What Every Landlord Needs to Know About the HACLA RFTA Process

In March 2025, the Housing Authority of the City of Los Angeles (HACLA) held its first Owners Council meeting of the year, with several institutional property owners in attendance. The discussion primarily focused on the lease-up process, including the Request for Tenancy Approval (RFTA), and how HACLA is working to streamline its procedures as part of the HACLA RFTA process.

What’s New at HACLA?

1. New Business System Coming Soon

Starting April 2025, HACLA will roll out a new business system that will give owners free access to the Rent Café online portal. The portal will allow owners to access their unit and payment information. HACLA has already emailed owners about this transition, so be on the lookout for more details.

2. Improved Rent Offer Process

HACLA is working to streamline the rent offer process between when a unit passes inspection and when a Final Rent Offer is made. The new system will alert HACLA staff that the unit has passed inspection, triggering them to make the final rent offer so tenants can move in faster.

3. Centralized RFTA Submissions for the HACLA RFTA Process

HACLA created a centralized email for all RFTAs as part of the HACLA RFTA process. The email address is [email protected]. After submission, owners will receive an acknowledgment email from HACLA confirming receipt and advising that the RFTA will be assigned within 2-3 business days. Once assigned, HACLA will send another email informing that the RFTA was assigned, and that the processor will contact the owner within 1-2 business days to begin the leasing process.

4. Escalating Issues

If owners feel the need to escalate a concern, they should start with the Assistant Housing Manager, then move up the chain of command:

• Manager
• Ombudsman
• Assistant Director
• Section 8 Deputy Director
• Section 8 Director

For help identifying the right contact, owners can reach out to [email protected] to identify their chain of command.

Owner Concerns

Delayed Rent Payments & Final Rent Offer Issues

Several owners raised concerns during the meeting. One concern was from an owner who, after receiving a Final Rent Offer from HACLA, let the tenant move in, provided a lease signed by both parties to HACLA. The owner then received, signed, and returned the contract—but four months later had not yet received payment. The owner was eventually told by HACLA that an error was made in their calculations, and the owner was offered a new, lower rent amount. When the owner rejected the lower amount, HACLA suggested that the transaction could be canceled, forcing the owner to remove the tenant. Upon hearing this, HACLA senior management offered to take a ‘closer look’.

Delays in Rent Increases

Another owner had waited four months for a rent increase to be processed, only to have it denied. HACLA acknowledged the delay and went on to explain that the rental market had dropped. They also shared that in February 2024, after COVID moratoriums ended, they received 10,000 requests for rent increases in just one month. In February 2025, the anniversary of the moratorium’s ending, they received another 10,000 requests, causing further delays.

Budget Shortfall and Its Impact

HACLA Faces a Major Budget Crisis

To close the meeting, Margarita Lares, HACLA’s Chief Programs Officer, discussed the current budget crisis. HACLA is facing a significant shortfall and does not yet have a viable 2025 budget. HACLA may not be able to pay Housing Assistance Payments (HAP) to owners for December 2025, or possibly November and December 2025. The shortfall is partly due to HUD recapturing $38 million that HACLA saved during the COVID moratorium, when rent increases were not processed.

Impact on Section 8 Vouchers & Housing Programs

Due to this budget issue, HACLA has:

• Suspended issuing vouchers for new admissions
• Paused several boutique programs, including:
  • Homeless Program
  • NED Program
  • FUP Program
  • LAUSD Stability Program
  • Tenant-Based Supportive Housing
• Maintained the VASH and Project-Based Vouchers (PBV) programs for now

If the budget cut is deeper than expected, HACLA might:

• Deny tenants’ requests to move if their new rent is higher than their current rent
• Reduce Voucher Payment Standards even further
• Terminate housing assistance for over 6,000 households

This could leave property owners with tenants but no HAP payments. Several owners speculated that a city-wide rent moratorium might be implemented to prevent evictions. When asked if HACLA had informed the Mayor’s office of these potential issues, the response was that it was “the first office” we went to.

Local Economic Impact of Budget Cuts

Lares also pointed out that the local economy in Los Angeles could be significantly impacted by these budget cuts.

Final Thoughts

HACLA’s 2025 procedural changes, including the HACLA RFTA process improvements, new Rent Café portal, and centralized RFTA submissions, aim to streamline operations for landlords. However, budget constraints remain a major concern. Landlords are encouraged to stay informed, monitor communications from HACLA, and escalate concerns through the proper channels to minimize disruptions.

For more information, visit HACLA’s website or contact their support team at [email protected].