The HANO Payment Standard is determined by using annual Fair Market Rent information for the New Orleans area. The payment standard represents the maximum subsidy HANO will pay for a unit leased in the Housing Choice Voucher Program by bedroom size. The maxiumum subsidy is the amount HANO will pay toward rent and the cost of utilities not included in the rent.
HANO may provide a utility allowance to assist the tenant with the cost of tenant paid utilities. The owner-requested rent and the utility allowance must be added together to arrive at the Gross Rent.
The Payment Standard is NOT the maximum allowable rent to the owner.
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Reasonable Rent Determination
To calculate the approved rent, HANO compares the owner-requested amount to the rents for private units with similar features, amenities, and location. If the requested rent is in line with comparable rents, the rent is determined reasonable and can be approved if it meets the affordability test also known as the Maximum Initial Rent Burden
Maximum Initial Rent Burden
The approved gross rent (owner requested rent and the HANO allowance for tenant paid utilities) cannot result in the tenant having to pay more than 40% of their adjusted monthly income toward rent. This is also known as the Maximum Initial Rent Burden.
Owners may request rent increases once per year. Rent increases are subject to HANO reasonable rent determination. Even if an increase is approved, the tenant may not be able to afford it and may have to move. Instructions and required forms to request a rent increase are available at HANO. Contact your Case Manager for forms and information.
If you have questions or need assistance, please submit via email to firstname.lastname@example.org.