With this Mortgagee Letter, the Department of Housing and Urban Development (HUD) amends Mortgagee Letter 2016-26, published December 30, 2016, by delaying the implementation date for the new Capital Needs Assessment tools (CNA e Tool). The updated CNA e Tool is being released concurrent with this Mortgagee Letter. To ensure adequate time for users to familiarize themselves with the tools, the required use of the CNA e Tool for all CNAs submitted under covered programs is delayed from July 1, 2017, as stated in Mortgagee Letter 2016-26, to October 1, 2017. Use of the CNA e Tool will be voluntary for all CNAs submitted through September 30, 2017. All CNAs submitted to HUD on or after October 1, 2017 must be submitted through the CNA e Tool to fulfill program requirements. All other provisions of Mortgagee Letter 2016-26 remain in effect, including programs covered. Questions regarding this Mortgagee Letter may be directed to David Wilderman at (202) 402-2803. For technical questions concerning the system tools or system access call your designated help desk or contact Sean Cortopassi at 202 402 4087. Persons with hearing or speech impairments may access assistance via TDD/TTY by calling 1-877-TDD-2HUD (1-877-833-2483).