RAD Notice H-2023-08 and Rev 4 made a few changes to the blends criteria described in HUD Notice 2021-07:

• RAD/Section 18 Construction Blend Section: "If the hard construction costs are equal to or exceed ninety percent (90%) of the Housing Construction Costs as published by HUD for the given market area, at the PHA’s discretion up to sixty percent (60%) of the units in the Converting Project may be disposed of under Section 18. For high-cost areas, defined as those where HCC exceeds 120% of the national average, or where the amount of construction necessary to convert the units from their current condition to the condition proposed as a result of the Work would cost in excess of two hundred percent (200%) of the national average HCC,⁵ at the PHA’s discretion up to eighty percent (80%) of the units in the Converting Project may be disposed of under Section 18."
• RAD/Section 18 Small PHA Blend: "For any PHA with 250 or fewer public housing units under its ACC, at the PHA’s discretion up to eighty percent (80%) of the units in a Converting Project may be disposed of under Section 18. The PHA is not required to remove all of its remaining public housing units through a Small PHA Blend transaction. However, to be eligible for the Small PHA blend, the PHA must submit to HUD a feasible repositioning plan approved by the PHA’s board of commissioners and acceptable to HUD that removes all of a PHA’s public housing ACC units, reflects that the PHA will not develop additional public housing units under otherwise available Faircloth authority, and will not transfer that Faircloth authority to another PHA and will result in the closeout of the PHA’s Section 9 public housing program and termination of its Section 9 ACC. Any PBV contract created under this subparagraph must be administered by an HCV contract administrator with at least 250 HCV units under its HCV Consolidated ACC prior to the creation of the PBV HAP contract unless the field office determines that the proposed contract administrator has sufficient capacity to administer the PBV contract. The field office will consider factors such as the proposed contract administrator’s prior SEMAP scores, recent HCV-related audit findings for the contract administrator, whether the contract administrator has updated its Section 8 Administrative Plan to administer project-based vouchers, and whether the proposed contract administrator will have sufficient voucher authority, (in addition to any existing RAD or Non-RAD PBV HAP Contracts) to adequately serve the tenant-based waiting list and provide mobility options for the PBV residents. Please see Section 1.5.B of the RAD Notice relating to the applicability of RAD relocation requirements to residents of the Section 18 units and Section 1.6 of the RAD Notice relating to the applicability of RAD requirements to non-RAD units to facilitate the uniform treatment of residents where specified in the RAD Notice"