At many HUD-assisted multifamily properties, residents have a federally protected right to form a resident council or tenant organization, and owners must allow organizing activities such as distributing leaflets, posting notices and holding meetings on site without management present. The rules come from 24 CFR Part 245, Subpart B, and HUD’s implementing notices. For owners and managers, the practical goal is to respect the organization’s independence, respond to reasonable requests for meeting space, and keep resident programming separate from the council’s own work.
This guide is for property managers, regional managers and asset managers at affordable and HUD-assisted communities who want to understand what the rules require and how a resident council fits alongside resident services and events.
This article is general information, not legal advice. Coverage and obligations depend on each property’s financing and contracts, so confirm specifics with your compliance team, counsel or HUD contacts.
Which properties are covered?
HUD Notice H 2014-12 lists the property types covered by the tenant participation rules. They include projects with HUD-insured or Secretary-held mortgages under certain programs (such as Section 236 and the Section 221(d)(3) below-market interest rate program), certain formerly HUD-owned projects, state or local housing finance agency projects, and projects receiving project-based Section 8 assistance (not administered by a public housing agency), enhanced vouchers, Section 202 or Section 811 assistance. Cooperatives are excluded (HUD Notice H 2014-12). HUD later issued Notice H 2016-05, which restates those requirements and revises the penalties for non-compliance (HUD Notice H 2016-05).
Public housing has its own resident participation rules under a different part of the regulations, so this article focuses on privately owned HUD-assisted multifamily properties.
What about LIHTC-only properties?
A tenant organizing guide published by HomeLine, a Minnesota tenant advocacy organization, notes that it found no federal LIHTC rule addressing tenant organizing, but that a tax credit property also receiving project-based Section 8 or other covered HUD assistance is subject to those programs’ organizing rules (HomeLine). Because some tax credit properties also carry HUD assistance, check each property’s contracts rather than assuming.
Texas law also protects tenant organizing
Separately from HUD rules, the Texas Property Code prohibits a landlord from retaliating against a tenant who “establishes, attempts to establish, or participates in a tenant organization” (Tex. Prop. Code § 92.331). That protection is not limited to HUD-assisted housing.
What can residents do under the HUD rules?
Under 24 CFR 245.115, owners and their agents must allow tenants and tenant organizers to carry out organizing activities, including distributing leaflets in lobbies and common areas, posting information on bulletin boards, contacting tenants, holding regularly scheduled meetings on site, and formulating responses to owner requests such as rent increases or major capital additions. Management may attend meetings only if invited by the tenant organization, and owners may not require advance permission for these protected activities (eCFR, 24 CFR 245.115).
HUD Notice H 2014-12 adds detail that matters day to day:
- What counts as legitimate. A legitimate tenant organization meets regularly, operates democratically and is completely independent of owners, management and their representatives. HUD does not require specific structures, written bylaws, elections or petitions.
- Meeting space. When residents request it, owners must reasonably make a community room or other appropriate space available for meetings. The space must be accessible to people with disabilities unless that is impractical for reasons beyond the owner’s control. Owners may charge a HUD-approved reasonable fee or waive it.
- Outreach. Organizers may distribute materials in common areas and under doors, post on bulletin boards and conduct door-to-door surveys.
- Impediments to avoid. HUD’s examples include unreasonably denying meeting space, retaliating against residents, offering individual inducements to leaders and forming a competing group controlled by management.
- Resident information. Owners must give the head of household HUD’s “Resident Rights & Responsibilities” brochure at move-in and annually at recertification.
All of the above is summarized from HUD Notice H 2014-12.
How should property teams work with a resident council?
The rules set the floor. Good working relationships usually come down to a few habits:
- Designate one staff contact for meeting space requests and scheduling so requests do not stall.
- Write down your community room process (how to request, how far ahead, setup and cleanup expectations) and apply it the same way to every resident group.
- Attend only when invited. If the council invites management to a specific discussion, prepare clear answers and follow up in writing.
- Respond to issues on the merits. A council raising maintenance or safety concerns is giving you organized feedback. Track and close those items like any other resident request.
- Train site staff. Leasing and maintenance teams should know that organizing activities are protected and that retaliation, including subtle forms such as selective lease enforcement, creates serious risk.
- Keep records of space requests and responses.
Resident councils vs. resident services, ambassadors and events
These are different things, and mixing them up causes problems.
- A resident council or tenant organization is run by residents, for residents, independent of management. Its agenda is its own.
- Resident services and service coordination are programs the owner provides or funds, often required by a funding source. Our guides to the HUD Service Coordinator Program and TDHCA resident supportive services explain those frameworks.
- A resident ambassador program is a management-led volunteer or incentive program. Our resident ambassador program guide covers how those work. Be careful not to present an ambassador group as a substitute for, or competitor to, an independent council at a covered property, since HUD lists forming a management-controlled competing group as an impediment.
- Resident events and programming, such as food pantries, workshops and community celebrations, are owner-provided amenities. A council may suggest ideas or co-promote an event if it chooses, but participation should never be a condition of anything.
Keeping these lines clear protects the council’s independence and keeps your programming fair. Our fair housing checklist for resident events also applies when programming is promoted to all residents.
Common mistakes
- Requiring residents to get approval before posting or distributing organizing materials at a covered property
- Having managers sit in on council meetings uninvited
- Denying or slow-walking community room requests without a reasonable basis
- Rewarding or pressuring individual council leaders
- Treating a management-run ambassador or social committee as “the resident council”
- Assuming a property is not covered without checking its financing and HUD contracts
A quick compliance-minded checklist
- Confirm whether each property is covered by 24 CFR Part 245
- Document a consistent community room request process
- Train site staff on protected activities and anti-retaliation
- Distribute the HUD resident rights brochure at move-in and recertification
- Keep resident programming separate from the council’s activities
- Escalate questions to compliance or counsel early
FAQ
Do residents need bylaws or elections to form a tenant organization?
According to HUD Notice H 2014-12, no specific structure, written bylaws, elections or petitions are required. The organization must meet regularly, operate democratically and be independent of owners and management.
Can management attend resident council meetings?
Under 24 CFR 245.115, management may attend only if the tenant organization invites it to a specific discussion.
Can we charge a resident council for using the community room?
HUD Notice H 2014-12 allows owners to charge a HUD-approved reasonable fee or to waive the fee. Check your property’s approvals before charging anything.
Does a resident council replace resident services?
No. A council is resident-run and independent; resident services are programs the owner provides. Many properties have both.
Supporting community without crossing lines
Strong affordable communities often have both an active resident voice and well-run owner programming. Roseway Resident Services supports affordable, tax credit and senior properties with resident events, education and resource programming planned, coordinated and reported on your behalf, while leaving resident organizing where it belongs: with residents.
Contact Roseway to talk about programming for your affordable or senior community, or see who we serve.