may need to do either a baseline or a factor-based analysis. Please see the Utility Analyses tab for additional information. The complete utility analysis should be forwarded to WAHC. If the utility allowances are decreasing as a result of the analysis, a copy of the tenant notification and owner’s certification of compliance should be forwarded to WAHC.
The complete rent adjustment package is due to WAHC 120 days prior to the rent adjustment effective date.
Upon receipt of a complete OCAF package, WAHC will send the owner/agent a rent schedule (HUD form 92458) for review and signature. Owner/agents are encouraged to return this signed form as quickly as possible.
Upon receipt of the signed rent schedule, WAHC finalizes the processing of the rent adjustment and will send the owner/agent a fully executed rent schedule and finalized Exhibit A to the HAP contract reflecting the new rents.