# 24 CFR § 401.201: How does HUD select PAEs?

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-24-401.201

## Section

- **Citation:** 24 CFR § 401.201
- **Heading:** How does HUD select PAEs?
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 24—Housing and Urban Development > Subtitle B—Regulations Relating to Housing and Urban Development > CHAPTER IV—OFFICE OF HOUSING AND OFFICE OF MULTIFAMILY HOUSING ASSISTANCE RESTRUCTURING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT > PART 401—MULTIFAMILY HOUSING MORTGAGE AND HOUSING ASSISTANCE RESTRUCTURING PROGRAM (MARK-TO-MARKET) > Subpart B—Participating Administrative Entity (PAE) and Portfolio Restructuring Agreement (PRA)

## Text

(a) Selection of PAE. HUD will select qualified PAEs in accordance with the criteria established in 513(b) of MAHRA and criteria established by HUD. The selection method is within HUD's discretion, including but not limited to a request for qualifications.
(b) Priority for public agencies. HUD will provide a one-time priority period for State housing finance agencies and local housing agencies to qualify as the PAEs for their jurisdictions. If more than one agency qualifies for the same jurisdiction, HUD will provide an opportunity for the agencies to allocate responsibility for projects in the jurisdiction. If the agencies are unable to agree, HUD will choose a PAE in accordance with section 513(b)(2) of MAHRA.
(c) Qualification for PAE by nonprofit and for-profit entities. After the priority period expires, HUD will consider other eligible entities as PAEs for jurisdictions in which no public agency has qualified as the PAE, or for projects that have not been assigned to a qualified public agency.
(d) No PAE for project. If HUD does not select a PAE for a project, HUD may perform the functions of the PAE, or contract with other qualified entities to perform those functions.

## Nearby sections

- [24 CFR § 401.1 § 401.1 What is the purpose of part 401?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.1.md)
- [24 CFR § 401.2 § 401.2 What special definitions apply to this part?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.2.md)
- [24 CFR § 401.3 § 401.3 Who may waive provisions in this part?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.3.md)
- [24 CFR § 401.99 § 401.99 How does an owner request a section 8 contract renewal?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.99.md)
- [24 CFR § 401.100 § 401.100 Which projects are eligible for a Restructuring Plan under this part?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.100.md)
- [24 CFR § 401.101 § 401.101 Which owners are ineligible to request Restructuring Plans?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.101.md)
- [24 CFR § 401.200 § 401.200 Who may be a PAE?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.200.md)
- [24 CFR § 401.201 § 401.201 How does HUD select PAEs?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.201.md)
- [24 CFR § 401.300 § 401.300 What is a PRA?](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.300.md)
- [24 CFR § 401.301 § 401.301 Partnership arrangements.](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.301.md)
- [24 CFR § 401.302 § 401.302 PRA administrative requirements.](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.302.md)
- [24 CFR § 401.303 § 401.303 PRA indemnity provisions for SHFAs and HAs.](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.303.md)
- [24 CFR § 401.304 § 401.304 PRA provisions on PAE compensation.](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.304.md)
- [24 CFR § 401.309 § 401.309 PRA term and termination provisions; other provisions.](https://www.frixlaw.com/law-library/statutes/ecfr-24-401.309.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-24-401.201. Check the current official text before relying on it. Not legal advice.